HP 2015 Sustainability Report

Introduction

Environment

Society

Integrity

About this report

Vendor audits HP requires the specialist vendors that support our reuse and recycling programs to use environmentally responsible processing techniques and to fully comply with all relevant regulations. We also require vendors to attain third-party certification (R2 and e-Stewards), where applicable. We contract the consultancy Environmental Resources Management (ERM) to audit our recycling vendors for conformance with the following HP policies and vendor standards: • Export of Electronic Waste to Developing Countries Policy ERM’s audits assess our vendors’ environmental, health, and safety practices and performance. In addition, they check downstream material flows based on shipment and receipt records to certify no “leakage” of materials to facilities outside our approved vendor network. Nonconforming vendors have 30 days to submit a corrective action plan and 90 days to address those items. In extreme cases, we stop doing business with vendors who lack sufficient transparency or the willingness to make required changes. 2015 audits and findings In 2015, through ERM, Hewlett-Packard Company audited 58 vendor facilities (25 reuse and 33 recycling) in 20 countries. This included repeat audits of 21 reuse vendors and 28 recycling vendors to evaluate their ongoing commitment to responsible practices and improved performance. Of the 58 vendors audited globally, ERM found 19 vendor facil- ities with major nonconformances – 7 from new audits and 12 from repeat audits. The two most common categories of major nonconformance were health and safety (24%) and environment (21%). Other issue areas included management systems, site security and controls, subvendor management and audits, data destruction, and approved dispo- sitions of processed materials. HP has confirmed closure of 64% 2 of the major nonconformances identified during the year, and will continue to work closely with vendors to help resolve the others in a timely manner. Sites with major nonconformances are required to undergo a full site re-audit in the following year. Read a statement from ERM . Responsible regulation of end-of- service electronics HP engages with governments and stakeholders around the world to improve the movement and management of end-of-service electronic products. In particular, we are leading discussions on how regulations could be updated to reflect the increasing role of private companies in collecting and processing electronics products. HP supports the objectives of the international Basel Convention on the Control of Trans- boundary Movements of Hazardous Wastes and Their Disposal. In line with the objec- tives of this legislation, we avoid transporting hazardous waste to developing countries that do not have the resources or capacity to manage recycling and treatment of such wastes. At the same time, we support regulation that allows for the legitimate move- ment of used IT equipment for repair and reuse. • HP Supplier Code of Conduct • Reuse and Recycling Standards

64 HP 2015 Sustainability Report

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