Corporate Citizenship Report 2012 - Sustainability

Oracle employs socially and environmentally responsible business practices throughout its supply chain.

Supply Chain | Oracle Corporate Citizenship Report

The graphic below provides an overview of Oracle's supply chain. We manage our supply chain to comply with related regulations as applicable, and sustainability is a consideration throughout every phase of our product lifecycle.

Memberships and Associations

Supply Chain Overview

Supply Chain Overview

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Oracle is active with the following supply chain organizations.

  • Electronic Industry Citizenship Coalition (EICC)
  • Electronic Product Environmental Assessment Tool (EPEAT)
  • Information Technology Industry Council (ITI)
  • International Standards Organization (ISO)
  • IPC Association Connecting Electronics Industries
  • Joint Electronic Device Engineering Councils (JEDEC)
  • PCI Industrial Computer Manufacturers Group
  • Silicon Valley Leadership Group
  • Software & IT Services—Chamber of Commerce from Argentina (CESSI)
  • TechAmerica China RoHS Steering Committee
  • The Green Grid

Oracle's Statement on Human Trafficking

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Product Design

We are committed to reducing or altogether removing potentially hazardous substances from our products. For example, most of our hardware products use lead-free solder on their printed circuit boards, and our monitors and displays use less mercury than the amount allowed by the European Union's Restriction of Hazardous Substances Directive 2002/95/EC.

Product Manufacturing

As a hardware manufacturer, Oracle minimizes its environmental impact by adhering to the following business practices:

In FY11, we modified our hardware manufacturing processes as follows:

  • We transitioned to a "build-to-order" process and now only build hardware after customers have placed firm orders. This eliminates excess inventory.
  • We incorporated more-standard components across product types.
  • We reduced the number of assembly and distribution centers we use.
  • We offered environmental awareness training to all our manufacturing and assembly facility employees.

Oracle's Conflict Minerals Report & Statement on Conflict Minerals

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Read the report

Product Packaging

Oracle's product packaging meets the following criteria:

  • Safe.
  • High-quality.
  • Does not use excess materials or generate electronic waste.
  • Uses kraft (i.e. brown) corrugated cartons in lieu of white, bleached cartons that can release chlorine compounds.
  • Easily recycled—we provide instructions regarding recycling on our packaging.
  • Adheres to the essential requirements of European Union Directive 94/62/EC on packaging and packaging waste.
  • Does not use materials that contain lead, mercury, cadmium, chromium, or chlorofluorocarbons.

Supplier Code of Ethics and Business Conduct

Oracle's Supplier Code of Ethics and Business Conduct requires suppliers to observe the law and conduct business in an ethical and responsible manner. Where local laws are less restrictive than Oracle's code, suppliers must comply with the code, even if their conduct would otherwise be legal. Where local laws are more restrictive than Oracle's code, suppliers must always, at a minimum, comply with law. Where permitted by law, we enable the anonymous reporting of noncompliance incidents through the Oracle Incident Reporting Website.

Oracle has adopted the EICC Code of Conduct and actively participates with other industry group members to leverage industry-wide approaches to address the following issues impacting supply chain operations in the electronics industry:

EICC Code of Conduct

EICC Code of Conduct

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  1. Labor and working conditions.
  2. Ethics; environment; health and safety.
  3. Human trafficking (California SB 657).
  4. Conflict minerals (Dodd Frank Act/SB 861).
  5. Tracking supplier carbon and water footprints.
  6. Documentation of management systems and processes.

Supplier Audit Program

Oracle's hardware supply chain supplier audit program is based on the Electronic Industry Citizenship Coalition ("EICC") Code of Conduct. The EICC promotes a consistent industry-wide supply chain code of conduct for global electronics companies.

Within the next 12-24 months, we will encourage all of our top direct hardware supply chain manufacturing suppliers to disclose their sustainability performance (based on the GRI 3 or another appropriate reporting method). Seventy-five percent of Oracle's Tier 1 hardware supply chain manufacturing suppliers currently publish their sustainability performance.

In FY12, Oracle completed multiple audits based on the EICC Code of Conduct at various supplier factory locations that support our direct hardware business operations. Examples of actions that Oracle has directly taken based on our analysis of the audit findings include:

  • Ensuring that our suppliers develop and complete any necessary corrective action plans.
  • Holding a training session facilitated by the Business for Social Responsibility of Management of Migrant Workers in China.
  • Encouraging our suppliers to participate in training sessions held by the EICC.
Awards and Recognition
ISM Award for Excellence

In FY12, Oracle received the ISM Award for Excellence in Supply Chain Management.

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