Beyond 50 Years: Powering Our Future: Building a Sustainable Future 2.2 Million Associates Committed to Our Customers
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Beyond 50 years: Powering our future: Building a sustainable future 2.2 million associates committed to our customers. Walmart 2012 Global Responsibility Report Walmart 2012 Wal-Mart Stores, Inc. (NYSE: WMT) 702 S. W. 8th Street Bentonville, Arkansas 72716 USA 479-273-4000 walmartstores.com 2012 Global Responsibility Report To stay current with our responsibility initiatives, we encourage you to visit our website for up to the minute news, announcements and initiatives at http://www.walmartstores.com. Message from Mike Duke 1 About this report Top 10 ways Walmart made a diff erence in 2011 4 The scope and boundaries of the 2012 Walmart Women’s economic empowerment initiative 6 Global Responsibility Report encompasses our Healthier food 8 global environmental and social responsibility eff orts in-depth. The report reviews our progress and performance during fi scal year 2012, refl ects Communities areas where we have achieved tremendous positive 10 results and specifi es areas of opportunity we must Disaster relief 11 continue to focus on. The reporting timeline covers Giving 14 the period of Feb. 1, 2011–Jan. 31, 2012 and builds Neighbors 22 on our last report, issued April 2011. Compliance 24 Safety 30 This report provides detailed information regarding Supply chain 32 responsibility performance in the following areas: • Associates • Audit results and awards 46 Associates • Communities • Corporate governance Diversity 48 • Diversity Benefi ts 52 • Environment Recruiting 54 • Financial contributions, in-kind Talent development 56 donations and volunteerism Ethics 62 • Global supply chain Volunteerism 64 • Health and safety • Progress updates for commitments Follow us on Twitter®: 68 Environment www.twitter.com/walmart Energy 70 Global reporting initiative Like us on Facebook®: Waste 82 www.facebook.com/walmart Products 89 Transparency about economic, environmental and social impacts has become a fundamental compo- Our company nent of eff ective stakeholder relations, investment 101 decisions and other market relations. To support Our sustainable, next generation report. Governance 102 this expectation, Global Reporting Initiative (GRI) The minimized environmental footprint of this report is the result of an extensive, collaborative effort of Walmart and its supply chain partners. The environmental Public policy 102 has collaborated with a large network of experts – and social impact continues to be an important consideration. It is printed on paper from well-managed forests containing recycled PCW fiber that is Stakeholder engagement 104 including business, labor, nongovernmental Elementally Chlorine Free (ECF). It is printed using 100% renewable wind power (RECs), along with environmental manufacturing principles that were utilized in organizations (NGOs), investors, accountancy and the printing process. These practices include environmentally responsible procurement, lean manufacturing, green chemistry principles, the recycling of residual materials and reduced volatile organic compound inks and coatings. others – to develop a globally trusted framework 106 Our progress for sustainability reporting. This multistakeholder approach supports the reporting framework, Progress on commitments 106 now incorporated into the 2012 Walmart Global 2011 awards and recognition 114 .14 acre 26.31 fewer 5,363 kWh 13.0 metric tons 19,702 kWh 9,569.29 fewer Responsibility Report. View our GRI Index on of forestland preserved trees consumed less energy – the same of greenhouse gas offset – converted to clean renewable gallons of water GRI content index 116 page 116. via managed forestry via recycling used by .20 homes the equivalent of taking sources (printing plant consumed for a year 2.61 cars off the road for a year using RECs) TED US IN IN R G P Savings baselines were developed using the U.S. national averages of 1 0 Y 0 % G R W E similar coated papers and printing practices by EarthColor Printing. IND EN Supplied by Community Energy Message from Mike Duke The 2012 Global Responsibility Report documents Walmart’s steps toward becoming a more sustainable, responsible company and building meaningful, long-term change. It details our progress against specifi c goals, the wide range of issues we’re engaged on and strengthens our commitment to transparency. You will also learn about two new initiatives we launched in 2011: healthier, aff ordable food and women’s global economic empowerment. Part of our approach to sustainability is to set ambitious goals. Last year, we held our principle of setting ambitious goals to a high We believe that we can make the biggest diff erence when we standard. In January 2011, we stood with U.S. fi rst lady Michelle leverage our size and, as Sam Walton often told us, “swim Obama and launched a major initiative to bring healthier, more upstream.” In late 2005, we set three core goals for sustainability: aff ordable food to America. In one year, we saved customers 1) to be supplied 100 percent by renewable energy; 2) to create nearly $1.1 billion on fresh fruits and vegetables, and we recently zero waste; 3) to sell products that sustain people and the launched our “Great for You” icon, making it easier for customers environment. We didn’t know exactly how or when we would to identify healthier food. achieve these goals, but we believed we could get there, and we continue to work toward them every day. At the Home Office in September, in front of an extraordinary group of leaders on global women’s issues, we announced Of course, it would have been easier to set a lower bar to achieve another major initiative to empower women across our world- something we already knew how to do. But we believe that wide supply chain. We were honored just a few days later when challenging ourselves to exceed expectations, especially our U.S. Secretary of State Hillary Clinton recognized our commitment own, leads us to try diff erent things, break new ground and to double our sourcing from women-owned businesses in every deliver better results. market globally and invest in retail training programs to help 200,000 women internationally and 200,000 women in the U.S. Michael T. Duke President and Chief Executive Offi cer Walmart 2012 Global Responsibility Report 1 from low-income households. And in April of this year, we our buildings’ electricity needs, or about 4 percent annually. We announced a joint initiative with the Secretary to support women purchase another 18 percent from the grid, for a total of 22 per- entrepreneurs in the Western Hemisphere. Empowering women cent renewable electricity. We’re also proud that our renewable is a powerful way to break the cycle of global poverty and lift up energy projects in California and Texas alone rank us as the third- our communities. It also sends a clear message that Walmart largest green power purchaser in the United States. understands the diff erence that women customers, associates and suppliers can and do make for our business. We’ve also learned that when you take on such big goals without knowing exactly how to achieve them, you’re going to hit unex- In addition to setting ambitious goals, another principle that pected bumps along the way. There are times when we don’t get we’ve held to since the very beginning of our sustainability eff orts where we want to go fast enough – for our partners or for our- is engagement with experts, leaders and partners outside of selves – and when we have to adjust our approach. For instance, Walmart. Fortunately, we have found NGOs that are willing to we’ve committed to improving energy effi ciency by 20 percent at share their expertise. We appreciate their independence, and we the top 200 factories in China from which we source, by the end of value when they push us, especially when they feel we should 2012. Progress has been slower than we’d like because we’ve run go faster or bigger. These candid conversations and constructive into infrastructure challenges, such as a lack of modern metering relationships lead to learning and, ultimately, results. systems and the fact that a lot of power is generated on site. But these factories have shown transparency and a real willingness to Learning has been one of the great benefi ts of our work to become work with us. By the end of last year, 148 factories had met our a more sustainable and responsible company. One lesson is that goal, and we’re committed to making even more progress this our size and scale can work for us – and against us. We recognize year through training and sharing best practices. that we have a ways to go to achieve our goal of being supplied 100 percent by renewable energy. As of 2010, Walmart-driven With every passing year, we also feel more strongly that sustain- renewable projects globally provide 1.1 billion kilowatt hours of ability is critical to our business and to driving Everyday Low Costs We are focused on four strategies 1. Becoming a truly global company 42. Solving business challenges 3. Leading on social issues 4. Keeping our culture strong 2 Walmart 2012 Global Responsibility Report and leverage for shareholders. Operating more effi ciently is tied We’re proud to be a leading recruiter and employer of veterans in directly to the productivity loop that allows us to deliver low prices the U.S. and have committed $20 million to support job placement, and increase sales. Last year, Walmart U.S. crossed a signifi cant preparation and training programs for these heroes. At the same threshold by preventing more than 80 percent of its waste from time, we’re working hard to develop and deliver training programs going to landfi lls. Eliminating unnecessary packaging is another for associates and our communities. In India, for example, our three great way to reduce costs.