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2011 Performance
Data Summary

Over the course of a year, IBM uses a series of metrics to measure our corporate responsibility efforts. Below is a summary of the data in several important areas. Our Key Performance Indicators (KPIs) for various parts of the business are also noted, along with some explanation of each.

Denotes Key Performance Indicator.

Employees

At IBM, we focus on enabling IBMers to flourish by providing guidance and opportunities for career and expertise growth, allowing IBM and IBMers to succeed in this rapidly changing world. IBM blends traditional, virtual and work-enabled learning and development activities to accomplish this. As realized in 2011, this strategy enables us to provide timely, comprehensive and targeted learning while achieving more efficient, effective learning delivery.

20072008200920102011
Learning Investments Worldwide ($M)622648490547466
Learning Hours Worldwide (M)22.323.225.528.627.4
Learning Hours Per Employee5861646763

IBM has demonstrated 100 years of commitment to addressing the specific needs of women in our workforce, and to creating work-life and career development programs that address their needs. We continue to monitor the progress and leadership development of women in our workforce and provide opportunities across the more than 170 countries where we do business.

20072008200920102011
Women in IBM Workforce (%)
Global Workforce28.828.928.728.128.5
Global Executives20.321.221.221.421.5
Managers24.824.524.624.824.6
Global Illness/Injury Rate
Total Number (per 100 employees)0.320.300.270.270.36
Employee and Retiree Volunteering via On Demand Community (Hours in Thousands)
Asia Pacific163143118111663
Europe, Middle East, Africa210175155198430
Latin America42414344152
North America1,3031,1709541,1101,956
Total participation in 2011 was 300,000 volunteers in 120 countries.

Giving

IBM tracks global corporate contributions by issue, geography and type of grant. Giving by issue is important as our goal is to maintain education as our primary focus. Giving by geography is important to understand the alignment of our resources to our global operations. The type of giving—services, technology (including software) and cash—is important as we focus on providing the best of our company’s technical services and technology to address key social issues.

While education is our highest priority, we currently intend to maintain some investment in human services, culture, health and the environment. Additionally, we want to keep flexibility for new initiatives and to meet extraordinary external conditions. Our balance of contributions in 2011 met these goals. Our overall contributions rose by 3.6 percent, in line with the five-year trend. IBM is a globally integrated enterprise operating in nearly 170 countries. In 2011, the percentage of contributions in mature markets generally fell, while contributions in developing markets rose. Some of our contributions are given on a globally competitive basis, so geographical distribution may vary due to the number and quality of applications. By type of contribution, services as a percentage of total contributions increased most significantly in 2011, consistent with our focus in grants of providing solutions.

We do not set goals for percentage change in contributions year over year, nor for giving by geography or by type of contribution. We focus instead on increasing the quality of our work with organizations on projects that successfully use IBM solutions and that have significant impact on key social issues. Current trends in contributions will not necessarily continue, but rather will be determined within the framework of increasing the effectiveness of our contributions.

20072008200920102011
Global Corporate Contributions by Issue ($M)
K–12 Education41.745.444.034.728.8
Higher/Other Education49.282.692.4116.8113.0
Culture11.910.55.73.23.8
Human Services16.715.315.07.717.9
Health4.64.04.24.34.5
Other40.719.319.916.122.7
Environment1.82.24.76.45.4
Total166.6179.3185.9189.2196.1
Global Corporate Contributions by Type ($M)
Cash43.842.940.339.346.9
Technology55.893.8102.2105.391.3
Services67.042.643.444.657.9
Total166.6179.3185.9189.2196.1
Global Corporate Contributions by Geography ($M)
United States91.894.677.175.870.8
Asia Pacific22.324.445.434.836.3
Canada3.63.48.46.86.8
Europe, Middle East, Africa40.844.435.254.360.2
Latin America8.112.519.817.522.0
Total166.6179.3185.9189.2196.1
Employee Charitable Contribution Campaign (US)
Amount Donated ($M)35.136.136.136.236.5
Employee Participation Rate (%)5857595958.3
Recipient Agencies*8,3668,7769,4869,7069,613
Employee Charitable Fund (Canada)
Amount Donated ($M)3.33.03.03.03.1
Employee Participation Rate (%)4949434244
Recipient Agencies*1,3231,1501,3731,4801,446
*Data for 2007–2010 has been revised.

Environment

IBM maintains goals covering the range of its environmental programs, including climate protection, energy and water conservation, pollution prevention, waste management and product stewardship. These goals and our performance against them are discussed in the Environment section of this report. The goals identified here as KPIs are based on stakeholder interest and materiality. IBM considers all of its goals to be important metrics of the company’s performance against its commitment to environmental protection.

IBM’s goal is to achieve annual energy conservation savings equal to 3.5 percent of IBM’s total energy use. IBM again achieved this goal in 2011, attaining a 7.4 percent savings from energy conservation projects.

20072008200920102011
Energy Conservation
As % of total electricity use3.86.15.45.77.4
Renewable Energy Procured
As % of total electricity use8.58.611.311.210.2

Between 1990 and 2005, IBM’s energy conservation actions reduced or avoided CO2 emissions by an amount equal to 40 percent of its 1990 emissions. To further extend this achievement, IBM set an aggressive “2nd generation” goal: to reduce the CO2 emissions associated with IBM’s energy use by 12 percent between 2005 and 2012 through energy conservation and the procurement of renewable energy.

As of year-end 2011, IBM’s energy conservation results and procurement of renewable energy yielded a 16 percent reduction in its energy-related CO2 emissions since 2005.

20072008200920102011
CO2 Emissions Reduction
% reduction against the 2005 base year+2.0-1.6-5.7-16.7-16.0
Product Energy EfficiencyPlease visit our Product Energy Efficiency section
Recycled Plastics
% of total plastics procured through IBM contracts for use in its products that is recyclate—against annual goal of 5%10.610.313.211.512.4

IBM’s goal is to reuse or recycle end-of-life IT products such that the amount of product waste sent by IBM’s Product End-of-Life Management (PELM) operations to landfills or incineration for treatment does not exceed a combined 3 percent of the total amount processed.

In 2011, IBM’s PELM operations sent only 0.4 percent of the total processed to landfill or incineration facilities for treatment.

20072008200920102011
Product End-of-Life Management
% of total processed sent by these operations to landfill or incineration for treatment0.80.60.50.60.4

IBM’s goal is to achieve year-to-year reduction in hazardous waste generated from IBM’s manufacturing processes indexed to output. IBM’s hazardous waste generation indexed to output decreased by 3.5 percent in 2011.

20072008200920102011
Hazardous Waste Reduction (%)-8.4-10.9+8.4-21.6-3.5
Nonhazardous Waste Recycling
% recycled of total generated against an annual goal of 75%7876767978

IBM’s goal is to achieve annual water savings equal to 2 percent of total annual water usage in microelectronics manufacturing operations, based on the water usage of the previous year and measured as an average over a rolling five-year period. In 2011, new water conservation and ongoing reuse and recycling initiatives in IBM’s microelectronics operations achieved an annual 1.2 percent savings in water use, resulting in a rolling five-year average of a 2.6 percent savings versus the 2 percent goal.

20072008200920102011
Water Conservation (%)6.04.63.12.82.6

For more information on IBM’s other environmental performance metrics and recognition for 2011, please see the IBM and the Environment Report.

Supply Chain

20072008200920102011
Supplier Spending by Category
Services and General Procurement (%)6768696464
Production Procurement (%)3129283333
Logistics Procurement (%)23333
Services and General Procurement ($B)25.026.122.622.123.4
Production Procurement ($B)11.411.49.311.612.0
Logistics Procurement ($B)0.91.00.91.01.1
Supplier Spending by Location
North America (%)4339393534
Asia Pacific (%)2630293534
Europe, Middle East, Africa (%)2725252223
Latin America (%)46789
North America ($B)16.014.912.812.312.5
Asia Pacific ($B)9.811.49.412.212.5
Europe, Middle East, Africa ($B)9.99.88.17.58.3
Latin America ($B)1.62.42.52.73.2

Supplier diversity provides IBM a competitive advantage through gains in market share and client satisfaction by giving global opportunities to diverse owned businesses. IBM’s Global Supply strategic goals and objectives are supported by diverse suppliers around the world that deliver value in areas such as flexibility, innovation and sustainability, thereby helping to contribute to a Smarter Value Chain.

20072008200920102011
First-Tier Spending
Total US ($B)12.612.510.910.710.6
Diverse US ($B)1.41.51.4*1.51.7
Diverse Non-US ($M)709745806742881
*Data for 2009–2010 has been revised.

IBM’s supplier social responsibility assessment protocol requires that all audited suppliers create and submit a Supplier Improvement Plan (SIP) for all noncompliance—with priority given to major noncompliances. The SIP forms a conduit, linking initial audit findings to supplier-generated improvements geared toward resolution of root causes with verification taking place through a reaudit scheduled following the completion of all improvement actions.

20072008200920102011
Supplier Improvement Plans Completed and Accepted16984316473