Agilent Corporate Citizenship Report 2014

DMA EN
DISCLOSURE ON MANAGEMENT APPROACH EN

Agilent is committed to conducting its business in an ethical, socially responsible, and environmentally sustainable manner by reporting performance and ensuring that production and operations meet or exceed relevant environmental legislation and regulations. We operate under a company-wide Environmental, Health and Safety Management System (EHSMS) that applies to our design, development, manufacturing, distribution, and sales and service operations worldwide. Agilent has demonstrated its effectiveness in managing environmental impact by maintaining an ISO 14001 registration of our EHSMS. EHSMS is a tool to drive continual improvement in environmental performance and pursuit of sustainability. We expect our suppliers to adhere to the same standard of environmental and social responsibility that we maintain, and our Supplier Environmental and Social Responsibility Code of Conduct Policy requires suppliers to adopt sound environmental, health, and safety management practices.

Agilent Supplier Code of Conduct Policy

Agilent is committed to designing, manufacturing, and distributing environmentally responsible products. Environmental aspects are considered in the design, manufacture, distribution, use, obsolescence, disposal, recovery, and reuse of Agilent products. Our aim is to minimize environmental impact of our products and operations by conforming to applicable regulations. Agilent has developed an Environmental Compliance Framework to sustain and facilitate compliant product design, development, production, refurbishment, and support. When a customer no longer requires an Agilent product, we have implemented several options for reuse, remanufacture, or take-back based on the product type and customer location to ensure the product is properly managed. Additional information on our environmental and social performance may be found at Agilent's Commitment to Environment and Social Responsibility

Agilent is working on improving the energy efficiency of selected products/product families compared to the predecessor models. Product families include instruments with high energy consumption. Agilent has worked on assessing energy efficiency of several types of products by using customer base metrics. By identifying energy-using features, we are able to increase energy efficiency of our products. During the past several years, Agilent has moved toward increasing product energy efficiency in several product lines. Most of the energy savings are due to two key factors: 1) The increased type and volume of tests that can be conducted, thus increasing tests per watt. 2) Enhancement of existing product features, thus bringing more measurement capabilities to the same product footprint. Agilent's concentration on handheld and portable instruments places a focus on energy efficiency: Next-generation products are using key new technology that greatly improves performance per watt of power supplied. Agilent puts significant power management design efforts into its portable products to achieve power, heat, and battery life targets. Industry and regulatory requirements on the power supplies for our portable products have also increased power supply efficiency.

Agilent aims to minimize the environmental impact of our products and operations:

  •  Products are designed to be highly reliable to maximize their useful life.
  •  Maintenance and repair services extend the useful life of Agilent products.
  • Customers benefit from product upgrade, trade-in and trade-up programs.
  • Reuse programs are offered for selected products, also addressing requirements from the European WEEE (waste from electrical and electronic equipment) Directive. 

Protecting People and Our Environment

Environmental testing and food safety are significant applications of our products. Offering measurement capabilities in these areas is one of the many positive environmental impacts of Agilent products. Our instruments, systems, and supplies are used throughout the food production chain, including incoming inspection, new product development, quality control and assurance, and packaging. This includes applications in:

  •  Pesticides and mycotoxins and other contaminants and toxins
  • Veterinary drugs
  •  Food processing and packaging
  • Food authenticity
  • Dietary supplements and natural compounds and additives
  • Soil quality and fertilizer analysis

Agilent also provides market-leading solutions for the determination of organic and inorganic contaminants in air, water and soil as well as products that enable the development of cleaner, more efficient and alternative fuels.

  • GC and GC/MS
  • LC and LC/MS
  • ICP-MS
  • Automation

Energy and Water Conservation Achievements

Agilent continues to implement energy and water conservation initiatives across the company. These initiatives include capital and operational improvements that range from constructing new energy-efficient facilities; decommissioning underutilized and less efficient buildings and spaces; re-commissioning existing building systems for current uses; and optimizing equipment operations.

Agilent has completed over 50 energy and water conservation projects including:

A project on the Santa Clara campus included a new modulating boiler controller, boiler plant re-piping and upgrades, which generated 4% in gas savings, an average of 453,017 therms, converted to 663,669 kWh, reducing emissions by 328 tons CO2-equivalent annually.

Also in Santa Clara, Agilent added a recirculating system that helped the company save 493,714 gallons of water annually. At its Colorado Springs campus, Agilent improved its AHU duct pressure control (average fan speed for AHUs reduced 30-45% by reprograming with duct static pressure control). This initiative reduced energy consumption by 1.65 million kWh annually, and emissions by 817 tons CO2-equivalent. Also, by implementation of the swamp cooler hooked up to the AHUs, it saved 788,400 gallons of water annually.

The Agilent Hachioji campus in Japan implemented various operational improvements, including optimizing the chilled water supply temperature and cooling tower fans operational temperature. The site changed the operation of individual HVACs depending on room temperature. These operational control initiatives reduced loading pressures of equipment and conserved 153,409kWh of electricity consumption annually, avoiding 76 tons CO2-equivalent.

Various operational improvements were implemented at Agilent's Manesar campus in India, including reducing pump run time and reducing lighting usage. Onsite lighting and operational controls saved 101,598 kWh of electricity annually, saving 50 tons CO2-equivalent. Also, by installing state-of-the-art aerators in the campus cafeteria, the kitchen now saves 1,017 cubic meter of water consumption annually.

In FY14, our net energy conservation (for sites included in this report) was 1.15% and water conservation was 1.08% against 2% conservation goals for both energy and water. (This data uses FY13 total energy spend as a baseline).

Waste Management

Agilent's FY15 waste management plan is to establish a third-party waste vendor facility review process to reduce environmental risks from hazardous waste disposal

Agilent recognizes ISO 26000 as a reference document that provides guidance on social responsibility. Agilent aligns with ISO 26000 standards as part of our social responsibility practices. As such, Agilent's environmental policies, programs, and procedures align with ISO core subjects: Environment 6.5 and Organizational Governance 6.2.

G4-EN3
ENERGY CONSUMPTION WITHIN ORGANIZATION

Worldwide Energy Consumption 2014

(The data provided for energy and water has been attested by TruCost)

Notes:

  1. US Energy Information Agency International Electricity Emissions Factor by Country, 1999–2002 were utilized for all non-U.S. facilities. Details are available at http://www.eia.gov/oiaf/1605/emission_factors.html
  2. For US facilities, new factor for US Grid electricity. Ninth edition with year 2010 data (Version 1.0) Details available at http://www.epa.gov/cleanenergy/energy-resources/egrid/index.html.
  3.  For stationary fuel consumption (i.e. natural gas) DEFRA 2014 standards are used. Details are available at http://www.ukconversionfactorscarbonsmart.co.uk/.

G4-EN4
ENERGY CONSUMPTION OUTSIDE THE ORGANIZATION

Agilent energy consumption outside the company is grouped in three distinct categories:-

  1. Goods and services (Includes procurement, upstream and downstream transportation and distribution. Most energy consumption in this category is captured in our freight and logistics vendor emissions reported under G4-EN-17.
  2. Business travel and employee commuting: Energy consumption for business travel is captured under G4-EN-17. Agilent plans to expand employee commuting data reporting to include other county locations where Agilent operates. For this report, under G4-EN-17 we are only reporting US employee commuting.
  3. Use of sold products and end life treatment of products: Description of our efforts to reduce energy consumption of our products is reported under G4-EN-7. Details about options available to our customers for end life treatment of our products are given under G4-EN-27.

G4-EN5
ENERGY INTENSITY

G4-EN6
REDUCTION OF ENERGY CONSUMPTION

Total reduction in energy consumption for FY 2014 was 11,692 GJ. We focused on electricity and natural gas when calculating reduction in total energy consumption. For energy reduction calculation, Agilent only considers annualized energy efficiency improvements implemented in reporting fiscal year and not prior years.

Agilent's net energy conservation (for sites included in this report) was 1.15 percent against 2% conservation goals for energy. (Calculation is based on using FY13 total energy spend as a baseline).

G4-EN7
REDUCTION IN ENERGY REQUIREMENTS OF PRODUCTS AND SERVICES

Agilent is working on improving the energy efficiency of selected products/product families including instruments with high energy consumption.
Agilent has worked on assessing energy efficiency of several types of products by using customer based feedback and metrics. By identifying energy efficiency features, we are able to increase energy efficacy of our products. Most of the energy savings achieved so far are based on to two key factors:

  • The increased type and volume of tests that can be conducted, thus increasing tests per watt.
  • Enhanced existing product features, thus bringing more measurement capabilities to the same product footprint.

Agilent's concentration on handheld and portable instruments places a focus on energy efficiency:
Next-generation products are using key new technology that greatly improves performance per watt of power supplied. Agilent puts significant power management design efforts into its portable products to achieve power, heat, and battery life targets. Industry and regulatory requirements on the power supplies for our portable products have also increased power supply efficiency.

G4-EN8
TOTAL WATER WITHDRAWAL BY SOURCE

Total volume of water from water utilities (1,000 m3) = 848.04
Wastewater purchased from other organizations includes 50,182 m3 of "NEWater," purchased at the Singapore site which is reclaimed water produced by the local water board. It consists of wastewater that has gone through water-treatment processes including purification and UV technology. This amount is included in the "water withdrawn" totals below.

Water withdrawn from water utilities per region (1,000 m3):

  • Asia Pacific - 425.102
  • Europe - 36.544
  • USA - 386.392

G4-EN9
WATER SOURCES SIGNIFICANTLY AFFECTED BY WITHDRAWAL OF WATER

Most of our manufacturing site water comes directly from the city water supply. However, the following sites draw some water from the local aquifer: Manesar, India; Torino, Italy; Hachioji, Japan; Santa Rosa, USA. Of those sites, Manesar, India is the only site considered to have a water source potentially affected by withdrawal of water. Water withdrawal at Manesar, India was 22.62 (100 m3) during FY14.

G4-EN10
PERCENTAGE AND TOTAL VOLUME OF WATER RECYCLED AND REUSED

The only site that currently uses recycled water is Santa Rosa, USA, which has an onsite wastewater treatment facility. During the reporting period, the Santa Rosa site recycled 56.79 (1,000 m3) water.
Agilent spin off its Electronics Measurement Group in 2014 and now Santa Rosa site belongs to Keysight Technologies.

G4-EN11
OPERATIONAL SITES OWNED, LEASED, MANAGED IN, OR ADJACENT TO, PROTECTED AREAS AND AREAS OF HIGH BIODIVERSITY VALUE OUTSIDE PROTECTED AREAS

Not applicable. Agilent manufacturing sites are not located in protected areas or areas of high biodiversity value.

G4-EN12
DESCRIPTION OF SIGNIFICANT IMPACTS OF ACTIVITIES, PRODUCTS, AND SERVICES ON BIODIVERSITY IN PROTECTED AREAS AND AREAS OF HIGH BIODIVERSITY VALUE OUTSIDE PROTECTED AREAS

Not applicable. Agilent manufacturing sites are not located in protected areas or areas of high biodiversity value.

G4-EN13
HABITATS PROTECTED OR RESTORED

Not applicable. Agilent manufacturing sites are not located in habitat-protected areas or restored areas.

G4-EN14
TOTAL NUMBER OF IUCN RED LIST SPECIES AND NATIONAL CONSERVATION LIST SPECIES WITH HABITATS IN AREAS AFFECTED BY OPERATIONS, BY LEVEL OF EXTINCTION RISK CO2

Not applicable. Agilent manufacturing sites are not located in habitat-protected areas or restored areas.

G4-EN15
TOTAL DIRECT GREENHOUSE GAS EMISSIONS BY WEIGHT

G4-EN16
ENERGY INDIRECT GREENHOUSE GAS (GHG) EMISSIONS (SCOPE 2)

G4-EN17
OTHER RELEVANT INDIRECT GREENHOUSE GAS EMISSIONS BY WEIGHT (SCOPE 3)

G4-EN18
GREENHOUSE GAS EMISSIONS INTENSITY

G4-EN19 REDUCTION OF GREENHOUSE GAS EMISSIONS

G4-EN20
EMISSIONS OF OZONE-DEPLETING SUBSTANCES

Agilent does not use, produce, import, or export Ozone Depleting Substances (ODS) prohibited under the Montreal Protocol on Substances that Deplete the Ozone Layer.

Agilent Technologies eliminated chlorofluorocarbons (CFCs), carbon tetrachloride, and 1,1,1-trichloroethane use in worldwide manufacturing processes in 1993. Agilent has also eliminated Class I ODSs in its air conditioning systems, process chillers and environmental chambers. ODSs are banned from Agilent products. There are no Agilent products that need the ODS labeling required by 42 U.S.C. 7671j (b), (c), and (d) and 40 CFR Part 82, Subpart E. Procurement practices are in place to prevent the inadvertent reintroduction of ODSs into processes where they have been eliminated.

Agilent Technologies also has a program to conserve, recycle and prevent emissions of Class I ODSs and Class II ODSs used in Agilent owned equipment in its facilities worldwide.

G4-EN21
NOX, SOX, AND OTHER SIGNIFICANT AIR EMISSIONS BY TYPE AND WEIGHT

Currently we are unable to report on these numbers.

G4-EN22
TOTAL WATER DISCHARGE BY QUALITY AND DESTINATION

In FY14, Agilent did have water discharge from our facilities - planned and unplanned. No chemicals laden water is discharged from Agilent facilities; such water is handled as hazardous waste.

G4-EN23
TOTAL WEIGHT OF WASTE BY TYPE AND DISPOSAL METHOD

The data represents waste and disposal for fiscal year 2014 (Nov 13 - Oct 14) and includes both solid and hazardous waste. Agilent's target for FY2014 was based only on solid waste diversion rates and our solid waste diversion for FY 2014 was 81.9%. This exceeded the composite company-wide target by 3%.Hazardous Waste -- There was no target for hazardous waste. However in FY14, 52% of hazardous waste was treated, 4% was incinerated, 42% was recycled, and only 1% was landfilled.

Notes:

  • Total waste produced is calculated by adding total chemical waste and total solid waste tonnage.
  • This year total waste calculated was based on financial year (November 2013 – October 2014).
  • Chemical waste refers to chemical materials designated for final disposition that exhibit characteristics that are hazardous or dangerous per local regulatory requirements. This includes materials that are shipped offsite for treatment, recycling, incineration, and landfill; and excludes electronic waste.
  • Solid waste refers to waste that is not included in chemical waste or excess electronic equipment (e.g., garbage/trash, paper, cardboard, glass, and furniture and construction debris).
  • Electronic equipment includes personal computers, computer monitors, miscellaneous electronic test and manufacturing equipment, obsolete electronic equipment, telephones, and spare or unused products from manufacturing. Waste from electronic equipment in FY14 was 197 metric tons, which was recycled.
  • Electronic equipment—recycled: electronic equipment that is sent directly to an electronic recycler with the intent of recycling the equipment's components, sub-components, or material (e.g., precious metals). Agilent requires that recyclers dispose of all electronic equipment, components, and subcomponents according to state and local legal requirements. 

Notes:
* U.S. Large quantity waste generator (LQG)

G4-EN24
TOTAL NUMBER AND VOLUME OF SIGNIFICANT SPILLS

In FY14, there were no significant spills.

G4-EN25
WEIGHT OF TRANSPORTED, IMPORTED, EXPORTED, OR TREATED WASTE DEEMED HAZARDOUS UNDER THE TERMS OF THE BASEL CONVENTION ANNEX I, II, III, AND VIII, AND PERCENTAGE OF TRANSPORTED WASTE SHIPPED INTERNATIONALLY.

Not applicable. Currently we do not have any trans-boundary waste shipment, under the Basel Convention.

G4-EN26
IDENTITY, SIZE, PROTECTED STATUS, AND BIODIVERSITY VALUE OF WATER BODIES AND RELATED HABITATS SIGNIFICANTLY AFFECTED BY THE REPORTING ORGANIZATION'S DISCHARGES OF WATER AND RUNOFF

No value of water bodies and related habitats are impacted by any discharges of water or runoff by Agilent's operations.

G4-EN27
INITIATIVES TO MITIGATE ENVIRONMENTAL IMPACTS OF PRODUCTS AND SERVICES, AND EXTENT OF IMPACT MITIGATION

Agilent is working to improve the energy efficiency of selected products/product families including instruments with high energy consumption.
Agilent has assessed the energy efficiency of several types of products by using customer feedback and metrics. By identifying energy efficiency features, we are able to increase the energy efficacy of our products. Most of the energy savings achieved so far are based on two key factors:

  • The increased type and volume of tests that can be conducted, resulting in increased tests per watt.
  • Enhancing existing product features to bring more measurement capabilities to the same product footprint.
  • Agilent's concentration on handheld and portable instruments places a focus on energy efficiency:
  •  Next-generation products are using new technology that greatly improves performance per watt of power supply.
  •  Portable products have significant design efforts in power management to achieve power, heat, and battery life targets.
  •  Industry and regulatory requirements related to the power supplies for Agilent's portable products have also increased power supply efficiency.
  • Initiatives to mitigate the most significant environmental impacts of products/service groups:
  •  Agilent's Supplier Code of Conduct Policy ensures compliance with Environmental, Health, Safety, and Social Responsibility (EHSSR) guidelines throughout our supply chain. Our suppliers are also accountable for ensuring that their subcontractors comply with Agilent's EHSSR guidelines, with the responsibility for taking corrective action as necessary.
  • Agilent implemented due diligence practices following the EICC standard to meet requirements of the Dodd-Frank Wall Street Reform and Consumer Protection Act commonly known as conflict minerals. Agilent met the annual reporting requirements to the Securities Exchange Commission in 2014. Agilent's Supplier Code of Conduct Policy was updated to include the expectation that "Suppliers shall take reasonable measures to ensure products, parts, components and materials supplied to Agilent are "DRC (Democratic Republic of Congo) conflict free" as that term is used under Section 1502 of the Dodd-Frank Act.
  • Agilent continued its robust communication of its General Specification for the Environment (GSE) with its strategic suppliers. This effort enables Agilent and its suppliers to comply with major environmental regulations on material use, product packaging and labeling. Agilent's two strategies to drive restricted-substance elimination are:
    o Communication of our GSE restrictions to our product designers and suppliers
    o Verification that selected suppliers meet Agilent's GSE requirements

G4-EN28
PERCENTAGE OF PRODUCTS SOLD AND THEIR PACKAGING MATERIALS THAT ARE RECLAIMED BY CATEGORY

  • Agilent's Remarketing Solutions Division is dedicated to recovering older instruments for the purpose of resale. For a certain segment of our customers (start-ups, academics, etc.), these pre-owned instruments offer a competitively priced alternative to buying a new instrument. As a company, we are using fewer environmental resources to manufacture new products to meet this customer demand. For more detail, see Premium Refurbished Instruments.
  • Agilent offers a variety of trade-in programs specifically designed to help customers safely dispose of or recycle used instrumentation. The program is currently deployed in several countries, with expansion of these programs being considered wherever possible.

G4-EN29
MONETARY VALUE OF SIGNIFICANT FINES AND TOTAL NUMBER OF NON-MONETARY SANCTIONS FOR NON-COMPLIANCE WITH ENVIRONMENTAL LAWS AND REGULATIONS

In FY14, Agilent reported a total of 28 alleged regulation compliance violations. However, two incident resulted in a monetary fine at 2 EMG sites: Santa Rosa and Loveland locations totaling $120K. Agilent spun off its Electronics Measurement Group in 2014 and these two sites are now Keysight Technologies locations.

G4-EN30
SIGNIFICANT ENVIRONMENTAL IMPACTS OF TRANSPORTING PRODUCTS AND OTHER GOODS AND MATERIALS FOR THE ORGANIZATION'S OPERATIONS, AND TRANSPORTING MEMBERS OF THE WORKFORCE

Agilent is working with leading global freight and logistics companies to minimize the environmental impact of transporting goods and services. In FY14, we reported our greenhouse gases emissions from freight and logistics providers.

World Wide logistics Initiatives - Green Logistics

In the United States, Agilent changed its heavyweight shipment method (greater than 65 kgs) from air transportation to Less-Than-Truckload (LTL) trucking services. LTL shipments allow Agilent control over packaging. As a result, we replaced paper bag packaging with balloon bags for a more sustainable approach. To increase our recycling efforts, all cardboard packaging is now recycled.

In Europe, several European air freight shipping lanes were switched to road freight shipping to reduce environmental impact. This change is an ongoing initiative. A European focus on reducing packaging for low end weight has resulted in a decrease of carton usage by 70% for 0.5 Kg shipments. Also, there was a considerable reduction in dry ice usage (CO²) for both inbound and outbound shipments.

In Asia Pacific, Agilent switched from air to LTL trucking services at its Penang operations. In Japan, "reuse and recycle" efforts focused on cushioning materials, pallets, blue ice and tri-wall carton boxes. At our Singapore operations, air transportation was switched to ocean mode for transport as part of our "Green Logistics" initiative. Various initiatives to reduce the carbon footprint of our logistics were undertaken in China. These efforts included switching from air transportation to truck hauling, replacing paper bags with balloon bags, reducing the use of dry Ice, and reusing and recycling gel packs.

To reduce negative environmental impacts due to employee business travel and commuting for work, Agilent utilizes telepresence conference facilities in 30 locations worldwide. In addition, Agilent is focusing on enhancing our data reporting on employee fleet greenhouse gas emissions in the coming year. Some Agilent sites provide pollution control checks for employee vehicles at regular intervals. Agilent also offers flexible work arrangements where employees can work from home and utilize online conference and meeting services to limit travel requirements.

G4-EN31
TOTAL ENVIRONMENTAL PROTECTION EXPENDITURES AND INVESTMENTS BY TYPE

Currently we are unable to report this number. Agilent will investigate a process to obtain this information for 2015 reporting.

G4-EN32
PERCENTAGE OF NEW SUPPLIERS THAT WERE SCREENED USING ENVIRONMENTAL CRITERIA

Agilent has multiple communication platforms for informing suppliers of the company's supply chain environmental requirements. We also conduct compliance surveys with our preferred, strategic and core suppliers to verify adherence to our expectations. In addition to this process, Agilent works with an external agency to conduct on-site supplier site surveys in high-risk supplier locations. All required corrective actions identified during an onsite audit are monitored and reviewed by the external agency before providing closure on the corrective action.

G4-EN33
SIGNIFICANT ACTUAL AND POTENTIAL NEGATIVE ENVIRONMENTAL IMPACTS IN THE SUPPLY CHAIN AND ACTIONS TAKEN

Agilent conducted 30 on-site surveys with help of external agency in FY14. In addition to the on-site survey program, Agilent launched new supplier compliance program in April 2014 to ensure greater environmental compliance within our supply chain. for our preferred, key, strategic and core suppliers.

G4-EN34
NUMBER OF GRIEVANCES ABOUT ENVIRONMENTAL IMPACTS FILED, ADDRESSED, AND RESOLVED THROUGH FORMAL GRIEVANCE MECHANISMS

For FY14, there were no grievances raised.