HP 2015 Sustainability Report

Environment Ethics (rates of major nonconformances of sites audited) Business integrity Introduction Society

Presence of discriminatory practices

0%

Integrity

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Freedom of association

11%

3%

5%

No improper advantage

Health and safety Emergency preparedness remains a key issue in this area, and 2015 nonconformance rates remained relatively constant compared to 2014. In 2013, Hewlett-Packard Com- pany began a multiyear effort to improve supplier emergency preparedness through fo- cused assessments and capability building, and nonconformance rates have decreased during that period from 55% to 47%. Nonconformances for occupational injury and illness, which increased in 2015 (from 21% the prior year to 30%), related primarily to injury and illness permits, as well as first aid response reporting. In 2015, nonconformance rates decreased compared to 2014 for occupational safety (from 42% to 38%), industrial hygiene (from 26% to 22%), and machine safeguarding (from 21% to 14%). We believe these are due in part to efforts over the past few years to build supplier knowledge and capabilities in this area. We will continue engaging our suppliers to drive performance improvement—for example, through our TenSquared program to strengthen worker–management communication for evacuation plans. Environmental In 2015, the two most prevalent environmental nonconformances related to hazardous substances and environmental permits and reporting. Hazardous substance perfor- mance, however, did decrease from 41% in 2014 to 38% in 2015. During 2015, the Hewlett-Packard Company strengthened wastewater, solid waste, and air emissions provisions with new monitoring, reduction, and management requirements, while the nonconformance rates remained relatively level. The company added new provisions in 2015 for energy consumption, greenhouse gas emis- sions, and stormwater management, resulting in new areas of nonconformance. Identifying these problems through our audits will help us to more effectively mitigate them. Read more about our environmental program in Supply chain environmental impact . Ethics Ethics continued to represent the smallest proportion of audit nonconformance findings in 2015, at 7% of the overall total. In 2015, Hewlett-Packard Company updated several ethics provisions to increase the specificity of supplier requirements. The company saw continued improvements in ethics performance for most provisions, notably a decrease in fair business, advertising, and competition findings from 12% to 6%. Findings related to responsible sourcing of minerals increased from 5% to 9%. For more information about HP’s activities and progress in this area, see Conflict minerals . 24% Managemen system 7% Ethics 15% Environmental 31% Health and safety 23% Labor 24% Management system 7% E ics 15% Environmental 31% Health and safety 23% Labor Management system (rates of major nonconformances of sites audited) Company commitment Management accountability and responsibility Legal and customer requirements Risk assessment and risk management Performance objectives with implementation plan and measures Training Communication Worker feedback and participation Audits and assessments Corrective action process Documentation and records Supplier responsibility 3% 17% 8% 23% 13% 5% 5% 5% 20% 9% 6% 28% Disclosure of information Intellectual property Fair business, advertising, and competition Protection of identity Responsible sourcing f minerals Privacy Nonretaliation 3% 3% 6% 5% 9% 3% 3%

Health and safety rates of major nonconformances of sites audited Health and safety (rates of major n nconformances of sites audited) Occupational safety 38%

47%

Emergency preparedness

30%

Occupational injury and illness

22%

Industrial hygiene

16%

Physically demanding work

14%

Machine safeguarding

31%

Dormitory and canteen

2%

Health and safety communication

Environmental (rates of major nonconformances of sites audited) Environmental permits and reporting Environm ntal (rates of major nonconformances of sites audited) Environmental permits and reporting Pollution prevention and resource reduction 5 Environmental rates of major nonconformances of sites audited

ed)

22%

ted) 19%

22%

19% 3

Pollution prevention and resource reduction Hazard us substances

5%

38

3%

9

Hazardous substances W stewater and solid waste

38% 5

9%

0

Wastewater and solid waste Air emissions

5%

8

0%

63

Air emissions Storm water management

8%

14

63%

27

Storm water management Energy consumption and GHG emissions

14% 5

27% 2

Energy consumption and GHG emissions

5%

2%

11%

Ethics rates of major nonconformances of sites audited Ethics (rates of major n nconformanc s of sites audited) Business integrity Ethics (rates of major nonconformances of sites audited) Business integrity No improper advantage 5

11% 0

0%

11

3%

11%

3%

5%

No improper advantage Disclosure of inform tion

3

3%

Disclosure of information Intellect al prope ty

ted) ed) 38%

3%

Intellectual property Fair business, advertising, and competition

6

Fair business, advertising, and competition Protectio of identity

6%

5

38%

47

Protection of identity Responsible sourcing of minerals

5%

9

47%

30

Responsible sourcing of minerals Privacy

9%

3

30%

22

Privacy Nonretaliation

3%

22%

16

Nonretaliation

3%

16% 4

14%

31

86 HP 2015 Sustainability Report

www.hp.com/sustainability

31% 2