Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced energy use by 59% since 2001
• Reduced water use by 70% since 2001
• Phased out all ozone-depleting substances in manufacturing nearly 20 years ago

Social Achievements

• Launched Steelcase Supplier Code of Conduct in 2013
• 80% of employees received Global Business Standards training in 2013 (approx. 73,000 employee hours)
• Employee satisfaction survey conducted in 2012 with 72% participation

Governance Achievements

• 10 of 13 Steelcase Inc. Board of Directors members are independent

Climate Goals & Targets

Environmental Challenges

• Increased energy use by 1% in 2013
• Increased water use by 14% in 2013
• Difficulty predicting and quantifying risks posed by climate change

Mitigation Strategies

• Global initiative to reduce emissions and measure performance through a metric-based system
• Investment in renewable energy technology (RECs equivalent to 100% of global electricity consumption)
• Goal to reduce environmental footprint by 25% by 2020 (using 2010 as a baseline)

Supply Chain Management

Responsible Procurement

• Steelcase Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: AFNOR NF Environment, BIFMA level ®, Blue Angel, Cradle to Cradle®, Eco-Management and Audit Scheme (EMAS), Forestry Stewardship Council Chain of Custody, ISO 14001, ISO 26000, LEED®, OEKO-TEX®, OHSAS 18001, Programme for the Endorsement of Forest Certification, SCS Indoor Advantage™, U.S. EPA Green Power Partnership, UN Global Compact (Europe)

Environmental Metrics

ESG Focus Areas

• People
• Environment
• Economic

Environmental Achievements

• Exceeded 2020 goal for greenhouse gas emissions reduction
• Reduced water use by 32%
• Reduced VOC emissions by 31%
• Reduced waste by 46% since 2010 (surpassing the 25% goal by 2020)
• Invested in renewable energy equivalent to 100% of electricity use
• Expanded end-of-use services, diverting millions of tons of furniture from landfills

Social Achievements

• Launched employee wellbeing platform including wellbeing hub, generous parental leave, and training programs
• Built urban school partnerships to improve educational outcomes
• Increased employee volunteer hours by 75% since 2013
• Donated $4.5 million in 2014, including employee matching gifts
• Achieved a perfect score of 100 on the Human Rights Campaign Foundation's Corporate Equality Index

Governance Achievements

• Global Sustainability Steering Committee developed new strategies to leverage sustainability efforts
• Company-wide corporate, social, and environmental responsibility diagnostic
• Surveyed customers to understand their sustainability priorities
• Identified material sustainability aspects to align with stakeholder expectations

Climate Goals & Targets

Environmental Challenges

• Balancing transparency and privacy in supply chain data sharing regarding chemical inventories
• Increased water use due to increased production and new facilities
• Need to further reduce energy use to meet 25% reduction goal by 2020

Mitigation Strategies

• Negotiating privacy agreements with suppliers to access necessary chemical information
• Implementing innovative powder coat paint process to reduce wastewater discharge
• Installing remote meters in North American plants to monitor energy usage and identify areas for improvement
• Investing in localized renewable energy credits

Supply Chain Management

Supplier Audits: 518 completed supplier questionnaires

Responsible Procurement

• Supplier Code of Conduct (available in five languages)

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: LEED® (contributions through products), Cradle to Cradle Certified™ (50+ products)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Gesture® chair
• Think® chair
• B-Free™ Cube

Awards & Recognition

• EPA Green Power Leadership Award
• GC3 Champions Award

Environmental Metrics

ESG Focus Areas

• Circular Economy
• Employee Wellbeing
• Energy Efficiency
• Waste Reduction
• Water Conservation
• Diversity & Inclusion
• Supplier Sustainability
• Community Investment

Environmental Achievements

• Reduced global energy use by 20% since 2010.
• Reduced waste output by 45% since 2010.
• Reduced water consumption by 8% since 2010.
• Invested in clean energy equivalent to 100% of global electricity consumption.
• Launched new products and materials designed for circularity (Steelcase Series 1, New Black).

Social Achievements

• Over 46,000 employee volunteer hours and $4 million in donations.
• Employee inclusion groups grew to over 20 diverse networks.
• Expanded end-of-use services to divert millions of furniture items from landfills.
• Launched new coaching-based model to drive employee development.
• Phased retirement plan for employees.

Governance Achievements

• Established global guidelines, tools and knowledge exchange programs for suppliers.
• Supplier Code of Conduct implemented.
• Regularly engages employees in the creation of programs and the measurement and evaluation of progress.

Climate Goals & Targets

Environmental Challenges

• Reducing energy use and waste by an additional 25% by 2020.
• Managing the environmental impact of global operations and supply chain.

Mitigation Strategies

• Implementing new software to track global energy consumption.
• Replacing energy-intensive light fixtures with energy-efficient LEDs.
• Exploring new packaging options and materials.
• Working with suppliers to monitor and improve sustainability performance.
• Asset recapture and redeployment programs (Eco’Services, Phase 2, ReMarket).

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Supplier diversity program

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001, LEED, Cradle to Cradle Certified, EMAS, Blue Angel, LEVEL® by BIFMA, AFNOR NF Environment

Sustainable Products & Innovation

• Steelcase Series 1
• New Black fabric
• Planked Veneer

Awards & Recognition

• Best of NeoCon Awards
• Bicycle Friendly BusinessSM award (Silver)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Achieved carbon neutrality in 2020 and aims for carbon negativity by 2030.
• Exceeded 2010 goals for greenhouse gas emissions reduction (34% reduction vs. 25% target), waste reduction (36% reduction vs. 25% target), and VOC reduction (83% reduction vs. 25% target).
• Reduced total energy consumption by 21%.

Social Achievements

• Partnered with over 92 organizations to promote positive change.
• Engaged in over 100 projects aligned with the UN Sustainable Development Goals.
• Earned a perfect score on the Human Rights Campaign Best Places to Work list for the sixth time.
• Implemented impact coaching to replace annual performance reviews.

Governance Achievements

• Recognized for efforts toward gender parity on the Board of Directors.
• Deployed revised global business standards training and updated conflict of interest training.
• Drafted new anti-bribery and anti-corruption policies and related training.

Climate Goals & Targets

Environmental Challenges

• Fell short of the 25% reduction goal for water consumption (achieved 11% reduction).

Mitigation Strategies

• Implemented water reuse technology in metal washer lines, installed vacuum distillation systems, and planned to install another in a China facility.
• Investigated and corrected leaks within manufacturing facilities.

Supply Chain Management

Responsible Procurement

• Maintaining anti-bribery commitment letters for suppliers.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards (Core option)

Certifications: ISO 14001

Third-party Assurance: Scientific Certification Systems (limited assurance for GHG inventory and energy consumption)

UN Sustainable Development Goals

• 3
• 4
• 5
• 6
• 7
• 8
• 10
• 11
• 12
• 13

The report details how various initiatives contribute to these goals.

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity, Equity & Inclusion
• Employee Wellbeing
• Product End of Use + Circular Economy
• Sustainable Product Design
• Responsible Procurement Practices

Environmental Achievements

• Announced carbon neutrality and set science-based targets to reduce absolute emissions from our owned and controlled facilities by 50% by 2030, in line with a 1.5°C climate scenario
• Reduced global water usage by 14% compared to the previous fiscal year.
• Reduced total waste generated by 33% from FY20.
• Reprogrammed air handler burner controls saving 959mt CO2e from natural gas usage.
• Installed LED lights in Pune, India plant to reduce electric power consumption.
• Invested in energy management software in several plants to better understand and control energy use.

Social Achievements

• Set new DEI goals to build more diverse teams, provide equitable development opportunities and build a culture of inclusion by 2025
• Published a new Global Human & Labor Rights Policy
• Earned a perfect score of 100 points on the Corporate Equality Index
• Invested $40,000 in a speaker series to amplify diverse voices.
• Spent $110+ million with diverse-certified suppliers.
• 76% of U.S. 2021 interns were Asian, Black, Latino, International or Women in STEM
• Launched six new learning experience pilots.
• Employees completed 54,342 courses through learning partners.

Governance Achievements

• Published a new Global Human & Labor Rights Policy
• Published new policies to protect the rights of all people (Anti-Slavery, Anti-Bribery, Anti-Phishing policies)
• 93% of leaders completed Global Harassment Prevention Training.

Climate Goals & Targets

Environmental Challenges

• Reducing emissions from waste generated in operations
• Reducing emissions from business travel
• Engaging suppliers to set their own science-based targets
• Improving water use efficiency
• Phasing out single-use plastics in packaging
• Improving perception of inclusion
• Ensuring equitable development opportunities
• Maintaining high ethical standards in operations

Mitigation Strategies

• Focusing on highest-value commodities (wood and steel) to improve technology and add visibility to scrap process
• Launching a six-part educational series on greenhouse gas accounting and reporting for suppliers
• Creating an approachable emissions reporting template and integrating it into the Global Supplier Scorecard
• Developing new criteria for selecting preferred business travel partners that include sustainability and emissions considerations
• Working cross-functionally to implement more environmentally-friendly materials in packaging
• Redesigning hiring and talent systems for more robust diversity outcomes
• Advancing minority talent and using inclusive leadership hiring and advancement strategies
• Designing DEI learning experiences for all employees
• Maintaining 95% compliance with Supplier Code of Conduct for direct and finished goods suppliers in the Americas
• Engaging supplier council members regarding ESG

Supply Chain Management

Supplier Audits: 93.45% of direct supplier spend is screened using social criteria.

Responsible Procurement

• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option, SASB Building Products and Furnishings Sustainability Accounting Standard, CDP, TCFD (recommendations considered)

Certifications: ISO 14001, ISO 45001/OHSAS 18001 (27% of sites)

Third-party Assurance: Scientific Certification Systems (limited assurance for GHG inventory and energy consumption)

UN Sustainable Development Goals

• Quality Education
• Reduced Inequalities
• Sustainable Cities and Communities

Steelcase Social Innovation investments aligned with UN Sustainable Development Goals.

Sustainable Products & Innovation

• New Intersection Fabric, made from recycled PET and upcycled ocean plastic

Awards & Recognition

• U.S. Department of Energy 2021 Better Practice Award (for Hack the Pack initiative)
• Bicycle Friendly Business recognition by The League of American Bicyclists

Environmental Metrics

ESG Focus Areas

• Climate Change
• Circular Economy
• Sustainable Product Design
• Diversity, Equity & Inclusion
• Employee Wellbeing
• Responsible Procurement Practices
• Employee Learning & Development
• Consumer Health + Wellbeing

Environmental Achievements

• Installed solar panels at manufacturing sites in Pune, India (contributing 50% of energy) and Rosenheim, Germany.
• Maintained carbon neutrality for own operations.
• Reduced absolute greenhouse gas (GHG) emissions from Steelcase-owned facilities by 26% since FY20.
• 281 BIFMA LEVEL certified products (industry lead).
• 90% of Steelcase brand products sold in the Americas are BIFMA LEVEL 3 certified.
• Reduced emissions from waste generated in operations by 26% since FY20.
• Reduced business travel by 88% compared to FY20.
• Reduced global water usage by 3.4% compared to FY20.
• Implemented a closed-loop water recycling system at Dongguan, China manufacturing plant.

Social Achievements

• $7.2M in charitable giving (94% aligned with UN SDGs).
• Worked with over 150 community partners on 280 projects.
• Launched Steelcase Social Innovation Global Learning Community.
• New US hires: 55% women (up 2% YoY), 30% racial or ethnic minorities.
• Achieved 1:1 gender pay equity.
• Launched a new Global Human Rights and Labor Policy.

Governance Achievements

• Embedded leadership pillars across the organization through training.
• Used Humu for needs assessment and analysis to improve leadership effectiveness.
• Updated compliance policies and improved compliance training programs.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions (impacting emissions data).
• Setting science-based targets for suppliers.
• Achieving 100% recycled content in packaging due to supply chain challenges.

Mitigation Strategies

• Strategic actions and planning to meet climate goals despite business fluctuations.
• Webinars, Q&As, and coaching to support supplier target setting.
• Revising packaging goal to 75% recycled content by 2030.

Supply Chain Management

Supplier Audits: 95% of direct supplier spend in the Americas have accepted the Supplier Code of Conduct (FY22).

Responsible Procurement

• Supplier Code of Conduct (covering governance, human rights, labor practices, environmental stewardship, and community involvement).

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards: Core Option, SASB Building Products and Furnishings Standard, TCFD recommendations, UN Global Compact, UN Sustainable Development Goals

Certifications: ISO 14001, ISO 45001/OHSAS 18001, BIFMA LEVEL

Third-party Assurance: Scientific Certification Systems (limited assurance on GHG inventory and energy consumption)

UN Sustainable Development Goals

• Quality education
• Reduced inequalities
• Climate action

94.2% of social innovation investments aligned with SDGs in FY22.

Sustainable Products & Innovation

• Steelcase Flex Perch Stool (using BASF Ultramid® Ccycled™ polyamide).

Awards & Recognition

• Regional EPA WasteWise Award
• CDP Supplier Engagement Leader
• Better Climate Challenge Partner
• Shaw sustain[HUMAN]ability® Leadership Award
• Best Place to Work for LGBTQ Equality
• Bicycle Friendly Business Silver Award
• Fortune World’s Most Admired Companies
• Better Practice Award from the US Department of Energy’s Better Plants Program
• Civic 50 Award
• EcoVadis Gold

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity, Equity & Inclusion
• Community Engagement
• Ethical Conduct
• Circular Economy

Environmental Achievements

• Achieved carbon neutrality in own operations.
• On track to reduce carbon emissions by 50% by 2030 (since 2019).
• Reduced scrap steel by 28% in Kentwood, Michigan plant.
• Converted overhead lighting to LED in over three million square feet of Americas manufacturing production areas.
• Reduced natural gas consumption by 20% in Sarrebourg, France plant.

Social Achievements

• Developed a global DEI strategy.
• Built the Better Futures Community to address inequalities.
• Increased employee access to Employee Assistance Program (EAP).
• Expanded Business Inclusion Groups (BIGs) from 7 to 10.
• Launched a new Changemaker Volunteer platform.

Governance Achievements

• Updated Supplier Code of Conduct to include DEI and ethical standards.
• Improved performance and disclosures, verified by third parties.
• Achieved 99% completion rate for Global Business Standards Training.

Climate Goals & Targets

Environmental Challenges

• Reducing Scope 3 emissions (87% of total emissions).
• Reviewing flood plains and single sourcing of Tier 1 suppliers to review climate exposure and dependency (challenging due to limited public data outside the U.S.).
• Achieving diversity goals in senior leadership roles.

Mitigation Strategies

• Partnering with 80% of suppliers (based on emissions levels) to set science-based targets by 2025.
• Developing a three-year plan to complete urgent property recommendations.
• Redesigning talent acquisition strategy and team structure to mitigate hiring biases.

Supply Chain Management

Supplier Audits: 95% of suppliers based on direct spend have formal signed contracts that include the acceptance of our current Supplier Code of Conduct.

Responsible Procurement

• Updated Supplier Code of Conduct (includes DEI, ethical standards, cybersecurity).

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters (flooding)

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI, SASB, TCFD

Certifications: ISO 14001, ISO 45001, BIFMA LEVEL®

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)
• Goal 10 (Reduced Inequalities)
• Goal 4 (Quality Education)

Initiatives align with UN SDGs through carbon reduction, circular economy practices, community engagement, and DEI programs.

Sustainable Products & Innovation

• Steelcase Series® 1 with CarbonNeutral® Product Certification

Awards & Recognition

• EcoVadis Gold Rating
• Points of Light The Civic 50
• Forbes Best Employer for Women
• Human Rights Campaign Corporate Equality Index Perfect Score
• Fortune World’s Most Admired Companies

Environmental Metrics

ESG Focus Areas

• Climate Change
• Waste Management
• Water Stewardship
• Biodiversity
• Materials Sourcing
• Responsible Procurement Practices
• Diversity, Equity and Inclusion
• Employee Wellbeing
• Digitization and Future of Work
• Training & Development and Talent Retention
• Pay Equity
• Community Relations
• Fair Labor Practices and Labor Relations
• Business Ethics
• Transparency, Accountability & Reporting
• Compliance
• Public Policy and Advocacy
• Human Rights
• Internal Controls
• Consumer Health & Wellbeing
• Sustainable Product Design
• Circular Economy
• Product End of Use
• Transportation & Logistics
• Data Protection, Privacy & Analytics

Environmental Achievements

• Achieved carbon neutrality annually by investing in renewable energy and carbon offset projects covering Scope 1 and Scope 2 emissions.
• Reduced GHG emissions (Scope 1: 31,574 tCO2e in 2023; Scope 2: 54,010 tCO2e in 2023)
• 12.70% recycled input materials used in 2023

Social Achievements

• Launched LIFT with Udemy Business program for employee upskilling.
• 90.78% of male and 88.42% of female employees engaged in Impact Coaching conversations in Q4 FY2024.

Governance Achievements

• 97.5% shareholder approval for say-on-pay in 2023.
• No confirmed incidents of corruption in FY2024.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions
• Managing waste from insourcing activities and process improvements
• Limited recycling markets in some regions

Mitigation Strategies

• Developing alternative sourcing strategies
• Implementing efficiencies like high-tech equipment to reduce scrap
• Implementing end-of-use strategies to divert products from landfills
• Rolling out a scrap tracking program to better track and report total scrap

Supply Chain Management

Supplier Audits: 94.38% of new suppliers screened using environmental criteria in 2023; 80% of existing supply chain screened on forced labor issue in March 2024

Responsible Procurement

• Supplier Code of Conduct
• START Manual
• EcoVadis assessment
• Conflict Minerals reporting clause in purchasing contracts

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001

Third-party Assurance: Independent third-party verification of GHG emissions