2007 Corporate Social Responsibility Report

Corporate Responsibility

We need to balance the environmental impacts of our product packaging, such as material use and waste creation, with the need to protect valuable equipment as it's shipped around the world. We must be confident that our packaging is strong enough to support its contents without allowing it to be harmed.

In our 2006 CSR report, we said we would evaluate our entire packaging strategy and implement an appropriate action plan to address any environmental impact. This overhaul of our packaging strategy is now well underway. We're reviewing everything from labeling and cardboard weight to recyclability, and taking the environmental impact of our choices into account.

The challenge is not so much improving the materials themselves — we already use recyclable, unbleached cardboard and are working with packaging engineers to test new materials such as biodegradable foam. These are more environmentally sound and consistent with our corporate values and goals.

The main difficulty is that our supply chain strategy is designed to deliver our products to customers using the most direct route possible from the factory to their door. This means that orders with parts produced in multiple locations aren't shipped together — our customers may receive them in many boxes, each made from cardboard and containing foam inserts.

We continue to evaluate our packaging strategy and seek more eco responsible options, and will provide a further update in our 2008 CSR report.