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Hewlett Packard Enterprise Releases 2022 Living Progress Report

Eighth annual report exhibits HPE’s commitment to ESG goals and advancements made toward climate targets

Hewlett Packard Enterprise (NYSE: HPE) today released its annual Living Progress Report for fiscal year 2022, exhibiting the company’s business strategy and commitment for creating sustainable and responsible technology solutions for a data-first world. HPE enables customers to transform and modernize sustainability.

“Sustainability is inextricably linked to every part of our business,” said Antonio Neri, President and CEO. “At HPE, we have an opportunity and an obligation to help customers drive data-first modernization projects that are more accessible, responsible, inclusive, and sustainable. Our expertise in partnering throughout the lifecycle of our relationship with customers to help them achieve their sustainable IT objectives is a key reason why organizations choose HPE.”

HPE is progressing its net-zero transition

In 2022, HPE made the ambitious decision to accelerate our net-zero commitment by a decade to 2040 in order to act with urgency to address the climate crisis. Our commitment—and supporting suite of targets toward this goal—aligns with climate science, making HPE one of just two global tech companies with a 2040 net-zero target approved by the Science-based Target Initiative.

Our journey to net-zero begins with reducing emissions within our own control, primarily through energy reduction and the transition to clean energy. In just two years, HPE’s operational (Scope 1 & 2) emissions decreased 21% from our 2020 baseline, toward our target of 70% in 2030. To achieve this, we surpassed our 2025 target of sourcing 50% renewable electricity three years ahead of schedule.

Scope 3 emissions, those outside of our direct control, comprise our most meaningful lever to reduce the carbon footprints of not only HPE, but of the broader IT industry. In FY22, we flattened the emissions increases resulting from the pandemic recovery in 2021. Our overall Scope 3 emissions remained constant year-over-year despite a 2.6% increase in net revenue (5.1% on a constant currency basis), and we continue to focus on decoupling the growth of our business from emissions. Such efforts are so central to our business that we are transforming our offerings and business model in an effort to reduce the environmental impacts of our customers’ growing IT needs.

HPE as a service (aaS) offerings and innovations help transform and modernize sustainably

HPE is constantly looking for new ways to innovate, especially to help relieve our customers’ sustainability pain points. HPE innovates to produce new tools for customers to transform and modernize while reducing their IT carbon footprint, such as the recently announced HPE GreenLake sustainability dashboard and comprehensive suite of sustainability services. HPE is also frequently awarded and recognized on a national and global level for these innovations. For example, in June 2022, 96 HPE systems made the Green 500 list of the world’s most energy efficient supercomputers, with Frontier coming in as #1.

Embracing the circular economy is another great way customers and businesses can reduce their carbon footprints. HPE Financial Services (HPEFS) is a trusted partner for customers providing asset upcycling services for IT assets while unlocking their financial value – furthering customers’ sustainable digital transformations. Last year HPE Technology Renewal Centers processed ~3.6 million IT assets, remarketing 82% for a second life. Over the last three years, various HPEFS programs have been able to return over 3.1 million personal computers, 2.4 million servers and compute assets and close to 800,000 storage devices to active use.

Programs like this are a great example of how working towards sustainable IT goals can help customers save money and see better results. HPE views efficiency as a value add for customers – and one that is rapidly becoming an issue of market access. That is why HPE derived approximately $1.3 billion in net revenue contributed by our customer sustainability engagements in FY 2022, a more than 400% increase over 2018.

HPE fuels innovation through diversity, equity, and inclusion

HPE continues to advance principles of diversity, equity and inclusion (DEI) both within its workforce and beyond. In 2022, 50% of our board members identified with one or more diverse groups. In addition, we met our goal of increasing the representation of ethnically diverse talent by one percentage point year-over-year, and 36.3% of US promotions were earned by ethnically diverse team members, which is four percentage points higher than overall representation. HPE also achieved its goal, for the second year in a row, of increasing representation of women in executive roles (director level and above) by at least one percentage point.

Importantly, we also take care to drive DEI across how we operate and deliver community impact. For example, diverse innovators developing products and services for underserved communities tend to experience inequitable access to resources, which negatively impacts their ability to build their organizations and scale their urgently needed solutions. As such, HPE and the HPE Foundation support diverse-founded tech startup leaders developing solutions tackling climate change, improving healthcare, and strengthening human rights through the HPE Accelerating Impact employee-directed giving program, and the new HPE GreenLake for Startups initiative. We also work to ensure small and medium businesses from diverse communities have access to technology and technical training needed to grow and scale their businesses through a partnership with the University of Washington.

Cybersecurity risks continue to grow, but the pool of talent remains too small. In keeping with our belief in accelerating what’s next, HPE has been creating new talent by providing training and opportunities for overlooked candidates. In 2022, we launched the Cybersecurity Career Reboot Program which actively seeks out candidates who may be overlooked because they lack the experience required to land entry-level jobs in the field and who do not have university degrees. This program brings a completely new and diverse group into the workforce. During an intensive, six-month program, HPE pays participants while they learn the fundamentals of cybersecurity. Embedded within various cyber functions within HPE, they take on project-based work while being mentored by our team members.

Operating with the highest ethical standards

HPE’s commitment to winning the right way in the marketplace extends to being a trusted supplier and partner. In 2022, HPE launched three new supply chain responsibility targets related to worker training, worker voice, and no recruitment fees – seeking to strengthen our already robust human rights protections in our supply chain. These protections include monitoring programs that reached 235,533 workers in our supply chain in the last fiscal year.

HPE’s commitment to ethical business practices has been recognized globally through rankings and awards by several reputable organizations including:

  • Dow Jones Sustainability Index (DJSI) #2 in our industry
  • EcoVadis Platinum recognition (top 1%)
  • Ethisphere’s World’s Most Ethical Companies for the 5th consecutive year
  • JUST100 – #1 in our industry, #7 overall
  • MSCI – AAA score, 96th percentile

About Hewlett Packard Enterprise

Hewlett Packard Enterprise (NYSE: HPE) is the global edge-to-cloud company that helps organizations accelerate outcomes by unlocking value from all of their data, everywhere. Built on decades of reimagining the future and innovating to advance the way people live and work, HPE delivers unique, open and intelligent technology solutions as a service. With offerings spanning Cloud Services, Compute, High Performance Computing & AI, Intelligent Edge, Software, and Storage, HPE provides a consistent experience across all clouds and edges, helping customers develop new business models, engage in new ways, and increase operational performance. For more information, visit: www.hpe.com.

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