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The N is for New Hire Our focus is to ensure our newest associates are set up for safety success.
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Starting with their initial onboarding, we have simplified and prioritized safety training earlier in an associate’s experience to raise awareness around the riskiest tasks.
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We reinforce our onboarding program with monthly awareness topics and leader-driven engagements during the first six months of employment to allow associates to ask questions and provide feedback to improve safety.
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Safety Takes EveryONE requires leaders to engage with their associates early in their career to establish a positive safety culture.
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The E is for Equipment Equipment is essential to all areas of our business and it is paramount that it is operated in a safe manner.
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Safety Takes EveryONE requires leaders to interact with associates through safety engagements focusing on the safe operations of both the driver and the associates working around the equipment.
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The results of these engagements are reviewed and shared with leaders to create a continuous improvement model.
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This heightened awareness drives innovation that will remove risk from our business and improve the safety within our stores and facilities.
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By focusing on workplace safety training and risk reduction, we help keep our associates and customers injury-free.
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*Recordable and lost time incident rates for U.S. store associates.
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We strive to reduce our carbon footprint by improving the efficiency of our store and supply chain operations, and by investing in alternative energy solutions.
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We partner with suppliers focused on social and environmental responsibility, and we help our customers reduce their environmental impact by offering products and packaging created with sustainability in mind.
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Sustainably The Home Depot uses the GHG Protocol Corporate Accounting and Reporting Standard, which has been adopted by numerous companies worldwide to calculate metric tons of greenhouse gas emissions and efforts to reduce them.
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We continually review and refine our emissions measurements to reflect changes to our business and improvements in data collection and reporting.
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CDP, formerly the Carbon Disclosure Project, is an independent, international, nonprofit organization that provides a global system for companies and cities to measure, disclose, manage and share environmental information.
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Our latest score of A- from CDP reflects our leadership and high level of action on climate change mitigation, adaptation and transparency.
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Direct emissions from combustible sources and refrigerants totaled approximately metric tons.
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Scope Indirect emissions from purchasing electricity totaled approximately 1,007,000 metric tons.
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By driving efficiencies and investing in green energy, we reduced our absolute combined Scope carbon emissions by approximately 172,000 metric tons in 2021.
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Under our science-based target goal linked to our annual CDP reporting, we have committed to reducing our Scope Scope 2 carbon dioxide emissions 2.1% per year to achieve a 40% reduction by 2030 and a 50% reduction by 2035.
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New this year, our annual GHG emissions and carbon intensities correspond to our fiscal year results, which will also be disclosed in our response to the annual CDP Climate Change questionnaire.
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Our investments in efficiency helped us achieve a reduction in the carbon dioxide emitted for each dollar of revenue we earned, compared to 2020.
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The Home Depot joined REwith our goal to produce or procure 100% renewable electricity equivalent to the electricity needs for all Home Depot facilities by 2030.
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This action helps us move towards the company’s emission reduction targets.
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STORE OPERATIONS Running our stores more efficiently furthers both our business and sustainability goals.
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In key milestones, including a 50% decrease in U.S. store electricity use since 2010.
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When we launched our store electricity conservation efforts a few years ago, we anticipated reducing U.S. store electricity use over a decade.
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But by tapping into technologies and closely tracking and analyzing use, we were able to save more electricity than we originally imagined.
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In we reduced year-over-year U.S. store electricity use approximately 11%.
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We learned a great deal from the progress we made reducing electricity use in our stores, and now we are applying our experience and proven strategies to conserving resources in other areas of our business, including electricity use in our supply chain and water use in store irrigation.
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Our successful energy conservation efforts have helped us move closer to our goal of producing or procuring equivalent to the electricity needs for all Home Depot facilities worldwide by 2030.
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In project to upgrade U.S. stores to overhead LED lighting, retrofitting 383 stores in 2021 alone.
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Now LEDs light up nearly all our store aisles across the U.S., Canada and Mexico.
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In the U.S., we have invested approximately $million in total capital expenditures on LED upgrades since 2018.
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Our U.S. stores with LEDs consume about less electricity than similar stores with conventional lighting.
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Harnessing power from the sun is essential to our renewable electricity aims, and we’re making progress by buying electricity from large-scale commercial solar farms.
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In Enel Green Power’s Azure Sky began operating in Haskell County, Texas, west of Dallas, providing us with 75 megawatts of renewable electricity.
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We have agreed to purchase another megawatts from companies building solar farms elsewhere in Texas.
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Making Every kWh Count The Home Depot reduced U.S. store electricity consumption through a multifaceted effort to find energy savings in every corner of the store.
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Azure Sky solar and storage plant in Texas began operating in provides 75 megawatts of solar power to Home Depot stores.
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, fuel cells helped power stores with more than 100% of their electricity needs annually.
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PROGRESS ON POWER mitigation to optimize our electricity costs during peak demand and help local utilities better manage grid capacity.
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At during off-peak times for use when demand spikes.
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Rooftop Solar Harvests Renewable Energy We also help our customers harness the power of the sun.
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In partnership with Sunrun, we help our customers create clean and sustainable electricity.
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CHECK IT OUT Seeing the potential to use soccer-field-size space atop our stores to harvest the sun’s power, we installed our first rooftop solar farm in 2014.
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By the end of solar farms operated on 76 Home Depot stores and one distribution center in the U.S.
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more distribution facilities A pilot program launched in potential of using smart irrigation systems to save water at our stores.
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We rolled out the technology to using smart irrigation systems by the end of the year.
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On average, there is a to irrigate landscaping, compared to stores with traditional timer-based irrigation systems.
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Here’s how it works: In-ground sensors, real-time weather data and other data sources guide when sprinklers come on and how long they operate.
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So, a store’s landscaped areas are watered according to plants’ needs, rather than the clock.
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Sustainably Added over 30 distribution centers - increasing speed and efficiency.
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Moved approximately 6.9 billion cubic feet of products through our supply chain - a company record.
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despite moving record volume through our supply chain.
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We continue to make progress on our multi-year supply chain initiative to create the fastest, most efficient and reliable delivery network for home improvement products.
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When we announced our approximately $2017, we could have never envisioned the disruption to the global supply chain because of the pandemic.
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Due to our supply chain investments, however, we have demonstrated our ability to navigate any environment.
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In addition, our supply chain investments have helped us move record amounts of product more efficiently.
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Despite seeing another year of record product volume move through our business, our new supply chain facilities helped us reduce the miles driven to get products from our vendors to our customers.
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Even as supply chain volume increased, the efficiencies we gained in our operations and our investments in green energy helped us reduce our carbon intensity.
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We sell available space on our trucks and buy space from other companies, ensuring fewer underloaded trailers hit the road.
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That space sharing saves about million driven miles a year.
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By partnering with suppliers to forgo pallets, we can stack products to the top of trailers, resulting in a reduction in the number of truckloads needed to transport some goods.
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WAYS WE’RE DRIVING SUPPLY CHAIN IMPROVEMENTS In at three U.S. supply chain facilities, giving us 15 locations with emissionsfree fuel for forklifts.
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We estimate these fuel cells helped us reduce electricity consumption by about million kilowatt hours in 2021.
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By making our supply chain more efficient, we reduce business costs and the impact that our product distribution has on the environment.
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We do a technology-assisted assessment of scheduled pickups and deliveries, then recommend optimized routes to reduce miles traveled, fuel consumed and trucks on the road.
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As we roll out our new distribution facilities, we’ve partnered with Plug Power to fuel some of our new facility’s material handling fleets, like forklifts, with zero-emission hydrogen fuel.
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This is another way we are reducing our environmental impact while building a best-in-class supply chain.
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Optimization technology guides how we pack trucks or ocean-bound containers.
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We maximize the product load, reducing the number of truckloads and containers — and overall emissions.
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We participate in the U.S. Environmental Protection Agency’s SmartWay® program to collect and report greenhouse gas emissions data from corporate supply chains.
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The Home Depot is a seven-time recipient of the SmartWay Excellence Award.
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We owe it to our customers, associates and communities to further the collective commitment to human rights, safety and environmentally sound practices through ethical sourcing.
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We engage our suppliers in this commitment by requiring them to produce products in factories that adhere to responsible sourcing standards.
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Our Responsible Sourcing Standards mandate that suppliers and factories abide by all applicable international and local laws, rules and regulations in the manufacturing and distribution of merchandise or services provided to us.
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We conduct audits of factories around the world to ensure compliance with our responsible sourcing standards.
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Suppliers must maintain on-site documentation that demonstrates compliance with our responsible sourcing standards.
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They also must allow Home Depot associates and/or representatives full access to production facilities, worker records, production records and workers for confidential interviews in connection with monitoring visits.
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We expect our suppliers to promptly correct any noncompliance, starting with timely preparation and presentation of a corrective and preventative action plan.
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We also re-audit supplier facilities, with the frequency depending on their performance in prior audits.
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If suppliers fail to improve, we may terminate our business relationships with them.
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Equally important, we support factories that take action to create lasting social and environmental compliance programs.
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We encourage suppliers and factory workers to communicate concerns via processes outlined in our corporate Code of Conduct.
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We support suppliers that take action toward maintaining our collective commitment to human rights and safety in our supply chain.
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Through our due diligence process, which aligns with guidance from the Organisation for Economic CoOperation and Development, we received in-scope private brands and proprietaryproduct Tier 1 suppliers.
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Sixty-two percent of our in-scope Tier conflict minerals were necessary to the functionality or production of covered products, up from 32% in 2020.
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Of the smelters or refiners reported by these suppliers, only of 311 uniquely identified smelters or refiners sourced conflict minerals from covered countries.
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We continue to work closely with our suppliers to ensure they implement responsible sourcing; obtain current, accurate and complete information about the supply chain; and encourage their smelters to obtain a “conflict-free” designation from an independent thirdparty auditor.
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We work with our suppliers to ensure they implement responsible sourcing and encourage their smelters to obtain “conflict-free” designations.
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of our in-scope private brands and proprietaryproduct Tier 1 suppliers participated over the last three years in our efforts to collect conflict minerals information.
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Sourcing Responsibly: Conflict Minerals Our company expects all suppliers that manufacture our products to provide appropriate information and conduct due diligence to enable our compliance with conflict minerals laws.
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We also expect these manufacturers to obtain products and materials from suppliers that are not involved in funding conflict in the Democratic Republic of the Congo (DRC) and adjoining covered countries.
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We partner with our private brands and proprietary product suppliers whose products contain tin, tungsten, tantalum or gold (referred to as the source of any of these minerals in the supply chain.
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As detailed in The Home Depot’s Conflict Minerals Report for the year ended Dec. 31, 2021, our efforts focused on collecting and disseminating information about the sourcing practices of our suppliers.
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We cataloged that information in a database using the conflict minerals reporting template developed by the Responsible Minerals Initiative®.
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Our in-scope Tier to 21 in 2021 from 91 in 2020 and from 71 in 2019.
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In assessment of products in scope, we continued to exclude any supplier of products where the supplier merely affixed company brands, trademarks, logos or labels to generic products manufactured by a third party, as permitted by SEC guidance.
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The Home Depot’s focus on selling products made from sustainable sources of wood dates to when certified-sustainable wood shelving first arrived in our aisles.
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