April 7, HP and Sustainability: Global Citizenship to Grassroots Greening. HP and Global Citizenship. Company Information.

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1 April 7, 2004 HP and Global Citizenship HP and Sustainability: Global Citizenship to Grassroots Greening Company Information HP at a glance _ Founded _ Headquarters _ Revenues _ Employees _ Countries 1939 Palo Alto, CA, USA US$72B (2003) over 140, Principle Businesses Hazen Witemeyer Employee Communications Manager, OST Co-Founder, HP Sustainability Network _ IT infrastructure and technical services _ Personal computing and access devices _ Imaging and printing 2004 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice 1

2 Perspective 51 of the 100 biggest economies in the world are now corporations, only 49 are nation states The 100 largest Multi-National Companies (MNCs) now control about 20% of global foreign assets 300 MNCs now account for 25% of the world s total assets As much as 40% of world trade now occurs within MNCs The annual sales revenues of each of the 6 largest multinational corporations are now exceeded by the GDPs of only 21 nation states in the world Quote slide "We believe that the winning companies of this century will be those that not only increase shareholder value but increase social and environmental value. By developing products and solutions that are environmentally sound, by bringing the benefits of information technology to emerging markets, by holding our company to the highest standards of business conduct, and by giving back to the communities in which we operate, HP is contributing to a more sustainable future while also making HP a stronger company and the preferred IT solutions provider. _ Carly Fiorina NYSE Magazine Global Citizenship within the business model Global Citizenship is one of HP s corporate objectives _ Good citizenship is good business. We live up to our responsibility to society by being an economic, intellectual and social asset to each country and community in which we do business. Social and Environmental goals are part of the strategic planning process Linked to business objectives and performance plans 2

3 Factors effecting Sustainability Organization Key Challenges for HP Customers require Social and Environmental performance data in RFQs Competitors use environment as a differentiator Investors measure Social/Environmental performance NGOs and other stakeholders measure and publicize Social and Environmental performance Imminent Regulations redefine competitive landscape and market access Employee expectations of Sustainability are high within HP Corporate Marketing Environment Social Ethics Philanthropy Global Operations Suppliers Materials Packaging CEO Business Group Business Group Business Groups Product Stewardship Office of Strategy & Technology Business Development R&D Corporate Finance Facilities EHS Meeting Stakeholder expectations: Customers, employees, NGOs, etc. Institutionalizing sustainable practices across every aspect of the business Translating sustainable practices into long term business objectives 3

4 April 7, 2004 Our organization s biggest opportunity is to tap into the energy and passion of committed a employee base to drive creativity, awareness and implementation of sustainability across the business. -David Lear Manager, HP Environmental Strategies and Sustainability HP Sustainability Network Mission Embrace the concepts of sustainability to help HP become more profitable and competitive Model and promote HP s Global Citizenship objectives Help employees conduct their personal and professional lives more sustainably 4

5 At a Glance Grassroots network; all volunteer 550 employees worldwide 1500 total HP GreenScene subscribers Every business, region, job category, job level Active chapters: _ Bay Area, CA _ Boise, ID _ Corvallis, OR _ Littleton, MA _ Roseville, CA _ San Diego, CA _ Vancouver, WA Learning Community HP Green Scene Newsletter Earth Day Events Global Speaker Series Networking Events Corporate library collection Internal/External PR Network web site Web discussion forum Mailing lists Network directory Cross-promotion with partners Earth Day Educational fairs Hybrid/Electric vehicle rallies Speakers Community engagement 5

6 April 7, 2004 HP Green Scene Our Story Evolution Key Steps HP Labs conference (1998) Mailing lists; HP Green Scene Newsletter (1999) Agilent split (1999) Earth Day (2001) HP Employee Network Group (2001) Multi-sponsor partnership model (2002) Compaq merger (2002) Business Ethics Best Corporate Citizens (2003) 6

7 Sponsorship Model Challenges Benefits Imaging and Printing Group Corporate Social and Environmental Responsibility Office of Strategy and Technology Global Operations Real Estate and Workplace Services Sustainability Network Education No staff No budget Visibility Credibility Partnering HP _ Ambassadors for citizenship _ Mechanism to voice diverse perspectives => Good ideas! _ Employee engagement _ Employee development Members _ Networking _ Exercise values at work => Satisfaction _ Personal and professional education/development 7

8 Parallel Tracks Leadership Lessons What You Need to Start a Network Sustainability Network HP Labs conference (1998) HP Green Scene Newsletter (1999) HP Employee Network Group (2001) Multi-sponsor partnership model (2002) Business Ethics Best Corporate Citizens (2003) My Career WBIRL Program Communicator (1998) HP Labs Intranet Mgr (1999) HP Labs Internal Communications Mgr (2001) OS&T Internal Communications Manager (2003) Do the right thing Network! Be persistent Be consistent Appreciate diversity Mentor passion Core group of at least 4 people Charter Patience Executive sponsor Communication infrastructure Galvanizing activities Recognition 8

9 HP Social & Environmental impact map Before hp supply chain more than 10,000 suppliers thousands of workers millions of tons of materials tens of millions of GJ energy/co2 At hp factories and facilities solid waste: tons recycled, landfilled, incinerated tons haz. waste: M GJ energy tons CO2 Beyond hp products Millions of customers tons product GJ lifetime energy in-use employee commuting M GJ energy tons CO2 employee air travel M GJ energy tons CO2 product shipping M GJ tons CO2 product recycling hardware Laserjet cartridges Inkjet cartridges packaging Material GJ energy tons CO2 customer product use M tons materials GJ energy to produce M tons CO2 in production end-of-life product recycled paper/packaging recycled paper/packaging disposed 9