Responsible Operations

Responsible Operations

Reducing our Company-wide Carbon Footprint
While our ultimate goal is to be climate-neutral, our first priority is to reduce our total greenhouse gas (GHG) emissions by lowering the energy intensity of our operations. Xerox is finding success with the following approaches:

  • Shifts toward energy-efficient technologies such as Emulsion Aggregation (EA) toner, which is estimated to generate 28 percent fewer GHG emissions in the manufacturing process than conventional toner
  • Process improvements including using digital multifunction systems in our workplaces instead of stand-alone printers, copiers, fax machines and scanners
  • Energy management and equipment upgrades such as utilizing outdoor pipes to cool process water in winter months (rather than powered industrial chillers) and replacing outdated heating and cooling systems with energy-efficient and digitally controlled models
  • Use of renewable energy sources to power our facilities (our U.K. facilities are entirely powered by Green Energy) or to offset energy use (our Webster, New York; Wilsonville, Oregon; and Dallas, Texas, facilities in the United States voluntarily use renewable energy or credits to offset a portion of electricity consumption)
  • Efficiency-promoting initiatives including purchasing energy-efficient lighting and vehicles, reducing packaging sizes, mileage tracking and route efficiencies
B Grade from the CDP for our Positive Actions to Prevent Climate Change and Protect Natural Resources

Learn more about the data presented in this section. +

Data in this section associated with Air Emissions, Releases, Water, Hazardous and Non-Hazardous waste represent total quantities for our manufacturing, research, development, warehouses and equipment recovery/recycle operations. Data in this section associated with Energy and Greenhouse Gas (GHG) Emissions represent total quantities for our manufacturing, research, development and equipment recovery/recycle operations, offices and data centers. Normalized values for 2010 forward have been calculated using Xerox revenue. Unless otherwise noted, all numbers represent worldwide totals for Xerox (excluding GIS locations) and are reported in generally accepted international metrics.

The data presented is based on actual measurements to the extent possible. Where direct measurements are not available, we employ engineering calculations or estimates. We continue to strive to increase the accuracy of the data we report.

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All of our major manufacturing and distribution operations employ an environmental management system that conforms to ISO 14001. The system:

  • Establishes a framework to ensure compliance with regulations and Xerox standards
  • Identifies environmental impact and sets objective and performance targets
  • Ensures integration between day-to-day business activities and environmental planning and program management
  • Encourages innovative engineering solutions, creative partnerships and employee involvement

Our major manufacturing operations have been certified to ISO 14001 since 1997. Our major worldwide technology equipment distribution centers achieved certification in 2010. Quarterly status meetings and integration with a newly deployed scorecard promote visibility, best practice sharing and innovation.

Energy Goal 2020
In 2003, we made a public commitment to reduce GHG emissions — our carbon footprint — by joining the U.S. EPA Climate Leaders program and launching an internal program known as Energy Challenge 2012.

This 10-year initiative set a goal to reduce GHG emissions across all company operations by 10 percent by 2012. We met this target six years ahead of schedule, so we set a new target of 25 percent reduction by 2012 (from a 2002 baseline). At the conclusion of the program, we successfully cut emissions by 42 percent — that’s 210,000 tons of carbon dioxide equivalents (CO2e) — and reduced energy consumption by 31 percent.

Our new corporate-wide goal is to reduce energy consumption by 20 percent by 2020 (from a 2012 baseline). In 2015, we reduced energy consumption by 12 percent and cut emissions by 20 percent — that’s 65,000 tons of carbon dioxide equivalents (CO2e).*

*Excludes data centers numbers. Energy Challenge 2012 included fleet and facilities for the Technology Business (and Services where co-located). Energy Goal 2020 encompasses all parts of our business.

Energy Consumption

Reducing Our Footprint

Energy and GHG emissions totals are associated with fuel consumption by company-owned fleet and natural gas/electricity consumption in facilities. Vendor invoices from utility and fuel providers are the preferred source of data, when unavailable, estimations have been used.

In accordance with the Greenhouse Gas Protocol and to make annual data comparable, we adjust the energy and emissions data each year as a result of the opening and closing of facilities and more appropriate emission factors that are available.

Greenhouse Gas Inventory
In keeping with the international guidelines of the Greenhouse Gas Protocol developed by the World Resources Institute and the World Business Council for Sustainable Development, we track the six major GHGs: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs) and sulfur hexafluoride (SF6). We express our carbon footprint in terms of carbon dioxide equivalents (CO2e).

Energy sources account for more than 99 percent of our GHG emissions. Our GHG inventory includes direct emissions from the combustion of fossil fuels, primarily natural gas and indirect emissions from purchased electricity and steam at our manufacturing sites, offices and warehouses. The inventory also includes the combustion of gasoline and diesel fuels in our service and sales vehicle fleet.

In accordance with the Greenhouse Gas Protocol, inventory adjustments are completed each year as a result of the opening and closing of facilities and changes to the vehicle fleet; as reflected in Energy Consumption and GHG Emission charts. We have expanded our GHG tracking to include Scope 3 emissions, from employee business travel, product transport, employee commute and waste generated in operations.

In 2015, Xerox GHG emissions totaled 261,071 metric tons of CO2e. About 57 percent were indirect emissions from purchased electricity and steam. The remaining 43 percent were direct emissions from the combustion of natural gas, gasoline and diesel fuel. Xerox-owned or leased facilities, such as manufacturing sites, offices and warehouses, are associated with 54 percent of our direct GHG emissions. The remaining 46 percent are direct emissions from our service and sales vehicle fleet and other mobile sources.

Greenhouse Gas Emissions

Greenhouse Gas Emissions

Energy and GHG emissions totals are associated with fuel consumption by company-owned fleet and natural gas/electricity consumption in facilities. Vendor invoices from utility and fuel providers are the preferred source of data, when unavailable, estimations have been used.

In accordance with the Greenhouse Gas Protocol and to make annual data comparable, we adjust the energy and emissions data each year as a result of the opening and closing of facilities and more appropriate emission factors that are available.

The assessment of Scope 3 emissions poses many challenges due to the large number of variables, the difficulty in collecting data from suppliers and increasing uncertainty in the data as the sources become further removed from the company. We have begun calculating Scope 3 emissions according to the WRI Scope 3 Accounting Standard. We will use the information to prioritize our GHG emission reduction opportunities and to integrate consideration of carbon impact into sourcing and internal decision-making.

Our Scope 1, Scope 2, and Scope 3 GHG emissions have been verified by a third party verification/assurance company in accordance with ISO 14064-3:2006 against our Xerox Corporation defined methodology described in “Xerox Corporation Greenhouse Gas Emissions Inventory Management Plan, Version 2, August 2014” and the principles of Transparency, Accuracy, Consistency, Completeness and Relevance.

Climate Change Risks and Opportunities
Xerox has examined the regulatory, physical and commercial risks and opportunities associated with climate change across our value chain.

We assess and manage our carbon risk by maintaining both a robust GHG emissions inventory and a mature regulatory tracking function that provides the necessary information to stay abreast of developing regulation. We do not consider our company to be subject to unique risks due to changing weather patterns, rising temperatures and sea levels, but we recognize that our business could be impacted by more frequent disruptions as a result of severe weather in locations where we operate. We may also need to invoke our business continuity and resumption plans to aid customers who are impacted by business disruptions due to severe weather. We’re experienced in working with customers to ensure continuity of critical applications by prioritizing business needs and developing customer-specific preparedness plans where appropriate. Our business resumption plans include communication with employees and customers, management of employee health and safety issues, business continuity and resumption processes, and interaction with government organizations.

We recognize that the increasing costs of energy and concerns around energy security are issues that affect both our operations and those of our customers. Our commitment to reduce energy use in our operations was driven in part by cost savings, and we recognized that helping our customers to reduce energy costs through more efficient document solutions could increase our revenues.

Our immediate (short-term) focus is reducing energy consumption in our own operations as we make progress toward achieving our corporate goal of 20 percent reduction by 2020. We strive to provide sustainable document management technology solutions to our customers to reduce the energy and environmental impacts of their business.

To meet our commitment for “Reducing Energy Use and Protecting the Climate,” our long-term (more than three-year) strategy is to continue to invest in technologies that reduce the carbon footprint of our operations and develop technology solutions that help our customers to reduce the energy and environmental impacts of their business. Our ultimate aim is to be carbon-neutral.

We invest in innovation, market leadership and sound management practices that deliver measurable benefits to the environment, our customers and society and that also increase shareholder value. We recognize the importance of creative partnerships with suppliers, customers and other stakeholders to achieve these benefits and maximize their value. Being smart with product innovation is an important part of sector leadership.

We are well positioned for current and potential future regulation by our investment in a robust GHG emission inventory. We are currently gathering Scope 3 emissions data and other key metrics to assess climate change risk in the supply chain.

Preserving Clean Air and Water

Air Emissions
Xerox has significantly reduced manufacturing air emissions over the past 20 years. Continuous improvement remains a priority.

Most of our air emissions originate from the production of imaging supplies such as toner, photoreceptor drums and belts, and fuser rolls. Approximately 22 tonnes of volatile organic process air emissions (VOC and non-VOC) were released to the atmosphere from these production activities in 2015. Emission reductions, over time, have primarily come from process modification, lower production volumes of legacy products coated using organic solvents, and production declines attributable to longer-life components.

Volatile Organic Process Air Emissions

Volatile Organic Process Air Emissions

2013–2014 emissions have been revised in this report to reflect the inclusion of Brazilian photoreceptor emissions, which are now quantified on the basis of annual monitoring, and relatively small amounts of byproduct emissions that were better quantified in 2015.

A subset of these volatile organic process emissions is defined by the U.S. Environmental Protection Agency (EPA) as hazardous air pollutants (HAP). In 2015, Xerox reported worldwide air emissions of approximately 5 metric tons of HAP under national toxic chemical release regulations, including the United States’ Toxics Release Inventory (TRI) program. Methylene chloride, methyl isobutyl ketone (MIBK), 1,3-butadiene and styrene represent virtually all of these HAP emissions.

2015 HAP Air Emissions

as Reported under National Toxic Release Regulations

2014 HAP Air Emissions

Ozone-Depleting Substances
Xerox policy prohibits the use of ozone-depleting substances (ODS) as ingredients in products, spare parts, accessories and packaging. Ozone-depleting substances are used as refrigerants in facility and vehicle air conditioning systems and various food/equipment-cooling systems. Although ODS may be released during the normal operation and failure of these systems, the total amount released is not significant from a company-wide perspective. Elimination of ODS as refrigerant is managed consistent with government phase-out dates.

Toxic Chemical Releases
The release of materials used in our worldwide operations is evaluated annually and reported to government agencies under national toxic chemical release reporting regulations, such as the U.S. Toxics Release Inventory, the Canadian National Pollutant Release Inventory, and the European Pollutant Release and Transfer Register. Releases for reporting year 2015 were 14 percent lower than 2014 levels and 75 percent lower than 2007 levels. In 2015, reportable releases and transfers decreased primarily due to decreases in the amount of organic solvent used in production manufacturing processes.

Reportable Toxic Chemical Releases and Transfers

Reportable Toxic Chemical Releases and Transfers

In 2011, operations with reportable toxic chemical releases to the air, land or water — in amounts of greater than one metric ton — established goals, targets and objectives related to chemical releases. Progress against these goals as of year-end 2015 is summarized below:

  • An initiative to reclaim spent methyl isobutyl ketone (MIBK) continued to exceed expectations in the fourth full year of implementation. Recovered solvent was qualified for use as a cleaning solvent for the fluid delivery systems used in U.S. fuser roll coating operations. As a result, the amount of virgin MIBK purchased in 2015 for use in the manufacturing operation has been reduced by 36 percent from the 2010 baseline on a normalized, per-part basis.
  • The amount of methylene chloride used to manufacture Xerox photoreceptor belts was reduced by more than 62 percent from the 2010 baseline, greatly exceeding target. This dramatic reduction was primarily due to volume declines of legacy products and process modifications that reduced the amount of methylene chloride used for batch cleaning of production equipment.
  • Emissions of 1,3-butadiene from U.S. toner resin manufacturing operations slightly exceeded the normalized, per-batch target in 2015, primarily due to an accidental 14-pound release that occurred during the year. Low-emission hose connectors were installed to offset increases in transfer losses caused by a more frequent delivery schedule.

Spills and Accidental Releases
Our goal is to prevent all environmental releases of regulated materials to air, soil and water. We have greatly reduced the frequency of spills and accidental releases, though we have not yet reached our target of eliminating these events.

In 2015, our North American operations identified four reportable accidental spills/releases. Three events occurred at our Monroe County, New York, location. Two of the three were contained and did not reach the environment. One of the events went to a containment system with minimal impact to the environment. The fourth event occurred at our Oklahoma City, Oklahoma location. It was an accidental release to air that occurred after a maintenance activity. Corrective measures for all spills and releases were put in place to minimize the potential for these types of incidents to occur in the future.

Water Consumption and Treatment
As part of our commitment to conserve resources, we monitor water consumption across our manufacturing, distribution and R&D facilities worldwide. Water consumed by Xerox operations is sourced from local municipal suppliers who withdraw water from the ground, lakes, rivers or other surface waters.

Our current goal is to reduce water consumption by 35 percent by 2020 (against a 2010 baseline). Water consumption in 2015 was down 38 percent against the 2020 goal.

In 2015, a major contributor to reduced water consumption was manufacturing consolidation activities.

A pilot program was initiated at our plant in Wilsonville, Oregon to evaluate the use of Reverse Osmosis reject water for a secondary purpose. The water will be utilized to supply cooling towers at the site. Currently, this water is sent to the sanitary sewer and ultimately to the Publically Owned Treatment works. Projections indicate approximate water savings of up to five percent of purchased water per year.

The water discharges at manufacturing sites are monitored to validate compliance with local sanitary sewer discharge limits. Wastewater from manufacturing processes is treated, as necessary, before being discharged into local sanitary sewers. We utilize best practices to prevent unwanted pollutants from entering waterways via surface contamination and run-off. Extensive sampling of wastewater, discharged to both sanitary and storm sewers, ensures that discharged water meets our strict requirements.

Water Consumption

Water Consumption

Revenue from continuing operations attributable to Xerox, revised for all periods to reflect Discontinued Operations.

Preventing and Managing Waste

Hazardous Waste
There were no significant changes to our worldwide hazardous waste volumes in 2015. Xerox beneficially managed 69 percent of the hazardous waste generated in 2015 through recycling and/or fuels blending technologies.

We do not export hazardous waste to developing nations. A third party supplier is contracted to recover spent methyl isobutyl ketone; this material is returned to us to support ongoing coating operations. Solid and liquid hazardous waste streams that have an adequate BTU value are managed via a fuels blending program. An off-site waste disposal vendor blends these waste streams to meet the specifications provided by cement kilns.

Hazardous Waste Generated

Hazardous Waste Generated

Revenue from continuing operations attributable to Xerox, revised for all periods to reflect Discontinued Operations.

2015 Hazardous Waste Management Methods

2015 Hazardous Waste Management Methods

Non-hazardous Solid Waste
We have had major waste reduction efforts in place for many years. We reuse boxes, pallets and containers for parts delivery. We recapture toner that is outside the acceptable size range during manufacturing, recycle returned equipment and reuse totes for recycling scrap metal and paper.

We have an aspirational goal to drive our reuse/recycle rate to 100% by 2020 at our technology facilities compared to a baseline year of 2009. Additionally, Xerox has committed to developing a process to collect and track solid waste data at all of our Services facilities.

Our global manufacturing operations and all facilities in Monroe County, New York generated 47,100 metric tons of non-hazardous solid waste in 2015, up slightly from 44,000 metric tons in 2014. Process waste consists primarily of paper, wood, pallets, waste toner, plastics and packaging waste such as corrugated cardboard. Equipment manufacturing waste includes scrap metal, waste batteries and lamps, miscellaneous trash, and non-usable end-of-life equipment and parts that our customers return to Xerox for processing and remanufacturing. This waste made up about 71 percent of the non-hazardous solid waste managed by Xerox operations in 2015. Xerox is able to reuse or recycle over 98% of the waste generated from our customer returns.

In 2015, we managed 94 percent of non-hazardous solid waste beneficially, up from 93 percent in 2014. The increased reuse/recycle rate can be attributed to an increase in our manufacturing operations using energy from waste technology for non-recyclables in 2015. Additionally, in 2015 our equipment resellers were able to return a number of products to the marketplace for resale. That resulted in a significant reduction of all non-hazardous waste. Please note that the reuse/recycle rate has been revised from previous years to more accurately represent non-hazardous waste management methods.

Non-hazardous Waste

Annual volume by Management Method

Non-hazardous Waste

Revenue from continuing operations attributable to Xerox, revised for all periods to reflect Discontinued Operations.

2015 Non-hazardous Waste Management Methods

Percentage by Management Method
2015 Non-hazardous Waste Management Methods

Non-hazardous Solid Waste Recycling Rate

Non-hazardous Solid Waste Recycling Rate

Environmental Remediation and Compliance
In 1985, we began a voluntary assessment program that identified 68 of our worksites requiring remediation. We worked closely with the appropriate federal, state and local agencies to initiate prompt and appropriate measures to ensure the protection of employees, neighbors and the environment.

Today, only two of the original 68 sites still require active remedial or control measures. We have removed or greatly reduced the source areas of contamination and have remediated these properties for reuse or redevelopment. Our remedial focus is now shifting to establishing the completion of required post remediation compliance monitoring at sites no longer subject to active remediation so the regulatory process for managing these sites can officially be terminated.

In addition to using conventional techniques for groundwater recovery and treatment and soil excavation, we have a history of developing innovative remedial technologies to enhance our remedial efforts. These included techniques that improve and accelerate the recovery of contaminants such as high-vacuum 2-Phase Extraction and enhanced bedrock fracturing. We also employ technologies where contaminants are converted to less-harmful substances through enhanced natural biodegradation and chemical oxidation.

Compliance Reporting
We require our various operations and subsidiaries worldwide to report allegations of regulatory violations to our EHS&S group for tracking, evaluation and corrective action, where appropriate. In 2015, five instances resulted in a notice of violation. Two were administrative due to late filing of reports. Three others involved exceeding wastewater discharge limits: one of which resulted in a penalty. All issues have been abated and closed out with the relevant authorities, and we’ve established appropriate controls to ensure ongoing compliance.