Fujitsu UK&I

Responsible Business Report 2018

ContentsPresident's Message 2

Introduction 3

Responsible Business at a Glance 4

Materiality 6

UN Sustainable Development Goals 8

Responsible Business Strategy 9

Environment 10

Community Development 12

Diversity & Inclusion 16

Wellbeing 18

Operating Practices 20

People 22

Customer Impact 24

Big Ticket Items and Key Responsible Business Aims 26

In Pursuit of ‘Success’ on the Path to Creating a Sustainable Society The world is currently undergoing enormous change as a result of digital transformation. We expect leading-edge technologies, such as Artificial Intelligence (AI) and the Internet of Things (IoT), to generate improvements in our daily lives and make the world a better place. I feel that, just as this revolution was triggered by people, the impetus for ongoing digital transformation lies with the human connection. In this context, the Fujitsu Group is pursuing 'connected services' with the objective of shaping digital ecosystems that link research institutions, international agencies and other organisations – in addition to our customers and partners.

At Fujitsu, we firmly believe that technology enables people’s happiness and wellbeing. We are committed to using the power of ICT to help resolve social problems as we continue on the path toward a sustainable society. My view is that accelerating the pace of innovation to respond to societal expectations and demands will scale-up the beneficial impacts to people and society as a whole, while also contributing to the achievement of common global goals such as the Paris Agreement on climate change and the UN’s Sustainable Development Goals (SDGs).

Further, the Fujitsu Group supports and is a signatory to the UN Global Compact’s 10 principles in the areas of human rights, labour, the environment, and anti-corruption. To ensure on-going sustainable operations, I have initiated various measures aimed at minimising any negative outcomes for people and society that result from our corporate activities. In terms of compliance, we are consolidating our global corporate culture, enabling all executives and managers to continue to lead by example in an environment that does not allow for exceptions and has zero tolerance for any wrongdoing.

The Fujitsu Group always reflects on its approach and practices and aims to help resolve social problems by harnessing the strengths generated by connecting people and society and then by linking those strengths with the power of ICT, thereby creating "success" as we work toward a sustainable society..

Tatsuya Tanaka,President and Representative Director Fujitsu

President’s Message

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For the past 8 years we have reported annually on our progress against our Responsible Business strategy and detailed action plans.

This year’s Responsible Business Report looks at the key deliverables as we continue our journey to serve our customers, partners and communities with openness, sustainability, fairness and inclusion.

Fujitsu’s leadership team is clear on it’s task. To behave as the company we want to be, we must embed responsible thinking in every task, product, service and interaction.

Policies, processes and active campaigns are an important part of the mix, the core challenge is to ensure responsible behaviour is apparent in everything we do.

We have to question our practices, challenge our assumptions and continually strive to improve the way we work. And we must engage all colleagues in our Values to deliver the Fujitsu Way.

If anyone in Fujitsu finds themselves forgetting to ask what’s right – then that’s wrong. Our goal is always to win business the right way.

We are here to sell services and grow sales – all within an ethical approach.

This report covers a lot of ground, with more than 7,000 employees in the UK and Ireland, there are a lot of stories to tell.

The purpose of this report is to communicate our progress, share our learning with all our stakeholders and introduce our future commitments.

My key learning as executive sponsor and Chair of the Responsible Business Board is - there is always more to do.

Paul PattersonSenior Vice President Head of Sales and Country Leadership EMEIA Region

Introduction

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Responsible Business at a Glance

Executive SummaryFujitsu is one of the world’s five largest global providers of IT solutions, with over 140,000 employees serving customers in more than 100 countries with a unique Japanese heritage.

We have an 80-year history of being a responsible business, consistently featured in the Dow Jones Sustainability World Index, FTSE4Good Index and the UN Global Compact 100.

In the UK and Ireland, we serve customers in national, local and devolved government as well as private sector companies. Our technology touches the lives of millions of people every day.

Fujitsu does not engage in any aggressive tax planning, tax avoidance schemes or offshore tax structures to artificially reduce the amount of tax it pays. Paying tax in country is responsible.

This report details our activities and achievements in 2018. It highlights our progress and looks to the road ahead.

UK&I Highlights ■ We spend around £640 million every year with some 1,400 suppliers across the UK. We drive our values throughout our supply chain, monitoring for human rights and modern day slavery.

■ 40% of our supply chain are small and medium sized enterprises, and account for 20% of our tier one spend. A quarter of these suppliers are located in the most deprived areas.

■ 95 new jobs created went to people under the age of 25. This group includes 19 apprentices, 38 graduates and 1 industrial placement student.

■ Our IT lifecycle has reuse rates of over 99%, split between remarketing and recycling, against the statutory requirement rate of 75 %.

■ 546 solar panels installed on one building, saving 41 tonnes of CO2 in emissions. This 150 kW solar array is part of our commitment to install 200 kW of renewable energy across our UK buildings.

■ Achieved 100% renewable direct electricity supplies.

■ Awarded the Carbon Trust’s Best in Large Company Carbon Management award.

■ Fujitsu volunteers collected over 120 bin bags of plastics and general waste from local communities whilst supporting World Clean Up Day.

■ We achieved zero waste to landfill this year.

■ 40 STEM Ambassadors are currently working to develop the creativity, problem-solving and employability skills of the next generation.

■ Completed a two-year UK partnership with Macmillan, completing 3 digital projects and raising over £200,000.

■ 210 line managers participated in roundtable sessions about mental health in the workplace.

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The AND GameFujitsu has four core objectives:

Results Deliver great results in everything we do

People Be a great place to work for everyone we employ.

Customers Go beyond customer satisfaction in every relationship.

Society Be a responsible, accountable business in society and a good company in every community we serve.

Our mantra is simple; if we do right by our customers – we do right by the business and for our shareholders. We must focus on people, customers, results AND being responsible.

We all need to understand our business strategy, be clear on how each and every one of us impacts on our success. Great delivery of service, on time, on budget – right first time, will see us generate the profit margins in our forecast. This has to be our obsession.

AND we must be a superb employer, attracting, growing and retaining people, creating high performing diverse teams that set us apart from our competitors. We must have diverse and inclusive recruitment, and meet the needs of colleagues so we can develop and retain people.

AND we also must focus on being a Responsible Business, ensuring the wellbeing of all our people, actions such as challenging the gender pay gap and driving down single use plastic will ensure our values are implicit in our supply chain and that we win business the right way. This has to be our passion.

So - we have to sell services and make money and be responsible.

We call this the AND game.

Gavin Bounds COO, EMEIA Region

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Fujitsu UK&I has conducted a materiality assessment to prioritise our Responsible Business approach.

We spoke with both internal and external stakeholders to determine which topics Fujitsu could have the most influence on and were most significant in their impact. We consulted our Responsible Business Board which includes our UK and Ireland leaders and senior

management from HR, as well as external advisors with relevant background and experience in business and policy making.

The top ten or ‘material’ issues are outlined below and are covered throughout this report. Each of these topics runs across our responsible business strategy.

Materiality

Data Security

Ethical Business Practices and Compliance

Access to Digital Services

Diversity and Inclusion in the Workforce

Cyber Security

Service Quality

Talent Acquisition and Retention

Employee Health, Safety and Wellbeing

Employee Engagement

Transparency and Reporting

Top Ten 'Material' Issues

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UN Sustainable Development Goals

The Sustainable Development Goals (SDGs) adopted by the United Nations in 2015 are a set of common goals to be achieved worldwide, including by developed countries, by 2030.

The Fujitsu Group sees the SDGs as a global common language and as an opportunity for wide-ranging collaboration with other organisations, including international agencies and governments.

The SDGs cover a wide range of issues. The idea is that if all organisations did something, no matter how small, the world would make progress together.

We are integrating the SDGs as part of our responsible business programme and have aligned each to one, or more, of our responsible business pillars.

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Responsible Business Strategy

Environment CommunityInvolvement

andDevelopment

Diversity andInclusion

Wellbeing OperatingPracticesWe are fully

committed to reducing our

environmental impact across the

scope of our operation and

through serviceswe deliver to

customers

We aim to tackle the issues that

impact society and contribute

positively to local communities

We are committedto developing a

diverse and enabled workforce

from the widest talent pools and promote equalopportunities

for all

We value the importance of our people and strive

to promote a positive health culture, in order

to enable individuals to feel

more resilient and cope

successfully with both their

personal and work life

We conduct our business in an open, honest and ethical manner and

actively strive to implement

anti-corruptionpractices and

socially responsible

supply chains

Responsible Business Pillars

At Fujitsu, responsible business is firmly anchored in our corporate philosophy, the 'Fujitsu Way'. We act as global citizens, attuned to the needs of society and the environment.

Our Global Business Standards govern our relationships with all stakeholders involved: employees, customers, suppliers, governments, other businesses and local communities.

In 2014 the EMEIA Responsible Business programme established five core pillars of work. The EMEIA approach sets the strategic direction allowing regions to set appropriate priorities to account differing cultures.

There is an EMEIA wide approach of responsible business leads encouraging collaboration and co-creation.

This strategic approach drives the business benefits underpinning the imperative to have diverse high performing teams. It creates a workplace culture where colleagues’ social wellness and inclusion is paramount.

Environment

The Fujitsu Group Environmental Action Plan forms the core of Fujitsu’s commitment to sustainability. Since its inception, we have set progressively ambitious targets every three years.

■ Established our medium- to long-term environmental vision through to 2050, the Fujitsu Climate and Energy Vision, with the goals of:

■ Bringing the Fujitsu Group’s CO2 emissions to zero,

■ Achieving a decarbonised society

■ Contributing to the response to climate change, through technology supporting digital transformation.

■ Joined the RE100 Organisation whose member companies aim to use 100% renewable energy for the electricity they consume. Fujitsu’s aim is to buy 100% of electricity consumed at its worldwide Group locations from renewable sources by 2050.

Environment

Mission

We are fully committed to reducing our environmental impact across the scope of our operations and through services we deliver to customers.

■ Achieved zero waste to landfill in 2018.

■ Installed 546 solar panels:

■ Supplying approximately 135,000 kWh/annum to the building over the next 20 years

■ Reducing greenhouse gas emissions from the UK electricity grid each year by approximately 41 tonnes of CO2

■ 3/4 of the way to realising target of installing 200 kW of renewable energy across UK buildings.

■ Purchased 100% renewable electricity for all of its direct supplies, saving further CO2 emissions as it reduces electricity demand on the entire UK electricity grid.

■ Won the 'Best in Large Company Carbon Management' 2018 award from the Carbon Trust and has held the Carbon Trust Standard since 2009.

■ Installed state of the art charge points at a key location capable of charging two cars simultaneously and with the capacity for charging 6-8 cars in a working day.

■ Promoted a trial of leading Plug-in Hybrid Electric Vehicles demonstrating both the charger and vehicle technology and encourage employees to adapt their travel habits to suit low emission cars.

■ Created Liquid Immersion Cooling Systems to immerse servers in an inert fluid providing greater cooling performance, eliminating the need for server fans and reducing total cooling equipment power consumption.

■ Environmental Management System continues to exceed the standards of EN ISO 14001:2015 having been recently certified by external auditors Bureau Veritas to this latest standard.

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Environment

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■ Earth Hour: switched off non-crucial equipment to conserve energy experiencing a 16% saving in kWH usage and associated emissions at our Manchester Office.

■ World Environment Day: joined in to 'Beat Plastic Pollution' encouraging a plastic free day for employees and published 50 ways to become more sustainable.

■ World Clean-up Day: inspired us to take action on the global waste problem by collecting 120 bin bags of plastics and general waste from local communities.

Fujitsu Services FY 2014/15 FY2015/16 FY2016/17 FY2017/18% Change from

FY 14/15% Change from

last year

CO2e [t] exc Rail 81,332 72,614 67,856 49,362 -39% -17%

Energy CO2e(t) 69,145 58,353 50,627 31,878 -54% -27%

All Travel CO2e(t)

Excluding Rail 12,141 14,245 17,229 17,484 44% 1%

Electricity kWh 109,653,781 99,932,861 97,396,297 89,902,074 -18% 8%

Renewable Energy 99 100% 100% 100% 1% 0%

Gas kWh* 11,609,662 11,200,646 9,536,440 9,720,603 -16% 2%

Environmental Performance

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Across EMEIA, we set six focus areas where we can have the most impact and which are most material to our stakeholders, including our employees and local communities.

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Community Involvement and Development

Community Development

Community Involvement and Development

Mission

We will build collaborative partnerships to engage and empower communities to help create positive social impact.

Digital Inclusion Bridge the digital divide by ensuring more people have access to and knowledge of technology

Universities and Research EstablishmentsPartner with universities and research establishments to create solutions that address challenges to society

STEMEncourage student’s engagement with STEM subjects at all levels of education

Youth Employment Respond to this pressing economic and social issue by creating opportunities for young people

VolunteeringVolunteer time, practical skills and energy to support local communities, education centres and charities

CharitiesPromote, support and fundraise for local charities

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Our UK Community Map shows how we engage on our themes through local projects, partnership and initiatives.

Our STEM (Science, Technology, Engineering, Mathematics) strategy and associated schools engagement strategy aims broaden the appeal of jobs in the technology sector. We have a focus on encouraging female talent into the STEM careers pipeline and on social mobility. Everything we do is designed to have an impact on the skills of the future creating a more diverse and innovative workforce.

■ 3 employees volunteer as Careers and Enterprise advisors to inspire the next generation of future leaders to explore a career in STEM.

■ 2 of our Fujitsu ‘Distinguished Engineers’ have been chosen to help design the recently announced T-levels, a new addition to the curriculum for post-16 technical education.

CommunityInvolvement and

Development

Volunteeringand Charities

DigitalInclusion

YouthEmployment

STEM

SocialInnovation

YoungTalent

Programme

MentoringCircles

Impacton Society

BuddyConnect

BusinessClass

Skills Sharing

Fujitsu UK Community Map

Hackathons

Girl’s Days

■ 40 active STEM Ambassadors work with STEMNET, who report that 90% of pupils more likely to be interested in continuing with STEM subjects after engaging with a STEM Ambassador.

■ 3 active BITC Business Class partnerships with schools.

■ 5 years into our partnership with The Vyne School in Basingstoke, delivering relevant and powerful interventions across the whole school community, including an SSAFA fundraising day event, mock interview sessions and an LGBT+ awareness session.

■ 3 years into our partnership with Easthampstead Park Community School in Bracknell delivering CV workshops, an apprenticeship awareness event and a maths assistance programme.

■ Through building deep relationships with universities and research institutions, we have a mechanism for an extended team of researchers and skilled talent.

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Ecosystem with Universities Our impactFujitsu and Nottingham Trent University (NTU) collaborate to improve the wellbeing and safety of customers, employees and students. This partnership will see both partners significantly and positively addressing some of the issues and challenges customers, employees and students face through a number of wellbeing and safety projects.

One co-creation project already underway between Fujitsu and NTU aimed at helping to address some of the key issues and challenges customers face is BuddyConnect. A simple mobile app solution, BuddyConnect is focused on helping employees plan and manage the mental health challenges autism may present in the workplace. As apps built specifically for tackling autism in the workplace are much rarer, this app puts in place an effective support and guidance infrastructure through easy-to-access information and by connecting those with autism with additional support. The joint collaboration research and development supports the application being deployed to workers and students.

Charity PartnershipsMacmillan

■ In 2017, we launched a 2 year charity partnership with Macmillian in the UK. We focussed on how technology can help drive forward the objectives of the charity through digital innovation and encouraged long term volunteering and fundraising by our employees.

■ 4 digital projects:

■ Created a solution for Macmillan to collect mobile, contactless donations with a dashboard app to track incoming funds, which has revolutionised their on-street collections in an age of increased reliance on contactless payment.

■ Created a 360 degree Virtual Reality video for patients and their families to experience the feeling of undergoing radiotherapy treatment for head and neck cancers, reducing the daunting nature of the previously unexperienced treatment.

■ Created an interconnected platform for volunteering using a mobile app that allows volunteers to take part in opportunities and events on the go.

■ Upgraded Macmillan’s customer relationship management database and then migrated their already existing online portal to Azure Database. The new database will connect all data gathered between the new mobile app, the existing online portal and the database, storing everything in one place.

Children in Need, Prince’s Trust and Impact on Society ■ 80 Fujitsu employees volunteered on Children in Need night by taking public donations over the phone from our call centre, contributing to the £50.6m donations raised.

■ During 17/18, we ran 13 of CV Skills workshops for the Prince’s Trust Team programme, supported by 104 employees and helping over 130 young people.

■ Our employees have invested over 5,500 hours on Impact in Society supporting volunteering activities for charities of their choice, which includes involvement from over 75% of our operations.

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National Council for the Blind of IrelandIn 2017, Fujitsu Ireland entered into a 2 year charity partnership with The National Council for the Blind of Ireland (NCBI).

■ Fund raising target for Year 2 was €10,000 and six months in, we had raised €9,223 (92% achieved).

■ Introduced an Inclusion Kickstarter, which focused on Disability Awareness Training on inclusive recruitment, staff retention/development, communications and attitudes.

■ Delivered 4 CV and Interview Skills workshops to blind and visually impaired people actively seeking employment. In total, 11 visually impaired people participated in the workshops with 4 people going on to secure internships and/or meaningful employment.

■ Introduced a technical project which aims to assist urban living for the visually impaired, demonstrating our commitment to a long lasting societal impact.

Fujitsu is committed to being a responsible business that brings together diverse perspectives and talents in an inclusive environment where all our people can be completely themselves. Inclusion and Diversity underpin our ambition to build a customer-focused, agile, innovative and high-performance culture.

■ Increased our Cultural Diversity Network membership by over 100%, to 125 members. This raises awareness of cultural and ethnic topics and events creating a more inclusive workplace for everyone.

■ Invited 24 unemployed people from areas with high Black, Asian and Minority ethnic (BAME) unemployment to a CV and interview workshop. 98% of survey respondents believed the knowledge and skills learnt on the day would be useful in the future..

■ Launched a co-created cross-sector mentoring scheme with Transport for London enabling BAME talent to achieve their career aspirations; 9% increase in BAME talent believing their career progression is within their control.

■ Reduced our gender pay gap by 1.5% to 16.4% by empowering and harnessing female talent. The goal is gender parity by 2025.

■ Female representation in Sales increased by 4%. We have overcome persistently low female representation by introducing gender balanced shortlisting as a contractual requirement with recruitment agencies.

■ 30 girls took part in our first Girl’s Day which invited employees to bring in their daughters and granddaughters for a day of tech activities. This encouraged more girls to take tech subjects and 96% of the girls surveyed were more interested in tech after the event.

■ Female Empowerment results from our Employee Survey results increased by 2 points from 2017. By talking openly about gender parity and our action plans to achieve it has enabled women to feel they have more autonomy in their role and are encouraged to think of innovative ideas.

■ 38% of all hires from the internal recruitment team were women. Unconscious bias training and inclusive job adverts helps ensure gender balance in recruitment to achieve the wider goal of 30% women in the workforce.

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Diversity & Inclusion

Diversity and Inclusion

Diversity & Inclusion

Mission

We believe in the power of human difference to create a better future in a digital and diverse world.

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■ 34 senior leaders have taken part in Perspectives, a reverse mentoring scheme. This scheme matches a senior leader with someone who is different from them in either age, gender, gender identity, sexual orientation, cultural background or someone who has a disability. This challenges senior leaders’ perspectives and will encourage inclusive leaders and a culture where everyone can succeed.

■ Removed all academic entry requirements for our graduate scheme. We found no correlation between academic performance and in role performance and now attract more diversity to our graduate scheme.

■ Employees have raised over 500 Disability and Adjustment Passports. This allows employees to seamlessly move around the organisation with the reasonable adjustments they require documented, empowering them to progress their career internally.

Awards and Recognition ■ Named as the only tech organisation in Stonewall’s Top 100 LGBT+ inclusive employers list. This recognition highlights the inclusive culture at Fujitsu and encourages other tech companies to do the same.

■ Named in the Times Top 50 Employer for Women

■ Recognised in the Top 50 Social Mobility Employers Index for the second consecutive year

■ Awarded BITC Top Employer for Race and a finalist for the BITC Race Equality Awards in the Recruitment Award category.

Case Study: Women’s Business Network Our energised and active Women’s Business Network (WBN) grows in numbers and ambition year on year, and 2018 was no exception. The WBN advocate gender parity and push for progress with the full support of the leadership team. 2018 saw:

■ Hundreds of male and female colleagues support International Women’s Day, by wearing red to our celebration of women in the workplace and networking events

■ 79 senior male colleagues pledge to not speak on all-male panels

■ A Q&A panel and networking event hosted alongside our customer, HMRC

■ 21 new role model profiles published

■ A live stream of the EveryWoman in Technology conference to hundreds of employees

■ A day of live webcasts from internal female experts on cutting edge technology such as AI and blockchain, in support of International Women in Engineering Day

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It’s vital that our approach to supporting the wellbeing of our employees continues to ensure that both their physical and mental wellbeing are cared for. If our employees aren’t healthy in body and mind then creativity and free thinking can be restricted as employees don’t feel themselves at work which has a knock on effect on the performance of our organisation as a whole.

We encourage a positive health culture at Fujitsu supporting employees. Engagement with activities is encouraged but not mandated, resulting in participation across a number of wellbeing activities.

■ All employees have access to an independent, confidential Employee Assistance Programme. The support available ensures employees are better equipped to respond to challenges in both their personal and work life which helps improve their health and wellbeing.

■ Held a series of roundtables designed to strengthen line management capability in holding positive conversations around mental health in the workplace. 210 line managers have been trained to date with additional sessions planned throughout 2019.

■ Over 2,000 employees took the opportunity to buy or sell annual leave through our flexible benefits programme. Flexing annual leave helps employees realise lifestyle choices at varying stages during their career, ensuring they remain engaged and performing well at work.

■ Installed sit/stand desks across 3 locations to support colleagues in our workforce at higher risk of developing musculoskeletal concerns. Feedback has been positive with 96% of users responding to a survey stating they would recommend a sit/stand desk to a colleague.

■ Participate annually with a Cycle to Work scheme, loaning employees a bicycle and associated equipment. This encourages healthy ways for employees to commute to work whilst helping to reduce carbon emissions from alternative modes of transport. 164 employees took part in 2018.

■ Introducing acupressure chair massage to a number of our offices created opportunities to discuss with employees the importance of caring for their musculoskeletal wellbeing at work. Employees have gone on to make adjustments to their posture and their workstation such as using laptop riser kits.

■ Fujitsu Ireland hosted a 6-week yoga series to encourage mindfulness exercise at work in a safe and supportive environment. Employees shared their experience of feeling reduced muscle pain and improved mental wellbeing as a result of taking part.

■ Introduced Mental Health First Aiders to two of our key business lines to further enhance the support available to employees. The Mental Health First Aiders are helping to normalise conversations around mental health in the workplace.

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Wellbeing

Wellbeing

Wellbeing

Mission

We promote a healthy work culture to empower and enable our employees.

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Case Study: Global Corporate Challenge We participate in a 100 day annual step challenge. We encourage participation based on a desire to improve personal step averages and to learn more about how to care for our individual wellbeing. Employees with varying abilities and levels of fitness take part including members of our employee disability network, SEED. Our focus is on improving step averages, rather than a fitness challenge, and our employees excelled:

■ Together, we travelled 386,359 miles by moving 971,537,128 steps, giving an average daily step count of 14,289

■ 82% exceeded the 10,000 step threshold by the end of the challenge, compared to 21% before the challenge

■ 63% of participants feel more productive and 67% are feeling less stressed

■ We were recognised as the World’s Most Active IT organisation participating in the challenge

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It is a business imperative to ensure that delivery of our products and services is robust, ethical and fully compliant with all regulations. Prevention of and combating of corruption is a critical factor. All business relationships and product exports are subject to strict controls to prevent any form of illegal or unethical activity.

■ Signed up to the principles of the UN Global Compact on human rights, labour standards, environmental protection and anti-corruption.

■ One of the first organisations to successfully transition to ISO 45001 as certified by external audit. This included a full review of our refreshed Occupational Health and Safety Management system as well as verification audits across multiple sites.

■ Became a member of Responsible Business Alliance in 2017 – a coalition promoting high ethical standards within the global electronics supply chain. We leverage our membership to develop our approach to Modern Slavery.

■ Human Rights Statement details the steps we are taking to tackle modern slavery in the supply chain. Using the Walk Free Foundation’s Global Slavery Index, less than 1% of our suppliers in high-risk areas for forced labour.

■ Achieved BS 10500 certification, demonstrating ethical behaviour and adherence to anti-corruption guidelines.

■ Regular and mandated training for every employee on anti-corruption and bribery, cartel and competition law and export control laws. This training is delivered based law and providing situations where issues may arise giving employees practical guidance.

■ Total UK tax contribution in FY 2017/18 was £335.7m. Of this amount, taxes borne (those taxes which are a real cost to the company) were £62.3m.

■ £642 million annually spent with approximately 1,400 suppliers.

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Operating Practices

Operating Practices

Operating Practices

Mission

We put ethical practices at the heart of every business decision.

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■ Implemented a third party due diligence process intensively examining whether its vendors meet the high standards of the Fujitsu Group with regard to combatting corruption.

■ Committed to working with small medium enterprises (SMEs).

■ Amongst the first 15 organisations to sign up to Business in the Community’s ‘Access Pledge’, demonstrating our commitment to tackling any barriers facing small businesses when they try to do business with large companies.

■ Created our SME Charter available online, which sets out how we collaborate with SMEs and instils an SME friendly culture throughout our organisation.

■ SMEs accounted for approximately 40% of our active supply chain. SMEs are a vital part of the UK economy and contribute significantly to economic growth.

■ Maintained our Supply Chain Finance Programme, which enables SMEs to track invoices and receive payment of approved invoices earlier than contracted terms.

■ Fujitsu Global is a member of the Responsible Minerals Initiative (formally CFSI). We have an established our Policy on Conflict Minerals which commits us to responsible procurement with no use of conflict minerals from any known conflict sources. We are using the Conflict Minerals Reporting Template and are surveying 100% of all relevant suppliers concerning conflict minerals.

■ Achieved reuse rates of over 99%, split between remarketing of old IT and recycling scrap – well over the statutory rate of 75%.

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People

■ Permanent employee headcount: 7,143 with 25% female and 75% male, with the attrition rate for the year at 15.3% (2017: 22.8%), comprising 7.1% involuntary and 8.2% voluntary attrition.

■ 369 new employees were recruited through business growth, acquisition and transfers. Of the new jobs created, 95 went to people under the age of 25; among these were 19 apprentices, 38 graduates and 1 industrial placement student.

■ The graduates work in Cyber Security, Software Development, Business Management, Project Management and Digital Consultancy, with 70% in customer facing roles.

■ Gender balance achieved on Graduate recruitment.

■ Graduate scheme was recognised by the CIPD Awards as 'Best Talent Management and Recruitment Initiative'.

■ Pay our apprentices over 50% more than the minimum legal wage for apprenticeships and were recognised by The Job Crowd in their Top 50 Employers for Apprenticeship Programmes.

■ Recognised by the Ministry of Defence in their Employer Recognition Scheme, with a Gold Award, the highest national level award for employers who demonstrate advocacy for reservists, Armed Forces veterans and military charities.

■ Maintained our Silver Investors in People status.

■ Accredited with the DWP's Disability Confident Leader award in recognition of our commitment to recruiting, retaining and employing people with disabilities.

■ Launched our ‘Agile & Me’ programme, which focuses on helping our employees to develop a more ‘Agile’ working mind set, and our ‘Fit 4 Digital’ programme, which focuses on upskilling our sales professionals.

■ 125,833 classroom training hours, with 10,614 attendees, have taken place.

■ 34,285 hours of recorded digital learning and 56,020 instances of direct digital learning activities have been completed.

■ Introduced a new standardised incident management system. This system is being further enhanced to cover workplace checks and controls, risk assessments for workstations and driving, as well as inspections and audits.

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Customer Impact

Customers expect Fujitsu to be responsive, innovative and act with pace, delivering excellence in service.

HMRCHM Revenue and Customs has 50 million customers, 60 thousand staff, and £575 billion in tax receipts to collect. It is in the middle of probably the biggest transformation in its history. Already one of the most digital organisations in the UK, its plans are much bolder: by 2020 it aims to be one of the most digitally-advanced tax authorities in the world.

We support HMRC across their organisation; looking after 67,000 desktops and 6,300 laptops across over 300 offices; managing 1000 servers for File & Print and local Application Support; processing in excess of 9 million self assessment tax returns and enabling the distribution of child benefit payments to over 6.9 million UK families.

Transport for London (TfL) Every day, over 31 million separate journey segments are made across the TfL network. TfL hosts 9,300 busses, provides 11,500 bikes to rent across the city and its underground network spans 402km.

We are a long-term strategic partner of TfL, delivering Network Managed Services, and working closely together to create a vibrant passenger experience to all travellers on the London Network.

Case Study: Cost and CO2 reductionsThe greater use of our virtualisation technologies through our secure private cloud offering has helped to achieve cost reductions and a decrease in the number of IT assets required to run the department’s operations. In turn, this decreased the number of servers required and helps HMRC achieve a 10% reduction in CO2 emissions every year.

Case Study: Collaboration

2018 saw senior Directors from both Fujitsu and TfL coming together for a common goal; collaborating on releasing the power of our BAME community and bringing to the fore via a mentor scheme that propels talent forward around career choices. This scheme was awarded TfL’s Diversity and Inclusion Award. Parallel to this, Fujitsu & TfL are co-creating on a society driven initiative on how tech can assist in achieving the Mayor’s objective of zero suicides in the London Underground.

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Ministry of DefenceThe Ministry of Defence (MOD) protects the security, independence and interests of our country both at home and abroad.

For over five decades, Fujitsu has been supporting the Defence and National Security sector and is a major supplier to the MOD. Across the UK and Ireland, we have over 6,000 security cleared staff, providing support to over 200,000 MOD users. Fujitsu enables robust end-to-end digital modernisation that balances the drive for innovation with the need for business continuity, building the best solutions for today.

Our longstanding affiliation with the British Armed Forces comprises a major part of our responsible business drive, with a particular focus on veterans and their families.

■ Gold Award winners in the Defence Employer Recognition Scheme (ERS). This Award was created to encourage UK employers to support Defence and inspire other businesses to do the same.

■ Raised over £300,000 supporting SSAFA to alleviate suffering and hardship amongst serving personnel, veterans and families.

■ New headline sponsor of RAF Cricket.

■ Gold sponsors of the Games of Remembrance, a recreation of the famous 1914 Christmas truce football match.

■ Tier 1 sponsor of the RAF100 celebrations

■ Developed a virtual air show requiring players to answer a series of STEM-related questions before seeing their plane fly in a virtual reality air traffic control tower.

■ This virtual air show was taken on tour alongside the RAF at two of their national aircraft tours in London and Birmingham with over 10,000 participants taking part in the air show.

■ Developed a comprehensive policy to provide support for employees who are volunteer or regular reserves.

■ 15% of Fujitsu’s 6,000+ security cleared staff who work in our Defence & National Security business originate from a Services background.

Case Study: Sally, the virtual agentOne of our latest innovations for the MOD is Sally, the SPOC Virtual Agent of the future. Sally uses natural language processing to match an MOD user’s input to a specific question and provide an answer. In a typical month, Sally will handle 47,000 conversations answering up to 170,000 questions, with each of her responses being analysed to improve her growing knowledge base.

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Looking to the future Big Ticket Items

Whilst continuing with our work across the responsible business program, each of our pillars are extending their reach to tackle one 'big ticket' item. These items represent key issues and priorities and have a clear alignment to a UN Sustainable Development Goal (SDG). We will deliver in full against these items.

SDG Big Ticket Items

Environment

Community

Diversity & Inclusion

Wellbeing

Operating Practices

Pillar

Eradicatesingle use plastics

Co-create a digital project centred on

neuro diversity with Autistica

Eradicate the gender pay gap

Prioritise the social wellbeing and

sense of belonging of employees

Form a truly responsible supply

chain

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FUJITSUTel: +44 (0) 1235 79 7711

E-mail: askfujitsu@uk.fujitsu.com

Website: uk.fujitsu.com

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