Driving Sustainability, Equity and Trust into Our Supply Chain

VMware’s Responsible Sourcing Program tackles some of the world’s most complex  Environmental, Social and Governance (ESG) challenges by co-innovating with our trading partners. Our philosophy is to focus on how we can support an ethical, sustainable, and diverse supply chain to strengthen our business, create new opportunities for growth and protect our people and planet.  

Purchasing Decisions Matter

At VMware, we are inspired and driven by our people and culture every day. We prioritize diverse perspectives and enable inclusive participation in our operations. It’s not just the right thing to do, it fosters innovation and a competitive advantage while also helping our people and community thrive. 

We are asking our suppliers to join us in advancing our social and environmental performance and playing their part in contributing to a better world. Together, we can create a wave of change. This is a journey, and we’re excited for you to join us.

VMware prioritizes spend with suppliers that are aligned to our 2030 Agenda, focusing our efforts on three pillars: 

Sustainability

Choose partners who are committed to decarbonizing their operations 

Diversity

Commit to acting ethically and responsibly, and enabling greater supplier diversity  

Accessibility

Procure technology and tools, and source suppliers that prioritize accessibility for all  

We have the unique opportunity to impact diversity and inclusion, social justice, and climate change and align to our 2030 Agenda for the betterment of our communities. We will partner with our stakeholders in this journey.
— Vipul Chitalia, Vice President, Sourcing & Operations

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Environmental Social Governance

VMware is building a more sustainable, equitable and secure future by integrating Environmental, Social and Governance (ESG) goals across the company and aligning them with our core business strategy.

FY22 DEI Annual Report

FY23 DEI Annual Report

Our 2023 Diversity, Equity and Inclusion (DEI) report, and our 2030 Agenda, are a reflection of where we are today and the concrete actions we’re taking to embed DEI into everything we do.

Supplier Code of Conduct

VMware has a robust Supplier Code of Conduct. Please visit our Procure to Pay site, where it can be opened in multiple languages.

Ask Questions or Get Involved

Still Have Questions? We Have Answers

Email us at responsiblesourcing@vmware.com to learn more about how you can participate.

Are You a Diverse Supplier? Work with Us!

If you are certified as a diverse supplier, learn more about how you can partner with us.

Engaging Suppliers for a More Sustainable Future

Our suppliers represent a significant portion of our carbon footprint, with 77% of our carbon emissions coming from our supply chain. The only way we can reduce our environmental impact and achieve our sustainability goals is by partnering with you to start taking action now.

Decarbonizing Our Supply Chain

VMware is working with suppliers so that 75% of our suppliers (by spend) will set their own science-based targets by the end of FY25. To support these goals, we have developed a Sustainability Supplier Engagement program leveraging Watershed, our supplier resource portal and carbon management system, and an automated communications platform to assist our suppliers along the way.

As a key partner and a critical part of our footprint, we expect you to complete a maturity survey, plan of record, and commit to setting science-based targets by January 31, 2025. 

While ambitious, this collaborative approach to decarbonization and target setting is necessary to address the effects of climate change that all companies must face. And you don’t have to do it alone. We are committed to your success starting with free resources we have developed to support suppliers no matter where they are in their sustainability journey. 

We’ve also launched our Supplier Sustainability Addendum to show our dedication to supply chain decarbonization. This addendum is incorporated into the standard contracts that are required of all suppliers. We are currently focused on executing this agreement with all of our highest spend suppliers to help us achieve our science-based target.  

We Are Committed to Transparency.
so How Are We Doing So Far?

(Results include through Q4, FY23)
SBT Set Spend in Q2 FY24 - $139.4M
SBT Committed Spend in Q12 FY24 - $206.2M
Total SBT (Set and Committed) Spend in Q2 FY24 - $345.6

See What We’re Working on

What Are Science-Based Targets?

Science-based targets are goals companies set to reduce their carbon emissions, and are validated by the Science-based Target Initiative. 

Supplier Enablement

We have developed an engagement framework to help educate and enable our suppliers to take action on carbon reduction, to help meet our SBT goal.

Ensuring Diversity, Equity and Inclusion with Suppliers

VMware recognizes that social injustice and systemic inequity are very real problems in the world today. By prioritizing diverse perspectives, enabling more inclusive participation in our operations and supply chain and upholding anti-slavery and human-trafficking laws, Responsible Sourcing can play its part in helping our people and community thrive.   

Building a More Diverse Supply Chain 

VMware has committed to spend a cumulative $1.5B with diverse suppliers, as part of our 2030 Agenda. We’ve established a global supplier diversity program to support our goals and are committed to continually learning, listening and improving our efforts to source goods and services from diverse businesses. Our global supplier diversity program includes the following activities: 

  • Working with suppliers on their certification options. 
  • Engaging with national and international diversity councils. 
  • Driving employee education and engagement, and dispelling myths about diverse businesses. 
  • Recognizing internal champions who embrace diverse suppliers in their business areas.

 

Complying with anti-slavery and human-trafficking laws 

VMware is committed to acting ethically and responsibly and use its market position to improve conditions within its communities. Not only do we firmly support and comply with the anti-slavery and human trafficking laws in the countries in which we do business, but we also work actively with our suppliers to uphold similar standards through our VMware Supplier Integrity Program. Key components include the Supplier Code of Conduct, compliance training, risk assessments and due diligence.

Productivity-Checklist

We Are Committed to Transparency.
So How Are We Doing So Far?

VMware has committed to spend a cumulative $1.5B with diverse suppliers 
Total Diverse Spend (cumulative) as of Q2 FY24 - $349.0

Supplier Diversity at VMware

Qualify as a Diverse Supplier 

Find out if your business meets our criteria to be a diverse supplier.  

You must also have 3rd party certification from a local, state or federal government entity, chamber of commerce or council. We do not accept lapsed or in-progress certifications.

How VMware Counts Diverse Spend

To have a meaningful DEI impact, supplier diversity must go beyond meeting contractual requirements and shift to a business strategy.

We’re taking a conservative approach to counting spend with diverse suppliers and count all spend:

 

  • That is directly with diverse suppliers
  • Where diverse suppliers are subcontracted to directly deliver to VMware

We do not count all of our suppliers’ diverse spend as our own, only Tier-2 direct.

Council Memberships

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NMSDC
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We Want to Work with You!

Whether you are a diverse business who can support VMware or a large business who can work with us on Tier-2 direct opportunities, please get in touch. We’d love to learn more about your products and services, so we can drive innovation together. 

Prioritizing Digital and Physical Accessibility

VMware is a leading software company, and one of our 2030 Agenda goals is to ensure the technology we develop is accessible for all. 

As part of our Responsible Sourcing Program, we are committed to procuring technology and tools as well as hosting meetings and events that are accessible for all our stakeholders. In coordination with the Disability@VMware POD, an employee resource group dedicated to supporting VMware employees with disabilities, we created VMware Accessibility Guidelines to ensure that we assess all new events and software suppliers for accessibility considerations as part of their onboarding process.

Our Partnership with Disability:IN

VMware is a corporate partner for Disability:IN, which works with businesses to help ensure disability inclusion and equality is present in their organization. With guidance from Disability:IN, VMware Responsible Sourcing has given our Sourcing & Operations team the tools and training to improve any accessibility issues in our supply chain. 

What Are VMware’s Accessibility Standards?

VMware’s Accessibility Guidelines are rooted in the Web Content Accessibility Guidelines (WCAG) a global, industry-wide standard for software tools and platforms. We require our suppliers to meet the 2.1 Level AA standards or better. All our new software suppliers must meet this minimum threshold, and if they do not, we implement contract language to drive improvement. For event suppliers, we ask that you work with our events team to ensure accessibility to all and can reasonably accommodate requests to allow someone with a disability to participate in an event.

I’m Not a Software or Events Supplier. How Can I Help?

It’s great to hear that you want to help in this area! VMware admires those who are willing to go above and beyond. A great starting point would be to ensure your products are accessible by all users, and to ensure your offices, website and collaboration tools are as well. If you have any questions, please feel free to get in touch with us. We’ve gone through this process and would love to work with our suppliers on improving their own efforts. 

VMware Sustainability Supplier Resources

In 2020, VMware set a 1.5-degree Celsius aligned science-based target, committing to reduce our emissions in line with the goals of the 2015 Paris Climate Agreement. As part of that goal, we are committed to working with our suppliers so that 75% of suppliers (by spend) will set their own science-based targets by the end of FY25. 

While ambitious, this collaborative approach to decarbonization and target setting is necessary to address the effects of climate change that all companies must face. And you don’t have to do it alone. We are committed to your success starting with an enablement curriculum that provides you with a roadmap and list of tools you’ll need to succeed. 

Decarbonizing Our Supply Chain

In 2020, VMware set a 1.5-degree Celsius aligned science-based target, committing to reduce our emissions in line with the goals of the 2015 Paris Climate Agreement. As part of that goal, we are committed to working with our suppliers so that 75% of suppliers (by spend) will set their own science-based targets by the end of FY25.

Stakeholders, customers and employees around the globe are interested in what companies are doing to reduce carbon emissions. We ask that our suppliers join us and contribute to the climate solution. We also recognize the significance of this request, and respect that many people will not know where to start. In fact, this is a journey that will likely take 2 years or more. We are here to help guide you.  

To help you make these changes and build your own goals, we’ve created an enablement program that provides you with a roadmap and list of tools you’ll need to succeed. We can’t do this for you, but we can point you in the right direction and help along the way.

Supplier Sustainability Education

Process Overview

If you are new to corporate sustainability, then this training series is for you. VMware has set ambitious goals for our suppliers, and we are here to help guide you. 

Build a Business Case

In this module, you’ll learn:  

 

  • What is sustainability
  • Business case for corporate climate action 
  • Stakeholder interest in sustainability 
  • Financial, Workforce and Customer stories

Engage Your Team

In this module, you’ll learn:  

 

  • Best practices for leading a sustainability initiative 
  • Understand the scope and structure of a sustainability team 
  • Engaging your employees

Greenhouse Gas Inventory

In this module, you’ll learn:  

 

  • What is a greenhouse gas (GHG) inventory 
  • Sources of GHG emissions 
  • Data sources and reporting your results

Building Capacity

In this module, you’ll learn:

 

  • How to lay a foundation for sustainability in your company 
  • Find a leadership champion and build cross-departmental support 
  • Develop sharable plans

Science-Based Target Setting

In this module, you’ll learn:  

 

  • Intro to Science-based targets (SBT’s) 
  • Process for setting SBT’s 
  • Target setting and review process.

Mandatory climate risk disclosures are coming. Taking action now will give you a stronger foundation for the future. 

 

 

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