CARBON DISCLOSURE PROJECT

CDP Supply Chain 2011

Frances Way Head of Supply Chain [email protected] UK Office +44 (0)20 7415 7095 US Office +1 212 378 2085 2010 CDP Supply Chain Members CDP Supply Chain 2011

Accenture Hynix Semiconductor CDP Supply Chain enables businesses to successfully implement supplier engagement strategies around greenhouse gas emissions and risk management in a Acer Inc. IBM changing climate. ASUSTeK Computer Imperial Tobacco Group Banco Bradesco Johnson & Johnson The Carbon Disclosure Project (CDP) is the recognized leader in carbon reporting Bank of America Johnson Controls and has assembled the largest global database of corporate emissions and climate Barclays Juniper Networks change information. Using the same standardized reporting platform, CDP Supply Chain provides world-class data collection so that members can calculate their Baxter International KAO Corporation supply chain emissions and better manage risk. Other benefits include best practice Kellogg Company Becker Underwood sharing and unique cross-sector networking opportunities. Biogen Idec Kimberly-Clark Corporation BT Group L’O r e a l Cadbury Logica Chicony Power Technology Merck & Co. Colgate-Palmolive Company Millipore Coloplast Molson Coors “Logica has been reporting via the CDP since 2006 and ConAgra Foods National Australia Bank in 2009 achieved a leading position in our sector in CO2 Danone National Grid emission reduction and strategy. We use it to drive Dell* Nestle reporting across our organization and as a result have Diebold PepsiCo* saved £10M in our UK organization alone. By supporting EADS* Philips Electronics our suppliers to report via the CDP we want to help them Elopak Reckitt Benckiser to make similar energy, carbon and cost savings. This in EMC Rolls-Royce turn reduces the total environmental impact and cost on Endesa Royal Mail Group the services to our clients.” ENEL Sony Corporation eni* Andy Green, Chief Executive Officer, Logica FIBRIA Celulose* Vivendi Universal Group Google VT Group Heinz Walmart* Hewlett-Packard

*Lead Member Working with CDP Build a Resilient Supply Chain

All of CDP’s corporate carbon reporting Changes taking place in the regulatory “National Grid remains programs – Investor CDP, CDP Supply and economic business landscapes “As a founding member Chain, and CDP Public Procurement require companies to understand and focused on climate – are based on the same set of core take action on GHG emissions. Physical of CDP Supply Chain, change, security of questions, which reduces inertia and shifts in the climate are already apparent Unilever believes that supply, and playing fatigue among reporting companies by and the need for adaptation is increasing. CDP’s standardized consolidating requests. a leading role in Control risk. Procurement teams approach to emissions addressing the longer Investor CDP is the largest collaboration are well-versed in managing risk and reporting can provide of investors globally: 534 institutions maximizing efficiency—but they may term issues facing the with US$64 trillion in assets under not be tuned in to the climate change real benefits. In 2010, energy industry. We management stand behind CDP. CDP perspective. Membership in CDP Supply we will expect an requests climate change data on behalf Chain can help your buyers and suppliers continue to work closely of these financial organizations from over understand the business risks of coming increase in the number with our tier 1 suppliers 5,500 of the world’s largest corporations. regulation, extreme weather conditions of our suppliers engaged and a changing marketplace. through the CDP CDP Supply Chain and CDP Public through CDP. Unilever Supply Chain initiative Procurement sent information Identify opportunities. Conversely, some will continue to drive to understand the risks requests to 2,300 companies in 2010, suppliers are well aware of these risks emissions reduction which make up significant portions of the and opportunities. By understanding their and opportunities in our supply chains of 56 of the world’s leading approach, you can work toward integrating activities across the supply chain. National corporations as well as several govern- best practice in the rest of the supply supply chain, and we Grid is working towards ment departments. chain and developing joint R&D innovation expect real progress in projects. Understanding areas for product incorporating carbon development can secure your stance as a suppliers’ emission management into our CDP Water Disclosure provides critical leader in the low-carbon economy. reduction.” supplier selection criteria data on water scarcity and other Learn from industry peers and in the future. Our work water-related issues from the world’s contribute to future development. Marc Engel, Group Chief largest corporations to inform the global Join a group of leading companies who Procurement Officer, with CDP is an important marketplace on investment risk and are defining the smart supply chains of Unilever element of our carbon commercial opportunity. the future. management strategy.” Ray Schlaff, Chief Procurement Officer, National Grid The Key Benefits of Membership “We’re partnering with our suppliers to drive meaningful CDP offers a standardized approach from a leading, global NGO to collect primary change. With regard to emissions, our relationship data from your suppliers on climate change. Along the way, CDP will help you to with a credible organization like CDP helps us do that engage with suppliers to get the best possible data and response rate. Results will most effectively.” be sent in an actionable report and a comparable database for your team to analyze. As a member of CDP Supply Chain your company will be leading the way Mark Newton in transparency and accountability in the supply chain. Membership opportunities Director, Sustainable Business, Dell, Inc. vary with level of service. Please consult the back page for details.

Full Support for Members Demonstrate Your Standardized Approach and Suppliers Actionable Results Company’s Leadership Ask the right questions. CDP is the Progress Reporting. CDP’s integrated Robust Reporting. CDP’s data Roundtable Discussions. CDP gold standard in corporate GHG emissions administration database provides real collection, consolidation, benchmarking facilitates roundtable discussions reporting, enabling members to engage time response information that includes and reporting help you to understand among members. This allows you to with suppliers through a standardized supplier contact details, contact log, the next steps toward reducing emissions share challenges and successes in format. Thousands of companies globally and response data. Personalized weekly and related risk. Aggregate level and order to develop best practice and already choose to disclose through CDP updates will help you to target your individual member reports will be written measure progress. every year. Working with an established efforts and benchmark progress against by leading supply chain analysts. Guide the process. Participate in the and trusted, third party NGO reduces other members. Flexible Data Availability. Full data discussion around disclosure standards potential supplier concerns of data Dedicated Account Management. set available online with filters and and performance benchmarking. Feed confidentiality and being overwhelmed by CDP offers regionally-based, dedicated search functionality. You can also in to the development of international multiple requests. In response to increased account management to work with you at download spreadsheets to analyze. Scope 3 standards through CDP. reporting from smaller companies, CDP each step of your supplier engagement. has developed a shorter Small and Performance Benchmarking. CDP’s Inform and educate suppliers. Send a From supplier selection and communication Medium-sized Enterprise (SME) version methodology will translate suppliers’ clear and effective signal to your suppliers to understanding results and developing of the questionnaire. responses into Key Performance that their response is important. best practice, our team is here to help. Indicators and metrics to enable Collect primary data. Gather the Benefit from positive media exposure. Supplier Training and Guidance. CDP evaluation of supplier performance primary data needed to begin calculating As a CDP Supply Chain member you offers recorded webinars, live question and promotion of better reporting. your organization’s upstream supply have opportunities for inclusion in CDP and answer sessions, comprehensive chain emissions (Scope 3). Set a baseline press releases, case studies, articles guidance, a supplier helpline and for your suppliers in order to track their and interviews. email assistance. improvement year on year. CDP Supply Chain Process and Timeline

CDP Supply Chain follows a cyclical process focused on collaboration and January to March transparency. Member companies provide lists of target suppliers, CDP PREPARATION administers the information request and provides feedback to members and suppliers on relative performance. Along the way, CDP facilitates group • Members compile and provide a supplier list for integration into database discussions and workshops on supply chain strategies for members and • Members contact suppliers to explain importance of the request workshops on best practice in responding for suppliers. • CDP ensures each company is asked to report just once

Preparation April to July DISCLOSURE & DATA COLLECTION • CDP sends registration request to suppliers (April) • CDP supports the process with webinars and workshops • CDP communicates with suppliers to motivate them to respond • Members encourage suppliers to respond • Suppliers respond by July 31, 2011 Analysis Disclosure Reporting & Data & Feedback Collection August to January analysis reporting & Feedback • Analysts read and score suppliers’ responses • CDP and external analysts produce a public report • CDP provides custom reports to members • Members feed back to CDP on questionnaire and process • Members feed back to suppliers on response quality using CDP analysis • CDP provides access to a robust, dynamic database of responses Membership Levels and Opportunities MEMBERSHIP LEVELS Lead Corporate with CDP Supply Chain 1-year $55,000 $30,000 3-year (per annum) $47,000 $25,500 Joining CDP Supply Chain. To join CDP Number of suppliers Up to 500 Up to 500 “We see our CDP Supply Chain, please contact your regional DATA COLLECTION AND REPORTING Established global framework for reporting emissions and bench- Account Manager as account manager listed on the back of this X X brochure. marking performance very much an extension World-class aggregate reporting X X of our team.” Corporate membership is designed with Robust database and data output X X most corporations in mind and includes Custom report based on your supplier sample and value-added X X Mark Dady, robust reporting, access to collaborative reports from database Vice President of opportunities and dedicated account Dynamic reporting and benchmarking tool X Purchasing, management. Those with greater internal A session with your procurement team highlighting key findings X PepsiCo commitment are encouraged to join as Lead from supplier responses Europe Division members. This enhanced membership SUPPORT FROM CDP offering focuses on integrating the data into Dedicated supplier support and guidance X X your procurement operations. Advice and guidance on supplier selection X X Email updates on progress and best practice X X Dedicated account management X X Presentations and Q&A via webinar to your suppliers or buyers X X In-person presentations at supplier events and internal meetings X PUBLICITY Logo on CDP website X X Opportunities for inclusion in press coverage X X Logo on public report X NETWORKING Invitation to events X X Monthly conference calls X X Roundtables and other interest groups X X Co-present at conferences and contribute case studies to articles X LEADERSHIP Review and develop CDP Supply Chain roadmap X X Consult on Questionnaire X X

* Euro (€) pricing available upon request. Like the birds on the cover, corporations are migrating to a low-carbon economy by setting a course built on strong leadership and focused collaboration. Contact your regional account manager to learn more about how CDP can help you increase transparency among your suppliers to better manage these risks and opportunities.

London Office New York Office

Dexter Galvin Chrystina Gastelum Account Manager, Europe & Asia Account Manager, Americas [email protected] [email protected] +44 (0)20 7415 7092 +1 212 378 2085

Keith Littlejohns Account Manager, Americas [email protected] +1 212 378 2085

“The Carbon Disclosure Project’s detailed reporting is helping persuade companies throughout the world to measure, manage, disclose and ultimately reduce their greenhouse gas emissions. No other organization is gathering this type of corporate climate change data and providing it to the marketplace.” Ban Ki-moon UN Secretary-General