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GM 2012 Sustainability Report.Pdf TABLE OF CONTENTS 1 Leadership Messages 6 Charging Ahead: When Customers Drive Sustainability 18 Our Approach 30 Issues 70 Scorecard 74 Regional Reports IBC Feedback Dan Akerson, GM chairman and chief executive officer, goes for a ride in the EN-V, short for Electric Networked Vehicle. The EN-V is a prototype vehicle that has been designed to help solve the challenges of urban mobility. AboUT THE coVer: GM’s growing portfolio of electrified vehicles meets the diverse needs of our customers: To Our Stakeholders: I am very pleased to report that in 2012 General Motors created significant long-term value for our customers and stockholders through the award-winning products we build, our strong business results, leadership on environmental issues and meaningful interaction with the communities in which we operate. As you will read in this report, our sustainability strategy is guided by this simple truth: energy diversity, resource conservation and CO2 reduction are business imperatives. Sustainability also can deliver revenue opportunities, cost We’re satisfying this need through a wide range of savings and risk mitigation. You can see sustainability in technologies, from vehicle mass reductions to thermody- action in everything we’re doing to grow our business namic efficiency improvements for gas engines. In markets globally — whether it’s launching new products like the where it makes customer sense, we’re deploying more Chevrolet Cruze diesel in North America, or increasing our engines that can run on clean diesel, compressed natural efficiency worldwide through responsible manufacturing. gas and liquefied petroleum gas . FUN and FUnctiON — NO COMPROmises — HAVE IT BOTH WAYS — For example, we generate about $1 billion annually to Though still in the early stages of commercialization, the Customers in many urban Families find it all — luxury, Customers around the world the top line through recycling and reuse activities, and era of using electricity to help improve performance and centers can discover pure space and fuel economy — can have the electric vehicle we avoided $66 million in energy costs through conserva- fuel economy is here and growing. So much so that we’ve electric fun in a functional in vehicles like the Buick they want, but the gas range tion activities since 2010 — even as production increased dedicated a portion of this year’s report to discuss the package with the Chevrolet LaCrosse with eAssist, our they need, with vehicles like 6 percent. many implications electrification is having on our portfolio Spark EV, which rolls out in light electrification that the Opel Ampera in Europe and how customer needs are shaping our strategy — a select U.S. and global markets improves fuel economy by that feature our electric These examples underscore operational benefits, but GM’s concept we call “customer-driven sustainability.” beginning summer 2013. up to 25 percent. extended-range technology. most compelling business case for sustainability lies with the customer. Whether out of concern for their budgets or the planet or both, customers today want vehicles with better fuel economy. 1 GM 2012 SUSTAINABILITY REPORT Our confidence in these fuel-saving technologies has led us We believe this can be done. The most recent agreement to make several U.S. product-related commitments, including: on the Corporate Average Fuel Economy, or “CAFE” laws, • To have 500,000 vehicles on the road with some demonstrates what can be achieved when people work form of electrification by 2017. together. The resulting CAFE regulation sets realistic targets for automakers, while making meaningful progress • To be a leader in fuel economy by doubling the models in fuel economy and greenhouse gas reduction. that can achieve 40 mpg highway or better by 2017. 1 • To lower carbon emissions from products by reducing Closely related to energy security is climate change. We average U.S. fleet CO2 emissions by 15 percent by 2016 became the first automaker to sign the Climate Declaration, and, in Europe, Opel/Vauxhall fleet CO2 emissions by a statement from Ceres and its Business for Innovative 27 percent by 2020. Climate & Energy Policy coalition. As a signatory, we’re asking policymakers to take action on climate change by Our sustainability commitment also extends to how we promoting clean energy, boosting efficiency and limiting build our products. From 2010 to 2012, we reduced the carbon emissions – strategies that make as much sense for energy intensity per vehicle produced by 5 percent, on the U.S., or any country, as they do for our own business. the way to achieving a 20 percent reduction by 2020. 3 Likewise, we are committed to reducing our CO2 produc- In closing, this is our second full Sustainability Report as the 2 tion footprint by 20 percent by 2020. General Motors Company. We’ve made improvements in our reporting approach and process, and we hope you’ll For two consecutive years, we’ve made year-over-year let us know what you think by leaving us feedback. 4 progress against these targets, as well as seven other We appreciate your interest in GM and look forward production-related commitments — several in areas where to keeping you updated. GM is already a benchmark company, such as landfill-free waste management and renewable energy use. Sincerely, It’s also important to note that our commitment extends up and down the supply chain. True customer-driven 6 sustainability must involve everything we do and everyone 5 who touches our products. Daniel F. Akerson Chairman & Chief Executive Officer There’s no question sustainability can lead to value creation within GM, but we believe great companies use their strengths to lead, set an example and solve issues. Energy security is an area where GM has a role to play. The United States is on the cusp of achieving long-term 1. RENEWABLE ENERGY 4. ALTERNATIVE FUELS energy security, thanks to its massive shale gas reserves, 1 improved efficiency and more. This is a perfect opportunity #1 automotive user of solar power in 2012 and We oer more alternative fuel-powered vehicles to develop a cohesive, consumer-driven, national energy one of the largest industrial users of landll gas in than any other manufacturer in the world. the U.S. policy that ensures responsible, affordable access to energy 5. CUSTOMER SATISFACTION for years to come. We can get this done by bringing all 2. WASTE players — both public and private — to the table to nego- GM ranked #1 in customer satisfaction for its 105 landll-free facilities more than any other Extended Range Electric Vehicle technology for tiate a balanced policy with clear targets and timelines. automaker. 2 consecutive years, according to a leading study. 3. ENERGY CONSERVATION 6. VEHICLE R&D 54 facilities meet the voluntary EPA Energy Star® GM received more clean-energy patents than any Challenge for Industry more than any other other organization during 2011 and 20122 company worldwide. 1Solar Energy Industries Association 2Clean Energy Patent Growth Index of U.S. Patents 2 3 GM 2012 SUSTAINABILITY REPORT GM 2012 SUSTAINABILITY REPORT From a global fuel economy perspective, what Why is transparency on lobbying activities important type of emerging trends are you seeing around for GM, and how does it disclose efforts to promote the world? public policy? Fuel economy is no longer just about the U.S., the E.U. In the U.S., we publicly report on all of our lobbying and Japan. There has been more activity in the devel- activities and anything that might be construed as lobbying. oped world and developing economies in the past 24 In fact, we err on the side of reporting more, in order to months than in the prior 24 years. And it’s very fast- be as transparent as possible. For example, we’ve begun paced, well-informed, and happening in real time. to disclose any contributions we might make to Super Wherever we go, we find that everyone is interested PACs. Anyone interested in learning more can check our in maximizing fuel economy. public filings at www.gm.com. As GM vice president of sustainability and global regulatory affairs, Mike Robinson What is the biggest challenge in this environment In recent months, the U.S. government has been leads many discussions with thought leaders on issues such as fuel economy, emissions for a global manufacturer like GM? divesting its shares in GM. How will your strategy and safety standards. change, once there is no longer a government Harmonization on policies and standards is needed. We’re owner of the company? talking about global products, not just at GM, but through- out the industry. Anyone who has an appreciation for Our strategy will not change a bit. We’re running the sustainability understands that it’s about conservation company the way it should be run, in order to sustain A Conversation with Mike Robinson about GM and Public Policy: and efficient use of resources. When you don’t have long-term profitability and create value for all of our harmonization, then you end up with a lot of wasted shareholders. That strategy has not been influenced by GM recently became the first major manufacturer Why now? Because we can do this together from a cost and inefficiency in terms of financial and human the fact that the government owns part of our business, to sign the Ceres Business for Innovative Climate position of strength. Whether it’s by design or luck, the capital. That’s why we want to see more harmonization so, frankly, the divestiture is a nonevent for us. & Energy Policy (BICEP) Climate Declaration. U.S. currently is in a relatively strong energy position; we in CO2 reduction, safety and other standards.
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