Wattle Company Zimbabwe

INDUSTRIAL ATTACHMENT REPORT By MAXWELL MASUNDA MIDLANDS STATE UNIVERSITY BSC HONOURS GEOGRAPHY AND ENVIRONMENTAL STUDIES Registration Number R102163M Period Jan-Dec 2012 Department Health Safety and Environment Endorsed By Work Related Learning Supervisor __________________________ Signature Student’s Name Masunda Maxwell Registration Number R102163m

Student’s Signature ___________________________ Signature Company Stamp Period Jan – Dec 2012 Academic Supervisor Mr Mutekwa Table of contents Page Abstract………………………………………………………………………………………………… Acknowledgements……………………………………………………. …………………………… 2 Abbreviations…………………………………………………………………………………………. 3 CHAPTER 1—INTRODUCTION 1. 1Information about the organisation. Vision, Mission statement, Values and objectives of the organisation……………………………………………… 1. 2Company’s organisational structure and the place of the particular department in which the student’s work was undertaken…………………….

1. Communication and information systems…………………………………………… 1. 4Principal Services and their characteristics……………………………… 1. 5Main markets served and their characteristics………………………………… 1. 6Sources of competition……………………………………………………… 1. 7Types of technology involved and their characteristics………………….. 1. 8Impact of Government measures and policies, the Economy and changing environment and social attitude………………………………… CHAPTER 2—MANAGEMENT ISSUES 2. 1 Management style, values, priorities, responsiveness to external change and management success……………………………………………………….. . 2 Logistics, Production, Marketing and Management approaches to technological development……………………………………………………… CHAPTER3 3. 1 Roles and responsibilities of the student during the work related learning period………………………………………………………………….

. 3. 2 Performance criteria and targets………………………………………….. 3. 3 Opportunities and problems encountered………………………………… 3. 4 Theory studied and operational practises………………………………… 3. 5 Means of monitoring performance during work placement period…….. CHAPTER 4—EVALUATION 4. 1 Overall evaluation of the WRL period CHAPTER 5—RECOMMENDATIONS 5. Recommendations to Midlands State University; Department of Geography and Environmental Studies and The Wattle Company 5. 2 Other issues learned CONLUSION REFERENCES ABSTRACT The author commenced Work Related Learning on the 23rd of January 2012 at The Wattle Company (Nyanga Pine Division) in Manicaland Province and is expected to complete in December 2012.

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This report saves to give an outline of the tasks and activities carried out by the student during the above mentioned period of WRL programme in pursuit of achieving the requirements of the Bachelor of Science Degree in Geography and Environmental Studies at Midlands State University.

DEDICATION I give special dedication to my mother and brothers who made my education a success. Your stewardship and heroism are sufficient to me. ACKNOWLEDGEMENT My gratitude goes to the Midlands State University academic staff that has imparted their vast knowledge and has so much assisted me with words of wisdom, hope and courage during my industrial attachment. My appreciation goes to the management and the rest of staff at The Wattle Company for accepting me to be part of the Wattle family (Nyanga Pine Division).

I also give gratitude to the unwavering support and guidance that l constantly got from my supervisor Mr. S Ziyambe (S. H. E Officer Nyanga Pine Division), throughout my industrial attachment period. My thanks also goes to the Human Resources Department specifically, Mrs S. Nyangairi(human resources administrator) and Miss Tsitsi ( H. R Departmental secretary) . Great thanks to Mr Mazungunye (Forest Resources manager-Nyanga Pine Division), Mr Kwenda (Plant Engineer) Mr Velani (forester Nyanga North), Mr Sigauke (Forester –Nyanga Pine Nursery), Mr.

P. Chipango (Forestry Department Clerk), and all SHE Reps in all departments not forgetting all other employees and the external society for their professional guidance and supervision within their areas of specialisation together with all the support and ideas that were shared to me during the course of my industrial attachment. I give credit to the compilation of this report to all the above mentioned professionals for believing in me and their constant support during difficult times and period of my industrial attachment.

I extend my gratitude to the department of Geography and environmental studies Mr Jerie and his colleagues for the knowledge acquired which made practical learning easier not forgetting my supervisor Mr Mutekwa who visited us during the course of the industrial attachment and boosted moral. My heartfelt appreciation to my family especially my mother Mrs B. Paradzai, my brothers ; Noah, Michael and Macdonald and my friend, Tinashe Munodawafa for their unmerited support (Economic, social, moral and otherwise) throughout my Industrial attachment.

I give all the glory to the Lord Almighty for a year full of life and fun not forgetting how educating it was in every dimension. May the Lord God edify and bring continual success to you all. Abbreviations/Acronyms BBSBehaviour Based Safety BLRABaseline Risk Assessment EDEnvironmental Database EIAEnvironmental Impact Assessment ESREstate Stores Requisition HIRAHazard Identification Risk Assessment OHSOccupational Health Safety SHESafety Health Environment SHPSafety Health Procedure WRL Work Related Learning

FRM Forest Resources Manager OHSE Occupational Health, Safety and Environment IBRA Issue Based Risk Assessment SWP Safe Work Procedure MP Management Procedure CAR Corrective Action Request LTI Lost Time Injury WMP Waste Management Plan EMP Environmental/Emergency Management Plan HOS

Head of Section HOD Head of department CHAPTER ONE(1) 1. 0 Background of the Organisation The Wattle Company Limited was founded in 1945 in a bid to develop a wattle extract Industry in Zimbabwe. Land was purchased in the eastern districts of the Country and a central office was established in Mutare.

The rationale for the development of wattle extract in Zimbabwe was twofold: •There was a general prediction of growth in demand for leather products hence, by implication of growth in demand for tanning extract. •There existed the perception of a permanent decline in supply of Quebracho extracts which, at the time, was the principal vegetable tanning extract in the world leather business. Wattle extract offered a profitable Substitute with a shorter-term investment horizon.

These predictions were not fulfilled for the following reasons which also motivated the subsequent diversification into pine and eucalyptus; •The rate of leather consumption was negatively affected by the subsequent development of synthetic non-leather shoe materials; •The development of synthetic tanning materials (such as chrome salts) further reduced the demand for vegetable extracts; and •Quebracho remained a strong competitor to wattle extract. At the peak of wattle development in approximately 1959, The Wattle Company Limited had a capacity from its plantations of approximately double its sales demand.

Consequently, The Wattle Company Limited commenced a Programme of diversification into other plantation crops accompanied by a parallel disposal of surplus land holdings. The Memorandum and Articles of Association of The Wattle Company Limited permits it, generally, to own and operate forestry and agricultural estates, to produce, process and deal in forest and agricultural products. The Company now specifically manufactures wattle extract, pine sawn timber, treated gum poles, eucalyptus sawn board and a residual product, charcoal. The Registered office of The Wattle Company Limited is situated at No. Durban Road, Mutare. 1. 1 Vision Achieve World class excellence in forestry resources management. 1. 2 Mission We will sustainably manage forest plantations, manufacture and be the supplier of choice quality sawn timber, wattle extract, charcoal, poles and services to our customers in all our markets. We will build long term mutually beneficial relationships with all our customers, suppliers, employees, communities and shareholders. 1. 3 Values ?Integrity ?Quality ?Innovation ?Professionalism ?Transparency ?Teamwork ?Respect ?Empathy ?Passion 1. Company’s Organisation and the place of the particular department/ section in which the student’s work programme was undertaken The Wattle Company Limited is the main company the student was attached as a Senior Trainee SHE Officer. He was also attached in the SHEQ department at The Wattle Company, Nyanga Pine Division which is located 60 km out of Mutare. The department services(In SHEQ issues) other sister Estates such as Dunsinane Estate in Penhalonga, Nyakupinga, Mtarazi and Reneen Estates together with a Bush milling plant called Pine Products (Located in Mtarazi Estates) for Pine sawn timber production. 1. Communication and Information Systems The company uses a top to bottom approach. Group managers are responsible for the overall performance of the company as a whole, hence they oversee issues within all the three divisions of wattle but there are location managers and officers who are involved in the day to day running of the activities within their areas of jurisdiction. The company uses memorandums and Internet services which facilitates Emailing system as a means of information relay not forgetting to mention direct or peer to peer communication. The IT (Information Technology) at the head office is responsible for all machine ault repairs and controls the emailing system together with denying access/sharing of controlled documents with external sources. There is also a LAN (local area network) From Netone, Company Contract lines from Econet together with provision of monthly airtime for communication purposes to management reps . More so there is the use of GPS receivers, that is, Radios for all Foresters’ communication in the estates. All location managers and Officers report to a location/divisional General Manager which is the highest office at divisional level as illustarated in the organogram below.

ORGANOGRAM Fig. 2. 1 1. 6 Principal Products / Services and characteristics Wattle Company’s business success is centres on sustainable management of its forestry resources and is dedicated towards sustainable environmental management. The Wattle Company has received a number of accolades for its outstanding performance in environmental and forestry management. The Company operates under three strategic Business Units, Namely, •Nyanga Pine Division •Wattle Mimosa Division •Vumba Timbers Division It has four core businesses for production and marketing of •Pine Sawn Timber and manure Wattle Extract •Eucalyptus Poles •Charcoal Fig 3. Wattle Company Divisions Fig. 4. Wattle Company Hectare all divisions inclusive. The student was based at the Nyanga Pine division. NYANGA PINE DIVISION Nyanga Pine Plantations are located at Nyanga and Dunsinane Estates, approximately 65 kilometers and 35 kilometers north of Mutare, respectively. Available Resource Nyanga has a sustainable resource of 150,000m3 saw logs per annum for the pine plantations. An additional resource base from Art Corporation plantation which has been secured by the company is 76,000m3.

Acquisition of the rest of the Art Corporation plantations is also expected to yield an additional 31,600m3 per annum. Figure. 3. Part of the resources available in the Nyanga Pine Division. Land holding in this Division is 18 973 hectares. Logs from these plantations are managed on a 20 to 25 year rotation and 450 hectares are harvested annually producing 150 000m? of saw slogs. The timber is harvested and transported to the sawmill using specialized equipment. As illustrated in fig 4 below. Fig. 5. A forwarder transporting logs PINE SAWN TIMBER

The Sawmill has a capacity of producing 72000cm3 of sawn timber per year and has 2 production lines. The frame saw line for big diameter logs and the multi-saw line which replaced the chipper canter line for small diameter and larger diameter logs. Fig 6 illustrates the frame saw line. Fig 6. 1 A log entering the frame saw line Fig 6. 2 A log out of the frame saw line The Wattle Company produces high quality sawn timber that has high demand both locally and internationally . Pine sawn timber is a soft wood. The pine sawn timber is kiln dried to standard moisture content of between 12 – 15%.

This is achieved by adhering to stringent quality control measures starting from the source of our timber and in addition, our processes conform to the local Standards Association of Zimbabwe Board (SAZ) and South Africa Bureau of Standards ( SABS) yet also currently seeking ISO 9001 certification. The structural timber comes in solid form, finger jointed, planed all round and kiln dried. The lengths range from 0. 9 m to 6. 6 m. Fig. 7. Pine sawn timber stacked in the warehouse Structural timber is mainly used for construction, whilst Industrial grade timber is used for furniture and industrial purposes.

These products are marketed and sold throughout the SADC region to different customers in their specific requirements. Bi- products – Crating, Pulpwood, and Pillar logs, Pine bark, Wood shavings and Saw dust are produced. The company also produces the industrial grade timber for the furniture manufacturers. Moreover the company also produces Manure from decomposing mixtures of sawdust and bark which is demanded locally, mainly by maize and cotton producers. Also the company offers other used products such as used tyres, used oil, scrap metal and old vehicles.

Wood is another product produced for sale to outsiders with some provided to the general workers and the local communities who stay in electricity free houses. Principal services Wattle Company provides expertise to other fellow timber producing organisations, students in local high schools through conducting fire and tree planting campaigns together with students on industrial attachment in various departments found in the organisation. More so it offers health services such medical health care, HIV and AIDS counselling and testing and maternal care to employed/ non employees yet local people.

It also offers employment to the local community and the country at large. The company is involved in the preservation of Natural resources such Fauna and flora, Historical cultural sites, such as Nyangani terraces and recreational areas such as Mtarazi Falls with help from its security. The Wattle Company, through its Nyanga Pine Division is certified by the Forest Stewardship Council (FSC), which is an international organization that provides accreditation of forest management practices. FSC establishes standards as well as monitor the chain of custody and labelling of wood products. . 7 Main markets served and their environmental characteristics The Wattle Company is currently supplying the following markets, ? Botswana 33%, ?South Africa 35% ?Zimbabwe 20% ?Namibia 6% ?Zambia 3% ?Mozambique 3% Fig. 8. Timber market sizes in % Timber products produced at Wattle Company have created demand through spiral, repeat and referral marketing. The Product is produced from a well managed resource that adheres to specifications of international standards. The timber is mature and is suitable for major construction jobs which most construction companies prefer.

The Wattle Company has created a competitive edge against its industry peers by upgrading its product through mouldering, as a differentiation strategy to its competitors who prefer to sell their timber as general grade. Wattle Company uses benchmarking as an analytical process through which the organization’s performance in the market is compared to the best in the country and the region. Positioned in a niche market it supplies 80% of its timber as structural which automatically means only those that are in the construction industry prefer the product. The company’s minimum order quantity is 48 cubes.

The prices are factory that is they exclude freight cost since customer own transport is used. The Company’s Pine Sawn Timber is grouped and sold in two broad categories – Structural sawn timber for builders’ merchants and roof truss manufacturers. There is also the Industrial sawn timber for furniture and door manufacturers and pallet makers. Approximately 70% of the Pine Sawn Timber is exported while 30% is sold locally. All dispatches are made directly from Nyanga Pine Sawmill spearheaded by Wattle Company headquarters in Mutare where all payments are made.

The Company is the third largest producer of Pine Sawn Timber in Zimbabwe and sells its product under the brand “NYANGA PINE”. Zimbabwean timber is proven by international test standard to be competitive in strength, workability and appearance with South African and European pine. 1. 8 Sources of Competition Competition in the region is not just coming from regional suppliers but also timber coming from as far as Chile, Brazil and Australia amidst softening demand in the market backyards.

A case in point is the Namibian customer called the Mega build who is importing timber from as far as Australia; as a result, it creates pressure and price distortions and reduces the regional suppliers’ market share. The Zimbabwean primary wood processing industry is an oligopoly dominated by five players namely: Wattle Company, Border Timbers International, Allied Timbers, Mutare Board and Paper Mills, and Hunyani. Each of these companies has its own timber processing facilities and grows timber for own use.

Three are major timber suppliers namely, The Wattle Company, Boarder Timbers and Allied Timbers, with the other two suppliers operating more than two sawmills each. The difference between The Wattle Company and its competitors has been the ability to stick to world class standards and pro efficiency. Border Timbers is now the second biggest player in the industry but of late experiencing problems of diminishing resources. Wattle Company, Forest Company of Zimbabwe, and Border Timbers produce about 89% of timber in Zimbabwe and 1% is from Bush Millers. Threat posed by forest fires locally affects output in terms of quality.

Recent fires in South Africa had weakened output prices. Only Wattle Company and Boarder Timbers are Forest Standard Commission (FCZ) certified giving Forest Company of Zimbabwe a disadvantage on the international market. Wattle Company is currently the smallest player in the industry but the most efficient. The competition in Zimbabwe Timber Industry hinges more on volume capacity than other factors such as quality, lead time and turn around. The wattle Company has edged its competitors by sticking to high quality structural timber creating a name in the regional construction industry.

Environmental Management The Wattle Company Limited is a recipient of Timber Producers Federation of Zimbabwe’s Environmental Awards and has a documented Environmental Management System in place. Special Management is applied to the conservation of water catchment areas, high altitude grasslands, main forest communities and archaeological heritage such as the remains of Nyanga Terrace Culture, pollution prevention of estate soils by machinery oils and proper disposal of waste (paper, wood, glue, metal and clinic wastes). 1. 9 Types of technology involved and their characteristics

There is a lot of modern machinery used for Pine sawn timber production from planting to marketing of the finished product. The information above is the general information of the whole Wattle Co divisions. However the growing of pine trees at Nyanga Pine division is for sawn timber. Nyanga Pine plantings are largely restricted to Pinus patula, but include P. taeda; P. elliottii, P. kesiya; P. tecunumannii and P. maximinoii and some of these species are being carefully considered now (Wattle Co Management Plan of the Pine Estates 2012).

There is the use of Diesel powered chain saws an earth moving machinery for cutting or bringing down the trees respectively, followed by choking –which involves bringing the logs close to the road (for sorting according to diameters and loading using the telelogger) using tractors; cattle; the skidder and cable yarders (from inaccessible areas like in valley bottoms). More so haulage trucks are then used to transport logs from the harvesting sites to the Sawmill for processing. At the Sawmill, teleloggers are used to offload trucks and sorting is done as well.

Cane hooks are then used to roll logs onto electric powered hauling chains (the process is highly mechanised)which feed the de-barker—for bark removal before proceeding to the frame Saw and Multi-saw lines for cutting to size. Conveyer belts carry the timber to the green chain section where manual loading of the Boogies is done followed by Kiln drying using The Ballman and Tekma Kilns which are Electric and Fire powered respectively. Traverses then carry the dried timber to the Dry mill section for cutting to size and packaging.

Side loaders then load the timber as per orders before loading to trucks for departure to their respective destinations. Fig. 9. Process flow diagram of timber from harvesting to warehouse 1. 10 Impact of government Measures and policies, the economy and changing environment and social attitudes Government legislative bodies such as NSSA, EMA and SAZ have positively impacted on the organisation to be a workable environment through its NSSA compensation scheme in case of injuries. Subscribing to EMA and SAZ has coerced the organisation to improve its environmental management climate, market improvement and improved OHSE standards respectively.

On the other hand through the Recruitment and Selection Policy, which requires locals to be considered first when employing people, inexperienced people have been assimilated which greatly affect the quality of workforce available. The economic climate currently has improved performance of the organisation where a monthly profit of US$23000—US$30000 is obtained hence it has resulted in improvement in the salary scales. The favourable climate has also increased the market size by attracting more foreign customers aided by SAZ certification.

Cash flow problems/Global liquidity shortages have negatively impacted the organisation forcing it to sell on credit thereby resulting in late payments of salaries and wages. Increasing mechanisation levels have also resulted in high job losses Changing educational environment has resulted in most locals shunning the lowly paid jobs in the forestry industry. More so qualified personnel is also leaving the organisation for greener pastures with even students are now shunning being attached there because of absence of any allowance.

CHAPTER TWO(2) 2. 1. 0 Management style –Values and priorities, responsiveness to external change and management 2. 1. 1 Management style It is a top to bottom approach. The divisional activities are run from the headquarters by group managers. On site there is the GM, FRM, TLM, Accountant, HR assistant and SHE Officer. These HODs are the policy makers assisted by HOS who do the day to day running of the various departments reporting to the GM. The organisation has 6 departments namely: Clinic, HR, Forestry, Harvesting, Administration and SHE.

HODs report also to group managers who directly report to the COO, who is the overall head of the company who delegates tasks to top management. A weekly progress meeting is conducted by top management and chaired by the COO. 2. 1. 2 Values and priorities Values and priorities of the organisation are set by the management team since there is a top to bottom approach to management of issues at the organisation. The organisational Policy is followed but it is mainly if not only effective upon the general hand wage earner and few lower grade staff workers. 2. 1. 3Management succession

Workers rotate departments depending on performance and not specialisation, for instance from HR to Production. Succession is handled by HR but that of management is handled at group level by group managers. There is also rotation of employees around the three divisions especially management/staff workers. 2. 1. 4 Responsiveness to external change Marketing surveys are done every month to determine market prices. Prices are then either lowered or increased depending on periodic reviews. Weekly performance meetings are conducted on site chaired by the COO, where supplies are usually stopped wherever late payments are observed.

Also the increased competition on the market has forced the organisation to seek ISO9001 certification and implementation of BBS in a bid to lure the market by showing their concern to Quality and OHS issues respectively. Production of products as per customer requirements and specifications in terms of width and thickness has also come as a response to external market changes in the timber industry. Also selling more and preferably to cash buyers has been effected to reduce the impact of cash flow shortages in the economy.

The organisation also subscribes to the government gazette for updates on any changes in terms of legislations and other legal requirements. 2. 2. 0Logistics, production, marketing and management approaches to staffing and technological development. There is a silviculture department and a Forestry Resources Manager who is in charge of all the estates/ in charge of all the forest resources. This is the department which ensures sustainability and to ensure sustainability this department is responsible for all the plantings which include the harvested land or compartments as well as the burnt land.

For example last year during the fire season about 900 ha were lost to forest fires but there is reestablishment of these compartments as well as the harvested compartments. Since the rainy season began about 800 ha were planted so far and if rain falls the company intends to finish planting all the palatable land. Planting back is a serious issue which is monitored at top management level as well as the Timber Producers Federation (TPF) which the company is part of. So the issue of sustainability is unquestionable at Nyanga pine division as illustrated above.

As for harvesting there is a harvesting department headed by the Harvesting and Transport logistics Manager. When the compartment is ready for harvesting which is usually after 25 years the silviculture department hands over the compartment to the harvesting department with the forest planning department being involved as well. Usually every year the silviculture department hands over all compartments ready for harvesting then the harvesting department do APOs (Annual Plan of Operations) using the information provided. This is the first step done by the harvesting forester and authorised by the Harvesting and Planning managers.

Harvesting then commences following a harvesting procedure. When the compartment is finished it is handed over to planning for fibre waste assessment then back to silviculture for plantings. This is the cycle in short. The planning cycle is there for the sustainable management of the forest resources. Management is striving to cut costs through the acquisition of highly mechanised equipment like the Multi saw line which only requires 12 workers along the whole line as opposed to more than 30 workers on previous lines (chipper canter line).

More so some departments are operating with one person with the aid of students on industrial attachment whom are not a cost since they are not paid, for instance, one SHE officer for Reneen, Nyakupinga, Nyanga Pine, Mtarazi and Dunsinane Estates and the Sawmill. Seasonal employees are temporarily employed especially during the planting and fire seasons for preparation of fireguards and ring weeding respectively. Marketing is done throughout the marketing manager who is based at the head office in Mutare. Sales are also facilitated through that same location.

No marketing rep on site since it is only a production site since collections are done using receipts and with the aid of phone calls. A larger percentage of the product is sold internationally. 2. 1. 3 Management Issues and their relationship to environmental issues and performance of the organisation. Management is more concerned with production hence environmental issues are not of much concern or they are not given much attention since they are not funded for instance all industrial hygiene surveys were last done in 2009 and 2010 respectively.

More over foresters also claim to be masters in SHE issues hence it brings friction between the different departments. The SHE department is only involved in voluntary compliance to standards such as ISO14001and ISO9001 among others since it is only SAZ certified. There is generally lack of management commitment to SHE issues hence little is being done in terms of environmental management though there is vast knowledge inhibited within the site SHE Officer which remains an untapped resource though beneficial to tudents on work related learning to whom it is relayed. CHAPTER THREE(3) 3. 0 Activities carried out and Initiatives made by the student After a month in the industry the most tasks were delegated to the student for learning process, development of a world class/competent SHE practitioner and for monitoring progress during the course of the industrial attachment period. Only decision making opportunities in sensitive issues were not tasked to the student. 3. 1. Safety health and environment (S. H.

E) induction of newly recruited employees This process involves safety induction of new employees and visitors so that they practise safety every time and everywhere. It also shows the level of commitment of the organisation to SHE issues. After a month the student was given the role of conducting all inductions in the absence/presence of the supervisor. This further boosted confidence to speak amongst a group of people since it was going to be a routine task to train groups of workers. 3. 2. Land farming project

This is a project for treatment of oil contaminated soils to normal or near normal state which emanates from unsurfaced parking bays like the telelogger bay in the Sawmill, garage and management parking bays. The project was to remain an ever running project since soil is continuously being polluted. The student developed the land farming project together with preparing the project budget, documentation and description, assigning responsibilities, training of the people involved, monitoring, and preparation of continuous improvement documents together with monitoring of progress. 3. 3.

Environmental Inspections, audits and on job observations This facilitated compliance to SHE standards, compliance levels to management procedures and task procedures, noting of at risk behaviour and conditions, Fire extingu