Approach
Incorporating EHS considerations into our overall operations helps minimize our environmental footprint while providing a safe and efficient operating environment. AMD has adopted LEAN techniques intended to reduce waste and improve cycle time across all functions and departments within AMD, including manufacturing. Manufacturing processes are continually evaluated to improve efficiency and reduce costs.
Policies and Practice
Environmental information is collected from company-owned and operated assembly and test, major research and development and major administrative/design sites worldwide, as well as AMD wafer foundry operations. Electricity use, water use, and waste generation are the primary environmental performance indicators we use to show the company's overall environmental performance. These and many more indicators are collected and evaluated annually with the help of our global EHS data management software.
AMD has utilized a normalization factor for the company's wafer manufacturing operations to measure relative changes in key environmental data as a function of manufacturing. The normalization factor is a Manufacturing Index (MI) derived from the number of wafers processed, the complexity of the fabrication process, and the wafer size. Normalized environmental data is used to compare year-to-year resource efficiency for AMD's aggregated worldwide and some single-site operations. Wafer manufacturing data is used for normalizing worldwide data because these processes are resource intensive and dominate the environmental key performance indicator measurements. Direct site-to-site comparisons are less meaningful due to differing types of products, product complexity, facility design, and other operations performed at each site. Water use, electricity use, and waste generation are normalized because these data are most affected by increases or decreases in our production processes. With the transfer of our wafer manufacturing to GLOBALFOUNDRIES, we expect to develop a new normalization factor for AMD.
Go Green is AMD's comprehensive commuter benefits program. Employees choose between five modes of alternative commutes: carpool, vanpool, cycle, transit and connect (telecommute). Using the web-based GreenRide® software program, commuters are able to quickly search for bike routes and bike buddies, carpools and vanpools, and other transit options. Go Green, has avoided approximately 1.4 million miles of driving since July 2007. Participants rideshare, take public transit, bicycle and/or telecommute to protect the planet and save money. Other results: 1.3 million pounds of CO2 emissions avoided, 70,000 gallons of fuel conserved and an estimated $800,000 of driving costs saved. For more details on our Go Green program see AMD's
Global Climate Protection Plan.
For the purpose of this report, we have segregated our data into several different categories defined by the type of activities that occur at the facility:
- Wafer Manufacturing - In 2008, AMD's wafer manufacturing facilities included AMD Fabs 36 and 38 located in Dresden, Germany, which manufacture microprocessor wafers. AMD Fabs 36 and 38 became part of GLOBALFOUNDRIES in March 2009. In addition to AMD-owned and operated wafer manufacturing facilities, we subcontract with wafer foundries to supplement our internal production output. In 2009 and beyond, AMD will rely on subcontract foundry operations for all wafer manufacturing.
- Assembly, Test, Mark & Pack (ATMP) - ATMP facilities perform assembly, test, mark, and/or pack services for AMD products. AMD owns and operates these facilities at three locations in the Asia-Pacific region - Penang, Malaysia; Singapore; and Suzhou, China. These facilities are unique with respect to resource use and waste generation. Water and chemical use is relatively low and the use of these resources does not correlate well with manufacturing output. Conversely, energy use is most dependent upon the testing sequence and complexity of the product. In general, more complex products require more complex and energy-intensive testing sequences. Variability in the types of products processed at each site makes defining a meaningful normalization factor difficult. Consequently, resource use and waste generation data for these individual sites have not been normalized.
- Non-Manufacturing - AMD designs microprocessor and graphics products at several different facilities worldwide. However, for the purpose of this report, we have included our large design facilities and administrative offices in Austin, Texas and Markham, Ontario, as well as our corporate headquarters and design center located in Sunnyvale, California.
Subcontract manufacturers supplement our internal microprocessor wafer manufacturing and assembly and test capacity. Our graphics products are outsourced to subcontract manufacturers and ATMP providers. Because these facilities are outside of our operational control, AMD includes limited subcontract manufacturer information in our environmental performance data. We are evaluating Scope 3 emissions data from our foundry suppliers.
Our Sustainable Manufacturing and Operations program is comprised of three general areas, all addressed in the following sections:
Measuring Performance
AMD is committed to operating our facilities efficiently and to identifying and pursuing resource conservation and pollution prevention opportunities. We have established worldwide goals to help drive continuous improvement. Our initiatives cover operations at AMD sites all around the world.
We have also established greenhouse gas reduction goals.
- Energy Conservation - Most of AMD's energy use is in the form of electricity, with a smaller portion coming from on-site fuel consumption, steam, and cooling and heating water lines. Because both fossil fuel extraction and the generation of electricity impact the environment, we continually look for opportunities to decrease the amount of energy consumed, and use energy from more efficient and renewable sources.
- Manufacturing Energy Use Reduction Goal: Normalized energy use (as measured by kilowatt-hours/manufacturing index) is reduced 40 percent by year-end 2010 relative to a 2006 baseline.
- Goal Progress: AMD's absolute energy use remained at a similar level from 2007 to 2008. The decrease in normalized energy use resulted from increased production in 2008 while absolute electricity use remained relatively unchanged from 2006.
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Water Conservation - AMD uses water at all of its sites for normal sanitary, cafeteria, and facility upkeep. Water for all of our manufacturing operations is obtained from municipal sources. None of AMD's manufacturing sites have on-site wells.
Most of our water use occurs in the wafer fabrication process. While almost all AMD's water is treated and returned to the local wastewater treatment plants, water use is still considered a burden on local ecosystems, particularly in drier areas, and water conservation is strongly encouraged for all operations.
- Manufacturing Water Use Reduction Goal: Achieve a 33 percent reduction in normalized water use by 2011, against a baseline of 2006.
- Goal Progress: Normalized water use decreased 37 percent from 2006 to 2008 effectively achieving our goal. The decrease was attributable to increased production at our wafer manufacturing facilities in Dresden, Germany.
- Hazardous Waste Reduction - AMD's manufacturing processes produce a number of waste streams that are classified as hazardous by local and national regulations. While all of this waste is appropriately treated or recycled, it still represents an environmental burden that we are focused on reducing.
Hazardous waste reduction is just one element of the pollution prevention and resource conservation programs established at each AMD site to reduce the generation of waste and the consumption of raw materials and natural resources.
- AMD Global Hazardous Waste Reduction Goal: Reduce normalized hazardous waste generation 40 percent by 2011, against a baseline of 2006.
- Goal Progress: Hazardous waste generation normalized to production decreased 53 percent in 2008 compared to 2006, effectively achieving our goal. The decrease is attributable to increased production at our wafer manufacturing facilities in Dresden, Germany.
- AMD Global Hazardous Waste Recycling Goal: Increase the amount of hazardous waste recycled by 25 percent (as a percent by weight of total hazardous waste generated) by 2011 against a baseline of 2006.
- Goal Result: AMD recycled 45 percent of the hazardous waste generated in 2008, representing an increase of 24 percent when compared to 2006 where 21 percent of hazardous waste was recycled.
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Air Emissions - Our manufacturing operations result in volatile organic compounds (VOC) and corrosive emissions. Emission control technologies such as thermal oxidation and scrubbers are used to treat permitted emissions. We work closely with the regulatory agencies to ensure that all emissions from our manufacturing operations are properly permitted and that necessary control technologies are in place to meet permit conditions.
AMD closely monitors air emissions. In 2008, our VOC emissions increased 24 percent due primarily to increased wafer manufacturing activities in Dresden, Germany, while corrosive air emissions decreased six percent.
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Solid Waste Reduction - Solid or "non-hazardous" waste refers to office, cafeteria, landscaping, and more innocuous process wastes that are less harmful - similar to the trash we generate in our homes.
While this waste poses less potential risk to people and the environment than hazardous waste, non-hazardous waste is still an environmental concern. Since non-hazardous waste production is not closely tied to manufacturing activity, AMD does not normalize this indicator to production.
AMD has launched numerous recycling projects at AMD sites for office materials like paper, cardboard, toner cartridges, batteries, aluminum and plastic as well as manufacturing wastes like sulfuric acid, scrap wafers, thermocouples, and chemical vapor deposition targets.
- Compliance - Since 2004, we have been inspected by environmental regulatory agencies on numerous occasions. The inspections have resulted in a total of four non-compliances in five years, all of which were resolved with no fines or adverse actions. and none for 2008. In 2007, we received one notice of noncompliance at the Austin Lone Star campus in March 2007 for storm water runoff during construction. The issue was immediately resolved and no fines were issued.
Design for EHS in Manufacturing Technology Design
Incorporating EHS considerations into design and development of manufacturing technology helps to minimize EHS impacts of manufacturing activities - once new technology is transferred into mass production.
An inherently safe and environmentally benign process that improves manufacturing performance while lowering operational costs is the ultimate goal of applying Design for Environmental, Health and Safety (DfEHS) to manufacturing technology. "End-of-pipe" solutions are sometimes necessary, but are the least attractive when compared to reduction at the source.
AMD's EHS staff and technology designers share information relevant to EHS considerations for new manufacturing processes. Cross-functional teams also evaluate information about EHS issues associated with advanced semiconductor manufacturing, including new developments in manufacturing technology design.
AMD's EHS standards require the evaluation of EHS impacts prior to the use of new chemicals or manufacturing equipment at any AMD site for research, manufacturing, support, or facility operations.
Green Building
AMD's commitment to environmental stewardship extends to integrating sustainable building principles into facility design and construction projects. AMD is a member of the U.S. Green Building Council. We work closely with architects, engineers and other experts to develop new sites responsibly. Each new facility design seeks to integrate key responsible design features from prior designs that improve resource conservation and operating efficiency.
Our new Lone Star campus located in Austin, Texas exemplifies this approach. AMD worked closely with a team of nationally recognized ecological, architectural, engineering, and environmental building experts to analyze the unique characteristics of the property and identify specific development methods to protect the environment, safeguard employees' health, and conserve natural resources. The campus, which officially opened in July 2008, was designed to and achieved LEED (Leadership in Energy and Environmental Design) Gold certification by the U.S. Green Building Council in January 2009.
In May 2009 AMD, along with the Greater Austin Chamber of Commerce and the U.S. Green Building Council Central Texas - Balcones Chapter, hosted 150 attendees at a symposium on green building in central Texas. The symposium included an overview of current green building trends and explored how green building is becoming a more feasible and attractive option for new construction. Attendees also toured AMD's Lone Star Campus to see first hand the green building techniques employed in the construction of the campus.
The Lone Star campus integrates a number of sustainable building principles, including an extensive rainwater collection system designed to provide water to irrigate native landscaping and provide water to the site's cooling towers. At the time of its construction, this system was reported to be the largest roof water collection system of its kind in the world, with a capacity of more than 1.2 million gallons. Other sustainable building practices included replanting native vegetation harvested from the site prior to development, preserving as much green space as possible, and incorporating natural interior lighting and energy use reduction features. The campus is designed to reduce energy use and CO2 emissions by 15-20 percent compared to a traditional building through proper building orientation, heating, cooling and lighting methods. For more information on the site please see the Lone Star brochure.