Climate Change Data

Avaya Holdings Corp.

Climate Impact & Sustainability Data (2019, 2020-10 to 2021-09, 2021-10 to 2022-09)

Reporting Period: 2019

Environmental Metrics

Total Carbon Emissions:36756 tCO2e/year
Scope 1 Emissions:5300 tCO2e/year
Scope 2 Emissions:31456 tCO2e/year
Scope 3 Emissions:816626 tCO2e/year
Total Energy Consumption:92078 MWh/year
Carbon Intensity:12.74 tCO2e per million USD revenue

ESG Focus Areas

  • Climate Change

Environmental Achievements

  • Reduced Scope 1 and Scope 2 (location-based) emissions by 24% from 2018 to 2019, primarily due to reductions in energy use in Avaya facilities/data centers and fuel usage of Avaya fleet.
  • Reduced annual facilities energy costs (electricity, diesel, and natural gas) by approximately $1.2 million, or 13%, from 2018 to 2019 across its global real estate portfolio.

Social Achievements

  • Avaya’s annual Month of Giving (MOG) included raising money and volunteering for numerous charitable organizations, including those dedicated to protecting or restoring the environment.

Governance Achievements

  • Board-level oversight of climate-related issues; CEO responsible for overseeing Avaya's environmental commitments.
  • Incentives for management of climate-related issues linked to annual bonuses and performance ratings.

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2050
Medium-term Goals:
  • Achieve 30% renewable energy by 2030
Short-term Goals:
  • Reduce water consumption by 10% by 2025

Environmental Challenges

  • Exposure to litigation due to failure to comply with environmental regulations.
  • Acute physical risks from extreme weather events impacting production capacity.
  • Reputational risks from increased stakeholder concern over climate change action.
Mitigation Strategies
  • Design for Environment (DfE) program ensures product compliance with regulations.
  • Business continuity program to mitigate risks from extreme weather events.
  • Proactive management of climate change impacts through innovative, energy-efficient products and participation in CDP and other initiatives.

Supply Chain Management

Supplier Audits: Number not specified, but audits are conducted to ensure compliance with the RBA Code of Conduct.

Responsible Procurement
  • RBA Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events (cyclones, floods)
  • Sea level rise and chronic flooding
Transition Risks
  • Increased climate change-related regulations
  • Changes to materials used in products
  • Increased utility costs
Opportunities
  • Increased demand for low-carbon products and services
  • Reduced energy costs through building consolidation
  • Shift in consumer demand towards low-carbon products

Reporting Standards

Frameworks Used: CDP, GRI

Certifications: ISO 14001

Sustainable Products & Innovation

  • ENERGY STAR certified J179, J169, and J129 VoIP phones
  • Avaya OneCloud platform

Awards & Recognition

  • 2019 Communications Solutions Products of the Year Award

Reporting Period: 2020-10 to 2021-09

Environmental Metrics

Total Carbon Emissions:864122 tCO2e/year
Scope 1 Emissions:2543 tCO2e/year
Scope 2 Emissions:25949 tCO2e/year
Scope 3 Emissions:682840 tCO2e/year
Total Energy Consumption:68615 MWh/year
Carbon Intensity:0.00029 tCO2e/USD

ESG Focus Areas

  • Climate Change
  • Environmental Sustainability
  • Employee Well-being
  • Responsible Business Practices
  • Diversity, Equity, Inclusion and Belonging

Environmental Achievements

  • Reduced total travel costs by $12.6 million in FY2021 compared to FY2019 (pre-pandemic) by maintaining strict business travel discipline.
  • Installed LED lighting at multiple facilities, resulting in estimated annual CO2e savings of 97 metric tons.

Social Achievements

  • Hosted Avaya’s annual Month of Giving, supporting nonprofit organizations globally.
  • Organized various activities for employees to celebrate Earth Day.

Governance Achievements

  • Board-level oversight of climate-related issues.
  • Established a Nominating and Corporate Governance Committee responsible for ESG initiatives.

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2050
Medium-term Goals:
  • Achieve 30% renewable energy by 2030
Short-term Goals:
  • Reduce water consumption by 10% by 2025

Environmental Challenges

  • Supply chain disruptions due to extreme weather events.
  • Increased climate change-related regulations.
  • Changes to materials used for products and packaging to reduce emissions.
  • Increased utility costs to address cleaner energy technologies.
Mitigation Strategies
  • Business continuity program to reduce potential business and financial impact from extreme weather events.
  • Consolidating real estate footprint to reduce energy costs.
  • Monitoring current and emerging regulations to ensure compliance.
  • Diversifying suppliers and geographical distribution to reduce risk.

Supply Chain Management

Responsible Procurement
  • Adoption of the RBA Code of Conduct for Tier 1 suppliers.

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Supply chain disruptions
Transition Risks
  • Increased climate change-related regulations
  • Changes to materials used for products and packaging
Opportunities
  • Increased demand for low-emissions products and services
  • Cost savings from energy efficiency initiatives

Reporting Standards

Frameworks Used: GRI, SASB

Certifications: ISO 14001

Sustainable Products & Innovation

  • Energy Star certified phones
  • Cloud-based contact center and unified communications solutions

Reporting Period: 2021-10 to 2022-09

Environmental Metrics

Scope 1 Emissions:3633 tCO2e/year
Scope 2 Emissions:24731 tCO2e/year
Total Energy Consumption:78075 MWh/year
Carbon Intensity:0.000011 tCO2e/USD

ESG Focus Areas

  • Climate Change
  • Environmental Protection
  • Sustainability
  • Employee Health, Safety and Wellness
  • Responsible Business Practices
  • Corporate Social Responsibility
  • Diversity, Equity, Inclusion and Belonging

Environmental Achievements

  • Replaced fluorescent bulbs with LEDs at 6 locations, saving more than 1.8 million kWh of electricity and avoiding almost 1.3 million kg CO2.
  • Increased sales of ENERGY STAR certified phones from 335,000 in FY18 to over a million in FY22.

Social Achievements

  • Responded to 50+ questionnaires related to climate change in FY2022.
  • Achieved a silver medal from EcoVadis for ESG performance.

Governance Achievements

  • Board-level oversight of climate-related issues through the Nominating and Corporate Governance Committee.
  • Submission of emissions reduction targets to SBTi for validation.

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2050
Medium-term Goals:
  • Achieve 30% renewable energy by 2030
Short-term Goals:
  • Reduce water consumption by 10% by 2025

Environmental Challenges

  • Difficulty in accurately accounting for carbon emissions due to diverse and evolving product lines and lack of detailed data on product usage per customer.
  • Potential for supply chain disruptions due to extreme weather events.
Mitigation Strategies
  • Implementing business continuity program and natural disaster insurance.
  • Consolidating facilities and streamlining operations to reduce energy consumption.
  • Working internally to obtain necessary data for more accurate emission allocations.
  • Joining the Responsible Business Alliance (RBA) and adopting the RBA Code of Conduct.

Supply Chain Management

Responsible Procurement
  • RBA Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Supply chain disruptions
Transition Risks
  • Increased regulations
  • Changes in customer demand
Opportunities
  • Increased demand for energy-efficient products and services
  • Cost savings from energy efficiency initiatives

Reporting Standards

Frameworks Used: GRI, SASB

Sustainable Products & Innovation

  • ENERGY STAR certified phones
  • Cloud-based solutions