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Environmental Principles That Translate Worldwide

As a global company with a presence in over 70 countries, our success depends on finding the right approach across varied cultures. With respect to minimizing our environmental footprint globally, the principles of Reduce, Reuse and Recycle resonate throughout the world. Building on these fundamental precepts, Report, Rethink and Re-Educate are equally important tools that we relied upon again this year for culture change, environmental footprint reduction and sustainability progress.

REDUCE

Conserving Resources, Cutting Costs Reduce is a favorite of many organizations for a simple reason: Reductions often go hand in hand with cost savings. At CSC, a host of well-planned reductions have enabled us to reduce operational costs, for ourselves and our clients, while contributing to a healthier planet.

Landfill Reductions

In the UK, office waste performance exceeded FY11 targets, attaining a recycling rate of 60 percent across all properties. Total waste-to-landfill amount for UK operations in FY11 was 340 metric tons, which represented a 48-percent reduction over 2007. At our CSC Baltic offices, we provided each employee with a new water glass for personal use — thereby decreasing use of plastic cups and also empowering employees to adopt green practices.

Energy Reductions

To improve our energy efficiency, we partnered with Johnson Controls, Inc. (JCI), to install voltage optimization equipment at the CSC UK office in Chorley. The equipment smoothes fluctuations in the building’s main supply voltage and optimizes the supply at 220v. Initial data following installation indicated a reduction in annual electricity consumption of 14 percent and a reduction in related CO2 emissions of 82 metric tons. Financial savings will be more than $8,000 (USD) annually, with a payback period under 18 months. Together with JCI, we are now looking at the remaining CSC property portfolio for other sites suitable for application of this technology.

CSC UK data centers have continued to increase energy efficiency of operations through improved management and investment in better infrastructure. During the most recent fiscal year, average UK power usage effectiveness (PUE) rating improved for a third straight year, from 1.91 to 1.89. We are reaching completion of the first phase of the Maidstone Data Center power upgrades with all three new, efficient uninterruptible power supply (UPS) units now in operation. Based on early results, we anticipate a real increase in UPS efficiency of around 20 percent, which in emission terms equates to an annual savings of more than 4,500 metric tons of CO2e and in excess of 8 million kWh.

Globally, we have demonstrated our commitment to energy efficiency by steadily reducing our energy costs over the past several years, despite the rise in electricity prices.

Facility Reductions

We completed many initiatives this year to reduce the amount of energy required to operate our facilities:

• Real Estate Cost-Reduction Activities. Globally, CSC Real Estate Facility Management staff, in conjunction with our partners, Jones Lang LaSalle (JLL) and JCI, undertook 88 actions to reduce office space and reduce cost. Our joint efforts eliminated more than 2.5 million square feet of surplus space, yielding FY11 opex cost savings of $30.5 million. Ongoing savings from these actions will yield another $47.5 million in savings for FY12. All of this represents a great reduction in our overall real estate footprint.
• Meriden Data Center — Free Cooling Pilot Program. Eight of 22 computer room air-conditioning (A/C) units were retrofitted with 100 percent outside air supplies and associated controls to enable free cooling during cloudy weather periods of the year. Performance data will be obtained once cooler weather returns to Connecticut in the fall.
• JCI Sustainability Manager Pilot. Instrumentation and data communication to capture a high rate and volume of building operational data were installed at a CSC office in Blythewood, South Carolina and at the Meriden, Connecticut Data Center. The recently added systems evaluate the data through a proprietary JCI software tool. The objective is to identify operational anomalies in the buildings’ electrical and mechanical systems, remediate problems and optimize the existing systems’ energy consumption. We may also identify potential capital projects to improve energy efficiency through this pilot system.
• Asia Data Center Energy Improvements. JCI assumed facilities management responsibilities for CSC’s three Asia data centers in FY11, introducing a new element of the service agreement through addition of energy consumption reduction targets. JCI implemented a significant number of improvements at the Singapore Data Center, reducing energy use by approximately 10 percent compared to the FY10 baseline.
• Australia Docklands Green Office. In April 2010, CSC Australia moved Melbourne-based staff to a newly developed office in Docklands. This office has been designed to achieve a 4.5 star rating for greenhouse impact, per the National Australian Built Environment Rating System (NABERS) (a 5 rating represents the lowest impact). Energy efficiency initiatives helping to achieve this rating include the following:
  • Office levels are double-glazed, and the ground floor has highperformance single glazing.
  • Office lighting is designed for enclosed spaces and zones, with controls in accessible locations, so that lighting is used only where and when needed.
  • Additional initiatives contributing to the building’s high environmental performance include the following:
    • Lighting time clocks are in place throughout the CSC area, with lighting turned on between 7 a.m. and 7 p.m. daily. Afterhours lighting is push-button controlled.
    • Air conditioning is set to be on between 7:30 a.m. and 6 p.m. daily. After-hours air conditioning requests can be made but must be submitted with 48 hours’ notice.
    • Bathroom toilets have dual-flush systems installed.
    • Ninety percent of the water for landscape irrigation is sourced from onsite water collection or recycled site water.
    • Carpets, adhesives and sealants and 95 percent of all painted surfaces are specified to be low in volatile organic compounds.
• Australia Macquarie Park Upgrades. To further improve the energy efficiency of CSC Australia’s Macquarie Park office, the Facilities and Real Estate Team worked with premises management to implement basebuilding initiatives that will move us along on our sustainability journey; these initiatives include:
  • Sensor lighting installed in the car park areas: After 6 p.m. and on weekends, lighting is controlled by infrared scanners that detect movement and initiate activation of the lights. This is expected to save 3,355 kWh per year — 4 metric tons of CO2.
  • Daylight sensors installed in the fire escape stairs: This is expected to save 5,990 kWh per year — 6 metric tons of CO2.

To reduce the cost of running the air conditioning system at Macquarie Park and eliminate unnecessary energy usage, we adjusted hours of operation to better reflect actual usage. Tamper-proof boxes have also been installed over the after-hours air conditioning push buttons to reduce out-of-hours air conditioning operation. When comparing energy consumption in calendar year 2010 versus 2009, the total annual savings was 755,279 kWh, which eliminates approximately 670 metric tons of CO2 output per year.

REUSE AND RECYCLE

Creating New Life from Old Materials

When we have maximized the usefulness of items across their initial life cycles, our next step is to limit our landfill usage and create new life through adhering to the principles of Reuse and Recycle. By viewing products that are unusable in their current state as potential inputs into new systems and processes, we made great advances in increasing our reuse and recycling programs this year at many offices.

Electronic Waste Recycling

We again this year ensured that CSC computing equipment did not, at the end of its useful life, find its way into the landfill. We carefully managed the disposal and recycling of IT equipment in our CSC facilities, and we worked with a variety of certified electronic waste (e-waste) service providers around the world — covering all downstream processes, including recycling, refurbishment and remarketing of our IT equipment. Equipment that was not donated to those in need or that was not for resale was dismantled and properly recycled to ensure environmentally and socially responsible disposal. In 2010 - 2011, 70,813 kgs of CSC Australia’s and clients’ e-waste materials were recycled in an environmentally and ethically responsible manner, covering 98.5 percent (averaged over the year) of all commodities.

We focused on working with vendors that not only recycled our used equipment as e-waste, but also worked to refurbish where possible, creating a new life cycle for our electronics. Reuse is better for the environment and creates a cost benefit to doing the right thing. In the United States in 2010 - 2011, more than 135,000 pieces of electronic waste were processed with our largest e-waste handler, and landfill avoidance approached 2 million pounds.

Office Waste Recycling

CSC Baltic launched a pilot recycling program this year, including replacement of personal trash bins with common recycling bins and a change-management campaign to communicate the importance of recycling. The successful adoption of the program underscored our ability to make environmentally friendly changes at local offices. Similarly, in the UK we achieved a 77 percent recycling rate at our Aldershot headquarters and an overall recycling rate of 60 percent across all sites. With our client Bombardier Transportation we launched a print reduction campaign to significantly reduce paper waste and toner cartridge cost. Globally, we worked this year with many of our vendors to return used toner cartridges to them; at our offices in India, we implemented recycling programs that encompassed cartridges as well as paper.

REPORT

The Right Data Enables Improvement This year we identified strengths and weaknesses in our reporting processes and programs, and then improved our transparency, engagement and ability to achieve concrete sustainability results.

ISO 14001 Reporting

Adding to our roster of ISO 14001- certified facilities, we expanded our Australia portfolio to cover our new CSC Docklands facility. This accreditation required assessing all of our office activities and processes that impacted the environment, and ensuring appropriate controls were in place to reduce or eliminate these impacts. Audits were conducted of not only our end-to-end processes in facilities, but also the management programs in place to achieve our environmental objectives. All of our Australia offices and data centers are fully certified and integrated into our Environmental Management System (EMS). The process of plan-do-check-act, at the core of an EMS, ensures continual improvement of CSC Australia’s environmental performance. In addition, all of our UK and Denmark offices and data centers have up-to-date certifications. We reviewed additional sites and data centers to add to this portfolio in the coming year.

Emissions Reporting

To improve our emissions reporting, we implemented one of our most innovative client solutions at internal CSC offices. In Australia, we ran a pilot of our Enterprise Compliance and Sustainability greenhouse gas (GHG) Measurement and Reporting offering, which is based on SAP’s Carbon Impact OnDemand software. Replacing spreadsheets and arduous data collection and calculation, the solution enabled us to make GHG reports available electronically for governments and other stakeholders.

Global Reporting Index Measurement and Reporting

As our focus turned to measurement and transparency this year, it became clear that effective reporting and client communication requires a solid foundation. We researched the Global Reporting Index (GRI) framework for best practices, and we plan to adopt this framework throughout the remainder of FY12. Our aim is to use the GRI framework as the basis of our measurement plan, informing our CR Report and our client supply chain vetting questionnaires.

RETHINK

Analyze. Innovate. Create.

As we continued making a culture change this year toward increased environmental awareness and sustainability results, we thought in new ways about core processes and capabilities at our sites around the globe.

Rethinking Transportation

During European Mobility Week, our Baltic team members organized a Car-Free Day and gave prizes to employees who used sustainable transportation to travel to the office. Overall, 15 percent of CSC Baltic employees chose a more sustainable means of transportation. In addition, our CSC India teams developed an online application to facilitate carpooling and ride sharing.

Rethinking Printing

“Does that need to be printed? Can it be printed double-sided? Is it possible to do this electronically? Do we need all of these printers? Is this printed on Forest Stewardship Council (FSC) paper?”

These are some of the questions we asked this year at facilities worldwide as we sought to reduce the environmental impacts of our use of paper, electronic equipment, toner and energy. In rethinking printing, we looked to electronic media in some cases to eliminate paper, and we introduced recycled paper products. We provided our EMPLOYEES employees with tools that help them transition to public printers, allowing us to consolidate and reduce our fleet. We refined our internal expense system to allow for imaged copies of receipts instead of paper copies that must be faxed and retained. For payroll, we shifted from mailing a paystub to each employee to sending an electronic copy through corporate email. These actions saved many sheets of paper and reduced the toner, ink, energy and transportation required.

Rethinking Tradition

To employees receiving awards and accolades, CSC India teams gave tree saplings in ceramic cups instead of presenting cut-flower bouquets or dust-collecting desk awards. Instead of relying on the light switch, several CSC locations let the sun provide lighting in work and common areas — reducing power consumption and improving employee morale. Teams also rethought how meetings are held. To enable travel-less communication with others around the world, we used teleconferencing and webconferencing.

In addition, we have rapidly adopted high-definition videoconferencing (HDVC). Since our first few systems were installed in September 2009, our use of HDVC tools for Web meetings around the world is up 55 percent. We now have more than 95 systems strategically located across the globe that have supported more than 15,000 high-definition videoconferences.

Providing these services allows us to improve the quality of global collaboration while reducing travel and environmental impacts.

We are also rethinking our traditional energy portfolio purchases. Our CSC UK offices are now powered as follows: 50 percent by clean green energy and 50 percent by efficient Combined Heat and Power (CHP) generating plants. This minimizes combustion heat losses and maximizes returns from fuel usage.

By helping to clean up and restore 3,500 green spaces, our CSC Baltic team added a new twist to a 3-year tradition of working with DAROM, a volunteer organization that promotes environmentally friendly thinking, citizenship and social participation.

RE-EDUCATE

Learning to Tread a New Path As we continued to think differently about environmental sustainability this year, we engaged with our employees in many ways to move our corporate culture forward and build a stronger, more sustainable CSC.

Re-Educating About Transportation

During UK Climate Week, we promoted discussion around sustainable travel and provided UK employees with information on sustainable travel options to reduce CO2. These included an online eco-driving test and journey planners to compare the costs, journey times and carbon footprints of different methods of transport. Employees at our Royal Pavilion site were also able to test-ride electric bicycles that combine low-emission transport with smart technology.

Re-Educating About Consumption

To mark Earth Day, we held two educational webinars to help our employees understand environmentally conscious consumption and how to make buying choices. The webinars provided tools for employees to break through “green-washed” marketing claims and understand where real environmental and sustainability criteria were to be found. We also provided books, videos, discussion groups and other resources.

For an event commemorating World Environment Day, our CSC India “Binergy” team staffed the stall of a nongovernmental organization in Noida; at the stall, employees bought environmentally friendly products and conducted an interactive session on how to conveniently make greener choices.

For a third straight year, we switched off lights at many CSC locations worldwide to recognize Earth Hour — a global event during which households and businesses turn off non-essential lights and appliances for 1 hour every March to raise awareness about climate change. Our CSC Baltic office took an extra collaborative step by encouraging other companies residing in the same building to join us.

Re-Educating About How to Make a Difference

This year, our CSC Australia team demonstrated that sustainability progress often comes from grassroots efforts. After establishing a Green Champions network to engage with staff, the team provided email and wiki content about solar energy and other topics selected by employees in a survey; held organic gardening expos at our Macquarie Park and Docklands offices; and sponsored a photography competition to raise awareness about the importance of water recycling.

In India, our Go Green team sent out awareness mailers about its programs and achievements and created posters and standees across locations to emphasize green initiatives and improve employee engagement. The team also sent out green tips and conducted a special environment quiz for all CSC India employees, with more than 1,000 participating and the winners receiving prizes.

Commitment. Transparency. Sustainability

The accomplishments of our international teams in the past year showcase CSC’s continued commitment to reducing our environmental footprint while quantifying these efforts and achieving a degree of transparency that reflects CSC standards of excellence. Together, the “R” environmental principles — from Reduce, Reuse and Recycle to Report, Rethink and Re-Educate — will again be critical as we benchmark our progress, look for new ways to be efficient globally and ensure that our people have the resources to make meaningful transformations at CSC and around the world.