1. December 15, 2000 & Slide 1 ESS Reinvent ion hp – Inventing for Environmental Sustainability Implications for Environmental R&D in the Electronics Industry Cliff Bast, Global Manager hp Environmental Strategies and Solutions Berkeley Environmental R&D Symposium December 15,2000

2. December 15, 2000 Slide 2 hp’s vision create ”a winning e-company with a shining soul.” to lead in an internet age to invent for the common good

3. December 15, 2000 Slide 3 e-services: our internet strategy and vision information appliances always-on internet infrastructure e-services hp

4. December 15, 2000 Slide 4 A new mission for hp : Invent and deliver environmentally sustainable solutions for the common good

5. December 15, 2000 Slide 5 Evolutionary stages of sustainability Pollution control Facilities and operations improvements Risk management and liability reduction Environmental management systems Regulatory compliance 1980’s Product stewardship Design for the environment Life cycle analysis Product take-back Green packaging Eco-labeling Supply chain management 1990’s Sustainability Design environmentally sustainable products and services to meet new market needs Invent solutions to address sustainability challenges Integration of social,economic and environmental aspects 2000’s

6. December 15, 2000 Slide 6 Sustainability model Integrating the three E’s Corporate Sustainability Strategy Customer and shareholder value Customer and shareholder value Economic Development Environment Social Equity

7. December 15, 2000 Slide 7 hp’s environmental goals GOAL 2: Invent and deliver tomorrow’s sustainable business solutions GOAL 2: Invent and deliver tomorrow’s sustainable business solutions GOAL 1: Deliver leading company-wide environmental performance in today’s products and processes

8. December 15, 2000 Slide 8 hp’s strategic focus areas Inventing for environmental sustainability Energy Efficiency De-materialization End-of-life Product solutions Critical Success Factors: Supply Chain Integration and Strategic Partnerships

9. December 15, 2000 Slide 9 NEED Improved tools to validate and prioritize environmental issues DRIVEN BY The more credible the business case, the easier it is to drive environmental invest- ments and priorities (industry, government, NGO’s) COMMENTS Today’s issues are complex and often controversial/ involve more difficult trade- offs General Framework for Environmental R&D Needs and Opportunities

10. December 15, 2000 Slide 10 NEED More effective mechanisms to elevate public awareness and attention to priority environmental issues DRIVEN BY Key to driving changes in personal (environ- mentally responsible) behaviors This also drives the market forces that are the basis for industry action and contribution COMMENTS - Key to break- through progress - Major solutions will require strategic partnering and broad collaboration among stakeholders General Framework for Environmental R&D Needs and Opportunities

11. December 15, 2000 Slide 11 NEED Enabling technologies and infrastructures DRIVEN BY Key to addressing the expected growth in population and affluence (i.e, Stu Hart) COMMENTS - Key to break- through progress - Major solutions will require strategic partnering and broad collaboration among stakeholders General Framework for Environmental R&D Needs and Opportunities

12. December 15, 2000 Slide 12 Examples of Current Needs - Eco-efficient recycling technologies and infra- structures - Move towards standard recyclable materials (industry-wide) - Minimization/elimination of hazardous materials where feasible Examples of Future Opportunities - Web-enabled transition from products to solutions/ services - Break from traditional structures in developing economies (e.g., wireless) - Validate/publicize the environmental benefits of e-retailing and other Web-enabled services Specific Examples of Environmental R&D Needs and Opportunities – Product End-of-Life Solutions

13. December 15, 2000 Slide 13 Examples of Current Needs - More energy efficient buildings and manufacturing processes - Reduced power requirements/more energy efficient power supplies in IT products - Advances in packaging + energy efficient logistics Examples of Future Opportunities -Web-enabled transition from products to solutions/services - Break from traditional structures in developing economies (e.g., wireless) - Validate/publicize the environmental benefits of e-retailing and other Web-enabled services Specific Examples of Environmental R&D Needs and Opportunities – Energy Efficiency

14. December 15, 2000 Slide 14 Examples of Current Needs - Reduced footprint and more multi- function products - Advances in packaging - Function-specific initiatives Examples of Future Opportunities - Web-enabled transition from products to solutions/ services - Break from traditional structures in developing economies (e.g., wireless) - Validate/publicize the environmental benefits of e-retailing and other Web-enabled services Specific Examples of Environmental R&D Needs and Opportunities – De-materialization