Lenovo (HKSE: 992) (ADR: LNVGY) is committing to new goals in the areas of climate change mitigation, circular economy, and sustainable materials. As part of its annual Environmental, Social and Governance (ESG) Report, Lenovo shares its ESG progress and outlines plans to leverage smarter technology to create a brighter, more sustainable future for all.
Lenovo is committing to achieving 50 percent improvement in energy efficiency for desktops and servers and 30 percent for notebooks and Motorola products by FY 2029/30. The company is also announcing a goal to purchase 90 percent of electricity from renewable sources and remove one million tons of GHG emissions from its supply chain by FY 2025/26. These goals further support its 2030 science-based targets, which include reducing scope 1 and 2 emissions by 50 percent and decreasing emissions intensity throughout the value chain by 25 percent in three main areas (products, suppliers and transportation). The company is exploring a path to net-zero targets after being selected by the Science Based Targets initiative (SBTi) to road test science-based methodology for achieving net-zero emissions.
“The urgency to combat climate change, safeguard natural resources, invest in our communities, and govern ourselves with the highest ethical standards has only increased,” said CEO Yang Yuanqing. “It is now up to global businesses and their leaders to continue building resilience into our operations and among our communities in the months, years, and decades to come.”
Lenovo will continue transitioning to a circular economy through supply chain and product design innovation while optimizing the use of sustainable materials to minimize waste. By FY 2025/26, 100 percent of PC products will contain post-consumer recycled materials and 90 percent of plastic packaging will be made from recycled materials. Smartphone packaging will use 50 percent less single-use plastics and will see a 10 percent reduction in size and volume by FY 2025/26. In addition, Lenovo will enable the recycling and reuse of 363 million kilograms of end-of-life products and will have used 136 million kilograms of post-consumer recycled content plastics in its products.
In addition to environmental goals, Lenovo’s social impact goals propel its commitment to fostering an inclusive environment. By FY 2025/26, Lenovo has set new representation goals so that women will account for 27 percent of global executive roles (up from 21 percent in 2020) while underrepresented minorities will represent 35 percent of executive roles in the U.S. (compared to 29 percent in 2020). Following the 2020 launch of Lenovo’s Product Diversity Office, the company aims to have 75 percent of its products vetted by inclusive design experts to ensure they work for everyone, regardless of physical attributes or ability, by FY 2025/26.
The company’s philanthropic approach provides smarter technology for all by empowering under-represented communities with access to technology and STEM education. Today, Lenovo is announcing a goal to impact 15 million lives through philanthropic programs and partnerships by FY 2025/26, with a further goal to provide transformative impact to one million people through career training, job skills building, and device ownership.
This is Lenovo’s 15th annual ESG Report, covering the Fiscal Year 2020/21 (April 1, 2020 through March 31, 2021). Along with updated environmental, social, and governance goals and metrics, the report details milestones such as providing $15 million in pandemic-related support to educators, community leaders and charitable organizations, and receiving recognition from CDP as a Supplier Engagement Leader, placing Lenovo in the top 7 percent of companies who disclosed to CDP. Additionally, the report features Lenovo’s participation in the disability inclusion initiative Valuable 500, and recognition from Fast Company as one of the Best Workplaces for Innovators. Lenovo was also recently recognized in Gartner’s Top 25 Global Supply Chain ranking, reflecting its purpose-driven organization and operational excellence in the global supply chain community. For more information visit Lenovo StoryHub.