FISCAL 2017 SUSTAINABILITY REPORT
YEARS STRONG 100 & GETTING STRONGER
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 1
YEARS STRONG & GETTING STRONGER
ABOUT THIS REPORT CONTENTS
Oshkosh Corporation is a publicly traded company on the 01 About This Report New York Stock Exchange (NYSE: OSK) and incorporated in the State of Wisconsin. Oshkosh Corporation’s financial reporting 02 Leadership Letter follows U.S. Securities and Exchange Commission (SEC) regulations, and our Annual Report on Form 10-K is available on 03 About Oshkosh our corporate website. All entities included in our consolidated Corporation SEC financial statements are covered in this report. 04 Our Oshkosh Family This Sustainability Report covers programs and performance for the Oshkosh Corporation fiscal year 2017 (FY2017), which 06 Oshkosh Corporation ended on September 30, 2017. In some cases, data is reported Celebrates 100 Years of on a calendar year basis, to be consistent with U.S. government Making a Difference reporting requirements. In preparing this report, Oshkosh followed the Global 10 Engaging Our People & Reporting Initiative’s (GRI) Standards and general reporting Our Communities guidance on report content and quality. Please see our detailed GRI Index on page 40 in this report to locate specific GRI indicator 20 Developing Innovative information. Our sustainability website, www.sustainability. Products oshkoshcorp.com, has expanded information on the topics addressed in this report. 26 Operating Sustainably All data presented in this report has been calculated 35 Ethics, Integrity & according to industry standard methodology and is explained in chart footnotes where appropriate. There have not been any Governance restatements of the information provided in the Fiscal 2016 38 Professional Associations & Report. Our operations data for FY2017 includes our Power Memberships Towers facility in Leicester, UK and our Leon, Mexico facility, which were not included in prior years. There were no significant 39 Speaking Events & changes during the reporting period regarding the organization’s Trade Shows size, structure, ownership or supply chain. For the second year in a row, we sought third-party assurance for select environmental 40 GRI Index data; the assurance letter is on page 43. 43 Assurance Statement
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 1 DEAR OSHKOSH CORPORATION STAKEHOLDERS, Welcome to our fifth annual Sustainability Report. For more than 100 years, Oshkosh Corporation has been making a difference in people’s lives—those of our team members, customers, communities and shareholders. We’re not only 100 years strong, but we’re getting stronger each day. This report showcases how far we’ve come over the last 100 years and where we’re going in the future.
In the Oshkosh Corporation family, • Our company started another employee In this report you’ll find examples of sustainability continues to be a core resource group, a Military Network how we’ve made a difference in our focus area in our manufacturing committed to serving our military communities, our operations and our operations, design processes, community families. Additionally, we were named processes. Lastly, we’ll showcase how engagement activities and strategic goals. a Military Friendly Employer by Victory we’re growing in our sustainability It’s part of our Oshkosh Corporation Media. initiatives and how we’re positioned for culture that builds on the efforts of our future success. 15,000 team members around the world. • Team members helped us earn the recognition of one of Glassdoor’s Best Thank you for your interest in Oshkosh Here are some highlights of the fiscal Places to Work. Corporation. year as we’ve celebrated our 100-year • We celebrated 100 years strong by anniversary: ringing the closing bell at the New York • For the second consecutive year, Stock Exchange and conducting a series Oshkosh Corporation was named one of celebration events that engaged our Wilson R. Jones of the World’s Most Ethical Companies team members, communities, customers President and Chief Executive Officer by Ethisphere Institute. Oshkosh and suppliers including a retiree event Corporation is one of only with more than 300 retirees, a concert 124 companies around the world to for team members and their families, a earn this designation. parade for the community that had more than 65 Oshkosh products on display • Our People First culture helped us earn and an open house for the community the title of one of America’s Best Large that attracted more than 10,000 people. Employers by Forbes.
2 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER ABOUT OSHKOSH CORPORATION
BY THE NUMBERS As of September 30, 2017
We conduct our business by following the road map outlined in our Oshkosh Corporation MOVE strategy. MOVE 15,000 $463 M embodies our commitment to continuous TEAM MEMBERS OPERATING INCOME improvement. The execution of our MOVE strategy leverages our strengths and resources in all functional areas including: engineering, manufacturing, purchasing and distribution, and in our four business segments. This strategy is regularly reassessed to determine if it will continue to successfully guide the Company’s path forward. To ensure that we are delivering $98 M $2.3 B more value and making a difference for our customers and our shareholders, we SPENT ON R&D TOTAL SHAREHOLDERS’ EQUITY continue to work toward the four aspects of MOVE, the foundation of everything we do as a global Company.
Market Leader 29 $6.8 B Delighting Customers MANUFACTURING FACILITIES NET SALES AROUND THE WORLD Optimize Cost and Capital Structure
Value Innovation
Emerging Market Our FY2017 Annual Report and Expansion our website contain additional information about our Company and our brands. www.oshkoshcorp.com
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 3 OUR OSHKOSH CORPORATION FAMILY
FIRE & EMERGENCY DEFENSE
Our Fire & Emergency segment sells broadcasting Oshkosh Defense offers a full portfolio of tactical and communications vehicles through Frontline wheeled vehicles, integration and life cycle Communications, firefighting vehicles and services for military and security organizations equipment through Pierce, aircraft rescue and around the world. Oshkosh Defense is a long- firefighting (ARFF) and snow removal vehicles time provider to the primary branches of the U.S. through Oshkosh Airport Products, and is Department of Defense. Our trucks, trailers and a producer of heavy fabrications under the services are sold directly at home and to more than Kewaunee Fabrications brand. Our emergency 20 international U.S. allies’ militaries. and communications vehicles are sold to fire departments, airports and other governmental units, broadcasters and television stations in the Americas and abroad.
4 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER Founded in 1917, Oshkosh Corporation is a leading integrated global industrial. Headquartered in Oshkosh, Wisconsin, our 100-year reputation of manufacturing a wide range of specialty vehicles has reached across the globe. Approximately 25 percent of our revenues came from outside the United States in FY2017. We have 29 manufacturing locations in seven U.S. states and in Australia, Canada, China, France, Mexico, Romania and the United Kingdom. Our products and services are sold in over 150 countries across six continents. Our four business segments serve the following markets:
COMMERCIAL ACCESS EQUIPMENT
Through our London Machinery, McNeilus, Jerr-Dan, JLG and SkyTrak brands represent CON-E-CO and IMT commercial brands, we sell our industry-leading access equipment. JLG concrete mixers, refuse collection vehicles, is a widely recognized global manufacturer of service vehicles, cranes, concrete batch plants aerial work platforms and telehandlers. JLG and hydraulic loaders for mining, construction, aerial work platforms and JLG- and SkyTrak- material handling and utility markets around branded telehandlers are used in a wide variety of the globe through more than 100 domestic and construction, industrial, institutional and general international dealers. maintenance applications that ensure the safe position of workers and materials at elevated heights. The access equipment segment also includes Jerr-Dan-branded tow trucks and roll- back vehicle carriers sold to towing companies in the U.S. and abroad. These three brands produce superior access equipment, marketed in more than 3,500 locations across six continents.
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 5 OSHKOSH CORPORATION CELEBRATES 100 YEARS OF MAKING A DIFFERENCE
A HISTORY OF MAKING A Our products are valued worldwide by a diverse set of stakeholders, from DIFFERENCE rental companies, concrete placement and refuse businesses, to defense forces, 100 YEARS STRONG We were founded in 1917 and celebrated fire and emergency departments, and OUR COMPANY’S BEGINNING our 100th anniversary in 2017. At 100 municipal and airport services. Our People years of service, Oshkosh Corporation is a Before 1917, Oshkosh Corporation’s First culture continues to transform the different integrated global industrial. Our founders, William Besserdich (left) and organization and empowers our team B.A. Mosling (right) had two ideas to Company was founded by two inventors members to make a difference in the lives improve off-road mobility. These two who aimed to improve off-road mobility at patents were rejected by more than 50 of our customers, in our communities and a time when roads were not paved. After major names in the automotive industry. for the environment. Over the past 100 Instead of giving up, Mosling and their patents were rejected by more than years, we have solidified the foundations Besserdich persevered and started 50 companies in the automotive industry, their own company. Shortly afterwards, that make us a sustainable company: high our founders persevered and started their Wisconsin Duplex Auto Company quality, superior performance, rugged was formed in 1917. own company, and history was made. reliability and long-term value. Today, our products continue to build on What started as two men with an idea the diversification and perseverance to improve off-road mobility, ended up that was instilled by Oshkosh changing the world and giving hundreds Corporation’s founders. of thousands of customers the courage and confidence to go places they didn’t think possible.
6 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER “We’re proud and humbled that our Company truly makes a difference in people’s lives, building on a foundation that began 100 years ago.”
WILSON R. JONES President and Chief Executive Officer
This report highlights the many ways that, after 100 years, Oshkosh is only getting stronger. For even more information about the Company’s 100-Year Anniversary, please visit: oshkosh100.oshkoshcorp.com
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 7 MATERIALITY ASSESSMENT in more detail on page 35, reviewed transformation among the relevant these issues and consolidated them sustainability issues and determine that into a more focused list of 25 topics. impact on our focus. After conducting Ensuring that our sustainability efforts Those 25 were then evaluated on their this refresh, we found that the results of are relevant to our stakeholders and relative importance to the Company our previous materiality assessment were our business is important to Oshkosh and our stakeholders by surveying two still valid for this report, with a few small Corporation. In order to further focus our groups: Oshkosh Corporation senior changes in wording of our top issues. sustainability efforts on the right topics, leadership and Oshkosh Corporation team While all of these issues are Oshkosh completed a detailed materiality members who routinely interact with important to the Company, the topics assessment in early 2016 and conducted a critical stakeholders, such as customers, at the upper right of the chart below materiality refresh in early 2018. Oshkosh suppliers and prospective team members represent the issues that were commonly defines “material sustainability issues” around the globe, acted as surrogates for viewed as most important for both our as issues that are important to our these groups. business and our stakeholders. Some of stakeholders and the success of our For this report, we conducted web the most material issues for the Company business, and where we have a potentially research and peer benchmarking, and were identified as team member safety significant impact on the environment, facilitated discussion with a cross- and health, safety and reliability of society and the economy. functional internal management team to products, and ethical business conduct, The list of material issues developed refresh the 25 previously identified issues. all of which are covered in detail in 2016 used publicly available sources This most recent assessment involved throughout this report. We believe that to develop a comprehensive list of desktop research of sustainability we have provided the readers of this approximately 50 potentially material reporting frameworks such as GRI, SASB, report with insight into how Oshkosh sustainability issues. The Oshkosh DJSI and ISS, and peer benchmarking, Corporation is addressing each of the Sustainability Council, which is described to identify areas of development or identified material issues.
MATERIALITY ASSESSMENT RESULTS Updated 2018 Ethical Business Conduct
Waste Management Team Member Safety Life Cycle Analysis/Product and Labor Relations Energy Life Cycle Management Safety and Reliability Management, of Products GHG and Internal Culture Development/ Talent Attraction Communication and Retention Other Air Risk & Crisis Eco-Friendly Emissions Management Product Quality Control Products Water Sustainability Governance, Performance Management Policy and Management and Leadership Local Community Management Supply Chain Cybersecurity/ Initiatives Management Data Protection Diversity and Customer Product Fuel Consumption Re-Manufacturing Equal Opportunity Satisfaction and Alternate Fuel
Material Sourcing/ Team Member Well-Being Conflict Minerals and Work-Life Balance Customization for Emerging Markets STAKEHOLDER PERSPECTIVE STAKEHOLDER
Climate Change Policy
SENIOR LEADERSHIP PERSPECTIVE
8 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER STAKEHOLDER SUSTAINABLE ENGAGEMENT DEVELOPMENT GOALS
After 100 years of service, we have a dialogue with our customers allows us to The United Nations Sustainable wide and varied family of stakeholders. gain insight on where we can improve, Development Goals (SDGs) provide an At Oshkosh, we take their interest in our and listening to our team members and ambitious framework for achieving global business and our success seriously. Our community members helps us determine sustainable growth. Our approach to ability to make a difference for all of where to strengthen our approach to business operations and product design our stakeholders including customers, People First. It is important to us that incorporates sustainability considerations current and prospective team members, this dialogue grow to ensure Oshkosh every step of the way. Oshkosh prioritizes suppliers, investors and members of the Corporation’s sustainable future, and we work that makes a difference and communities where we live and work is will continue to expand this engagement contributes to a more sustainable future. dependent on our commitment to engage in the future. The table below highlights the SDGs that and understand their perspectives. Open align particularly with the work that we do around the world.
SDG OSHKOSH INITIATIVES
ZERO HUNGER (SDG2) Oshkosh Corporation’s People First culture inherently supports the UN SDGs on a local scale through our community and team member engagement efforts. Our philanthropic efforts have direct impacts on ending hunger in the communities where we operate, aligning with the UN’s larger goal to end hunger and achieve food security everywhere.
GOOD HEALTH AND WELL-BEING (SDG3) Our focus on team member health and well-being goes beyond the always QUALITY EDUCATION (SDG4) essential workplace safety. In addition to ensuring team members have access GENDER EQUALITY (SDG5) to health benefits, Oshkosh Corporation offers programs and educational opportunities for team members that encourage healthy lifestyles and promote well-being. We develop our team members with benefits to support educational growth, and contribute to a well-rounded education in our own communities by engaging local students in STEM programs. Another priority is to provide opportunities for women to thrive at Oshkosh. Oshkosh Women’s Network supports our team members, so that women have every opportunity to succeed.
DECENT WORK AND ECONOMIC Oshkosh Corporation understands that reaching 100 years would not be possible GROWTH (SDG8) without our people, and we want to strengthen them in return. Oshkosh provides INDUSTRY, INNOVATION AND INFRASTRUCTURE (SDG9) proper compensation to all of our team members, and stimulates opportunity for economic growth in the communities in which we work. The nature of our business is to develop innovative and reliable products that provide solutions for our customers who are building the world’s infrastructure. We pass on every safety and efficiency gain we make through the work our customers do. We are honored our work supports the UN’s goal to build resilient infrastructure, promote sustainable industrialization and foster innovation.
RESPONSIBLE CONSUMPTION AND PRODUCTION (SDG12) Oshkosh Corporation strives to integrate responsible consumption and production practices into each of our functions. Our equipment reuse program promotes resource efficiency and product lifecycle responsibility. Our team members are active in finding ways to reduce waste and energy usage throughout our operations.
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 9 YEARS STRONG FY2017 HIGHLIGHTS & GETTING STRONGER
7,400 HOURS TEAM MEMBERS BUILDING STRENGTH IN: VOLUNTEERED IN THEIR COMMUNITIES
ENGAGING DONATED OUR PEOPLE $2.8 M TO CHARITABLE AND OUR ORGANIZATIONS
NAMED AS ONE OF AMERICA’S COMMUNITIES BEST EMPLOYERS BY FORBES
STRENGTHENING TEAM MEMBER
PEOPLE FIRST ENGAGEMENT 2017 AWARD
We continue to strengthen a People At Oshkosh Corporation, we are always First culture across the globe, and our striving for continuous improvement. Oshkosh Corporation was recognized performance in FY2017 proves that Ensuring our team members understand as one of the Best Places to Work as this culture is growing stronger. Our their valued part in our business a part of the Glassdoor Employees’ Choice Awards. The Employees’ Choice People First culture means that our team success, today and in the future, is a top Awards program relies solely on the members and our communities continue priority. In FY2017, we conducted a team input of team members who elect to be at the forefront of what we do at member engagement survey to identify to provide feedback on their jobs, our Company. The 15,000 team members areas where we excel and areas for work environments and companies via Glassdoor. Oshkosh Corporation’s that make up the Oshkosh family around improvement. The results of this survey reviews on Glassdoor specifically the world are what our success depends showed significant improvements across call out the company’s flexible work on. Through a commitment to honesty, all areas of focus. We take team member schedules, professional development integrity, accountability, respect and engagement seriously, and dedicate opportunities, strong benefits and People First culture. citizenship the Oshkosh family can cross-functional teams across the continue to delight our customers. enterprise to focus on high-level survey data, discuss the results and deploy engagement activities that reflect the needs of team members.
10 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER OUR PEOPLE AND OUR COMMUNITIES
In October 2017, 1,000 team members and community members helped package more than 202,000 pounds of food to help those in need in 18 Northeast Wisconsin counties for one year at our Feed the Body, Feed the Soul packing event. Read more about Feed the Body, Feed the Soul on page 18.
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 11 OUR PEOPLE AND OUR COMMUNITIES
TEAM MEMBER PERSPECTIVES
FY2017 AWARD
Our efforts to nurture our People First culture contributed to Oshkosh being named as one of America’s Best Employers by Forbes Magazine for the second year running.
“I truly have pride in the London “I am proud to be a member of products and those that we serve; Oshkosh Defense as our work has knowing that our quality mixers meaning beyond selling trucks, enable customers to safely and parts and services. Each and every efficiently complete their jobs. team member’s contributions The common thread in Oshkosh make a difference in the lives of products is having confidence the war fighter, their families and that the product is making a our country.” positive difference in the lives of many people.” JULIE BASEL Director, Product Support Operations, Oshkosh Defense MIKE BINNS Controller, London Machinery, Inc.
Our volunteer-based Feed Forward DIVERSITY program supports these engagement AND INCLUSION efforts. We plan to conduct additional 38% surveys in the future to guide our Fostering a People First culture means improvement efforts. OF OSHKOSH CORPORATION we must ensure that our team members In early 2017, we announced the FULL-TIME AND INTERN TEAM always feel included and respected. winners of our fourth-annual Oshkosh MEMBERS ARE FROM DIVERSE A diverse workforce is key to driving Excellence Awards. This competition BACKGROUNDS (ETHNICITY/RACE, innovation and team member success. To provides our team members globally GENDER, VETERAN STATUS AND effectively manage a diverse team and DISABILITY) a platform to share how they are maintain an inclusive work environment, making a positive difference at Oshkosh it is important that all team members have Corporation. We donated $127,000 to access to development opportunities, charitable organizations of the winning performance feedback and are assessed teams’ choice. Open to everyone at OSHKOSH CORPORATION and rewarded based on potential and Oshkosh Corporation, we received an DIVERSITY MISSION STATEMENT performance. To support our existing impressive 618 entries, representing team members, we established two new We at Oshkosh Corporation foster 2,540 team members in four categories: employee resource groups for our Young our commitment to diversity and: environmental responsibility; delighting Professional and Veteran team members, our customers; human development; • Embrace an innovative and expanded the Oshkosh Women’s and innovative excellence. We have global workforce Network (OWN). In FY2017, Oshkosh received over 2,500 submissions since • Encourage respect, Corporation furthered our commitment to the program’s inception. An example of a integrity and diversity developing a strong and diverse team by 2017 winning project is highlighted later • Endorse personal and creating a new position within our Talent professional growth in this report. Management team focused on military • Enhance lives recruitment. We will continue expanding our outreach and recruitment strategy to increase our workforce diversity.
12 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER OUR PEOPLE AND OUR COMMUNITIES
ENGAGING, DEVELOPING SPOTLIGHT AND CONNECTING OUR TEAM MEMBERS
Empowering a talented and engaged OSHKOSH WOMEN’S NETWORK workforce is key to our success. We know that developing and retaining our team Oshkosh Women’s Network (OWN) was started by a small group of members is just as important as recruiting team members identifying an opportunity to support the development the right people for our team. In addition of women within the organization and the community. OWN has several to devoting resources to ensure we have committees with opportunities for women to serve and gain experience a diverse workforce, in FY2017 we in specfic areas like marketing, branding and communication that launched a Talent Acquisition Center they may not get in their day-to-day jobs. OWN engages its members of Excellence that supports the North through events such as Leadership Insight Series presentations, American business with the goals of mingling sessions, community networking, mentoring activities standardizing processes, dedicating and even paddle boarding. In FY2017, OWN had more than 2,500 recruiting for functional areas that allow touchpoints with team members at its various events throughout the for closer relationships and deeper year. One touchpoint includes the monthly Leadership Insight Series knowledge of talent, and increasing where various leaders around the company host webinars providing our ability to share talent across the their story and advice for growth for female and male team members. enterprise. We are strengthening and increasing our manufacturing jobs pipeline as well, working with high schools to create intern programs and school-to-work programs for our skilled trades and operations positions. We engage directly with local high schools and leading technical colleges and Oshkosh Employee universities through our campus relations Resource Group Leaders attended a program to find highly motivated and Network & Affinity qualified students to join our Company. Leadership Congress The mission of the Oshkosh Corporation (NACL) Conference where they learned internship program is to attract, develop about diversity best and grow the most talented collegiate practices from subject matter experts and students into Oshkosh’s future leaders. diversity leaders. The program has been built on three foundational principles:
ENGAGEMENT THROUGH TRAINING AND CAREER • Real-world work experience DEVELOPMENT OPPORTUNITIES • Professional development and exposure to leadership throughout the organization
• Social activities and events that help build relationships with fellow interns and coworkers
94,716 567 TOTAL LEARNING HOURS SCHEDULED COURSES DOCUMENTED FOR FY2017
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 13 OUR PEOPLE AND OUR COMMUNITIES
We offer promising candidates the opportunity to participate in internship SPOTLIGHT and cooperative education programs (co-ops) at many Oshkosh Corporation locations, in nearly all of our functional areas. During their time in the program, ENGAGING YOUTH IN STEM interns serve on teams and work on the same projects as our full-time team Pierce works closely with local universities to provide students with members. This structure allows interns opportunities for hands-on technology experience. In FY2017, the to be a part of the action, learning from University of Wisconsin Oshkosh Engineering Club toured the Pierce professionals in their field and applying Assembly plant as part of their club curriculum. The students learned the knowledge they have received from about the facility and its processes and what roles engineers have at their education to real-life projects. In the plant. These students saw different stages of the build process FY2017, we welcomed over 250 interns and how our trucks are assembled and then were allowed to inspect and co-ops from 56 different universities a completely built truck on the floor and ask questions. Pierce also throughout the United States, as well teamed up with a local organization, A Bright Way, and Fox Valley as 31 international interns in Belgium, Technical College’s Public Safety Training Center to teach students France, Germany, the Netherlands, about the airport firefighting business. Groups of students enrolled Poland and Sweden. in the aviation summer camp visited the public safety training center When our team members join the where they toured the facility, rode in Oshkosh Airport products and Oshkosh team, we work to ensure they watched a demonstration on how the ARFF trucks put out aircraft fires. excel. We provide our team members with the right tools to develop and progress in their careers. Through “Your Oshkosh University” we engage and develop our new and long-time team members. “Your Oshkosh University” provides a comprehensive offering of educational, exposure and training programs that reached nearly 14,000 team members in FY2017. We take pride in the number of team members that have spent their entire careers at Oshkosh Corporation. Strong retention is one of the things that sets our Company apart. In FY2017, we maintained a relatively low turnover rate of 8.7 percent, and we are honored that Oshkosh team members choose to nurture their talents with us. One of the additional development initiatives launched in FY2017 was the new People First competencies that are being incorporated into all of the talent management processes, including recruitment, performance reviews, succession planning and development programs.
14 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER OUR PEOPLE AND OUR COMMUNITIES
STEM ENGAGEMENT SPOTLIGHT Another way Oshkosh Corporation team members around the world get involved in their communities is through our programs to engage local youth in STEM- related activities. Our STEM Engagement GLOBAL STEM INITIATIVES Team was launched three years ago to formally organize various activities that Oshkosh partnered with Wave Robotics to take seven students and were already underway at the grassroots two adults to participate in a workshop and competition hosted by level by our team members. In FY2017, the China Urban Youth Robotics Alliance, whose goal is to expand the the STEM Engagement Team launched number of FIRST Robotics teams in China. Wave, along with 11 other teams at each of our four segments and American teams and five teams from other countries (Canada, Mexico, developed consistent materials that Brazil, Australia and Turkey) participated in three days of workshops to empower all team members to engage in help rookie Chinese teams build a competition-ready robot. Oshkosh’s STEM events in their own neighborhoods, participants and their international team members then competed with schools and communities. almost 30 existing Chinese teams in a full-scale competition. Our STEM efforts focus on working with children ranging from kindergarten to high school and up through university students. In addition to educating our communities about the GAINING EXPERIENCE AS PART IN FY2017, WE potential opportunities within a STEM OF THE OSHKOSH INTERNSHIP WELCOMED OVER career, we are also intent on building a talent pipeline for future careers with PROGRAM Oshkosh Corporation. We launched our youth apprenticeship program for engineers INTERNS to supplement our STEM Engagement 250 AND CO-OPS Program in FY2017. Apprentices are FROM typically high school seniors that gain firsthand experience and industry knowledge with projects that cover DIFFERENT component design, modeling and 56 UNIVERSITIES simulation, testing and material lab THROUGHOUT THE UNITED exposure, all within a schedule that STATES, AS WELL AS accommodates the individual “My internships extended over students’ needs. The apprenticeship four summers at Oshkosh, and INTERNATIONAL program has provided opportunities were incredibly educational and INTERNS helped me put an application to 31 traditionally only available via college all the information I was learning internships to students earlier in IN BELGIUM, FRANCE, in college. The intern events GERMANY, THE NETHERLANDS, their development journey. provided me with the tools I POLAND AND SWEDEN. needed to be successful in my career and some of the interns I met have become lifelong friends. I wanted to become part of the Oshkosh family because of the people and the Oshkosh culture.”
CASSIE YUSTUS Environmental Engineer, Oshkosh Defense
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 15 OUR PEOPLE AND OUR COMMUNITIES
HEALTH AND WELLNESS SPOTLIGHT Oshkosh Corporation cares about the health and well-being of our team members and their families. We are committed to offering resources to promote leading a healthy lifestyle SUSTAINABILITY AND WELLNESS EXPO through supportive environments, wellness education and activities In April 2017, we held our fifth-annual Sustainability that encourage a positive, healthy and Wellness Expo in Oshkosh, Wisconsin, with 350 lifestyle. Oshkosh Corporation offers attendees. The event offered tips on how to incorporate comprehensive health benefits to our sustainability and wellness into our team members’ team members and their spouses, which lives, provided healthy lunches and included nutrition include incentives to participate in onsite presentations, yoga demonstrations and massages. health screenings, online wellness assessments and other well-being activities. Our well-being program encourages team members to actively participate in wellness opportunities like presentations on sleep and mindfulness, digital health programs, tobacco cessation coaching, fitness events and weight management. We seek opportunities to link our health and wellness initiatives with community initiatives, like blood drives and community fitness events that support nonprofit organizations. Additionally, Oshkosh offers programs to educate our team members on financial well-being.
SPOTLIGHT
GET FIT CHALLENGE
In summer 2017, Oshkosh held a “Get Fit on Route 66 Challenge” for our team members. Over the course of eight weeks, 785 participants on 38 teams challenged themselves individually or in a group to exercise a distance of 2,448 miles—the length of Route 66—or the More than 100 team members, plus their equivalent of 1,224 minutes of activity. families and friends, participated in the Sole Burner event in Appleton, Wisconsin.
16 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER OUR PEOPLE AND OUR COMMUNITIES
COMMUNITY ENGAGEMENT To celebrate 100 years of making an impact on our communities, we hosted a One of the areas where our People First Community Parade and Open House in our presence is continually getting stronger is hometown of Oshkosh, Wisconsin, in July in our communities. We aim to give back 2017. The Parade showcased more than 60 in every location where we do business historical and modern vehicles, including and make a positive difference for our the Company’s very first vehicle, Old communities. We take a local approach Betsy, built in 1917, and served as a literal to our community initiatives: we identify timeline of a century of Oshkosh products. organizations near our locations that Thanks to supplier partners of Oshkosh Corporation, $90,000 was donated to the can make the largest impact in our local IMT team members collected, wrapped and communities. This is where we target our Boys & Girls Club of the Fox Valley, and donated gifts through the Salvation Army’s Angel Tree program during the holidays. monetary support and volunteer time. Our an additional $90,000 was donated to Company supports our team members the Boys & Girls Club of Oshkosh. Team taking time off from work to volunteer. To members and community friends who support their efforts, we have instituted visited the 100 Year Anniversary Open a program where they can spend a full House helped donate more than $5,000 eight-hour paid workday each year for and 1,700 pounds of food, which equated volunteer activities. to 15,000 meals to the Oshkosh Area Food Coalition. The Boy Scouts of America Bay- Lakes Council served food at the Open House and the Company helped them raise more than $13,000.
Oshkosh Defense hosts a Veterans Appreciation Breakfast each Veterans Day to recognize and support team members and Veterans in our local community. SPOTLIGHT
OSHKOSH AIRPORT PRODUCTS SUPPORTING HABITAT FOR HUMANITY 7,400 HOURS Oshkosh Corporation sponsors Habitat for Humanity projects in the communities TEAM MEMBER VOLUNTEER where we work. In Appleton, Wisconsin, HOURS IN FY2017 a parcel of land previously occupied by Pierce now belongs to Habitat for Humanity, which is working to revitalize the area and develop a new neighborhood. $2.8 M Prior to Habitat beginning construction Oshkosh demolished the existing facility DONATED TO 85 CHARITABLE and brought the entire block back to a ORGANIZATIONS IN FY2017 standard suitable for development. Then, more than 20 team members from Oshkosh Airport Products volunteered their time over several months to help construct the first Habitat for Humanity home on the parcel.
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 17 OUR PEOPLE AND OUR COMMUNITIES
Oshkosh was humbled by the generosity of our team members and the support we received from our communities during our 100th 100 YEARS STRONG Anniversary celebration. We knew we could strengthen our overall impact with 1960: The Oshkosh Corporation Foundation was established, with our additional engaging events, such as our first donation given to the Oshkosh Feed the Body, Feed the Soul program. In Downtown YMCA. August 2017, the Feed the Body, Feed the Soul event featured The Temptations, Cat Power, The Blind Boys of Alabama and “Our Oshkosh Foundation helps support basic needs, youth local musician Cory Chisel for a benefit mentoring, economic self- concert: three days of amazing musical sufficiency and industry-related talent, where each ticket sold helped charities. We are excited to to feed those in need in Northeastern continue to share the great work Wisconsin. Our team members, along of our team members giving their with The Refuge of the Arts and Feeding time and talent, and the work America, came together to pack the of the Foundation in making a difference in our communities 202,000 pounds of rice purchased from the centered around these four funds collected as a result of the concerts priorities.” and from the 900 community members that came together for the shows. JODIE LARSEN Vice President of Community Engagement
GOOD TO GIVE BACK WEEK 2017—BY THE NUMBERS
Our Access segment held a week-long community service event in July 2017, with each participant receiving an extra four hours of paid volunteering time. Over this week, we had a tremendous impact:
17 1,500 2,100 $14K 86 56 COUNTRIES TEAM HOURS RAISED EVENTS NONPROFIT MEMBERS VOLUNTEER TIME WORLDWIDE PARTNERS
775 1,210 80 70 100 BOOKS POUNDS OF CLOTHING, MEALS UNITS OF CARE KITS PROVIDED DONATED BLANKETS AND PROVIDED BLOOD DONATED TO THE HOMELESS NON-PERISHABLE GOODS DONATED
18 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER OUR PEOPLE AND OUR COMMUNITIES
SPOTLIGHT SPOTLIGHT
COTTON BALL IN AUSTRALIA FIRE PREVENTION EDUCATION IN CHINA JLG team members in Australia supported the 2017 Cotton Ball, a fundraiser to support programs benefiting Oshkosh aims to educate and engage youth across the those suffering from epidermolysis bullosa, a painful globe. In Beijing, China, we focused on the essential topic rare skin disorder. JLG donated a scissor lift for auction, of fire safety. Oshkosh invited 30 students and three which raised more than $30,000. teachers from Zhong Shui Dong Primary School to the Oshkosh booth at the China Fire Show to educate them about techniques for fire prevention and how to protect themselves in a fire emergency.
During the Frontline Sock-It-To-Em event, team members collect socks and T-shirts for the homeless community.
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 19 YEARS STRONG & GETTING STRONGER
FY2017 HIGHLIGHTS
SECURED BUILDING STRENGTH IN: 32 NEW PATENTS DEVELOPING FOR OUR PRODUCTS INTRODUCED INNOVATIVE LOW-EMISSION PRODUCTS PRODUCTS SUCH AS THE STRIKER 8 X 8 AND JLG HYBRID H800AJ ARTICULATING BOOM LIFT
RECEIVED 650 SUBMISSIONS TO OUR FIRST-EVER IDEATION plant manufacturer, CON-E-CO, celebrated 100 YEARS: PRODUCTS OF CHALLENGE its 60th anniversary in 2017. Jerr-Dan THE PAST, INNOVATING celebrated 45 years of serving the towing THE FUTURE industry and JLG celebrated 20 years of hybrid technology for its market-leading The past 100 years have been a journey in access equipment products. innovation for our products as they have Developing safe and high-quality become more efficient and sustainable products has been our mission for 100 over time. We are always listening to years. Oshkosh Corporation products are our customers and incorporating their used in applications where high quality, feedback into our product development superior performance, rugged reliability processes to delight our customers with and long-term value are of utmost safe and high-quality products importance. We begin development with and services. People First in mind, and we take seriously 2017 marked 100 years strong for the our responsibility to develop products
Oshkosh Corporation family. In addition to that work safely and efficiently each time Offering the same performance as a this exciting milestone, our concrete batch they are used. diesel, with better fuel economy, the H800AJ is built on 20 years of experience in hybrid technology.
20 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER DEVELOPING INNOVATIVE PRODUCTS
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 21 DEVELOPING INNOVATIVE PRODUCTS
RESEARCH AND We invest millions of dollars to foster the continual improvement of our DEVELOPMENT products. Investing in R&D is imperative for our Company to continue to develop 100 YEARS STRONG A strong commitment to research and innovative products that meet the development (R&D) is one of the many needs of our customers. For FY2017, the 2015: A 10-year journey, the Joint Light differentiators for Oshkosh Corporation. Tactical Vehicle (JLTV) contract was Company incurred R&D expenditures We have spent a century developing safe awarded to Oshkosh. of $98 million, portions of which were products of the highest quality for our recoverable from customers, principally customers. We foster a culture of R&D the U.S. government. focused beyond what is new to what is One of the ways in which we measure best. At our Company, approximately our R&D success is by the number of 1,200 engineers and technicians at seven patents to which our team members R&D facilities around the world dedicate contribute. In FY2017, Oshkosh held their time and knowledge to improving 1,135 active domestic and international existing product lines and developing and patents for a wide variety of products and testing new vehicles, vehicle bodies and technologies, 32 of which were obtained components. With core competencies during the year. We also prepare multiyear including material processing expertise, new product development plans for each design to cost, data analytics and of our markets and measure progress modeling simulation, when our product against those plans monthly. development groups introduce new R&D SPENDING (MILLION USD) products, they make no sacrifices in terms of strength, performance or safety. Each 1 2 1 configuration takes full advantage of the optimized design, weight savings and 10 increased efficiencies we have been able to achieve.
SPOTLIGHT 201 201 201 01
Note: Higher spending in FY2014 and FY2015 was generally due to product design costs associated with Tier IV engine emissions OSHKOSH CORPORATION’S requirements in the Company’s Access JOINT LIGHT TACTICAL VEHICLE Equipment segment and JLTV development (JLTV) IS THE COOLEST THING costs in the Defense segment. MADE IN WISCONSIN
The Coolest Thing Made in Wisconsin contest is a program run by Wisconsin Manufacturers & Commerce to showcase the wide variety of products that are manufactured in Wisconsin. Nearly 200,000 votes determined the winner in the statewide contest, and Oshkosh’s JLTV was honored due to its reliability and top-quality manufacturing. Based Watch the Coolest Thing Made in Wisconsin video: on decades of tactical wheeled vehicle youtu.be/hmZFYXxlBrY engineering and manufacturing experience, only the Oshkosh JLTV delivers next-generation performance to protect military personnel.
22 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER DEVELOPING INNOVATIVE PRODUCTS
SPOTLIGHT
NEW TECHNOLOGY AT PIERCE
First launched in 2015, Pierce continues to expand its lineup of Pierce Ascendant heavy-duty aerial apparatus, the most popular new aerial apparatus in the company’s history. The patent award around the Ascendant represents a collaborative effort, including teams from Pierce and Oshkosh Corporation, and also represents “ We produced our first off-road vehicle in 1917 and since thousands of engineering and R&D hours, assuring Pierce that time, product innovation has been cemented in our foundation. Today, our courageous and confident team customers that they are investing in state-of-the-art continues to innovate to best serve our customers and equipment that helps them perform at the highest level. make a difference in people’s lives. Our team’s relentless can-do attitude is simply amazing and I’m proud to be part of it.”
ROBERT MESSINA Senior Vice President, Chief Technology Officer
SPOTLIGHT
IDEATION CHALLENGE
In FY2017, Oshkosh Corporation introduced an Ideation Challenge, open to all team members in our global new product development group, which encourages them to have a bigger role in the future of our business. The challenge encouraged team members to think outside the box and submit ideas, big and small, about new products or technologies that Oshkosh Corporation should 100 YEARS STRONG consider. More than 650 submissions were put forth, and the ideas were judged by senior leadership, including our 1957: CON-E-CO becomes part of the Chief Technology Officer. “The Ideation event was a Oshkosh Corporation family. In 2017, we celebrated CON-E-CO’s 60th anniversary. great opportunity to interact with innovators and leadership in engineering from across all of the Oshkosh Corporation segments.” Derek Wente, Senior Design Engineer, McNeilus.
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 23 DEVELOPING INNOVATIVE PRODUCTS
SUSTAINABLE PRODUCTS more sustainable compressed natural gas systems and services for many years. Oshkosh is 100 years strong, and we The company’s comprehensive customer understand that in order to sustain our support network provides unsurpassed 100 YEARS STRONG company for the next 100 years, we service in this area. JLG is also continually innovating 1998: Oshkosh’s proprietary TAK-4 need to focus on not only our people Independent Suspension System was to provide customers with an increased and products, but their global impacts. developed and used on the MTRV and Through our consistent customer number of sustainable products. In 1997, fire apparatus. Now, TAK-4 is JLG received its first patent for a hybrid used on multiple platforms and engagement, we continue to hear a business segments. desire for more sustainable products and product. We have continued to develop a services. At Oshkosh, we take the voice broad line of hybrid models that reduce of our customers to heart: listening to emissions and noise, and minimize fuel what we can do better allows us to more consumption, without sacrificing power effectively target innovations to meet our or performance. The introduction of customers’ needs. JLG’s latest hybrid model, the H800AJ, leverages the field-proven design of its OSHKOSH AIRPORT PRODUCTS AND SCANIA We continue to grow the number of COLLABORATED TO DEVELOP THE NEW standard 800AJ articulating boom. The products with a positive sustainability STRIKER 8X8, THE impact in our portfolio. A recent most significant difference in this hybrid partnership with Scania highlights one model is defined by the power package of the newest products with sustainable and batteries; the JLG H800AJ articulating MOST attributes. Oshkosh Airport Products and boom lift uses parallel hybrid technology, Scania collaborated to develop the new boasting a powerful electric motor and POWERFUL generator and a fuel-efficient engine. Striker 8 X 8, the most powerful ARFF ARFF VEHICLE IN THE COMPANY’S Together, the motor and generator and vehicle in the Company’s history. The HISTORY Striker includes a matching pair of Scania engine combination provide diesel-like performance. The machine can also run rear-mounted low-emission engines to WITH MATCHING PAIR OF SCANIA REAR- exclusively in electric mode through its deliver up to 1,540 horsepower for faster MOUNTED LOW-EMISSION ENGINES TO acceleration. Oshkosh is proud to battery pack located in the counterweight. DELIVER UP TO develop such a powerful product with a These batteries are maintenance free positive impact. and charge on demand by the machine’s McNeilus has been an industry generator during operation, resulting in HP reduced noise and zero emissions, making 1,540 leader in sustainable products, such as our Meridian Front Loader, by developing the machine ideal for work in city green FOR FASTER ACCELERATION and low-emissions zones.
SPOTLIGHT
SUSTAINABLE INNOVATIONS in increased thickness to enhance service AT McNEILUS life and durability, as well as a reduction in overall weight.
In FY2017, McNeilus upgraded its For its concrete-mixing vehicles, Zero-Radius Side Loader to boost McNeilus launched FLEX Controls, one service life, efficiency and appearance. of the most advanced control systems Improvements included a stronger arm in the industry. The system consolidates structure to increase durability and complete mixer monitoring onto one reliability over the life of the truck and a screen, allowing users to have better redesigned hopper wall, using a single control and less variability. sheet of abrasion-resistant steel, resulting
24 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER DEVELOPING INNOVATIVE PRODUCTS
PRODUCT SAFETY AND We take seriously our responsibility to provide safe and high-quality products RELIABILITY to our military so they can protect and FY2017 AWARDS serve our country and communities. Oshkosh Corporation takes safety into Oshkosh Defense has delivered more consideration at every phase of product than 36,200 Family of Medium Tactical The Solid Waste Association design and construction. We engage with of North America (SWANA) Vehicles (FMTV) trucks and trailers to our our customers for continuous feedback on named McNeilus’ SSV10 vision armed forces through the end of FY2017, and fleet management system product performance, monitor industry and is working toward strengthening as its best safety innovation developments and track the performance this relationship. Oshkosh Corporation in the collection and transfer of our products in the field to strengthen division in 2017. submitted a proposal in May 2017 to the solutions we provide our customers. supply additional FMTV A2s to support JLG Crawler Boom was named Product safety is cross-functional at the U.S. Army’s need for vehicles Product of the Year by Electrical Oshkosh, and we engage team members with increased payload and improved Construction & Maintenance from our engineering, manufacturing, magazine. survivability, ride quality and mobility, quality, customer support and marketing and was awarded the contract in February EquipmentWatch’s Highest teams, as well as trained product safety 2018. Oshkosh Defense has innovated to Retained Value Award is the and reliability professionals. achieve the advanced technology required industry’s only award based Quality at Oshkosh is a value that on residual values of heavy of the FMTV A2s, developing a product has remained core to our Company for a equipment. Top honors in each with improved underbody protection, category are given to the model century. Just as with safety, quality is built ride quality, engine power, electronics, or series projected to retain into every step of our processes, from diagnostics and safety enhancements. the highest percentage of its R&D and design through production and original value after five years. These vehicles feature technology such finally, the use of our products. No two JLG’s articulating boom lift as our TAK-4 independent suspension and SkyTrak’s telehandler of our customers are alike, and we thrive system and Command Zone integrated were both winners. on developing the solutions to help our control and diagnostics system, customers face their unique challenges. offering our troops the reliability, safety, Our customers operate in complex work operational readiness and performance environments. Trust in our machinery characteristics they need. Soldiers rely is imperative to them, and we take that on products like the Oshkosh FMTV seriously. We offer our customers a for both combat and relief missions to variety of training opportunities across safely transport our service members our business segments, and then we and to positively impact the lives of our participate in customer site visits, industry citizens and their communities, whenever meetings and workplace safety meetings and wherever they are needed. It is our with our customers to ensure we fully mission to support our troops through our understand their challenges. safe and reliable products.
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 25 YEARS STRONG FY2017 HIGHLIGHTS & GETTING STRONGER
REDUCED SAFETY INCIDENT RATE BY 10% OVER PAST FOUR YEARS BUILDING STRENGTH IN:
REDUCED WASTE TO LANDFILL NORMALIZED BY REVENUE OPERATING 64% SUSTAINABLY SINCE FY2012
EXPANDED OUR REUSABLE SHIPPING CONTAINER PROGRAM IN FY2017 TO 130 SUPPLIERS AND 800,000 CONTAINERS
STRENGTHENING Through our corporate-wide Safety Management System, Environmental OUR OPERATIONS Protection Policy and Energy Management Policy, we meet or exceed applicable For us, growing stronger means operating safety and environmental laws and sustainably by keeping our people safe, regulations, and we encourage reducing energy usage and air emissions, responsible and sustainable practices. and keeping waste out of landfills To push us further, we set annual goals whenever possible. A strong focus on in key impact areas and track our sustainability considerations at our continuous improvement. Improving the operating locations will position us sustainability of our operations helps “Sustainable operations are linked well now and in the future. to business success because by us continue to make a difference for our being socially, economically and people, the communities near our facilities environmentally conscious, our and the planet. operations leave a powerful footprint of care, responsibility and transparency, consequently growing trust and leading us to success.”
RAFAELA STEFFEN Legal Counsel, JLG EMEA
26 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER OPERATING SUSTAINABLY
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 27 OPERATING SUSTAINABLY
WORKPLACE SAFETY participation in the Voluntary Protection Program. These facilities have progressed SAFETY INCIDENT AND Keeping our team members safe is through the Oshkosh Safety Management LOST-TIME RATE, PER a long-standing priority for Oshkosh System and are awaiting external 200,000 HOURS WORKED Corporation and is ingrained in our validation. culture. Across the Company, we have a Our team members are a key consistent approach to maintaining a safe component in driving continuous safety improvement at our locations. Through work environment through our robust 2 Safety Management System (SMS). The active team member engagement and 2 2 2 SMS provides milestones for us to track management commitment to safety, team members are able to participate 0 1 1 our performance. Our ultimate goal is to 0 0 0 achieve a world-class health and safety in identifying safety issues and implementing solutions to improve their program, measured by achieving OSHA’s 201 201 201 01 Voluntary Protection Program (VPP) Star work areas. A level and/or OHSAS 18001 certification. Our recordable rate and lost-time rate The Oshkosh SMS uses a tiered continue to be well below the industry Re or able in i ent rate approach to measuring successful average. We also have not experienced ost ti e in i ent rate implementation and performance. The any fatal incidents over the past four SMS outlines five distinct levels of a safety years. To address the slight increase program, each with specific measurable in incident rate in 2017, our Safety and criteria. Level 4 of our SMS necessitates Operations teams have implemented OSHKOSH’S INCIDENT RATE IS an in-depth process to ensure safety strategies to ensure that new team excellence at a facility. members receive necessary safety Safety at Oshkosh Corporation goes training and mentorship in their first several months at Oshkosh. Additionally, HALF well beyond compliance with regulations THE INDUSTRY AVERAGE. —we put people first and ensure the we continue to place a strong emphasis on safety of our team members above all ergonomics, focusing on reducing manual else. Starting in FY2016 and continuing material handling and improving part in FY2017, seven additional applications storage along production lines. were sent to OSHA to be considered for
OSHKOSH CORPORATION FACILITIES FY2017 AWARD SPOTLIGHT WITH SAFETY AND ENVIRONMENTAL CERTIFICATION
SMS LEVEL 4 Oshkosh Defense received the SAFETY MILESTONES AT Medias, Romania Corporate Safety Award from the LONDON MACHINERY Tianjin, China Wisconsin Council of Safety in London, Canada April 2017 for our team members’ Riceville, Iowa London Machinery reached three Bedford, Pennsylvania efforts in achieving an exemplary years without a recordable or Shippensburg, Pennsylvania safety record and excellence in lost-time injury in 2017, and also safety and health. achieved recertification to the ISO 14001 EMS CERTIFICATION Medias, Romania OHSAS 18001 safety management system requirements.
28 FY2017 Sustainability Report 100 YEARS STRONG & GETTING STRONGER
OPERATING SUSTAINABLY
ENVIRONMENTAL with the internationally recognized ISO 14001 standard. Our Medias, Romania, STEWARDSHIP facility has received external ISO 14001 certification for its EMS. The Oshkosh Environmental Protection Oshkosh Corporation promotes Policy outlines our commitments to efficient use of materials and resources reduce wastes and emissions, minimize in our buildings, vehicles and processes, adverse environmental impacts including electricity, fuel, water and and promote resource conservation raw materials, through cost-effective throughout the Company. This policy conservation and energy management is taken to heart in all our business programs. As determined by our operations and is endorsed by senior materiality assessment, we found that leadership. In FY2017, Oshkosh the environmental metrics most critical Corporation did not receive any fines or to the sustainability of our operations penalties from regulatory agencies due to are the amount of solid waste landfilled environmental compliance issues. and the amount of energy used. We track Several of our facilities are and advance our progress through the implementing a formal environmental achievement of Company-wide goals in management system (EMS) to help guide these areas. our environmental stewardship efforts. These systems are modeled on and align
SPOTLIGHT
100 YEARS STRONG COMMUNICATING OUR OSHKOSH ACHIEVES “GREEN MASTER” RECOGNITION SUSTAINABILITY PERFORMANCE Oshkosh Corporation published our The Wisconsin Sustainable Business Council’s Green Masters Program seeks to first annual Sustainability Report covering FY2013 activities; this report recognize sustainable actions by businesses from across the state. The program marks the fifth year of telling our defines sustainability through nine key areas and participants need to have taken sustainability story. at least one action in each of the areas, and ranks the efforts of all participating organizations—the top 20 percent are recognized as “Green Masters.” Oshkosh Corporation is proud to be recognized as a Green Master for the third straight year for strengthening our sustainability efforts in our Wisconsin operations.
FY2013 FY2017
100 YEARS STRONG & GETTING STRONGER FY2017 Sustainability Report 29 OPERATING SUSTAINABLY
WASTE REDUCTION their useful life. Through the identification of a third party that recycles the windshield NON-HAZARDOUS WASTE TO LANDFILL (TONS) Wherever practical, we work to minimize material, approximately 86,000 pounds 10000.00000010000 waste and explore options to reuse and of windshields per year are now recycled, 7,036 recycle waste generated through our reducing our waste to landfill. 6,327 5,309 operations, as stated in our Environmental Some of our facilities generate Protection Policy. We have established a hazardous wastes, primarily due to paints goal of 5 percent year-over-year reduction and solvents used in the manufacturing of non-hazardous waste to landfill on of our products. We strive to reduce 1.03 1.04 0.85 0 a revenue-normalized basis. Waste the amount of hazardous materials we reduction goals are embraced as a key use and to substitute non-hazardous FY2014 FY2015 FY2016 Y 01 discussion topic during team member alternatives where it is technically and engagement events, such as America economically feasible to do so, while still
Recycles Day celebrations. Dedicated meeting our customers’ requirements. Normalized waste to landfill team members on Green Teams at many We manage hazardous wastes in a (tons/million USD) of our locations motivate their teammates responsible manner and in compliance to identify facility-specific initiatives with applicable laws and regulations. around waste reduction and recycling, Nearly 89 percent of the hazardous waste which include programs to reduce, we generated in 2017 was recycled or used HAZARDOUS WASTE (TONS) reuse or recycle business wastes, in fuel blending. Total hazardous waste production wastes, packaging wastes generation increased in 2017 primarily due and chemical wastes. to additional production in our Defense 1 0 1 201 1 2 1 2 As an example, in FY2017, Oshkosh segment. Defense began to recycle windshields from vehicles that had reached the end of
201 201 201 01
2017 HAZARDOUS WASTE BY DISPOSAL METHOD
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