2012 CDP Response

Carbon Disclosure Project
CDP 2012 CDP Water Disclosure 2012 Information Request
Target Corporation
Module: Introduction - 2012 CDP Water Disclosure
Page: Introduction - 2012 CDP Water Disclosure
0.1
Introduction
Please give a general description and introduction to your organization.
Minneapolis-based Target Corporation (NYSE:TGT) serves guests at 1,764 stores across the United States and at Target.com. The company will open its first
stores in Canada in 2013. In addition, the company operates a credit card segment that offers branded proprietary credit card products. Since 1946, Target has
given five percent of its income through community grants and programs; today, that giving equals more than $3 million a week. For more information about
Target's commitment to corporate responsibility, visit Target.com/hereforgood.
0.2
Reporting Year
Please state the start and end date of the year for which you are reporting data.
Enter the period that will be disclosed.
Tue 01 Feb 2011 - Tue 31 Jan 2012
0.3
Reporting Boundary
Please indicate the category that describes the reporting boundary for companies, entities, or groups for which water-related impacts are reported.
Companies, entities or groups over which operational control is exercised
0.4
Exclusions
Are there any geographies, facilities or types of water inputs/outputs within this boundary which are not included in your disclosure?
Yes
0.4a
List of Exclusions
Please describe any exclusion(s) in the following table.
Exclusion
Non - U.S.
facilities
Please explain why you have made the exclusion
Our current disclosure does not include our headquarters and sales facilities outside of the United States; this includes three buildings in India
and several small offices scattered around the globe. These facilities are currently excluded due to a lack of reliable data on water consumption.
However, based on estimates of potential consumption from these sources, they are considered de minimis, and likely contribute a nominal
portion to our total consumption.
Module: 2012-Water-Management
Page: 2012-Water-1-ManagementGovernance
1.1
Does your company have a water policy, strategy or management plan?
Yes
1.1a
Please describe your policy, strategy or plan, including the highest level of responsibility for it within your company and its geographical reach.
Country or
geographical
reach
United States of
America
1.1b
Description of policy, strategy or plan
Position of
responsible
person
The Property Development and Corporate Sustainability teams primarily coordinate Target’s water strategy, identify key
initiative areas, assess risks and opportunities, and execute the company’s approach to water management. Our Sourcing
and Product Design & Development groups also address water in our supply chain through several industry initiatives. The
scope of the risks and opportunities considered include but are not limited to changes in regulation (company and asset
level), policy (company and asset level), and building codes (asset level), guest behavior (company level), reputation
(company level), impact to water reduction goal (company level), and extreme weather conditions (asset level). The
Sustainability Team also works closely with partners from other divisions of the company to develop initiatives, monitor, and
report progress on the risks and opportunities identified above. These partners are brought together in five cross-functional
Focus Teams that bring together more than 100 partners from across the company on a regular basis to advance our work
in our four public commitments to sustainability: (1) Sustainable Living (2) Sustainable Products (Supply Chain and Product
& Packaging) (3) Smart Development, and (4) Efficient Operations (Facilities and Transportation). Our water strategies and
performance are most directly addressed by the Commitment 4 Focus Team for Efficient Operations. It is also being
addressed by the Commitment 2 Focus Team for Products – Supply Chain. The teams are led by a director level
representative from outside the Sustainability Team, and are supported by a member of the Sustainability Team. The teams
report their progress on initiatives, risk mitigation, and opportunities at both the company and asset level on a quarterly basis
to the Sustainability Leadership Council. The Sustainability Leadership Council consists of Vice President or Senior Vice
President level representatives from Marketing, Merchandising, Property Development, Distribution (Transportation), and
Stores. The Sustainability Leadership Council provides updates to executive leadership at least once a year and can
elevate issues of significance throughout the year.
Sub-set of the
board
Does the water policy, strategy or plan specify water-related targets or goals?
Yes
1.1c
Please describe these water-related targets or goals and the progress your company has made against them.
Country or geographical
reach
United States of America
Category of target or
goal type
Direct operations
Description of target or goal
Progress against target or goal
Reduce water usage by 10% per square foot
by fiscal year end, 2015.
As of FYE, 2011, we have reduced our water usage by
0.3% from the 2009 baseline year.
1.1d
You may explain here why your company does not have a water policy, strategy or plan and if you intend to put one in place.
1.2
Do you wish to report any actions outside your water policy, strategy or management plan that your company has taken to manage water resources or
engage stakeholders in water-related issues?
Country or
geographical
reach
United States of
Category of action
Direct operations
Description of action and outcome
Specified High Efficiency Plumbing Fixtures throughout our facilities, where allowed by building codes. In doing so we
Country or
geographical
reach
America
United States of
America
United States of
America
United States of
America
Category of action
Direct operations
Direct operations
Direct operations
United States of
America
Direct operations
United States of
America
Direct operations
Global
Supply chain and
watershed
management
Global
Supply chain and
watershed
management
Description of action and outcome
have been able to reduce our domestic water consumption by approximately 30% better than code requirements.
Implemented retrofit of existing Starbucks dipper wells in current Target stores from continuous flow to metered units.
This is estimated to save nearly 30 million gallons chain wide per year.
Implemented removal of existing ice cream dipper wells in current Target stores. This is estimated to save
approximately 20 million gallons chain wide per year.
Implemented a plumbing fixture retrofit test at current store locations to determine water and cost savings of replacing
current plumbing fixtures with High Efficiency fixtures.
Completed installation of weather-based irrigation controller systems across approximately 200 stores, resulting in a
20% average decrease in total municipal water usage per site. Based on the success of these installations Target is
currently expanding the program to more stores through 2012.
Completed stormwater retrofit of existing store in partnership with local watershed districts, Target was able to retrofit
existing sites with additional stormwater features, which will decrease the quantity of runoff and improve the quality of
stormwater from our site. Currently Target is exploring additional opportunities in this area.
We have been heavily engaged in the multi-stakeholder group- the Sustainable Apparel Coalition for the past three
years, with other retailers, brands, suppliers, NGOs, academic experts, and the U.S. Environmental Protection
Agency. Collectively, we developed an index tool that creates a common approach for measuring and evaluating
sustainability performance in the supply chain, including water. We will use this tool to collect sustainability data later
this year, and eventually incorporate sustainability metrics into our existing vendor and supplier scorecards.
Our Product Design and Development team is also working with the Clean by Design program aimed at reducing the
environmental impact of the textile industry. A select group of fabric mills participated in a pilot where low-cost and
no-cost investments were identified to reduce waste, water, and energy use at the mills. These investments have a
payback period under a year and represents thousands of dollars in annual savings.
Module: 2012-Water-RisksOps
Page: 2012-Water-2-indicators-op
2.1
Are any of your operations located in water-stressed regions?
Don't know
2.1a
Please specify the method(s) you use to characterize water-stressed regions (you may choose more than one method).
Method used to define water stress
Please add any comments here:
2.1b
Please list the water-stressed regions where you have operations and the proportion of your total operations in that area.
Country or geographical reach
Region within country
Proportion of operations located
in this region (%)
Further comments
2.1a
Please specify the method(s) you use to characterize water-stressed regions.
Method used to define water stress
Please add any comments here:
2.1c
You may explain here why you are not able to identify which of your operations are located in regions subject to water stress and whether you have
plans to investigate this in the future.
We have not performed a detailed analysis of which facilities are located in water stressed areas in part because our water use intensity per built square foot or
square meter is roughly equivalent to the intensity of residential water use per built area of unit. There are facilities in areas which may experience droughts at
times, but we have not performed an analysis determining if they are located in areas which have long term water stress.
2.2
Are there other indicators (besides water stress) which you wish to report that help you to identify which of your operations are located in regions
subject to water-related risk?
2.2
Are there other indicators (besides water stress) which you wish to report that help you to identify which of your operations are located in regions
subject to water-related risk?
2.2
Are there other indicators (besides water stress) which you wish to report which help you to identify which of your operations are located in regions
subject to water-related risk?
No
2.2a
Please list the regions at risk where you have operations, the relevant risk indicator and proportion of your total operations in that area.
Country or
geographical reach
Region within country
Risk Indicator
Proportion of operations located
in this region (%)
Further comments
2.2a
Please list the regions at risk where you have operations, the relevant risk indicator and proportion of your total operations in that area.
Country or
geographical reach
Region within country
Risk Indicator
Proportion of operations located
in this region (%)
Further comments
2.2a
Please list the regions at risk where you have operations, the relevant risk indicator and proportion of your total operations in that area.
Country or
geographical reach
Region within country
Risk Indicator
Proportion of operations located
in this region (%)
Further comments
2.2b
You may explain here why you do not wish to report or why you do not use other indicators to identify which of your operations are located in regions
subject to water-related risk.
2.2b
You may explain here why you do not use or wish to report other indicators to identify which of your operations are located in regions subject to waterrelated risk.
2.2b
You may explain here why you do not use or wish to report other indicators to identify which of your operations are located in regions subject to waterrelated risk.
The majority of our water consumption is related to water use for restroom fixtures and irrigation. We have identified heavy water use locations and plan to monitor a
subset of those facilities to further understand operations and activities which impact water consumption. This will allow us to implement market and site specific
water reduction initiatives to counteract or lessen the impact a drought could have on our operations and thus the communities in which we operate.
2.3
Please specify the total proportion of your operations that are located in the regions at risk which you identified in questions 2.1 and/or 2.2.
2.3
Please specify the total proportion of your operations that are located in the regions at risk which you identified in questions 2.1 and/or 2.2.
2.3
Please specify the total proportion of your operations that are located in the regions at risk which you identified in questions 2.1 and /or 2.2.
2.4
Please specify the basis you use to calculate the proportions used for questions 2.1 and/or 2.2.
Basis used to determine proportions
Please add any comments here
2.4
Please specify the basis you use to calculate the proportions used for questions 2.1 and/or 2.2.
Basis used to determine proportions
Please add any comments here
2.4
Please specify the basis you use to calculate the proportions used for questions 2.1 and/or 2.2
Basis used to determine proportions
Please add any comments here
Page: 2012-water-indicators-sc
2.5
Do any of your key inputs or raw materials (excluding water) come from regions subject to water-related risk?
Don't know
2.5a
Please state or estimate the proportion of your key inputs or raw materials that come from regions subject to water-related risk.
Input or material
Proportion of key input or raw material that
comes from region at risk (%)
Unit used for calculating
percentage
Further comments
2.5b
You may explain here why you are not able to identify if any of your key inputs or raw materials come from regions subject to water-related risk and
whether you have plans to explore this issue in the future.
At this time, we have not completed a full assessment of our key inputs or raw materials (excluding water) that come from regions subject to water - related risks to
fully understand the impact. We will continue our work with the Natural Resource Defense Council and the Sustainable Apparel Coalition to address water
consumption in our supply chain.
Page: 2012-water-3-riskassess-op
3.1
Is your company exposed to water-related risks (current or future) that have the potential to generate a substantive change in your business operation,
revenue or expenditure?
No
3.1a
Please describe (i) the current and/or future risks to your operations, (ii) the ways in which these risks affect or could affect your operations before
taking action, (iii) the estimated timescale of these risks, and (iv) your current or proposed strategies for managing them.
Country or
geographical reach
Risk type
Potential
business impact
Estimated
timescale (years)
Risk management
strategies
3.1b
Please explain why you do not consider your company to be exposed to any water-related risks that have the potential to generate a substantive change
in your business operation, revenue or expenditure.
The majority of our water consumption is related to water use for restroom fixtures and irrigation. We are aware of the risk droughts pose to our operations and to
our water reduction goal. In the future, we plan to identify heavy water use locations and monitor areas projected to experience drought conditions. This will allow
us to implement market and site specific water reduction initiatives to counteract or lessen the impact a drought could have on our operations and thus the
communities we operate in. However, we do not anticipate this to cause a substantive change in our operations.
3.1c
Please explain why you do not know if your company is exposed to any water-related risks that have the potential to generate a substantive change in
your business operation, revenue or expenditure, and if you have plans to assess this risk in the future.
3.2
What methodology and what geographical scale (e.g. country, region, watershed, business unit, facility) do you use to analyze water-related risk across
your operations?
Risk methodology
The Property Development and Corporate Sustainability teams primarily coordinate Target’s water strategy, identifies key initiative areas, assess
risks and opportunities, and execute the company’s approach to water management. Our Sourcing and Product Design & Development groups
also address water in our supply chain through several industry initiatives. The scope of the risks and opportunities considered include but are
not limited to changes in regulation (company and asset level), policy (company and asset level), and building codes (asset level), guest
behavior (company level), reputation (company level), impact to water reduction goal (company level), and extreme weather conditions (asset
level). The Sustainability Team also works closely with partners from other divisions of the company to develop initiatives, monitor, and report
progress on the risks and opportunities identified above. These partners are brought together in five cross-functional Focus Teams that bring
together more than 100 partners from across the company on a regular basis to advance our work in our four public commitments to
sustainability: (1) Sustainable Living (2) Sustainable Products (Supply Chain and Product & Packaging) (3) Smart Development, and (4)
Efficient Operations (Facilities and Transportation). Our water strategies and performance are most directly addressed by the Commitment 4
Focus Team for Efficient Operations. It is also being addressed by the Commitment 2 Focus Team for Products – Supply Chain. The teams
are led by a director level representative from outside the Sustainability Team, and are supported by a member of the Sustainability Team. The
teams report their progress on initiatives, risk mitigation, and opportunities at both the company and asset level on a quarterly basis to the
Country or
geographical
scale
Country
Risk methodology
Country or
geographical
scale
Sustainability Leadership Council. The Sustainability Leadership Council consists of Vice President or Senior Vice President level
representatives from Marketing, Merchandising, Property Development, Distribution (Transportation), and Stores. The Sustainability Leadership
Council provides updates to executive leadership at least once a year and can elevate issues of significance throughout the year.
Page: 2012-water-riskassess-sc
3.3
Do you require your key suppliers to report on their water use, risks and management?
No
3.4
Is your supply chain exposed to water-related risks (current or future) that have the potential to generate a substantive change in your business
operation, revenue or expenditure?
Yes
3.4a
Please describe (i) the current and/or future risks to your supply chain, (ii) the ways in which these risks affect or could affect your operations before
taking action, (iii) the estimated timescale of these risks and, (iv) your current or proposed strategies for managing them.
Country or
geographical
reach
Global
Risk type (to
supplier)
03. Physical:
Increased water
stress or
scarcity
Potential business
impact (to responding
company)
Reduction/disruption in
production capacity
Estimate
timescale
(years)
11 – 20
Risk management strategies (by responding company)
We understand that increased water stress or scarcity may affect our operations,
customers, and supply chain through a number of parameters: including changing
precipitation patterns and prolonged droughts. These risks have financial implications
but we have not quantified the impact. We are managing these risks through work
with the Natural Resource Defense Council’s Clean by Design Program and the
Sustainable Apparel Coalition. We have been heavily engaged in the multistakeholder Sustainable Apparel Coalition for the past three years, with other
retailers, brands, suppliers, NGOs, academic experts, and the U.S. Environmental
Protection Agency. Collectively, we developed an index tool that creates a common
approach for measuring and evaluating sustainability performance in the supply
chain, including water consumption. We will use this tool to collect sustainability data
later this year, and eventually incorporate sustainability metrics into our existing
vendor and supplier scorecards. Our Product Design and Development team is also
working with the Clean by Design program aimed at reducing the environmental
impact of the textile industry. A select group of fabric mills participated in a pilot
where low-cost and no-cost investments were identified to reduce waste, water, and
energy use at the mills. These investments have a payback period under a year and
represents thousands of dollars in annual savings.
3.4b
Please explain why you do not consider your supply chain to be exposed to any water-related risks that have the potential to generate a substantive
change in your business operation, revenue or expenditure.
3.4c
Please explain why you do not know if your supply chain is exposed to any water-related risks that have the potential to generate a substantive change
in your business operation, revenue or expenditure, and if you have plans to assess this risk in the future.
Page: 2012-Water-4-Impacts
4.1
Has your business experienced any detrimental impacts related to water in the past five years?
No
4.1a
Please describe these detrimental impacts including (i) their financial impacts and (ii) whether they have resulted in any changes to company practices.
4.1b
Please explain why you do not know whether your business has experienced any detrimental impacts related to water in the past five years and if you
have any plans to explore this in the future?
Page: 2012-Water-5-Opportunities
5.1
Do water-related issues present opportunities (current or future) that have the potential to generate a substantive change in your business operation,
revenue or expenditure?
No
5.1a
Please describe (i) the current and/or future opportunities, (ii) the ways in which these opportunities affect or could affect your operations (iii) the
estimated timescale and (iv) your current or proposed strategies for exploiting them.
Country or
geographical reach
Opportunity type
Potential
business impact
Estimated timescale
Strategy to exploit
opportunity
5.1b
Please explain why you do not consider water-related issues to present opportunities to your company that have the potential to generate a substantive
change in your business operation, revenue or expenditure or supply chain.
Our water intensity usage is similar to that of a typical home, in terms of usage per unit of area, and the cost of water per unit of sales is extremely low. Much of our
water usage is also driven by Building and Health codes which have requirements on specific flow rates and fixture quantities. Dramatic changes to these
regulations are highly unlikely, thought if passed, we can readily implement when required. Additionally, with water costs as a small percentage of operational
expenses, we do not anticipate a substantive change in our business operations, revenue, or expenditure.
5.1c
Please explain why you do not know whether water-related issues present opportunities to your company that have the potential to generate a
substantive change in your business operation, revenue or expenditure.
Page: 2012-Water-6-tradeoffs
6.1
Has your company identified any linkages or trade-offs between water and carbon emissions in its operations or supply chain?
Yes
6.1a
Please describe the linkages or trade-offs and the related management policy or action.
Linkage or trade-off
Policy or action
As part of our faucet flow-reduction projects in our operations, our analysis showed that
energy-related tradeoffs exist. Retrofits of existing faucets can result in higher energy use due
to the use of pumps and other energy consuming devices. Health codes require that hot water
be delivered within a certain timeframe to ensure sanitation. Depending on location of the
fixtures in relation to the hot water heater, a continuous circulation pump may be required. The
pump ensures hot water will be delivered within the health-code requirements.
A thorough analysis of overall advantages and disadvantages
including first costs, lifecycle costs, maintenance cost and
expertise, operational efficiency, risk factors, and applicable
regulations and codes is typically performed for each
innovation.
Water-cooled cooling towers and water-cooled condensers are two other systems that can
cause linkages between water and energy/carbon policies. Both systems use water as an
efficient method of rejecting heat for mechanical systems; however, the water is lost to
evaporation, and must be continually replaced.
A thorough analysis of overall advantages and disadvantages
including first costs, lifecycle costs, maintenance cost and
expertise, operational efficiency, risk factors, and applicable
regulations and codes is typically performed for each
innovation.
Module: 2012-Water-Account
Page: 2012-Water-7-Withdrawals
7.1
Are you able to provide data, whether measured or estimated, on water withdrawals within your operations?
Yes
7.1a
Please report the water withdrawals within your operations for the reporting year.
Country or
geographical reach
United States of
America
Withdrawal type
Municipal water
Quantity (megaliters/year)
Proportion of data that has
been verified (%)
13059.67
0
Comments
7.1b
Please explain why you are not able to provide data for water withdrawals.
7.2
Are you able to provide data, whether measured or estimated, on water recycling/reuse within your operations?
No
7.2
Are you able to provide data, whether measured or estimated, on water recycling/reuse within your operations?
7.2a
Please report the water recycling/reuse within your operations for the reporting year.
Country or
geographical reach
Quantity (megaliters/year)
Proportion of data that has
been verified (%)
Comments
7.2a
Please report the water recycling/reuse within your operations for the reporting year.
Country or
geographical reach
Quantity (megaliters/year)
Proportion of data that has
been verified (%)
Comments
7.2b
Please explain why you are not able to provide data for water recycling/reuse within your operations.
We currently have no facilities which recycle or re-use water, and have one facility which captures rainwater for use in flushing toilets and urinals. We do not have a
meter at the facility to report the amount of water captured and used within our operations.
7.2b
Please explain why you are not able to provide data for water recycling/reuse within your operations.
7.3
Please use this space to describe the methodologies used for questions 7.1 and 7.2 or to report withdrawals or recycling/reuse in a different format to
that set out above.
Water usage data is aggregated from multiple sources into a single database. The database allows Target to monitor cost and consumption data, which can be
viewed by site, service category, and by total enterprise wide operations across the United States. The water data is separated into various categories, ranging from
domestic water, irrigation, to fire protection. This database allows Target to identify areas of major water consumption and where opportunities for reductions
strategies exist.
7.3
Please use this space to describe the methodologies used for questions 7.1 and 7.2 or to report withdrawals or recycling/reuse in a different format to
that set out above.
7.4
Are any water sources significantly affected by your company's withdrawal of water?
No
7.4a
Please list any water sources significantly affected by your company's withdrawal of water.
Country or geographical reach
Water source
Impact
Company action and outcomes
7.4b
You may explain here why your company's withrawal of water does not significantly affect any water sources.
As a retailer, we do not operate in a water intensive industry where significant water withdrawals are necessary. We are not aware of any water sources significantly
affected by our withdrawal of water. A small percentage of our buildings (less than 1%) directly withdraw water via water wells. A large percentage of our buildings'
water is supplied via municipal systems. Our strategy is to achieve milestones in our business by using resources responsibly, eliminating waste, and minimizing
our water consumption.
7.4c
Please explain why you do not know if any water sources are significantly affected by your company's withdrawal of water.
Page: 2012-Water-8-Discharges
8.1
Are you able to identify discharges of water from your operations by destination, by treatment method and by quality using standard effluent
parameters?
No
8.1a
Please explain why you are not able to identify discharges from your operations by destination, treatment method and quality and whether you have any
plans to put in place systems that would enable you to do so.
As a retailer, we do not identify our downstream discharge points nor by treatment method. Our organizations primary use of water is for domestic and irrigation
purposes.
8.2
Did your company pay any penalties or fines for significant breaches of discharge agreements or regulations in the reporting period?
No
8.2a
Please describe the location and impact of the discharge that was the subject of the significant breach(es), the associated fines and any actions taken to
minimise the risk of future non-compliance.
Country or geographical reach
Impact
Fines and penalties
Company action and outcomes
8.3
Are any water bodies and related habitats significantly affected by discharges of water or runoff from your operations?
No
8.3a
Please list any water bodies and associated habitats which are significantly affected by discharge of water or runoff from your operations.
Country or geographical reach
Water body
Impact
Company action and outcomes
8.3b
You may explain here why your company's discharge of water does not significantly affect any water bodies or associated habitats.
As a retailer, we do not operate in a water intensive industry where significant discharges of water are necessary. We are not aware of any water sources
significantly affected by our discharges of water. As previously mentioned, our strategy is to achieve milestones in our business by using resources responsibly,
eliminating waste, and minimizing our water consumption.
8.3c
Please explain why you do not know if any water bodies and associated habitats are significantly affected by discharge of water or runoff from your
operations.
Page: 2012-Water-9-Intensity
9.1
Please provide any available financial intensity values for your company's water use across its operations.
Country or geographical
region
United States of America
Financial metric
Revenue
Water use type
(megaliters)
Water use in operations
Currency
USD($)
Financial intensity
(Currency/megaliter)
5242552
Please provide any contextual details
that you consider relevant to
understand the units or figures you
have provided.
Intensity is reported as US dollars per
mega-liter
9.2
Please provide any available water intensity values for your company's products across its operations.
Country or geographical region
Product
CDP 2012 CDP Water Disclosure 2012 Information Request
Product unit
Water unit
Water intensity
(Water unit/product
unit)
Water use type
Please provide any
contextual details that you
consider relevant to
understand the units or
figures you have provided.