An important input to our strategy and reporting is an ESG materiality assessment. The assessment helps us understand ESG topics that are most important to our stakeholders and continuously assess our strategy and commitments. We conduct a full assessment every two years. In years that we do not conduct a full assessment, we conduct an internal assessment refresh. This helps us validate priorities relative to business risks and opportunities.
In fiscal 2021, we completed a full ESG materiality assessment.1 This assessment included using big data and input from a broader set of stakeholders to understand priority ESG topics. The analysis consisted of three phases: 1) benchmarking, analysis of global trends, and identification of ESG topics and definitions; 2) interviews with key stakeholders; and 3) in-depth analysis and summary of findings. Stakeholders included investors, employees, Cisco executives, customers, and thought leaders.
We identified 18 ESG topics that are important to our stakeholders and, of these, four emerged as the highest:
- Climate change and GHGs
- Corporate governance
- Human rights and working conditions in the supply chain
- Inclusion and diversity
In fiscal 2022, we completed an interim ESG materiality assessment to ensure that our most recent full assessment reflects our stakeholders' priority topics, changes within our business and strategy, and the global landscape. The analysis affirmed that our top four topics remain high priorities.
In addition to our formal ESG materiality assessment, Cisco business teams regularly gather input from stakeholders.
- Employees and Cisco executives
- ESG thought leaders
- Governments and regulators
- Industry leaders
- Nonprofit and community partners
- Sales channel partners
- Up-and-coming talent