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2020 Sustainability Report 3M
2020 Sustainability Report 3M
Improving
every
life
Growing our business
by enabling action
and impact on some
of humanity’s greatest
challenges.
Our leadership Feature stories Who we are How we work What we create About report
Message from our CEO 4 Introduction 10 Introduction 46 Introduction 84 Introduction 190 About report, scope, 216
and boundaries
Message from our CSO 6 Feature stories 12 3M Value Model 48 Corporate governance 86 Our customers 192
Sustainable Development Goals 220
Site spotlights 34 Our Vision 49 Enterprise risk 94 Innovation management 198
GRI index and UNGC 226
Our Values 49 Corporate Code of Conduct 98 Our products 208
SASB index 236
Our Strategic 50 Human rights 106
Sustainability Assurance statement 238
Framework Compensation 116
Metric tables 244
Advancing impact 56 Employee programs 120
Mike Additionally, we moved our St. Paul The climate, Over the last few decades,
Roman
headquarters to 100% renewable
electricity, while committing to move environmental, and 3M has reduced our
our entire global operations across public health challenges greenhouse
70 countries to renewable electricity
by 2050. And we took several other
the world faces gas emissions by
may seem daunting,
68%
actions to accelerate our Sustainability
leadership — from partnering with but they are not
Clean Air Asia to create more livable
cities, to establishing a new goal to insurmountable —
3M is a long-time leader I am tremendously proud of how our
provide 300,000 hours of skills-based
96,000 employees have stepped up especially if tackled with a
in Sustainability. with urgency to advance solutions volunteerism by 2025.
collaborative, purpose-driven, and
for all of our stakeholders — from science-based approach. In addition
We started our groundbreaking
communities around the globe and the We also continue to to our ongoing support for the Since 1975,
2M tons
Pollution Prevention Pays program
back in 1975 — preventing over two
health care teams that serve them, to advance the knowledge UN Global Compact, as CEO of
our customers, employees, investors 3M, I commit to doing our part and
million tons of pollution to date —
and business partners.
and importance partnering with others to make this
and we are continuously working to
build on our leadership. Over the last
of science itself. a decade of action — for the sake of
This shared global experience further
two decades, for example, as 3M’s deepens our commitment to continue We’re finding new and more exciting
our business and the greater good. of pollution have
revenues have doubled, we have
reduced our greenhouse gas emissions
advancing science and Sustainability, ways to support STEM education, —M
ike Roman been prevented
which includes our three priority areas: and you’ll see examples throughout 3M Chairman of the Board
by nearly 70%, and moved 35% of our this report. We have appointed one and Chief Executive Officer
by our Pollution
manufacturing sites to zero waste. •S
cience for Circular: Design solutions of our top engineers, Dr. Jayshree Prevention Pays program.
At the same time, we’ve intensified our that do more with less material, Seth, to be 3M’s first-ever Chief
focus on creating a range of innovative advancing a global circular economy Science Advocate. U.S. Environmental Protection Agency
1
about the
17M metric
and improved fuel economy, to films climate solutions and improve our In 2019, we hosted events with
that make homes, businesses, and own environmental footprint Nobel Laureates and students in
electronics more energy efficient. Asia, Europe, and Latin America.
impact I want I’m pleased that last year alone, 3M
Science helped our customers avoid
• Science for Community: Create a
more positive world through science Our commitment to Sustainability tons of emissions
to make on 17 million metric tons of emissions, and inspire people to join us includes active management of
which is the equivalent of taking more PFAS (per- and polyfluoroalkyl the equivalent of taking
3M+
In 2019, we took several substances) related issues. As with
the world
than three million cars off the road.1
4 Our leadership A message from our CEO 3M 2020 Sustainability Report #improvinglives 5
A message from
Schueller
for Climate, for Community, Sustainability
we continued to improve our own
energy footprint. In February, CEO
we unveiled an additional 2025
Sustainability Goal. Through the
remains at the
Mike Roman committed to moving expansion of 3M Impact, our skills- heart of 3M.
our entire global operations to 100% based employee volunteer program,
renewable electricity by 2050 through we committed to 300,000 work It anchors purpose-driven innovation
membership in the RE100 and doubled hours of service across the globe. in our products, manufacturing
We began directing our efforts to To advance Science our interim target to 50% by 2025 This program builds upon existing processes, and new technologies —
align with the Strategic Sustainability (having already achieved our goal of philanthropic and social Sustainability and we’re always trying to do more.
Framework announced in November for Circular, 25%). Shortly after, we flipped the programs supporting the workforce We know that together with our
2018, advancing our core pillars — switch to 100% renewable sources of of the future — both in science, employees, customers, partners,
Science for Circular, Science for we moved 35.4% of our manufacturing
electricity at our global headquarters. technology, engineering and government, and communities, we
Climate, and Science for Community. sites to zero waste to landfill status,
We expanded upon one of our most mathematics (STEM) disciplines, as can collaborate to solve shared
We also implemented a new gained membership in the Ellen
innovative climate solutions to date — well as skilled trades. 3M products global challenges and achieve the
requirement, announced in December MacArthur Foundation CE100, and
3M™ Smog-reducing and Cool Roofing are improving lives around the world, future vision we seek. As always,
2018, that every product entering established Circular Economy Working
Granules — with a commercial whether it’s increasing physician I look forward to sharing our progress
3M’s new product commercialization Groups within 3M to increase the use
application, allowing buildings of all productivity with our M*Modal® at 3M and partnering with others to
process must have a Sustainability of renewable and recycled materials.
types to fight air pollution and rising Fluency Direct™ speech recognition improve lives around the world.
Value Commitment (SVC), We built upon 3M’s history of creating
temperatures. Externally, 3M had system or responding to the global
demonstrating how it drives impact sustainable solutions and collaborating — Gayle Schueller
strong executive participation and the crisis by rapidly ramping production
for the greater good. with our customers to help them Vice President and
opportunity to share best practices of personal protective equipment,
reach their own Sustainability Chief Sustainability Officer
with global climate leaders at the such as the 3M™ 8210 (N95) and
These foundational elements provided goals, launching products such as
United Nations Climate Action Summit 3M™ 8511 (N95) respirators, aiding
an invigorating start to a year filled 3M™ Thinsulate™ 100% Recycled
and Climate Week in New York City the fight against wildfires and the
with new commitments, engagements, Featherless Insulation, which mimics World Health Organization. https://www.who.
1
Sustainability
most of the world’s 50 most polluted
cities are in Asia, we formed a new
partnership with the international
commitments
expertise to improve air quality and
the lives of people in New Delhi and
metro Manila.
from 3M.
6 Our leadership A message from our CSO 3M 2020 Sustainability Report #improvinglives 7
Feature
Who
Introduction 10
Embedding Sustainability 14
stories
we are
Flipping the switch 18
Cooler trains 20
Leveraging light 22
Taking inventory 24
Site spotlights
Columbia, Missouri 34
Kuan-Yin, Taiwan 36
Springfield, Missouri 38
3M IMPD, California 40
Nevada, Missouri 42
Sales in
100+ straight years
~200 countries
of dividends
30
Electrical $1.20B Medical $3.41B Stationery and $1.37B
companies on the
applied across four business groups markets Electronics $3.71B solutions office supplies
Dow Jones Industrial Index
Industrial $2.74B Transportation $0.95B Oral care $1.32B
adhesives safety Separation $0.79B
and tapes
In 2005, Ellen MacArthur Ellen wanted to change this, so she Joining the CE100 is part of 3M’s Within its supply chains, 3M also plastic “frames” to protect the product Reducing paper instruction
left the sport of solo sailing and strategic focus on Science for Circular, continually looks for ways to recover, during shipping and enable robotic inserts is projected to save
became the fastest person
86
shifted her focus to creating a more with the ambition to design solutions reuse, and recycle byproducts and handling of the material, the latest
to sail single-handedly “circular” economy — where resources that do more with less material, other surplus materials. advancement helps dentists and dental
and power are recirculated and advancing a global circular economy. labs make the most of their evolving
around the globe. regenerated, rather than used and 3M’s Health Care Service Group milling technology, providing them
thrown out. Set on finding a new way “We are delighted to welcome 3M, helps extend the life of about 150,000 with options that reduce the number
The 71-day, 27,000-mile journey
required scrupulous planning, since to design, make, and use things within another major U.S. brand taking
a leadership position on circular
devices each year globally, which of steps and materials required to tons of paper annually.
the boundaries of our planet, the Ellen keeps electronic waste out of landfills. produce crowns and bridges.
what she took with her on the sailboat
MacArthur Foundation was created in economy,” says Joe Murphy, the
had to last for the entire race. “We
managed it down to the last drop 2010 with three guiding principles: CE100 lead for the Ellen MacArthur
Foundation. “We look forward to
3M is also moving to Through careful control of raw
materials and a wide range of zirconia We collaborated with NIOSH (National
more recycled and
of diesel and the last packet of 1. Design out waste and pollution 3M contributing to our diverse and processing equipment now available Institute for Occupational Safety and
food,” she said in a 2015 TED Talk.
2. Keep products and materials dynamic community to achieve faster, to dental labs, the latest advancement Health) to reduce paper instruction
The experience gave her a very real
understanding of what it meant to have in use greater success than any individual renewable materials of the product, Lava™ Plus Zirconia, inserts for respirator cartridges.
~17
makes history
and we had a hard time telling the 3M and blend them into our products has
product apart from natural down.” improved. We had the internal tools.
It’s the onward march of science.”
The new featherless insulation had
not yet been released to the market, 3M Thinsulate 100% Recycled
but since the quantity the Askov team Featherless Insulation has received
recycled plastic bottles
needed was small in the scheme of the OEKO-TEX® Standard 100 Class I worth of insulation.*
3M production, they were able to Certificate, is bluesign® approved and
by introducing 3M Thinsulate
get the product ahead of time. is certified to the Global Recycled
They launched in November 2019 Standard (GRS) by Control Union *Calculation is based on a 20-gram plastic
with 3,000 parkas, each using about Certifications, which verifies recycled bottle and the average 3M Thinsulate 100%
on renewable energy
“The solar panels at our headquarters
Division (IMPD) site are a tangible symbol of our
Sustainability culture,” says 3M Canada
In sunny California, a new solar farm
Sustainability Director Richard
installed on a hill above 3M’s IMPD
Chartrand. “In addition to generating
site provides 20% of the plant’s total
renewable energy, they serve as a
On March 1, the 409‑acre “By joining RE100 and switching to 100% electricity.
daily reminder to 3M employees of
renewable electricity globally, 3M is
campus at 3M’s global building Sustainability into its business The 1-megawatt solar system will the company’s global commitment.
headquarters flipped growth strategy and showing that produce 2.6 million kilowatt-hours Canada’s solar panel installation is one
of the steps we’re taking to engage
the two go hand in hand,” says Helen of electricity each year — enough to
the switch to become Clarkson, CEO of The Climate Group. supply power to about 750 homes. employees in Sustainability every day.”
powered by 100% “Seeing such a large manufacturer
While 3M converts its operations to
The site will also sell back excess
renewable electricity. commit to ‘go all in’ on renewables to
power to the grid during peak times. wind and solar power, the company
produce sustainable new products is
continues to support the global
This was the first step in a commitment an encouraging step forward.”
The 70-year-old plant manufactures renewable energy sector by producing
to move to 100% renewable electricity
With this commitment, 3M has roofing granules, including the solutions for customers that improve the
in all its facilities around the world,
become the largest company in award‑winning 3M™ Smog-reducing reliability and efficiency of renewable
beginning with its own headquarters
partner Xcel Energy’s Midwest service Granules and 3M™ Cool Roofing energy, including solar and wind.
in St. Paul, Minnesota.
area of nine states to move to 100% Granules that help reduce pollution
As part of this commitment, 3M joined renewable electricity. The majority and improve public health.
In 2019 alone,
RE100, a global corporate leadership of the power for 3M’s headquarters
initiative led by The Climate Group in will be supplied by Xcel wind farms
“Although a lot has changed over
the past 70 years, one thing that
3M’s products
partnership with CDP (formerly known
as Carbon Disclosure Project), that
located near Pipestone, Minnesota.
remains consistent is 3M IMPD helped customers
California’s commitment to advancing
brings together influential businesses
committed to sourcing 100%
Sustainability and continually improving avoid more than
renewable electricity. 3M has set an Since 2002, greenhouse our operations and products,” says
Site Manager Angie Byars. 17 million metric
interim target to obtain at least 50% gases produced by 3M
of its total electricity from renewables tons of greenhouse
have decreased by The solar farm is helping advance
by 2025 and 100% by 2050.
gas emissions.
68%
3M’s goal of providing 50% of the
company’s electricity from renewable
Committing to wind and solar power
sources by 2025. “We are continuing to step up our
sources is part of 3M’s strategic
leadership toward a more sustainable
focus on Science for Climate, with the
aspiration to innovate to decarbonize Solar panel installation at future — in our own operations and
industry, accelerate global climate 3M Canada headquarters in solutions for customers,” says
3M CEO Mike Roman.
solutions and improve the company’s
environmental footprint. The Also contributing to 3M’s Science for
commitment will help decrease Climate goals is a 10-kilowatt solar panel
greenhouse gases produced by 3M, that was installed on the rooftop of
already down 68% since 2002. 3M Canada’s headquarters in London,
Ontario. The system went live in spring
2019 and generated 12,000 kilowatt-
hours by the end of the year.
energy solutions
can even be rolled up. It is a solar as those used for grocery store and uses every day as the company
solution for anywhere flexibility is refrigeration, building air conditioning, continuously innovates to drive toward
needed. UBF is the result of a decade and data center cooling. The a future of clean, inexpensive, reliable,
of transparent barrier technology that innovative film is actually cooler and ubiquitous energy.
is protected by more than 40 patents. than the ambient air temperature.
Innovative solar solutions “This was a great example of the
It is also a solution for buildings that This non-intuitive property is achieved
3M product innovation model,” says 1
emonstrated during internal and customer
D
can’t handle the heavy load of typical by reflecting nearly all incoming
Although solar modules don’t have a lot Strommen. 3M leveraged that testing. Some testing is available publicly,
solar panels and can work on curved light from the sun, while at the same such as https://www.energy.gov/sites/prod/
of components, and many of them are technology and applied it to a new
surfaces — one 3M customer has time radiating energy to the sky. files/2014/01/f7/pvmrw13_ps5_3m_nachtigal.pdf.
commoditized, plenty of high-value industry with very different needs in
even used the film on headsets, where When used in sky-facing panels that 2
3M and customer data shows an approximately
needs still exist, especially around the terms of durability. Instead of having
the power generated by the flexible are in contact with a closed fluid 2% gain from LRF over tabbing ribbons and a 2.3%
better use of light. The team has the film tucked away inside an LCD gain from LRF between cells. These numbers are
photovoltaic cell means the headsets loop, the film has the potential
commercialized several products to monitor where it is mostly protected conservative and change based on module design.
may never need to be plugged in or to efficiently remove heat from
meet these needs, including the from the elements, it needed to be 3
Based on current field trial data.
charged. The future possibilities are cooling systems, which can result
following: used outdoors under intense light, high
exciting to consider. in significant energy savings.3
moisture levels, and wide temperature
Light Redirecting swings. This presented the team with
a whole new set of challenges, but
Film (LRF) “we are really good at light management,
and really good at making weatherable
“Can 3M’s treasure In a typical solar module, up to 15%
films, so this was a natural fit for 3M’s
of the exposed area is non-active,
chest of technologies be which means that light striking those
capabilities,” Strommen says.
leveraged to help drive parts cannot be converted into Currently, over 300 million solar
widespread adoption electricity. Thin wires called tabbing modules are produced each year
ribbons cover some of the cell material,
of renewable energy?” reducing the power output. Also, the
industry-wide, and 3M Light
Redirecting Film is used in about
space between individual solar cells one-sixth of them. “LRF is three years
That was the question the Renewable
represents an additional non-active in, and it’s already making an impact
Energy Solutions Team in the 3M
surface. 3M created a product called by reducing the cost of solar energy,”
Electrical Markets Division (EMD)
3M™ Light Redirecting Film (LRF) that says Strommen. “It’s not speculative.
aimed to answer when it was formed
captures this previously wasted light. 3M is making a real difference.”
in 2009, according to 3M Global
LRF is a reflective mirror film that is
Wind & Solar Light Management
placed over the tabbing ribbons and
Business Manager Mike Strommen,
between cells to reflect light from
PhD. The idea was to combine 3M
technologies to create solutions for
non-active areas of solar modules onto
the parts of the cells that do produce
LRF increases
high-value needs in solar and wind
energy systems.
energy, increasing the energy output energy output by
by approximately 4%. 2 approximately
4%
“Our products make solar modules and
The technology used to create LRF
wind turbines more reliable1 and lower 2
was adapted from a product called
the cost of renewable energy,” says
3M™ Brightness Enhancement Film,
Strommen, “so we are in the bullseye
used in LCD monitors.
of Sustainability.”
51
Over the next 10 years, As part of the company’s focus This strategy dovetails with 3M’s focusing on technical, personal, and
on Science for Community, 3M is Vision for improving every life and also workplace skills. Participants also educators trained
skilled trade jobs are
3,130
helping to create a diverse pipeline supports 3M’s strategic Sustainability have the opportunity to take part in
expected to increase of well-trained science, technology, focus on Science for Community. skills competitions and demonstrate
engineering, and mathematics
faster than the national (STEM) graduates, including those By the end of 2019, the MAP
mastery in their skill area, such as
in manufacturing, construction, In 2019, 3M and Festo Didactic
average of all jobs.1 with advanced manufacturing and initiative included 13 mechatronic transportation, health care, and many North America started a new
65
for the workers, but it’s also good • 11 post-secondary schools
a skills gap in manufacturing and other business for 3M. (technical colleges) 3M was the lead sponsor for the participants in the MAP program,
trade jobs: A recent survey found that 2019 SkillsUSA national team, which allowing students to earn this
45% of employers are having difficulty • 39 high schools
filling skilled jobs. 2
Manufacturing faced off against young people from credential to prepare them for careers
in advanced manufacturing.
• 3 middle schools 70 countries at the WorldSkills™
and Academic
3M recruits, hires, and relies on the
competition in Kazan, Russia. The scholarships
best skilled trade workers worldwide,
Partnerships (MAP) 3M’s investment of more than 22 WorldSkills USA team members 3M also has certifications in several
other areas:
$2.5 million has resulted in: competed in categories like auto body
but many of these manufacturing When a business is set in a rural area, • 51 educators trained repair, cybersecurity, mechanical
jobs are highly technical and require 3M Worker Health and Safety
specialized training.
the pool of potential employees can
• 3,130 students reached engineering, web design, welding, National Coalition of Awareness Program
be small, and the pool of qualified and more. As the global sponsor of
employees even smaller. Many of • 65 scholarships in mechatronics the WorldSkills USA team, 3M was
Certification Centers • Respiratory hazards
3M’s manufacturing plants in the and advanced manufacturing thrilled to bring the entire team to (NC3) • Hearing hazards
United States are in rural areas, and 3M’s headquarters in St. Paul,
when the talent pool began shrinking Best of all, 3M has hired five graduates 3M has partnered with National • Head, eye, and face hazards
Minnesota, to help them prepare
several years ago, the company took as System Multi-Skilled Technicians, Coalition of Certification Centers
for the international competition 3M™ VentureClad™ Tape Program
action by creating 3M Manufacturing so far, who participated in MAP (NC3) to establish national skills
and celebrate their commitment to
and Academic Partnerships (MAP), programs. This number will increase standards, provide certifications, • Jacketing, sealing, and insulating
represent the United States overseas.
designed to fill 3M’s talent pipeline in the near future as these high school and sponsor Train-the-Trainer solutions for HVAC systems
by providing students with the students graduate from 3M’s partner “3M and WorldSkills USA share a events. These hands-on development Several other certifications are
opportunity to discover meaningful technical colleges. commitment to addressing the shortage opportunities are designed for planned for introduction later in 2020.
careers in advanced manufacturing. of qualified skilled workers across many community college, technical college, 3M is also proud to support NC3 with
The program continues to grow with
industries,” says Mojdeh Poul, Executive and high school instructors. product donations, classroom kits, and
MAP takes a holistic approach plans to increase scholarship funding
Vice President, Health Care Business other materials to help support the
to bridging the skills gap by working and other investments in the coming Led by expert master instructors,
Group. “As a global, science-based success of educators and students.
with schools to provide grants for years, including expanding MAP to the events last one to five days
company, we recognize that STEM
equipment and curriculum, professional prepare students and give them the depending on the topic and help
skills are the foundation for many trades.
development for instructors, tools necessary to succeed in the new instructors become experts in the
This sponsorship is about inspiring the U.S. Bureau of Labor Statistics: https://www.bls.
1
scholarships for students, and involving economy (“Industry 4.0”) with a focus newest certifications, allowing them gov/ooh/construction-and-extraction/home.htm
next generation of skilled workers and
3M employees as mentors. on smart manufacturing. to bring their knowledge back to Manpower group survey: https://www.
supporting their efforts in Kazan.” 2
300k
Lasting relationships
Although the global and local
3M Impact projects are designed for
KINF is a national organization whose
mission is to source free school supplies
for students with the greatest need, but
they were experiencing a backlog after
around the world short-term engagement, in many cases, dozens of school supply drives. During
the relationship and collaboration the hackathon, KINF and a half dozen
skills-based volunteer continue far past the project end date. 3M employees brainstormed solutions
and developed recommendations to
hours by 3M employees MySkills Foundation is one of the streamline donation processing. But
How many problems “This new commitment will make by 2025 organizations that participated in
3M Impact’s inaugural year. Located
the partnership didn’t end there. The
effort continued when the 3M Impact
3M Impact the fastest-growing
can be solved in skills‑based global pro bono program,” in Kuala Lumpur, Malaysia, MySkills in a Day team partnered with 3M
300,000 hours? says Gavin Cepelak, Senior Vice is a nonprofit organization dedicated
to providing second-chance
Optimized Operations employees — a
President, Global Pro Bono at rotational program for supply chain and
3M is going to find out because the PYXERA Global, the advisory firm opportunities for at-risk youth in the engineering — and, as a result, reduced
company has expanded its 2025 3M partners with to facilitate the ethnic Indian community of Malaysia. KINF’s supply donation cycle time from
Sustainability Goals with a new diverse 3M Impact projects. two months to four days during the 112
When discussing the results school supply drives it conducted in 2019.
commitment: provide 300,000 work
achieved by the 3M Impact team
hours of skills-based volunteerism by Strong from the start in 2017, MySkills CEO Devasharma
3M employees to improve lives and help
Gangadaran says MySkills “was deeply
Supporting 3M’s
solve society’s toughest challenges. 3M Impact got its start in 2017 when
3M sent 50 global employees to three
impacted by the relentless effort of Strategic Sustainability
“NGOs, universities, and social countries (Malaysia, Vietnam, and
3M to transform lives of youth at risk Framework
enterprises around the world face in Malaysia. We had a vision for a
Indonesia) to work on-site with local
resource constraints to address the self-sustaining campus with numerous In addition to assisting groups and
nonprofit organizations for two weeks.
environmental and social challenges enterprising ventures in the future, organizations in need, 3M Impact
in their communities,” says Gayle In its second year, 2018, 3M Impact and they helped us make it real in a volunteer opportunities all align
Schueller, 3M Vice President and launched 3M Impact Local in short amount of time.” to 3M’s Strategic Sustainability
Chief Sustainability Officer. “With both St. Paul, Minnesota, and Mexico Framework, advancing the company’s
More than two years after the initial commitments to Science for Circular,
this new goal, we’re empowering our City, Mexico, offering volunteer
3M Impact project, 3M is still involved Science for Climate, and Science
employees to give back beyond 3M opportunities for 3M employees in
with MySkills, providing a grant in for Community.
products and technologies, as well as their own communities.
2018 to help them continue their
traditional volunteerism, by leveraging
3M Impact in a Day was added in 2019. life-changing programs and to help The MySkills and KINF projects are
their professional skills to help
The program organized a week of half- them implement the 3M Impact team aligned to 3M’s Science for
organizations reach their goals.”
day service hackathons connecting recommendations. And in 2019, Community pillar. Other examples
To reach 300,000 hours, the 100 3M employees with more than 56 3M Malaysia employees, including include designing a structured STEAM
company is expanding 3M Impact, its 20 local nonprofits seeking functional 3M Malaysia’s Managing Director, (science, technology, engineering,
skills-based service program where expertise on a specific project. Also volunteered at MySkills for an inspiring the arts, and mathematics) curriculum
employees lend their business skills, in 2019, the global program expanded Volunteer Day. for students ages 7–12 in China
experience, and energy to make a from 50 to 125 participants who (Science for Community), analyzing
The Kids in Need Foundation (KINF) the potential for material and energy
difference in global communities, traveled to nine cities around the world.
is another organization that has recovery through waste management
while also developing leadership,
In the fall of 2019, 200 3M employees benefited from 3M Impact after in Morocco (Science for Circular), and
problem-solving, and interpersonal
were selected for the next wave of 3M participating in the 2019 half-day developing a scalable business model
communication skills.
Impact Global, making up 15 cohorts hackathon, 3M Impact in a Day. for a sustainable transport company
in cities around the world to work side in Colombia (Science for Climate).
by side with nonprofits, organizations,
and local municipalities.
7,000
(recycling); fabrication like guide called “Pi” (referring to
is changing the way process; inside a computer the infinite decimal π) welcomes
young teenagers • Engineering: Graphic expression;
the players to the 3M Foundation
virtual experience. “You will see that
feel about science, types of strength; electrical circuit
it is going to be very fun, but I warn
technology, engineering, • Mathematics: Neolithic (natural you that you must be alert during
students in 2019
numbers); Egypt (triangles our tour since you will have to solve
and mathematics classification); Greece (geometry collaborative challenges in order
(STEM) subjects. with polyhedrons) to continue,” Pi says.
The game was initially available as
3M Spain Foundation partnered The players are then prompted to
a free download in Spain in the
with VR company Presentys to build and design their avatars for the
PlayStation® store and expanded to
create a multilingual VR platform on game, choosing hair, outfits, and other
be available as a free download in
PlayStation® Spain containing the four features to personalize their experience.
21 additional English, Spanish, French,
different STEM teaching blocks. Each Once complete, the game begins.
and Portuguese-speaking countries.
teaching block is divided into three
In 2020 it will also be available in the
separate modules in order to foster The launch of “You United States and South America.
collaborative work.
make it real” was a huge
Future plans are to use the game as
The goal of the project is to encourage success in Spain — 91% an inclusion activity to help students
students to pursue STEM careers as
part of 3M’s strategic focus on Science
of the participants said in difficult social situations or with
different abilities, as well as to
for Community. Targeted to students they would repeat it. continue promoting activities that
ages 12-15, the game was activated
“It is a more effective method for focus on STEM careers for girls.
in 60 schools (with many more on a
waiting list), six summer STEM camps, learning that kids prefer, by including
The 3M Spain Foundation is now
and seven hospitals, reaching more games,” says one of the students
preparing for the launch of its next
than 7,000 students in 2019. who tried it.
big project: an inclusive video game
focusing on recycling that will be
A year and a half in the making, the
presented at the beginning of 2020.
video game, called “You make it real,”
is designed to be experienced in
groups of three players at a time.
of Certified Green Partners® in 2003. Visit the Alpha Beta Global Tapes
and Adhesives Co., Ltd (GTA) website
to learn more.
3M site spotlight
alive and well at 3M
Springfield, which had 13
3P project goals in 2019.
Springfield, Missouri, But it’s also home to 3M’s Springfield Most of these projects are focused
on yield improvements and waste
plant, which manufactures a variety
may be best known as of adhesives, tapes, abrasives, and 3M Springfield is on track reduction at the production lines and
the birthplace of historic films. The products produced here are to save approximately are on track to save approximately
100
used to bond aircraft and automotive 100 tons of waste by the end of 2020.
U.S. Route 66, one of components; help protect people
the original highways fromfire; make sure boats are sealed;
3M Springfield
in the United States. and assemble sporting goodsand
electronics — just to name a few
tons of waste by the is proud of its
applications.
end of 2020. close-knit family
atmosphere, and it
3M Springfield has been producing shows in the efforts
some of the world’s most advanced
sealants and adhesives since it opened that employees are
in 1967. With 450 employees, the
450,000-square-foot site sits on 100 making regarding
acres of land and supports 3M’s Safety
& Industrial Business Group (SIBG).
Sustainability, both
at work and at home.
3M Springfield has been
In 2018, they developed a Green Team
busy reducing its to focus on Sustainability at the site,
environmental impacts. which also encourages employees to
take Sustainability home with them.
Multiple projects, such as replacing The team increased recycling efforts
light fixtures with LED lighting, in the production facility. In 2019, the
installing light sensors in the Green Team gave away native Missouri
warehouse to eliminate lighting when seedling trees for employees to take
no one is in the area, and identifying home and plant.
air leaks to reduce the running times of
air compressors, have reduced energy Visit the 3M Springfield website to
usage at the site. 3M Springfield’s learn more.
Quality Department also redesigned
its systems to use an energy-saving,
on-demand water heater system.
3M site spotlight
roofing granules are one of 3M’s Supplementary Cementitious Material
oldest products, 3M IMPD California (SCM). By utilizing 3M Natural
continues to innovate with new roofing Pozzolan as a cement replacement, the
granule products that are advancing greenhouse gas footprint of a yard of
Sustainability for 3M’s customers, their concrete is also reduced.
3M has been The roofing granules, shipped to
customers, and, finally, the homeowner.
customers along the West Coast in
manufacturing roofing bags, trucks, and by rail, provide long- In 2019, IMPD California In addition to manufacturing
granules in California lasting, weather-resistant protection energized a 1-MW solar 3M™ Cool sustainable products, 3M IMPD
California is committed to advancing
for the asphalt roofing in an array of colors. The granules are array providing Roofing Granules Sustainability in its operations.
20%
dense‚ nonporous‚ UV-ray resistant‚
industry since 1948. and tough enough to withstand 3M™ Cool Roofing Granules are 3M IMPD California is certified to the
handling. Made of a natural mineral a 3M innovation and an energy- ISO 14001:2015 standard, recycles
3M IMPD California occupies product and coated in ceramic‚ the efficiency breakthrough roofing 100% of process water, utilizes low
1,300 acres of land in the Temescal granules meet the toughest tests of granule technology. In climates NOx natural gas burners, and in 2019,
Canyon, located in Riverside County,
California, about 45 miles southeast
time‚ weather, and marketplace. of electrical power with year-round cooling needs, energized a 1-megawatt solar array
they can help keep a home cool
of Los Angeles. The location includes
The rock used to make the granules
is quarried at this location from a mine
required by the plant. with less energy consumption and
which provides 20% of the electrical
power required by the plant. In
an active mine site, manufacturing site that has been active for over lower energy costs because Cool addition, all forms of the mined rock
operations, and acres of open spaces 100 years. Roofing Granules are up to four times are used in 3M products or in the
which provide habitat for a variety of more reflective than comparable In 2019, through nominations from
aggregate industry, resulting in no
plant and animal species, including conventional colored granules. 3M IMPD California, two local
mineral waste generated.
some that are endangered. nonprofits were recipients of 3M
3M™ Smog-reducing Foundation grants. Santa Rosa
Granules
3M IMPD California Environmental Plateau received the
difference.
conference with speakers and vendors
Good category. aligned to the theme of Celebrating
the Power and Passion of Women.
1,316
3M Nevada is the largest of 3M’s wetlands, and a butterfly garden.
Commercial Solutions Division Employee-led teams championed
(CSD) sites. CSD provides powerful the recycling efforts at the plant. Another 3M Foundation grant
solutions to customers to enhance The teams engaged with employees provided a STEM learning opportunity
the impact of their brand. through a poster program designed for Nevada’s local YMCA summer
Who
3M Value Model 48
Our Vision 49
Our Values 49
Our Strategic
we are
Sustainability Framework 50
Advancing impact 56
Communities 60
Recognition 78
greater good.
world where
to do more. In 2019, we took measures
that will lead into a decade of action.
every life
This is the story of how we are doing
it — setting aggressive goals, requiring
Sustainability to be built into every
is improved. new 3M product, and using science
to change the world and make it more
sustainable for future generations.
At 3M, we look at Sustainability in And we aren’t doing it alone.
terms of shared global needs. To have
a sustainable future, many challenges We understand that the impact we
must be addressed, including limited can make as we improve our business,
natural resources, lack of access to our planet, and every life can be far
education and health care, inadequate greater when we join forces with our
food supplies, rapid urbanization, customers, communities, and partners.
stressed water systems, and a global
climate crisis. Even though the
solutions aren’t always clear, we are
ready to take them on. From our highly
collaborative work environment to our This is the
community of scientists and 51 core
Technology Platforms, we have the
continued story
resources and the desire to make a real
difference in the world.
of our purpose:
#improvinglives
Values
Impact on 3M reputation
partnerships, environmental and social conducted for the 2018 assessment, information on issues that were
goal setting, and reporting, we seek scarcity of raw materials, water found through this assessment to
stakeholders shared their short-term
and rely on both internal and external quality, social equality, and ethical have the highest potential to impact
(0 to 1 year), medium-term (1 to 5
input in order to understand the top business practices. our reputation and that are of great
years), and long-term (10-plus years)
Impact on 3M reputation
social, economic, and environmental importance to internal and external Responding to Treatment of Reducing toxic
expectations for 3M. As part of the
global challenges. natural disasters workers substances
process, they revisited top focus areas stakeholders. Because we are a
identified in 2016 compared with diversified company, several other Employment Air quality Water shortages
Stakeholder engagement current areas. environment-related topics and
impact
c
S irc c
S lim c
S om
C C C
Design solutions that Innovate to decarbonize Create a more positive
do more with less industry, accelerate world through
Accelerating efforts to help solve material, advancing a
global circular economy.
global climate solutions
and improve our
science and inspire
people to join us.
the world’s biggest challenges. environmental footprint.
commitment
within the three pillars of our Strategic
Sustainability Framework.
For more than 40 years, 3M has been Our goals align with the United
a leader among global corporations Nations 2030 agenda for Sustainable
in Sustainability actions and measures, Development, which includes
beginning with the creation of our 17 Sustainable Development Goals
groundbreaking 3M Pollution Prevention (SDGs). Additional information on
Pays (3P) program in 1975. United Nations SDG alignment can be
found in the About report section.
• Require every new product that • Help our customers reduce their • Provide training to five million
Our goals are becoming stronger and
enters 3M’s new product GHGs by 250 million tons of CO₂ people globally on worker and
gaining momentum as we recognize Our Strategic commercialization process to have equivalent emissions through patient safety by 2025
how much needs to be done in order
to make the world more sustainable
Sustainability a Sustainability Value Commitment, use of 3M products by 2025
• Invest cash and products for
demonstrating how it drives impact
for future generations. We are heading Framework helps for the greater good starting in 2019
• Improve energy efficiency indexed education, community, and
to net sales by 30% by 2025 environmental programs by 2025
into a decade of action that will help us apply science to • Reduce manufacturing waste by
accelerate solutions to the world’s • Ensure GHG emissions are at least • 100% participation in employee
biggest challenges. We are committed improve every life. an additional 10%, indexed to sales 50% below our 2002 baseline by development programs to advance
to doing much more than just focusing by 2025 2025, while growing our business
It also guides our business decisions individual and organizational
on what benefits us as a company. • Achieve zero landfill status at more capabilities by 2025
and strategy, as well as how we • Increase renewable energy to
We have a commitment — and the than 30% of manufacturing sites
focus our efforts for local and 50% of total electricity use by • Double the pipeline of diverse
ability — to use our resources and by 2025
global community impact. For that 2025 and to 100% by 2050 talent in management to build
capabilities to impact the world.
reason, we’ve reorganized our 2025 • Drive supply chain Sustainability a diverse workforce by 2025
Our stakeholders expect this of Sustainability Goals to fit within each through targeted raw material
• Donate 300,000 skills-based work
us, and we expect it of ourselves. pillar of our Strategic Sustainability traceability and supplier
hours across the globe by 2025
In 2015, we launched our 2025 Framework — Science for Circular, performance assurance by 2025
Sustainability Goals, expanding Science for Climate, and Science
• Reduce global water use by an
beyond 3M to include customers, for Community.
additional 10%, indexed to sales
suppliers, and social impact. The goals by 2025
we are pursuing reflect a heightened
commitment to going beyond • Engage 100% of water-stressed/
compliance and thinking holistically scarce communities where 3M
about how our operations and manufactures on community-wide
products affect the world and every approaches to water management
life in it. by 2025
or or or
with suppliers, customers, and
f f f
e ity
communities by working together to
ce r ce c
build a more resilient world. We at
n
ie ula n
ie ate ien un 3M have the unique opportunity to
c c Sc omm
apply our passion and collaboration to
35
of 3M’s support of FIRST — 3M
currently provides an annual total of and students To support efforts in communities
campaign
Empowering the $1.5 million in product and financial
donations, which includes $250,000
Teachers are the most important
where our sites are located, 3M
awards grants to organizations with
To inspire and empower younger
10
3M empowers the next generation of participation of underrepresented
scientists and engineers by supporting helped them improve their classroom • Georgia Tech’s Challenge program, Students (ages 13-25) designed
students in robotics. Hundreds of posters featuring superheroes who
education initiatives that advance instruction by providing an opportunity also known as “Academic Pre-
3M employees share their expertise use STEM-related powers to save
equitable outcomes in STEM and to experience science in 3M labs and Season,” offers incoming students
by volunteering as coaches, mentors, the world. They were encouraged to
business for underrepresented and manufacturing sites to discover how an opportunity to prepare for their
and judges for the FIRST Robotics display these posters where younger
underresourced students. community and Competition program
we apply science to real life. college experience. Along with
participating in courses that simulate students could see them — such
Community training technical schools • Teach For America recruits, The 3M Visiting Wizards are trained their first year, students gain as schools and libraries — to show
develops, and supports a diverse 3M volunteers who travel to elementary exposure to resources and networks that STEM is exciting, relevant, and
resources and provided network of recent college graduates schools to showcase interesting science relatable. The campaign encouraged
65
that will support their success.
who make a two-year commitment demonstrations and fun hands-on The 3M grant enabled more participants to design diverse
As manufacturing evolves and to teaching in urban and rural experiments. The goal is to encourage superheroes so all young students
companies like 3M invest in facilities individuals to participate in this
communities across the United students in grades one through six program, which is targeted to could picture themselves in a future
of the future, it is essential that our States. The 3M grant will go to become interested in science and in STEM. Two students who
local technical schools and high students from underrepresented
toward recruitment, training, and technology and raise interest in STEM. participated in the campaign will
schools have access to appropriate scholarships professional development of diverse These simple experiments help
groups who may not have had
access to such opportunities before receive a $2,500 scholarship.
technologies and training. Below are STEM teachers — recognizing students understand how 3M science
• 3M has helped close the workforce
some of the programs 3M is investing that when teachers reflect student can impact everyday life and show • STEM scholarships for diverse One giant STEP for students
in to help keep the workforce gap across many industries around undergraduate students
demographics, it is academically that science can be fun. Learn Each year for 48 years, the 3M
pipeline flowing. the world by supporting WorldSkills™ attending the University of
beneficial for all students and more about supporting science and Science Training Encouragement
since 2013 and SkillsUSA since Illinois, Northwestern University,
• The 3M Manufacturing and particularly students of color technology teachers by visiting 3M’s Program (STEP) has offered a nine-
2008 — two programs that provide University of Wisconsin, and
Academic Partnership (MAP) Visiting Wizards website. month science encouragement
forward-thinking educational Georgia Tech enable the students
program provides manufacturing programs, events, and competitions. to develop professional skills and experience to underserved students
equipment, teacher training, and Learn more about skilled trade participate in research programs located near 3M’s headquarters in
student scholarships through development by visiting our feature as they pursue STEM degrees St. Paul, Minnesota. In 2019, 38 junior
partnerships with high schools and story, “Helping close the skills gap” and senior high school students had
technical colleges in communities • GEM (National Consortium for the opportunity to participate in
• 3M sponsors an annual event called Graduate Degrees for Minorities
where we operate. Learn more on-site science training, mentorship
“Robots Invade the Plaza” that in 2019 in Engineering and Science, Inc.)
about creating partnerships to solve with 3M scientists, and hands-on
brought 22 local high school teams Fellowships support graduate
the worker shortage problem. experience in 3M labs in the summer.
to 3M headquarters to showcase students from underrepresented
the robots they designed, built, and populations as they earn advanced 3M has hired many employees who are
programmed as part of the FIRST® degrees and gain practical STEP alumni, working in areas across
Robotics Competition. The teams experience in engineering and the company. Read about one 3M
school-related factor
will also enable GEM fellows to
STEM programming like FIRST. attend national GEM conferences
influencing student To support this goal, 3M established
a sponsorship application process to
achievement. assure 3M funding goes to robotics
teams that enable underresourced and
underrepresented students to participate.
125
experiments and contests to orphanages and a social care home their local communities. Teams from demonstrations to nearly 900
the Shanghai Huahong migrant 3M Bracknell undertook gardening
• Nearly 50 volunteers from second-graders in the St. Paul
children primary school to increase projects at residential care homes,
3M Mexico took part in forest Public School District — helping
students’ interest in STEM and 3M Bangor repainted the
maintenance activities at Nevado to inspire the next generation
$9.13
Dr. Boon Kiat Lim, Application
Specialist in Singapore, honored for 2019 giving by focus area
his role in STEM education outreach
activities. As a mentor and judge for cash In-kind Total Volunteer hours
the 3M Science Outreach Program at Community $15,000,000 $14,300,000 $29,300,000 273,000
the School of Science and Technology,
Singapore-3M InnoScience Challenge,
Education $14,900,000 $26,500,000 $41,400,000 – million in 3M Volunteer
Boon Kiat has engaged students in Environment $2,460,000 $127,000 $2,590,000 –
Match dollars
STEM, helped them develop problem- Total $32,400,000 $40,900,000 $73,300,000 273,000
solving skills, and encouraged them and in 2019, Volunteer Match Grants
to innovate. supported 1,064 unique schools and/
2019 global giving by region or nonprofit organizations throughout
Jim Brown, Project Manager in cash In-kind Total Volunteer hours the United States.
Indianapolis, Indiana, honored for Asia Pacific $1,640,000 $1,550,000 $3,200,000 16,900
founding and leading the 3M Visiting Giving that starts at home
Europe, Middle
Wizards program in his city to help $420,000 $34,000 $454,000 8,450
East, Africa
inspire the next generation of STEM 3M Foundation’s Community Giving
Latin America $2,150,000 $744,000 $2,900,000 10,400 Campaign has increased its matching
enthusiasts. Jim also contributes to
the restoration of the Goose Pond Canada $706,000 $538,000 $1,240,000 1,170 amount to help employees support
Fish and Wildlife Area by performing United States $24,100,000 $33,400,000 $57,600,000 216,000 the organizations they are passionate
surveys to monitor bird species, about. 3M’s program now matches
OUS, region not
serving on the Board of Directors, defined
$3,350,000 $4,560,000 $7,920,000 20,800 up to $500 per employee gift. With
and coordinating social media for a maximum of $500 in corporate
Total $32,400,000 $40,900,000 $73,300,000 273,000
the organization. support per employee, the Community
Giving Campaign invested more than
Dr. Kevin Qiu, R&D General Values presented in this table represent the most current values, in $USD, but are still $3.58 million in current donations and
Manager of Health Care Business subject to change. Totals may vary due to rounding. Volunteer hours include employees 2019 pledges. When including the 3M
and retirees.
Group in China, honored for his Foundation match, this equals more
regular involvement in 3M volunteer than $6.14 million in donations to help
opportunities, such as visiting solve our communities’ greatest needs.
classrooms to perform engaging
STEM demonstrations for students.
inclusion
women, covered veterans, and diverse talent in management positions toward our 2025 Goal of 65.2%.
individuals with disabilities and also to will ultimately help build a diverse
provide reasonable accommodations
to individuals with disabilities.
pipeline for executive leadership as
well. We recognize that definitions
of diversity vary among different
Our actions
countries and cultures. The 3M Every day, we work to assure that the
A thriving, diverse, inclusive culture. n disabilities, U.S. military veterans, and This entails strengthening 3M’s
ie u reputation as a great place for diverse
Sc mm
people who identify as lesbian, gay,
bisexual, transgender, questioning, people to work:
Our Inclusion leads to engagement, 3M’s Respectful Workplace Principle progress against our goal, we use the
and qualified candidates globally
which in turn fosters the collaboration, states that “everyone is entitled 3M Diversity Index, which represents
the total number of diverse future • Building our global pipeline
commitment
creativity, and innovation that drive to respectful treatment in the
leaders within the company globally. of diverse candidates
long-term growth for 3M as well as 3M workplace. Being respectful
for our people and our teams. means being treated honestly and Goal: Double the pipeline of Beyond our day-to-day efforts to
In the United States and in many other
To become the most inclusive enterprise professionally, and valuing each diverse talent in management support diversity in 2019, we also
Above all, fostering a culture that countries, we provide our people with the
we can be, 3M focuses on engaging all person’s unique talents, background, to build a diverse workforce actively promoted initiatives to engage
supports diversity and inclusion opportunity to opt into the index research
our employees and on attracting top and perspectives. A respectful our people, attract the best talent,
is the right thing to do. Diversity by 2025. and confidentially provide information
and create a work environment where
talent around the world. Diversity and workplace is free from unlawful
and inclusion are about creating such as disability status, veteran status,
inclusion are the foundation of our Value discrimination and harassment, but it everyone feels safe and included.
intellectual and emotional oxygen sexual orientation, and race/ethnicity.
Model. Our Value Model comprises the involves more than compliance with
actions we take that make us unique so all people can flourish and the law. It is a work environment that is
among companies and differentiate us feel comfortable to collaborate, free of inappropriate or unprofessional
in our marketplace. agree, disagree, and respectfully behavior and consistent with 3M’s
exchange, learn, and create. ethics and values — a place where all
We know that a diverse, global employees can do their best and are
workforce — people with different Our Code of Conduct lays out
free to report workplace concerns
experience, ethnicity, age, gender, what it means to be a 3M employee
without fear of retaliation or reprisal.”
sexual orientation, personalities, styles, and includes the 3M Respectful
and ways of thinking — helps us relate Workforce Principle: To foster this kind of workplace,
more closely to the needs of all 3M we follow our Equal Employment
Be Respectful: We strive to have a
customers, suppliers, and channel Opportunity (EEO) policies, which
work environment that reflects and
partners around the world. prohibit all forms of discrimination
values the best in all of us, where
or harassment against applicants,
Equally important, we know that we treat each other respectfully and
employees, vendors, contractors,
inclusion is the key to unlocking professionally, and where individual
or customers on the basis of race,
the power of diversity. An inclusive differences are valued.
color, creed, religion, sex, national
culture supports and appreciates origin, age, disability, veteran’s status,
differences and provides fair and pregnancy, genetic information, sexual
equal opportunities for everyone — orientation, marital status, citizenship
a culture of belonging where people status, status with regard to public
are respected for being exactly assistance, gender identity/expression,
who they are. or any other reason prohibited by law.
70 Who we are Employee diversity and inclusion 3M 2020 Sustainability Report #improvinglives 71
Science of Inclusion Speakers included 3M CEO Mike These United Nations standards One of the first actions of the CEO Martin Luther King Jr. Day Employee Resource
Roman as well as other leaders who recognize that more must be done to Inclusion Council in 2019 was
In 2019, 3M launched a Science shared personal stories and tips for achieve equal treatment for women committing to the United Nations In January, 3M was the lead sponsor Networks
of Inclusion training course for advancing diversity and inclusion and individuals who identify as lesbian, Women’s Empowerment Principles of the 33rd Annual State of Minnesota 3M’s ERNs include nine organizations
employees worldwide that explored at 3M. Speakers shared how to turn gay, bisexual, transgender, and intersex and LGBTI Standards of Conduct Martin Luther King Jr. Day Celebration designed to nurture leadership skills
how physiological and psychological moments of exclusion into moments of (LGBTI) around the globe — and that for Business. held in St. Paul, Minnesota, which and collaboration across cultures,
responses to inclusion and exclusion inclusion, explored the science behind companies play an important role in focused on themes of equality and lifestyles, and genders through events
are connected to health and well-being. creating workplace environments advancing equity. Catalyst CEO representation in STEM (science, and activities as they align to their
where everyone feels safe to be
The course examined relevant studies,
included a quiz to uncover personal themselves, and discussed how to In support of these standards, 3M, Champions for Change technology, engineering, and
mathematics). As one of the keynote
mission. Open to all employees, these
along with other companies, has organizations help 3M recruit, engage,
opportunities to be more inclusive, be an inclusive leader and a voice As part of 3M’s commitment to speakers, 3M CEO Mike Roman talked
committed to having processes, and retain diverse talent and work with
incorporated a “workplace inclusion for change. building a diverse and inclusive work about the importance of facing reality
policies, and programs in place that our businesses to provide relevant
challenge,” and provided specific ways culture, 3M CEO Mike Roman is a to address socioeconomic inequities. customer insights that can expand
employees can increase inclusion and United Nations promote equality and safety, prevent
member of Catalyst CEO Champions Attendees included Minnesota our marketplace reach. Learn more by
harassment and discrimination, and
contribute to workplace well-being.
Standards: Support advance women and LGBTI individuals
for Change initiative, along with more Governor Tim Walz, Senators Tina
Smith and Amy Klobuchar, plus
visiting 3M’s ERNs.
than 60 CEOs and industry leaders
Global Inclusion Day of women and in the workplace and the community.
who also have made personal pledges hundreds of others, including busloads 3M’s nine ERNs continue to expand
LGBTI community Two of 3M’s Employee Resource to accelerate gender equality and of 3M employees. their reach globally. For example,
An environment that encourages inclusion in their organizations.
Networks (ERNs), the Women’s
people to listen to different 3M joined companies around the International the Women’s Leadership
Leadership Forum (WLF) and 3M
perspectives, explore new ideas, and world to support the United Nations Global Inclusion Index Forum now has more than
Women’s Day
65
Pride, have played instrumental roles
hold productive discussions leads to Women’s Empowerment Principles
in identifying allies and advocates
game-changing solutions. Inclusion and the United Nations LGBTI In 2017, 3M created the Global In March, 3M celebrated International
to continue to include and advance
and innovation are interconnected. Standards of Conduct for Business. Inclusion Index, based on opinion Women’s Day with global celebrations
women and LGBTI individuals.
On 3M Global Inclusion Day, survey data, to measure how included around the world. At 3M headquarters,
Learn more about these efforts.
employees learned how to support employees feel in the workplace. We the 3M Women’s Leadership Forum
an inclusive workplace that enables
CEO Inclusion Council are using results from the 2019 index and Diversity & Inclusion Team chapters worldwide,
everyone to feel heard, valued, and
empowered to contribute their best.
to guide inclusion action plans across
our organization. United States and
hosted an interactive celebration that and 3M Pride has
The CEO Inclusion Council is a diverse
global inclusion teams are activated to
recognized women’s achievements
and encouraged women to find the expanded to
15
group of 3M leaders from across
the company that focuses on action help fortify our culture of inclusion and confidence to be their authentic selves.
planning for inclusion and diversity drive improvement in their individual
initiatives. With CEO Mike Roman organizations’ Inclusion Index results. Over
600
as the champion, the CEO Inclusion
Council met quarterly throughout 2019.
chapters around
A significant part of the meetings is the globe.
the Raising Voices Platform. Two ERN
leaders present at each CEO Inclusion
Inclusion and 3M employees joined a
Council meeting. The purpose is to innovation are You Define You session,
interconnected.
elevate current inclusion challenges
more than 500 participated in a
impacting the specific group or
Personal Purpose workshop, and
broader organization. The focus is
thousands more took part in global
on accomplishments over the last six
celebrations around the world.
months, their priorities and strategic
plan, and suggestions on ways to
improve. The presentation is followed
by a group discussion.
72 Who we are Employee diversity and inclusion 3M 2020 Sustainability Report #improvinglives 73
ERN Community This development journey is based Continuing support for Best Places to Work Latina Style Award STEM Workforce
on a growth mindset and will equip
Champions the ERNs to influence, lead, and build our military community for Disability Inclusion In September 2019, 3M was Diversity magazine award
mentor, sponsor, and ally relationships selected as one of the Top 50
3M’s nine ERNs aim to address 3M strives to be the premier employer Representing people with disabilities The readers of STEM Workforce Diversity
across our four business groups. companies for Latinas to work for in
education equity and homelessness for the military community, with is an important dimension of 3M’s magazine voted 3M one of the
by participating in local 3M Impact paid leave benefits that reflect our Sustainability goal to double the United States by LATINA Style Inc.
projects for underrepresented and Sharing preferred commitment to veterans and the the pipeline of diverse talent in The LATINA Style 50 Report sets the Top
50
underresourced youth, families, pronouns mission of the Military Support management by 2025. standard for identifying corporations
that are providing the best career
and veterans. The ERN Community Network (MSN).
Champions also support skills-based To support the way in which We earned opportunities for Latinas in the United
States. The report reflects those
The MSN provides active support and
volunteer interactions to increase employees choose to express their
outreach, professional development, a top score of programs that Latinas are looking for
100%
student exposure to STEM, business gender identities, 3M launched system
enhancements enabling them to share and focused veteran hiring services when seeking job opportunities. Employers for 2019
careers, and skilled trades.
their preferred pronouns in their to current 3M military veterans, their The annual survey asked readers to
ERN member personal profiles and email signatures. families, and other military members Best Places to Work choose the companies for which they
development program
We encourage employees to check seeking to join 3M. for LGBTQ Equality would most prefer to work or believe
their colleagues’ email signatures to would provide a positive working
3M offers up to four weeks of paid on the 2019
assure they refer to each other in their For the eighth year in a row, environment for STEM professionals
To address crowdsourced feedback
preferred way, and provide lanyard military leave for military training each Disability 3M was named one of the who are women, members of minority
from our ERN members around
pins for employees to wear, if desired, calendar year to support eligible 3M Equality Index® groups, and people with disabilities.
professional development, 3M’s
Diversity & Inclusion Team partnered
to indicate their pronoun preference. employees in the U.S. National Guard
making us one of the “Best Places “Best Places to Work
or Reserve units. Eligible employees
with 3M Learning & Development to to Work for Disability Inclusion.” for LGBTQ Equality” in
Domestic partner on leave for annual encampment or
2019
design a progressive development Participating in this index helps us
training may be entitled to differential
plan that aligns to the goals of our benefits identify ways we can further enhance
ERNs, Diversity & Inclusion Team, and
pay for the difference between their
3M pay and their military pay.
our policies and practices around At 3M, diversity
disability inclusion. It’s part of our
and inclusion are
the company. The ERN members use At 3M, diversity and inclusion are
corporate learning tools and resources the cornerstones of our organization. commitment to have an inclusive
scoring 100% on the Corporate
to create activation plans and
accountability.
We offer benefits for eligible opposite-
sex and same-sex domestic partners
culture and workplace where people
of all abilities can thrive.
Equality Index (CEI). The CEI is the cornerstones
of employees, as well as their eligible
dependents.
administered by the Human Rights
Campaign and benchmarks corporate
of our organization.
policies, including non-discrimination
workplace protections, domestic
partner benefits, and transgender-
inclusive health care.
74 Who we are Employee diversity and inclusion 3M 2020 Sustainability Report #improvinglives 75
Current progress and opportunity – Current progress and opportunity –
percentage of female hires, 2019 racial, ethnic diversity
ng
i rd
k
(U.S.) (U.S.)
o wa
Canada
2019
18% 28%
o
L or
36%
f
United Europe, 82% 72%
States Middle East,
2% Africa
Progress since 2015 Male Female In 2020, 3M will partner with Progyny
to provide a comprehensive, inclusive
fertility benefit for every unique path
to parenthood. The benefit applies
Current progress and opportunity – to employees and their partners who
percentage of global female employees are covered by an eligible 3M medical
plan and includes single parents and
Executive Board of LGBTQI+ individuals and couples.
Global Management Management Directors
% change 2% 4% 6% 15%
Male Female
76 Who we are Employee diversity and inclusion 3M 2020 Sustainability Report #improvinglives 77
Recognition
Here, at 3M, we strive 3M Brazil: Pró Ética
to improve every life, Certification Award
act with honesty and For the sixth year, 3M Brazil
integrity, and ask was recognized by the Brazilian
question after question Government with the Pró Ética
Certification Award. The award, the
to develop innovative first of its kind in Latin America,
solutions with a purpose. was created to promote ethics
EcoVadis Gold
and encourage companies to take FTSE4Good Index Series
We value the recognition we receive, voluntary steps to prevent corruption, Recognition Level
as it shows we are a company driven creating a more ethical, transparent, FTSE Russell confirmed that 3M,
by employees who are truly making and honest business environment. EcoVadis awarded 3M a Gold in 2019, had been independently
a difference in the world. 3M Brazil was recognized for top Recognition Level for achievements in assessed according to the FTSE4Good
management’s commitment to ethics, the 98th percentile of suppliers assessed criteria and satisfied the requirements
their policies and procedures, and in corporate social responsibility (CSR) to become a constituent of the
their risk monitoring and analysis. in global supply chains. FTSE4Good Index Series. Created
by the global index provider FTSE
Best Places to Work Russell, the FTSE4Good Index Series is
designed to measure the performance
for LGBTQ Equality of companies demonstrating strong
ESG practices. The FTSE4Good
Human Rights Campaign Foundation’s
indices are used by a wide variety
2020 Corporate Equality Index is
of market participants to create and
the national benchmarking tool on
assess responsible investment funds
corporate policies and practices
The World’s Most pertinent to lesbian, gay, bisexual, Euronext World 120 and other products.
Ethical Companies® transgender, and queer (LGBTQ)
and Euronext U.S. 50
employees. For the eighth straight year,
The World’s Most Ethical Companies® 3M earned a perfect score of 100% Euronext and Vigeo Eiris included 3M,
program, managed by the Ethisphere® and, along with it, the distinction of for 2019, in the Euronext World 120
Institute, honors companies that being named among the “Best Places and Euronext U.S. 50 based upon
excel in “promoting ethical business to Work for LGBTQ Equality.” environmental, social, and governance
standards and practices internally,
(ESG) performance. Index components
enabling managers and employees to
make good choices, and shaping future
Best Places to Work for are reviewed and updated twice a
industry standards by introducing Disability Inclusion year, in June and in December.
Companies included in this index
tomorrow’s best practices today.”
In the fifth annual Disability have achieved the highest scores, as
According to the institute, honorees
Equality Index® (DEI®) survey, 3M determined by nearly 330 indicators,
have also historically outperformed
earned a top score of 100%, making assessed by the agency.
other companies from a financial
3M one of the “Best Places to Work
ISS Environmental and
perspective, supporting the notion
that sound ethical practices are for Disability Inclusion.” Social Quality
appreciated in the competitive
3M earned best-in-class ranking
marketplace. This year’s honorees
for risk management around
spanned 21 countries and 51 industries.
environmental and social areas
It was the seventh consecutive year
of concern by the Institutional
3M made the list.
Shareholder Services (ISS). 3M
earned the top-performing ISS
QualityScore of “1.”
How we
Corporate governance 86
Enterprise risk 94
work
Compensation 116
Suppliers 176
Our
Independence Guidelines, and Board To assist the Board, the Chairman/
of Directors Code of Conduct provide
the framework for the governance of
CEO and Senior Vice President of
Human Resources annually assess
what differentiates
commitment the company and are available on our
website at 3M.com, under Investor
senior managers and their succession
potential for the position of Chairman/
our company in the
Our corporate governance principles Relations — Governance. CEO and other senior management marketplace.
govern how we do business daily, positions. As a result of a thorough
The Board’s current leadership and thoughtful succession planning It’s how we create extraordinary value
enabling us to outperform and lead
structure is characterized by: process, in February 2019, Inge G. for customers and premium returns
the way to sustainable growth. They
provide a framework that defines Thulin, Executive Chairman of the for shareholders. The model is built
• A combined Chairman of the Board
the roles, rights, and responsibilities Board, announced his intention not to around four elements: our Vision, our
and CEO
of different groups within the stand for reelection at the 2019 Annual strengths, our priorities, and our Values.
• A strong, independent, and highly Shareholder Meeting. The Board Additional details can be found in the
organization, the Board’s role in risk
experienced Lead Director with well- nominated Michael F. Roman to serve 3M Value Model section.
oversight, public policy engagement,
defined responsibilities that support as Chairman of the Board, effective
and 3M’s commitment to Sustainability.
the Board’s oversight responsibilities May 14, 2019, following his election as
3M’s Board of Directors oversees the • A robust committee structure a director by shareholders at the 2019
CEO and senior management and consisting entirely of independent Annual Shareholder Meeting.
assures that appropriate procedures directors with oversight of various
and controls are in place covering types of risks
management’s activities in operating
• An engaged and independent Board
the company on ethical grounds on a
day-to-day basis.
Our actions finance and accounting, marketing, to assure that our corporate governance governance, including Board and Director Independence Guidelines
practices remain industry-leading from as an important factor in selecting
international business, government, refreshment and diversity, director provide that independent directors
their perspectives. Board nominees to serve on the Board.
and other areas; and evaluation, directors’ skills matrix, must comprise a substantial majority Although the Board has no specific
Board membership • Whether the candidate is free of During 2019, members of senior
Board leadership structure, as well of the 3M Board. A director is diversity policy, when selecting
as on strategic priorities, capital “independent” if the Board affirmatively
criteria conflicts and has the time required management met with a cross-section
allocation and structure, environmental determines that the director has
nominees, it actively considers diversity
for preparation, participation, and of shareholders owning approximately in recruitment and nomination of
29%
and social matters, Sustainability, and no material relationship with 3M
3M’s Corporate Governance attendance at all meetings directors, such as gender, race, and
company culture. In general, investors directly or as a partner, shareholder,
Guidelines contain Board Membership national origin. The current composition
In addition to these minimum viewed the company’s governance or officer of an organization that has
Criteria which include a list of key skills of our Board reflects those ongoing
requirements, the committee will practices favorably, including the a relationship with the company and
and characteristics deemed critical to efforts and continued importance of
also evaluate whether the nominee’s Board Chairman transition, the mix otherwise meets the requirements for
serve 3M’s long-term business strategy diversity to the Board.
and expected to be represented on
skills are complementary to the of our outstanding shares of tenure and overall diversity, and independence of the listing standards
existing Board members’ skills, the or approximately the disclosure regarding the Directors’ of the New York Stock Exchange.
3M’s Board. The Nominating and
42%
Board’s needs for particular expertise skill sets and qualifications. The The independent directors will make
Governance Committee periodically
in certain areas, and will assess the feedback from these meetings was the Board decisions on corporate
reviews with the Board the appropriate
nominee’s impact on Board dynamics, shared with the Board of Directors and governance matters.
skills and characteristics required of
effectiveness, and diversity of helped inform the Board on corporate
Board members given the current
experience and perspectives. governance practices and trends.
Board composition.
of our institutional
shareholders.
all levels.
Auditor, Corporate Auditing, whose and senior management, the outcomes
appointment and performance are mapped to demonstrate the relative
is reviewed and evaluated by the
Audit Committee, is responsible for
Corporate-level level of risk and likelihood of risk.
This “heat map” identifies the highest-
leading the formal risk assessment 3M’s Enterprise Risk Management risk areas and shows where to focus
Our
and management process within (ERM) initiative, launched in 2001, has our internal efforts. In addition, external
the company. The General Auditor, helped assure adequate recognition resources and data are continually
commitment
consulting with the company’s senior and ownership of the most significant reviewed to assist in the risk
management, annually assesses potential risks to the company’s identification process. The results of
the major risks facing the company shareholder value, using a process our various risk assessment exercises
The concept of risk appetite and and works with those executives that proactively identifies and are shared with the Corporate
tolerance is an essential component responsible for managing each specific communicates enterprise risks within Operations Committee and the
of our strategic planning, and it’s the risk. The General Auditor periodically the company. This includes confirming company’s full Board of Directors.
responsibility of our senior business reviews with the Audit Committee the that appropriate plans and oversight
leaders to plan accordingly. major risks facing the company and
the steps management has taken to
exist for all major risks, providing for
ongoing review and assessment of risk,
3M places
We firmly believe that good corporate
governance practices serve the long-
monitor and mitigate those risks. and aiding in generating awareness and particular emphasis
on protecting
engagement of general risk matters
term interests of our stockholders, While the Board’s oversight of risk throughout the company. The approach
strengthen 3M’s Board of Directors is primarily performed by the Audit
and management, and further enhance Committee, the Board has also
provides a customized capability
that leverages 3M’s comprehensive,
our company
the public trust 3M has earned from
more than a century of operating with
delegated to other committees the
oversight of risks within their areas
experience-based global knowledge
and capabilities while also considering
against emerging
uncompromising integrity and doing
business the right way. Governance
of responsibility and expertise.
We believe this governance of risks
tools often used in financial or risks in an ever-
includes broad risk oversight by the by Board committees, who share
insurance-oriented businesses.
changing world.
Board and its committees. Risk analysis information with the full Board,
is reported to the full Board, the is appropriate for a diversified To assure long- Case in point: cybersecurity. Strong
General Auditor, and the Chief Ethics &
Compliance Officer. Both the General
technology and manufacturing
company like 3M. 3M’s 10-K, Item term success, we cybersecurity programs are essential,
and we continue to invest in information
Auditor and Chief Ethics & Compliance
Officer are appointed by, and report to,
1A outlines risk factors applicable
to the company.
are committed to technology systems and activities
around cybersecurity training and
the Audit Committee of the Board. discovering and awareness, especially when it comes
to avoiding phishing and other threats
Risk oversight preparing for all targeting 3M.
Business-level Strong
3M serves customers through our four
business groups. Annually, leadership cybersecurity
from each business group presents to
the Board, and the Board discusses and
programs are
approves detailed long-term strategic essential, and
plans for the company, both at the
area and business-group level. Each we continue
presentation includes the following: an
overview of the business group, short-
to invest in
and long-term financial performance
and goals, an assessment of portfolio
information
growth opportunities, and strategic technology
priorities to drive our Value Model.
systems and
Site-level activities around
Our Environmental, Health, and cybersecurity
Safety (EHS) management system
looks carefully at each 3M site and training and
new acquisition and performs a risk
assessment that considers factors
awareness.
such as potential impact to the
environment, the community, and
3M employees. Each site is ultimately
ranked based on the risk it poses to
the company, and necessary steps are
taken to minimize potential risks. We
also place particular focus on bringing
acquisitions into alignment with 3M’s
protocols, standards, and training.
Conduct
The 3M Business Conduct Committee similar global standards and topics and timing of deployment. Online
is comprised of several senior requirements of other countries’ courses are offered in 22 languages.
executives and is chaired by 3M’s anti‑bribery laws.
Examples of recent training
Vice President and Chief Ethics &
The program consists of: modules include:
Compliance Officer. This committee
oversees 3M’s compliance efforts to • A core set of business conduct • Data Privacy and Protection
assure that 3M has an effective and principles • Understanding Information Security
world-class compliance program —
Our The Code of Conduct is our guide, Executives and managers are most countries
to operationalize and prioritize
answering questions and providing accountable for creating an inclusive compliance activities. • Risk-based due diligence on The Ethics & Compliance website
commitment
direction when the right choice workplace environment that business partners, potential on 3M’s intranet offers additional
may not be clear. encourages asking questions and
raising concerns.
Global compliance acquisitions, equity investments, on-demand online training courses.
and candidates for hiring and In addition to offering online training,
The Code of Conduct is part of 3M’s 3M’s Code of Conduct program promoting the Ethics & Compliance Department —
Value Model and positions 3M for The Code of Conduct is available in 25 in close collaboration with 3M Legal
long-term growth. Our Values bind
defines the expectations languages and sets clear expectations 3M’s global compliance program is • Investigation expertise
Affairs, local compliance partners,
us together as 3M employees — for how we work: not only for employees but also for managed and administered by the • Incentives and discipline to address finance, and human resources —
relevant stakeholders and business Ethics & Compliance Department, compliance successes and failures
across business groups and across provides frequent, tailored, in-person
• Be Good partners. All new employees receive led by the Vice President and Chief
geographies. training to businesses, subsidiaries,
• Be Honest a copy of the Code of Conduct. Ethics & Compliance Officer. The
department is staffed with compliance
Compliance training staff groups, and third parties.
Great companies are built on trust —
from customers, shareholders, • Be Fair professionals stationed around the and education Some of this training occurs as part
of an annual schedule, while other
employees, and communities. We’ve • Be Loyal world. The Vice President and Chief
3M offers a comprehensive online training occurs as requested or when
earned that trust and a reputation for Code of Conduct Ethics & Compliance Officer reports
• Be Accurate Be 3M compliance training program to deemed appropriate.
integrity over many decades, and no directly to the Audit Committee
• Be Respectful of the 3M Board of Directors. The employees worldwide.
one at 3M is free to compromise it. Be Good Be Honest Be Fair
Obey the law and Act with uncompromising Play by the rules, whether
Audit Committee assists the Board in
3M employees, including all supervisors,
3M’s Code of Conduct. honesty and integrity. working with government,
customers, or suppliers. The program’s training modules are
We have one Code of Conduct that overseeing 3M’s legal and regulatory
managers, and other leaders, are assigned to employees based on
applies to our 96,000 employees Be Loyal Be Accurate Be Respectful
compliance efforts. This direct
responsible for knowing and following
Protect 3M’s interests, Keep complete and accurate Respect one another and our their role and area of responsibility
in over 70 countries globally. Our assets, and information. business records. social and physical environment
reporting line assures the independence
the ethical, legal, and policy requirements
around the world.
within the company. Most courses are
Code of Conduct summarizes 3M’s of the Ethics & Compliance Department,
that apply to their jobs and for reporting mandatory for approximately 46,000
compliance principles and raises which is responsible for overseeing
any suspected violations of law or the global employees.
awareness about how to do business and administering strategic, systemic,
the right way, at all times and at Code of Conduct. and operational components of 3M’s
every site. compliance program.
Vice President and Chief Ethics & continued to report metrics from a
非倫理的な行動 - 報告する義務があります。 Total number
Parla apertamente
engraved crystal glass globe. conduct investigations and track 直言不讳! Ungkapkan! Высказывайте сомнения! 1800
Exprimez-vous
Говори открыто 直言不諱!
employee concerns. This provides a Spregovori
Fale!
ΜΙΛΗΣΤΕ ΑΝΟΙΧΤΑ 1400
and better reflects the healthy “Speak Pozovite
and anonymous (where Up” culture that exists within 3M.
Suarakan Kecurigaan! ¡ HAZLO SABER!
1200
อย่าละเลยไม่รายงานพฤติกรรมผิดจรรยาบรรณ
permitted by local law) This data is used to prioritize resources
1000
and focus strategies.
helpline and online Speak up.
Ask a question.
800
reporting system. 3M encourages all employees to Be 3M Raise a concern.
Go to 3MEthics.com
speak up to raise a concern or 600
It is managed by a third-party vendor suspected violation of the Code of
and is available to 3M employees Conduct. The “Speak Up” poster 400
and others internally and externally. that encompasses many of our most
200
The system does not trace phone frequently used languages continues
calls or use caller identification, nor
does it generate or maintain internal
to be widely used globally. Our strong ethical culture 0
Allegations Substantiated Disciplinary
connection logs containing internet 3M’s non-retaliation requires and empowers reported allegations actions
100 How we work Corporate Code of Conduct 3M 2020 Sustainability Report #improvinglives 101
Commitment to 3M’s commitment to anti-corruption Finally, the Ethics & Compliance Raising third-party
is also reflected in our management of Department has a group of specialists
anti-corruption third-party intermediaries and other focused on assuring that 3M awareness of 3M
As a participant of the United Nations
business partners. 3M conducts due- conducts government contract and Ethics & Compliance
diligence reviews of our third parties subcontractor business in compliance
Global Compact (UNGC), 3M is
based on an assessment of risk factors, with all laws. This group trains, assists,
expectations
committed to supporting Principle 10
including transaction size, type of and coaches 3M employees on To enhance our communications and
on Anti-Corruption. Our commitment
relationship, government interactions, all government contracting needs, expectations with third parties, 3M
and involvement with the UNGC, and
and geography. Depending on the including providing guidance and has an online training course and a
with our community of peer companies,
outcome of the review, we respond advice on identifying, managing, and brochure for our business partners.
provides us with the opportunity to
to any identified risks with specific mitigating risk. In 2019, we moved to a new vendor
collaborate and share best practices
actions, such as training, inclusion of and refreshed the content of the online
related to work against corruption in all
its forms. Additionally, the compliance
relevant contractual terms, and other Political values third-party training course on anti-
risk-mitigating controls. 3M may end bribery. The course is available in
professionals on our team regularly
a relationship with a business partner 3M respects our employees’ right 30 languages. The brochure, available
participate, present, and are members
if the risk presented is determined to engage in the political process, in 27 languages, provides another
of organizations and associations
to be too high and cannot be and, at the same time, 3M is way for 3M to communicate with
working to improve compliance
appropriately mitigated. committed to preventing potential our business partners regarding our
controls and reduce legal risk.
corruption. When allowed by law, commitment to combat global bribery.
Further, the Ethics & Compliance any corporate political contributions
3M’s Code of Conduct requires
Department collaborates with 3M Legal outside of the United States require
compliance with all applicable anti-
Affairs on due-diligence processes
bribery laws, including the U.S. Foreign
Corrupt Practices Act, the U.K. Bribery
related to potential equity investments
approval by the Area Vice President
and assigned legal counsel. “For more than a
Act, Brazil’s Clean Company Act, and
and mergers and acquisitions. These
processes help identify risks in the For additional information, please visit century, 3M has
local laws where 3M operates. It
applies to 3M employees, as well as
target company before an acquisition
or investment is initiated. This process
the Ethics and Compliance webpage.
done things the
to our business partners. In addition,
3M’s Anti-Bribery Principle and anti-
accelerates our efforts to integrate an right way, assuring
acquired company’s employees into
bribery policies and procedures have
been communicated to all employees.
3M’s compliance program and culture. integrity is at the
Our Avoiding Bribery and Corruption
Ultimately, the Ethics & Compliance
Department is charged with conducting heart of what we
training is required of most non-
production employees and specifically
a risk review and implementing any
necessary remediation activities upon
do. Our Code of
employees in higher-risk roles,
including those in legal, audit, sales,
the closing of every acquisition. As Conduct provides
a part of our ethics and compliance
marketing, export, and global trading.
The Vice President and Chief Ethics &
integration process, in 2019, we the foundation for
Compliance Officer provides quarterly
completed a compliance culture
survey with an acquisition to identify
the values we live
by. These values
updates on all activities to the Audit
and prioritize compliance integration
Committee of the Board of Directors and
activities. Acquisition culture surveys
the 3M Business Conduct Committee.
help identify whether new employees can be felt all over
the world.”
understand 3M’s compliance
expectations and where further
assistance or training can be provided.
— Michael Duran
3M Vice President and Chief Ethics
& Compliance Officer
102 How we work Corporate Code of Conduct 3M 2020 Sustainability Report #improvinglives 103
ng
i rd
k
o wa
Our actions The day featured an outside speaker To assure global accessibility, in 2019, Training enhancements o
L or
f
who discussed his personal experience these publications were translated
in making poor ethical choices and the into the languages most frequently In 2019, we transitioned to a new
Ethics & Compliance impact such choices had on his personal requested by our global team. This online training vendor for ethics and
life and professional career. Additionally, year, the supervisor toolkits covered compliance courses. The new vendor
Department several 3M leaders participated in speaking up; conflicts of interest; offers adaptive learning technology
the day. All participants shared their respectful workplace; and gifts, and will provide more data to leverage. As 3M’s business models change over time,
The teams within the Ethics & Compliance ethics and compliance remain at the core of
Department were reorganized in 2019, perspectives on the importance of doing entertainment, and meals. To drive improvement in on-time
business the right way, the resources online training course completions, we what we do for our employees, customers,
allowing for greater efficiencies and
collaboration, further enhancing our available to help employees in the “gray Data analysis implemented a pop-up notification that communities, and shareholders. The Ethics
& Compliance Department will continue to
zone,” and the potential consequences
established Centers of Excellence.
of poor choices. The event included a
and metrics reminds a user of their need to complete
their compliance training each time evolve, establishing appropriate governance
A Platforms and Strategic Transactions bodies and partner networks to assure we
Team was created to provide greater fair, where representatives from various Through the work of a data scientist on they open certain desktop applications.
compliance functions were stationed This pop-up helped on-time online continue to drive a culture of speaking up and
focus on simplifying and automating the Ethics & Compliance Team, we have
at booths where they held interactive training course completions reach the doing business the right way. As we do so,
processes. We also established a seen positive impacts in our reporting
discussions with employees. highest level ever achieved. Additionally, we will optimize opportunities to continually
dedicated team for risk monitoring and metrics analysis. The cycle time
we introduced a third-party code improve our program. We will support
and metrics management. to create our compliance reporting
Communications to metrics was cut in half, allowing quicker certification in 22 languages that can supervisors and managers globally, so they
are prepared with necessary information
This year, we rebranded the department, support our employees access to current data. We now also be leveraged any time there is a need
to communicate or clarify our Code of and resources.
changing its name from Compliance provide our compliance partners and
and Business Conduct to Ethics & and supervisors leaders with a user-friendly platform to Conduct expectations.
Data analysis will remain a priority for the
Compliance. We did this to establish review and analyze their relevant data Ethics & Compliance Department as we
We recognize the power in storytelling
a name that reflects our mission of through custom dashboards. leverage it to understand our risks. We will
to inspire and influence ethical behavior.
assuring employees conduct business continue to empower global leadership to
In 2019, the Ethics & Compliance
ethically. The new name also brings This year, we again implemented
Department launched a new video take ownership of key performance indicators
greater alignment with 3MEthics.com, an ethical culture survey for 3M
series called “My Moment of Truth,” by providing access to tools and metrics.
our external website that is used to sales professionals.
which leverages the personal stories of In 2020, we will use our technology and
raise concerns and ask questions. reporting platforms to create tools and
3M employees who had the courage The survey participation rate
Our Chief Compliance Officer became measures that identify risk and increase our
to speak up and do the right thing.
the Vice President and Chief Ethics improved by approximately visibility into those risks.
20%
The series was intentionally unpolished
& Compliance Officer. Finally, we
and showed real employees in their
updated our 3MEthics.com website We will continue to evolve our acquisition
workspaces and was filmed on cell
to reflect the rebranding and, while integration process, assuring effective
phones or other readily available video
doing so, created a refreshed and integration of newly acquired businesses
equipment. The participants included
simplified user interface to facilitate into our Ethics & Compliance program and
employees from all over the world Through analyzing the survey results, we
the “Speak Up” process. platforms. We will provide those new to
and were subtitled in English and nine were able to correlate the frequency of 3M with a strong support network from the
other languages.
Global Ethics & discussion that a manager has with their Ethics & Compliance Department during
employees about ethics and compliance
Compliance Day The most frequent resource employees
with other measures, including the
times of transition.
go to with ethical or compliance
willingness of employees to speak up. 3M will continue to hold Ethics & Compliance
All over the world, we held Ethics & questions is their manager. The Ethics
This data finding was used in manager Days around the world to engage global
Compliance Day events to further build & Compliance Department publishes
training to emphasize the importance of employees in our culture of compliance.
employee engagement around the a series of toolkits containing
speaking about compliance. These events will be opportunities to create
Code of Conduct and doing business reference materials and case studies
energy and enthusiasm around compliance,
the right way. For the third year in a row, to help supervisors effectively address
with active participation from our divisions
we held a compliance day at our global employee questions and respond
and functions and across levels of seniority
headquarters. The theme was “The appropriately when dealing with
and tenure in the company.
Gray Area: where doing the right thing potential violations of the law or the
isn’t always black and white.” 3M Code of Conduct.
104 How we work Corporate Code of Conduct 3M 2020 Sustainability Report #improvinglives 105
Human rights
Doing business the right way is It is a work environment that is free Our Human Rights Policy has a
Our Guided by deeply A respectful workplace without fear of retaliation or reprisal.” as permitted by applicable laws
in the countries where 3M does
engrained principles Working hours and
commitment
Our Code of Conduct lays out what it business.” In the event of business
Approximately
doing business with or on our behalf, We strive to have wage. Our competitive compensation
8%
managing and assuring human rights
and others acting on 3M’s behalf.
a work environment
is derived from the 3M Code of reflects our practice of establishing
Conduct, which recognizes the right competitive salary ranges based on
In 2014, we became a United Nations
Global Compact (UNGC) participant,
of employees to have a respectful
workplace. This culture extends
that reflects and actual pay data from benchmark
peer companies in manufacturing.
values the best in
thereby committing to align our
through our human resources policies, 3M also complies with all applicable
operations and strategies with the
programs, and management systems, laws relating to overtime and breaks. of 3M’s global
UNGC principles on business and
human rights. We support its “protect,
including 3M’s Leadership Behaviors. all of us, where we Additional information can be found workforce is
respect, and remedy” framework
and its principles of due diligence.
We continue to implement our
human rights program through our treat each other in the Compensation section.
unionized
Furthermore, our Code of Conduct
global policies, management system,
respectfully and Freedom of association with the number rising to
22%
assessments, audits, training, and,
and the right to
and its underlying principles require
compliance with all applicable
ultimately, our metrics tracking. professionally, and collective bargaining
Our audit process provides us with
laws and also require respect for
internationally recognized human
a global perspective over all of our where individual 3M works diligently to create a work
rights in all global operations.
sites and our supply chain.
differences are culture that affords all employees the
when labor
We also recognize the International Human rights valued. opportunity to work without fear of
intimidation, reprisal, or harassment, agreements are
Labor Organization (ILO) Declaration
on Fundamental Principles and elements brought 3M’s Respectful Workplace Principle
in an environment where employees
included.
can have their questions and concerns
Rights at Work. Adopted in 1998, the to life states that “everyone is entitled to
addressed in a fair and timely manner. We are aware that, in some countries,
declaration commits member states respectful treatment in the 3M
In all sites, the company’s relationship collective bargaining rights are not
to respect and promote principles Our commitment to upholding human workplace. Being respectful
with employees, whether union or protected or recognized. Nevertheless,
and rights in four categories, whether and workplace rights is embodied in the means being treated honestly and
non-union, is a key responsibility of 3M assures employees that freedom of
or not they have ratified the relevant 3M Human Resource (HR) Principles, professionally, with each person’s
all company leaders, and is assisted association and collective bargaining
conventions: freedom of association which respect the dignity and worth unique talents, background, and
by human resources representatives. aspects of our Human Rights Policy
and elimination of discrimination in of all individuals, encourage the perspectives valued. A respectful
Human resources professionals work apply to all 3M employees worldwide.
employment and occupation; the initiative of each employee, challenge workplace is free from unlawful
with employees to maintain positive
right to collective bargaining; the individual capabilities, and provide discrimination and harassment, but
employee relations.
elimination of forced or compulsory equal opportunity for development. it involves more than compliance
labor; and the abolition of child labor. with the law.
106 How we work Human rights 3M 2020 Sustainability Report #improvinglives 107
Modern slavery Child labor and minimum hiring age Forced and compulsory labor Security personnel Raising, addressing,
Modern slavery, as an umbrella term, 3M is committed to doing our 3M complies with all applicable training and procedures and resolving
encompasses several human rights part to help abolish child labor. laws and employment regulations
With the alarming rise in corporate workplace concerns
issues, including forced labor, bonded This commitment is evident in our and does not engage or participate
Human Rights Policy and Supplier in forced labor. We have those same security breaches worldwide, our When concerns related to human
labor, child labor, human trafficking, Human Resource Security Standard
and slavery-like practices. We have a Responsibility Code. Although the expectations for all suppliers doing rights, labor practices, environmental,
permissible hiring age for employees business with us. This commitment provides the controls required to or safety issues arise, our employees
robust stance against these practices achieve human resource security
as set out in our labor, employment, may vary based on the laws of different is evident in our Human Rights Policy and non-employees are encouraged
countries, 3M has adopted global and Supplier Responsibility Code. based on industry standards and and trained to raise questions or report
and business conduct policies, and our best practices.
Supplier Responsibility Code. These expectations regarding the hiring misconduct or potential misconduct.
of minors. Even if local law permits Human trafficking
policies reflect our commitment to Roles and responsibilities of
it, 3M will not hire any employee We provide a variety of mechanisms
acting ethically and with integrity in Our approach to human trafficking information security employees,
nor engage a contingent worker (an for reporting and resolving concerns:
all our business relationships and to is very simple: We do not tolerate it. contingent workers, and suppliers
implementing effective systems and individual provided by a third-party
must be defined and documented • Employee’s management and/or
controls, so this practice does not staffing agency to perform temporary Our Human Rights Policy details our in accordance with the 3M Information human resource manager
take place within our organization and work) below the age of 16 for any job. prohibition of human trafficking. Security Management System
supply chains. Additional information If the applicable laws impose a higher • 3M legal counsel
We are committed to using effective (ISMS). Background checks verify
can be found at 3M Supplier Direct, minimum age requirement than 16, systems and controls to prevent human • 3M Ethics & Compliance Department
all suppliers, contingent workers,
Transparency in Supply Chains and 3M follows the stricter standard in trafficking from taking place anywhere and candidates for employment. • 3MEthics.com
Modern Slavery Disclosures. compliance with the law. within our business or supply chains. Background checks must be carried
out in accordance with relevant • 3M Global Security Operations
These prohibitions apply to 3M and its laws, regulations, and ethics, and Center
subsidiaries as well as to our federal must be appropriate for the business See 3M’s Ethics & Compliance website
contracts and subcontracts for either requirements, classification of the for more information regarding
commercial or non-commercial items. information to be accessed, and the how to report a concern. Additional
perceived risks. Contingent workers information can be found in the
Our Supplier Responsibility Code
and suppliers in the United States are Corporate Code of Conduct section.
details expectations regarding labor
required to review and acknowledge
and human resource practices for all of 3M prohibits retaliation against anyone
3M’s Systems Access Control Standard
our suppliers worldwide. 3M suppliers who asks a question, reports a concern
and other 3M policies and standards.
must comply with all local country in good faith, or participates in a
labor and human resource laws and Management requires employees, company investigation. This position is
cannot use labor that is obtained contingent workers, and suppliers reflected in the Non-Retaliation Policy
through mental or physical coercion, to apply security practices in and within 3M’s Employee Obligations
physical punishment, slavery, or other accordance with established policies and Reporting Principle.
oppressive labor conditions, and and procedures. All 3M employees
cannot engage in any form of human and, where relevant, contingent In addition, we conduct audits of site,
trafficking. Additional information can workers and suppliers, must receive workplace, and human resource
be found in the Suppliers section. appropriate awareness training and practices, and we conduct assessments
regular updates in organizational and audits of suppliers to assure
policies and procedures, as relevant compliance with 3M’s expectations
for their job function. related to labor practices. See the
Suppliers section for more details.
108 How we work Human rights 3M 2020 Sustainability Report #improvinglives 109
Our actions In our view, human rights due diligence
requires a holistic approach. We assess
our own business as well as those who
Segment Salient risk* Action plan to address
3M employees Assuring conformance with See Corporate Code of Conduct section for additional details on
Strong support for are acting on our behalf — in supply
the 3M Code of Conduct our actions
roles, government relationships,
human rights charters acquisitions, mergers, and
divestitures — to identify the salient Others acting Unsafe working conditions, See Workplace Environmental, Health, and Safety Principle
3M continues to support several human on 3M’s behalf mistreatment of workers
rights charters. Among them: human rights issues applicable to our
business. We have a grievance
• United Nations Global Compact mechanism in place, 3MEthics.com, Suppliers Assuring conformance with See Suppliers section for details on our risk-based
which can be used to raise a concern 3M Supplier Responsibility supplier assessment process
• Universal Declaration of Code expectations
regarding any adverse human rights
Human Rights
impacts. We also comply with all
• European Convention on applicable laws and honor the Government Not adhering to all applicable See Lobbying and Political Activities Principle; Political Activities
Human Rights principles of internationally recognized relations laws, rules, and regulations and Issues Advocacy, and Doing Business with Government
• United Nations Guiding Principles human rights when faced with Agencies and Contractors Principle for more information
on Business and Human Rights conflicting requirements.
Acquisitions, Failing to recognize human Prioritize and address human rights issues relative to risk and
• International Labor Organization’s
Declaration on Fundamental
Assessing human rights mergers, and rights issues during the compliance; see Human Rights Policy, Respectful Workplace
divestitures acquisition integration or Principle, and Workplace Environmental, Health, and Safety
Principles and Rights at Work Our assessment of human rights divestiture process Principle for more information
• OECD — Organization for aligns with our corporate Human
Economic Co-operation and Rights Policy, as outlined under our
Local communities Inequitable opportunities Assess community partnerships to assure we are providing
Development Guidelines for commitment, and includes these points
and customers to succeed in science, support to underrepresented populations, so they have equal
Multinational Enterprises, including of review: safe and healthy workplace,
technology, engineering, and opportunity for success in STEM and skilled trade employment
OECD Due Diligence Guidance respectful workplace, workplace
math (STEM); skilled trades areas; see the Communities section for additional information
for Responsible Supply Chains of security, work hours and wages,
occupations
Minerals from Conflict-Affected freedom of association, child labor,
and High-Risk Areas forced labor, human trafficking, or
recruitment fees to obtain employment.
• Agenda 21 — United Nations *Risks as per human rights (safe and healthy workplace, respectful workplace, workplace security, work hours and wages, freedom of association,
Evaluations are integrated into child labor, forced labor, or recruitment fees to obtain employment, and human trafficking)
Convention against Corruption
other assessment and management
processes and are based on material
Holistic approach issues regardless of where they’re
to human rights identified within the value chain.
due diligence Based on this assessment process, we In our view, human rights due diligence requires a holistic
The 3M Corporate Code of Conduct
have determined that in our various
spheres of influence (our own business
approach. We assess our own business as well as those who
describes the company’s business
conduct principles, or core values,
and in others acting on 3M’s behalf),
the sphere with the greatest potential
are acting on our behalf.
which set forth global corporate
for human rights impact is within our
expectations for all 3M employees and
supply chain.
third parties who act on 3M’s behalf.
The principles in this Code of Conduct
remain consistent with 3M’s long-
standing business conduct principles,
its values, and our shared ethical
standards for conducting business with
uncompromising honesty and integrity.
110 How we work Human rights 3M 2020 Sustainability Report #improvinglives 111
Within our own business 3M employees, including all Assuring human rights If an employee does not have a 3M
supervisors, managers, and other email address in the HR system, it is
Within 3M, our approach to managing leaders, are responsible for knowing through training the responsibility of their supervisor
and assuring human rights aligns and following the ethical, legal, and (or designated trainer) to inform them
We provide training globally to assure
with the 3M Code of Conduct, which policy requirements that apply to of their course requirements. The
that all 3M employees comply with
recognizes the right of employees to their jobs and for reporting any email notifications include a course
the law, 3M’s Code of Conduct,
have a respectful workplace. suspected violations of law or the announcement and up to three
supporting policies, standards, and
Code of Conduct. Executives and reminders.
procedures, including Human Rights.
As stated in the Code of Conduct managers are accountable for creating
Global Handbook, which is available an inclusive workplace environment An annual training plan is established
In addition to offering online training,
in 25 languages, all 3M employees that encourages asking questions and each year based on an assessment of
the Ethics & Compliance Department —
are held to the same high standards. raising concerns. internal and external factors to prioritize
in close collaboration with 3M Legal
If the Code of Conduct sets a higher topics and timing of deployment. Online
Affairs, local compliance partners,
standard than the law, we are For additional details on our employee courses are offered in 22 languages.
Finance, and Human Resources —
expected to follow the Code of processes, see the Diversity and
provides frequent, tailored, in-person Training for 3M employees on the
Conduct and do business the 3M Way. inclusion and Employee programs
training opportunities to businesses, Supplier Responsibility Code processes
3M’s success depends on each of us sections.
subsidiaries, staff groups, and third and tools includes a self-check exercise
doing the right thing. No matter our
parties. Some of this training occurs as and final quiz to understand the
job title, we are all leaders when it
part of an annual schedule, and some effectiveness of the training. Training
comes to ethics and integrity, and we
training occurs as requested or when is provided when there have been
must meet these important
commitments:
No matter our job deemed appropriate. significant changes to the Supplier
Responsibility Code, process, or tools.
• Know and follow the guidance set
forth in our Code of Conduct title, we are all Each manager and supervisor is
required to assure that those who Supplier Responsibility Code training
• Foster a positive, inclusive work leaders when it report to them complete mandatory
compliance training and Code of
and information for suppliers reside
on the 3M Supplier Direct website.
environment and a strong culture
of ethics comes to ethics Conduct certification as identified Supplier Responsibility Code
in 3M’s Code of Conduct Global
• Complete compliance courses and integrity. Handbook. See the Corporate Code of
information is sent to suppliers prior
to conducting an assessment to assure
and certifications on time Conduct section for more information.
awareness of expectations — which are
• Report suspected violations of also addressed during supplier status
Employees are assigned courses
the law or our Code of Conduct review meetings.
based on their job function, country
unless prohibited to do so by
location, production/non-production
local law
status, and supervisor/non-supervisor
• Do not engage in workplace and management-level status.
retaliation Email notifications are sent to the
employee’s or their supervisor’s
• Report any known or suspected
retaliation 3M email address informing them
of their course requirements and their
• Cooperate with investigations timeline for completion. The new
employee courses are due within
60 days of assignment.
112 How we work Human rights 3M 2020 Sustainability Report #improvinglives 113
ng
i rd
k
o wa
Others acting on These expectations are laid out in 3M has implemented processes to We have created a robust, stakeholder-
o
L or
f
the 3M Supplier Responsibility assure compliance with the U.S. Federal driven approach to Sustainability
3M’s behalf Code and support our Science for Acquisitions Regulation, including a materiality that includes human rights.
Circular goal to drive supply chain Human Trafficking Prevention Standard. Our materiality assessments and
Upholding 3M’s Code of Conduct and
Sustainability through targeted stakeholder engagements are vital
values is the responsibility of everyone For more information, see the Doing
raw material traceability and supplier components of our company’s
acting on 3M’s behalf. Multiple Business with Government Agencies In 2020 and beyond, we are looking
performance assurance. strategy and reporting. Details of our
processes are in place to assure 3M’s and Contractors Principle. at ways to recognize business
materiality assessment can be found
principles are being upheld by these For details on our risk-based opportunities that help the company
in the 3M Value Model section.
parties. Case in point: our approach to
health and safety.
supplier assessment process, Acquisitions, mergers, Our Sustainability goals and Strategic grow while addressing societal
see the Suppliers section. issues. We cut across industries and
and divestitures Sustainability Framework were
interests to collaborate with suppliers,
Under our Workplace Environmental, developed from the materiality
Health, and Safety Principle, 3M’s Government relations 3M regularly pursues the sale and assessment. customers, and communities by
purchase of business interests. working together to build a more
Code of Conduct requires 3M
Under our Be Fair Principle, 3M is For additional information on our resilient world. We have a unique
employees to select and retain For each business that may be
committed to being a responsible stakeholder engagements, see the opportunity to apply our passion and
suppliers, contractors, or outsourced acquired or divested, human rights
company with uncompromising 3M Value Model section. collaboration abilities to help the world
manufacturers and service providers issues are prioritized and addressed
integrity in all dealings with local, state/ prosper. This includes collaborating
who comply with all applicable relative to risk and compliance
provincial, and national governments to continuously improve our due-
laws and regulations and meet 3M’s during the acquisition integration
and with their prime contractors and diligence management system, identify
environmental, health, and safety or divestiture process.
subcontractors around the world. and address salient human rights issues
As a global
values. In addition, at 3M sites, all
In all our activities with governments, Additional information can be within our sphere of influence, and
visitors, suppliers, contingent workers,
we carefully follow all applicable laws, found in our Respectful Workplace stay aligned with internationally
and contractors are held to the same
safety and health requirements as
rules, and regulations. Principle and the Environmental corporation, we accepted frameworks, such as the
believe that we
management section. United Nations Guiding Principles.
3M employees. Before entering into any government
See the Health and safety section
contract, or any agreement related
to a government customer, 3M
Partnering with have a significant
for additional information on this
assessment process.
employees must consult 3M’s local communities responsibility to
Government Contract Compliance and customers
Our suppliers
Department or their business
group’s assigned legal counsel.
society in general,
Under our Be Respectful Principle,
At 3M, we recognize the choices we 3M’s core values include treating and especially to
Human trafficking and forced labor-
make for our material and service
providers must also reflect our values.
related provisions are also included
each other and our stakeholders with
respect and respecting our social and
the communities
We want our suppliers to share our
in 3M’s government contract flow-
down requirements for suppliers.
physical environment. in which we
commitment to maintaining compliant,
responsible, and sustainable operations
In the United States, the government
has adopted a regulation (Federal
As part of 3M’s Vision, we work to
imagine a world where every life is
live and work.
and practices. In addition to full Acquisitions Regulation 52.222‑50) improved. The power is in partnership.
compliance with all applicable labor and prohibiting human trafficking, As a global corporation, we believe
human resource laws, we expect our including slavery, servitude, forced that we have a significant responsibility
suppliers to be committed to upholding and compulsory labor, and coercion to society in general, and especially
the human rights of workers and to to induce a commercial sex act or to the communities in which we live
treating them with dignity and respect to procure the same — all of which and work.
as understood by the international result in the deprivation of a person’s
community. This applies to all workers, liberty by another in order to exploit
including temporary, migrant, student, them for personal or commercial gain.
contingent, and direct employees.
114 How we work Human rights 3M 2020 Sustainability Report #improvinglives 115
Compensation
Equitable pay for everyone, Everyone is a leader To foster 3M’s culture of innovation, Earn up to your
everywhere.
we expect our leaders to create
Compensation for 3M employees is an environment that allows and true potential
tied to their job descriptions as well challenges all employees to seek out
All employees have the opportunity
as how they perform in their jobs. new ideas and process improvements
to grow through challenging work
This holds true for general leadership that drive success. Our “Innovate”
and be rewarded for their efforts.
commitment
consultant, assesses the design of 3M Leadership Behaviors establish Sustainability goals.
individual’s compensation. The intent
and risks associated with incentive expectations and ways everyone
The Nominating and Governance Ratings of achievement against of the process is to align individual
compensation, recommending can demonstrate and meet those
Committee annually receives measurable targets impact the award goals and performance with business
3M provides competitive market- changes when appropriate. Any expectations through their actions
reports on the status of the Board’s values for those employees who are objectives and outcomes, creating a
based pay and comprehensive benefits. recommendations related to and interactions.
compensation in relation to other large eligible for incentive compensation. win-win situation for the employee and
In addition to a professional work compensation for 3M’s CEO are
U.S. companies and is responsible For those employees eligible to receive the company. In addition, the process
environment that promotes innovation subject to ratification by all of the The six behaviors of effective leaders
for recommending to the Board long-term incentive compensation, helps identify and develop leaders
and rewards performance, 3M’s total independent members of the at 3M include the following:
changes in compensation for non- ratings of Leadership Behaviors impact to meet 3M’s ongoing talent needs.
compensation for employees includes Board of Directors.
employee directors. In developing its their long-term incentive grant values.
a variety of components that support Additional information on 3M’s
The Compensation Committee recommendations, the committee is
sustainable employment and the ability
reviews stakeholder proposals relating guided by the following goals: Play to win employee development and
to build a strong financial future. compensation can be found in the
to executive compensation matters • Compensation should fairly pay Employee programs section and
We pay for performance and recommends to the Board the directors for work required in a at 3M.com.
company’s response to such proposals. company of 3M’s size and scope Foster collaboration
3M is a pay-for-performance
company. In addition to earning a 3M executives are also eligible to • A significant portion of the total and teamwork
participate in deferred-compensation compensation should be paid in
base salary, eligible employees are
plans that enable them to save for stock to align directors’ interests
compensated for their contributions
retirement or for other reasons, and with the long-term interests of
to the company’s growth, profitability,
and other goals. This compensation they receive certain other benefits, stockholders Innovate
falls into one of two categories: short- such as financial planning services. • The structure of the compensation
term cash incentives and long-term should be simple and transparent
Approximately
100
equity incentives in the form of annual Annually, at the request of the
restricted stock units (RSUs), stock Nominating and Governance Committee, Prioritize and execute
options, and/or performance-based Frederic W. Cook & Co., Inc. conducts
awards. In certain circumstances (e.g., a survey of director compensation at
for purposes of hiring or retaining key other large U.S. companies and
talent), we offer grants of restricted executives were provides expert advisory support to Develop others
stock units.
eligible for these the committee on the compensation and self
of non-employee directors.
As detailed in the 3M Board of
Directors’ Compensation Committee
benefits in 2019
Charter, all incentive compensation including all of the named Act with integrity
and all aspects of executive executive officers.
and transparency
compensation are reviewed regularly
by the Compensation Committee, 3M’s 2020 Notice of Annual Meeting
which is comprised solely of and Proxy Statement provides
independent non-employee directors. additional details on the named
executive officers’ compensation.
25+
The number of training hours and competencies, LSS, Sustainability,
the training cost per employee are and supervisory content. Develop U
not our leading indicators of human provides access to tens of thousands
capital performance. Instead, we focus of unique, just-in-time learning
commitment
engage in employee development.
development, and all the way up to
the C-suite. 3M is so diverse that Our most valuable resource is our and development Leadership and employee engagement,
people, and we invest in their success. employee retention rates, brand Given this breadth, we’ve seen
people can reinvent themselves and for full-time equivalent
69%
We offer a wide range of benefits and recognition, acquisition integration
At 3M, we lead with culture. We want their careers all within one company — (FTE) employees. milestones, and Lean Six Sigma (LSS)
our employees to focus on making and so inclusive that they’ll be able discounts designed to help them live
an impact on the world and feel to collaborate with other curious, their best lives. We also provide tools, project value are a few examples of
We leverage a 70-20-10 development
empowered to bring innovation into creative minds wherever they go. For opportunities, and support for people indicators that contribute to 3M’s
model which indicates that, over the
their work. more information, see the Employee who want to grow their careers. recognition as an industry and global
course of a career,
of our global
70%
diversity and inclusion section. business leader.
We know that engaged employees A learning-focused 3M has prioritized learning and workforce engage
are more satisfied with their work,
tend to stay longer, and are more
culture career development opportunities in self-directed training
productive and committed. We foster
for Our 96,000 employees do work
not only for leaders but for all via online platforms.
ce nity of learning is done
and reinforce behaviors that support employees. Further, 3M has separate
that matters, applying 3M science in
engagement on many levels, including n
ie u ways that make a positive impact on on the job
processes for employee performance Considering job-specific training as
Sc mm
networking, collaboration, diversity, and career development. This well as self-directed, over 1.5 million
people’s lives. In today’s fast-moving
20%
gives employees the freedom to training classes were completed.
Co
and inclusion. We focus on the business environment, it’s more
quality and the impact of professional create meaningful development In 2019, we launched 10 data science
important than ever to anticipate and plans without performance or and eight digitization functional
development and career growth. exceed the needs of our customers, compensation implications. learning paths, leading to over
shareholders, and employees. Creating 3,800 completions. These and other
3M is the place to be for employees
a high-performance culture built on
interested in development
continual learning helps 3M achieve comes through Employee development live events pushed our live event
opportunities. Our company touches Goal: 100% participation completions total to over 102,000
nearly every industry in every market in employee development
business growth for the company and other employees Effective employee development and reached both production and
professional growth for employees.
10%
globally. If you work at 3M, you have programs are crucial in order to non-production employees globally.
programs to advance reach our goal of 100% of employees
a range of development opportunities
few other companies can offer. Our individual and organizational engaging in development activities. Employees create or update
people can live in different countries, capabilities by 2025. With our global online employee development plans that include
learn about different cultures, and learning platform, Develop U, activities meant to improve individual
develop a variety of skills across We encourage our employees to
pursue areas of interest, and we
of meaningful employees are easily able to access
development resources to support
skills and further career development.
Employees can use additional skill-
different industries.
support the development of career development their career aspirations and advance mapping tools in collaboration with
paths and opportunities aligned
with those interests. Development
is reached through their strategic capabilities within
3M. Develop U provides employees
their supervisors to identify long-term
desired goals and define actions
programs may consist of formal formal training. with a personalized experience by needed to help reach those goals.
training, on-the-job development, recommending relevant content based
mentoring, and more. on their role within the organization.
120 How we work Employee programs 3M 2020 Sustainability Report #improvinglives 121
A key part of career development is Setting new employees Global executive and Coaching
understanding the available career leadership development
paths and resources. Employees up for success 3M has invested in external leadership
can access functional competency The 3M Leadership Way is a suite of coaches to support and accelerate the
3M invests in onboarding and high-potential leadership development development of 3M leaders around
models that clarify expectations
developing new employees so journeys within 3M Learning & the world. These coaches work in a
regarding the knowledge, skills, and
that they have access to the tools, Development, bringing one consistent variety of ways with 3M leaders. We
abilities to be developed over a career
resources, and networks they need approach to how 3M develops leaders offer one-on-one time with a coach to
within a specific function. Based on
to succeed. Our onboarding process across all geographic areas, business help employees apply new learning or
shared expectations, career paths
begins at the time a candidate groups, and functions. Each program on-demand coaching to work through
are aligned with relevant training
accepts a job offer and continues is an integration of customer-focused, a change. We also work with teams
and development resources. Each
through the first year of employment. results-driven, and experience-based to help them stay close to changing
function follows a competency
model that leverages 3M’s learning learning that takes leaders outside the stakeholder expectations.
A consistent, comprehensive
platform and directs employees to classroom walls to sharpen their skills
onboarding platform provides pre-start
relevant training opportunities. with leadership challenges for our
information delivery and engagement
customers and in our global communities.
for new employees on the front end
Functions also provide development
and clear metrics, reporting, and
suggestions that can grow
competencies through on-the-job
tracking for 3M on the back end. This
Development for people leaders
Leadership
activities or social learning activities,
investment sets up new employees
to succeed and make meaningful
With a focus on the critical skills
that leaders need to be successful
development is
a competitive
such as meeting with a coach or
contributions from the start. in leading others, the Essentials for
mentor. Currently, the competency-
People Leaders program emerged
based resources cover approximately
93% of the non-production Nurturing the leader as a multi-module program with the advantage at 3M.
professional employee population. in everyone flexibility to be delivered as face-
to-face classroom training or as To maintain this
At 3M, wisdom is shared. Just
as we share and combine our
Leadership development is a competitive online, virtual training. This flexible
delivery format is key to providing a
advantage, we
advantage at 3M. To maintain this
technologies, we also share and advantage, we are continually leveraging consistent development experience are continually
for all leaders of 3M while still
combine our knowledge through
mentorship, storytelling, and our
new technologies and delivery methods,
thereby assuring impact, consistency, allowing for needed localization. leveraging new
internal social networking website.
We define mentoring as a unique
and global inclusivity.
All-employee development technologies
relationship in which a mentor (a more Many development opportunities and
programs are available throughout
All our people globally, at every level of and delivery
experienced person) helps a mentee
(a less experienced person) with their the various stages of a leader’s career
the 3M organization, are provided with
opportunities to develop themselves
methods, thereby
journey, spanning every geographic
development in a particular area.
Further information can be found region and 3M business. Programs
as leaders. These leadership
development offerings target areas
assuring impact,
at Mentorship at 3M. At 3M’s internal
social networking website, employees
include a range of online and self-
paced offerings, from personal
of strategic importance, including the consistency, and
global inclusivity.
development of a growth mindset,
can start new topic groups, join effectiveness to financial acumen, that
agility, innovation, and customer focus.
groups, and engage with others cover core skill development aligned
Delivery of content is available face
on specific topics to help them to the 3M Leadership Behaviors. These
to face in experiential workshops,
collaborate and learn. programs also focus on the future
through virtual instructor-led training,
by embedding inclusive leadership
and via self-paced e-modules.
strategies, promoting development
through corporate social responsibility,
and offering mentoring opportunities.
122 How we work Employee programs 3M 2020 Sustainability Report #improvinglives 123
Be rewarded for 3M has long prioritized taking a • Management Team Reviews function Learning from listening Each unit or business group that Total turnover includes voluntary
well-rounded view of an individual’s not only to provide comprehensive surveys must review their results, turnover and all other forms of
your efforts performance, assuring that information about an employee, but For more than 50 years, 3M has been present them to their employees, and turnover (e.g., termination as a result
employees are treated in a fair also to further the goal that rating conducting surveys to solicit employee execute an action plan to address of restructuring, termination for
To drive 3M’s successes, we incentivize
and consistent manner: considerations will be consistent for observations, attitudes, and opinions. the issues that arise from the results. poor performance, and retirements).
our employees to excel. Our process
employees within an organization Our Standard Opinion Survey program We built supports into our process Our total employee turnover rate
includes two components: measurable • Performance goals, linked to higher-
covers the entire globe and provides that make it easier to bring about is an annualized rate that measures
targets agreed upon by employees level organizational goals, are set Each year, all 3M non-production
specific and relevant feedback to successful change through action terminated or retired 3M employees
and their supervisor, and Leadership jointly between the individual and employees identify their contributions
major units within the company planning — such as accountability during the calendar year, excluding
Behaviors ratings, which reflect his or her leader in meeting their specified goals
(e.g., divisions, sites, and countries). checks and specific tools to act on the foreign service employees and
the extent to which the employee is through an employee performance
• Tools provided to leaders facilitate All employees have the opportunity results. We identified key drivers of 3M temporary employees.
engaged in core behaviors that allow process. 3M strives to have 100% of
conversations between leaders to complete the 3M Standard Opinion employee engagement and developed
3M to execute our strategies and non-production employees complete Temporary employees are 3M
and employees to assure mutual Survey, and our average response and deployed learning opportunities
meet our objectives. the entire performance review employees hired temporarily with
understanding of expectations and rates are typically about 85%. for leaders (e.g., multiple on-demand
process. In 2019, all eligible employees intent to be employed short-term.
The performance assessment process desired behaviors instructional videos on engagement).
were rated through calibration They do not include contingent workers.
helps hold each of our employees The Standard Opinion Survey program We continually assess survey content
• Feedback on progress toward these meetings, and these employees and
accountable for his or her contribution enables us to regularly assess the and update it as needed to assure
goals is provided formally, twice their supervisors received tasks to 3M follows all applicable local
and everyday behaviors. The process state of employee engagement and alignment with company strategy and
a year, and supervisors are taught complete the year-end process in the laws and regulations regarding notice
aligns personal goals with organizational other workplace factors critical to high major initiatives. Thus, our surveys
and encouraged to provide routine performance system. periods in the event of business
goals — we strive to achieve our goals performance and providing a great support strategy and business
feedback to help employees adjust operations changes.
in ways that support and strengthen our place to work. In 2019, we launched a objectives directed at supporting
performance and meet or exceed goals
culture and achieve sustainable growth. new survey platform to provide leaders sustainable corporate success through 3M’s Human Resources (HR)
of the business groups surveyed with our employees’ behavior on the job. Department is unique in that we
an in-depth dashboard of survey
have one global system to track
results. This is a cycle of continuous Long may your HR information. At every 3M site
improvement for us, year after year.
curiosity flourish here around the globe, we have instant
access to this information through
Our global voluntary turnover our global reporting tool.
rate continues to be under
Workforce experience,
124 How we work Employee programs 3M 2020 Sustainability Report #improvinglives 125
U.S. parental leave retention rate
In 2019, our overall United States work
1,119
and their supervisors can make
*2019 numbers may include those that left on leave in 2018 and came back
in 2019. Some employees on leave in 2019 may return in 2020.
126 How we work Employee programs 3M 2020 Sustainability Report #improvinglives 127
Our footprint 3M global employees
by region
3M regional and global employee
hires age distribution
3M global contingent employees
by region
Data related to employee metrics has Full and part-time, total 2019 percentage Permanent and temporary employment total
been derived from our human capital 100,000 100 12,000
management system. For the data
90,000 90
in the charts provided to the right,
100% has been calculated with no 10,000
80,000 80
assumptions. Additional information
70,000 70
on data management can be found 8,000
in the About report section. 60,000 60
50,000
The employee metrics in the charts are 50 6,000
reflective of employee headcount as 40,000 40
of December 31, 2019 (total number of 4,000
30,000 30
3M full-time and part-time employees),
not 3M full-time equivalent (FTE) 20,000 20
employees. Due to acquisition 2,000
10,000 10
integration schedules factored into
3M’s human capital management 0 0 0
system, detailed employee information 2015 2016 2017 2018 2019 Asia Canada Europe, Latin United Global 2016 2017 2018 2019
Pacific Middle America States
below may differ from employee totals Global Asia Pacific Canada Europe, East, Global Asia Pacific Canada Europe,
Africa
in 3M financial reports. Middle East, Middle East,
Latin America United States Africa Generation Z Generation Y Generation X Baby Boomers Latin America United States Africa
(>1994) (1981-1994) (1961-1981) (1943-1960)
Contingent hourly or daily workers only, see GRI 102-8 and
employee contract.
3M regional and global employee 3M global new employee hires 3M global female employees
age distribution by region by region
Full and part-time, percentage of total Total Percentage of total employees
100 16,000 50
90
14,000
80 40
12,000
70
60 10,000
30
50 8,000
40 20
6,000
30
4,000
20 10
10 2,000
0 0 0
Asia Canada Europe, Latin United Global
Pacific Middle America States 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019
East,
Africa Global Asia Pacific Canada Europe, Global Asia Pacific Canada Europe,
Middle East, Middle East,
Generation Z Generation Y Generation X Baby Boomers Latin America United States Africa Latin America United States Africa
(>1994) (1981-1994) (1961-1981) (1943-1960)
128 How we work Employee programs 3M 2020 Sustainability Report #improvinglives 129
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3M global female hires by region 3M global female employees People and culture o
L or
60
Percentage of total hires
40,000
Full and part-time
In 2019, we published our first-ever
2018 Year in Review of People and
f
35,000
Culture magazine. The magazine
50 features stories from a few of the In 2020, we will continue to work
30,000 96,000 employees who represent toward our 2025 Sustainability
what culture looks like at 3M. Everyone Goal for employee participation in
40
25,000 has their own journey: how they arrived development by strengthening our
at 3M; how they focus their time “development for all” philosophy.
30 20,000 professionally at 3M and externally;
how they learn, innovate, and partner As we build 3M for the future,
15,000
20 at 3M; and how they contribute to strengthening our culture is a top
one global 3M culture. priority. At its core, culture is how we
10,000
do things at 3M, and it belongs to all of
10
5,000 Leading through us equally. As change occurs, we are
engaging our employees by continually
0
2015 2016 2017 2018 2019
0
2015 2016 2017 2018 2019
change broadening our listening strategies.
30
20
10
0
2015 2016 2017 2018 2019
130 How we work Employee programs 3M 2020 Sustainability Report #improvinglives 131
Health and
safety International
travel health
Our travel health team prepares 3M
Contractor and visitor
safety and health
3M requires all visitors, vendors,
commitment
practices among 3M auditable entities. services for illnesses and injuries
Additional details on these efforts are offered at 3M sites worldwide. Healthy living modification rates (EMR), employee
training records, and safety committee
can be found in the Environmental Some of our preventive programs
Health, wealth, wellness, and activities. Contractor performance
3M is at the forefront of the global management section. include hypertension management,
resilience create a framework for a evaluations include safety reviews.
effort to bring science and innovation cardiovascular risk reduction, stress
To assure consistent reporting and collection of programs, resources, and Pre-construction safety reviews
to workplace safety. At the same management, physical activity
metrics globally, 3M, like many services designed to help employees address potential hazards and controls
time, as an enterprise with 96,000 programs, smoking cessation, nutrition
multinational companies, follows the and their families achieve their well- related to the work.
employees working around the world, consultation, and cancer prevention
U.S. Occupational Safety and Health being goals. Programs and services
we are always taking steps to further in partnership with the 3M Healthy Each 3M site has a contractor
Administration (OSHA) recordkeeping vary globally, examples include free
advance the safety, health, and well- Living program. coordinator who is the main 3M
rules and formulas to record and flu shots, health-conscious options in
being of our employees. contact for working with contractors
measure injury and illness rates 3M’s Medical Record Standard the cafeterias, on-site fitness centers
and medical care, telehealth, adoption on safety issues. The contractor
3M is committed to helping improve worldwide. At all sites within 3M’s defines the rules that must be
and foster care support, and the coordinator is empowered to
the safety and health of people operational control, 3M employees followed to protect workers’ medical
FlexAbility approach, which provides participate in pre-bid meetings and
worldwide, so we can all focus on what and contingent employees are information. The standard covers
employees with help optimizing their pre-qualifications for contractors.
matters most to us. covered by our injury and illness access, collection, storage, security,
work and personal life through one-on- The contractor coordinator and/or
recordkeeping rules. transfer of records, record retention,
one planning with their supervisor. a trained designated representative
Employee safety and record destruction. This standard
is on-site and therefore available
and health 3M medical programs assures that 3M medical information
Additional information can be found for contractor meetings and safety
is handled in a manner consistent with
and services the 3M Data Privacy Principle and
in the Employee programs section of reviews whenever necessary and
The 3M Safety and Health Policy this report. appropriate.
applies to 3M operations everywhere, 3M is committed to promoting a all applicable legal requirements.
including new acquisitions. Hazards culture of health by identifying and Contractors are asked to submit
On-site occupational health services
in 3M’s workplaces must be well controlling potential stressors in notification to 3M of worker hours
are available at specific 3M sites
understood and effectively managed the workplace that impact health and any injuries occurring while
People are the
around the world, based on the risk
to protect 3M employees, visitors, and well-being. Employees are performing work in accordance with a
factors at each site. 3M supports
sites, and surrounding communities. encouraged to take advantage of 3M contract. Any contractor incidents
of our company.
that promote disease prevention and management system, including injuries
opportunities to raise our safety and External Defibrillator (AED) training
health improvement. People are the and contractor worker hours.
health standards. We visit sites to to employees. All manufacturing
most important part of our company.
identify and manage environmental, sites in the United States are
3M aims to support healthy lifestyles
health, and safety (EHS) risks; supplied with AEDs and staffed
and create a psychologically safe
evaluate compliance with regulatory with AED-trained personnel.
work environment that empowers
requirements and conformance employees to be their best both at
to 3M policies and standards; work and at home.
132 How we work Health and safety 3M 2020 Sustainability Report #improvinglives 133
Workplace security
3M secures and monitors its sites to
Process hazard
management
Our actions EHS Cultural
Excellence initiative
protect 3M’s property, assets, people, 3M uses a variety of tools to manage
3M is committed to rigorously risks related to hazards in the In 2019, our EHS Cultural
and operations. 3M sites are accessible managing the risks associated with Excellence initiative launched
with badge access. Uniformed workplace. We have successfully used
hazardous processes, such as specialized tools for several years in globally. The goal of this new
security personnel support and assist those with the potential to result in program is to continually
workers and visitors in both emergency the areas of life safety, process safety,
catastrophic fires, explosions, and industrial hygiene, and ergonomics. enhance 3M’s EHS culture
and nonemergency situations, such sudden release of toxic materials. at all sites worldwide, with a
as accidents, incidents, loss or theft, Each of these disciplines uses a risk
We use a Hazardous Process Evaluation management approach to categorize key metric of enhancing EHS
suspicious items or behaviors, and Tool (HazPET) to categorize hazardous culture through leadership
lock-outs. Risk mitigation and hazard levels and define appropriate
processes. Process Hazard Analyses levels of control. engagement with site employees.
investigation managers provide (PHAs) are used to assess the
security expertise and guidance to effectiveness of existing safeguards. Each manufacturing and
businesses and sites. 3M’s Global Layers of Protection Analysis (LOPA)
Environmental, health, distribution site completed an
Security Operations Center (GSOC) is also used in some instances to and safety (EHS) EHS employee perception survey
monitors risks and intelligence to gain a baseline measurement.
sources worldwide and supports local
evaluate safety-critical devices and management system
systems, providing more attention to
operations in severe situations. Based on survey results, site-
independent protection layers. Facility In 2019, our Global Safety and Health
specific action plans direct the
siting assessments help us identify Plan (GSHP) Self-Assessment and
The GSOC also manages travel site’s leadership team on future
and mitigate “maximum credible event” Global Environmental Management
safety and provides emergency steps to improve EHS culture,
scenarios that could impact workers Self-Assessment (GEMSA) were
care and support to workers. such as:
at some sites, and is a global initiative combined to create 3M’s EHS
that builds on 3M’s existing guidance to Management System Self-Assessment,
Incident and crisis our sites around effectively managing which is the basis for our self-
• Leadership and employee
engagement
management potential combustible dust hazards. assessment and audit protocols.
• Recognition of exemplary work
This system defines EHS requirements
3M has plans and processes in place to Another way we manage hazardous that apply to manufacturing, supply • Risk identification and follow-up
help prevent and prepare for, respond processes is through mechanical chain, and R&D operations.
to, and recover from serious, severe, integrity programs. These programs
and crisis situations throughout its help our manufacturing sites manage As part of this system, all
sites. Notification and communication critical process equipment to assure manufacturing sites and new
processes managed through the they are operated and maintained acquisitions must complete the EHS
GSOC inform and engage response in the most effective and safe manner. Management System Self-Assessment
teams, leadership, and subject matter In 2019, we focused on increased at least annually. This assessment is
experts. When a safety or security training and guidance to support categorized into multiple elements
threat arises, a message informs mechanical integrity programs at our that address various areas and
workers and provides a response manufacturing sites. standards related to safety and health.
mechanism to confirm their safety
after a severe or catastrophic event.
3M’s Corporate Crisis Action Team
(CCAT) provides global leadership,
coordination, and direction in crisis
situations. For more information,
visit the Enterprise risk section.
134 How we work Health and safety 3M 2020 Sustainability Report #improvinglives 135
Significant injury/illness Online ergonomic training is also Occupational
available 24/7 to any employee who
and fatality (SIF) and epidemiology
significant injuries and
wants to learn more and has access to
3M’s intranet. These efforts have paid While many of
3M is one of the few companies
events (SIE) rates off, resulting in reduced numbers of
ergonomic recordable injury cases. See
supporting an internal occupational these programs
At the end of 2019, over 110,000 the 3M regional and global recordable
epidemiology program. For the
past 25 years, this group has are mandated
incident rate chart for details.
risk assessments resulted in the
identification and reduction of risk
conducted epidemiologic studies
to examine health outcomes among
by government
associated with more than 30,000 Industrial exposure 3M manufacturing workers and requirements,
activities, including 8,300 associated risk management their potential association with
with activities that have greater occupational exposures and other others are
potential to result in a SIF. To accurately assess exposure
management programs and activities,
workplace conditions. Occupational
epidemiology research is used to established
to meet 3M’s
From 2012 to 2018, there has been a 3M uses the comprehensive approach inform risk assessments and develop
net reduction in the number of SIFs outlined by the American Industrial risk management activities within 3M.
of 42.1%. In 2019, we refined and
expanded our internal SIF classification
Hygiene Association (AIHA). In the more protective
past decade, over 95% of all chemical Radiation protection
criteria. Previously, our SIF definition
included specific types of injury for
agents and noise baseline exposure risk standards.
assessments have been completed for 3M’s Corporate Radiation Protection
inclusion. SIE is more broadly defined all jobs. As prescribed by our Global and Compliance group (CRPC) provides
by impairment, disability, and other Safety and Health Plan, we have also hazard evaluations and develops and
considerations. It also includes non- conducted proactive assessments provides training for both radiation
injury and illness events, such as fires, of dermal exposure, engineered source users as well as site radiation
spills, and communicable disease nanoparticles, hazard communication, safety officers to help protect 3M
outbreaks. In 2019, we established a personal protective equipment, employees, our customers, and the
new baseline for the SIE rate. respirator protection, and ventilation. public. This includes the use of radiation
These assessments help us determine in both manufacturing and R&D —
Ergonomics risk whether any changes in exposure ionizing radiation sources such as
management management programs are warranted. radioactive materials and x-ray emitting
devices; and nonionizing radiation
3M’s Ergonomics Risk Reduction Medical surveillance sources such as lasers, microwave and
Process (ERRP) is a global, radiofrequency radiation, magnetic
comprehensive program that integrates We monitor our employees based fields, and ultraviolet, infrared, and
ergonomic job analysis and engineering on their potential exposure to visible light. Periodic program audits
design criteria to reduce exposure to chemical and physical hazards in the evaluate site performance in managing
commonly identified musculoskeletal workplace. We screen for early signs hazards during routine use and
disorder (MSD) risk factors. To of occupational illnesses to protect maintenance of radiation sources,
accomplish this, we apply ergonomics workers from further exposure, and we security of radiation sources, training of
risk assessment tools globally to provide medical management. We look personnel, and regulatory compliance.
identify and assess ergonomic risk for trends in the health data of working
in the industrial environment. populations to assure that potential
hazards are well controlled. While
In 2019, all manufacturing sites were many of these programs are mandated
required to complete an ergonomic by government requirements, others
footprint assessment. are established to meet 3M’s more
protective standards.
136 How we work Health and safety 3M 2020 Sustainability Report #improvinglives 137
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Global EHS Team 3M regional and global recordable 3M regional and global lost time o
L or
3M’s global EHS Team has continued
to evolve. We believe our current
incident rate
Per 100 3M employees (200,000 work hours)
incident rate
Per 100 3M employees (200,000 work hours) f
operational state sets us apart from 2.50 0.8
our peers. Comprised of business-level
EHS committee members, regional 0.7 In the coming year, 3M will be working
EHS managers, and corporate subject- 2.00
to advance the 3M Value Model, with
matter experts, this committee will 0.6 safe and sustainable progress at the
work with EHS site staff to address top of the list. 3M’s EHS Management
and replicate best practices, solve 1.50
0.5 System Self-Assessment will set a new
problems, and drive worthy EHS baseline for EHS performance and a
0.4 more in-depth auditing process.
initiatives to the operational level.
The global EHS Team also supports 1.00
0.3 In 2020, we are expanding the number
the professional development of EHS
of global EHS audits and are working
site staff by holding topic-specific 0.2
0.50
to bring multidisciplinary teams to help
meetings, global conferences, and
sites achieve risk reduction and EHS
providing scholarships for professional 0.1
goals. We will be implementing a new
certification training courses.
00.0 0.0 global site EHS management of change
2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 system and a new Environmental
In 2019, Hazard Assessment (EHA) process
100%
Global Asia Pacific Canada Europe, Global Asia Pacific Canada Europe,
Middle East, Middle East, tool; developing standard work for
Latin America United States Africa Latin America United States Africa
event investigations; and exploring
real-time data systems to track EHS
compliance, risk reduction, and
3M global recordable incident cultural excellence.
of 3M manufacturing rate category
sites worldwide Per 100 3M employees (200,000 work hours)
project investments
0.2
In 2019, 3M introduced the safe and
sustainable centrally coordinated
investment fund to mitigate risk and 0.1
facilitate technologies of the future.
Examples of projects funded in 2019
include fixed fire protection upgrades, 0.0
noise reduction, machine guarding, 2015 2016 2017 2018 2019
and dust collection systems. Contact with Exposure, Physical agent
object, equipment chemical exposure
Ergonomics Miscellaneous Slip, trip, fall
Exposure, Noise exposure Transportation
biological agent accident
138 How we work Health and safety 3M 2020 Sustainability Report #improvinglives 139
Environmental
management Beyond compliance, the company
continues to make significant
investments to reduce the
environmental impact of our operations
Quarterly scorecards report data
at the site, division, business group,
and corporate levels. Scorecards are
reviewed by executive management
This amount excludes expenditures for
remediation actions relating to existing
matters caused by past operations
that do not contribute to current or
Responsible stewardship.
and our products. We incorporate for performance on selected indicators, future revenues, which are expensed.
sustainable attributes into our products enabling 3M to monitor and identify Capital expenditures for environmental
to help customers reduce their successes, risks, and opportunities purposes have included pollution
environmental impact and help meet for performance improvements and control devices — such as wastewater
their Sustainability goals. 3M believes footprint reductions worldwide. treatment plant improvements,
Our
environmental policies and regulations scrubbers, containment structures,
should always be guided by science- Environmental, health, solvent recovery units, and thermal
commitment
based decision-making. oxidizers — at new and existing
and safety (EHS) facilities, constructed or upgraded in
incident management
In 1975, 3M’s Board of Directors Our actions Since 2010, all 3M sites globally are
the normal course of business.
The company places consistent
emphasis on environmental
adopted the 3M Environmental
Policy, formalizing its commitment Developing and implementing global required to internally report actual responsibility. Capital expenditures
to environmental stewardship. This environmental policies, management and potential incidents (i.e., identify (other than for remediation projects)
policy established the framework systems, and key performance metrics risks) including, but not limited to, for known projects are presently
for environmental management enables 3M to continually integrate injury or illness, fire or explosion, expected to be about $150 million to
and conservation of resources, and drive continuous improvement into environmental exceedances, spills, $220 million over the next two years,
emphasizing prevention of pollution each of the company’s four business agency notices, and fines through for new or expanded programs to build
at the source. groups globally, assuring consistency one dedicated system, which we facilities or modify manufacturing
and innovative environmental thinking. call EHS 360. processes to minimize waste and
Since then, our environmental reduce emissions.
management programs have continued Management EHS 360 has led to continuous
improvement relating to awareness
to evolve. We work to identify
potential risks to the environment, the 3M’s Environmental Management of responsibilities, understanding In 2019, 3M
health and safety of our employees, System (EMS) framework provides of the holistic system, and more
consistent reporting requirements
introduced the
structure and consistency for
and communities, and we take steps
to modify processes, product design, implementing our programs and puts for 3M’s global operations. safe and sustainable
and standards to address these the company in a proactive rather
than a reactive mode regarding
Environmental centrally coordinated
risks. We leverage information and
technology to assess the risks and our environmental focus. We have investments investment fund
drive compliance through data systems extensive global systems in place to
identify, track, and manage relevant
In 2019, 3M to mitigate risk
and technical analysis.
information on corporate-wide
expended and facilitate
approximately
3M’s strategies for sustainable environmental management and
implementation
$59M
development encompass the pursuit of performance. This includes covering
customer satisfaction and commercial a full range of environmental of sustainable
success within a framework of compliance and operational
environmental, social, and economic performance metrics relevant to technologies to align
values. We are committed to 3M operations, some of which are with our Strategic
complying with all applicable
environmental requirements worldwide.
provided in this report. for capital projects Sustainability
related to protecting Framework.
the environment.
For more information, visit the Health
and safety section.
140 How we work Environmental management 3M 2020 Sustainability Report #improvinglives 141
Environmental comprehensive and mandatory to Applying ISO 14001 Third-party assurance Comprised in the
maintain compliance with legal or
management other internal requirements. Data from The ISO 14001 Environment of Sustainability auditing process:
implementation the assessments is validated through Management System (EMS) standard metric reporting • The frequency of environmental
audits, site visits by subject-matter is an internationally recognized compliance audits on manufacturing,
We continue to advance our EMS experts, and other data systems. approach for managing the immediate APEX Companies, LLC provided
distribution, and laboratory
throughout the world. and long-term environmental impacts independent third-party verification
operations is based on the site’s
Our approach calls for each site to
Environmental site of an organization’s products, services, of 3M’s 2019 environmental data
EHS complexity rating along with
(volatile organic compound
establish, implement, and maintain assessments and and processes. In 2018, 3M recertified
all relevant sites to the current ISO emissions, water, waste, environmental
management input
documented environmental objectives enhancements 14001 standard. compliance metrics, energy • At least annually, all global
and targets. When establishing an consumption, and greenhouse gas manufacturing, supply chain, and
EMS plan, each 3M site must address Outside of 3M’s EMS, 3M has To help sites comply with the current emissions), included in this 2020 R&D sites are assessed with respect
financial, technological, operational, completed environmental site ISO 14001 standard, 3M provides Sustainability Report. For additional to the standard audit frequencies
and business considerations. The assessments at most sites, with ISO 14001 training modules in our information on our third-party to establish a prioritized list of sites
objectives and targets should be the goal of identifying potential Global Learning System. Web-based assurance, see the APEX Companies, for compliance auditing
measurable and consistent with our historical liabilities. Because of these courses are offered, with topics on LLC Assurance Statement. • 3M uses a variety of tools and
environmental policy, including our assessments, we can identify sensitive general awareness, internal auditors, resources for compliance auditing,
commitments to prevent pollution, and biodiverse areas. Where applicable, leadership management, and more. Site self-assessments including:
comply with applicable regulations 3M conducts searches of public Learning coordinators can assign these
and other requirements. databases, which includes a wetland web-based trainings to groups of
and auditing ○ Internally developed compliance
database. Site visits also identify areas protocols created by subject-
employees, process certifications, and 3M verifies regulatory compliance
3M’s multifaceted strategy for such as rivers, creeks, and potential matter experts in regulatory
run reports. Supervisors can then view and alignment with prioritized
implementing EMS and global auditing wetlands that are on or near the programs and 3M processes
their direct report’s learning activities. sections of the EHS Management
of environmental compliance for our manufacturing sites. ○ 3M’s EHS management system
operations is key to understanding System Self-Assessment, conducting
any potential gaps and quickly gaining Sites throughout the world practice Altogether, our ISO environmental-related audits on a ○ Externally purchased compliance
resolution. In 2019, we combined good land stewardship. For example, 14001-certified sites standardized schedule based on site- protocols, especially for operations
our Global Safety and Health Plan Menomonie, Wisconsin, focuses account for approximately specific EHS complexities. In 2019, outside the United States, to assure
80.3%
(GSHP) self-assessment and Global on the removal of invasive species our EHS site audits covered sites that local compliance obligations are
Environmental Management Self- and has an active bluebird manufactured 34.8% of sales value understood and met
Assessment (GEMSA) to create 3M’s management program on its 500- of production (SVOP). ○ Internal environmental compliance
EHS Management System Self- acre property. Since 2015, 3M experts from around the company
Key objectives of audits:
Assessment, which is the basis for our headquarters in St. Paul, Minnesota,
External environmental
of 3M’s total
○
self-assessment and audit protocols. has provided a certified and registered
consultants, as needed, to provide
The EHS management system defines Managing Global Risk
EHS requirements that apply to all 3M
Monarch Waystation to provide
milkweeds, nectar sources, and product output. and Compliance
additional expertise and third-
party verification of our auditing
sites globally and has been designed shelter to sustain monarch butterflies
protocols
to bring more consistency to EHS as they migrate through North
Develop Complete and robust
assessments at 3M manufacturing, America. 3M headquarters, as well Maintain ○
environmental Manage risk
supply chain, and R&D sites worldwide. as the 3M Global Service Center in compliance
professionals documentation of audits
Wroclaw, Poland, maintain beehives. ○ Findings, with assignments of
All manufacturing sites, and new In 2019, Wroclaw’s Service Center responsibility, due dates for closure,
acquisitions based on their integration organized beekeeping workshops,
Identify and tracking to completion
progress, must complete the EHS educating employees on bee Build common
Share best common
Management System Self-Assessment behaviors, protection, and treatment. understanding ○ Detailed reviews of findings
practices areas for
at least annually. The environmental of requirements to assure corrective actions
improvement
elements reflect procedures, are complete
systems, and processes that are
142 How we work Environmental management 3M 2020 Sustainability Report #improvinglives 143
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3M’s EHS auditing program is audited Primarily focused in the United States In addition, 3M holds EHS global 3M is committed to responsible
o
L or
f
periodically by 3M’s Corporate and Canada, CAMMS is a system for conferences in the St. Paul/ environmental stewardship and
Auditing Department, resulting in maintaining environmental compliance Minneapolis region as well as half- protecting natural resources.
recent improvements to the scope of requirements and determinations. day to multi-day on-site workshops We work with federal, state,
the audit program, fully addressing all It allows us to conduct internal around the globe. 3M also offers and local authorities regarding
in-scope sites and the verification of compliance audits in the context of scholarships for professional environmental aspects of our
applicable regulatory requirements certification training courses operations and are dedicated We will continue to drive
EHS audit findings.
and company policies and standards and covers fees for professional to acting responsibly and environmental management programs
All EHS auditors, except for 3M EHS through the use of CAMMS dynamic certification exams as well as transparently in the way we treat across all our global manufacturing
professionals who are guest auditors, audit checklists. In addition, CAMMS recertification dues. our customers and the way we sites. With the supporting technology
are required to take a certification utilizes a risk assessment tool for treat the environments in which developed in 2019, we will update
test covering the important aspects of prioritizing resources to implement Commitment to we operate. our global EHS management system,
including site self-assessments, internal
the 3M EHS Auditor Guidelines. 3M corrective actions.
EHS professionals are assigned to an PFAS stewardship Globally, 3M has invested millions audits, and a new EHS Management
audit team or lead auditor to provide EHS professional Per- and polyfluoroalkyl substances
on research, technology, and Standard. Our work to reduce the
likelihood of significant events will
support on the auditing process and/or cleanup efforts related to PFAS.
a specific subject during the audit. training (PFAS) are a broad class of chemical
For example, more than $50M has continue into 2020, keeping our focus
compounds containing two essential
gone toward installing water on environmental, health, and safety
As part of our ongoing training efforts, elements – carbon and fluorine.
Compliance analysis, 3M conducted monthly webinars in The carbon-fluorine bond is strong
filtration systems, and more than compliance in our operations.
$100M has been invested in testing
documentation, 2019 for environmental, health, and and stable even at high temperatures.
water sources to better understand In 2020, we are expanding the number
safety employees on topics that draw This property lends itself to many
and verification global interest. The webinars were useful applications of industrial and
the quality of both groundwater of global EHS audits and are working
and drinking water in communities. to bring multi-disciplinary teams to
In an effort to create more consistency recorded and placed on a website that social significance, including health help sites achieve risk reduction and
in auditing of manufacturing sites, allows convenient access for those who care, advanced electronics, and To learn more, see “3M’s Commitment EHS goals. We will be implementing
3M has refined its Compliance and couldn’t attend the live events. A wide replacement of materials with high to PFAS Stewardship.” a new global site EHS Management
Auditing Management and Metric range of topics were covered, with global warming potential. of Change system, developing a new
Systems (CAMMS). specific focus on the new elements of Environmental Hazard Assessment
the EHS management system. 3M is constantly and proactively
(EHA) process tool, creating standard
examining the environmental impact
work for event investigations, and
of our products. As the science
exploring real-time data systems to
of PFAS progressed, we learned
track EHS compliance.
that some of these materials were
3M EHS audit locations, 2014-2019 becoming widespread and had the We are committed to being part of
potential to build up over time. environmental solutions, guided by the
As part of our commitment to principles of sound science, corporate
environmental stewardship, in May responsibility, and transparency.
of 2000, 3M made the decision
to phase-out PFOS and PFOA.
We chose to stop production ahead
of any regulatory requirement to do
so, and we shared our learnings with
the United States Environmental
Protection Agency (EPA) and the
rest of the industry.
144 How we work Environmental management 3M 2020 Sustainability Report #improvinglives 145
Circular
materials Water stewardship
Water is an important raw material
supporting our product manufacturing
WRI water availability information,
both on a country and watershed basis.
In 2019, 18 sites with annual water use
equal to or greater than 1,000 cubic ience
Sc rcula
f
r
or
Our Renewable and recycled materials, The committee’s roles and area. Those sites are also asked to do water resources through alignment
effluent water discharge, and rainwater.
water, packaging, and waste are responsibilities include reviewing water conservation planning, outlining with regulatory requirements,
conservation, and reuse, as well as
commitment
materials with critical performance the company’s Sustainability policies The threat of water scarcity is real current and future water conservation
indicators for circularity. We believe it and programs; and identifying and and is already occurring in some efforts. Annual stress-level screening by reporting water usage internally.
is our responsibility to carefully assess analyzing significant Sustainability, areas of the world. We are continually evaluations are conducted for global
or
Our current global economy’s linear these materials as we focus on Science materials vulnerability, and geopolitical evaluating risks and opportunities operations using available updates
f
ce
business model of “take, make, and for Circular. It is also our responsibility issues that may impact our overall related to water scarcity. To define from the water tool, an analysis of
waste” is depleting natural resources to be strategic, planful, and to mitigate business strategy, global business our high-risk sites, 3M uses the World site operations, and water usage and
ien r
Sc rcula
faster than they can be replenished risks related to these materials along continuity, and financial results. Resource Institute (WRI) Aqueduct™ local conditions.
and is straining our ecosystems. the way. For more information on risk, see the Tool to screen the company’s various
Imagine repurposing a piece of plastic
at the end of its use, giving it another We believe that risk management is
Enterprise risk section. sites and their water use with validated
Ci
life as something else. Its use is, in fact an essential component of strategic Reusable, renewable,
circular, and the end of use doesn’t planning — with broad risk oversight
mean the end of life. by the 3M Board of Directors and its and recycled materials
Goal: Engage 100% of
A circular economy does more with
committees and with committee-level
risk analyses reported to the full Board
3M continually looks for ways to 3M locations in-scope for the 2025 Sustainability water-stressed/scarce
less, keeps products and materials in and executive-level Internal Auditor
recover, reuse, and recycle by- water-stressed/scarce communities goal communities where
products and other surplus material,
use, designs out waste and pollution, and Chief Ethics & Compliance Officer
and we include renewable and 3M manufactures,
and regenerates natural systems. At appointed by, and reporting directly to,
recycled materials in our products on community-wide
the core is an opportunity to develop the Audit Committee.
technologies and business models that
whenever possible. Increasing usage approaches to water
The highest level of Sustainability risk of renewable and recycled raw management by 2025.
are restorative and regenerative by
governance is the responsibility of our materials through product design
design. We see the circular economy
Science, Technology & Sustainability and operational considerations helps 3M will partner with local communities
as an opportunity to inspire leadership,
Committee of the Board of Directors. assure our products support the to advance water recycling and
innovation, and disruptive change, all
The committee oversees the twin circular economy. conservation. Ultimately, we aim to
driving impact for a sustainable future.
demands of developing products to help these communities build and
At 3M, Science for Circular is one meet the ever-changing needs of our United States (nine) manage their own clean water efforts
of three pillars of our Strategic customers while assuring that those Mexico (three) into the future.
Sustainability Framework and focuses products cause no harm to people or Peru (one)
India (two)
on designing solutions that do more to our planet.
Singapore (two)
with less material, advancing a global Japan (one)
circular economy.
146 How we work Circular materials 3M 2020 Sustainability Report #improvinglives 147
Packaging Per the standard, each 3M site has a
for Zero landfill Each site reports its waste data in a
waste management coordinator who is
nce Our goal resonates with our local
corporate database each quarter. This
3M’s product diversity, markets, and responsible for assuring conformance
ie r data is third-party validated at select
Sc rcula
global multi-channel distribution to the standard, including organizing communities as well as our suppliers and sites and at the corporate level. We also
customers. However, zero landfill has
Ci
systems create a complex situation appropriate waste training for all require sites seeking zero landfill status
that does not lend itself to a “one personnel. Compliance with all 3M and various definitions for different people to complete an internal assessment to
solution fits all” approach. Our other regulated waste requirements and sites. We’ve spent a great deal assure accurate reporting.
packaging Sustainability roadmap is evaluated through the internal of time during our goal development
environmental auditing program. process benchmarking peer companies By the end of 2019,
35.4%
takes into consideration the
requirements and needs that are that span relevant business sectors
quickly evolving around the world. Our Disposal of Chemical Waste Goal: Achieve zero landfill and industries. Based on our research,
Standard calls for appropriate status at more than 30% of we’ve chosen a holistic definition:
Our roadmap’s top priorities include: management and disposal of chemical At 3M, zero landfill means no byproduct
manufacturing sites by 2025.
waste to manage risks and protect is sent directly to a landfill from a 3M
• Product protection: Design every the environment. This includes efforts In addition to our waste reduction goal, manufacturing site in a calendar year. of 3M sites had
package to optimally protect the
product from point of manufacture
to reduce the amount and hazards of
waste materials generated, to recycle
we plan to increase the repurposing, A site will continue to be a zero landfill
site as long as no manufacturing
attained zero
reusing, and recycling of potential waste
to point of use or reuse those materials whenever materials to divert them from landfill operations waste is sent to a landfill. landfill status.
• Efficient packaging: Minimize the practical, and to control waste disposal disposal. The intention of our zero landfill Waste, as defined here, does not include As we monitor progress toward this goal,
amount of material used. Optimize through final disposition. goal is to drive our sites to increase ash generated from 3M material sent to sites listed will change due to operations
cube utilization at all pack levels. product and process optimization, on-site a waste-to-energy or incineration site (e.g., site closures, acquisitions, and sites
Eliminate all unnecessary packaging
for and offsite recycling, and composting. controlled by a third party. missing zero landfill by one day of the year).
ce
• Circular packaging: Design Read how one site reached zero landfill
packaging to be reusable, recyclable,
and/or made with renewable c
n
i lar
e
S rcu
Our actions status in the 3M Columbia site spotlight.
Ci
resources. Maximize recycled
content of packaging materials Circularity in our Global waste diversion by type
Waste management
operations Metric tons
350,000
material is handled appropriately. *Does not include on-site recycling & reuse and offsite reuse from
3M’s industrial mineral product (IMP) division
148 How we work Circular materials 3M 2020 Sustainability Report #improvinglives 149
Water conservation A majority of our water-intense This visibility provides a deeper Global water usage Global water usage
manufacturing operations are located in understanding of water use reduction
in our operations the United States and Europe, in areas opportunities across the company.
Million cubic meters Million cubic meters per MM $USD net sales
that are not water-stressed or water- We use this system to create, identify, 50 0.0025
We are continually evaluating our
scarce. However, they also contribute and share best management practices
water use with a consistent, company-
significantly to our conservation efforts. related to water conservation. As we
wide focus on reuse, reduction, 40 0.0020
As the company continues to grow have for decades, we are continuing
and internal recycling, as well as
globally, thoughtful consideration is our efforts to implement water
collaboration with our own technical
placed on the type of operations and reduction projects at targeted sites.
community, channel partners, and 30 0.0015
availability of water sources.
civic and conservation leaders in
communities where 3M operates. Global water Packaging in our
Global water withdrawal
withdrawal operations 20 0.0010
3M’s total water usage includes
2019
2019 percentage
percentage
sanitary, process, heating, cooling, To support our circularity efforts, we
remediation, and miscellaneous work internally and with suppliers so 10 0.0005
sources. Water usage data is tracked that we can reduce, reuse, or recycle
and reported annually on a global basis packaging of raw materials we receive.
for manufacturing sites that produce For example, we continued optimizing 0 0.0000
greater than 4.54 metric tons packaging used for inter-company, 2005 2010 2015 2016 2017 2018 2019 2005 2010 2015 2016 2017 2018 2019
(10,000 pounds) of product per year. international shipping, aiming to shift
The reported data accounts for 99% from single-use wood crate and core
of sales value of production (SVOP). to a reusable steel rack and core.
This change promoted reuse while
3M Corporate Environmental Pollution Prevention Pays (3P) We use this system to create, identify,
Total water amounting to more than 169 metric
Operations measures progress and share best management practices
tons of solid waste reduction in 2019
consumption in sites across Brazil, India, Poland,
toward raw material usage and waste An industry first, 3M’s 3P program,
developed in 1975, is based on the
related to waste reduction.
reduction goals for sites within our
decreased and Mexico.
global manufacturing footprint. belief that a prevention approach Communication on the added
43.3%
The results and raw data are used to pollution is more environmentally functionality of the 3P system was
Groundwater 49.4% For more information on our
to identify, quantify, and prioritize effective, more socially acceptable, shared throughout 2019 to various
supplier circularity efforts, see
projects to improve, utilizing Lean and more economical than treatment. stakeholders, including sites,
Other sources 10.7% the Suppliers section.
Six Sigma (LSS) methodology. In the last 45 years, the program has engineering, and 3M Tech Forum.
prevented more than 2.66 million short
between 2005 and 2019, Public municipal 19.7%
Waste reduction in Raw material utilization is a tons of pollutants and saved over
indexed to corporate-wide net sales. Surface 20.2% our operations measurement of overall product $2.30 billion based on aggregated data
Results also indicate that the largest and process yield throughout our from the first year of each 3P project.
share of 3M water use in operations Within each region, business, and manufacturing processes and is
is for processing products in division, results are reviewed quarterly a key metric for 3M. This internal In 2019, we continued to expand
manufacturing and heating or cooling and annually against goals and metric is tracked at all manufacturing global project tracking with our
of those processes and associated In 2019, we continued to expand tracking metrics. Specialized teams sites and is indicative of operational new pollution prevention system.
operations. We continue to improve global project tracking with our work on a variety of projects and excellence in our product design 3M employees can place waste
our data accuracy through monitoring new pollution prevention system. programs, ranging from basic office and manufacturing processes. reduction ideas into this system and
and measurement. 3M employees can place water recycling to more complex projects, Our raw material utilization includes list any barriers to implementation.
reduction ideas into this system and such as developing and capturing the product, the process, and all Engineers, developers, and managers
Our water conservation successes list any barriers to implementation. intrinsic waste materials generated byproducts. The first step in waste can see opportunities across our vast
have been achieved through Engineers, developers, and managers by a manufacturing line. Through management is reduction of waste, Technology Platforms. This visibility
recycling, reuse, product redesigns, can see opportunities across our vast an evaluation process, all aspects of which also increases raw material provides a deeper understanding of
and improvements to our buildings Technology Platforms. material reduction benefits or risks utilization. Next are examples of waste reduction opportunities across
and manufacturing processes. are reviewed. how we continue to reduce waste the company.
in our operations.
150 How we work Circular materials 3M 2020 Sustainability Report #improvinglives 151
Using kaizen events to improve the 3M is also dedicated to operating in For more examples, see the Our Global waste Global waste by disposal type
flow of process stream accordance with all regulations and products section and our feature story
Metric tons per MM $USD net sales Metric tons
managing waste materials safely and “Collaborating for a circular economy.”
Kaizen is the Japanese word for responsibly. All 3M sites are required to 7.0 180,000
“continuous improvement.” In 2019, manage all returned, recycled, and waste Water conservation and quality
160,000
in a continuation of previous efforts, materials from the time of generation until designed into our products 6.0
the 3M Environmental, Health, and reused, recycled, treated, or disposed. 140,000
Safety Department conducted several Through our SVC efforts, we
5.0
develop water-saving opportunities
kaizen events, including site walk- Circularity in our products for our customers. One example is
120,000
throughs, waste-by-cause analyses, 4.0
and identification of circular uses for In 2019, we required 100% of 3M™ Petrifilm™ Plates which use 100,000
79%
surplus materials. Findings from these products entering our new product 80,000
3.0
events can feed into the 3P system. commercialization process to have
60,000
a Sustainability Value Commitment 2.0
Part of the identification and solution (SVC) to contribute to our 40,000
process requires utilizing LSS within a
site to segregate and manage material
aspirations laid out in our Strategic less water 1.0
Sustainability Framework. 20,000
flow for material streams and analyze when compared with
the availability of internal and external Examples of commitment considerations traditional agar test methods. 0 0
2005 2010 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019
by-product handling alternatives. include reusability; recyclability;
and energy, waste, and water savings For more examples, see the Our Starting in 2016, waste no longer includes waste-to-energy Treatment, incineration Landfilled
Our waste reduction results appropriate to the specific product products section and our feature story,
throughout its life cycle. For more “Collaborating for a circular economy.” Starting in 2016, waste no longer includes waste-to-energy
Between 2015 and 2019, 3M has
information, see the Innovation
reduced the amount of management section.
material sent for landfill 3P global pollution prevention
and incineration by Reusable, renewable, and recyclable achievements: 1975-2019
materials in our products
12.6%
First year total pollution prevention cumulative totals,
Through our SVC efforts, we develop short tons
reusable products and create products 3,000,000
using renewable or recycled materials
indexed to net sales. for our customers. Examples include
2,500,000
supporting refurbishment of old products
We have decreased our waste, indexed with our Post-it® Flex Write Surface
to net sales, by 32.9% since 2005. that can cover existing whiteboards and 2,000,000
greater than 4.54 metric tons per year plant-based adhesives in our Post-it®
(10,000 pounds), which represents 99% Super Sticky Notes and our 100% 1,000,000
of sales value of production (SVOP). plant‑based Scotch-Brite® Greener
Clean Non-Scratch Scrub Sponges;
Composting materials from our 500,000
and making products with recycled
manufacturing sites is an extremely
materials such as 3M™ Thinsulate™
small component of our manufacturing
100% Recycled Featherless Insulation 0
operations. 3M does not have any 1975 1980 1985 1990 1995 2000 2005 2015 2016 2017 2018 2019
and Scotch-Brite® Heavy Duty and
waste streams that are managed by
Non‑Scratch Scrub Sponges. Total air Total waste Total water
deep well injection. pollution pollution pollution
prevented prevented prevented �
152 How we work Circular materials 3M 2020 Sustainability Report #improvinglives 153
Circularity in Packaging for our products To learn how we partnered with
one customer to understand, in
One business’s surplus
our packaging In 2019, we continued our long- part, how to reduce waste and to material may be
standing commitment to efficient gain insight into a product’s journey
3M continues to convert plastic
blister packaging from polyvinyl
packaging design by optimizing
product protection with the least
through a health care system, another business’s
raw material. When
see the Our customers section.
chloride (PVC) to recycled amount of materials. We did this
polyethylene terephthalate (PET),
including our Command™ and
by removing and light-weighting
material and maximizing product-
For more examples, see the Our
products section and our feature story, we expand outside of
Post‑it® product lines. This not
only increases the recycled content
to-package ratios (removing as much
empty air space as possible from
“Collaborating for a circular economy.”
our own value chain,
of our plastic packaging, but it also
increases the recyclability potential
the package). Circularity in our the opportunities can
since PET is much more readily Efforts this year communities be endless.
accepted at recycling facilities
yielded a reduction Reusable, renewable, and
than PVC.
of packaging recyclable materials in our
Because of this change weight by more than communities
1,300
in 2019, a total of
41
One business’s surplus material may Minnesota Sustainable
be another business’s raw material. Growth Coalition
When we expand outside of our own
As a founding member, 3M supports
value chain, the opportunities can be
metric tons. endless. In 2019, we continued with
the newly developed Materials Vision
more metric tons our company-wide strategy on reuse,
of the Minnesota Sustainable Growth
To support our circularity efforts, Coalition, which was finalized at the
reduction, and internal recycling, as
in North America had we work to prioritize materials on Coalition’s quarterly meeting held at
well as collaboration with our own
the potential of being the front end so that they can be
technical community, channel partners,
the 3M Innovation Center in St. Paul,
recycled, rather than recovered after use rather than being
and civic and conservation leaders
Minnesota in October 2019. The goal
discarded on land or in waterways. is to eliminate the concept of waste
ending up in a landfill. in communities where 3M operates.
We continue to increase recycled and thus create a circular materials
Packaging for a line of hearing content, make our packaging easier Ellen MacArthur CE100 economy. The Materials Vision lays the
protection was moved from a plastic to recycle, encourage reusable groundwork for future systems-focused
clamshell to a paperboard carton, packaging where appropriate, and In 2019, 3M joined the Ellen projects. To start, the Coalition will
resulting in nine metric tons of plastic increase the use of renewable MacArthur Foundation Circular identify one key project to advance as
being removed from the global waste materials. Economy 100 (CE100) Network to a collective group and create project
stream. The carton is made from accelerate the movement toward using teams with specialists from across
renewable resources and is readily Waste reduction designed recycled and renewable raw materials member companies to further define
accepted for recycling at material into our products in our product and package design. and execute the prioritized project.
recovery facilities. To help propel the initiative within
We develop waste-saving
3M, eight internal cross-functional
For more examples, see our feature opportunities for our customers.
circular economy working groups
story, “Collaborating for a circular Examples include metal-free
have been formed in different areas,
economy.” Filtrete™ Basic and Clean Living Air
including polymers, chemicals,
Filters; abrasives that cut faster and
packaging, cloths/fibers, and other
last longer, increasing efficiency
key materials.
with less waste; and aircraft paint
preparation that reduces paint and
solvent usage.
154 How we work Circular materials 3M 2020 Sustainability Report #improvinglives 155
The Recycling Partnership Minnesota Multifamily Recycling For Phase 2 of this work, the Closed Loop Water conservation and Packaging in our
Foundation and its sister organizations quality in our communities communities
The Recycling Partnership wants to The Recycling Partnership, with require external support to lead specific
build the bridge to circularity by support from 3M and the Washington/
3M granted a total of
$250k
project workstreams. The Foundation The Nature Conservancy (TNC) Sustainable Packaging Coalition®
“putting the new plastics economy Ramsey County Recycling and Energy requested and was granted $50,000
into practice in the United States.” Control Board, will engage with select from 3M to bring on one NGO advisor 3M granted a total of $250,000 in The Sustainable Packaging Coalition
One of the keys to making the circular multifamily properties and residents who will serve as a key thought leader on 2019 to TNC for projects that TNC (SPC) is a membership-based
economy work is curbside recycling — in Ramsey and Washington counties the project and assess the environmental has implemented to improve river collaborative led by an independent
and although it might feel like access in Minnesota to improve recycling impacts and tradeoffs of the chemical systems health in California, Alabama nonprofit organization that believes
to recycling is everywhere, only half collection. Results from the work will recycling technologies under evaluation. and the Mississippi River Basin through in the power of industry to make to The Nature
of all U.S. households have access to it
at home. As a result, only about half of
be used to create best practices for
waste management, collection, and
efforts such as development of natural
infrastructure to absorb and filter rain
packaging more sustainable. 3M’s
commitment to the SPC mission
Conservancy
all recyclable materials are captured.1 hauling organizations that can be and urban runoff, tree planting, and includes representation on the for projects TNC
That reality inspired 3M, along with
40 other major U.S. brands, to become
replicated in other cities and states. restoration efforts. executive committee. The executive
committee provides perspective and
has implemented
a supporting member of The Recycling Closed Loop Partners expertise on industry trends, acts to improve river
Partnership, a national nonprofit
organization that is working to bring
3M initiated our partnership with
as ambassadors for the SPC, and
provides strategic guidance on issues
systems health.
Closed Loop Partners in 2014 through
curbside recycling to towns across related to SPC goals and activities.
a $5 million commitment to invest in
America. Since 2015, The Recycling
the collaborative social impact fund
Partnership has leveraged more
that gives cities access to the capital
than $55 million in funding for new
needed to build comprehensive
infrastructure, impacted 60 million
recycling programs and to build
households, and
access to recycled materials for
provided use in packaging.
600k
curbside recycling carts to
In 2019, 3M also sponsored Closed
Loop Partners’ Accelerate Circular
Supply Chain Initiative. The overarching
goal of this initiative is to evaluate
and scale technologies that can
more than 1,300 communities. meaningfully shift plastics supply
With support from 3M and 40 other chains toward more circular material
major U.S. brands, The Recycling flows. In 2018, Phase 1 of the initiative
Partnership is also partnering with the launched, defining the scope and
Sustainable Packaging Coalition® on landscape of technologies that could
ASTRX: Applying Systems Thinking to transform post-consumer plastics
Recycling, an initiative to build a stronger into building blocks for new materials
recycling industry through product and and countless end uses. The results
packaging design that reflects the ideals indicate that there is a role for these
of the circular economy. technologies, but significant challenges
remain before these solutions can
become commercially viable.
The Recycling Partnership https://
1
recyclingpartnership.org/circularity/
156 How we work Circular materials 3M 2020 Sustainability Report #improvinglives 157
ng
i rd
k
o wa
Advocacy
Waste reduction in One 3M Impact project was with
o
L or
f
ANCON — an environmental
Collaboration has many forms, and our communities
Collaboration one of the forms is advocacy. Our
non-governmental organization in
Panama. Waste management is in
3M Impact
has many forms, packaging team is committed to
sharing its knowledge with the external
its early stages in Panama. ANCON
recently began implementing a
3M Impact is a skills-based service
and one of the community to create a collaborative
network that will accelerate packaging program where employees lend project called “Integrated Waste We will continue applying our scientific
expertise to improve the lives of our
Management Project for the Taboga
forms is advocacy. circularity. This is demonstrated by their business skills, experience, and
energy to make a difference in global Island.” The essential objective of the employees, our customers, and everyone
engaging and participating in industry assignment is to design a roadmap on the planet. Our Strategic Sustainability
panels as well as guest lectures at communities, while also developing
for a waste management system on Framework directs our efforts to areas
universities and colleges. leadership, problem-solving, and
Taboga Island. The island did not where we can make the biggest impact.
interpersonal communication skills.
have a strong environmental focus
Within the Science for Circular pillar
but recent investments from Taboga’s
of this framework, we will continue to
government in tourism have made
focus on initiatives that will create a more
them more aware of the need to
circular economy, driving solutions in
participate in ANCON’s project to
our operations, in our products, and in
keep the island clean for tourists.
communities around the world.
Tourists that visit the island are
mainly backpackers or Panamanians In our operations, 3M will continue
with limited resources who spend to mitigate waste to landfill through
the day on the island and consume reduction, reuse, and recycling of our
large numbers of plastic bottles surplus materials; actively manage and
and aluminum cans. If this project work toward reducing our water usage;
is successfully managed, it will help and work with suppliers to reduce or
Taboga become a more sustainable reuse surplus materials from packaging
tourist destination, supporting one of our raw materials.
of the few economic activities of
the island. It will also help prevent For our customers, we will develop and
inhabitants from having to migrate launch products to help them reach their
to Panama City, as well as set a Sustainability goals by increasing our
standard to be replicated in similar use of recycled raw materials; creating
areas of Panama. reusable, renewable, and/or recyclable
products and packaging; and we will
To learn more about 3M Impact, reduce both their water usage and
see the Communities section. waste through the use of our products.
We will also be updating our packaging
Sustainability roadmap to include a
continued focus on plastics.
158 How we work Circular materials 3M 2020 Sustainability Report #improvinglives 159
Climate
and energy Public policy
engagement
3M is in alignment with the Task
• Include provisions that promote
the efficient allocation of emissions
reductions and assure all sectors
contribute to reduction targets,
Science-based innovation
with the effect of allowing fair
Force on Climate-related Financial
competition and avoiding market
Disclosures’ (TCFD) recommendations
distortions within industrial sectors
for helping businesses disclose climate-
for decarbonization.
or across national boundaries
related financial information. We
understand the need for increased 3M is actively engaged in public
focus and transparency of financial policy development to address
risks related to climate change. Our climate change concerns. In addition,
climate risk process, as described we’ve been involved with the
Our Executive-level
commitment
For this reason, we are incorporating
the findings of the Special Report on
in the proceeding section, includes
disclosures recommended by TCFD.
Intergovernmental Panel on Climate
Change (IPCC) since 2005.
commitment
Global Warming of 1.5°C, published
by the Intergovernmental Panel on
We are committed to innovate to
decarbonize industry, accelerate Climate Change (IPCC), in setting
3M endorses voluntary approaches Risk-mitigation planning
to GHG emissions management. Any
Through the years, 3M has led industry climate solutions and improve our goals and actions.1 This report, mandatory GHG emission reductions Severe weather and long-term
in addressing both the challenges our environmental footprint. This prepared by 91 authors from 40 should be developed through trends could affect 3M’s operations
and opportunities presented by climate commitment is part of the Science countries and based on over 6,000 international negotiations and follow and supply chain. To address these
change and energy conservation. for Climate pillar of our Strategic scientific references, finds that limiting these policy principles: and other risks, 3M maintains a
Sustainability Framework. In 2019, global warming to 1.5°C (2.7°F) above formal Enterprise Risk Management
Our proactive leadership is best defined 3M CEO Mike Roman announced pre-industrial temperatures would • Apply broadly to countries or groups of
Analysis to review enterprise-level
by five areas of action: a new commitment to renewable require “deep emissions reductions” and countries and GHG emission sources
risk. Additionally, 3M has a Business
electricity by joining RE100. “rapid, far-reaching and unprecedented • Be guided by science-based Continuity and Planning Process as
• Executive-level commitment to these
changes in all aspects of society.” decision-making well as a Crisis Management Program
important topics and our related
As a science-based company, 3M Achieving this goal also would “reduce
principles, commitments, and risk- • Utilize a consistent, market-based to coordinate the efforts of local crisis
uses the World Resources Institute challenging impacts on ecosystems,
mitigation planning efforts approach management teams maintained at each
(WRI)/World Business Council for human health and well-being.” 3M site and international subsidiary.
• Industry-leading efforts to measure Sustainable Development (WBCSD) • Encourage investment and protect
and reduce our own greenhouse gas GHG Protocol Corporate Accounting intellectual property to facilitate Corporate and local plans consider
(GHG) emissions and Reporting Standard to set GHG Special Report on Global Warming of
1
technology breakthroughs the risk of natural disasters, infectious
1.5ºC (Report). Incheon, South Korea:
• Extensive public policy engagement emission reduction targets. disease, employee safety, protection
Intergovernmental Panel on Climate • Include provisions for carbon
on both climate change and energy Change (IPCC). 7 October 2018.
emissions trading and/or alternative of assets, customer service, and other
conservation investment and compliance programs business continuity requirements. See
3M’s Annual Report on Form 10-K,
• A decades-long track record of • Provide full credit for early reductions Item 1A for risk factors applicable to
improving energy efficiency at in GHG emissions the company. Additional details on our
our sites
• Serving our customers through
Through the years, 3M has led industry • Balance multiple country-level climate risk process can be found in
the following table:
a wide range of innovative in addressing both challenges priorities, including energy reliability
and independence, national security,
products that help them improve
energy efficiency and reduce their and opportunities presented by climate and economic growth and employment
160 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 161
Climate risk process Climate risk process
Governance The highest level of climate risk governance is the responsibility of the 3M Science, Technology & Identification Managing risk requires integrating a multidisciplinary, company-wide risk identification, assessment,
Sustainability Committee of the Board of Directors, formed in 2019 as one of four committees of the and assessment and management process. The Vice President and General Auditor, Corporate Auditing, whose
Board of Directors. The committee will oversee the twin demands of developing products to meet appointment and performance is reviewed and evaluated by the Audit Committee, is responsible for
the ever-changing needs of our customers while doing so in an environmentally responsible way. leading the formal risk assessment and management process within the company.
One of the committee’s roles and responsibilities is to review the company’s policies and programs
on Sustainability, identifying and analyzing significant Sustainability, materials vulnerability, and Climate-related risk is also assessed as part of our analysis of physical risk to our manufacturing
geopolitical issues that may impact our overall business strategy, global business continuity, and sites. For example, our analysis of physical risk to our manufacturing sites from sea level rise is based
financial results. on modeling for 1.5o, 2o, and 4oC temperature increases. Based on our analysis of physical risks to
individual 3M manufacturing sites, none are deemed to create overall enterprise risk due in part to
Specific to enterprise risk, the 3M Audit Committee of the Board of Directors has responsibility the diversity of 3M’s global capabilities and our robust business continuity plan.
to discuss policies and procedures with respect to risk assessment and risk management, the
company’s major risk exposures, and the steps management has taken to monitor and mitigate Frequency 3M continually evaluates aspects of risk. The General Auditor, consulting with the company’s senior
such exposures. For the purposes of discussing climate-related risks, “substantive financial impact” of monitoring management, annually assesses the major risks facing the company and works with those executives
means an event or circumstance that would individually or in the aggregate have a material adverse responsible for managing each specific risk. The General Auditor periodically reviews with the Audit
effect on the consolidated financial condition or operations of 3M and its subsidiaries and affiliates Committee the major risks facing the company and the steps management has taken to monitor and
taken as a whole. mitigate those risks. The Audit Committee meets not less than four times a year.
Integration into 3M operates in more than 70 countries and derives approximately 60% of its revenues from outside 3M will assess climate-related risks as a part of our analysis of physical risk to our manufacturing
enterprise risk the United States. Our company results are impacted by the effects of, and changes in, worldwide as climate modeling advances and as acquisitions or divestitures require. 3M’s business continuity
economic, political, regulatory, capital markets, and other external conditions. planning process and our Corporate Crisis Management Program review help manage risks facing
the Company’s physical operations and supply chains. Programs are reviewed at least annually.
In addition, natural occurrences and human activities are increasingly releasing greenhouse gases In addition, the 3M Science, Technology & Sustainability Committee of the Board of Directors will
into the atmosphere, contributing to changes in the earth’s climate. Climate change, as well as meet not less than three times a year.
related environmental and social regulations, may negatively impact 3M or its customers and
suppliers, in terms of availability and cost of natural resources, sources and supply of energy, In addition to our Board of Directors’ Committees, climate risk is reviewed throughout the year within
product demand and manufacturing, and the health and well-being of individuals and communities our executive-level Innovation Steering Committee and our Science for Climate Leadership Team.
in which we operate.
Risk factors Regulatory 3M continually evaluates aspects of regulatory risk during regular business
Additional details on our enterprise risk assessments can be found in the Enterprise risk section of through new product development and continuous business improvement.
this report and in our Annual Report on Form 10-K, Item 1A. 3M’s operations are affected by national, state, and local laws around the
world. 3M has made, and plans to continue making, necessary expenditures
Timeframes Short-term, 0-1 years Medium-term, 1-5 years Long-term, 5+ years for compliance with applicable laws. 3M is also involved in remediation actions
relating to environmental matters from past operations at certain sites.
Board oversight 3M’s Science, Technology & Sustainability Committee of the Board of Directors assesses and
advances strategic growth areas, long-term investments, and inspired innovation opportunities. Technology 3M’s four business groups bring together common or related 3M technologies,
enhancing the development of innovative products and services and providing
The 3M Audit Committee of the Board of Directors discusses policies and procedures with respect for efficient sharing of business resources. We have operations in over
to risk assessment and risk management, the company’s major risk exposures, and the steps 70 countries, bringing together a combination of our 51 unique Technology
management has taken to monitor and mitigate such exposures. Platforms to produce over 55,000 products in nearly every country. Any risks
from technology would be identified and mitigated through our New Technology
Frequency on As of November 2019, 3M’s Science, Technology & Sustainability Committee of the Board of Introduction (NTI) process, New Product Introduction (NPI) process, and
Board’s agenda Directors will meet with the frequency, and at intervals, it determines necessary to carry out its continuous improvement program.
duties and responsibilities, but in any case, not less than three times a year.
This product diversity enables 3M to identify unique solutions to help solve
The Audit Committee will meet with the frequency, and at intervals, it determines necessary to our customers’ challenges. In 2019, 3M invested $1.91 billion in research
carry out its duties and responsibilities, but in any case, not less than four times a year. and development to build upon our existing technologies to find innovative
solutions to our customers’ challenges. This unique combination of diversity
Corporate In addition to the members of 3M’s Science, Technology & Sustainability Committee of the and investment enables 3M to remain on the cutting edge of science while
officer’s oversight Board of Directors, the 3M CEO has the highest level of direct responsibility for assessing and supporting our customers’ future needs as the climate changes. In 2019, we
managing climate-related issues. The CEO will carry on the company’s history of proactive introduced the requirement for each product entering our NPI process to
leadership in addressing both the challenges and the opportunities presented by climate change have a Sustainability Value Commitment demonstrating how it drives impact
and energy conservation. for the greater good.
162 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 163
Climate risk process Climate risk process
Risk factors (cont.) Legal The company’s future results may be affected by various legal and regulatory Financial risks At 3M, we continually evaluate our approach to opportunity and risk. We believe the whole concept
proceedings and legal compliance risks, including those involving product of risk appetite and tolerance is an essential component of strategic planning. This includes broad
liability, antitrust, intellectual property, environmental, the U.S. Foreign Corrupt risk oversight by the Board and its committees, with committee-level risk analyses reported to
Practices Act and other anti-bribery and anti-corruption laws, and other matters. the full Board and executive-level internal General Auditor and Chief Ethics & Compliance Officer
The outcome of these legal proceedings is often difficult to reliably predict. For appointed by and reporting directly to the Audit Committee.
a more detailed review of this topic, see the discussion in Note 16 “Commitments
and Contingencies” within the Notes to Consolidated Financial Statements in the 3M has operations in over 70 countries, with regionalized supply chains that enable more localized
company’s Annual Report on Form 10-K. and diversified production of our products. This helps reduce our risk from local climate impacts
on our operations. 3M’s four business groups bring together common or related 3M technologies,
Market Results are impacted by the effects of, and changes in, worldwide economic, enhancing the development of innovative products and services and providing for efficient sharing
political, and capital markets conditions. 3M operates in more than 70 countries of business resources. Our operations bring together a combination of our 51 unique Technology
and derives approximately 60% of its revenues from outside the United States. Platforms to produce over 55,000 products, which are sold in nearly every country.
The company’s business is subject to global competition and geopolitical risks
We believe this governance of risks by Board committees, who share information with the full Board,
and may be adversely affected by factors that are beyond our control, such as
is appropriate for a diversified technology and manufacturing company like 3M. 3M’s Annual Report
slower economic growth, disruptions in financial markets, economic downturns,
on Form 10-K, Item 1A outlines risk factors applicable to the company.
inflation, elevated unemployment levels, sluggish or uneven recovery,
government deficit reduction, natural disasters, and other factors in specific
Financial Financial opportunities include products and services, and resource efficiency. Access to
countries or regions, or in the various industries in which 3M operates.
opportunities dependable energy supplies and energy efficiency directly affects all businesses and communities.
Energy usage and climate concerns require systemic change. 3M is a diversified technology
Reputation Around the world, customers rely on 3M to provide innovative solutions to
company providing innovative solutions to address these and other physical climate opportunities.
advance companies, enhance homes, and improve lives. We are defined by more
than just what we make — we are defined by how we do business: the 3M Way,
Metrics We have established key Sustainability metrics to measure and manage climate risk that go beyond
always striving to make the right choices for our company and our customers and
compliance to thinking holistically about our operations and products. We report on historical
protecting our reputation in all we do.
periods to allow for trend analysis with a clear description of the methodologies we use to calculate
or estimate limitations and assumptions.
Physical (acute Every year, local crisis management teams at every 3M site and international
and chronic) subsidiary must review and update their Business Resilience Plan to reflect
Principles Science for Climate goals
current conditions. They also perform a tabletop or actual crisis response
exercise. 3M Corporate Auditing and Corporate Security monitor site
compliance with the Corporate Crisis Management Program. For more Relevance Clearly define boundaries
information, see the Enterprise risk section.
Completeness Strive to calculate and report data coverage to 99% of inventory for Scope 1 and
Upstream 3M depends on various components, compounds, raw materials, and energy Scope 2 GHG emissions. We will continue to develop and support advances in
(including oil and natural gas and their derivatives) supplied by others for the Scope 3 calculation methodology
manufacturing of its products. It is possible that any of its supplier relationships
could be interrupted due to natural and other disasters and other events or Consistency Base our data on approved methodology
be terminated in the future. Risks from upstream suppliers are identified at
the product level through the New Product Introduction (NPI) and continuous Accuracy Develop corporate systems and auditing procedures
improvement processes at 3M. An on-site assessment may be conducted by
3M or a third party, and any deficiencies are ultimately corrected through an Transparency Report on emissions and activities in a way that is relevant to stakeholders
SRC Corrective Action Preventive Action (CAPA) process.
Downstream Risks from downstream product use are identified at the product level through
the life cycle management (LCM) process at 3M, which evaluates the planned
use and disposal of 3M products and identifies hazards and risks associated with
the use and disposal of 3M products. Mitigation of these risks is highly diverse
and product-specific.
164 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 165
or or or Joining RE100 with Clean Air Asia According to the World Health
f f f
ce
Organization (WHO), air pollution
nce n nce a commitment to In 2019, during Climate Week and causes seven million premature deaths
ie ate ie e ie ate 100% renewable
Sc imat
each year. The health impact of poor
c
S im c
S im energy by 2050
the United Nations Climate Action
Summit, we announced a new air quality is particularly notable in the
or
Energy Management Team, with
f By improving energy efficiency and
ce
oversight by 3M’s Corporate Energy
processes, reformulating products,
Leader and Engineering Director, and
n
ie e switching to renewable electricity, and
Sc imat
active support from the CEO.
prioritizing opportunities, 3M has been
Cl
3M has taken a broad approach to able to achieve industry-leading GHG
managing our energy footprint, which emission reductions. Other companies
includes evaluating the impact of our are setting goals to move closer to the
products, manufacturing processes, achievements we have already realized.
equipment, and sites as well as
by reducing the energy footprint
Goal: Help our customers
of our existing manufacturing and
administrative sites. In addition, we reduce their GHGs by
actively share information about 250 million tons of CO2
our energy management program equivalent emissions
with external stakeholders, such through the use of 3M
as suppliers, customers, and other
interested organizations.
products by 2025.
While 3M has made significant GHG
emission reductions across our global
operations, we realize we can make far
greater contributions by helping our
customers reduce their GHG emissions
through the use of our products.
166 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 167
Our actions A focus on energy
from naturally
Our renewable efforts don’t stop at our
headquarters in St. Paul, Minnesota.
Our sites actively seek alternative
ISO 50001 and
SEP™ certification
Energy management, replenishable sources energy sources, including active
The internationally recognized ISO
combined heat and power, solar, wind,
inside and out In early 2019, 3M transitioned to and other projects, such as utilized
50001 standard and the DOE’s
100%
Superior Energy Performance (SEP™)
3M reviews its Strategic Energy excess steam. For example, in 2019,
certification program help 3M sites
Management Plan annually to prioritize the 3M IMPD site in California installed
become attuned to recognizing and
programs and meet global goals. The a new solar farm that provides 20%
seizing opportunities to increase
plan uses input from stakeholders, of the site’s total electricity, and 3M
energy efficiency in site operations
Canada’s headquarters in London,
including manufacturing directors, site renewable electricity Ontario, installed a 10-kilowatt solar
and move from delivering energy
managers, operations employees, and at our headquarters projects in a loosely organized fashion
executive management. Goals of the panel system on their rooftop. Read
in St. Paul, Minnesota, to a structured system of management.
plan include continuously improving more about 3M’s commitment to
By integrating the systemic ISO-based
results, leveraging engineering which helped raise our total global RE100 in our feature story, “Flipping
framework of “plan-do-check-act” for
expertise and advances, driving renewable electricity usage to over 30% the switch on renewable energy.”
the management of energy in on-site
site-level efficiency improvements, for the year. 3M became the largest operations, our sites have seen savings
While 3M takes actions to help convert
maintaining top management support, company in Xcel Energy, Inc.’s service in energy costs and consumption,
its operations to renewable electricity
and protecting 3M’s reputation. area across eight Western and Midwestern expansion of employee engagement,
sources, the company continues to
states to make a comparable achievement. and increased visibility to the tracking
Public speaking engagements and support the global renewable energy
3M’s headquarters is a 409-acre campus of site energy performance. 3M has
partnerships are integral elements of sector by producing solutions for
with about 12,000 employees across been busy increasing its ISO 50001
the plan. In 2019, 3M experts spoke at customers that help improve the
30 buildings and research labs. and SEP-certified profile, with 31
several energy industry conferences, reliability and efficiency of renewable
electricity, including solar and wind. sites certified globally and 10 working
including the Association of Energy In 2018, 3M’s 2025 goal of 25%
toward certification under these
Engineers (AEE), the U.S. Department renewable electricity was surpassed,
two programs.
of Energy (DOE), Industrial Energy and starting in 2019, a new interim
Technology Conference (IETC), goal of 50% was set.
National Association for EHS &
Sustainability Management (NAEM),
World Energy Engineering Congress
(WEEC), Western Electricity Global energy use Indexed global energy use
Coordinating Council (WECC), and the MMBtu MMBtu per MM $USD net sales
Better Buildings Summit. We are also 30,000,000 1,400
one of 30 businesses and organizations
that have formed the Minnesota 1,200
Sustainable Growth Coalition — which
has formulated a clean energy vision 1,000
for Minnesota. 20,000,000
800
In 2019, 3M introduced the safe
and sustainable centrally coordinated
investment fund to mitigate risk 600
and facilitate energy efficiency via 10,000,000
168 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 169
Identifying ways 2019 Site Energy Award • The 3M Singapore Tuas site won Although it is not possible to put Every year, 3M calculates our GHG GHG emission reductions are achieved
the Best Practices (Honorable 3M’s GHG inventory methodology inventory according to approved through a variety of methods: improving
to save energy At the conclusion of each year, the Mention) in the prestigious Energy on the lab’s scope of accreditation, internal procedures that are updated process and equipment efficiency,
Corporate Energy Management Efficiency National Partnership (EENP) our calculation methodology has as needed to agree with current upgrading equipment, reducing our
Throughout the year, employees
Team recognizes the top sites in our Award 2019 for their outstanding been improved by incorporating calculation methodologies. However, demand for energy use, increasing
conducted energy walk-throughs, held
program for their results in achieving commitment and achievements in several quality system elements from whenever a methodology change our use of renewable electricity, and
energy Treasure Hunts, collaborated
energy metrics. To qualify, these sites energy savings the ANSI/ISO/IEC 17025 Standard, is implemented, 3M will, wherever implementing and maintaining pollution
with the Corporate team or external
must demonstrate an active culture including: possible, recalculate prior year’s control technologies. These methods,
partners, and integrated employee
ideas at sites to find conservation of energy management practices on Direct (Scope 1) and • Defined responsibilities and
GHG inventories to assure that past and more, are integral to the company’s
and current-year GHG inventories overall success and assist us with the
opportunities. Globally, 3M sites site, as evidenced by their delivered
project savings, their energy team
indirect (Scope 2) interrelationships of all key staff are comparable. Where this is not challenge of helping to address global
identified approximately $7.6 million
in opportunities over the next year and assessment score, and the resulting greenhouse gas emissions • Documentation of key personnel possible, 3M will either call this climate change concerns.
improved efficiency in energy intensity qualifications out or assure that the difference is
delivered $11.8 million in energy savings Since 2002, 3M has
on-site. Nine platinum awards, four not material. These quality system
in 2019. Building, maintaining, and • Control over quality system
executing our energy project hoppers gold awards, and seven silver awards reduced Scope 1 documents and procedures
elements and procedures, coupled
with a robust internal and third-party
continues to be a priority at 3M. were presented to sites with the most
GHG emissions by • Control of records review of our emissions, help assure
75.9%
impressive results.
that 3M’s GHG inventory is aligned
Energy Excellence • Corrective and preventive
2019 Energy Recognition action system with the core principles of relevance,
Awards • Internal audit program
completeness, consistency, accuracy,
• 3M received the Award of Excellence and transparency.
The Energy Excellence Awards in Energy Management, and • Documented and approved
providing a direct and immediate
honor individuals and teams that 3M Canada received the Energy calculation procedures
reduction of our carbon emissions.
incorporate the goals of the Corporate Management Insight Award from the During this same timeframe, we have
Energy Program in engineering Clean Energy Ministerial achieved a 68.1% reduction in absolute
projects. The nominated projects
and individuals actively demonstrate
• 3M received the 2019 Corporate Scope 1 and 2 location-based GHG Greenhouse gas emissions, Indexed greenhouse gas emissions,
their commitment to include energy
Energy Management Award from the emissions. Scope 1 and Scope 2 Scope 1 and Scope 2
Association of Energy Engineers® Million metric tons CO2 equivalents, absolute Million metric tons CO2 equivalents per MM $USD net sales
efficiency in the design of projects, Since 2002, the 3M EHS Laboratory
in equipment selection, or in the use of • 3M Energy Engineer Prasath has calculated 3M’s GHG inventory in 20 1200
alternative energy supplies. The award Vinayagamoorthy was selected to accordance with the World Resources
receive the Association of Energy 18
is one of global recognition within Institute (WRI) / World Business
Engineers® Canada Region Energy 1000
the 3M engineering community. In Council for Sustainable Development 16
2019, out of a total of 29 projects, four Engineer of the Year Award for (WBCSD) GHG Protocol Corporate
2019 in recognition of outstanding 14
awards were given to individuals from Accounting and Reporting Standard. 800
3M Tuas, Singapore; 3M Alexandria, work in energy The 3M EHS Laboratory maintains an 12
United States; 3M Woodlands, • 3M Corporate Energy Manager accreditation to ANSI/ISO/IEC 17025 10 600
Singapore; and 3M Naju, Korea. Andrew Hejnar was honored to through A2LA — a signatory to the
become a fellow member of the International Laboratory Accreditation 8
Association of Energy Engineers® Cooperation Mutual Recognition 6
400
in recognition for making significant Arrangement (ILAC MRA).
contributions to the energy 4
200
management and alternative 2
energy industry
0 0
2002 2015 2016 2017 2018 2019 2002 2015 2016 2017 2018 2019
For methodology, please refer to the About report section: base year For methodology, please refer to the About report section: base year
and other adjustments, and greenhouse gas metric table. and other adjustments, and greenhouse gas metric table.
170 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 171
GHG emissions Evaluating customer In some cases, there is no equivalent Since 2015, this has resulted in an
to the 3M product. In these cases, the avoidance of over
attributable to GHG emissions
58
baseline scenario is the absence of
our suppliers and reductions the 3M product entirely. The result
is a comparison that conservatively
customers (Scope 3) To track progress toward our 2025
GHG customer goal, 3M has a process
estimates the potential impact of the
3M product.
million
3M has been developing our
Scope 3 GHG emissions inventory in place to develop reasonable
Due to the estimated nature of the
metric tons of CO2
estimates for avoided emissions
since publication of the WRI/WBCSD
GHG Protocol Corporate Value Chain associated with use of select 3M data used, the uncertainty for these equivalent emissions
products. This estimation procedure studies is plus or minus 50%, which
(Scope 3) Accounting and Reporting through use of select 3M product
is based on the ISO 14064-2 standard approximates data of fair to good
Standard in September 2011. We platforms. This avoidance represents
for determining GHG emissions quality as defined in the WRI/WBCSD
place a high value on decision-making only a portion of our product portfolio.
reductions. It provides a framework Product Life Cycle Accounting and
based on sound science. When the Various films and food safety products
for the estimation of emissions from Reporting Standard Quantitative
complexity of the supply chain does are examples of the select products
the 3M product scenario (referred Inventory Uncertainty Guide.
not allow for direct calculation, included in this evaluation. In the
an input/output model calculation to as the “project scenario”) in relation
According to our calculations, future, the list will likely expand as a
method is used. to a baseline scenario.
in 2019 alone, result of the new Sustainability Value
Commitment.
Due to our diverse manufacturing We start by defining the boundary of our customers avoided
operation, 3M was not required to the 3M product scenario as extraction emitting nearly
17
calculate Scope 3 categories 9–12. from nature through the end of the Air quality management
The methodology did not exist. However, product use phase (product end-of-life
or disposal is included where reliable An important component of 3M’s
we were determined to understand
our complete Scope 3 profile. In 2019, information is available). The GHG
emissions for this scenario are then
million Sustainability strategy is our
commitment to improving air
we developed methodologies around
Scope 3, categories 9 (downstream estimated using high-level estimates metric tons quality globally.
transportation and distribution), 10 and average data. For example,
manufacturing emissions may be
CO2 equivalents As a company that uses many
(processing of sold products), 11 (use solvent-based materials, 3M
of sold products), and 12 (end-of-life determined based on the average
through use of select 3M product inherently releases volatile organic
treatment of sold products). Due energy use per pound of all products
platforms as calculated in accordance compounds (VOCs) from many of our
to the new extensive calculations, produced at a manufacturing site,
with ISO 14064-2 and 3M developed manufacturing processes. Because
quality assurance processes are being rather than by determining the
procedures. of this, many of our sites require
developed in 2020. From these efforts, emissions through detailed calculations
using product-specific information. permits with rigorous VOC tracking
we can better understand opportunities requirements. Even where tracking
to reduce our downstream GHG is not required from a regulatory
The same boundary is then used for
emissions and to consider the perspective, 3M voluntarily tracks
We place a high
the estimation of GHG emissions for
establishment of new goals. Calculating VOC usage and emissions from
the baseline scenario. Because the
Scope 3 categories 9-12 is a challenging
task and will complete our map of Scope
data sources may be different than
the 3M product scenario, we apply
value on decision- major sources of emissions in order
to identify further opportunities
3 relevant categories. Our 55,000-plus
products are heavily diversified across
conservative assumptions as needed,
where conservative is defined as a
making based on for reduction. 3M has developed
internal programs to minimize its
a large variety of use cases. We look
forward to reporting these values in the
choice that results in the minimum sound science. VOC emissions. We track and report
GHG emissions for the baseline emissions based on raw material
2021 Sustainability Report. usage, engineering estimates, and
scenario. For example, if emissions
data is not available for the production stack test data.
For more information, see our feature
story, “Taking inventory of greenhouse of a material included in the baseline
gas emissions.” scenario, we assume the emissions
for this material to be zero.
172 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 173
ng
i rd
k
o wa
For many 3M manufacturing Implementing Ozone depleting 3M has set forth requirements in
o
L or
f
processes, nitrogen oxides (NOx), order to provide a framework for
sulfur dioxide (SO2), carbon monoxide and maintaining substances how 3M operations are to manage
(CO), hazardous air pollutants (HAPs), pollution control The Montreal Protocol is the first
their refrigeration appliances
persistent organic pollutants (POPs), containing ODS in the context of
3M has made significant progress in worldwide agreement designed
and particulate matter (PM) are applicable international protocols,
reducing air emissions — at the source to protect human health and the We believe that climate change is one
emitted as products of combustion. local regulations, and current and
and by improving process efficiencies. environment against the adverse of the greatest challenges we face as
These pollutants, which are listed future economic impacts. These
Where emissions cannot be reduced effects of the depletion of the a society and now is the time to lead
on many environmental permits for requirements include conformance to
within the process, 3M installs stratospheric ozone layer. The and take action — for our climate
specific site operations, are tracked the Montreal Protocol when applicable.
and maintains air emission control agreement identifies the list of and our communities. Our Strategic
and reported externally, where
equipment as required by federal, state, ozone depleting substances (ODS) Sustainability Framework directs our
required by federal, state, or local
and local regulations. We evaluate that are targeted for control efforts to areas where we can make
regulations for individual sites. 3M
all equipment options, select those practices, reductions, or total the biggest impact.
internally tracks all fuel usage and
calculates the combustion emission that are the most environmentally phaseouts and provides a phaseout
schedule. In addition, some countries
Global volatile organic compound Within the Science for Climate pillar of
rates using accepted emission factors. effective and cost-efficient, and strive
have established regulations (VOC) emissions this framework, we will continue to focus
to properly operate emission control
regarding the management of Metric tons per MM $USD net sales on innovating to decarbonize industry,
Main VOC by source type equipment. Technologies include
thermal oxidization, solvent recovery, refrigeration appliances. 0.35 accelerating global climate solutions,
• 3M’s VOC emissions are primarily and improving our environmental
carbon adsorption, biofiltration,
attributed to coating lines footprint. We’ll continue to drive climate
electrostatic precipitators, baghouses, 0.30
• Reactors and mixing are also scrubbers, and cyclones. solutions in our operations, in our
significant sources of VOC emissions 0.25
products, and in communities around
the world.
VOC by sites
0.20
In our operations, we will continue
• 90% of our sites emit less than 100
to advance toward 100% renewable
tons per year VOC 0.15 electricity at all global sites. Specifically,
• 34% of our sites emit less than 1 ton we will continue to evaluate what will
per year VOC 0.10 improve additional aspects of energy
efficiency, what organizations can help
0.05 us move to a total renewable electricity
portfolio, and what partnerships with
0.00 utility companies can help us reach our
An important 2005 2010 2015 2016 2017 2018 2019 ultimate destination.
174 How we work Climate and energy 3M 2020 Sustainability Report #improvinglives 175
Suppliers
Our supply chain is an extension of The SRC establishes 3M’s expectations This committee reviews company This assures appropriate resolution and
Our Strong policies aligned supplier programs and practices, as determined with a cross-functional
• Environment, health, and safety
(EHS): We expect our suppliers to well as those of their subcontractors
and supply chain business team to elevate and resolve
with our values transparency
commitment
care as much about the health and supplying products and/or services, the situation.
safety of their workers and their conform to standards consistent with
The SRC outlines 3M’s foundational the SRC. Our global supplier contract As stated in our supplier contracts, The SRC outlines supplier expectations
communities as 3M does and to
social and environmental expectations agreements have incorporated SRC in addition to full compliance with relating to grievance mechanisms.
Each step in the supply chain includes implement proper procedures and
in the following areas: expectations. all applicable environmental laws, Anyone who has a concern involving
benefits (like employment and controls to protect them as well as
we expect our suppliers to integrate 3M can use the 3MEthics.com site as
community-building) as well as the • Labor: Requirements align with the the environment in which we live
The SRC is currently environmental responsibility into their an alternative way to report a concern.
potential for negative impacts (such 3M Human Rights Policy and include • Ethics: Expectations align to the available in operations. Suppliers should work
15
as pollution or unsafe or unfair labor important concepts like freely chosen
practices). Our commitment, from top employment (no forced, bonded,
3M Code of Conduct and hold our
suppliers to the same high standards
to minimize adverse effects on the Additional expectations
community, environment, and natural
leadership down, is to maximize the or trafficked labor), restrictions on of honesty and integrity. Suppliers resources while safeguarding the
for higher-risk
positives and mitigate the potential
negatives by aligning our supplier
working age (no child labor), and
appropriate working hours and
must prohibit any form of bribery health and safety of workers and the value chains
and corruption and prevent conflicts
expectations with our own corporate wages. Setting these expectations of interest languages. public. Additional information can be
found at 3M Supplier Direct. In addition to the global SRC
values. We expect our suppliers to be helps assure our suppliers’ actions expectations for all suppliers, certain
transparent about their environmental will reflect 3M’s values on human • Management systems: We expect We expect our suppliers to establish and
Our general supplier performance areas warrant additional and specific
and social practices, provide rights as well as the values underlying our suppliers to establish processes implement their own relevant policies
verification process begins with a formal expectations to drive more
improvement ideas, and work with us the International Labour Organization to systematically conform to the 3M and programs in alignment with this SRC
self-assessment questionnaire (SAQ). sustainable, responsible practices.
to transform our shared value chain. (ILO) and laws, such as the California SRC as well as all legal requirements and to enforce these expectations with
The SAQ helps 3M understand This includes our use of certain
Transparency in Supply Chains Act, and to commit to continuous their own suppliers, thereby promoting
supplier programs and determine minerals with the potential to be
At 3M, we set a high bar for our the United Kingdom Modern Slavery improvement our high Sustainability standards up our
whether they conform to 3M sourced from conflict-affected and
company regarding environmental and Act 2015, and the U.S. Federal supply chains.
expectations. An on-site assessment high-risk areas, our use of timber-
social governance, and we expect the Acquisition Regulation (FAR) on
3M’s Vice President of Strategic may be conducted by 3M or a third based products and other plant
same from our suppliers. 3M follows forced labor and human trafficking.
Sourcing and Packaging Solutions party to assess the supplier’s level of materials (pulp and paper), and all
the Organization for Economic Co- To learn more about these topics, see
(SS&PS) is accountable for 3M’s conformance with 3M’s expectations. new suppliers in higher-risk countries,
operation and Development (OECD) the Human rights section
Responsible Sourcing program. If deficiencies are identified, they in areas such as Asia Pacific, Latin
Due Diligence framework for all of our
The leader of our global responsible will be addressed through an SRC America, or parts of the Europe,
responsible sourcing activities. The
sourcing activities reports to the Vice Corrective Action Preventive Action Middle East, and Africa regions.
3M Supplier Responsibility Code (SRC)
President of SS&PS. Executive leaders (CAPA) process. Follow-up on the See more on our risk identification in
is based on 3M’s corporate values for
including EHS, Ethics & Compliance, CAPA may include announced or Responding to risks and transforming
sustainable and responsible operations
and aligns with the 10 Principles of the
3M supply chain Due Diligence Management System Corporate Auditing, Strategic Sourcing, unannounced assessments. our supply chains.
United Nations Global Compact, of Values Transparency Transformation Verification Report Legal, Sustainability, and Human
If the assessment identifies gaps or
which 3M is a participant. The SRC Resources are provided program
findings, and if a supplier is not able
is also consistent with the Code of updates at least twice a year, and
or willing to resolve them, the CAPA
Conduct of the Responsible Business Strategic Sourcing leadership is
would escalate to a corporate Supplier
Alliance (RBA). updated quarterly on the program’s
Corrective Action Request (SCAR)
status. Both groups have the
Establish Identify and Design and Audit supply Report that would involve sourcing, area
Our Due Diligence Management opportunity to provide input on the
strong assess risks implement a chain due on supply manufacturing, and supply chain
System consists of the following various program activities. In 2019,
policies and in the supply strategy to diligence chain due- or business personnel engagement.
elements, which inform our continuous 3M formed the Science, Technology
management chain respond to diligence
improvement efforts. & Sustainability (STS) Committee of
systems identified risks activities
the Board of Directors.
26.7%
Today, we have policies Minority Supplier Development operations. By purchasing raw
3M is well-positioned to positively Council (NMSDC), Women’s Business materials and services from small and
in place that we are influence practices throughout the Enterprise National Council (WBENC), large companies all over the world, we
proud to hold ourselves forest products supply chain. We Metropolitan Economic Development participate in a global, complex supply
adopted our Pulp and Paper Sourcing Association (MEDA), Small Business chain. And it doesn’t stop there. Our
and our suppliers Policy in 2015 to set standards of Administration (SBA), and others. We of which suppliers have their own suppliers,
6.71%
accountable to, and this excellence for our suppliers through also have a supplier portal that allows extending back to the original source
all tiers of supply from the forest.
would not have been businesses to provide a portfolio of of each material we use.
Our Pulp and Paper Sourcing Policy their capabilities, which is distributed
possible without and guidance document is available to 3M’s sourcing organization.
the help of 3M.” in seven languages. Additional
information can be found on the
3M Sustainable Forestry website.
went to diverse
- Loparex
suppliers.
550
3M works with a broad, complex 55
supply chain, consisting of over 63,900 50
suppliers in over 270 subcategories in
109
45
assessments 40
35
which included the comprehensive
RBA framework and expanded from 30
the world. 20
to optimize and strengthen its risk as specified in our SRC. In the past nine
management processes. The criteria years, we have conducted over 6,900 0
2015 2016 2017 2018 2019
matrix helps rank global suppliers self-assessments or on-site audits
using multiple factors such as of suppliers in prioritized countries. In 2018, we updated our assessment progress and increased the scope
geographic, category, and business- Along the way, our assessment of each assessment
and centralization of data to support Based on Responsible Minerals suppliers with their upstream Traceable to paper mill 8%
management system, and we require Assurance Process (RMAP)
3M’s Responsible Minerals Sourcing supply chain
the same of their suppliers in order
program. Suppliers entering the portal Not yet engaged or 14%
to proliferate responsible sourcing • Suppliers adopting pulp and paper
are linked to training resources with traceable
practices throughout the supply chain. policies for the first time
access to topics and webinars such
In addition, 3M is an active member as “Smelter Validation in 2019: Hot • Suppliers enhancing existing policies to
of the Responsible Minerals Initiative Topics,” “The Evolving Regulatory meet the requirements of 3M’s policies
(RMI), which develops tools and Landscape: Top 10 Trends for • Supplier invitation to sourcing area
provides guidance for companies 2020,” and “Responsible Minerals for our pulp and paper products
regarding conflict minerals. Our Compliance: Leveraging the OECD to understand challenges around
membership in RMI and various Due Diligence Guidance.” responsible sourcing and to create
sub‑teams, such as the Smelter a path forward (see November 2019
Additional information can be found
Engagement Team (SET), Due Diligence 3M Pulp and Paper Sourcing Policy
in the 3M Conflict Minerals Securities
Practice Team, and Plenary Team, Progress Report for more information
and Exchange Commission filings
enable 3M to be involved in activities on this topic)
found on 3M Supplier Direct, Supplier
supporting RMI’s Code of Conduct
Requirements, Responsible Minerals. Through an online survey, 3M
and due-diligence practices. The
suppliers can provide complete supply
teams provide useful venues for 3M to
chain information all the way to the
offer their ideas and learn from other
forest sources, or they can easily
member companies as we all work
forward parts of the online survey to
together on this important journey of
their suppliers (paper or pulp mills, for
transforming our supply chains.
example) for completion.
14
review the information we obtain from Progress Reports, including: assessment. In addition to the self-
our supplier surveys and combine that assessment, we have created and
with geography and industry-specific • Training in Brazil: In April 2019, EF, implemented a Pulp and Paper
knowledge to conduct “desktop” risk 3M, and other EF members brought Sourcing Policy Scorecard, which
assessments of our supply chains. We together six major Brazilian forestry will allow 3M to evaluate a supplier
use these assessments to prioritize
further engagement and to learn
field assessments companies for an intensive training
course, “Free, Prior, and Informed
against all aspects of the 3M policy.
We began rolling out this scorecard
more about our suppliers’ responsible across all regions Consent (FPIC): From Theory to with prioritized suppliers in 2019,
sourcing and sustainable forestry Practice.” FPIC is a specific right completing evaluations of suppliers
covering more than that pertains to indigenous
practices. This deeper engagement in each region. The results of the
16 million hectares. peoples — it allows them to give or evaluation provide 3M further insight
could take the form of a series of web
conferences, in-person meetings, or withhold consent to a project that into each suppliers’ conformance status
Some of those assessments reviewed
field assessments at the mill and/ may affect them or their territories. while also highlighting opportunities
Tier 2 pulp mills and were also attended
or forest level. We do not limit this With a better understanding of the and areas to focus improvement. The
by a Tier 1 supplier. 3M’s participation
engagement to our direct suppliers. theory behind FPIC, as well as the goal is that the evaluation results create
in supplier field assessments with EF
In fact, as appropriate, we will work formal FPIC protocols, companies a path to work together to further
helps us to understand firsthand the
directly with indirect (Tier 2 and can greatly improve how they advance the Sustainability of the
challenges faced by pulp and paper
Tier 3) suppliers on policy conformance engage with communities to prevent global pulp and paper supply chain.
companies and forest managers around
verification work, with a goal of and/or resolve social conflicts
the world. This, in turn, enables us
involving our direct (Tier 1) supplier(s) in • Great Northern Boreal Forest: Through this partnership and
to participate actively in developing
these activities whenever possible. 3M and EF are committed to engagement with our suppliers, we
solutions and advancing conversations
working with suppliers to promote have seen many suppliers make
about responsible sourcing and
the protection of high conservation significant progress in their own
sustainable forestry.
values in the Great Northern programs, ranging from enhancing
Forest (the northernmost forests their own policy(s) and due diligence
of the globe) and the ability of the management systems to creating
forests to provide wildlife habitat, policies that did not previously exist.
26
effort to their forest management. Our our Sustainability Value Commitment
support will expedite family forest In 2021, the EU Conflict Minerals Regulation will
owner outreach and enable family take effect and will expect companies to take
forest owners to take action on their a wider view of their sourcing practices. 3M’s
land, providing measurable carbon Conflict Minerals program will expand to focus
benefits as well as important co- suppliers among explicitly on regions beyond the Democratic
benefits that improve wildlife habitat,
water quality, wildfire risk reduction, thousands Republic of the Congo. 3M’s SRC covers
foundational expectations for our suppliers by
and more. in its global supply base for world- taking a holistic approach to supply chain due
class performance in providing diligence in areas of labor, environmental health
products and/or services. and safety, ethics, and management. Members of
our European Government Affairs Team have been
Learn more about the Supplier of the closely aligned with industry and government to
Year Award. understand the scope, impacts, and timing of the
new European regulation. The team has proactively
assessed potential applicability, so 3M will be best
prepared to implement the new rule.
What
Our customers 192
we create
100%
our challenges.
and collaborative
culture, our people
apply their talent of new products
to combine our to obtain a
technologies across Sustainability Value
businesses, creating Commitment
unique solutions for to energy efficiency, to community-
wide approaches to water management
our customers and and to helping our customers reduce
society, all in support their greenhouse gas emissions.
We have also set Sustainability goals
of the greater good. around building a diverse workforce
and educating individuals on worker
and patient safety in health care and
industrial settings.
We are committed
to connecting
our fundamental
strengths to our
customers.
Sc mm
the fast-moving needs of our customers.
Our new alignment will leverage our
At 3M, many of our products are either
Co business transformation progress,
Our specified (designed for the customer)
or regulated (meeting specific
accelerate growth, and deliver greater
operational efficiencies.
192 What we create Our customers 3M 2020 Sustainability Report Global Capabilities
#improvinglives 193
Customer-inspired Collaborating and Some of the problems addressed in
our technical centers and labs are
We find that collaborating with
customers in their own spaces can
“We focus so much
innovation creating locally connected to regional and local issues. be extremely beneficial. For example, on the doctor,
nurse, and patient
Globally, for example, rapid population in 2019, 3M partnered with a major
Technology itself is not sufficient to When collaboration results in
growth in urban areas is creating academic health system based in the
create differentiated products and meaningful innovation — solving real
solutions. Our innovation truly comes problems — it can be awe-inspiring.
challenges related to energy efficiency,
clean water, and environmental
Midwest on a project designed to
drive insights for service and solutions.
— but everyone
from the dock
from the confluence of customer To get there, we believe it’s essential
protection. Our local scientists leverage Together, we tracked a high-volume
and market insights, technology, to be close to our customers.
3M technologies to develop relevant medical product through every stage
and a culture of collaboration and
entrepreneurship. We strive to invent That’s why 3M has 56 customer solutions that are unique to their region, of the supply chain to understand their worker to the
products that are not only new but
useful. That is why 3M scientists work
technical centers across the globe,
where our customers can experience
often collaborating with local customers.
See how 3M India addressed a local
needs related to Sustainability.
The immersive three-day research waste handler
directly with customers to solve their firsthand the breadth of 3M
technologies and how they can benefit
public safety issue in our feature story,
“Cooler trains.”
activity involved a multidisciplinary
team representing Sustainability,
interacts in some
unique challenges. We take the time to
get to know them, learn how they live from them. We also have laboratories
3M Design Centers are located in
Packaging, Engineering, Tech Service,
Front End Innovation, Industrial Design,
way with our
and work, and understand what we can
do to improve their lives. Collaborating
and application engineering
capabilities in 50 countries where
the United States (at 3M’s headquarters Supply Chain Management, health products.”
in St. Paul, Minnesota), Italy, Japan, care providers, and facility operations.
with customers assures us we are in tune our scientists work closely with our
India, and, new in 2019, China. The team followed the journey of a — Heather Webb
with their needs. Our most successful customers to develop solutions for
The centers provide 3M employees 3M medical product from the Innovation Strategy Manager
products are infused with strategic their specific problems.
with new ways to incorporate design inventory center to the supply rooms 3M Medical Solutions Division
customer insights throughout the thinking into graphic and industrial within the hospitals to the recycling
entire product development process. design, user experience, and design and disposal centers. At each step,
research. Bolstered by a global design the team observed the flow of
organization with materials, had conversations with the
140
stakeholders in each department,
and conducted in-depth interviews.
Customer insights
Customer-inspired innovation Customer One notable finding was that while
Needs designers around those in Purchasing at the hospital are
aware of a product’s Sustainability
the globe, benefits, the health care providers
3M’s Design Centers help spark new who use the products are not. A key
ways to enhance the brand experience, recommendation was to incorporate
advance innovation, and create relevant Sustainability information into
customer-driven solutions that positively product training — a helpful insight for
impact the world. both the customer and 3M.
194 What we create Our customers 3M 2020 Sustainability Report #improvinglives 195
ng
i rd
k
o wa
Education that raises Continuing education is available Our health and safety training takes Our Roadshow can’t reach everyone,
o
L or
f
in areas including medical, dental, place on the road, on the manufacturing so in China, we launched a series of
everyone’s bar orthodontics, health information floor, and online. cartoon game-based trainings to help
systems, food safety, health care workers increase their understanding
Proper use of health and safety In several parts of the world, we use
Sustainability, drug delivery systems, of health and safety concepts related
products is critical for infection mobile vehicles to bring training and
and consumer health and wellness. to personal protective equipment.
prevention, personal safety, and education directly to companies and As a large and diverse global science
Many professionals utilize our training Workers scan a QR code to access the
overall health. Building on our existing workers at their job sites. This enables company with customers spanning
courses to accrue continuing education training where they can view content
customer education programs, 3M us to reach more people and provide many industries and global markets,
credits toward their professional and complete a training quiz from their
has created training libraries that more training instances. The 3M we have the opportunity to make an
certification. This online training is a mobile phones.
are accessible to customers anytime Safety Roadshow is a fully-equipped even greater impact in Sustainability.
convenient option for busy health
and anywhere, including on-demand mobile training center that showcases As part of our strategic focus on
education, live webinars, in-person
care professionals. In 2019, the total
3M’s industrial safety expertise and empowering Science for Circular,
events, and education resources. Our purpose is the same for our Personal personal protective equipment. It number of training Science for Climate, and Science for
Safety Division. In a rapidly evolving travels to multiple locations each instances was Community, we will work to design
We deliver educational content to
589,000.
business and occupational health and year and provides in-person safety a world where 10 billion people can
health care professionals at hospitals
safety environment, our education and training, education, and demonstrations. thrive by applying boundaryless,
and clinics, professional conferences,
training programs can instruct workers Supported by 3M’s highly credentialed collaborative science to reinvent the
and via online webinars — all around
on workplace safety hazards and health technical service staff, the Safety products, processes, and systems
the world, through 3MSM Health
risks, personal protection equipment (as Roadshow partners with industrial This includes our e-learning platforms that improve every life.
Care Academy. This not only helps
regulated by the Occupational Safety facilities across the United States and in-classroom events.
customers get the most out of our We will continue to leverage our
and Health Administration, or OSHA), and India to promote safety and build
products; it is part of our commitment diversified technology portfolio to
and the proper use and maintenance of confidence.
to help professionals improve outcomes create innovative solutions for our
3M products.
for their patients and customers. customers and markets. Our Technology
Platforms continue to evolve —
addressing the changing and anticipated
needs of high-growth markets.
196 What we create Our customers 3M 2020 Sustainability Report #improvinglives 197
Innovation
management 3M has earned more than 120,000
patents over the years, a testament to
the strength of our innovation engine.
Every item we sell must meet rigorous
quality standards and must be safe for
its intended use.
Sustainability solutions.
3,780
material selection, product design,
stewardship must always be primary formulation, manufacturing, marketing,
considerations during the design, sale, intended and anticipated use or
manufacturing, marketing, and sale misuse, recycling, reuse, repurpose,
of 3M products. 3M employees and disposal. The process must meet
Our
must know and follow all applicable
They are managed by the company
and can be leveraged by any of the
Our 15% Culture — instituted six
decades ago — inspires creativity,
patents per year. laws, regulations, and 3M policies,
and maintain continuous compliance
with applicable national, regional,
standards, and procedures for product
commitment
businesses to serve their respective risk-taking, and collaboration. It gives and local regulations, as well as
customers or markets. The policies and standards that guide safety, quality, and stewardship and 3M expectations. These business
employees the freedom to take risks
the design, manufacturing, marketing, must diligently report and respond processes must be incorporated
and learn from mistakes. That freedom
All of our businesses are connected and sale of 3M products share a to concerns. 3M management is into New Product Introduction (NPI)
At 3M, we apply science by our fundamental strengths —
is essential to scientific discovery.
common foundation: the 3M Code of responsible for addressing reported and product Change Management
Employees can spend 15% of their time
to improve lives. technology, manufacturing, global on projects that interest them. These Conduct. The Code of Conduct is an concerns and assuring that 3M Process (CMP) procedures. Product
capabilities, and brand — which allows overarching guide to the appropriate employees are properly trained safety, compliance, and stewardship
projects and ideas might eventually
But just as society’s challenges us to invent, build, and sell products decisions and actions of 3M individuals in applicable laws and regulations requirements must be integrated into
become successful new 3M products.
continue to evolve, so does our across our vast global network. and teams as they go about their as well as 3M policies, standards, the development, commercialization,
science. We are relentlessly evolving work. It defines our values and the and procedures. and sale of 3M products.
and adapting our technologies in order
to help solve the problems of today and R&D is our responsibilities that 3M employees and
3M suppliers must meet. Further, we take it as our responsibility In addition, we have established
tomorrow. We created our 3M Periodic
Table of Technology Platforms 13 years
heartbeat. All of our Under this broad umbrella of values
to produce products with superior
environmental performance across
an internal standard to assure
uniform compliance globally for the
businesses are
ago, and in 2019, we updated it to are principles, policies, standards, their entire life cycle, including product manufacturing, sale, testing, and
We continue to invest in scientific
assure it accurately reflected our focus and guidelines that more specifically reuse and repurpose, and to work with promotion of medical devices, food or
research and product development
and investment in technologies for the
future. The new 3M Periodic Table
in close partnership with our connected by outline what 3M believes is the
ethical approach to various work
our suppliers and business partners
so that their operations support these
drink, food or drink supplements, food
or drink additives, drugs, and cosmetics
customers and the marketplace. R&D
has a total of 51 Technology Platforms. fosters a constant stream of unique our fundamental situations, including situations that same objectives. for use in or with humans or animals.
Most of our Technology Platforms involve innovation management of
are unchanged. We added nine new
and cutting-edge products that drive
organic growth. strengths — 3M products. Product Safety,
Technology Platforms, changed eight,
and two were divested. The result is In fact, in 2019,
technology, Product Safety, Quality,
Compliance, and
51 Technology Platforms aligned with manufacturing, Stewardship Policy
we invested and Stewardship
$1.91B
our future growth opportunities.
198 What we create Innovation management 3M 2020 Sustainability Report #improvinglives 199
Chemicals Alternatives to
or
As with our other policies, each
business must maintain processes f
Management Policy that assure the appropriate review animal testing
nce
of any advertising or claims about
cie lar
S rcu
3M is a science-based company 3M is a major advocate for the use,
its products. This includes
Ci
committed to applying our scientific wherever practicable, of alternative
substantiation of claims through
expertise to improving lives. Helping test methods (non-animal) to help
testing based on sound statistical
people live safe and productive lives is develop safe products. 3M is a strong
and scientific principles.
important to 3M — for our employees, contributor in this area and is currently
our customers, and everyone living utilizing many of these alternative
on the planet. Chemicals are essential Hazard communication methods, such as computational
for producing 3M’s broad range of
Communicating the potential hazards
toxicology and in vitro testing using Goal: Every 3M product
products, and part of 3M’s role in
of 3M materials supports 3M’s
isolated tissues or cells. We are also entering the new product
helping people live safely is effective investing in the internal and external
core values and is an integral part commercialization process
and responsible chemical management. development of new methodologies
of keeping stakeholders informed
that replace animal testing, and we will include a Sustainability
about 3M materials. The vehicles
3M’s Chemicals Management Policy actively engage with governments, Value Commitment (SVC) that
reflects the evolving values of 3M for communicating these hazards
and product chemical components
lobbying groups, and industry demonstrates how it drives
and our stakeholders. Under this partners to help further the science
policy, to continuously improve the include safety data sheets (SDS), impact for the greater good.
for the appropriate use of non-animal
environmental, health, and safety product labels, product literature,
methods. Where animal testing
attributes of our products, 3M has instructions for use, transportation In 2019, we strengthened our 2025
is required, we follow our Animal
identified specific chemicals whose classification documentation, and goal (invest to develop more
Welfare in Testing and Research Policy.
use in products and manufacturing other communications tools, including sustainable materials and products
a newly launched Ingredient to help our customers reach their
processes is subject to restrictions
Communication website on 3M.com. Human Subject environmental goals) by requiring that
or specific management actions.
Each business must use corporate Research Policy 100% of our products entering the
processes that evaluate the potential new product commercialization process
Advertising and Product hazards of 3M materials and Our Human Subject Research Policy include an SVC. Many companies
Representation Principle transmit, in local country language(s), protects the rights, safety, and welfare view the topic of Sustainability in
information about the hazards of human subjects who participate product development as a challenge, but
3M’s reputation as a responsible to employees, contractors, and in 3M-supported research. All at 3M, we welcome it and have taken
company extends to the products customers; it must meet all regulatory supported research involving human an aggressive approach — working
and services we offer and how requirements and 3M standards subjects must be conducted in to identify and understand future
we represent them. 3M must and guidelines; and it must promote accordance with all applicable national, Sustainability needs, and expanding our
communicate honestly and accurately informed decisions about the regional, and local ethical and legal portfolio of products, filling them with
about 3M’s products and services. materials’ proper and safe handling, rules and regulations and must be Sustainability advantages.
Learn more by visiting our Advertising use, and disposal. conducted in accordance with three
and Product Representation Principle. principles, as described in the Belmont By embedding Sustainability into
Report: respect for person, justice, our R&D process, our brands, and
It’s our policy to represent our the mindset of our customers and
and beneficence.
products truthfully, fairly, and suppliers, we’re able to move 3M’s
accurately in all sales, advertising,
packaging, and promotional efforts. Helping people growth to new levels and advance
our commitment to improving our
All product claims must be
substantiated and technically accurate, live safe and business, our planet, and every life.
200 What we create Innovation management 3M 2020 Sustainability Report #improvinglives 201
Our actions Sustainability Framework. Examples
of considerations include reusability;
recyclability; energy, waste, and water
Throughout 2019, we deployed our
NPI process through a new system
called 3M|Grow. This robust
It’s about our technology but not just
stand-alone science: it is technology
supported by deep intellectual Fundamental
Global Product Stewardship, Green
Chemistry, and Climate are a few of
the chapters within Tech Forum.
The challenges we must tackle for a savings; and responsible sourcing or use framework for developing products property, combined with multiple other Strengths
sustainable future can seem nebulous, of renewable materials appropriate to the from idea to launch incorporates our technologies to enable us to do unique
Unique and differentiated value
In 2019, Tech Forum
but we see them clearly. They are specific product throughout its life cycle. SVC in each phase of our process. things with and for our customers.
showcased over
500
broad. They are interrelated. They are
solvable — with the help of science. An SVC can also stem from a core Unique and 3M power is also about our
• Technology
We at 3M have the unique opportunity purpose in which the product helps manufacturing strength. We’re
to solve an environmental or social differentiated value differentiated and advantaged in the • Manufacturing
to apply our passion for science
and collaborate enterprise-wide to challenge — such as improving air marketplace through in-house 3M • Global capabilities events
The power of 3M is in the way we
find solutions. quality, reducing greenhouse gas manufacturing site ownership that also • Brand including topics such as Sustainable
connect our fundamental strengths
emissions, or improving worker and leverages 3M intellectual property. Polymers, Green Adhesives, Green
to customers. Those strengths are our
3M’s SVC patient safety in health care and
technology, manufacturing, global
One-third of our intellectual property Innovators, Sustainability Driven
industrial settings. sits in manufacturing, much of it in Innovation, Bioinspired Materials,
capabilities, and brand. They define
In 2019, 100% of new products entering
The impact of 3M’s new product us as an enterprise and combine to
trade secrets, enabling us to deliver Leveraging team and Advanced Materials for Energy
the new product commercialization higher-quality, better-performing, more
process described their Sustainability requirement is global in scale. Beyond build a business greater than the sum
competitive products in the marketplace. collaboration and Conversion and Storage.
of its parts. The power of 3M arises
impact and how they drove impact for 3M’s own operations, a primary reason
from our deep understanding of what
strategic partnerships To celebrate 3M’s culture of
the greater good. for the goal is to help customers True global capabilities require more collaboration between 3M employees
achieve their Sustainability goals. differentiates us in our performance than just presence in international 3M is able to transform diverse in every field, Tech Forum hosts the
An SVC is a clear demonstration of how This new product goal creates even across every business in our enterprise. markets. They require the skills of our ideas and creativity into superior annual Made by You event to connect
the product incorporates environmental more opportunities to collaborate It truly reflects how we’re linked international organization to execute technologies, business assets, and employees and resources. Whether the
or social factors to contribute to our with customers on solutions that help together in our portfolio, even though our business models and enable us to innovative product platforms. item is made for 3M, with 3M products,
aspirations laid out in our Strategic improve lives around the world. we might operate in multiple markets. enter those markets successfully — or just for fun, it’s the opportunity to
to take our fundamental strengths One of the many things that makes 3M
highlight how the employee brings
and applications almost anywhere a singular company is our commitment
ideas to life at 3M.
in the world. We have sales in nearly to collaboration. There are no silos
all countries, with two-thirds of our here. We collaborate with each other 3M Tech Forum isn’t just spreading
Key
Global capabilities Lithuania Sales & Marketing Operations workforce and sales professionals across businesses, across technologies, ideas internally. The group brings in
Switzerland Latvia Manufacturing & Converting working outside the United States. and across oceans and continents. ideas from strategic partners. In 2019,
Germany Estonia Poland Technical Capabilities
United States
Sweden Finland By employing integration and they featured BASF Sustainability Day
Netherlands Austria Czech Slovakia *3M Gulf consists of UAE,
collaboration across our businesses, Case in point: 3M Tech Forum, a self-
Canada Belgium
Norway
Republic Ukraine Qatar, Lebanon, Egypt, at 3M, a presentation on Technology
Denmark Hungary
geographies, and scientific disciplines, directed and self-organized catalyst
UK Oman, Kuwait, and Bahrain Challenges and Opportunities in
Romania Kazakhstan
we effectively and efficiently bring for the 10,000-plus people in 3M’s
Mexico Ireland Russia Recycling Solar Panels with MN
new ideas and products from the lab to technical community. Begun more
France China Pollution Control Agency, and a
Guatemala
the factory to customers’ homes and than 60 years ago, Tech Forum gives
Italy Japan presentation on the World of Materials
Honduras
Jamaica South Korea
businesses everywhere. 3M researchers the opportunity to
Dominican Portugal Research in The School of Materials
Republic Taiwan Hong Kong compare notes with global colleagues,
El Salvador Spain Science and Engineering at the Georgia
Puerto Rico Greece
Vietnam Finally, it’s our brand — 3M Science. collaborate around the company’s
Costa Rica Institute of Technology.
Panama Philippines Applied to Life.™— that adds value to 51 Technology Platforms, and develop
Morocco 3M
Trinidad Gulf* Malaysia every one of our businesses across new ideas that fuel the 3M innovation Additional information on collaboration
Turkey
& Tobago
Egypt
Pakistan Indonesia all our markets. pipeline. The collaboration takes at 3M can be found in the Our
Brazil Nigeria
Colombia Venezuela
India place at an annual global event, spring customers section.
Israel Australia
Peru Paraguay New Zealand
Leveraging these fundamental symposium, recognition programs, and
Ecuador Uruguay Saudi
Bolivia South Africa Arabia Thailand strengths — technology, manufacturing, many chapter events held throughout
Singapore
Kenya global capabilities, and brand — is the year.
Chile Argentina
what truly creates the power of 3M.
Sales in 200 Manufacturing & converting Laboratory & application engineering Sales & marketing operations
countries/regions in 36 countries/regions in 50 countries/regions in 70 countries/regions
202 What we create Innovation management 3M 2020 Sustainability Report #improvinglives 203
A process built for Life cycle management (LCM) is 3M’s A product stewardship Our framework for product stewardship Our audit program is agile, and we In 2019, the Sustainability and Product
approach to assuring that EHS and provides structure and consistency for Stewardship Department offered
innovation associated regulatory considerations
framework that overseeing daily activities in a proactive,
have conducted deep dives into
specialty topics as requested by our 27 live programs and added 24 on-
New-to-the-world processes are
are integrated into the development continues to advance not reactive, mode. For example, businesses who are seeking to improve demand sessions to the educational
and commercialization of 3M we have a self-auditing program to their operations or meet evolving catalog for the product stewardship
primarily developed in 3M’s Corporate Responsibility for product stewardship
products through 3M’s NPI process. identify leading indicators instead of external standards, including audits network. The corporation sponsors
R&D Process Laboratory, and the at 3M is shared across a broad
During NPI, our business teams waiting until non-compliance. 3M has for life cycle assessment and human a 750-page website containing over
development of these new processes spectrum of functions positioned within
provide LCM deliverables. These been on the leading edge of product subject research. 1,200 reference documents dedicated
is captured in our New Technology businesses, regions, and corporate
include, at a minimum, raw material stewardship audits, beginning with self- to product stewardship and global
Introduction (NTI) framework: staff groups. Together, individuals
composition; assessments in human assessments in international regions in 3M values the continued professional regulatory requirements. We also
health and environmental toxicology, across this spectrum work to support 2007, and incorporating global on-site development of its product stewardship publish a monthly global newsletter
• Explore: Identify the market opportunity
electrical and mechanical safety, and 3M’s core value of respect for our audits in 2014. These audits evaluate, professionals. In addition to supporting to keep the network informed of
• Qualify: Identify superior product social and physical environment. attendance at a wide variety of external
other disciplines, as appropriate; among other elements, product hazard recent and upcoming regulatory and
concepts to meet customer needs classes and conferences, we offer an
conformance to regulatory and and risk assessment, chemical control, program changes.
We have over 400 product stewards,
• Deploy: Develop the technical solution customer EHS requirements; and life cycle management, and consumer internal education program covering
embedded within 3M businesses and
hazard communication documents. product safety. The goal of these audits regulatory updates, policies and
Meanwhile, our NPI process provides countries of operation, who act as
is to assure that regions and businesses standards, toxicology, systems and
the robust framework for developing champions of product EHS, regulatory
Likewise, we evaluate LCM impacts are meeting corporate standards and to business processes, and orientation to
products from idea to launch. compliance, and Sustainability. They
from product modifications through share best practices globally. product responsibility.
our corporate product CMP. We help assure our products meet or
Together, 3M’s NTI and NPI processes
leverage these LCM processes exceed requirements stemming from
provide a common framework for
to continuously improve the EHS 3M policies, governmental regulations,
technology and product
performance of our products. and from our customers.
commercialization for all global
business. Information is required at
every step, or gate, in the process,
along with deliverable tasks. Having
consistent practices throughout the
company for technology and product Life Cycle Management
creation assists in risk analysis by
providing a common language from
which to share tools and best practices
Research &
and manage project portfolios.
Development
Product innovation that
takes the long view Raw Materials Manufacturing
Acquisition & Production
3M works to produce products with
superior environmental performance
across their entire life cycle. We also
work with our suppliers and business
partners so that their operations support Distribution &
Disposal/
these same objectives. These efforts Transportation
Recycling
together help define, protect, and assure
the long-term success of our company.
Product Use
& Reuse
204 What we create Innovation management 3M 2020 Sustainability Report #improvinglives 205
ng
i rd
k
o wa
Life cycle assessments We realize that we can make far Composition disclosure o
L or
f
greater contributions to addressing
(LCA) where relevant
and feasible
climate change concerns by
helping our customers reduce their
In 2019, 3M launched an Ingredient
Communication website to We realize that we
In addition to the LCM program, which
greenhouse gas (GHG) emissions
through use of our products. To
provide customers with complete
ingredient information for over 550
can make far greater
applies to all 3M products, we also
conduct LCAs for select 3M products.
calculate these customer emission
reductions toward our Science for
consumer-formulated products. The contributions to In 2020, our product stewardship professionals
from across the globe will attend a week-long
website provides transparency into
At 3M, our ISO 14040-compliant LCAs Climate goal, we have established a 3M formulations by identifying addressing climate Global Product Stewardship Conference with
workshops, customer presentations, external
are typically cradle-to-gate, since our
products often have use and disposal
process based on life cycle thinking
and the ISO 14064-2 standard for
intentionally added ingredients and
select contaminants. The function change concerns speakers, executive panels, and training. The
life cycle stages that are dependent
on how our customers use these
comparing emissions from the project
scenario against a baseline scenario.
of each ingredient in the product is
defined, thereby allowing customers
by helping our main objectives of the conference are to:
customers reduce
• Advance our customer-driven focus within
products. This often provides a unique Additional details of these efforts can to know exactly why a chemical is the global product stewardship organization
opportunity for collaboration to help be found in the Climate and energy present in a specified product. The
our customers understand and reduce section of this report. website also provides direct links to their greenhouse • Leverage systems and processes to
assure compliance, improve customer
gas (GHG) emissions
their environmental impact. each product’s SDS. The website pages
are designed to be easily printable, response, standardize processes, and
We also complete ISO 14040-
compliant cradle-to-gate LCAs for
allowing channel partners to quickly
access the information and meet their
through use of gain productivity
• Share solutions from country to country
several internally produced materials.
The evaluation of these intermediates
workplace requirements. our products. for addressing product stewardship
challenge areas
allows us to better understand the
potential environmental impacts of key • Raise global competency levels through
components and processes used in the training and workshops, with a focus on
production of our products. Our LCA building high-performing and diverse
teams also conduct LCA screenings to global talent
help answer internal questions early • Integrate 3M’s Strategic Sustainability
in product development. Framework into the product stewardship role
In 2019, 3M LCA teams in the In 2020, 3M will release its global product
United States and Europe renewed Change Management Process and application,
their process certifications from consolidating more than 100 systems used
The International EPD® System today to capture product change history.
to demonstrate that appropriate Our priority is to assure changes are properly
procedures are in place to produce evaluated, communicated, and approved prior
scientifically sound, technically to implementation.
defensible LCAs and EPDs
(Environmental Product Declarations). In 2021, 3M will launch its redesigned LCM
system, called LCM Redesign. LCM Redesign
The teams will continue to undergo will integrate multiple product stewardship
an annual recertification process systems and processes onto a single platform
that evaluates conformance of the to achieve greater visibility, consistency,
underlying management system with and productivity in managing the extensive
the program rules and ISO standards. product stewardship and Sustainability data
This global certification of the LCA for our more than 55,000 products.
process for multiple parts of our
organization is thought to be the first
of its kind.
206 What we create Innovation management 3M 2020 Sustainability Report #improvinglives 207
Our products
Embedding a Sustainability Value
Commitment in all business groups. Safety & Industrial
Our
$32.1B * Sustainability
$11.6B
Also included are products whose
core purpose is helping to solve
examples
commitment
an environmental and/or social
concern. Examples include improving
air quality, reducing greenhouse gas • Roofing granules that harness 2019 net sales
At 3M, we share emissions, improving patient outcomes, 2019 net sales the power of the sun to help improve
air quality
and enhancing worker safety in
technology, manufacturing, industrial settings. • Roofing granules that keep roofs
marketing, and other cool and save on HVAC energy
Our markets
3M’s new product requirement will
resources across our
Our markets
have a global impact on our operations • Light-redirecting films, tapes, and
four business groups in 70 countries where we operate and materials that enable high-efficiency
solar panels
on the products we sell in nearly every
in order to increase our country. It will also help our customers • Wind protection tapes that help
speed and efficiency and reach their own Sustainability goals.
Driving industrial performance improve turbine uptime
bring product solutions It’s another important step forward — better, safer, connected
to different markets. in our ambition to apply science to
Our actions
& Energy
Electronics Roofing Granules $0.366B
developing SVCs for new 3M products
include recyclability, energy and Consumer $5.089B Industrial adhesives $2.74B
water savings, responsible sourcing, Health Care $7.43B and tapes
renewable materials, and the In 2019, we delivered sales of
appropriate reuse of a product. $32.1 billion. Personal safety $3.51B
Consumer $5.09B
Roofing granules $0.37B
208 What we create Our products 3M 2020 Sustainability Report #improvinglives 209
Transportation & Electronics Health Care
Sustainability
examples $9.60B Sustainability
examples $7.43B
• Light-weighting vehicles for fuel 2019 net sales • Surgical, vascular, and wound 2019 net sales
efficiency care solutions improve health care
outcomes, enhance the patient
• Energy-saving window films
experience, and lower total cost
• Water and chemical waste-reducing of care through evidence-based
cleaning solutions Our markets solutions, education, and partnership Our markets
• 3M™ Envision™ Wrap Films made in • 3M M*Modal CDI Engage One
™ ™
210 What we create Our products Our products 3M 2020 Sustainability Report #improvinglives 211
ng
i rd
k
o wa
o
L or
Consumer f
Sustainability
examples
$5.09B Beyond financial results, in 2019,
we continued to position 3M for
long-term growth and value creation.
2019 net sales This includes executing on our four
• 3M™ Thinsulate™ 100% Recycled priorities: portfolio management;
Featherless Insulation is made from transformation; innovation; and
plastic bottles people and culture, as discussed in
the 3M Value Model and
• Scrubbing fibers in Scotch-Brite®
Heavy Duty and Non-Scratch Scrub Our markets Our customers sections.
Sponges are 100% recycled
• Post-it® Super Sticky Notes are
made with plant-based adhesive
(60% by weight)
212 What we create Our products 3M 2020 Sustainability Report #improvinglives 213
About report, scope, and boundaries 216
About
Sustainable development goals 220
report
Assurance statement 238
boundaries
the United States Securities and
This report covers 3M’s owned 3M’s Annual Report 2019 and Investor
Exchange Commission through the
manufacturing facilities and leased Relations website document any
Annual Report 2019
facilities worldwide, including joint changes to financial data. Several
ventures (if greater than 50% 3M • Environmental, health, and safety of 3M’s environmental goals are
ownership) and partially-owned (EHS) data: The EHS data in this normalized per net sales. 3M does not
subsidiaries (if greater than 50% report is related to the environment, adjust sales data for inflation.
3M ownership) where 3M has full safety performance, management
operational control. Acquisitions are systems, implementation, and 3M generally does not adjust its
Report schedule included in data sets once legally regulatory compliance. Data base-year environmental metrics
owned and fully integrated onto 3M collection systems are in place data to reflect changes in 3M’s
organizational structure. As a result,
and period.
systems. All data included in the at applicable sites to track and
report is global data unless otherwise collect environmental, health, 3M sets environmental targets that are
specified. Any significant organization and safety data through the normalized or indexed to production
Current issue: May 12, 2020 changes are identified in the Annual corporate-wide EHS reporting (tons emitted or net sales) to assure
Report 2019 and 2020 Notice of systems (e.g., Environmental the environmental progress we report
Next issue: Scheduled for May 2021 Targets Database, EHS 360, etc.) to the public is not unduly influenced
Annual Meeting & Proxy statement.
by changes to our organizational
Previous issue: May 14, 2019 • Social data: The data related to
Data collection, employee metrics, social practices,
structure. However, in the case of our
greenhouse gas emissions data, 3M
Before 2010, the Sustainability Report
was a fully integrated website. Therefore,
adjustments, and and community programs has been
follows the World Resource Institute
derived from various databases
copies before 2010 are not available. verification from within the Human Resources
(WRI) and World Business Council for
Sustainable Development (WBCSD)
and 3M Foundation organizations.
This report provides a summary of the The data provided in this report GHG Protocol. Consequently, we
This data has been reviewed
activities in fiscal year 2019 (January 1, through facts and figures is based on readjust our greenhouse gas emissions
and verified by the departments
2019, to December 31, 2019). activities during 3M’s fiscal year 2019. base-year data in the case of business
responsible for maintaining the
For some performance indicators, the acquisitions and divestitures.
internal reporting systems
previous year’s data are provided to
allow for annual comparisons. • Responsible sourcing systems and Whenever feasible, 3M adjusts base-
data: The policies and management year and other years’ data if data
Report data collection systems implementation in this collection methods change or data
area have been reviewed and errors are identified. Any significant
Due to the size and geographical extent verified by the departments changes in the measurement methods
of our operations, it is, at times, difficult responsible for maintaining the and/or data values applied to key
to obtain all data points. Therefore, to internal reporting systems environmental metrics from previous
the extent possible, limitations and years are disclosed in the report.
Sites acquired by 3M are integrated
assumptions are stated as information Significant changes are defined by this
into 3M programs and reporting
in the report. This report’s data has Sustainability Report as changes greater
systems via a prioritized functional
been reviewed for accuracy and than 5% of the original data point.
integration schedule. Timeframe
completeness, including the reliability for integration varies depending on
of the systems used to obtain the data. subject-matter reporting requirements
and site systems before being acquired;
Unless noted below, corporate staff
however, on average, integration
have also verified the implementation
ranges between 1 to 3 years.
of policies and management systems
through audits and self-reporting systems.
216 About report About report, scope, and boundaries 3M 2020 Sustainability Report #improvinglives 217
Following the GRI Sustainability framework advances Our material aspects are identified
in the GRI index and reflected in
Sustainability Accounting Standards
Board (SASB)
In this year’s report, we detail our efforts
on our 2018 materiality assessment.
two important objectives: transparency and the ability our Sustainability goals, with focus
on Science for Circular, Science for For our Sustainability reporting
Before conducting this assessment,
we reviewed and integrated SASB’s
to compare results from one organization to another. Climate, and Science for Community. strategy, we utilize multiple tools and
frameworks to assure we are objective,
approach to materiality and materiality
3M self-declares this report has been map to help prioritize the most important
prepared in accordance with the GRI transparent, and globally relevant focus areas.
Standards: comprehensive option. in our public reporting process. This
includes GRI, SASB, and the SDGs. UNGC Principles and 2030 SDGs
Between 2005 and 2010, 3M adopted have been recalculated for Scope Third-party verification: APEX United Nations Global Compact
a holistic definition of waste to drive 3 category 5 and Total Scope 3 Companies, LLC [“Assurance Provider” (UNGC) Communication on With corporate operations in over Refer to the GRI index table for cross-
the company’s waste reduction efforts emissions (upstream). The recalculated or “APEX”] provided independent Progress (COP) 70 countries and sales in nearly all references of content in this report
toward more sustainable solutions, Scope 3 category 5 values are directly third-party assurance for this countries, our strategy is designed to with the 10 Principles of the UNGC
such as pollution prevention. 3M’s comparable. In addition, the 2019 report covering activities January 1, The UNGC is a strategic policy be holistic. GRI was selected as the and alignment with the 2030 SDGs.
waste reduction goal and progress value of GHG Scope 3, category 2 2019, to December 31, 2019. APEX initiative for businesses that are primary source referenced due to the
committed to aligning their operations global reach of the standard. Refer to the Sustainable development
during this period included recycling. (capital goods) substantially increased provided moderate-level assurance
and strategies with 10 universally goals tables for alignment between
In 2011, 3M returned to a more due to updated emission factors and in accordance with AA1000AS-2008,
accepted principles in the areas of For SASB, our diversity of operations 3M’s Sustainability goals and the
conventional definition of waste an increase in gross property, plant, Type 2. APEX’s assurance letter
human rights, labor, environment, and would not be represented by their 2030 SDGs.
that considered recycling as neutral and equipment put into service. This can be found in the report under
anti-corruption. 3M committed to the current industry standard classifications.
(contributing neither toward total increase does not impact previously Assurance statement.
waste nor toward good output). reported Scope 3 category 2 values, UNGC principles in early 2014. This 3M is grouped as a primary SICS Contact 3M
report includes an index of our COP Sector: Resource Transformation,
and the 2019 Scope 3 category 2 value Global principles implementing the 10 principles as well primary SICS Industry: Containers & It is through collaboration and
3M’s 2025 Sustainability Goals utilize is comparable with previous years.
2015 as the base year. Starting in and guidelines as alignment with the United Nations Packaging. Using our 51 Technology partnerships that 3M can accelerate
2016, waste disposed and waste by In the 2019 Sustainability Report the 2030 Sustainable Development Goals Platforms, our integrated team of Sustainability in our company to
Global Reporting Initiative (SDGs) within the content of this scientists and researchers works with improve every life.
disposal type do not include waste- GRI table, section 401-1, stated total
to-energy. Total hazardous and total turnover rate as less than 6%. The 2020 Sustainability Report. customers to create breakthroughs
The Global Reporting Initiative (GRI) via our Consumer, Transportation & You can contact 3M Sustainability at
non-hazardous waste include waste- turnover rate of less than 6% was for is a network-based organization Electronics, Safety & Industrial, and Sustainability@mmm.com.
to-energy. voluntary turnover, not total turnover. that includes representatives from Health Care business groups.
business, government, labor, third-
In 2018, we identified an opportunity Data verification party advocacy groups, and academia.
for classification of our manufacturing
The GRI organization has developed a
sites for a portion of our greenhouse Internal verification: 3M has conducted
framework for Sustainability reporting.
gas (GHG) emissions aligning to our an internal verification of the information
Following the GRI Sustainability
2002 inventory. This change impacted provided in this report. The objectives
framework advances two important
calculation methodologies for energy for our assurance process included:
objectives: transparency and the
and waste GHG estimations. Therefore,
• Accuracy and completeness of data ability to compare results from one
limiting direct comparability of Scope
organization to another. 3M has
1, 2, and Scope 3 category 5 between • Reliability of systems used to developed this report using GRI
reporting year 2017 and 2018. For measure and record data Standards. The GRI index outlines
this reason, reporting years 2017 and
• Reliability of ratios compiled where specific GRI reporting elements
2018 Scope 1 and 2 GHG emissions
from underlying data and indicators are addressed in the
year-on-year comparison should be
report or other reporting sources,
viewed as an estimate. The 2018 GHG • Adherence to the GRI Standards
including the Annual Report 2019,
inventory is fully comparable with
• Implementation of internal 2020 Notice of Annual Meeting &
baseline year 2002.
policies and related management Proxy, and/or other noted sources on
In 2019, updated emissions factors systems as reported 3M’s Investor Relations website.
were identified and utilized for Scope • Presentation of a complete and fair
3, category 5. All historical values picture in the report as a whole
218 About report About report, scope, and boundaries 3M 2020 Sustainability Report #improvinglives 219
Sustainable Science for Circular goal UN SDG SDG Targets
development
Reduce manufacturing waste
12.5: By 2030, substantially reduce waste generation through
by an additional 10%, indexed
prevention, reduction, recycling, and reuse.
to sales.
goals
Achieve zero landfill
12:5: By 2030, substantially reduce waste generation through
status at more than 30%
prevention, reduction, recycling, and reuse.
of manufacturing sites.
220 About report Sustainable Development Goals 3M 2020 Sustainability Report #improvinglives 221
Science for
Science for Climate goal UN SDG SDG Targets UN SDG SDG Targets
Community goal
1.4: By 2030, ensure that all men and women, in particular the poor
and the vulnerable, have equal rights to economic resources, as well
Improve energy efficiency 7.3: By 2030, double the global rate of improvement in energy
as access to basic services, ownership and control over land and other
indexed to net sales by 30%. efficiency.
forms of property, inheritance, natural resources, appropriate new
technology, and financial services, including microfinance.
222 About report Sustainable Development Goals 3M 2020 Sustainability Report #improvinglives 223
Science for
UN SDG SDG Targets
Community goal
100% participation in
employee development 8.5: By 2030, achieve full and productive employment and decent
programs to advance work for all women and men, including for young people and persons
individual and organizational with disabilities, and equal pay for work of equal value.
capabilities.
224 About report Sustainable Development Goals 3M 2020 Sustainability Report #improvinglives 225
GRI index
Disclosure Page Connections to United
Description Cross-reference (hyperlinks) or direct answer
number (.pdf) Nations Initiatives*
102-2
Name of the
organization
Activities, brands,
3M Company
Compact Communication
St. Paul, Minnesota, 55144-1000, United States
102-4 Location of operations Operations in 70-plus countries
Innovation management 198
on Progress
Names of countries, 3M.com
Annual Report on Form 10-K, page 130
102-5 Ownership and legal Annual Report on Form 10-K, page 4
form
102-6 Markets served Our customers 192
Our products 208
3M.com
Annual Report on Form 10-K, pages 4-6
102-7 Scale of the Employee programs 120
organization Metric tables: historical metrics; social performance, 244
employee and financial performance
Annual Report on Form 10-K, pages 4–6
102-8 Information on Employee programs 120 UNGC Principle 6
employees and other Health and safety 132 SDG 8
workers Metric tables: social performance, employees 244
Annual Report on Form 10-K, page 4
102-9 Supply chain Suppliers 176
102-10 Significant changes to Annual Report on Form 10-K, pages 71–74
the organization and its Suppliers 176
supply chain
102-11 Precautionary Principle Advancing impact 56
or approach Environmental management 140
Innovation management 198
102-12 External initiatives 3M Value Model 48
Advancing impact 56
Human rights 106
102-13 Membership 3M Value Model 48
associations
226 About report GRI index and UNGC 3M 2020 Sustainability Report #improvinglives 227
Disclosure Page Connections to United Disclosure Page Connections to United
Description Cross-reference (hyperlinks) or direct answer Description Cross-reference (hyperlinks) or direct answer
number (.pdf) Nations Initiatives* number (.pdf) Nations Initiatives*
GRI 102: General disclosures, governance 102-35 Remuneration policies Compensation Committee Charter
Compensation 116
102-18 Governance structure Corporate governance 86 Proxy Statement, pages 11–12, 27, 42–45, and 50-71
102-19 Delegating authority Corporate governance 86 102-36 Process for determining Compensation Committee Charter
remuneration Compensation 116
102-20 Executive-level Corporate governance 86
Proxy Statement, pages 11–12, 27, 42–45, and 50-71
responsibility
for economic, 102-37 Stakeholders’ Compensation Committee Charter SDG 16
environmental, and involvement in Compensation 116
social topics remuneration Proxy Statement, pages 11–12, 27, 42–45, and 50-71
102-21 Consulting stakeholders 3M Value Model 48 SDG 16 102-38 Annual total Proxy Statement, page 89
on economic, compensation ratio
environmental, and 102-39 Percentage increase Not applicable, disclosure does not cover the specific
social topics in annual total impacts that make the topic material. 3M has an
102-22 Composition of the Corporate governance 86 SDG 5, 16 compensation ratio established process to assure our commitment to fair and
highest governance 3M Board of Directors equitable pay. The breakdown to calculate the median
body and its 3M Committee Composition percentage increase does not accurately reflect our
committees 2020 Proxy Statement, page 14–19, 36–42 workforce levels and process at 3M to assure equitable
remuneration. Additional details on our process can
102-23 Chair of the highest Michael F. Roman SDG 16 be found in Compensation and Employee programs.
governance body Chief Executive Officer 4 Compensation Committee Charter
Corporate governance 86
GRI 102: General disclosures, stakeholder engagement
102-24 Nominating and Corporate governance 86 SDG 5, 16
selecting the highest Nominating and Governance Committee Charter 102-40 List of stakeholder 3M Value Model 48
governance body groups
102-25 Conflicts of interest Corporate governance 86 SDG 16 102-41 Collective bargaining Human rights 106 UNGC Principle 3
Corporate Code of Conduct 98 agreements SDG 8
3M Company Code of Business Conduct and Ethics for
102-42 Identifying and 3M Value Model 48
Members of the Board of Directors
selecting stakeholders
102-26 Role of highest Corporate governance 86 102-43 Approach to 3M Value Model 48
governance body in 3M Corporate Governance Guidelines stakeholder
setting purpose, values, engagement
and strategy
102-44 Key topics and concerns 3M Value Model 48
102-27 Collective knowledge Corporate governance 86 SDG 4 raised
of highest governance
body GRI 102: General disclosures, reporting practices
102-28 Evaluating the highest Corporate governance 86 102-45 Entities included in the Annual Report on Form 10-K, pages 4–10 and 71–74
governance body’s Nominating and Governance Committee Charter consolidated financial About report 214
performance statements
102-29 Identifying and Corporate governance 86 SDG 16 102-46 Defining report content 3M Value Model 48
managing economic, 3M Value Model 48 and topic boundaries About report 214
environmental, and
102-47 List of material topics 3M Value Model 48
social impacts
102-48 Restatements of About report 214
102-30 Effectiveness of risk Corporate governance 86
information
management processes Enterprise risk 94
102-49 Changes in reporting About report 214
102-31 Review of economic, Corporate governance 86
environmental, and 102-50 Reporting period About report 214
social topics 102-51 Date of most recent About report 214
102-32 Highest governance Corporate governance 86 report
body’s role in 3M Value Model 48 102-52 Reporting cycle About report 214
sustainability reporting
102-53 Contact point for About report 214
102-33 Communicating critical Corporate governance 86 questions regarding the Sustainability@mmm.com
concerns report
102-34 Nature and total number Confidentiality constraints, this information is considered 102-54 Claims of reporting in About report 214
of critical concerns business confidential; critical concerns would be taken accordance with the
into consideration during our enterprise risk management GRI Standard
initiative: see Enterprise risk for additional information on
102-55 GRI content index Indices to GRI and UNGC 226
our mechanism used to address and resolve critical issues.
Annual Report on Form 10-K, pages 10–13 102-56 External assurance Assurance statement 238
228 About report GRI index and UNGC 3M 2020 Sustainability Report #improvinglives 229
Disclosure Page Connections to United Disclosure Page Connections to United
Description Cross-reference (hyperlinks) or direct answer Description Cross-reference (hyperlinks) or direct answer
number (.pdf) Nations Initiatives* number (.pdf) Nations Initiatives*
Topic specific standards, 200 economic Topic specific standards, 300 environmental
GRI 201: Economic performance GRI 302: Energy
103-1 to Management approach Annual Report on Form 10-K, pages 10–12 and 15–51 103-1 to Management approach Climate and energy 160
103-3 disclosures 103-3 disclosures
201-1 Direct economic Annual Report on Form 10-K, pages 52–127 SDG 2, 5, 7, 8, 9 302-1 Energy consumption Climate and energy 160 UNGC Principle 7
value generated and Metric tables: historical metrics, financial performance 244 within the organization Metric tables: historical metrics, environmental footprint; 244 and 8
distributed environmental performance, energy SDG 7, 8, 12, 13
201-2 Financial implications Climate and energy 160 SDG 13 302-2 Energy consumption Climate and energy 160 UNGC Principle 8
and other risks and Annual Report on Form 10-K, page 10–12 outside of the Metric tables: environmental performance, greenhouse gas 244 SDG 7, 8, 12, 13
opportunities due to organization
climate change
302-3 Energy intensity Climate and energy 160 UNGC Principle 8
201-3 Defined benefit plan Annual Report on Form 10-K, pages 15–50 and 90 Metric tables: historical metrics, environmental footprint; 244 SDG 7, 8, 12, 13
obligations and other environmental performance, energy
retirement plans
302-4 Reduction of energy Climate and energy 160 UNGC Principle 8
201-4 Financial assistance 3M did not receive any significant financial assistance consumption Metric tables: historical metrics, environmental footprint; 244 and 9
received from from any government in 2019. environmental performance, energy SDG 7, 8, 12, 13
government
302-5 Reductions in energy Climate and energy 160 UNGC Principle 8
GRI 203: Indirect economic impacts requirements of Metric tables: environmental performance, greenhouse gas 244 and 9
products and services SDG 7, 8, 12, 13
103-1 to Management approach Communities 60
103-3 disclosures GRI 303: Water
203-1 Infrastructure Communities 60 SDG 2, 5, 7, 9, 11 303-1 Interactions with water Circular materials 146 UNGC Principle 8
investments and as a shared resource Metric tables: environmental performance, water 244 SDG 6
services supported
303-2 Management of water Environmental management 140 UNGC Principle 8
203-2 Significant indirect Communities 60 SDG 1, 2, 3, 8, 10, 17 discharge-related Circular materials 146 SDG 6
economic impacts impacts
GRI 205: Anti-corruption 303-3 Water withdrawal Circular materials 146 UNGC Principle 8
Metric tables: environmental performance, water 244 SDG 6, 8, 12
103-1 to Management approach Corporate Code of Conduct 98
303-4 Water discharge Circular materials 146 UNGC Principle 8
103-3 disclosures
303-5 Water consumption Metric tables: environmental performance, water 244 UNGC Principle 8
205-1 Operations assessed Corporate Code of Conduct 98 UNGC Principle 10
for risks related to SDG 16 GRI 305: Emissions
corruption
103-1 to Management approach Climate and energy 160
205-2 Communication and Corporate Code of Conduct 98 UNGC Principle 10
103-3 disclosures
training about anti- SDG 16
corruption policies and 305-1 Direct (Scope 1) GHG Climate and energy 160 UNGC Principle 7
procedures emissions Metric tables: historical metrics, environmental footprint; 244 and 8
environmental performance, greenhouse gas SDG 3, 12, 13, 14, 15
205-3 Confirmed incidents of Corporate Code of Conduct 98 UNGC Principle 10
corruption and actions SDG 16 305-2 Energy indirect Climate and energy 160 UNGC Principle 7
taken (Scope 2) GHG Metric tables: historical metrics, environmental footprint; 244 and 8
emissions environmental performance, greenhouse gas SDG 3, 12, 13, 14, 15
GRI 206: Anti-competitive behavior
305-3 Other indirect (Scope 3) Climate and energy 160 UNGC Principle 7
103-1 to Management approach Corporate Code of Conduct 98 GHG emissions Metric tables: historical metrics, environmental footprint; 244 and 8
103-3 disclosures Antitrust and Competition Principle environmental performance, greenhouse gas SDG 3, 12, 13, 14, 15
206-1 Legal actions for Antitrust and Competition Principle SDG 16 305-4 GHG emissions Climate and energy 160 UNGC Principle 8
anti-competitive Annual Report on Form 10-K, pages 109–121 intensity Metric tables: historical metrics, environmental footprint; 244 SDG 13, 14, 15
behavior, anti-trust, and environmental performance, greenhouse gas
monopoly practices
305-5 Reduction of GHG Climate and energy 160 UNGC Principle 8
emissions Metric tables: historical metrics, environmental footprint; 244 and 9
environmental performance, greenhouse gas SDG 13, 14, 15
305-6 Emissions of ozone Climate and energy 160 UNGC Principle 7
depleting substances Metric tables: historical metrics, environmental footprint; 244 and 8
(ODS) environmental performance, air emissions SDG 3, 12, 13
305-7 Nitrogen oxides (NOx), Climate and energy 160 UNGC Principle 7
sulfur oxides (SOx), and Metric tables: historical metrics, environmental footprint; 244 and 8
other significant air environmental performance, air emissions SDG 3, 12, 13, 14, 15
emissions
230 About report GRI index and UNGC 3M 2020 Sustainability Report #improvinglives 231
Disclosure Page Connections to United Disclosure Page Connections to United
Description Cross-reference (hyperlinks) or direct answer Description Cross-reference (hyperlinks) or direct answer
number (.pdf) Nations Initiatives* number (.pdf) Nations Initiatives*
GRI 306: Effluents and waste GRI 403: Occupational health and safety
103-1 to Management approach Environmental management 140 403-1 Occupational health Health and safety 132 SDG 8
103-3 disclosures Circular materials 146 and safety management
system
306-2 Waste by type and Environmental management 140 UNGC Principle 8
disposal method Circular materials 146 SDG 3, 6, 12 403-2 Hazard identification, Health and safety 132 SDG 3, 8
Metric tables: historical metrics, environmental footprint; 244 risk assessment, and Corporate Code of Conduct 98
environmental performance, waste incident investigation
306-3 Significant spills Environmental management 140 UNGC Principle 8 403-3 Occupational health Health and safety 132 SDG 3, 8
Metric tables: environmental footprint, environmental 244 SDG 3, 6, 12, 14, 15 services
management system
403-4 Worker participation, Health and safety 132 SDG 8
Annual Report on Form 10-K, pages 109-124
consultation, and
GRI 307: Environmental compliance communication on
occupational health
103-1 to Management approach Environmental management 140 and safety
103-3 disclosures
403-5 Worker training on Health and safety 132
307-1 Non-compliance with Environmental management 140 UNGC Principle 8 occupational health
environmental laws Metric tables: environmental footprint, environmental 244 SDG 16 and safety
and regulations management
Annual Report on Form 10-K, pages 109-124 403-6 Promotion of worker Health and safety 132
health
GRI 308: Supplier environmental 403-7 Prevention and Health and safety 132
103-1 to Management approach Suppliers 176 mitigation of Innovation management 198
103-3 disclosures Supplier Responsibility Code occupational health and
safety impacts directly
308-1 New suppliers that Suppliers 176 UNGC Principle 8 linked by business
were screened using Supplier Responsibility Code relationships
environmental criteria
403-8 Workers covered by Health and safety 132
308-2 Negative environmental Suppliers 176 UNGC Principle 8 an occupational health Employee programs 120
impacts in the supply Supplier Responsibility Code and safety management
chain and actions taken system
403-9 Work-related injuries Health and safety 132
Topic specific standards, 400 social Metric table: health and safety 244
GRI 401: Employment 403-10 Work-related ill health Health and safety 132
Metric table: health and safety 244
103-1 to Management approach Employee programs 120
103-3 disclosures GRI 404: Training and education
401-1 New employee hires Employee programs 120 UNGC Principle 6 103-1 to Management approach Employee programs 120
and employee turnover Confidentiality constraints, we can provide total turnover SDG 5, 8 103-3 disclosures
rate of 13.1% but not able to provide breakdown by age 404-1 Average hours of Employee programs 120 UNGC Principle 6
group, gender, and region. training per year per SDG 4, 5, 8
401-2 Benefits provided to Employee programs 120 SDG 8 employee
full-time employees 404-2 Programs for upgrading Employee programs 120 SDG 8
that are not provided to employee skills and
temporary or part-time transition assistance
employees program
401-3 Parental leave Employee programs 120 UNGC Principle 6 404-3 Percentage of Employee programs 120 UNGC Principle 6
SDG 5, 8 employees receiving SDG 5, 8
GRI 402: Labor/management relations regular performance
and career development
103-1 to Management approach Employee programs 120 reviews
103-3 disclosures
GRI 405: Diversity and Equal Opportunity
402-1 Minimum notice periods Employee programs 120
regarding operational 103-1 to Management approach Corporate governance 86
changes 103-3 disclosures Employee diversity and inclusion 70
Employee programs 120
405-1 Diversity of governance Corporate governance 86 UNGC Principle 6
bodies and employees Corporate Officers SDG 5, 8
Board of Directors
Employee diversity and inclusion 70
Employee programs 120
232 About report GRI index and UNGC 3M 2020 Sustainability Report #improvinglives 233
Disclosure Page Connections to United Disclosure Page Connections to United
Description Cross-reference (hyperlinks) or direct answer Description Cross-reference (hyperlinks) or direct answer
number (.pdf) Nations Initiatives* number (.pdf) Nations Initiatives*
103-1 to Management approach 3M Supplier Responsibility Code 413-2 Operations with Corporate Code of Conduct 98 UNGC Principle 1
103-3 disclosures Human rights 106 significant actual and Enterprise risk 94 SDG 1, 2
Suppliers 176 potential negative Human rights 106
Supplier Responsibility Expectations impacts on local Environmental management 140
communities Circular materials 146
408-1 Operations and Suppliers 176 UNGC Principle 5 Climate and energy 160
suppliers at significant Human rights 106 SDG 8, 16 Suppliers 176
risk for incident of 3M Supplier Responsibility Code
child labor GRI 414: Supplier social assessment
GRI 409: Forced or compulsory labor 103-1 to Management approach Suppliers 176
103-3 disclosures
103-1 to Management approach 3M Supplier Responsibility Code
103-3 disclosures Human rights 106 414-1 New suppliers that were Suppliers 176 UNGC Principle 2
Suppliers 176 screened using social SDG 5, 8, 16
criteria
409-1 Operations and 3M Supplier Responsibility Code UNGC Principle 4
suppliers at significant Human rights 106 SDG 8 414-2 Negative social impacts Suppliers 176 UNGC Principle 2
risk for incidents of Suppliers 176 in the supply chain and SDG 5, 8, 16
forced or compulsory Supplier Responsibility Expectations actions taken
labor
GRI 415: Public policy
GRI 410: Security practices 103-1 to Management approach Corporate governance 86
103-1 to Management approach Human rights 106 103-3 disclosures Lobbying and Political Activities
103-3 disclosures 415-1 Political contributions Corporate governance 86 UNGC Principle 10
Lobbying and Political Activities SDG 16
410-1 Security personnel Human rights 106 UNGC Principle 1 Political Activities and Issue Advocacy
trained in human rights SDG 16
policies or procedures GRI 416: Customer health and safety
GRI 411: Rights of indigenous peoples 103-1 to Management approach Innovation management 198
103-3 disclosures Product Safety, Quality, and Stewardship Principle
103-1 to Management approach 3M Supplier Responsibility Code
103-3 disclosures Human rights 106 GRI 417: Marketing and labeling
Suppliers 176
103-1 to Management approach Innovation management 198
411-1 Incidents of violations To the best of our knowledge, there were no incidents UNGC Principle 1 103-3 disclosures Product Safety, Quality, and Stewardship Principle
involving rights of reported to Ethics & Compliance Department related SDG 2
indigenous peoples to the rights of indigenous people in 2019. GRI 418: Customer privacy
GRI 412: Human rights assessment 103-1 to Management approach Data Privacy Principle
103-3 disclosures 3M Global Privacy Policy
103-1 to Management approach Human rights 106
103-3 disclosures GRI 419: Socioeconomic compliance
412-1 Operations that have Human rights 106 UNGC Principle 1 103-1 to Management approach Corporate Code of Conduct 98
been subject to human 103-3 disclosures
rights reviews or impact 419-1 Non-compliance with Significant legal actions for non-compliance with laws SDG 16
assessments laws and regulations and regulations in the social and economic area would be
412-2 Employee training on Human rights 106 UNGC Principle 1 in the social and discussed in our Annual Report on Form 10-K, pages 109–124
human rights policies economic area
or procedures *United Nations Global Compact Principles and United Nations Sustainable Development Goals
234 About report GRI index and UNGC 3M 2020 Sustainability Report #improvinglives 235
SASB index
Page
Dimension General issue category Cross-reference (hyperlinks) or direct answer
(.pdf)
Human Labor Practices Corporate Code of Conduct 98
capital Human rights 106
Suppliers 176
Ethics & compliance
Sustainability Accounting
Supplier Responsibility Code
Employee health Health and safety 132
and safety Metric tables: historical metrics; health and safety 244
Standards Board
Employee engagement, Communities 60
diversity and inclusion Employee diversity and inclusion 70
Business Product design and life Innovation management 198
model and cycle management
innovation
Business model Enterprise risk 94
resilience Our customers 192
SASB index Innovation management 198
Our products 208
Page Supply chain Suppliers 176
Dimension General issue category Cross-reference (hyperlinks) or direct answer
(.pdf) management Supplier Responsibility Code
Environment GHG emissions Climate and energy 160 Materials sourcing Circular materials 146
Metric tables: historical metrics; environmental performance, greenhouse gas and energy 244 and efficiency Suppliers 176
Annual Report on Form 10-K, page 24
Air quality Climate and energy 160
Metric tables: historical metrics; environmental performance, air emissions 244 Physical impacts of Climate and energy 160
climate change Annual Report on Form 10-K, page 10
Energy management Climate and energy 160
Metric tables: historical metrics; environmental performance, greenhouse gas and energy 244 Leadership Business ethics Corporate Code of Conduct 98
and Ethics & compliance
Water and wastewater Environmental management 140
governance
management Circular materials 146 Competitive behavior Corporate Code of Conduct 98
Metric tables: historical metrics; environmental performance, water and environmental 244 Antitrust and Competition Principle
management system
Management of Environmental management 140
Waste and hazardous Environmental management 140 legal and regulatory Annual Report on Form 10-K, page 7, 13, 109–124
materials management Circular materials 146 environmental
Metric tables: historical metrics; environmental performance, waste 244
Critical incident risk 3M Value Model 48
Ecological impacts Environmental management 140 management Corporate governance 86
Circular materials 146 Enterprise risk 94
Climate and energy 160 Environmental management 140
Suppliers 176 Health and safety 132
Metric tables: historical metrics; environmental performance 244 Suppliers 176
Social Human rights and Corporate Code of Conduct 98 System risk Enterprise risk 94
capital community relations Suppliers 176 management Annual Report on Form 10-K, page 10–13, 109–124
Human rights 106
For additional details on SASB integration for this report, see the About report section.
Ethics & compliance
Customer privacy Corporate Code of Conduct 98
Enterprise risk 94
3M Global Privacy Policy
Annual Report on Form 10-K, page 12
Data security Enterprise risk 94
Annual Report on Form 10-K, page 12
Access and affordability Our customers 192
Product quality Our customers 192
and safety Innovation management 198
Our products 208
Customer welfare Our customers 192
Innovation management 198
Product Safety, Quality, and Stewardship Principle
Selling products and Our customers 192
product labeling Innovation management 198
Product Safety, Quality, and Stewardship Principle
Advertising and Product Representation Policy
236 About report SASB index 3M 2020 Sustainability Report #improvinglives 237
Assurance INDEPENDENT ASSURANCE STATEMENT
Scope of work
3M requested Apex to include in its independent assurance the following:
§ Data included in the Report for the calendar year 2019 reporting period as shown in
the attached Summary of Assured Information;
§ Appropriateness and robustness of underlying reporting systems and processes, used
to collect, analyze and review the data subject to the assurance process; and
§ Evaluation of the Report in accordance with the Assurance Standard AA1000AS
(2008)1 Type 2 assurance.
Excluded from the scope of our work is any assurance of information relating to:
§ Text or other written statements associated with the Report;
§ Activities outside the defined assurance period; and
§ Financial data and data reported that are not included in the Summary of Assured
Information.
Reporting Criteria
§ World Resources Institute (WRI)/World Business Council for Sustainable Development
(WBCSD) Greenhouse Gas (GHG) Protocol Corporate Accounting and Reporting
Standard (Scope 1 and 2 Greenhouse Gas Emissions)
§ WRI/WBCSD Greenhouse Gas Protocol Corporate Value Chain Accounting and
Reporting Standard (Scope 3 Greenhouse Gas Emissions)
§ GRI Standards, Core Option for the assured metrics
§ 3M reporting protocol.
Methodology
Apex undertook the following activities during the assurance process:
1. Interviews with relevant personnel of 3M (including managers and staff members at
the corporate and site level);
2. Review of internal and external documentary evidence produced by 3M;
1
Published by AccountAbility: The Institute of Social and Ethical Accountability
238 About report Assurance statement 3M 2020 Sustainability Report #improvinglives 239
3. Audit of performance data presented in the Report including a detailed review of a Key Observations for 2019
sample of data;
§ Data systems at 3M allow for consolidation and review of environmental, safety, energy,
4. Visits to manufacturing sites located in Columbia, Missouri, Corona, California, training, and supply chain data at the corporate level for reporting. Automatic data
Nevada, Missouri, Springfield, Missouri; compilation from the site levels and other data sources assist accurate data collection and
5. Remote data reviews for manufacturing sites located in Blacktown, NSW, Australia, compilation.
Clitheroe, United Kingdom, Kuan-Yin, greater China Region; § Manufacturing plants in water stressed areas have developed water plans and 3M is working
6. Remote review at 3M headquarters office located in Maplewood, Minnesota (remote to continue to improve the plans through standardization and working with regional groups.
review conducted due to restrictions from COVID-19); and § 3M has made commitments to decrease the overall carbon footprint as evidenced by
7. Review of 3M data and information systems for collection, aggregation, analysis and purchasing power from renewable sources for the corporate facilities as well as renewable
internal verification and review. energy credits.
The work was planned and carried out to provide a moderate level of assurance and we believe § 3M continued to work within their supply chain, specifically with paper providers and
it provides a sound basis for our conclusions. minerals suppliers, to engage higher Tier suppliers to ensure sustainable practices are being
followed.
Our findings
§ Starting in 2019, each new product will have a Sustainability Value Commitment that will
On the basis of our methodology and the activities described above: embed sustainability into every product.
§ Nothing has come to our attention to indicate that the reviewed information within the § Community outreach and support is aligned with the 3M sustainability pillars to demonstrate
scope of our assurance is not materially correct in accordance with the Reporting overall commitment and direction to social and sustainability goals. Corporately, the 3M
Criteria. Foundation provides funding to targeted non-profit organizations in the U.S. and within their
global footprint. 3M engagement extends to the facility level and local communities.
§ It is our opinion that 3M has established appropriate systems for the collection,
aggregation and analysis of quantitative data, including energy use, direct and indirect
greenhouse gas (GHG) emissions, water consumption, waste quantities and
disposition, injury and illness rate, lost day rate, severity rate and number of Statement of independence, integrity and competence
environmental violations. Apex is an independent professional services company that specializes in Health, Safety,
Social and Environmental management services including assurance with over 30 years history
A summary of data within the scope of assurance for 2019 is attached.
in providing these services.
Adherence to the AA1000 Accountability Principles No member of the assurance team has a business relationship with 3M, its Directors or
Based on the work undertaken during this assurance process, we are of the opinion that 3M Managers beyond that required of this assignment. We conducted this verification
adheres to the Accountability Principles of inclusivity, materiality and responsiveness as independently and to our knowledge there has been no conflict of interest.
discussed below. Apex has implemented a Code of Ethics across the business to maintain high ethical
Inclusivity standards among staff in their day-to-day business activities.
Based on discussions with 3M, their processes appear to be inclusive of stakeholders. In 2018, The assurance team has extensive experience in conducting assurance over environmental,
3M commissioned a third party provider to update their materiality assessment and used that social, ethical and health and safety information, systems and processes, has over 20 years
assessment to identify and engage stakeholders. Some of the stakeholder groups that 3M combined experience in this field and an excellent understanding of Apex standard
identified to include in their sustainability processes were 3M employees, customers, non- methodology for the Assurance of Sustainability Reports.
governmental organizations, investors and the public.
Materiality
During the 2018 materiality assessment stakeholders indicated that 3M should take a Attestation:
leadership role. The Chief Technology Officer and Chief Sustainability Officer report annually
to the Board’s Science, Technology and Sustainability Committee regarding sustainability
efforts. In addition, corporate leadership appear to support embedding sustainability principles
throughout the company. Background information can be found in the 3M proxy statement. 3M
is planning to update the materiality statement in 2020. John A. Rohde Lead Verifier Trevor Donaghu, Technical Reviewer
Lead Assuror Technical Reviewer
Responsiveness
Sustainability and Climate Change Services Climate Change Services
3M receives questions regarding sustainability from customers, investors, non-governmental
organizations and others through various channels. The company has guidance for responding
to customer inquiries on sustainability issues and uses this guidance for responding to other Apex Companies, LLC
groups as well. Responses to surveys are coordinated by the corporate sustainability group. Denver, Colorado
Each business group also has sustainability leads who assist with responding to stakeholders.
In addition, through the materiality assessment, 3M is building out a strategy for future April 10, 2020
sustainability efforts. External community partnership relationships have been tied to the
sustainability pillars.
240 About report Assurance statement 3M 2020 Sustainability Report #improvinglives 241
Summary of Assured Information Summary of Assured Information
f Assured Information Reporting Year 2019 of Summary
SummarySummary
Assured of Assured
of Assured
Information Information
Information Reporting Year 2019
rting Year 2019 3M Company Reporting Reporting
Reporting
Year 2019YearYear
20192019 3M Company
M Company 3M Company 3M Company
3M Company
Offsite Recycle Metric Tons 143,000 Renewable Energy % Total Electricity Use 32.6 Category 6 - Business
Offsite Recycle
Travel Metric Tons CO2e
Metric Tons 52,800 143,000 Renewable Energy % Total Electricity Use 32.6
00 Renewable Energy % Total Electricity Use 32.6 OffsiteCategory
Recycle 6 - Offsite
Offsite Business
RecycleRecycle
Travel MetricMetric Tons Metric
Tons Metric CO2e
Tons Tons 52,800
143,000 143,000
143,000 Renewable EnergyRenewable
Renewable EnergyEnergy % Total Electricity
% Total % Electricity
Total Electricity
Use Use Use
32.6 32.6 6 - Category
32.6Category Category
Business Travel6 - Business
6 - Business TravelTravelMetric Tons Metric
CO2e Metric Tons CO2e
Tons CO2e 52,800 52,800
52,800
242 About report Assurance statement 3M 2020 Sustainability Report #improvinglives 243
Metric
2018-2019 2015-2019
Metric
Metric RY-2015 RY-2016 RY-2017 RY-2018 RY-2019 annual five-year
units
change, % change, %
tables
Social performance, employees
Global full-time Total
89,400 91,600 91,500 93,500 96,200 2.89 7.61
equivalent employees number
Global employee Total
90,400 92,500 92,400 94,300 96,800 2.65 7.08
(headcount) number
Total number part-time Total
2,520 2,390 2,330 2,100 1,950 -7.14 -22.6
employees number
Total number full-time Total
87,900 90,100 90,000 92,200 94,900 2.93 7.96
Five-year metric table In 2018, we identified an opportunity employees number
for classification of our manufacturing Percentage of female
Social performance, employees sites for a portion of our greenhouse employees to total % 33.9 34.8 34.7 35.4 36.2 2.26 6.78
gas (GHG) emissions aligning to employees
Financial performance our 2002 inventory. This change Percentage of
impacted calculation methodologies female employees in % 26.9 27.8 29.1 30.3 31.1 2.64 15.6
Community engagement for energy and waste GHG estimations. management positions
Therefore, limiting direct comparability
Environmental performance
of Scope 1, 2, and Scope 3, category Financial performance
• Environmental management 5 between reporting year 2017 and Million
2018. For this reason, reporting years Net sales 30,300 30,100 31,700 32,800 32,100 -2.13 5.94
system — metric $USD
2017 and 2018 Scope 1 and 2 GHG Million
• Greenhouse gas — metric Operating income1 6,980 7,030 7,690 7,210 6,170 -14.4 -11.6
emissions year-on-year comparison $USD
• Air emissions — metric should be viewed as an estimate.
Research, development, Million
The 2018 GHG inventory is fully 1,760 1,760 1,870 1,820 1,910 4.95 8.52
• Energy — metric and related expenses1 $USD
comparable with baseline year 2002.
• Waste — metric Total operating Million
23,300 23,100 24,000 25,600 26,000 1.56 11.6
expenses1 $USD
• Water — metric
Net income attributable Million
4,830 5,050 4,860 5,350 4,570 -14.6 -5.38
to 3M $USD
Health and safety
Actual
Per share-basic 7.72 8.35 8.13 9.09 7.92 -12.9 2.59
Supplier responsibility $USD
Actual
Per share-diluted 7.58 8.16 7.93 8.89 7.81 -12.1 3.03
3M historical $USD
Million
metrics table Capital expenditures
$USD
1,460 1,420 1,370 1,580 1,700 7.59 16.4
Community engagement
Million
Total global giving 72.8 67.3 73.5 66.3 73.3 10.6 0.687
$USD
Million
Total cash donations 34.1 34.8 35.9 35.6 32.4 -8.99 -4.99
$USD
Million
Total in-kind donations 38.4 32.5 37.6 30.7 40.9 33.2 6.51
$USD
Volunteer
3M Impact 20,600
hours
244 About report Metric tables 3M 2020 Sustainability Report #improvinglives 245
2018-2019 2015-2019 2018-2019 2015-2019
Metric Metric
Metric RY-2015 RY-2016 RY-2017 RY-2018 RY-2019 annual five-year Metric RY-2015 RY-2016 RY-2017 RY-2018 RY-2019 annual five-year
units units
change, % change, % change, % change, %
246 About report Metric tables 3M 2020 Sustainability Report #improvinglives 247
2018-2019 2015-2019 2018-2019 2015-2019
Metric Metric
Metric RY-2015 RY-2016 RY-2017 RY-2018 RY-2019 annual five-year Metric RY-2015 RY-2016 RY-2017 RY-2018 RY-2019 annual five-year
units units
change, % change, % change, % change, %
248 About report Metric tables 3M 2020 Sustainability Report #improvinglives 249
2018-2019 2015-2019 Historical
Metric
Metric RY-2015 RY-2016 RY-2017 RY-2018 RY-2019 annual five-year Metric Metric units RY-2002 RY-2005 RY-2010 RY-2015 RY-2019 reporting
units
change, % change, % change, %
Water — metric
Million
3M historical metrics
Total water use
cubic 42.2 44.8 46.0 45.8 41.9 -8.52 -0.711 Net sales Million $USD 16,300 26,700 29,600 30,300 32,100 96.9
(absolute)
meters
Environmental footprint
Million
cubic Absolute Scope 1
Total water use (indexed Metric Tons CO2e 16,800,000 10,100,000 4,280,000 3,770,000 4,050,000 -75.9
meters per 0.00139 0.00149 0.00145 0.00140 0.00131 -6.43 -5.76 emissions (direct)
to net sales)
net sales Absolute Scope 2
(MM $USD) location-based Metric Tons CO2e 1,540,000 1,700,000 1,940,000 1,860,000 1,780,000 15.6
Scope of boundary for the water metric includes 3M manufacturing locations with total output over 4.54 metric tons per year emissions (indirect)
(10,000 pounds). Additional information can be found in the About report section. Total Absolute Scope
Sites located in 1 and Scope 2 GHG
Metric Tons CO2e 18,300,000 11,800,000 6,220,000 5,630,000 5,830,000 -68.1
water stress/scarce emissions: location-
areas; water sources based accounting
Total
significantly affected 25 25 25 25 18 -28.0 -28.0 Total Scope 1 and
number
by withdrawal of water Scope 2 greenhouse gas Metric Tons per net sales
with water conservation 1,120 559 233 186 182 -83.8
emissions (indexed to net (MM $USD)
planning efforts sales, location-based)
Scope of boundary for water stressed or scarce areas includes 3M locations with annual water use equal to or greater than 1,000 cubic 2012-2016 U.S. EPA GHG-MRR/IPCC AR5 based inventory accounting is not directly comparable to 2002-2011 WRI/IPCC TAR, AR4
meters were in water-stressed areas defined by the extremely high baseline water stress value according to the World Business Council based GHG accounting. 2002 inventory recalculated according to U.S. EPA GHG-MRR/IPCC AR5 methodology (2.7% increase in absolute
for Sustainable Development (WBCSD) Global Water Tool™ for years prior to 2019. Staring in 2019, we utilized the World Resources (WRI) emissions over original reported value).
Aqueduct tool with the same scope of boundary.
Total volatile organic
Health and safety compound emissions
(absolute)
Metric tons 6,800 6,070 4,800 3,940 -42.1
250 About report Metric tables 3M 2020 Sustainability Report #improvinglives 251
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St. Paul, MN 55144-1000
USA
(651) 733-1110
www.3M.com/Sustainability