Corporate Social Responsibility

2022 Corporate Social Responsibility Report

Extreme is committed to ensuring our corporate social responsibility (CSR) efforts resonate across our entire business, from the supply chain partners we select to the customers we serve. More than 50,000 organizations around the world, including half of the Fortune 50, rely on Extreme for the networking services and solutions they need to scale and advance their digital transformation efforts.

 

"At Extreme, we are passionate about our people and the environment in which we live and work. Our leaders embrace our company’s core values of Candor, Transparency, Curiosity, Teamwork, Ownership, and Inclusion, and encourage the practice of these values across the organization as part of the normal course of doing business. I am proud of our CSR leaders at Extreme for driving these efforts, and for our employees and partners for engaging with and embracing our CSR mission. "

Ed Meyercord
President and CEO

“Our world is more reliant on technology than ever before, and as a technology company it is our duty to ensure we are making a positive impact. Extreme took additional steps in fiscal 2021 to meet our goals for corporate responsibility and sustainable practices, and I could not be more proud of how far we have come.”

Katy Motiey
Chief Administrative and Sustainability Officer

Human Capital


Diversity and Inclusion

At Extreme, we believe people are our most important asset. We manage our human capital guided by our core values of Candor, Transparency, Curiosity, Teamwork, Ownership, and Inclusion. Our VP of Talent & Head of Diversity, Kimberley Basnight, oversees these efforts across our entire employee base.

In 2022, we appointed our first ever Senior Director of Diversity Initiatives and Strategic Partnerships. This person works directly with our leadership and key stakeholders as a strategic partner to develop, maintain, amplify and expand our DE&I strategy and deliverables, which include the acquisition, development, and retention of diverse talent aligned with our DE&I strategy, as well as business development efforts.

The objective of our DE&I efforts is to give voice to diversity, allowing all to gain valuable perspectives to drive better decision making, and better outcomes. We encourage all our employees to speak up. We strive to foster an environment that attracts the best talent, values diversity of life experiences and perspectives, and encourages innovation in the pursuit of our corporate mission – to advance how society connects to each other.

Our DE&I efforts have an external focus as well. For example, our BEX ERG partners with the Thurgood Marshall College Fund, and WIN partners with Women in Technology. Our API ERG partners with Center for the Pacific Asian Family, and La Raza, our Hispanic ERG, partners with HiTech, an organization focused on supporting Hispanic students and professionals on their path to rewarding careers.

Environmental

Responsible Resource Consumption

Extreme has an active waste management policy in all its offices and employees are encouraged to recycle. We make efforts to reuse and recycle our IT equipment and offer our employees the opportunity to keep their old laptop for personal use when their device is refreshed. We reuse equipment for stress testing in our labs. When customers want to refresh their hardware, we help them dispose the old hardware in an environmentally safe manner.

Sustainable Product Management

Extreme continues to seek ways to design, manufacture, and deliver our cloud networking solutions in an environmentally and socially sustainable manner. Our Office of the CTO (Chief Technology Officer) recently partnered with multiple customers to collect live data regarding energy consumption of certain wired and wireless components in our product portfolio to better understand: the efficiency of the latest hardware chipsets; how much power is saved using Energy-Efficient Ethernet (EEE), and efficient network design options, among others.

Through this research, we are working to quantify power savings across generations of products, accounting for the lower power dissipation of more advanced ASICS as well as higher efficiency power supplies.

Climate Change

We do not manufacture products but continue to assess the environmental impact of our supply chain partners. This past year, we embarked on a project to have our methodology and carbon inventory audited and certified by an independent third party in accordance with the ISO14064-1 international standard and will report on environmental metrics in future years using a standardized and auditable methodology.

In 2019, we installed a Bloom Energy Fuel Cell system in our San Jose, California office. According to Bloom Energy’s data, in fiscal 2022, this fuel cell system emitted 23.22% less CO2, 99.9% less NOx and SO2, and used less than 0.1% of the water that would have been used had the same amount of electricity been acquired through PG&E, the local energy company.

We continue to reduce our global office footprint over the next few years, which should continue to lower greenhouse gas emissions. We use occupancy sensor-driven lighting and low-flow plumbing in our LEED-certified headquarters in Morrisville, NC. We have electric charging stations available to employees at no cost at several of our office locations. The charging provided by these stations represents savings of more than 18,000 kg of greenhouse gas emissions during our fiscal 2022.

Source: Bloom Energy

Product Compliance

Extreme’s products comply with environmental regulations in global markets where the Company manufactures and sells products. Our products comply with our Green Environmental Compliance Specification, and we continually monitor regulations and product changes to maintain compliance.


Social Capital

Social Capital

Giving has always been a part of our culture. Employees in every geography, in every job function, routinely give their time and resources to help those less fortunate. Philanthropy is a cornerstone of our ERG events. Employees share their passions and causes company-wide to raise awareness and garner support. They also incorporate philanthropy into meetings with customers, partners and in internal teambuilding.

In May 2022, Extreme’s global workforce came together for the second year to contribute and volunteer our time physically and virtually. The event was orchestrated by our Philanthropy team and 35 giving captains worldwide with support from all our ERGs. Over a third of the company (more than 1,000 employees) contributed 2,000 hours to support 50 charitable organizations. Participating in 47 global locations, our employees walked, ran and biked to raise funds; distributed, packed, or cooked 30,000 meals; and cleaned up parks and roadways, among other activities.

Business Model and Innovation

Data Privacy and Security

Respecting and protecting personal data is imperative to meet the needs of our customers, as well as regulatory requirements. To help us identify, review, and manage data privacy issues, we rely on a team of Data Privacy Champions (DPCs) embedded throughout the organization. Our legal team leads the team of DPCs who educate other employees, review vendors, monitor compliance, and raise questions to leadership regarding privacy.

To demonstrate our commitment to information security and data privacy, Extreme maintains ISO/IEC 27001 and 27701 certifications, and the ISO/IEC 27017 statement of compliance. Achievement of these certifications requires a third-party assessment of policies, procedures, and practices in place to prevent and mitigate cyberattacks. In fiscal 2022, we achieved SOC-2 certification, a third-party assessment verifying that our policies are put into practice.

Governance

Governance

Our Extreme Code of Business Conduct and Ethics (“Code of Conduct”) covers topics such as export control, anti-corruption, gift-giving, political contributions, fair disclosure, insider trading, conflicts of interest, confidentiality, anti-competitive behavior, use of company assets, government business, and employment practices. We maintain an anonymous whistleblower hotline to report violations of the Code of Conduct, and reports may also be made directly to the Audit Committee of the Board and the Chief Administrative and Sustainability Officer of the Company. Reports are fully and promptly investigated, and results are submitted to the Audit Committee as well as to our external auditors.

We continue to support our Global Ethics Team (GET) Champions, a team of ethics advisors that serve as an accessible face of ethics and integrity throughout the company. This cross-functional team helps ensure that ethical behavior and integrity are a true part of Extreme’s day-to-day culture for all employees.

2022 and Ongoing CSR Goals

Sustainable Product Management
GoalBaselineTimelineSASB
STANDARD
Status
Ensure 30% of Tier 1 Supply Chain partners by spend have set Science Based Targets*
N/A​End of CY’22N/AComplete
Improve power efficiency of new products by 20%
2019End of CY’23​
TC-SI-130a.1
On target
Enable the Circular Economy by: ​
  1) Establishing a baseline and goal for the use of​
      recycled and recyclable material used in the​ manufacturing of Extreme’s products​
  2) Establishing a baseline and goal for obsolete ​
      product that is reused/refurbished/recycled and ​identify improvement plans.​
N/A​End of CY’22​
N/AOn target

*Science Based Targets are targets to achieve a worldwide standard of 50% reduction in GHG by 2030

Responsible Resource Consumption
GoalBaselineTimelineSASB
STANDARD
Status
Reduce our carbon-based footprint by 50% in 2030 (Scope 1, 2, and 3) in accordance with Science Based Targets[1].2019End of CY’30​
N/AOn target
Reduce Scope 1, 2, and 3 GHG emissions by 12%.​​​2019
End of CY’22
N/AIn process
Reduce Scope 1 GHG emissions by 25%. ​​​2020End of CY’25N/AOn target

Scope 1: direct emissions from owned or controlled sources​
Scope 2: indirect emissions from generation of purchased electricity, steam, heating and cooling consumed by the reporting company​
Scope 3: all other indirect emissions that occur in a company’s value chain​
[1] Science Based Targets are targets to achieve a worldwide standard of 50% reduction in GHG by 2030

Human Capital
GoalBaselineTimelineSASB
STANDARD
Status
Maintain best in class employee turnover of less than 14%
11% Voluntary
End of CY’25
N/AOn target
Diversity, Equity & Inclusion
GoalBaselineTimeliineSASB
STANDARD
Status
Increase % of women to 28% by 2025 and 35% by 2030
18%
End of CY’25
TC-SI-330a.3On target
Increase representation in US of African American/Black to 6% and Hispanic employees to 7% by the end of 2025Black – 3.1%
Latino – 4.2%
End of CY’25
TC-SI-330a.3On target
Increase % of women in executive leadership to 30% by end of 2023
15%
End of CY’23
TC-SI-330a.3On target
Increase DEI Manager Training participation to 95%
80%
Annually 
N/AOn target
Data Privacy & Security
GoalBaselineTimelineSASB
STANDARD
Status
SOC2 for ExtremeCloud IQEnd of CY’22
TC-SI-230a.2Complete
Philanthropy

GoalBaselineTimelineSASB
STANDARD
Status
Annual Day of Service
Held first global Day of Giving May 2021
Annual
N/AHeld second annual
Day of Giving
May 10, 2022
Add Volunteer Time Off (VTO) days as part of employee benefit package
N/AEnd of CY’23
N/AIn process
Institute employee recognition program for volunteerism
N/AEnd of CY’23
N/AIn process

Sustainable Product Management
GoalBaselineTimelineSASB
STANDARD
Status
Ensure 30% of Tier 1 Supply Chain partners by spend have set Science Based Targets*
N/A​End of CY’22N/AComplete
Improve power efficiency of new products by 20%
2019End of CY’23​
TC-SI-130a.1
On target
Enable the Circular Economy by: ​
  1) Establishing a baseline and goal for the use of​
      recycled and recyclable material used in the​ manufacturing of Extreme’s products​
  2) Establishing a baseline and goal for obsolete ​
      product that is reused/refurbished/recycled and ​identify improvement plans.​
N/A​End of CY’22​
N/AOn target

*Science Based Targets are targets to achieve a worldwide standard of 50% reduction in GHG by 2030

Responsible Resource Consumption
GoalBaselineTimelineSASB
STANDARD
Status
Reduce our carbon-based footprint by 50% in 2030 (Scope 1, 2, and 3) in accordance with Science Based Targets[1].2019End of CY’30​
N/AOn target
Reduce Scope 1, 2, and 3 GHG emissions by 12%.​​​2019
End of CY’22
N/AIn process
Reduce Scope 1 GHG emissions by 25%. ​​​2020End of CY’25N/AOn target

Scope 1: direct emissions from owned or controlled sources​
Scope 2: indirect emissions from generation of purchased electricity, steam, heating and cooling consumed by the reporting company​
Scope 3: all other indirect emissions that occur in a company’s value chain​
[1] Science Based Targets are targets to achieve a worldwide standard of 50% reduction in GHG by 2030

Human Capital
GoalBaselineTimelineSASB
STANDARD
Status
Maintain best in class employee turnover of less than 14%
11% Voluntary
End of CY’25
N/AOn target
Diversity, Equity & Inclusion
GoalBaselineTimeliineSASB
STANDARD
Status
Increase % of women to 28% by 2025 and 35% by 2030
18%
End of CY’25
TC-SI-330a.3On target
Increase representation in US of African American/Black to 6% and Hispanic employees to 7% by the end of 2025Black – 3.1%
Latino – 4.2%
End of CY’25
TC-SI-330a.3On target
Increase % of women in executive leadership to 30% by end of 2023
15%
End of CY’23
TC-SI-330a.3On target
Increase DEI Manager Training participation to 95%
80%
Annually 
N/AOn target
Data Privacy & Security
GoalBaselineTimelineSASB
STANDARD
Status
SOC2 for ExtremeCloud IQEnd of CY’22
TC-SI-230a.2Complete
Philanthropy

GoalBaselineTimelineSASB
STANDARD
Status
Annual Day of Service
Held first global Day of Giving May 2021
Annual
N/AHeld second annual
Day of Giving
May 10, 2022
Add Volunteer Time Off (VTO) days as part of employee benefit package
N/AEnd of CY’23
N/AIn process
Institute employee recognition program for volunteerism
N/AEnd of CY’23
N/AIn process