GRI Sustainability Reports - Weeblympanutsos.weebly.com/uploads/5/0/1/9/5019924/gri_ppt.pdf · •...

GRI Sustainability Reports:

[Computer Industry]

March 14, 2012Human Resource Management

Team 2: Melanie Panutsos | Hualu Zhao | Zach Lewis | Josh Hostetler | Tao Yang

Why Sustainability?

• Many firms ignore sustainability at board & CEO level

• Benefits of Sustainable Strategies:

– Save energy

– Fight climate change

– Consumer appeal

– Political support

– Gain market share

– Build investor confidence

It’s “smart business” to embed sustainable practices into an

organizationSource: Report done by RiskMetrics Group

Computer Industry Key Themes

• Environmental– Recycling/Life Cycle Management:

– Resource Conservation & Responsible Sourcing

– Waste & Emissions Management

• Labor Practices & Human Rights– Open Employee Communication

– Employee Development & Protection

– Diversity & Inclusion Practices

– Employee Community Involvement

• Supply Chain– Supplier Social Responsibility

• Business Strategy– Sustainable Growth Practices

Key Themes [Computer Industry]:

DellDell

Dell, Inc. | Environmental

• Eliminated Mercury

[switched to LED]

• Recycled or reused

95.7% of waste FY11

• Banned export of

broken products to 3rd

world nations

• Banned sourcing from

areas with HR issues

Origin: USA Founded: 1984 Report: GRI Assets: $38.6 billion

• PCs: 25% less energy

• 21% of all power is

“green power”

• Reduced H20 use

• Free Recycling in

78 Countries

Dell, Inc. | Labor & Human RightsOrigin: USA Founded: 1984 Report: GRI Assets: $38.6 billion

• Tell Dell & Pulse Surveys; Leadership Imperative

• Global & diverse recruiting [64 countries]

• Cross-country internships & placements

• Give 1% pre-tax profit; 171k hrs donated

• Dell YouthConnect

• Well at Dell health program

• Flexible Work Solutions

Dell, Inc. | Supply ChainOrigin: USA Founded: 1984 Report: GRI Assets: $38.6 billion

• Packaging: 11.7% less, bamboo, HDPE, recyclable

corrugated cardboard

• With suppliers, eliminated BFRs, CFRs, & PVC

• Frequent Audits; publicly disclose top suppliers

• $1bill. spending w/ minority suppliers

• Optimize delivery

– Full trucks, ocean carriers

Dell, Inc. | Business Strategy

• Newsweek’s Greenest Company in America

• Universum’s Worlds Most Attractive Employer

• Shared Value

– EnergySmart: 55.7 million tons less GHG

– Virtualization & Cloud Computing

– Dell Social Innovation Competition

• $50k scholarship to solve global social problem

Origin: USA Founded: 1984 Report: GRI Assets: $38.6 billion

Dell, Inc. | Overall RatingsOrigin: USA Founded: 1984 Report: GRI Assets: $38.6 billion

34

Dell, Inc. | Areas to ImproveOrigin: USA Founded: 1984 Report: GRI Assets: $38.6 billion

• Address inconsistencies in recycling system

• Further develop Lifecycle Approach

• Improve on-boarding experience

• Enhance volunteering

• Expand opportunities for

employee development

LenovoLenovo

Lenovo | Environmental

• Offers free product take-back and recycling

• Provides Asset Recovery Service to businesses:

product take-back, data destruction, and recycling

• End-of-life Management for Products

Origin: China Founded: 1984 Report: GRI Assets: $10.7 billion

• Low halogen, recycled

content for 30% of plastics

• 10% Increased carbon

efficiency

Lenovo | Labor & Human Rights

• Employee Safety: complaint process & OHS

• Competitive compensation packages

• Women In Lenovo Leadership [WILL] & Lenovo

University

• 171,000 hrs of sponsored volunteering


66% Chinese 8% American 32% Women 31% Minority

Lenovo | Supply Chain

• Membership in SmartWay [partnership w/ EPA]

• Shift from air shipments to ocean carriers

• Sets a strong example of EICC compliance

• Post-consumer packaging usage:

– 60% for ThinkPad

– 20% for ThinkCentre

• Packaging reduction efforts


Lenovo | Business Strategy

• Offers Energy Star qualified products

• Established benchmarks and targets for global

carbon footprint reduction

• Committed to absolute reductions in GHG emissions

• Drives supply chain & customer base sustainability

through climate change strategy


Lenovo | Overall RatingsOrigin: China Founded: 1984 Report: GRI Assets: $10.7 billion

27

Lenovo | Areas to Improve

• Resource conservation needs addressed

• Ensure responsible sourcing

• Improve employee development & protection

• Increase disclosure/transparency of info

• Recycling in practice vs. planning


AppleApple

Apple, Inc. | Environmental

• Specialized audits of 14

facilities

• Training to raise awareness

• Worked with Local

Governments and NGOs

• Encouraged transparency

for suppliers:

– 90% will use GRI in 2012

Origin: USA Founded: 1976 Report: non-GRI Assets: $116.4 billion

Apple, Inc. | Labor & Human Rights

• Work to stop involuntary & underage labor

• Work to prevent exploitation in resource

procurement through conflict-free sourcing

– 1st to audit entire supply chain to source mat’ls

• Response to 2 dust explosions in 2011

– Now require ventilation & explosion proof ratings

– Banned use of high-pressure compressed air


Apple, Inc. | Supply Chain

• Frequent auditing with 3rd party support

– On site inspections, cross referencing, interviews

• Apple Supplier Code of Conduct

– 1 million workers trained in code compliance


• Partners w/ local

universities for

Supplier Employee

Education &

Development (SEED)

Apple, Inc. | Business Strategy

• Supplier Management Systems

– Ensures compliance w/ policies & procedures

• Management Ethics: Audits


– Interviews, follow-ups & whistleblower protection

– Disclosure of information, business integrity

– [Issues: Coaching workers, payroll falsification]

Apple, Inc. | Overall RatingsOrigin: USA Founded: 1976 Report: non-GRI Assets: $116.4 billion

22

Apple, Inc. | Areas to Improve

• Human Rights issues in China

– Poor working conditions

– Fair wages, hours, &

record keeping

• Should audit all facilities

every year for safety

• Management systems lacking

• Environmental standards


AcerAcer

Acer Group | Environmental

• Produce resource

efficient products with

coordinated recycling

initiatives

• Buy carbon credits:

carbon offsetting

program

Origin: Taiwan Founded: 1976 Report: GRI Assets: $9.1 billion

• Cut GHG emissions by

7kg/year in Timeline

notebooks

• 40% power reduction

in Timelines

• Facilities improvements to reduce energy consumption

& rainwater collection/reuse/purification systems

Acer Group | Labor & Human Rights

• Acer Group Employee Opinion Survey and Gardener’s Meeting [HQ communication platform]

• 81 world-wide community projects in 2009

• Acer Foundation & Gateway Foundation for youths

• Instituted Volunteering Service Leave

• Manager development & training

• Free physicals & health workshops


Acer Group | Supply Chain

• Increased supplier participation in the International

Carbon Disclosure program by 25%

• Worked with suppliers to promote ethics, minimize

climate impact, & improve resource efficiency

• On-site auditing of suppliers to verify Social and

Environmental Responsibility implementation

• Drafted Acer Supplier Code of Conduct [Introduction,

Assessment, Validation, Reporting, Sustaining]


Acer Group | Business Strategy

• Launched PVC and BFR-free notebooks

• Provides CSR training and initiated a CSR executive

committee and a CSO [Corp. Sustainability Officer]

• Top down approach to leadership promoting CSR


• Strive to meet expectations

of stakeholders, improve daily

operations, & communicate

with stakeholders

Acer Group | Overall RatingsOrigin: Taiwan Founded: 1976 Report: GRI Assets: $9.1 billion

34

Acer Group | Areas to Improve

• Diversity and Inclusion ramp up

– Recruit a more diverse

workforce to provide a global

view and a diversity of ideas

• Develop a construct for open

communication

• Identify areas for employee

development & facilitate training


IndraIndra

Indra | Environmental

• “Smart Cities”

– Use front-line technologies to manage economic

resources and provide better services to citizens

• Awarded FSC Chain of Custody accreditation for

reducing the impact of documentation services

• More efficient transport routes to reduce fuel

consumption and CO2 emissions

Origin: Spain Founded: 1993 Report: GRI Assets: $3.9 billion

Indra | Labor & Human Rights

• “Professional Relationship Management” portal to

consult employees and foster participation

• Cegos Human Resources Best Practices Award

• Hiring aimed at individuals with disabilities

• “My Desktop” provides work flexibility

• Generate jobs for highly qualified professionals in

remote places


Indra | Supply Chain

• Roll out new ERP to improve

relations with suppliers

• Better logistics to improve

efficiency and reduce

environmental impact

• Promotes integration of

disabled employees within

the supply chain

• New supplier Code of Ethics


Indra | Business Strategy

• Leading provider of cloud computing services

• Concentrates production capacity through the

creation of reference centers

• Designs technology-rich solutions for other fields

to make them more efficient


Indra | Overall RatingsOrigin: Spain Founded: 1993 Report: GRI Assets: $3.9 billion

19

Indra | Areas to Improve

• Provide more specific metrics/disclosures

– Immediate need for numerical data

• Focus on core competency over diversification

• Improve manufacturing efficiency to further reduce

environmental impact


SummarySummary

Key Themes [Computer Industry]:

GRI Summary [Significant Areas]:

• Social Sustainability:

– Encouraging diversity & Addressing human rights issues

– Managing employee development

• Environmental Sustainability:

– Sourcing of materials

– Reduction of harmful materials

– Recycling efforts

• Economic Sustainability:

– Ensuring company’s ability to continue sustainable efforts

Industry Strengths & Weaknesses

• Environmental– Key Strength: Recycling initiatives

– Weakness: Reduce waste creation

• Labor Practices & Human Rights– Key Strength: Encouraging Diversity & Communication

– Weakness: Opportunities for shared value creation

• Supply Chain– Key Strength: Ensuring Responsible Sourcing

– Weakness: Enforcing policies within supply chain

• Business Strategy– Key Strength: Triple Bottom Line philosophy

– Weakness: Organization-wide involvement

Thank you for your attention!

Any Questions?

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