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About report 214 215 3M 2020 Sustainability Report #improvinglives Introduction
Report schedule and period.
Current issue: May 12, 2020.
Next issue: Scheduled for May 2021.
Previous issue: May 14, 2019.
Before 2010, the Sustainability Report was a fully integrated website. Therefore, copies before 2010 are not available.
This report provides a summary of the activities in fiscal year 2019 (January 1, 2019, to December 31, 2019).
Organizational boundaries.
This report covers 3M’s owned manufacturing facilities and leased facilities worldwide, including joint ventures (if greater than 50% 3M ownership) and partially-owned subsidiaries (if greater than 50% 3M ownership) where 3M has full operational control. Acquisitions are included in data sets once legally owned and fully integrated onto 3M systems. All data included in the report is global data unless otherwise specified. Any significant organization changes are identified in the Annual Report 2019 and 2020 Notice of Annual Meeting & Proxy statement.
Data collection, adjustments, and verification.
The data provided in this report through facts and figures is based on activities during 3M’s fiscal year 2019. For some performance indicators, the previous year’s data are provided to allow for annual comparisons.
Report data collection.
Due to the size and geographical extent of our operations, it is, at times, difficult to obtain all data points. Therefore, to the extent possible, limitations and assumptions are stated as information in the report. This report’s data has been reviewed for accuracy and completeness, including the reliability of the systems used to obtain the data.
Unless noted below, corporate staff have also verified the implementation of policies and management systems through audits and self-reporting systems.
• Financial data: Financial information referenced in this report is collected and reported in accordance with the United States Securities and Exchange Commission through the Annual Report 2019 • Environmental, health, and safety (EHS) data: The EHS data in this report is related to the environment, safety performance, management systems, implementation, and regulatory compliance. Data collection systems are in place at applicable sites to track and collect environmental, health, and safety data through the corporate-wide EHS reporting systems (e.g., Environmental Targets Database, EHS 360, etc.) • Social data: The data related to employee metrics, social practices, and community programs has been derived from various databases from within the Human Resources and 3M Foundation organizations. This data has been reviewed and verified by the departments responsible for maintaining the internal reporting systems • Responsible sourcing systems and data: The policies and management systems implementation in this area have been reviewed and verified by the departments responsible for maintaining the internal reporting systems.
Sites acquired by 3M are integrated into 3M programs and reporting systems via a prioritized functional integration schedule. Timeframe for integration varies depending on subject-matter reporting requirements and site systems before being acquired; however, on average, integration ranges between 1 to 3 years.
Base year and other adjustments 3M’s Annual Report 2019 and Investor Relations website document any changes to financial data. Several of 3M’s environmental goals are normalized per net sales. 3M does not adjust sales data for inflation.
3M generally does not adjust its base-year environmental metrics data to reflect changes in 3M’s organizational structure. As a result, 3M sets environmental targets that are normalized or indexed to production (tons emitted or net sales) to assure the environmental progress we report to the public is not unduly influenced by changes to our organizational structure. However, in the case of our greenhouse gas emissions data, 3M follows the World Resource Institute (WRI) and World Business Council for Sustainable Development (WBCSD) GHG Protocol. Consequently, we readjust our greenhouse gas emissions base-year data in the case of business acquisitions and divestitures.
Whenever feasible, 3M adjusts baseyear and other years’ data if data collection methods change or data errors are identified. Any significant changes in the measurement methods and/or data values applied to key environmental metrics from previous years are disclosed in the report. Significant changes are defined by this Sustainability Report as changes greater than 5% of the original data point.
About report, scope, and boundaries.
About report 216 217 3M 2020 Sustainability Report #improvinglives About report, scope, and boundaries
Between 2005 and 2010, 3M adopted a holistic definition of waste to drive the company’s waste reduction efforts toward more sustainable solutions, such as pollution prevention. 3M’s waste reduction goal and progress during this period included recycling. In 2011, 3M returned to a more conventional definition of waste that considered recycling as neutral (contributing neither toward total waste nor toward good output).
3M’s 2025 Sustainability Goals utilize 2015 as the base year. Starting in 2016, waste disposed and waste by disposal type do not include wasteto-energy. Total hazardous and total non-hazardous waste include wasteto-energy.
In 2018, we identified an opportunity for classification of our manufacturing sites for a portion of our greenhouse gas (GHG) emissions aligning to our 2002 inventory. This change impacted calculation methodologies for energy and waste GHG estimations. Therefore, limiting direct comparability of Scope 1, 2, and Scope 3 category 5 between reporting year 2017 and 2018. For this reason, reporting years 2017 and 2018 Scope 1 and 2 GHG emissions year-on-year comparison should be viewed as an estimate. The 2018 GHG inventory is fully comparable with baseline year 2002.
In 2019, updated emissions factors were identified and utilized for Scope 3, category 5. All historical values have been recalculated for Scope 3 category 5 and Total Scope 3 emissions (upstream). The recalculated Scope 3 category 5 values are directly comparable. In addition, the 2019 value of GHG Scope 3, category 2 (capital goods) substantially increased due to updated emission factors and an increase in gross property, plant, and equipment put into service. This increase does not impact previously reported Scope 3 category 2 values, and the 2019 Scope 3 category 2 value is comparable with previous years.
In the 2019 Sustainability Report the GRI table, section 401-1, stated total turnover rate as less than 6%. The turnover rate of less than 6% was for voluntary turnover, not total turnover.
Data verification.
Internal verification: 3M has conducted an internal verification of the information provided in this report. The objectives for our assurance process included: • Accuracy and completeness of data • Reliability of systems used to measure and record data • Reliability of ratios compiled from underlying data • Adherence to the GRI Standards • Implementation of internal policies and related management systems as reported • Presentation of a complete and fair picture in the report as a whole.
Third-party verification: APEX Companies, LLC [“Assurance Provider” or “APEX”] provided independent third-party assurance for this report covering activities January 1, 2019, to December 31, 2019. APEX provided moderate-level assurance in accordance with AA1000AS-2008, Type 2. APEX’s assurance letter can be found in the report under Assurance statement.
Global principles and guidelines.
Global Reporting Initiative.
The Global Reporting Initiative (GRI) is a network-based organization that includes representatives from business, government, labor, thirdparty advocacy groups, and academia. The GRI organization has developed a framework for Sustainability reporting. Following the GRI Sustainability framework advances two important objectives: transparency and the ability to compare results from one organization to another. 3M has developed this report using GRI Standards. The GRI index outlines where specific GRI reporting elements and indicators are addressed in the report or other reporting sources, including the Annual Report 2019, 2020 Notice of Annual Meeting & Proxy, and/or other noted sources on 3M’s Investor Relations website.
Our material aspects are identified in the GRI index and reflected in our Sustainability goals, with focus on Science for Circular, Science for Climate, and Science for Community. 3M self-declares this report has been prepared in accordance with the GRI Standards: comprehensive option.
United Nations Global Compact (UNGC) Communication on Progress (COP)
The UNGC is a strategic policy initiative for businesses that are committed to aligning their operations and strategies with 10 universally accepted principles in the areas of human rights, labor, environment, and anti-corruption. 3M committed to the UNGC principles in early 2014. This report includes an index of our COP implementing the 10 principles as well as alignment with the United Nations 2030 Sustainable Development Goals (SDGs) within the content of this 2020 Sustainability Report.
Sustainability Accounting Standards Board (SASB)
For our Sustainability reporting strategy, we utilize multiple tools and frameworks to assure we are objective, transparent, and globally relevant in our public reporting process. This includes GRI, SASB, and the SDGs.
With corporate operations in over 70 countries and sales in nearly all countries, our strategy is designed to be holistic. GRI was selected as the primary source referenced due to the global reach of the standard.
For SASB, our diversity of operations would not be represented by their current industry standard classifications. 3M is grouped as a primary SICS Sector: Resource Transformation, primary SICS Industry: Containers & Packaging. Using our 51 Technology Platforms, our integrated team of scientists and researchers works with customers to create breakthroughs via our Consumer, Transportation & Electronics, Safety & Industrial, and Health Care business groups.
Following the GRI Sustainability framework advances two important objectives: transparency and the ability to compare results from one organization to another.
In this year’s report, we detail our efforts on our 2018 materiality assessment. Before conducting this assessment, we reviewed and integrated SASB’s approach to materiality and materiality map to help prioritize the most important focus areas.
UNGC Principles and 2030 SDGs.
Refer to the GRI index table for crossreferences of content in this report with the 10 Principles of the UNGC and alignment with the 2030 SDGs.
Refer to the Sustainable development goals tables for alignment between 3M’s Sustainability goals and the 2030 SDGs.
Contact 3M.
It is through collaboration and partnerships that 3M can accelerate Sustainability in our company to improve every life.
You can contact 3M Sustainability at Sustainability@mmm.com.
About report 218 219 3M 2020 Sustainability Report #improvinglives About report, scope, and boundaries
Science for Circular goal UN SDG SDG Targets.
Reduce manufacturing waste by an additional 10%, indexed to sales.
12.5: By 2030, substantially reduce waste generation through prevention, reduction, recycling, and reuse.
Achieve zero landfill status at more than 30% of manufacturing sites.
12:5: By 2030, substantially reduce waste generation through prevention, reduction, recycling, and reuse.
Invest to develop more sustainable materials and products to help our customers reach their environmental goals.
AND.
Sustainability Value Commitment.
8.4: Improve progressively, through 2030, global resource efficiency in consumption and production and endeavour to decouple economic growth from environmental degradation, in accordance with the 10-year framework of programmes on sustainable consumption and production, with developed countries taking the lead.
9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes, with all countries taking action in accordance with their respective capabilities.
12.2: By 2030, achieve the sustainable management and efficient use of natural resources and/or 12.5: By 2030, substantially reduce waste generation through prevention, reduction, recycling, and reuse.
Drive supply chain Sustainability through targeted raw material traceability and supplier performance assurance.
12.2: By 2030, achieve the sustainable management and efficient use of natural resources and/or 12.7: promote public procurement practices that are sustainable, in accordance with national policies and priorities.
15.2: By 2020, promote the implementation of sustainable management of all types of forests, halt deforestation, restore degraded forests, and substantially increase afforestation and reforestation globally.
Reduce global water use by an additional 10%, indexed to sales.
6.4: By 2030, substantially increase water-use efficiency across all sectors and ensure sustainable withdrawals and supply of freshwater to address water scarcity and substantially reduce the number of people suffering from water scarcity.
Engage 100% of waterstressed/scarce communities where 3M manufactures on community-wide approaches to water management.
6.5: By 2030, implement integrated water resources management at all levels, including through transboundary cooperation as appropriate and/or 6.B: Support and strengthen the participation of local communities in improving water and sanitation management.
Sustainable development goals.
About report 220 221 3M 2020 Sustainability Report #improvinglives Sustainable Development Goals
Science for Climate goal UN SDG SDG Targets.
Improve energy efficiency indexed to net sales by 30%.
7.3: By 2030, double the global rate of improvement in energy efficiency.
Increase renewable energy to 50% of total electricity use (increased from 25%).
7.2: By 2030, increase substantially the share of renewable energy in the global energy mix and/or 7.A: By 2030, enhance international cooperation to facilitate access to clean energy research and technology, including renewable energy, energy efficiency and advanced and cleaner fossil-fuel technology, and promote investment in energy infrastructure and clean energy technology.
Ensure GHG emissions at least 50% below our 2002 baseline, while growing our business.
13.1: Strengthen resilience and adaptive capacity to climate-related hazards and natural disasters in all countries.
Help our customers reduce their GHGs by 250 million tons of CO2 equivalent emissions through use of 3M products.
13.1: Strengthen resilience and adaptive capacity to climate-related hazards and natural disasters in all countries.
Science for Community goal UN SDG SDG Targets.
Invest cash and products for education, community, and environmental programs.
1.4: By 2030, ensure that all men and women, in particular the poor and the vulnerable, have equal rights to economic resources, as well as access to basic services, ownership and control over land and other forms of property, inheritance, natural resources, appropriate new technology, and financial services, including microfinance.
2.1: By 2030, end hunger and ensure access by all people, in particular the poor and people in vulnerable situations, including infants, to safe, nutritious, and sufficient food all year round.
4.4: By 2030, substantially increase the number of youth and adults who have relevant skills, including technical and vocational skills, for employment, decent jobs, and entrepreneurship.
4.5: By 2030, eliminate gender disparities in education and ensure equal access to all levels of education and vocational training for the vulnerable, including persons with disabilities, indigenous peoples and children in vulnerable situations.
4.C: By 2030, substantially increase the supply of qualified teachers, including through international cooperation for teacher training in developing countries, especially least developed countries and small island developing states.
8.6: By 2020, substantially reduce the proportion of youth not in employment, education, or training.
10.2: By 2030, empower and promote the social, economic, and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion, or economic or other status.
11.6: By 2030, reduce the adverse per capita environmental impact of cities, including by paying special attention to air quality and municipal and other waste management.
12.A: Support developing countries to strengthen their scientific and technological capacity to move toward more sustainable patterns of consumption and production.
About report 222 223 3M 2020 Sustainability Report #improvinglives Sustainable Development Goals