jill eiland november 18, 2009 intel and corporate social responsibility presentation to psu business...

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Jill Eiland November 18, 2009 Intel and corporate social responsibility Presentation to PSU business students

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Jill EilandNovember 18, 2009

Intel and corporate social responsibility

Presentation to PSU business students

Jill Eiland• Born in Portland

• Educated at Oregon State University

• Moved to Washington D.C. to begin

career

• Returned to Oregon to volunteer

Oregon WorkforceInvestment Board

(appointed by Governor)

“ Continuing our commitment to the highest performance in all we do — from product innovation to corporate responsibility — is

good business.”

Paul Otellini President and Chief Executive Officer

Intel Corporation

Leading Manufacturer of Computer, Networking & Communications Products

300 Facilities in 50 Countries

Over $37B in Annual Revenues from Customers in Over 120 Countries

22 Consecutive Years of Positive Net Income

Approximately 80,000 Employees

43,000 technical degrees, 12,000 Masters in Science, 4,000 PhD’s, 4,000 MBA’s

One of the Top Ten Most Valuable Brands in the World for 10 Consecutive Years

Invests $100 Million Each Year in Education Across More than 50 Countries

The Single-Largest Corporate Purchaser of Green Power in the United States

One Million Hours of Volunteer Service in Our Communities in 2008

Intel Corporation:The World’s Largest Semiconductor Manufacturer

D1D Oregon D1C Oregon

Fab 11X New MexicoFab 32 Arizona

32nm Investment$7 BILLION

Over 2 Years

The World Ahead

Connecting the Next Billion People to UncompromisedTechnology Around the World

Access Connectivity ContentEducation

Intel EducationIntel Teach: More than 6.5 million

teachers trained in over 50 countries

$100M Annual Investmentto Improve Education

The Greenest Big Companies in AmericaNewsweek, September 21, 2009

Water Use at Intel: Saving from Re-Use, Measurement, and Goal-SettingManufacturing Business Technology, September 11, 2009

Intel Makes Five Cleantech Investments: Is the Energy Push About to Ramp Up?Greentech Media, July 21, 2009

Cisco, Intel Help Power Up Smart GridsEE Times, July 21, 2009

Intel Cuts Emissions by 27% in 2008 Environmental Leader, May 21, 2009

Intel, PepsiCo, Kohl’s Lead U.S. in Purchasing “Green” EnergyBloomberg, April 27, 2009

Intel Gives Staff Green for Being GreenMatter Network, April 22, 2009

Best Green Effort by a Large Corporation: Intel Corp.Treehugger, April 8, 2009

Intel’s Greenest Processor LaunchesMatter Network, October 28, 2008

Intel Sits Atop EPA’s Green Power Ranking for Fortune 500 CompaniesZD Net, October 27, 2008

Intel Claims Core Microprocessors Saved World Economy USD 2Billion in Energy CostsTom’s Hardware, September 25, 2008

Environmentally Responsible

Per the EPA Green Partnership program, Intel is the Single-Largest Voluntary Corporate

Purchaser of Green Power in the United States − Over 1.3B

kilowatt hours/year

Impacting PeopleAround the World

The World’s 50 Most Innovative Companies − Fast Company

World’s Most Admired Companies − Fortune Magazine

$15 million contributed Towards Technology Research for Independent Living

1 Million Learners in the Intel Learn Program in nine countries

100 Best Companies − Working Mother

100 Most Sustainable Companies in the World - Innovest and Corporate Knights

Top 500 Greenest Companies in America - #4 - Newsweek Magazine

World’s Most Ethical Companies - Ethisphere Institute

$22.5 Million Donated by employees and Intel foundation through United Way

CSR Excellence Award – American Chamber of Commerce in Shanghai

Top 50 Employers - Minority Engineer Magazine

59,000 PCs in 39 countries supplied for education

$30 million − Invested in Health Technology Research for Aging Across the Globe

Best Employers for a Healthy Lifestyle - National Business Group for Health

1st Place of the 50 Best Companies to Work For -The Marker Magazine, Israel

$120 million committed to stimulate more interest among youth in math and science

Semiconductor Sector Leader in Sustainability − Dow Jones Sustainability Index

5,000+ schools and non profit organizations supported in 40 countries by Intel employee volunteering

Top Companies Making a Difference - United States Chamber of Commerce Business Civic Leadership Council

1000 universities, 1600 professors, 100,000+ students in 72 countries engaged on parallel programming curriculum

1.3 Million Hours of Volunteer Service in Our Communities in

2008

Ireland IFO, Fab 24

OregonFab 20, D1D, D1C, AFO

ArizonaFab 12, Fab 32

New MexicoFab 11X

MassachusettsFab 17

Dalian Fab 68 (2010*)Israel

Fab 28, IDPj (2009*)

* Projected

Costa Rica

Vietnam(2009*)

PenangKulim

Wafer Fab

Assembly/Test

Fab and Assembly Test Sites

Chengdu

Cavite

Shanghai

More than 80% of our revenues come

from outside the U.S., but 75% of our

manufacturing is done in the U.S.

Intel Oregon Overview

Intel’s largest and most complex site in the world

Home of the most advanced semiconductor research facilities in the world

Home of Intel’s most advanced wafer fabrication (Fab) facility

Headquarters of Intel Corporation’s global education program

Headquarters of Intel Foundation

Training center for Intel employees worldwide via Intel University

Largest private employer in Oregon

“Whatever happens at Intel, happens at Intel Oregon first”

Intel Oregon Recent Investments

Intel Oregon capital investments in 2008/1H’09 = nearly $2 Billion

Average investment of approximately $1 Billion annually for past 8 years

• Upgrade of Aloha Campus • D1C Development => Production transition • D1D Technology development growth• High Performance Data Center• Significant new technology investments in 2008-2009

“About 80% to 90% of the revenue that we have in December of each year comes from products that weren't there in January. So unless you are constantly creating new products, new capability, new technology, you can't exist in our ecosystem.” ----Craig Barrett, Chairman of the Board

Research Development

Manufacturing

Sort/Test

Automation

Reliability

Modeling

Advanced Design

Ronler Acres – TodayEconomy of scale enables in-house co-optimization

Ronler Acres, Oregon300mm research, development,and production on one campus

Intel Oregon Economic Impact

Oregon’s largest employer:

• Intel Oregon employment ~15,100

• Annual Oregon Payroll - $1.7 Billion

• Approximately 40,000 jobs generated by Intel’s operations in Washington County*

• Comprises 29% of manufacturing and 50% of high tech employment in Washington County*

• Intel’s capital investments in Oregon since 1974 >$15 Billion

*Data Source: EcoNorthwest Economic Impact Study 2003

sustainability corporate social responsibility (CSR)

corporate citizenship triple bottom line (TBL) corporate accountability

environment, social and governance (ESG) socially responsible investing

eco-performance “green” companies

a business approach to create long term shareholder value by managing risks and embracing opportunities arising from global economic, environmental and social trends

and developments

A common approach

Many terms…

Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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Intel’s long focus on reducing our environmental footprint

Intel’s Climate Awareness Timeline

Ahead of the Curve

Transparency and Disclosure Driving Company-wideContinuous Improvement

Public Environmental

Reporting

Public Reporting of

Total Energy Use

First GlobalSector-wide

Climate Change Goal

Public Reporting of Climate Footprint

Global Energy Conservation

Goal

Join US EPA Climate Leaders:

Global Climate Footprint Goal

LargestPurchaserof Green

Power in US

19941996

1998

2000

2003

2006

2008

“Green” Fab 32 Comes

Online

Led industry agreeme

nt on PFC

reduction:

world’s 1st

voluntary GHG

reduction

agreement

2007

Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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Strategic alignment: Identifying key issues and business drivers

Management & accountability: senior management buy-in, developing metrics

Employee engagement: recognition, social media, aligning compensation

External partnerships/benchmarking: drive learning and accountability

Key drivers

Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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• Identify major risks and opportunities• Align sustainability/CSR focus with your business• Map and quantify existing activities that are already underway• Gain senior management support – use business language

Strategic alignment

Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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• No one-size-fits-all when it comes to structure• Embed champions and in key business groups and functions• Set measurement goals for key performance indicators• Drive accountability through transparency and compensation alignment

Management & accountability

Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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• Culture shift – integrating into their decision-making• Provide education and ways to participate• Programs to encourage innovation or generate project ideas • Awards and recognition• Leverage video and social media

Employee engagement

Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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• Business associations and benchmarking forums• Professional organizations and networking venues• Strategic partnerships with NGOs, community groups, and non-profits

External partnerships & learning

Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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Copyright © 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.

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Questions & additional resources

Intel 2008 CSR Report: www.intel.com/go/responsibility

CSR@Intel Blog: http://blogs.intel.com/csr

Jill Eiland, NW Region Corporate Affairs Manager:

[email protected]