Reporting our progress

Eastman Sustainability Report 2016: Leadership. Innovation. Impact.
Reporting our progress
We’ve reported progress for several years through our Responsible
Care® membership. However, in 2009, we published the company’s
first sustainability review, aptly titled Our sustainability journey.
In that publication, we established our first set of short-term
sustainability goals at a corporate level, encompassing the three
pillars of sustainability — economic growth, environmental
stewardship, and social responsibility.
With the publication of our first sustainability report and GRI
supplement in 2011 and 2012, respectively, we expanded our
goals into short-, mid- and long-term goals. As we have evolved on
our journey, so have our goals. In our 2014 report, we streamlined
our goals into a clear set of aspirational core commitments.
We remain focused on making a measurable positive impact on
our business, employees, customers, communities and planet.
These next generation goals raised the bar, focused our efforts,
and enabled us to keep our eyes on the “big picture” targets of
our strategy.
This year, we continue to report on these aspirational goals and
targets, with a focus toward the year 2020. As we’ve achieved
goals or shifted our strategic focus in line with our corporate
strategy and portfolio transformation, we’ve added and refined the
goals to reflect our priorities. Goals achieved during our previous
reporting period have been removed.
Progress toward stated goals
Sustainable growth
Goal
Progress
Deliver new business solutions from
our world-class renewable technology
platforms.
Note: Replaces previously stated goal:
Developing new business utilizing renewable
feedstocks by 2020
New for
2016
Ensure all corporate innovation projects
are assessed against sustainability macro
trends
New for
2016
Complete Life Cycle Assessments
(LCAs) on all new product family
launches by 2015
New
Needs Improvement
12 Over the past few years, the company’s portfolio and increased focus on
innovation have continued to evolve. As such, our commitments to deliver
sustainable business solutions must also evolve. We’ve established this
new goal to reflect the company’s business strategy to exploit our worldclass biobased technology platforms while recognizing the history of our
renewable platforms. Work is currently underway to define measurable
targets to support this goal going forward.
As we move forward with an increased focus on sustainable innovation,
we are driving early-stage consideration of macro trends and
sustainability factors into the innovation and stage gate processes.
Through collaboration between the Corporate Innovation and Corporate
Sustainability teams, we are developing a framework to be used across
innovation platforms to assess the potential sustainability impacts of a
product at the earliest stage of identifying opportunities and applications.
As we complete the development of the framework and better understand
how the framework will shape our innovation efforts, we will look to
establish clear goals for measuring success.
By 2015, we completed representative LCAs for 54 product families that
have been commercialized since 2010. There have been 78 product family
launches since then for a 69% completion rate.
X
On Track
Progress details
Due to the increasing speed and number of product commercializations
over the past few years, we did not meet our initial goal. However,
we continue to prioritize completing LCAs for products where having
an LCA is important to our customers.
Met
Not Met
Contents | GRI Index | eastman.com
Improved footprint
Goal
Progress
Improve energy efficiency of operations by
20% by 2020 against the 2008 baseline
Progress details
Through 2015, we improved energy intensity by 8% compared to the
2008 baseline.
While we continue to show good progress, performance was less than
satisfactory in 2015. We continue to analyze the data and take corrective
actions as needed.
Reduce greenhouse gas (GHG) emissions
per unit of production (GHG intensity) by
20% by 2020 against the 2008 baseline
2015 greenhouse gas intensity was 0.90, a decrease of 12% compared to
the baseline.
Reduce nitrogen oxide (NOx) by 20%
and sulfur dioxide (SO2) by 40% by
2020 against the 2010 baseline*
2015 NOx emissions were 10,922 tons, a decrease of 1% compared
to the baseline.*
Over the last two years, we converted three boilers at our domestic sites
from coal to natural gas combustion. We plan to convert more boilers over
the next three years. The conversion from coal to natural gas will enhance
our emission reduction efforts and help us attain our goals.
2015 SO2 emissions were 18,663 tons, a decrease of 18% compared
to the baseline.*
Over the last two years, we converted three boilers at our domestic sites
from coal to natural gas combustion. We plan to convert more boilers over
the next three years. The conversion from coal to natural gas will enhance
our emission reduction efforts and help us attain our goals.
Reduce Volatile Organic Compounds (VOC)
by 15% by 2020 against the 2010 baseline
2015 VOC emissions were 7,865 tons, a decrease of 4% compared
to the baseline.
Reduce total number of reportable releases
by 25% against the 2010 baseline
In 2015, we had 49 reportable release events, a decrease of 20%
compared to the baseline.
Reduce Toxic Release Inventory (TRI)
emissions to the air by 25% by 2020
against 2010 baseline
2014 TRI air emissions were 7.3 million pounds, an increase of 17%
compared to the baseline.
Reduce hazardous waste (indexed to
production) by 15% by 2020 against the
2010 baseline
2015 hazardous waste indexed to production was 0.0083 kg
waste/kg production, a significant increase compared to the baseline.
Develop a water conservation strategy
for manufacturing sites in water-stressed
regions by 2015
After completing an initial assessment using the WBCSD Water Tool and
Aqueduct Water Risk Atlas in 2014, a cross-functional team surveyed eight
of our manufacturing sites considered to be in potentially water-stressed
areas based on the results. Of the eight sites, we identified no significant
gaps, with each site reporting either no scarcity, limited water use, or plans
currently in place to reduce water use.
Over the last two years, we converted three boilers at our domestic sites
from coal to natural gas combustion. We plan to convert more boilers over
the next three years. The conversion from coal to natural gas will enhance
our emission reduction efforts and help us attain our goals.
*Baselines have been adjusted to reflect available data following recent acquisitions, not including Taminco.
New
Needs Improvement
On Track
Met
Not Met
13
Eastman Sustainability Report 2016: Leadership. Innovation. Impact.
Progress toward goals (continued)
Social investment
Progress
Goal
Maintain our strong commitment to an
incident and injury free workplace with
continued goals and tracking:
Progress details
Since introducing the ALL IN FOR SAFETY initiative in 2012, we’ve
changed how we discuss and approach safety at Eastman. While we are
making progress, we recognize the need to continue efforts to meet our
safety targets and accelerate our journey towards the ultimate goal of
no one getting hurt. In 2015, we introduced a new vision statement to
articulate the importance of why we choose to act safely and established
five key elements: leadership, engagement, knowledge, processes, and
communication.
• Corporate Injury and Illness Recordable
Rates target <0.54*
• Days Away from Work Rates target
<0.12*
• Process Safety target <10* (incidents
defined as per the American Chemistry
Council)
• 2015 Injury and Illness Rate — 0.64
• 2015 DAW Rate — 0.17
• Process Safety Incidents in 2015 — 23 incidents
*We adjusted these targets in 2015 for
acquisitions and previous performance.
Measures reflect all sites, including Taminco sites acquired in 2014.
Increase utilization of preventive services
by employees and spouses in North
America 15% by 2017
Through 2015, we increased utilization of preventive services in North
America by 14% against our currently stated goal.
Through Eastman Wellness, we remind employees to take advantage
of the Eastman health plan benefits with preventive services being
covered at 100%. We also encourage employees to engage their personal
physicians and Cigna health plan coaches. Additionally, we collaborate
with local health service providers in communities where Eastman has a
presence, to offer on-site services and screenings for our employees.
Engage globally in impactful partnerships
that maximize collective value in the
areas of education, environment,
empowerment, and economic
development.
Education: Strategic partnerships between business and education help
ensure we have a successful workforce in the future. We will continue to
encourage innovative and productive thinking in real-world environments
to enable students to excel. Additionally, we will engage strategic
partnerships to create a sustainable model for educational initiatives in
site communities.
New for
2016
Environment: The Eastman team works hard to minimize our
environmental footprint by conserving natural resources, inventing more
efficient production methods, and developing chemistries that use
renewable raw materials. We strengthen partnerships, obtain insights and
deliver solutions that help reduce our footprint, support the Blue Economy
and improve the quantity and quality of food sources for our growing
population.
Empowerment: We are committed to building an engaging and dynamic
work environment with a mind-set of equality and inclusion that fosters
creativity, innovation and camaraderie across our global company. With
a focus on gender equity, we are developing plans for a signature program
to promote equality and parity across our workforce.
Economic Development: We take our work seriously and believe that
investing in communities builds trust, goodwill and long-term success for
all. Our goal is always to support innovative and impactful economic
development partnerships that directly benefit residents and improve
quality of life.
New
Needs Improvement
14 On Track
Met
Not Met