1 John Deere Pl
Moline, IL 61265
CHIEF SUSTAINABILITY OFFICER
Marc A. Howze
- Best Global Brands, Interbrand
- World’s Most Ethical Companies, Ethisphere Institute Top 10 Innovative Company in U.S.
- American Innovation Index Corporate Partner of the Year — National Society of Black Engineers
Report created by Sagarika Deshmukh
John Deere is a leader in providing advanced products, technology, and services for customers whose work is revolutionizing agriculture and construction — those who cultivate, harvest, transform, enrich and build upon the land to meet the world’s increasing need for food, fuel, shelter and infrastructure.
The company operates through the following segments: Agriculture and Turf, Construction and Forestry, and Financial Services.
The Agriculture and Turf segment focuses on the distribution and manufacturing of full line of agriculture and turf equipment and related service parts.
The Construction and Forestry segment offers machines and service parts used in construction, earthmoving, road building, material handling, and timber harvesting.
The Financial Services segment finances sales and leases by John Deere dealers of new and used agriculture and turf equipment and construction and forestry equipment.
The company was founded by John Deere in 1837 and is headquartered in Moline, IL.
Company Sustainability Activity
John Deere claims to continue to develop cutting-edge innovations that will make farmers more productive and profitable, and help them feed a growing population.
They pursued innovations that protect the world’s resources and affirm the role of their customers as vital stewards of the environment.
The company purposefully invested in those linked to the land to empower economic development and prosperity.
- 2018 greenhouse gas (GHG) emissions–reduction goal by cutting GHG emissions per ton of production by 29% compared to 2012.
- 2018, 24% of electricity came from renewable sources
- Absolute water consumption increased at a lower rate than production volumes, resulting in improvement to the normalized consumption rate compared to prior years.
Targets for 2022:
- Achieve safety excellence through increased focus on leading indicators, risk reduction, health & safety management systems, and prevention.
Sustainable energy use
- Reduce GHG emissions by 15% through 50% renewable electricity supply and excellence in energy efficiency.
Responsible water use
- Implement water best management practices in 100% of water-scarce manufacturing locations.
- Recycle 85% of total waste.
- Reduce environmental impact, including CO2e emissions, on 90% of new products. Increase the use of sustainable materials by growing remanufactured and rebuild sales by 30% and by increasing recyclable, renewable, and recycled content.
Sustainable energy use
- Achieved their 2018 greenhouse gas (GHG) emissions–reduction goal by cutting GHG emissions per ton of production by 29% compared to 2012.
Responsible water use
- Absolute water consumption increased at a lower rate than production volumes, resulting in improvement to the normalized consumption rate compared to prior years. The normalized rate remained flat compared to 2012.
- In 2018, Deere recycled 80% of waste, up from 2017. Waste management is part of the environmental management system in place at every Deere manufacturing location, excluding recent acquisitions.
- ISO 14064-3
UN Sustainable Development Goals
UN SDGs Compliance
The Index team aligns current company-wide sustainability initiatives with the UN Sustainable Development Goals in the following section.
SDG 4, 11
Showing farmers in India alternatives to traditional farming methods and helping them achieve a better living while also making the world around them sustainably better.
Samruddhi Project, a joint initiative with the Centre for Advanced Research & Development (CARD), which shows India’s farmers updated farming methods, was featured by Bloomberg this week as it recognized John Deere as one of 50 Sustainability & Climate Leaders.
The new agronomic methods shown to farmers not only produce significantly bigger yields, but also save water. The increased income has made it possible for farmers to provide schooling for their children.
- Track and collect water usage data at all their manufacturing locations, excluding recent acquisitions and leases. Standards and guidelines for constructing new manufacturing facilities encourage the inclusion of water use-reduction technology in the initial project design.
Accomplished lower emissions with on- and off-site renewable electricity supplies, fuel switching, and increased energy efficiency. Also made structural improvements to reduce energy consumption. Measured by the metric they set, the improvements produced a nearly flat normalized energy performance per ton of production, despite significant challenges from production volumes and weather.
John Deere has made limited progress towards the 17 SDG goals. Their goals do not capture other aspects of sustainability such as energy.
John Deere claims that they will be partnering with third parties to identify priority energy-efficiency projects as well as host kaizen-type events to identify low-to no-cost projects to save energy and water.
However, no details of any progress has been communicated with regards to this initiative. John Deere has been rated a C.
Analyst Outlook: Negative
John Deere has very few certificates and lacks in their goals and progress. They need to set more goals in areas regarding CO2 emission.
- John Deere’s sustainability initiatives towards Indian farmers is encouraging. Their investments in sustainable farming provide a lower cost alternative and save water.