MasterCraft Boat Holdings, Inc.—comprised of MasterCraft, Aviara, Crest, and NauticStar brands—is committed to improving the boating experience of our customers. From delivering innovations that improve enjoyment on the water, to offering products that promote rapid development of skills, we are committed to generating memories that last a lifetime. This philosophy applies to everything we do as an organization. We have a range of strategies, processes, and initiatives that embody our mission and empower our team to do the right things to make our company and boating better for all. This includes utilizing a comprehensive product development process to ensure the introduction of the most relevant product(s) possible, year after year; engaging in operational excellence to deploy a flexible and effective production system that ensures we design-in and build the highest level of quality; and our commitments to environmental sustainability, the health and safety of our employees, our role as stewards of the community, and the following ethical business practices.
Our MasterCraft brand is the only boat manufacturer in the marine industry to achieve all three of the prestigious International Organization for Standardization’s (ISO) global certifications for quality (9001:2015), environmental (14001:2015), and safety management processes (OHSAS 18001:2007) across production and product development systems. ISO is an independent, non-governmental organization that brings together experts from all over the world to develop international standards for measuring how organizations perform from a quality, environmental and safety standpoint. This adherence to quality, environmental sustainability and safety is evident in the boats we build and the industry-leading warranty we offer customers to support our product craftsmanship. But the story goes deeper.
Our long-standing partnership with Ilmor engines at MasterCraft and Aviara meets the strictest requirements of not just the EPA, but also CARB, and EU-RCD standards. The Ilmor GDI class engine is one of the top 5-star emissions rated gasoline marine engines in the world. The uniquely designed exhaust system includes new I-pipes, which reduce noise and vibration. Our partnerships with Yamaha and Mercury Marine align Aviara, Crest and NauticStar with engine suppliers who share our drive for sustainable practices. For example, Yamaha Motor Group has made it a focus to manufacture products that reduce the amount of greenhouse gas emissions, both directly and indirectly, having successfully reduced CO2 emissions per net sales by 36% from 2009 to 2018. Mercury Marine has set a goal for 2019 to reduce water usage by 30% and cut annual energy consumption by 45% (from 2005 levels).
We work with all our suppliers to reduce engine and air emissions both in the production of and use of our products. We carefully source materials that have the least environmental impact, minimizing the risk of employee health hazards and maintaining a cleaner environment.
Part of running world class manufacturing facilities means we have formalized recycling programs for electricity, gasoline, oil, and water which includes extensive training for all employees, and dedicated and coded recycle bins. From July 2018 to June 2019, these efforts have kept more than 575 tons of material out of local landfills, conserving the following resources:
3.2+ million kW-hours of electricity – enough to power 265+ homes for a full year
27,000+ gallons of oil – enough energy to heat and cool 130+ homes for a year
1.8+ million gallons of water – enough fresh water to meet the needs of 99,000+ people for a full year
A SAFE WORKPLACE
We are focused on improving and innovating when it comes to the well-being of our dedicated workforce across our portfolio of brands. We take great care to ensure everyone at MasterCraft Boat Holdings Company is empowered to do their best work, in a safe and well-managed environment. Closely connected to our ISO certifications, we drive this by maintaining a rigorous 5S+1 Program, a workplace organization process focused on housekeeping and safety.
In the past two years, our Job Hazard Assessment program has averaged 100 improvements to maintain a clean, safe, and healthy workplace. In addition, our ongoing industrial hygiene sampling and air ventilation upgrades ensure the highest level of air quality throughout our facilities.
A vigorous training program ensures our team maintains professional safety standards, including documented lockout-tagout and machine guarding programs. Our STOP program deployed by our safety committee has averaged 1000 observations in the past two years, mitigating the potential for serious workplace injuries to our employees.
We have also created a Kaizen (Japanese for improvement) Projects program and have completed over 40 projects in the past two years. Lastly, we’ve implemented an employee ideas and improvements program, with over 40,000 ideas implemented in the past two years, creating a culture of continuous improvement and employee engagement.
STEWARDS OF OUR COMMUNITY
Our passion for excellence extends beyond the walls of our facilities. Our hope is to change the trajectory of our communities and instill strong values by collaborating with organizations that help make our world better. Our brands sponsor boating safety and awareness events worldwide; and we are particularly proud of sponsoring local high school sports teams throughout the communities we serve. Additionally, we are honored to sponsor a local chapter of the National Court Appointed Special Advocates Association supporting court-appointed advocates for abused or neglected children.
We are also deeply invested in attracting and developing the next generation of workforce talent to the boating industry. Our President and CEO is on the advisory board for the Cleveland State University co-developed composites training program, geared to position graduates for jobs in the boating sector upon graduation. And our Crest and NauticStar brands partner with local technical colleges donating boats and supplies to provide real-world training opportunities for students seeking a career in the boating sector.
ETHICAL BUSINESS PRACTICES
We adhere to a strict code of ethical business practices across our entire organization. We are dedicated to eliminating the use of conflict minerals (Tantalum, Tin, Tungsten, and Gold) that originate from mines controlled by non-governmental groups in the Democratic Republic of Congo, or adjoining countries, who contribute to human rights abuses including human trafficking, inhumane treatment, forced labor, child labor, war crimes or crimes against humanity.
We annually survey our suppliers to determine their compliance with the Conflict Minerals Rule, using accepted due diligence reporting processes. Our suppliers are expected to pass this requirement on to their supply chains and request their compliance with the Conflict Minerals Rule. We will endeavor to identify suppliers who do not properly assess the sources of conflict minerals in their supply chains, and will take appropriate corrective actions, which may include discontinuation of business. Non-compliance with this policy is a factor influencing future sourcing decisions in our desire to source materials from socially responsible suppliers.
We also adhere to a strict Code of Ethics and Conduct, which is applicable to all directors and employees, including our executive and financial officers. The Code of Ethics and Conduct is available on our website HERE.
Any amendments to, or waivers of, the Code of Ethics and Conduct will be disclosed on our website promptly following the date of such amendment or waiver.
A PURPOSEFUL FUTURE
Our continued commitment is making the best products in the best way possible. But we can always do better. MasterCraft Boat Holdings, Inc. will continue to approach these areas of opportunity and undertake broader, organization-wide sustainability initiatives related to all boating operations, setting forth long-term goals for energy use, the environment, our products, and employee health and safety across our portfolio of brands. We will hold ourselves accountable to the highest standards, striving for reductions in energy usage at all of our facilities, minimizing our environmental footprint, developing the safest and most sustainable products in the boating marketplace, all while keeping the safety and well-being of our employees at the forefront of everything we do.