Climate Change Data

Arista Networks, Inc.

Climate Impact & Sustainability Data (2019, 2020, 2022, 2023)

Reporting Period: 2019

Environmental Metrics

Total Carbon Emissions:7,333 tCO2e/year
Scope 1 Emissions:801 tCO2e/year
Scope 2 Emissions:6,606 tCO2e/year
Scope 3 Emissions:1,469,387 tCO2e/year
Renewable Energy Share:30.28%
Total Energy Consumption:24,600 MWh/year
Waste Generated:96,238 lbs/year
Carbon Intensity:0.30 mtCO2e/$100,000 revenue in 2019

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Decreased carbon intensity by revenue by over 50% since 2014
  • Increased recycled metal by 26% and recycled packaging by 70% in 2019
  • Decreased waste to landfill by 46% from 2018

Social Achievements

  • Awarded as one of the 2019 Best Workplaces in the Bay Area by Fortune Magazine
  • Increased employee volunteer hours by over 50% compared to 2018
  • Planted over 5,500 trees in India exceeding the 2019 CSR goal of 5,000 trees

Governance Achievements

  • Established an Executive Level Sustainability Committee in 2019
  • Published the first Corporate Responsibility Report in 2019
  • Implemented policies and procedures to ensure compliance with anti-corruption laws

Climate Goals & Targets

Long-term Goals:
  • Expand multi-year tree planting initiative in India to 50,000 trees in 2020
Medium-term Goals:
  • Increase alignment with CDP guidelines and best practices
Short-term Goals:
  • Reduce waste to landfill from Santa Clara HQ by 15% or more
  • Reduce annualized energy consumption at Santa Clara HQ by 15%
  • Implement changes in Burnaby, BC including replacing HVAC units and switching to LED lights

Environmental Challenges

  • Reducing absolute amount of waste going to landfill
  • Achieving greater gender balance in technical fields
Mitigation Strategies
  • Continuously expanding recycling and reuse efforts
  • Actively promoting the hiring of female engineers and recruiting from under-represented universities

Supply Chain Management

Responsible Procurement
  • RBA Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option

Certifications: LEED Gold (Santa Clara HQ and San Francisco office); ISO 14001 (contract manufacturers)

Awards & Recognition

  • 2019 Best Workplaces in the Bay Area (Fortune Magazine)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:5,099 tCO2e/year
Scope 1 Emissions:819 tCO2e/year
Scope 2 Emissions:4,280 tCO2e/year
Scope 3 Emissions:1,567,544 tCO2e/year
Renewable Energy Share:33.50%
Total Energy Consumption:23765 MWh/year
Waste Generated:86,390 lbs/year

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Reduced carbon intensity by revenue by over 50% since 2014
  • Increased the amount of metal and packaging recycled by 26% and 70% respectively in 2019
  • Decreased total waste (landfilled and recycled) in 2020 while increasing diversion rate
  • Reduced waste to landfill contributed from headquarters by ~15%
  • Achieved a 15% reduction in annualized energy consumption at headquarters (assisted by COVID-19 changes)
  • Completed changes at Burnaby BC campus including replacing HVAC units and switching to LED lights for higher energy efficiency

Social Achievements

  • Launched a COVID-19 toolkit for employees and an ongoing webinar series focused on providing information and resources about remote working, parenting and family, kids learning, physical health and nutrition and support through our Employee Assistance Program
  • Accelerated wellness offerings to support global employees, pivoting to a virtual format with regular content on stress reduction and informative webinars
  • Organized a drive-through COVID-19 vaccination clinic on-site at headquarters
  • Launched a Global Giving Challenge to End World Hunger, raising funds to provide over 1.1 million meals globally
  • Provided over 600,000 meals to needy community members through donations from employees and the Arista Foundation
  • Planted ~50,000 trees in India in 2020

Governance Achievements

  • Added a new board member in July 2020, bringing the total to eight, three of whom are female (37%)
  • Implemented processes to manage strategic, financial, business and operational, legal and compliance, and reputational risks
  • Employees participate in periodic training on Arista’s Anti-Corruption Compliance Policy and Code of Ethics and Business Conduct

Climate Goals & Targets

Long-term Goals:
  • Explore science-based greenhouse gas goals and targets with the Science Based Targets Initiative (SBTi)
Medium-term Goals:
  • Develop a multi-year plan for tree planting initiative with a long-term aspiration to achieve carbon neutrality
Short-term Goals:
  • Plant a tree for every Arista employee (>2600 trees)
  • Develop and roll out new scorecards to key suppliers with increased focus on sustainability
  • Implement the use of reusable cleaning materials at headquarters to reduce disposable wipes

Environmental Challenges

  • Supply chain disruptions due to COVID-19
  • Concerns about reports of human rights abuses against the Uighur Muslims in Xinjiang
Mitigation Strategies
  • Leveraged multiple locations and multiple supplier capability, authorized an increase in inventory levels to reduce supply chain disruptions
  • Working with direct suppliers to exclude components manufactured in Xinjiang from products
  • Continuing a program of work, investigation and vigilance regarding human rights in supply chain

Supply Chain Management

Responsible Procurement
  • RBA Code of Conduct; Supplier Sustainability Expectations Policy; Supplier Risk Assessments via RBA self-assessment questionnaires; Conflict Minerals policy; due diligence on channel partners

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option

Certifications: LEED Gold (Santa Clara HQ and San Francisco office); ISO 14001 (contract manufacturers)

Sustainable Products & Innovation

  • Products designed with Design for Environment (DfE) principles; energy-efficient power supplies

Awards & Recognition

  • US Great Place to Work; India Great Place to Work; best-in-class ratings on Glassdoor, and comparably

Reporting Period: 2022

Environmental Metrics

Scope 1 Emissions:930 tCO2e/year
Scope 2 Emissions:4346 tCO2e/year
Scope 3 Emissions:1,991,648 tCO2e/year
Renewable Energy Share:31%
Total Energy Consumption:15713 MWh/year
Waste Generated:104,277 lbs/year
Carbon Intensity:0.12 mtCO2e/$100,000 revenue in 2022

ESG Focus Areas

  • Environment
  • Social Responsibility
  • Governance

Environmental Achievements

  • Carbon intensity by revenue has decreased over 50% since 2014.
  • In 2022, the amount of e-waste recycled increased by 33% and waste to landfill decreased by 13% from 2021.
  • Successfully removed Carbon Black Ink from 100% of packaging parts.

Social Achievements

  • Received awards from Comparably as a Best/Top 50 Large Company for Diversity and Best/Top 100 Company for Work Life/Balance and Culture; a Bay Area Best Place To Work; and a Certified Great Place To Work in Canada.
  • Raised over 1.9 million meals through global giving efforts.
  • Raised over $150,000 in aid for Ukrainian refugees.

Governance Achievements

  • Maintained high ethical standards and compliance with regulations.
  • Implemented robust risk management processes.
  • Continued to increase women and underrepresented ethnic and racial group employee population percentages.

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality.
Medium-term Goals:
  • Develop Science Based Greenhouse Gas Goals and Targets by the end of 2023.
Short-term Goals:
  • Reduce non-recyclable packaging parts from 5% to less than 1%, and packaging foam usage from 14% to less than 10% by 2024.

Environmental Challenges

  • Supply chain disruptions due to various factors (pandemics, climate change, conflict).
Mitigation Strategies
  • Leveraging multiple locations and suppliers, increasing inventory levels.

Supply Chain Management

Supplier Audits: 72% of Tier 1 suppliers audited in 2022

Responsible Procurement
  • RBA Code of Conduct
  • Supplier sustainability requirements

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option, SASB

Certifications: LEED Gold (Santa Clara HQ and San Francisco office), ISO 14001 (contract manufacturers)

UN Sustainable Development Goals

  • Goal 2 (Zero Hunger)
  • Goal 4 (Quality Education)
  • Goal 13 (Climate Action)

Philanthropic initiatives supporting hunger relief, STEM education, and environmental sustainability.

Sustainable Products & Innovation

  • Energy-efficient products, sustainable packaging.

Awards & Recognition

  • Comparably awards, Bay Area Best Place To Work, Certified Great Place To Work in Canada

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:2,619,577 tCO2e/year
Scope 1 Emissions:2,284 tCO2e/year
Scope 2 Emissions:14,079 tCO2e/year
Scope 3 Emissions:2,619,577 tCO2e/year
Renewable Energy Share:34%
Total Energy Consumption:59,927 MWh/year
Waste Generated:649,167 lbs/year
Carbon Intensity:0.28 mtCO2e/$100,000 revenue (2023)

ESG Focus Areas

  • Energy, Emissions & Waste
  • Climate Change Risk Management, Resilience & Adaptation
  • Product Governance
  • Supply Chain Stewardship
  • Diversity, Equity & Inclusion
  • Employee Attraction, Retention & Development
  • Occupational Health & Safety
  • Community Support
  • Responsible Supply Chain
  • Governance of Business Ethics
  • Data Privacy & Security

Environmental Achievements

  • Reduced annualized shipping weight by 328,000 KG (723,116 LB), resulting in a lower carbon footprint and less material used in packaging
  • Decreased foam usage in packaging parts from 13.6% to 9.33%, relative to total production part numbers
  • Implemented minimum recycled content requirements for all vendors
  • 97% of power supplies shipped to customers are rated Platinum or better

Social Achievements

  • Received numerous external awards and recognitions, including a Best/Top 50 Large Company for Diversity; a Best/Top 100 Company for Work Life/Balance and a Best Company for Happiness, Women, & Compensation from Comparably; a Bay Area Best Place To Work; and as a Best Workplace in British Columbia and Certified Great Place to Work by Great Place To Work Canada; and as a Top Greenest Company by Newsweek Magazine.
  • Arista Foundation and employees set another record for giving in terms of total dollar amount, numbers of grants, and those positively impacted.
  • Arista employees volunteered a record number of hours to the community.
  • Achieved a record 21% female new hire rate in 2023.

Governance Achievements

  • Published Human Rights Policy
  • No pending litigation matters alleging anti-competitive behavior or antitrust violations

Climate Goals & Targets

Long-term Goals:
  • Carbon neutrality
Medium-term Goals:
  • Expand internal employee resource groups
  • Launch a new Big Sister/Buddy program to support women new hires
  • Continue #ReferHer referral program
  • Invest in renewable energy for operations
  • Develop and have Science Based Targets initiative (SBTi) certified Greenhouse Gas targets
Short-term Goals:
  • Reduce non-recyclable packaging parts to less than 1%
  • Reduce foam used to below 10% within packaging assemblies

Environmental Challenges

  • Supply chain emissions account for the largest percentage of overall emissions
  • Need to reduce the absolute amount of waste going to landfill
Mitigation Strategies
  • Closely working with supply chain, bolstered by membership to CDP’s Supply Chain program, to collect accurate data to support reduction efforts.
  • Engaging 150 suppliers in 2023 regarding GHG emissions, and extending this engagement to a larger number of suppliers in 2024.
  • Working towards sourcing renewable energy for business operations and engaging suppliers on increasing their use of renewable energy in 2024.
  • Continually expanding recycling and reuse efforts.

Supply Chain Management

Supplier Audits: 72% of Tier 1 supplier facilities audited in the RBA Validated Audit Process (VAP) or equivalent

Responsible Procurement
  • RBA Code of Conduct
  • Conflict minerals policy
  • Minimum recycled content requirements for packaging

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option, SASB

Certifications: LEED Gold (Santa Clara HQ and San Francisco office; Bangalore office built to LEED Gold standards), ISO 14001 (for contract manufacturers)

UN Sustainable Development Goals

  • SDG 2 (Zero Hunger)
  • SDG 3 (Good Health and Well-being)
  • SDG 4 (Quality Education)
  • SDG 10 (Reduced Inequalities)
  • SDG 11 (Sustainable Cities and Communities)
  • SDG 13 (Climate Action)

Philanthropic efforts focused on hunger relief, children's education, health and wellness, and environmental sustainability.

Sustainable Products & Innovation

  • Energy-efficient products
  • Products designed for ease of recycling

Awards & Recognition

  • Best/Top 50 Large Company for Diversity
  • Best/Top 100 Company for Work Life/Balance and Happiness
  • Best Company for Compensation from Comparably
  • Bay Area Best Place To Work
  • Best Workplace in British Columbia and Certified Great Place to Work by Great Place To Work Canada
  • Top Greenest Company by Newsweek Magazine
  • Best Workplaces for Mental Wellness
  • Best Workplaces for Inclusion