Teradata Corporation

Climate Impact & Sustainability Data (2019, 2021, 2022, 2023)

Reporting Period: 2019

Environmental Metrics

Total Carbon Emissions:16496 Metric Tons CO2e

Renewable Energy Share:38%

Total Energy Consumption:47810 MWh

Waste Generated:748 tons of material computing equipment

Carbon Intensity:.13 (GHG/energy intensity ratio)

ESG Focus Areas

Corporate Governance
Human Resources
Materiality Assessment and Stakeholder Inclusiveness
Community Relations (Teradata Cares)
Environmental Responsibility
Global Manufacturing Processes
Facilities
Ethics and Compliance

Environmental Achievements

Achieved five prior goals of reducing greenhouse gases (45%, 41%, 7%, 7%, and 7% reduction).
10% reduction in carbon emissions from 2018 to 2019 due to a shift in product mix towards cloud-based offerings.
38% renewable energy use.

Social Achievements

Named one of the “World’s Most Ethical Companies” for the eleventh consecutive year by the Ethisphere Institute.
Named one of the leaders in sustainability for the tenth consecutive year by the Dow Jones Sustainability North American Index.
Achieved the UN Global Compact COP’s advanced designation for eight consecutive years.
Employees volunteered more than 25,000 hours globally.
Launched Inclusion Communities (business resource groups).
Participated in CEO Action Pledge.

Governance Achievements

Adopted a policy to separate the positions of CEO and Chairman.
Revised Executive Stock Ownership Guidelines to align with market practices.
Implemented a robust EAP (employee assistance program) in the US and Canada.
Adopted a Political Activity Policy Statement strictly limiting partisan political involvement.

Climate Goals & Targets

Short-term Goals:

10% reduction in greenhouse gas emission intensity by 2022 (base year 2018).

Environmental Challenges

Decreasing youth interest in STEM fields.
Competition for diverse talent.
Balancing green initiatives with economic conditions.

Mitigation Strategies

Teradata Cares program focusing on STEM education.
Collaboration with UN Global Compact, Athena, and New York Academy of Sciences to promote gender equality.
Focus on cost savings enabled by energy and space-efficient equipment.

Supply Chain Management

Supplier Audits: All Tier 1 suppliers have agreed to comply with the Teradata Supplier Code of Conduct.

Responsible Procurement

Teradata Supplier Code of Conduct
Responsible Business Alliance (RBA) Code of Conduct
Vendor Managed Inventory (VMI) program

Climate-Related Risks & Opportunities

Opportunities

Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI G4 Core level, UN Global Compact

Certifications: ISO 14001 (for EH&S program)

Sustainable Products & Innovation

Teradata IntelliFlex analytic platform (increased data capacity, performance, and performance per kW; reduced floor space needs).

Awards & Recognition

World’s Most Ethical Companies (Ethisphere Institute)
Dow Jones Sustainability North American Index
Forbes Just 100

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:100 MTCO2e (Scope 1 and 2)

Scope 1 Emissions:100 MTCO2e

Scope 2 Emissions:Not disclosed

Scope 3 Emissions:Not disclosed

Renewable Energy Share:37.3% (U.S. locations)

Total Energy Consumption:40,164 MWh

Water Consumption:44,300 m3

Waste Generated:10,405 pounds of universal waste (increase due to server optimization)

Carbon Intensity:Not disclosed

ESG Focus Areas

Environmental Sustainability
Diversity, Equity, and Inclusion
Ethics and Responsible Governance
Product Sustainability
Community Engagement

Environmental Achievements

Achieved a 43% reduction in Scope 1 and 2 GHG emissions, exceeding the set target.
Reduced the number of physical offices leased globally by 36%, resulting in reduced Scope 1 and 2 emissions.
Reduced total 2021 San Diego facility energy use by 4.64% from 2020.

Social Achievements

Launched a flexible work environment.
Created a DEI Advisory Board.
Launched a company-wide culture transformation.
Offered employees a double match in donations for organizations working for social justice.
Launched the Diversity in Technology Scholarship program.

Governance Achievements

Established a Corporate Citizenship Council to provide oversight for the ESG program.
Amended Board committee charters to align with best practices and ESG strategy.
Achieved UNGC Advanced designation for the 10th year.
Updated the Code of Conduct to include a commitment to being actively anti-racist.

Climate Goals & Targets

Long-term Goals:

Net-zero carbon emissions

Medium-term Goals:

Not disclosed

Short-term Goals:

Not disclosed

Environmental Challenges

Global pandemic impacting operations and in-person activities.
Determining actions to achieve net-zero carbon emissions.

Mitigation Strategies

Implemented a flexible work environment.
Developed plans to meet net-zero carbon emissions ambition (in progress).
Developed an analytical solution to quantify and predict the rate of disease spread for return-to-office decisions.

Supply Chain Management

Supplier Audits: Periodic assessments of supplier production facilities and procedures.

Responsible Procurement

Supplier Code of Conduct and Business Partner Code of Conduct incorporating RBA Code of Conduct and UNGC Principles.
Conflict Minerals Policy.

Climate-Related Risks & Opportunities

Physical Risks

Not disclosed

Transition Risks

Not disclosed

Opportunities

Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards Core Guidelines, SASB Standards for Technology and Communications Sector - Software and IT Service (2018), TCFD recommendations, UNGC Principles

Certifications: ISO 14001 (manufacturing partners)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

Not disclosed

Not disclosed

Sustainable Products & Innovation

Cloud-based solutions designed for optimal power and consumption efficiency.

Awards & Recognition

One of the World’s Most Ethical Companies (Ethisphere)
Dow Jones Sustainability Index (North America and World)
MSCI ESG Governance Metrics rating of AA
United Nations Global Compact Advanced Level
Sustainalytics “Low” ESG Risk Rating
Fairygodboss Best Company/Technology Company to Work for Women
ISS ESG Prime status
Human Rights Campaign 2022 Corporate Equality Index Score of 100
Barron’s Top 100 Sustainable Companies

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:81,890 tCO2e/year

Scope 1 Emissions:28 tCO2e/year

Scope 2 Emissions:10,148 tCO2e/year

Scope 3 Emissions:71,714 tCO2e/year

Renewable Energy Share:37.2%

Total Energy Consumption:35,020,522 kWh/year

Water Consumption:36,746 m3/year

Waste Generated:145,176 kg/year

Carbon Intensity:Not disclosed

ESG Focus Areas

Data privacy and security
Diversity, equity, and inclusion (DEI)
Climate change
Ethical business conduct
Product sustainability
Employee training and development
Responsible supply chain
Corporate governance
Community support
Regulatory compliance
Corporate culture
Tax
Employee health, safety, and wellness
Intellectual property protection
Fair compensation and labor practices
Human rights

Environmental Achievements

Reduced Scope 1 and 2 emissions by 11% and 10%, respectively, compared to 2021.
Reduced energy consumption by 12.8% compared to 2021.
Achieved 79.9% waste recycling rate at the San Diego campus.
Completed first Scope 3 carbon inventory assessment.

Social Achievements

Increased employee satisfaction by 1.9%.
Increased diversity hiring rate.
Achieved a perfect score of 100% on the Human Rights Campaign Foundation’s 2022 Corporate Equality Index.
Expanded employee benefits and well-being programs.
Provided 439,000 total training hours, averaging 60 hours per employee.

Governance Achievements

Achieved numerous awards and recognitions for ESG disclosure and efforts.
Increased transparency and accountability with third-party assurance.
Increased the depth and rigor of ESG risk analysis.
Implemented internal audit systems to further develop the ESG program.

Climate Goals & Targets

Long-term Goals:

Net Zero emissions across all scopes by 2050.

Medium-term Goals:

Reach 50% of third-party spending with suppliers taking targeted action to reduce their emissions by year-end 2025.

Short-term Goals:

Carbon neutral (Scopes 1 and 2) by year-end 2024.
Reduce energy consumption by 30% by year-end 2025 (from 2021 baseline).
Reduce Scope 1 and 2 emissions by 34% by year-end 2025 (from 2021 baseline).

Environmental Challenges

Increased scrutiny from stakeholders regarding ESG practices.
Uncertainties regarding complex and ever-changing laws and regulations.
Business disruptions from extreme weather events.
Competition in hiring and retaining qualified employees.

Mitigation Strategies

Enhanced ESG governance structure and program alignment.
Proactive monitoring of regulatory changes and stakeholder feedback.
Robust Enterprise Risk Management (ERM) program.
Investment in employee development and well-being programs.

Supply Chain Management

Supplier Audits: 4,000 suppliers required to comply with ethics standards and ESG principles.

Responsible Procurement

Code of Conduct
Supplier Code of Conduct
Code of Conduct for Business Partners
Responsible Business Alliance Code of Conduct
UN Global Compact Principles
Modern Slavery and Human Trafficking Statement
Conflict Minerals Policy
Anti-Bribery and Anti-Corruption Policy
Privacy Policy

Climate-Related Risks & Opportunities

Physical Risks

Extreme weather events impacting data center operations and electricity availability.

Transition Risks

Increased climate-related regulations increasing operational costs.

Opportunities

Positive contribution to company reputation and market share through climate action.

Reporting Standards

Frameworks Used: GRI, SASB, TCFD, UNGC

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

Not disclosed

Not disclosed

Sustainable Products & Innovation

Carbon Footprint Analytics Solution Accelerator

Awards & Recognition

Top 100 Most Sustainable Public Companies (Barron’s)
America’s Most Responsible Companies (Newsweek)
World’s Most Ethical Companies (Ethisphere)
Best Places to Work for LGBTQ+ Equality (Human Rights Campaign)
Bronze medal from EcoVadis®