Ibm Corporate Citizenship in Israel

IBM CORPORATE CITIZENSHIP IN ISRAEL

Our world is connected like never before – economically, socially and technically – and the COUNTRY SNAPSHOT technology to make it work smarter is available and affordable. Smart traffic systems cut gridlock and reduce emissions. Smart healthcare systems can lower costs and improve care. • IBM has done business in Israel Smart energy grids, water systems and supply chains will all contribute to a better world. since 1949.

• 193 employees participate in IBM is engaged in this effort because it’s what we do and who we are. We are nearly On Demand Community, IBM’s 400,000 individuals in more than 170 countries, who create and integrate hardware, software volunteer initiative. and services to enable our clients’ success and make the world work better. Today, we are focused on developing a smarter planet through the infusion of intelligence into systems and • 40 IBM Community Grants of processes that enable commerce, finance, transportation, and much more. cash and equipment valued at

58,500$. As a corporate citizen of a smarter planet, IBM is committed to responsible, productive • Starting in 1972, IBM has relationships with the communities where we live and work – locally, nationally, and invested in three Labs in Israel: worldwide – as well as our employees, partners and clients. the Haifa research lab, a software development lab in Jerusalem For example, On Demand Community is IBM’s initiative to support employees’ volunteer work in their communities. It equips volunteers with education and resources, and and Rehovot, and a server supports their efforts with IBM Community Grants for the schools and community technology development lab in organisations where they volunteer. In Israel, nearly 200 employees participate, and IBM Tel Aviv. made grants of equipment and cash valued at 58,500$ since the program begun in 2005. • In 2008 IBM Israel researchers contributed 88 patents to IBM’s patent list.

(Data reflect YE2008)

Jewish, Druz and Arab girls participate in Israel’s first EX.I.T.E. camp, held by IBM in 2008. The camps encourage participants to pursue studies in engineering, information

1 technology and science. IBM CORPORATE CITIZENSHIP IN ISRAEL

EMPLOYEES Kids 4 Kids THINK POSITIVE+ Equipping IBMers for success Kids 4 Kids is an IBM Israel community program that for seven years has brought IBM is investing in efforts to make it easier together talented Jewish and Moslem Volunteers from IBM and other to adjust to clients’ changing needs in children to study software development. high-tech companies help high the global economy — and systematically At the end of each year, participants school students from middle- to helping our employees learn new fields donate the Hebrew and Arabic interactive low-income families to prepare for and master new skills so they remain educational software they developed the matriculation exam in math competitive. Technology enables IBMers to the Schneider Children’s Medical and English. In 2008 approximately to work together and share ideas across Centre, and continue their studies while 70 volunteers tutored about 150 geographies, time zones and cultures — volunteering in the hospital wards. The programme benefits the hospitalized students through the school year. In whether they’re down the hall or halfway children in two ways: it improves their 2009, 92 volunteers will tutor more around the world. reaction to medical treatment and it than 200 students. The Corporate Service Corps brought moderates the trauma they experience by teams of emerging IBM leaders to the sudden transition from their previous The programme is held in the offices Romania, Vietnam, the Philippines, routine to their new way of life in the of high-tech companies rather than Ghana and Tanzania in 2008 to work on hospital. at schools. This saves volunteers projects using information technology a great deal of travel time and to foster economic development. They E.X.I.TE Camps significantly increases the amount were exposed to new challenges and In 2008, IBM Israel held its first EX.I.T.E. of ongoing volunteerism, while perspectives, enhancing their ability to (Exploring Interest in Technology and students get an insider’s view of operate as global citizens. In the process, Engineering) camp, which encourages the world of high-tech and develop IBM gained a new set of future leaders girls to pursue studies in engineering, their aspirations to work in a similar with a broader range of skills — and local information technology and science. environment. projects and communities benefitted During the one-week day camp, from IBM’s expertise and resources. An participants learn about voice recognition, graphic arts tools, building websites The programme receives excellent IBM Israel employee joined a project in Tanzania, helping a tourism association and more. The camp included girls from feedback from teachers, who cite overhaul its website serving 250 tour Jewish, Druz and Arab cultures, which contributions to the students’ operators. contributed to its success by enhancing achievement, confidence, motivation the learning and knowledge-sharing and attendance. process. COMMUNITIES Sharing expertise and technology Supporting humanitarian research World Community Grid is an IBM initiative Individuals, small businesses and that uses grid computing to combine the local communities can be the chief otherwise unused power of 1 million PCs beneficiaries of the global economy — shared by people around the world. IBM but only if they understand their options has made this massive computing power and are empowered to seize them. At available to researchers from public and IBM, we are looking at ways to use not-for-profit organizations, supporting technology to facilitate cooperation, projects with humanitarian goals. In Israel, collaboration, competition, and to help more than 3,200 registered devices have break down the barriers to progress. donated 735 years of computer run-time to research. 2 IBM CORPORATE CITIZENSHIP IN ISRAEL

Equipping entrepreneurs • Reducing the greenhouse gas The Small Business Toolkit, a emissions associated with our IBM ENERGY collaborative effort between IBM and operations by conserving energy, CONSERVATION The World Bank’s International Finance using renewable energy, reducing Corporation, is designed to support small perfluorocompound emissions, business growth in emerging markets. supporting alternative employee From 1990-2007, IBM’s annual Since 2006, its distribution has grown to commuting options, and increasing the energy conservation efforts avoided include more than 28 markets, speaking efficiency of IBM’s logistics. nearly 3.1 million metric tons of 15 different languages, and receives • Developing energy efficient products carbon dioxide (CO2) emissions more than 3.1 million visits per year. A and providing diverse solutions for — an amount equal to 45 percent version for women-and minority-owned energy efficient data centres. of the company’s 1990 global CO2 businesses in the United States is also emissions — and saved over $310 • Collaborating with clients and others on available in English and Spanish. innovations that help protect the world’s million. climate.

ENVIRONMENT 3.1 M Avoided Minimising our impact on the planet SUPPLY CHAIN MT CO2 Promoting corporate citizenship Protecting the environment is a strategic imperative for IBM and integral to our IBM’s ability to innovate depends on values. Our commitment to environmental a strong global supply chain, which is leadership focuses on minimising the only as effective as our relationships potential impact of our own operations with suppliers. We value long-term 45% and products, as well as applying our relationships that facilitate sustained technology, products and services to help growth and opportunities for IBM and our clients and partners do the same. suppliers alike. Our Supply Chain Social Responsibility programme is based on $310 M Our comprehensive Environmental Saved Supplier Conduct Principles that outline Management System governs IBM’s expectations in regards to working our operations worldwide through hours, wages and benefits, employee programmes in energy conservation (Reduction in energy consumption from down- health and safety, non-discrimination, and climate protection, pollution sizings or the sale of operations is not included communications, the environment and in these figures.) prevention, product stewardship, supplier ethics. environmental evaluations, and audits and assessments, among others. Industry collaboration In 2004, IBM was a founding member Climate protection of the Electronics Industry Citizenship Climate change is one of the most critical Coalition (EICC) and helped develop the global environmental challenges facing EICC Code of Conduct, which assists the planet. IBM’s comprehensive climate suppliers by providing common standards programmes include: for their work in the electronics industry.

3 IBM CORPORATE CITIZENSHIP IN ISRAEL

Supply chain diversity Corporate governance RECOGNITION Through our sourcing practices we Members of the IBM Board of Directors support a variety of diverse suppliers, collectively represent a variety of skills, including companies owned by minorities, backgrounds and perspectives. We • The Council for a Beautiful women and people with disabilities. We consider this diversity to be essential to Israel (CBI) awarded IBM’s have also established relationships with IBM’s growth and success. Haifa Research lab five “beauty a number of organisations around the stars”. The council promotes world that focus on supplier diversity Governance of corporate citizenship environmental and aesthetic programmes for businesses owned by IBM Senior Management is ultimately standards, and creates societal women and minorities. responsible for our economic, awareness of environmental issues. environmental and social performance, as well as compliance with laws and with our Awarded since 2002, CBI’s “beauty GOVERNANCE various codes of conduct. The IBM Board stars” have become a highly Managing integrity & citizenship of Directors and its committees oversee coveted symbol of excellence, these efforts and review performance and renowned throughout the country. We believe that maintaining the highest compliance. • Interbrand’s 2008 Best Global standards of global corporate governance Brands is essential to IBM’s growth worldwide, Privacy and security • IBM’s chief procurement officer especially in emerging markets. Advances in technology that disseminates information widely, as named Supply Chain Manager of Public policy well as the distribution of business the Year IBM maintains an approach to public processes among multiple entities and • Working Mother magazine’s “Best policy that is both globally consistent legal jurisdictions, are driving heightened Companies” list, including Top 10 and locally relevant. We work with interest in privacy. IBM is engaging with among companies for part-timers, governments, regulators and standard the private, public and civil sectors to for paternity leave, and Ageless in setters at global and local levels on key develop new thinking and practices America. economic, governmental and societal that help meet society’s expectations of issues, and we are dedicated to policy privacy and data protection — and to set • The Disability Rights Advocate approaches that foster innovation, exemplary policies and practices within presented IBM with an Eagle enable growth, and address key societal IBM. award for decades of accessible challenges. technology and products, and for its leadership role in developing Web accessibility policies.

CORPORATE CITIZENSHIP & CORPORATE AFFAIRS CONTACT