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Welcome

This is the eighth consecutive year HP has reported its global citizenship performance, reflecting our ongoing commitment to transparency. Our Global Citizenship Report 2008 describes the company's policies, programs and performance as we strive to balance our business goals with our impacts on society and the planet.

Data and goals dashboard

View the interactive dashboard to track our recent performance, see progress against our 2008 goals and view our targets moving forward.

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We developed a version of our report with customers in mind. It features HP solutions and best practices to help enterprises and other organizations address pressing global citizenship issues.

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Global Citizenship at HP

Our five pillars
Our five pillars

Our five pillars

We focus our global citizenship initiatives on five areas: ethics and compliance, human rights and labor practices, environmental sustainability, privacy, and social investment. Collectively, these areas span our entire business, influencing our priorities, operations, product development and brand differentiation.

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Making the business case

Making the business case

Customers are giving global citizenship greater weight in their IT purchasing decisions, making it increasingly important to our business. Global citizenship is also key to responding to new opportunities, increasing the efficiency our operations, strengthening our relationships with stakeholders, and attracting and retaining exceptional employees.

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Ethics & Compliance

Ethics and compliance
Upholding Standards of Business Conduct

Upholding Standards of Business Conduct

Regardless of tenure, title or responsibilities, everyone at HP is expected to be an ethical leader. Last year, we trained 97% of employees in our Standards of Business Conduct (SBC) and introduced a simpler, values-based version of the SBC in more than 20 languages.

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A central hub for compliance

A central hub for compliance

In 2008, we strengthened leadership of our Compliance Office to promote greater consistency across our global organization. The office works with other groups within HP to provide a holistic view of governance, risk and compliance to senior management.

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Human Rights & Labor Practices

Raising supply chain standards

Raising supply chain standards

HP is leading a new approach to strengthening social and environmental standards in the global IT supply chain. We collaborate with local NGOs to train suppliers in building capabilities and making systemic improvements to protect workers and the environment.

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Fostering employee success
Fostering employee success

Fostering employee success

Our HP culture rewards performance, provides opportunities for training and advancement, and encourages open, honest communications and respect for all. We remain focused on increasing the diversity of our workforce.

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Supply chain audit performance

Supply chain audit performance

We have made it easy to review in-depth results of our supplier audits—either globally or by region—with an interactive tool that presents data, explains major causes of nonconformance and highlights challenges and HP’s response.

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Engaging society
Engaging society

Engaging society

HP unconditionally supports human rights and promotes higher standards in our employment practices and throughout our supply chain. We collaborate with others to share our progress in these areas and raise awareness of human rights issues.

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Environmental Sustainability

Sustainable design

Sustainable design

In 2008, we introduced the HP Eco Highlights label, which helps customers understand the environmental attributes of more than 115 products. Through our Design for Environment program, we focus on energy efficiency, materials innovation and design for recyclability.

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Climate and energy
Climate and energy

Climate and energy

HP was the first IT company to report the greenhouse gas emissions of key suppliers, and we are on track to reduce the energy consumption and associated greenhouse gas emissions of our operations and products to 25% below 2005 levels by 2010.

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Showcasing impact

Showcasing impact

Visit our gallery of sustainable design example—new to this year’s report—highlighting HP solutions that increase productivity and lower costs while improving environmental sustainability.

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Reuse and recycling
Reuse and recycling

Reuse and recycling

In 2008, we recovered for reuse 75 million pounds (34,000 tonnes) of hardware units and recycled 265 million pounds (120,000 tonnes) of electronic products and supplies, increases of 16% and 6% compared with 2007.

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Privacy

Privacy
HP’s accountability model

HP’s accountability model

Our groundbreaking approach to protecting privacy goes beyond legal and industry norms. We review all decisions related to privacy not only for compliance but also for our values, customer expectations and a range of potential business risks, and hold ourselves accountable for our actions.

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Collaborating on solutions

Collaborating on solutions

HP works with regulators and nongovernmental organizations such as the Asia-Pacific Economic Cooperative and the European Commission to advance thinking and develop new frameworks for protecting the electronic flow of information across borders.

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Social Investment

Innovations in education
Innovations in education

Innovations in education

We believe technology can be a catalyst in addressing inequalities in education and fostering the next generation of skilled workers and entrepreneurs. In 2008, HP invested nearly $20 million in programs that apply technology in creative ways to transform the learning experience, particularly in science, technology and engineering, and math.

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Entrepreneurship education
Entrepreneurship education

Entrepreneurship education

HP supports organizations and programs that help cultivate socially minded entrepreneurs, particularly in developing regions. Our goal is to increase the number of entrepreneurs using technology to launch and grow small businesses, crucial to creating jobs and spurring economic growth in local communities.

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Introduction
Global citizenship at HP
Ethics & compliance
Human rights & labor practices
Environmental sustainability
Privacy
Social investment
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HP Global Citizenship Report  > Environmental sustainability  > Product reuse and recycling

Vendor audits

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HP uses a network of vendors to process, resell and recycle products returned to HP. We require vendors to adhere to our Global Reuse and Recycling Standards that cover areas such as storing, handling and processing returned equipment in ways that prevent the release of harmful substances, and we prohibit export of whole equipment or recovered materials without our approval.

We audit vendors to ensure they conform with our standards, policies and Supplier Code of Conduct. Effective auditing also helps us to meet the Electronic Product Environmental Assessment Tool EPEAT® requirements for responsible recycling. Environmental Resources Management (ERM), a respected third party, conducts our audits, which include checks on downstream material flows based on shipment records and receipts. We expanded the audit program in 2008 and now audit more vendors, more frequently, and strive to track all material to final disposition.

We have identified approximately 500 recycling vendor locations around the world, 25 of which are qualified first-tier vendors with the balance being part of their recycling networks. We conducted on-site audits of each first-tier recycling vendor site, and we require these vendors to audit their sub-vendors annually to ensure they conform with our standards.

In 2008 we completed the first round of reuse and recycling vendor audits under our expanded program guidelines. Our third-party auditors visited and assessed 13 reuse and 30 recycling vendor sites in 22 countries. At 20 of the recycling sites, where more than 95 percent of HP global volume is processed, there were no major gaps found. In total we found 30 major gaps and 534 minor gaps.1 Environmental, health and safety issues make up the most common gaps found. (See below.)

An additional eight recycling vendor audits were conducted to evaluate vendors for future use. None of these vendors have yet recycled material for HP, so we have not included them in our audit results.

Vendors must draw up corrective action plans to eliminate all nonconformance with our standards and act swiftly to improve their performance. Most vendors have submitted corrective action plans describing how they are addressing these gaps to ensure conformance, and HP vendor managers are monitoring their improvements. In a few cases, vendors have been terminated for lack of transparency or willingness to make the required changes.

In 2009, we plan to conduct another 55 on-site reuse and recycling audits. These audits will include the remaining first-tier reuse vendors who were not audited in 2008. In addition, we will re-audit recycling vendor sites to assess vendors’ progress toward their corrective action plans in all cases where major gaps were found in 2008.

Reuse vendor audits results, FY08
Audits conducted FY08 Major gaps found Minor gaps found Audits planned FY09
Asia Pacific and Japan 6 3 83 8
Europe, Middle East and Africa* 0 _ _ 2
Latin America 4 1 65 3
United States and Canada 3 3 46 7
Total 13 7 194 20
* Europe, Middle East and Africa reuse operations are largely internal to HP.
 

Reuse vendor major and minor audit gaps, FY08
[% of total, by category]*

Environmental, health and safety 37%
Security, logistics and asset tracking 24%
Data destruction 12%
Insurance and business continuity 13%
Management systems and practices 6%
Other 7%
* Does not equal 100% due to rounding.


 

Recycling vendor audits results, FY08
Audits conducted FY08 Major gaps found Minor gaps found Audits planned FY09
Asia Pacific and Japan 4 3 53 7
Europe, Middle East and Africa 15 5 146 14
Latin America 5 15 102 6
United States and Canada 6 0 39 8
Total 30 23 340 35

Recycling vendor major and minor audit gaps, FY08
[% of total, by category]

Environmental, health and safety 44%
Security, logistics and asset tracking 25%
Data destruction 5%
Insurance and business continuity 11%
Management systems and practices 15%



 

In summary, the vendors we employ to recycle more than 95 percent of our volume passed our audits without major gaps being found. These vendors, almost all of whom are based in developed countries, have the resources and scale to meet our high expectations.

The remaining 5 percent of our volume that is being recycled at vendors where major gaps were found are all in developing countries. While we believe we are using the best vendors available in those countries, their practices do not always measure up to our global standards. In these cases, our vendor managers are closely monitoring the corrective action plans submitted by each vendor as they improve their performance. This will be the focus of much of our effort in 2009.

Read a statement from ERM, HP’s third-party auditor for reuse and recycling vendor audits.


1Major gap: The finding represents a gap in a critical component for managing the overall issue; and/or the finding could pose a significant hazard to safety, health or environment.

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