Globalny Raport CSR Huawei

Huawei Investment & Holding Co., Ltd.
Corporate Sustainability Report 2011

Enriching Life Through Communication
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Huawei Industrial Base
Bantian Longgang
Shenzhen 518129, P.R. China
Tel: +86-755-28780808
www.huawei.com
Copyright Huawei Investment & Holding Co., Ltd. 2012. All rights reserved.
General Disclaimer
The information in this document may contain predictive statements including, without limitation,
statements regarding the future nancial and operating results, future product portfolio, new technology,
etc. There are a number of factors that could cause actual results and developments to differ materially
from those expressed or implied in the predictive statements. Therefore, such information is provided
for reference purpose only and constitutes neither an offer nor an acceptance. Huawei may change the
information at any time without notice.
Printed on environmentally friendly paper.
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Report Prole
Reporting Period:
January 1 to December 31, 2011
Date of Most Recent
Previous Report: June 2011
Reporting Cycle: Annual
Defining Report Content
Global Reporting Initiative (GRI) principles such as
materiality, stakeholder inclusiveness, sustainability
context, and completeness, were used in this report
to analyze key sustainability-related issues in business
operations and identify major stakeholders. Huawei
Investment & Holding Co., Ltd. (hereinafter referred
to as the company or Huawei) hired a third-party
organization to survey stakeholders and collect information
on stakeholder expectations and requirements. Huaweis
CSR Committee studied, assessed, and selected the key
items and indicators disclosed in this report.
The performance indicators and management approaches
discussed in this report cover all entities that Huawei
either has control of or a significant influence over in
terms of financial and operational policies and measures.
These same performance indicators and management
approaches are also consistent with the scope of Huaweis
annual financial report.
Boundary of the Report
Unless otherwise specified, this report covers the
economic, environmental, and social performance of
Huawei and all its subsidiaries during the reporting
period.
Data Collection
To effectively collect statistics on the economic,
environmental, and social efforts and progress of Huawei
and its subsidiaries in 2011, the data collection process was
performed by onsite surveys at Huawei and all subsidiaries
covered by the report. This report was developed
based on the information collected during onsite visits,
employee interviews, data collection activities, and onsite
observations. Data collection channels and data calculation
methods were further optimized.
Report Assurance Method
Core indicators and additional indicators from the GRI
G3.0 Guidelines were applied to compile the report and
the application level is B+.
To ensure the reliability, fairness, and transparency of
this report, Huawei engaged TV Rheinland to verify
the report. The verification statement is included in
Appendix III.
This report is available online and in print. The online report
can be obtained at: http://www.huawei.com
Contact Point:
For report-related questions and its content, please contact:
Email: [email protected]
Tel: +86-(0)755-28780808
Contents
1. Leadership and Strategy 2
1.1 Message from the Chairwoman 2
1.2 Message from the Chairman of the CSR Committee 3
1.3 Huawei Vision, Mission, and Core Values 4
1.4 Huawei Business Strategy 6
1.5 Huawei CSR Strategy 7
1.6 Key Impacts, Risks, and Opportunities 11
2. Corporate Profile 14
2.1 Corporate Overview 16
2.2 Awards 20
2.3 Economic Performance 21
3. Governance, Commitments and Engagement 22
3.1 Corporate Governance 24
3.2 External Commitments and Initiatives 27
3.3 Stakeholder Engagement and Material Topics 28
4. CSR Management System and Performance in 2011 34
4.1 Management of CSR Strategies 36
4.2 CSR Management System 37
4.3 Environment, Health & Safety Management System 38
4.4 Compliance Management System 39
4.5 Bridging the Digital Divide 40
4.6 Caring for Employees 48
4.7 Fair Operations 56
4.8 Environmental Protection 60
4.9 Social Contribution 76
4.10 Supply Chain CSR Management 87
4.11 Stakeholder Communication 93
4.12 Safe Operations 97
Appendix I. GRI Index 108
Appendix II. Terms & Abbreviations 113
Appendix III. Verication Statement 115
Message from
the Chairwoman
2 Corporate Sustainability Report 2011
In 2011, Huaweis global operations faced the serious challenge
of slow economic growth due to global financial turbulence and
other complex external factors. In response, Huawei maintains
its ongoing adherence to customer centricity and dedication as
it continues to pursue innovation, create value for customers,
and achieve robust growth. Through practice, we believe that
fulfilling corporate social responsibilities everywhere we operate
is crucial to maintaining Huaweis sustainable development and
promoting harmony in the natural environment, the industry
chain, and among our employees and communities. We adhere
to a corporate strategy of establishing a more favorable
social image and exemplifying good corporate citizenship
everywhere we operate by incorporating CSR into our business
operations.
As a leading global ICT solutions provider, Huawei continually
works toward realizing its vision of enriching life through
communication. We offer our expertise and innovative
technologies in ICT while focusing on CSR through the
following approaches:
1. Bridging the digital divide by ensuring that all people
can experience basic communications and information
services.
2. Protecting the environment is a core strategy of Huawei
that focuses on providing the most competitive and
efficient end-to-end green ICT solutions.
We adhere to a corporate strategy
of establishing a more favorable
social image and exemplifying good
corporate citizenship everywhere we
operate by incorporating CSR into
our business operations.
3. Continuously focusing on caring for employees,
social contribution, supply chain CSR management,
stakeholder communication, and safe operations.
In terms of sustainable development, Huawei will
have greater impact on the industry by executing its
CSR strategies, operating with integrity, promoting a
harmonious business ecosystem, and giving back to
society.
In the future, Huawei will invest more in CSR activities, expand
the scope of our CSR, and align our CSR strategies with our
global business development. By continuously developing
innovative products and services to enrich life through
communication, Huawei is becoming an even more visible
leader in the sustainable development of the industry, and
will ultimately contribute to the sustainable development of
the entire industry chain.
Sun Yafang
Chairwoman of the Board
Leadership and Strategy
Corporate Sustainability Report 2011 3
Huaweis deep sense of responsibility is the driving force
behind its achievements in sustainable development and
improvements in CSR management. Huawei has developed
its CSR through four progressive phases: becoming aware
of CSR, fulfilling CSR obligations voluntarily, establishing a
CSR management system, and proactively shaping suppliers
CSR awareness. At Huawei, we are committed to pursuing
harmonious development and reflecting the importance of CSR
in all of our operating activities. This commitment has helped
Huawei focus on balanced development, CSR performance, and
continuous improvements instead of simply seeking one-sided
gains and short-sighted expansion. Through practice, we realize
that fulfilling CSR will help our company maintain long-term
stability and our strong foothold in the global market, increase
competitiveness, and achieve sustainable development as well
as healthy and balanced development. Therefore, we define
CSR management as a strategic priority and have stepped up
our efforts even more in fulfilling the commitments we have
made to customers, caring for our employees, protecting the
environment, pursuing technological innovations, adhering to
ethical principles regarding procurement and business, and
giving back to society. CSR has brought positive changes to
Huawei and has become an integral part of Huaweis DNA.
Huawei has established a robust management system to
ensure that its sustainability strategies are implemented from
an organizational and process perspective. The CSR Committee
is in charge of CSR management. The responsibilities of the
committee include formulating CSR strategies and policies
based on corporate strategies and guidelines, developing and
deploying the CSR management system, and continuously
improving CSR management. By fulfilling these tasks, the CSR
Committee elevates Huaweis brand image, boosts customer
satisfaction, and injects momentum into Huaweis sustainable
development efforts. A corporate sustainability management
department has been set up under the CSR Committee to
carry out CSR tasks, such as coordinating company-wide CSR
planning, managing CSR, developing the CSR management
system, and assessing and monitoring CSR activities. Based on
the Plan-Do-Check-Act (PDCA) management approach, the
CSR management system has identified CSR-related risks and
has established goals, indicators, and management programs
that are incorporated into processes. Furthermore, it has used
approaches such as internal audits to find opportunities for
continuous improvement.
Huawei has developed its medium- to long-term strategic plan for
achieving sustainable development using the social responsibility
guidance ISO 26000. Based on this same standard currently,
we are streamlining and restructuring the CSR management
system. In the future, we will continue to invest more in CSR
activities, expand the scope of our CSR, and apply international
CSR standards. As part of our CSR initiatives, we will increase
our ability to manage production and engineering procurement
globally in accordance with industry standards. Together with
customers, we will focus on addressing CSR risks and enhancing
our positive influence, especially in terms of environmental
protection, energy conservation and emissions reduction, health
and safety, protection of labor rights, and business ethics. We
will prioritize social contribution projects globally as part of its
medium- to long-term global CSR initiatives. In addition, we have
always and will continue to attach a great deal of importance
to protecting the environment and ensuring employee health
and safety, especially in countries where employees may be
exposed to high risks.
Chen Zhaohui
Chairman of the CSR committee
Message from the Chairman of
the CSR Committee
Core
Values
Customers
First
Openness
& Initiative
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Vision
To enrich life through communication.
Mission
To focus on our customers market challenges and
needs by providing excellent ICT solutions and services
in order to consistently create maximum value for our
customers.
Core Values
Our core values are deeply rooted in every aspect of
our business. They are the internal driving force for the
company and are our commitments to the ecosystem.
These values enable us to provide effective services to
our customers and to achieve our vision of enriching
life through communication.
Huawei Vision, Mission,
and Core Values
Customers First
Huawei exists to serve customers, whose demands are the
driving forces behind our development. We continuously
create long-term value for customers by being responsive to
their needs and requirements. We measure our work against
how much value we bring to customers, because we can only
succeed through our customers success.
Dedication
We win customers respect and trust primarily through
dedication. This includes every effort we make to create
value for customers and to improve our capabilities. We value
employees contributions and reward them accordingly.
Continuous Improvement
Continuous improvement is required for us to become better
partners for our customers, improve our company and grow
as individuals. This process requires that we actively listen and
learn in order to improve.
Openness & Initiative
Driven by customer needs, we passionately pursue customer-
centric innovations in an open manner. We believe that
business success is the ultimate measure of the value of any
technology, product, solution, or process improvement.
Integrity
Integrity is our most valuable asset. It drives us to behave
honestly and keep our promises, ultimately winning our
customers trust and respect.
Teamwork
We can only succeed through teamwork. By working closely in
both good times and bad, we lay the foundation for successful
cross-cultural collaboration, streamlined inter-departmental
cooperation and efficient processes.
Huawei
Business Strategy
To adapt to the revolutionary changes that are taking place in the information industry, Huawei is making strategic adjustments
to better serve its customers. Huawei has extended the reach of its innovative offerings from the telecom carrier network field to
the enterprise and consumer fields. To this end, we have coordinated the development of the cloud-pipe-device business and
put considerable resources towards providing large capacity and intelligent information networks, a variety of smart devices, as
well as new-generation business platforms and applications to offer users an efficient, environmentally friendly, and innovative
information-based experience. Huawei will remain focused on customer needs as we continue to innovate, openly cooperate with
partners, and deepen our commitment to providing telecom carriers, enterprises, and consumers with integrated solutions, products,
and services. We will also continue to enhance the user experience, create maximum value for our customers, enrich life through
communication, and improve work efficiency.
Consumer Business
Huawei will continue to focus on consumers and fully utilize our
carrier, distributor, and e-commerce channels to build Huawei
into one of the most influential global brands for devices.
We strive to bring consumers a simple and enjoyable user
experience through mobile Internet applications. Moreover,
Huawei customizes and manufactures devices according to the
specific needs of telecom carriers to help them develop their
business and achieve success.
In addition, Huawei will leverage its expertise in networks,
cloud computing, and future-oriented converged solutions for
personal and household applications and apply that knowledge
to the production of a full range of devices. We will continue
our commitment to openness, cooperation, and innovation
as we build solid and cooperative relationships with operating
system providers, chip suppliers, content providers, and other
partners to form a complete and sound device ecosystem.
Carrier Network Business
Huawei provides telecom carriers with unified platforms,
consistent experiences, and flexible Single solutions. These
solutions support the transmission and exchange of data traffic
over carrier networks, help carriers simplify networks, achieve
smooth evolutions, and implement end-to-end integrations
while enabling rapid deployments, streamlining operations,
and reducing network CAPEX and OPEX.
Huawei fully aligns its professional service solutions with carrier
strategies, in a move to better position carriers to complete
seamless evolutions, improve user experiences, boost operating
efficiency, increase revenue, and ultimately achieve excellent
business results.
Enterprise Business
With its focus on ICT infrastructures, Huawei continuously
drives innovations based on requirements raised by customers
from finance, energy, power, transportation, governments,
public utilities, and other industries. By providing ICT products
and solutions that can be easily integrated by our partners,
Huawei helps enterprise customers improve the efficiency of
their communication, work, and production systems while
reducing their operating costs.
Enriching life through communication
Continuous customer-centric innovation and win-win cooperation
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Vision
To bridge the digital divide and promote the
harmonious and sustainable development of the
economy, society, and the environment
Mission
To establish an excellent CSR management
system, operate with integrity, promote
a harmonious business ecosystem, ensure
sustainable development, and contribute to our
customers and society
Strategy
Bridging the
Digital Divide
Huawei provides customized ICT solutions to enable people in different regions to access
information conveniently and takes the initiative to help underdeveloped regions nurture ICT
talent, form effective education systems in the field of communications, and to improve regional
technology to promote communications.
Caring for
Employees
Huawei attaches importance to employees growth, health, and safety. Huawei values employees
contributions and makes every effort to ensure that employees personal growth is realized
alongside the companys success.
Fair Operations
Huawei abides by ethical business practices, operates with integrity, and strictly observes Huaweis
Business Conduct Guidelines (BCG). Huawei promotes fair operations, strictly implements
transparent procurement and transparent sales, and opposes bribery, corrupt activities,
dumping, and monopolies so as to build a harmonious business environment.
Environmental
Protection
Huawei actively communicates with customers on energy conservation and environmental protection.
Huawei closely collaborates with enterprises across the value chain to build environmentally-friendly
networks and promotes sustainable development of the industry in order to achieve our objective:
Green Communications, Green Huawei, and Green World.
Social Contribution
Huawei always believes in giving back to society. We insist on local operations, contributing to local
welfare, education, and disaster relief efforts, and being an ethical corporate citizen.
Supply Chain
CSR Management
Huawei improves its CSR awareness and capabilities and its supply chain to achieve sustainable
development. We have established close ties with our suppliers to strengthen CSR management
to gain our customers trust, enable us to take appropriate actions to ensure CSR compliance, and
improve the CSR risk control for suppliers.
Stakeholder
Communication
Huawei continuously improves communication with stakeholders, increases customer satisfaction, and
enhances user experience management based on industry standards and corporate strategies.
Safe Operations
During the operations of the company, Huawei adheres to the principle of Safety First, Prevention
First, systematically identifies sources of potential hazards, assesses risks, and implements risk
control measures to ensure the sustainable development of enterprises and society.
Huawei
CSR Strategy
Huawei CSR Strategy
Huawei CSR Strategy Development
Huawei aligns its CSR and business strategies to integrate sustainability into the core of business operations and
conscientiously fulfill its CSR obligations. To this end, Huawei identified and assessed five key factors that have the most
influence over improving its performance and maximizing the economic, environmental, and social benefits of its operations.
Corporate Vision, Mission, and Strategy
Based on the corporate vision of enriching life through
communication, Huaweis CSR strategy further emphasizes
t hat we pr ovi de gl obal sol ut i ons i n or der t o shar e
information and communications technologies around the
world, permitting people to gain access to information and
communication services and promoting the harmonious
development of the economy, the environment, and society.
Key Risks and Opportunities
Huawei identifies and assesses risks and opportunities based
on established processes and systems to ensure that risks of
all kinds are controlled to minimize negative consequences.
Identifying and responding to risks is critical to setting the
direction and implementing the CSR strategy.
Stakeholder Requirements
Stakeholders have expectations and requirements towards
Huawei s busi ness acti vi ti es and operati ons. We must
consi der these expectati ons and requi rements when
formulating our CSR strategy to ensure win-win results. As
part of our CSR strategy, we regularly conduct surveys to
understand stakeholder requirements, identify and assess
stakeholder expectations, and adjust the strategic direction
according to assessment results.
Laws and Regulations
Compl i ance wi th appl i cabl e l aws and regul ati ons i s a
fundamental requi rement for any company ai mi ng for
sustainability. The priorities and activities in Huaweis CSR
strategy are strictly aligned with the laws for all areas in
which we operate.
Huawei CSR Strategy
Corporate
Vision, Mission,
and Strategy
Key Risks and
Opportunities
Stakeholder
Requirements
Laws and
Regulations
International
Conventions
and Protocols
International Conventions and Protocols
Huawei is a responsible global company that judiciously observes applicable international conventions when conducting
business and operations. The requirements of the protocols to which we subscribe are integrated into our CSR strategy and
activities.
Huawei CSR Strategy Roadmap
In 2011, Huawei continued to optimize its CSR strategy according to ISO 26000 and fully integrated this CSR strategy into
corporate strategies. Strategic direction was also established to systematically manage CSR.
/011 /01/ /01S /014 /015
Strategic Goal
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5-Year Roadmap for Huaweis CSR Strategy
Huawei CSR Strategy
The roadmap sets progressive goals for Huaweis CSR strategy, which will be fully
mature by 2015. Huawei has defined CSR management activities and requirements
for the next five years based on the current CSR foundation. The segments of the
roadmap are detailed as follows:
1. Optimize CSR Management System based on
ISO 26000
Oplimize lhe syslem based on ISO 26000
Develop preliminary CSP risk managemenl mechanisms
lniliale key medium- lo long-lerm social conlribulion projecls
Complele joinl CSP improvemenl projecls wilhin lhe supply chain. This
includes identifying, evaluating, and auditing medium- and high-risk
suppliers and driving improvements where necessary
Lslablish a cerlilied CSP managemenl syslem in lhe Consumer 8usiness
Group (BG) based on the Social Accountability 8000 (SA8000) standards
2. Solidify CSR Management System
Lxpand lhe scope ol lhe syslem according lo slakeholder requiremenls
Develop CSP risk managemenl lools lo slrenglhen CSP-relaled issue and
crisis response capabilities
l mpl emenl key gl obal soci al conlri buli on proj ecls and parli ci pale
in discussions held by industry CSR associations to stay abreast of
developmental trends
Complele joinl CSP improvemenl projecls wilhin lhe supply chain and
guide key suppliers in establishing their own CSR management systems
Lxpand lhe scope ol lhe CSP managemenl syslem in lhe Consumer 8C as
per ISO 26000
3. Enhance CSR Management System
Treal CSP managemenl as a slralegic priorily and align lhe CSP slralegy
with Huaweis business strategy
lmplemenl and upgrade CSP risk managemenl lools lo slrenglhen CSP-
related issue and crisis response capabilities
Promole social conlribulion projecls
Align Huawei's CSP projecls wilh lhose ol induslry associalions and
become a leader in CSR development trends in the industry
Complele joinl CSP improvemenl projecls wilh suppliers and guide
suppliers in establishing their own CSR management systems
Pilol lhe CSP managemenl syslem in lhe China Pegion
4. Improve CSR Management System
Promole CSP risk managemenl lools, eslablish end-lo-end process conlrol
mechanisms, and elevate Huaweis brand image as a company devoted to
social contribution projects
lmplemenl CSP improvemenl projecls wilh induslry associalions lo
become the industry benchmark for CSR management
Complele joinl CSP improvemenl projecls wilh suppliers and promole
CSR management and implementation throughout the supply chain
Pilol lhe CSP managemenl syslem in key overseas regions
Key Impacts, Risks,
and Opportunities
Caring for
Employees
Supply
Chain CSR
Management
Bridging
the Digital
Divide
Social
Contribution
Fair
Operations
Stakeholder
Communication
Environmental
Protection
Safe
Operations
Bridging
the Digital
Divide
Caring for
Employees
To provide products and services in emerging markets and developing countries regions
To provide products and services that help bridge the digital divide between different
income groups in developed countries and regions
To provide ICT solutions to promote harmonious economic, environmental, and social
development locally
Providing products and services in communities in which Huawei operates is mutually
beneficial. This not only creates economic, environmental, and social benefits for emerging
markets and developing countries and regions, bridges the digital divide between different
income groups in developed countries and regions, regions, but also helps Huawei achieve
growth.
To develop and retain talented employees by providing career development opportunities
that allow them to grow with the company and ensure that dedicated employees receive
reasonable and timely rewards
To enhance employee well-being and nurture them to achieve their personal goals and full
performance potential
Maintaining a harmonious employer-employee relationship depends on developing a talented
workforce and reasonably allocating work. Fulfilling these items helps retain talented
employees. Huawei provides employees with incentives, rewards, and clear paths for career
development, allowing employees to grow with the company. Though employee welfare
programs such as the Employee Assistance Program (EAP), Huawei ensures a good, fair
working environment and atmosphere.
Key Impacts, Risks, and Opportunities
Fair
Operations
Social
Contribution
Environmental
Protection
To ensure fair and ethical business operations
To comply with regulations on intellectual property rights during production and use of
products and services
Huawei judiciously adheres to ethical principles when conducting business and operations.
Bribery, corruption, and infringing on intellectual property rights (IPR) are major risks to fair
business practices and we believe that any illegal or unfair operating activity results in adverse
impacts. Therefore, Huawei has incorporated anti-bribery and anti-corruption mechanisms
into its operation processes. Moreover, Huawei mitigates IPR risks by protecting its own
IPR, respecting the IPR of other companies, and complying with international IPR rules and
regulations.
To provide ICT products and services that remain eco-efficient throughout their entire
lifecycle, from R&D, production, and use to scrapping and recycling
To reduce the resource depletion and energy consumption impacts of producing and using
products and services, and to avoid using hazardous substances
To effectively manage electrical and electronic waste to prevent and reduce negative
environmental impacts
Huawei takes environmental risks into account during decision-making in order to provide
consumers with eco-efficient products and services like the SingleRAN offerings. Huawei
complies with laws and regulations as well as international standards in all countries in
which it operates. In addition, Huawei also uses the lifecycle assessment (LCA) method
to implement environmental protection strategies throughout the product development
process. As part of its green drive, Huawei focuses on designing pollution-free products
and carefully gathers, stores, and disposes of electrical and electronic waste throughout
the product lifecycle.
To contribute to improving the livelihood of local people and developing the communities
in which Huawei operates
To exemplify good corporate citizenship everywhere Huawei operates to maximize
economic, environmental, and long-term social benefits
During the course of its globalization, Huawei has remained committed to benefiting local
communities. Huaweis social contribution initiatives fall into four main types: bridging
the digital divide, providing education to develop local talent, promoting environmental
sustainability, and benefiting communities.
To guarantee the supply chains sustainability by conforming to laws and standards
pertaining to labor, environmental protection, society, and business ethics
To maintain mutually beneficial relationships within our supply chain and with strategic
partners
Effective sustainability of the supply chain requires the concerted efforts of the entire
industry chain. While voluntarily fulfilling CSR obligations, Huawei also ensures that
mitigating CSR risks is a top priority for global suppliers and partners.
To communicate with stakeholders to deepen mutual understanding and trust
To enhance customer satisfaction
Frequent interactions and communications are instrumental to deepening trust and
understanding and maintaining mutually beneficial relationships between Huawei and
stakeholders. Understanding customer requirements and addressing customer complaints is
essential to enhance customer satisfaction and retain existing customers while developing
new ones.
To ensure safety at Huaweis workplaces
To ensure the safety of products and services
At Huawei, safety initiatives fall into two types: initiatives for safe operations and initiatives
for safe products and services. Huawei cares deeply about employees occupational health
and safety at every workplace. As such, we implement safe operations, which require we
take appropriate measures to control risks and improve safety. Huawei is also concerned
about safe products and services. Huawei continually strives to minimize safety risks to both
individual users and society as a whole.
Stakeholder
Communication
Supply
Chain CSR
Management
Safe
Operations
Corporate
Prole
2.1 Corporate Overview
2.2 Awards
2.3 Economic Performance
Corporate Prole Corporate Prole
Corporate
Overview
Huawei is a leading global ICT solutions provider. Through our dedication to
customer-centric innovation and strong partnerships, we have established end-to-end
capabilities and strengths across carrier networks, enterprise/industry, and consumer
fields. We are committed to creating maximum value for telecom carriers, enterprises,
and consumers by providing competitive ICT solutions and services. Our products and
solutions have been deployed in over 140 countries, serving more than one-third of
the worlds population.
Huaweis vision is to enrich life through communication. By leveraging our experience
and expertise in the ICT sector, we help bridge the digital divide by providing
opportunities to experience broadband services, regardless of geographic location.
Contributing to the sustainable development of society, the economy, and the
environment, Huawei creates green solutions that enable customers to reduce power
consumption, carbon emissions, and resource costs.
Products, Solutions, and Services
Carrier Network BG
Wireless Nelworks. LTL, CSM, WCDMA, CDMA, TD-SCDMA, WiMAX, OSS,
antenna, site energy, PS core and EPC
lixed Nelworks. lTTx, DSL, ODN, WDM/OTN, MSTP/Hybrid MSTP, microwave,
core routers, routers, switches, and network security gateways
Clobal Services
Consulting services: business consultations, network consultations, and O&M
consultations
Managed services: NOC O&M services, network performance managed
services, IT managed services, and business process outsourcing (BPO)
services
Quality enhancement and assurance services: SmartCare services
System integration services: network integration services, OSS integration
services, data center integration services, and site integration services
Energy retrofit services: site energy retrofit services and green energy services
Customer support services: network operation assurance services
Learning and capability development services: knowledge transfer services,
Huawei certification services, and Huawei education services
Carrier Sollware and Core Nelwork. 8SS & OSS, service delivery plallorm
(SDP), Digital Home, mobile broadband value growth solution (MBB VGS),
cloud computing, RCS-RCSe, unified communications, Mobile Office, IP
contact center (IPCC BPO), convergent conference, SmartCare, SmartPCC,
and SingleSDB
Lnergy and lnlraslruclure. hybrid energy, sile power supplies, communicalions
site, and data center power supplies
Corporate Prole
Enterprise BG
lT. media nelworks, desklop clouds, servers, slorage producls, dala cenlers,
and cloud management platforms
Lnlerprise nelworks. access roulers (APs), NL core roulers, campus swilches,
data center switches, WLAN, transport networks, access networks, and
network management
UC&C. inlelligenl video surveillance, unilied communicalions, conlacl
centers, convergent conference, telepresence and videoconferencing
systems, IP communications devices, industry-specific TVs, enterprise IMS/
NGN, enterprise information security, digital TVs, and industry-specific
billing
Securily. secure rouling galeways, lirewall and uniled lhreal managemenl,
VPN gateways, intrusion detection and prevention, anti-DDoS attack, and
security management software
Lnlerprise wireless and auxiliary producls
lnduslry-specilic solulions. solulions lor power, energy, lransporlalion,
government, finance, ISP, and other industries
Consumer BG
Handsels. smarlphones and lealure phones
Mobile broadband devices. dala cards, wireless roulers, and modules
Home convergence devices. lixed/wireless access devices, sel-lop boxes,
digital photo frames, and tablets
Corporate Overview
Global Operations of Huawei Investment & Holding Co., Ltd.
Huawei Headquarters
Representative ofce
Training center
R&D center
Corporate Profle
Huawei Headquarters
Representative ofce
Training center
R&D center
140,000+ employees in more than 150 countries
worldwide
Awards
Major Awards in 2011
Name of Award Awarding Body
8esl LTL Commercial Perlormance Award
8esl LTL Nelwork Lquipmenl Award
8esl LTL Developmenl Conlribulion
Award
8esl LTL Slandard Conlribulion
LTE International Summit
Telecommunicalion Supplier ol lhe Year
Wireless Nelworking Vendor ol lhe Year
8roadband Nelwork Provider ol lhe
Year
Telecom Asia Magazine
User Perceived Service Lxcellence Award lor Huawei SmarlCare Prolessional Service
Solutions
Frost & Sullivan
8esl Nelwork lnlraslruclure Solulions lor Huawei's Small Cell Solulions
Communications Conference and Exhibition in North
America Awards
8roadband Nelwork and Services Managemenl and Operalions lor Huawei's
Intelligent ODN (iODN) Solutions
Conlenl, Lnlerlainmenl, Applicalions and Services calegory awards lor Huawei lPTV
Access Solutions
Broadband World Forum
20!! Cuslomer Service Oulslanding Service Provider lor Chinese linancial lnduslry
Call Center Excellence Awards of Chinese Financial
Industry
20!! 8esl Cuslomer Conlacl Cenler Technology Solulions 2011 Best Customer Contact Center and CRM Awards
8esl Service Award ol lhe Year
Annual Special Award ol Organizing
Committee
2011 China International Financial Awards
8esl Cuslomer Service Solulion Provider in China
China Cuslomer Service Oulslanding Conlribulion Honor Award
China Best Customer Service Awards
8esl lemlocell 8usiness Processes (Progress in Commercial Deploymenl) lnduslry Award Femtocell Forum
Conlribulion Award ol Lxcellence in Slandards Developmenl lor lLLL 802.!AS Slandard
United States Institute of Electrical and
Electronics Engineers
lnduslry Leadership Award Ireland Telecommunications Management Forum
8esl lPTV Service Deploymenl Plallorm Honorable Menlion IPTV World Forum
Housing Conslruclion ol lhe Year 20!! lnlormalion Oulslanding Hardware and Sollware Supplier
Award
The 6th China Digital City Construction Technology
and Devices Exposition
lnlorma 20!! Mosl lnnovalive 8usiness 8ased on Trallic Managemenl Award lor Huawei M88 VCS Broadband Traffic Management Forum
Mosl lnnovalive Mobile 8roadband Deploymenl lor Huawei's SinglePAN LTL Solulions RCR Wireless Telecom Industry News
8roadband lnnovalion ol lhe Year lor Huawei's 200C Lxpress Pouler Line Cards Broadband World Forum
CDMA Nelwork Technology lnnovalion Award Mobile lnnovalion Award CDMA Development Organization
LTL Nelwork lnlraslruclure lnnovalion lor SinglePAN Solulions Deploymenl Global Telecom Business
20!! Producl ol lhe Year Award lor lnnovalion Oulslanding Perlormance Award lor Huawei
Honor Mobile Phone
ICT World
20!! 8esl Markel Perlormance Award Cold Award lor CDMA Terminal Manulaclurer China Telecom
No.1 Huawei Data Card/Mobile Router in Japan in 2011 (Huawei has won this award four
times since 2008)
GFK
2011 Best Mobile Broadband Device Award for Huawei Mobile WiFi E5 21M Weekly by
Chinese Academy of Sciences
China Internet
Top !00 (Chinese) Lnlerprises wilh Clobal Creen lorlune in 20!! 2nd Global Green Economic Fortune Forum
Creen Social Pesponsibilily Oulslanding Conlribulion Award Shenzhen Green Products Promotion Association
Supporl and lmprovemenl in Qualily ol Lducalion Calegory Award Blue Dart World CSR Day and Star News
Corporate Overview
For more information, see the 2011 Huawei Annual Report.
Five-Year Financial Summary
Economic
Performance
0
50,000
100,000
150,000
200,000
250,000
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
182,548
146,607
123,080
92,155
2010 2009 2008 2007 2011
2010 2009 2008 2007 2011
2010 2009 2008 2007 2011
203,929
Revenue
30,676
22,241
17,076
9,270
18,582
Operating prot
31,555
24,188
4,561
5,197
17,826
Cash ow from operating activities
CAGR 22%
CAGR 36%
CAGR 19%
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Governance, Commitments, and
Engagement
3.1 Corporate Governance
3.2 External Commitments and Initiatives
3.3 Stakeholder Engagement and
Material Topics
Governannce, Commmmitmeents, and d Engag gementt Governannce, Commmmitmeents, and d Engag gementt
At Huawei, customers are our focus and dedicated employees are our foundation. We will continue to
improve our organizational structure, processes, and appraisal systems to achieve effective growth.
Shareholders Meeting
Supervisory
Board
Board of Directors
Executive Committee
Human Resources
Committee
Finance
Committee
Strategy & Development
Committee
CEO/EVPs
Group Functions
HR
JCR
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Legal Affairs Internal Audit
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Corporate
Governance
Governannce, Commmmitmeents, and d Engag gementt
Corporate Governance and Organization Structure of Huawei
Shareholders Supervisory Board
Pursuant to the requirements of the Company Law of
the Peoples Republic of China, Huawei has established a
Supervisory Board. The key roles and responsibilities of the
Supervisory Board include overseeing the companys financial
and operational performance; monitoring the performance of
BOD members, the Chief Executive Officer, and other senior
management; and attending BOD meetings as non-voting
participants.
For more information about corporate governance, see the
2011 Annual Report.
Huawei Investment & Holding Co., Ltd. (the company
or Huawei) is a private company wholly owned by its
employees.
Through the Union, the company implements an Employee
Shareholding Scheme (the Scheme), which involves 65,596
employees as of December 31, 2011. They are represented by
and exercise their rights through the elected representatives
(the Representatives). The Scheme effectively aligns employee
contributions with the companys long-term development,
fostering Huaweis continued success.
Board of Directors and Committees
The BOD is the decision-making body for corporate strategy and
management. The BOD guides and oversees the overall business
operations and makes decisions on significant strategic issues.
The BOD established the Executive Committee, which acts as
the executive body of the BOD while the BOD is adjourned. The
BOD has also established the Human Resources Committee, the
Finance Committee, the Strategy & Development Committee,
and the Audit Committee to assist the BOD in overseeing the
companys operations.
Corporate Governance
CSR Committee
Corporate
CSR
Committee
Develop and guide
the CSR strategy
Corporate
Sustainable
Development
Department
Coordinate CSR
activities across
departments
Department
of Huawei
Carry out CSR
activities
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In order to implement our CSR strategy, Huawei set
up the CSR Committee in the corporate governance
structure in 2010.
The CSR Committee is composed of over 20 members from
Huawei s f unct i onal depar t ment s and i s r esponsi bl e f or
implementing CSR strategies and decisions across the company.
Major Responsibilities of the CSR
Committee
Organize, coordinate, and supervise the establishment,
implementation, and maintenance of the CSR
management system; plan and develop the CSR
strategy, and supervise the execution of the CSR
strategy during business operations.
CSR Responsibilities of the Departments Associated with the CSR
Committee:
Sustainable
Development Dept
Human Resources
Mgmt Dept
A professional organization which helps the CSR Committee conduct strategic and
business planning and implement the CSR strategy, indicators, and management solutions
Public Affairs and
Communications
Dept
Supplier Mgmt Dept
Research &
Development
Committee of Ethics
and Compliance
Huawei Machine
Internal Audit Dept
Internal Service
Mgmt Dept
Legal Affairs Dept
Formulates, implements, and optimizes Huawei's policies on human rights,
labor protection, and employees' rights and interests
Develops social contribution strategies and plans,
and carries out social contribution initiatives
Formulates supplier CSR management policies, assesses risks, conducts audits,
and follows up on improvement efforts
Designs and develops green and safe products
Identies and controls CSR risks during manufacturing
Identies and mitigates corruption risks
Ensures energy efciency of infrastructures and safe operations
Joint Committee
of Regions
Identies and mitigates bribery risks
Determines, acquires, tracks, and publishes CSR laws, regulations, and requirements
applicable to Huawei, and organizes relevant departments to assess their applicability
Identies and controls CSR risks that may affect employees' rights and
interests as well as business ethics.
External Commitments
and Initiatives
Goverrnance, CCommitmments, and Engagementt
Huawei joined the UN Global Compact in 2004 and has
applied its fundamental principles to our cultural and business
activities.
Huawei joined GeSI in 2008 and has played a strategic
role during discussions with communications industry peers
about environmental protection strategies, implementation
approaches, and technology standards for the global ICT
industry.
F O R D I G I T A L D E V E L O M P M E N T
Huawei joined the Broadband Commission in 2010 and has
worked with other industry leaders to promote the application
of broadband technology and encourage the parties involved
to leverage broadband services to reduce carbon emissions and
the total cost of ownership (TCO).
Huawei joined CSR Europe in 2011 and has leveraged its CSR
management experience and expertise in the telecom sector
to promote CSR in various areas.
Prioritize stakeholders to whom Huawei has
legal, financial, or operational ties; stakeholders
who are impacted by Huaweis operations;
and stakeholders who are likely to influence
Huawei.
Item Key Stakeholders
A Employees/Shareholders
B Government/Financial institutions
C Suppliers/Contractors
D
Customers (carriers/enterprise customers)/
Communities
E Industry peers
F Consumers/Users
G Industry/Standards associations
H Media/NGOs
As part of the drive to better serve customers and contribute to society, Huawei has listened attentively to stakeholders
and maintained stable and open lines of communication through which we can understand and respond to stakeholder
requirements completely, accurately, and promptly. By identifying and systematically managing stakeholders on a group-
by-group basis and leveraging stakeholder communication mechanisms, Huawei coordinates and adopts dynamic CSR
management approaches to fulfill stakeholder expectations and reach strategic CSR goals. Huawei prioritizes material issues
based on the levels of stakeholder concerns.
Identification of Stakeholder Groups
The levels of influence that stakeholders have on Huawei and the levels of influence that they receive from Huawei are
quite different. Huawei has identified stakeholders and prioritized material issues based on the inclusiveness, materiality,
and responsiveness principles laid out in the 2011 AA1000 Stakeholder Engagement Standard (SES).
In 2011, Huawei hired a third-party organization to survey stakeholders about potential economic, environmental, and
social issues, based on the AA1000 SES.
Stakeholders who are
likely to inuence
Huawei's performance
(those with inuence
and decision makers)
Stakeholders to
whom Huawei has
legal, nancial, or
operational ties.
Stakeholders who are
impacted by Huawei's
operations
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F
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Stakeholder Engagement
and Material Topics
Stakeholder Prioritization Areas
Note: The locations of stakeholders in the chart above can be
adjusted according to stakeholder influence and Huaweis
level of compliance with standards.
Through systematic stakeholder identification processes and surveys, Huawei has established long-term and effective lines
of communication to understand and respond to the requirements of different stakeholder groups promptly, accurately, and
comprehensively.
Stakeholder
Priority
Focus Areas
Stakeholders Communication Channels
A Employees/Shareholders
Regular meetings with supervisors
Employee satisfaction surveys
Internal lines of communication such as bulletin board systems, CEO
mailbox, open days, discussions with experts from the Employee
Relationship Dept, and the suggestion mailbox
Meetings for electing shareholder representatives/Shareholder meetings
B Government/
Financial institutions
Regular meetings
Workshops
Compliance self-checks
C Suppliers/Contractors
Regular meetings
Supplier CSR training/CSR conferences
Workshops and forums
D
Customers (carriers/
enterprise customers)/
Communities
Customer satisfaction surveys
Meetings and workshops
Industry exhibitions and forums
Community visits and meetings
E Industry peers
Industry forums
Annual meetings
F Consumers/Users
Consumer and business research
Consumer satisfaction surveys
G Industry/Standards
associations
Workshops and forums
Publication of research achievements
Participation in industry associations such as the UN Broadband
Commission for Digital Development and the Steering Committee for
Smart Power Grids
H Media/NGOs
Regular meetings with NGOs such as GeSI
Disclosure of information to the media, NGOs, and the public, including
annual reports and CSR reports
Stakeholder Engagement and Material Topics
Key and Material Topics Related to Sustainability
Stakeholders
Huawei CSR Strategy
Bridging the
Digital Divide
Caring for
Employees
Fair Operations
Employees Development of ICT solutions for
developing countries and regions
Employee health and safety
Compensation and benefits
Training and career
development
Ethical business
practices
Government/Financial
institutions
Education and training for
talent in developing
countries and regions
Development of ICT solutions for
Technological innovations
for social benefits
Ethical business
practices
IPR
Suppliers/Contractors N/A N/A Ethical business
practices
Customers (carriers/
enterprise customers)
Development of ICT solutions
for developing countries and
regions
for social benefits
Ethical business
practices
IPR
Industry peers Development of ICT solutions for
for social benefits
Compensation and benefits Ethical business practices
IPR
Consumers/Users Development of ICT solutions for
for social benefits
N/A Ethical business practices
IPR
Industry/Standards
associations
N/A N/A IPR
Media/NGOs Development of ICT solutions for
for social benefits
Ethical business practices
IPR
Environmental
Protection
Social
Contribution
Supply Chain
CSR Management
Stakeholder
Communication
Safe
Operations
Green and eco-efficient
products
Proper handling of electrical and
electronic waste
Energy use and climate
changes
Community
development
Implementation of supply chain
CSR strategies and policies
Employee communication and
engagement
Safe operation practices
Safety capacity
building
electronic waste
Energy use and climate
changes
Raw materials management
Green and eco-efficient products
Community
development
Talent
development
N/A Public policies Product safety
products
electronic waste
N/A Implementation of supply chain
Capacity building of
supplier CSR
Public policies N/A
products
electronic waste
Energy use and climate changes
Response to other environmental
problems
Community
development
Customer complaints
and feedback
Customer satisfaction
management
Product safety
products
N/A Implementation of supply chain
Public policies
Standards setting and
development
Product Safety
products
Community
development
Talent
development
Customer complaints
and feedback
Customer satisfaction
management
Product safety
products
Talent development N/A Standards setting and
development
N/A
Green and eco-efficient products
electronic waste
Community
development
Talent
development
Public policies Product safety
Stakeholder Engagement and Material Topics
Prioritized Material Topics
Huawei prioritizes the main issues that concern stakeholders according to stakeholder CSR questionnaires and the stakeholder
survey conducted in 2011. The following matrix lists the CSR-related material issues according to Huaweis strategies and
operations.
Low
Low
High
High
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s
Community
Development
Standards setting
and development
Public policies
Response to other
environmental
problems
Prodot safety
Qreen and eoo-eff|o|ent prodots
[nergy se and ol|mate ohanges
[th|oal os|ness praot|oes
Proper handl|ng of eleotr|oal and

eleotron|o waste
Ostomer oompla|nts and feedoaok/Ostomer

sat|sfaot|on management
lmplementat|on of spply oha|n

OSH pol|o|es and strateg|es
Tra|n|ng and oareer development
Oompensat|on and oenef|ts
Teohnolog|oal |nnovat|ons for

soo|al oenef|ts
IPR
Employee health
and safety

Development of ICT
solutions for
developing countries
and regions
Employee
communication
and engagement
Raw materials
management
Safe operation
practices
Safety capacity building

Capacity
building of
supplier CSR
Education and training
for developing talent
in countries and regions
Community development
and talent development
Strategy Significance
More information about how Huawei responds to material issues that are high-level concerns to
stakeholders or are significant to Huaweis strategy can be found in the following sections of this report.
For information on product safety, refer to the Safe Operations section.
For information on green and eco-efficient products and energy use and climate changes, refer to the Environmental
Protection section.
For information on ethical business practices, refer to the Fair Operations section.
For information on proper handling of electrical and electronic waste, refer to the Environmental Protection section.
For information on customer complaints and feedback and customer satisfaction management, refer to the
Stakeholder Communication section.
For information on implementation of supply chain CSR strategies and policies, refer to the Supply Chain CSR
Management section.
For information on training and career development as well as compensation and benefits, refer to the Caring for
Employees section.
For information on technological innovations for social benefits, refer to the Bridging the Digital Divide section.
For information on IPR, refer to the Fair Operations section.
For information on employee health and safety, refer to the Caring for Employees section.
For information on development of ICT solutions for developing countries and regions, refer to the Bridging the
Digital Divide section.
For information on safe operation practices and safety capacity building, refer to the Safe Operations section.
For information on raw materials management, refer to the Environmental Protection section.
For information on talent and community development and education and training for talent in developing countries
and regions, refer to the Social Contribution section.
For information on capacity building of supplier CSR, refer to the Supply Chain CSR Management section.
For information on community development, refer to the Social Contribution section.
For information on standards setting and development, refer to the Fair Operations section.
For information on public policies, refer to the Corporate Profile and Stakeholder Communication sections.
For information on responses to other environmental problems, refer to the Environmental Protection section.
4.1 Management of CSR Strategies
4.2 CSR Management System
4.3 Environment, Health &
Safety Management System
4.4 Compliance Management System
4.5 Bridging the Digital Divide
4.6 Caring for Employees
4.7 Fair Operations
4.8 Environmental Protection
4.9 Social Contribution
4.10 Supply Chain CSR Management
4.11 Stakeholder Communication
4.12 Safety Operations
CSR Management System and
Performance
in 2011
CSR Management System and Performance in 2011 CSR Management System and Performance in 2011
In 2011, Huawei aligned its eight CSR strategies with the 5-Year Strategic
Plan (2011-2015), showing a firm commitment to CSR. CSR is not just a
voluntary initiative, but an integral part of our business operations. This
ensures that CSR strategies supplement and align with overall corporate
strategy.
1. Low Carbon Products

2. Bridging the Digital
Divide
3. Social Welfare
4. Employee Benets
CSR Improvement
Corporate
Strategy
CSR
Strategies/Policies
CSR Targets
CSR Performance
Indicators
Key Issues
Deployment
CSR Management
& Implementation
Collaboration
across departments
Support team
Persons responsible
for CSR
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Management of
CSR Strategies
CSR Management System and Performance in 2011
CSR Management
System
Plan
There i s a Gl obal Process
Owner at the corporate level
for each CSR strategy who
oversees the di recti on and
progress of their segments to
ensure that the identied CSR
targets are attained.
Act
The CSR Committee analyzes
the results of CSR strategy
execution and develops plans
to improve activities related to
the eight CSR strategies.
Do
Relevant business departments
and r es pons i bl e per s ons
i mpl ement t he ei ght CSR
strategies.
Check
Select performance indicators
to moni tor CSR acti vi ti es;
perform internal reviews in all
operational areas to ensure
that the expected performance
is achieved.
In accordance with the PDCA management model, Huawei
has effectively identified CSR-related risks and established the
corresponding goals, performance indicators, and management
programs. These have been incorporated into operational
processes using internal audits and other approaches to help
discover new opportunities and identify areas for continuous
improvements.
Based on the ISO26000 standard, we established CSR risk
assessment mechanisms and optimized the CSR management
system in 2011.
Huaweis CSR management system has integrated SA8000, an
environmental, health, and safety (EHS) management system,
a compliance management system, and other related systems,
and has been developed further based on the ISO26000
standard.
SA8000
Huawei has established its CSR management system and implemented the corresponding labor policies, systems, and processes
to align with SA8000 requirements.
Huaweis Consumer BG initiated a social accountability management system in alignment with the SA8000 framework at the
end of 2011 with the goal of being certified in 2012.
Clobal LHS risk assessmenl lools evalualion dimension (nalural environmenl)
The major activities for the EHS Management System (EHSMS)
have been incorporated into the following CSR Strategies:
Lnvironmenlal Proleclion
Caring lor Lmployees
Sale Operalions
Huaweis EHSMS complies with the Environment Management
System ISO 14001:2004 and the Occupational Health & Safety
Management System Standard OHSAS 18001:2007. Huaweis
EHSMS applies to all the regions we operate. These standards
are applied to product design, development, manufacturing,
sales, delivery, and service processes. The EHSMS in key regions
has received the ISO 14001 and OHSAS 18001 certifications.
Huawei focuses its efforts on continuous EHS performance
improvement by controlling global EHS risks and preventing
environmental pollution accidents, work injuries, and other
adverse incidents. In 2011, we implemented a number of EHS
management improvement projects.
Global EHS Risk Assessment
To improve our capabilities in controlling global EHS risks, we
launched an EHS risk assessment project in our representative
offices worldwide in April 2011. We also set up a project team
to develop EHS risk assessment tools for our representative
offices. In August 2011, we completed the development of
the assessment tools and deployed them across the company.
In December 2011, we collected and analyzed data from more
than 100 representative offices. The representative offices
were graded on a scale of one through five for EHS risks. We
determined that eight of our representative offices are located
in high-risk areas. In 2012, we will develop and implement
management strategies to fit different scenarios in each
representative office according to the risk level assigned to
each location. These differentiated approaches will help address
the identified risks. The effectiveness of these strategies will be
assessed as time passes.
Environment, Health & Safety
Management System
Substantially cold region
Western America
Central Asia
Eastern Europe
South & East Asia,
Southern Pacic
Geological disasters
Hurricanes & oods
Floods & Typhoons
Hot regions & deserts
EHS Management Baselines
We established an EHS risk warning mechanism to oversee
our overall EHSMS operations and assess the EHS performance
and maturity of our overall operations. At the end of 2010,
our EHS team set up an EHS Management Baseline Project
Team, which divided core EHS services into modules. The
team further defined the EHS baselines to align with laws,
regulations, stakeholder expectations, EHS standards, and
other requirements. We defined the EHS baseline standards
and indicators and identified 30 key indicators in October
2011. We launched a trial deployment of the EHS baselines in
December 2011. In 2012, we will promote EHS management
baselines and maturity assessments at HQ.
Compliance
Management System

|aws and reglat|ons
Stakeholder expeotat|ons
[HS standards
lnternal operat|ons req|rements
Speo|f|o os|ness
operat|ons
Cperat|ons
standards
KPls
[valat|on
or|ter|a
Chart illustrating the EHS management baselines
EHS Management Baseline:
An operations standard, KPI, or evaluation criterion
that quantitatively or qualitatively evaluates a
particular business to determine the EHS management
level of that business.
Huaweis Compliance Management System (CMS) handles all
legal disputes, improves dispute management, and establishes
internal regulation and risk prevention mechanisms. The Legal
Affairs Dept is responsible for the CMS. The CMS is aligned
with the CSR strategy to ensure compliance issues related
to CSR initiatives are properly handled to minimize negative
impacts on the companys operations and image.
Potential Risk Management
Procedure
For projects or activities that have potential legal risks, business
departments that handle the projects or activities collaborate
with the Legal Affairs Dept to identify and assess the risks.
Based on the assessment results, the Legal Affairs Dept assists
the related departments to develop risk prevention measures.
Once in place, the related departments implement the risk
prevention measures, monitor progress, and provide timely
feedback to the Legal Affairs Dept.
Legal Dispute Resolution
Procedure
If a legal dispute arises, the department involved provides the
Legal Affairs Dept with detailed information on the dispute,
the expected impact of the dispute on the business, and any
potential actions that governmental bodies may take to handle
the dispute. The Legal Affairs Dept then formulates an action
plan to handle the dispute.
Action plans ensure that the issue is effectively solved and that
similar issues will not reoccur.
Bridging the
Digital Divide
Aim
1o ehable more people Io access ih!ormaIioh by
providing customized ICT solutions
1o supporI ahd develop Ielecom heIworks aI
regional and national levels
1o hurIure ahd supporI educaIioh ih Ielecom
technologies in underdeveloped regions
Huawei aims to bridge the digital divide to ensure that communications and information services are
equally accessible to everyone. Quote from the Chairwoman
A Decreasing Network Costs Through Technological Innovations
and Providing Customized Solutions to Help Carriers Successfully
Operate in Outlying Areas
Case Study: The Phone Lady Initiative in Bangladesh
Background
In remote areas of countries like Bangladesh, a lack of information access means rural residents are unable to lead a more
economically beneficial life. The Phone Lady initiative aims to resolve the Universal Access Service (UAS) issue to enable
people in rural areas to easily communicate with relatives, friends, and trading partners.
Through our Bridging the Digital Divide strategy, Huawei aims to better
allocate information resources by developing effective communications networks
in underdeveloped regions that would enable more people to have access to
communications and information systems. To achieve this goal, Huawei is consistently
expanding the coverage of communications networks in underdeveloped regions and
providing training opportunities for local technicians and talent.
To sustain communication services and help bridge the digital divide, Huawei focuses
its activities on three main elements: technology, funds, and knowledge transfer,
which foster mutual support and improvement.
A Decreasing network costs through technological
innovations and providing customized solutions
to help carriers successfully operate in outlying
areas
B Providing financing solutions for cash-strapped
local governments and carriers to develop telecom
networks
C Establishing training centers and launching
joint teaching initiatives to develop local talent,
transfer knowledge, and improve the ability of
locals to build digital communities
Bridging the Digital Divide
28,000 proprietors, whose average income is three times
higher than the per capita income in Bangladesh. The
initiative employs people in rural areas and improves their
livelihoods, and by providing access to communications
and information services, it has also brought significant
social benefits.
Case Study: The instant network
brings you more survival
opportunities
An instant network is a useful tool for bridging the
digital divide. The network not only rapidly provides
telecommunication services for developing countries and
regions, but also plays a crucial role after a natural disaster
happens.
Millions of people today suffer as a result of war or
disaster, both natural and man-made. After a disaster
strikes, in most cases, local communications are badly
disrupted and there is a long delay in service restoration.
This leads to more lives lost and a prolonged period of
hardship. It is important that emergency rescue teams
are able to quickly rebuild and recover communications
networks. This helps them deliver messages to the outside
world so that the emergency rescue teams can get food,
water and medical assistance for the disaster victims.
After the emergency rescue team has the communications
networks up, victims can also communicate with their
relatives to obtain information and seek help.
Phone Lady Solution
Huawei partnered wi th the l argest l ocal carri er i n
Bangladesh, to initiate the Phone Lady project and establish
Communication Information Centers (CICs) to provide
UAS. The aim of the initiative is to increase the availability
of telephone and information access services for residents
in rural areas and enable them to benefit from economic
and social success.
Through this initiative, the carrier engages a large
number of local proprietors, most of whom are female,
by arranging loans from the local bank for purchasing
mobile phone devices and providing training on how to
operate the service. The initiative has proven to be a great
success in resolving the UAS issue in rural areas and has
led to increased economic activities and facilitated overall
communications.
The carrier and Huawei will further expand UAS to
information services such as the Internet and related
services.
CIC Initiative
The carrier organizes the local collective units and
some proprietors to establish CICs that the proprietors
independently own and operate. The CICs function as
customer service centers that provide services such as pay
phones, e-recharge, printing, scanning, copying, as well
as notifications and news (including the price of farm
products, government websites, and job information). As
a result, people in remote areas are able to have better
incomes, find jobs, get information on farm products, and
increase the overall economic activity of the region.
Huaweis Participation
Huawei, as a strategic partner of the carrier, provides
network support throughout the projects implementation.
In addition to network equipment, Huawei actively
customizes service features for the project. The entire
network is integrated with green technology solutions, and
the adoption of a green power solution offers coverage
to rural areas with unreliable electrical power while also
enabling the realization of sustainable business growth.
Impact and Benefits of the Phone Lady Initiative
The carrier gets good financial returns from mobile services
and the Phone Lady initiative employs more than
The Instant Network Solution
Huawei partnered with Customer V to launch the Instant
Network solution in the Joint Innovation Center in
Madrid, Spain, to create a super GSM network. The
network provides advanced emergency communications
services such as voice, text, and data, and can be rebuilt
quickly in disaster-stricken areas. The instant network is
a self-contained portable system weighing 100kg. It can
be packed into three suitcases and taken anywhere in
any commercial flight. No matter how complicated the
disaster situation, the instant network can rebuild the local
network within 40 minutes using satellite communications
as a wireless backhaul to restore communications services
and save more lives.
In May 2011, a team consisting of Huawei, Customer V,
and Tlcoms Sans Frontires, an NGO, joined together for
a humanitarian mission in Barsaloi, a village in Kenya. Due
to various factors, local residents had been unable to talk
with their relatives for two years. After an instant network
was set up, locals in an area with no network coverage
could communicate with their relatives within two days.
Huawei also cooperated with governmental authorities
and relief forces following a train crash simulation in
Barcelona city center. Key emergency relief forces such
as the fireman brigade, policemen, and Red Cross were
involved and they used the instant network to provide
mobile services.
The instant network is a major breakthrough in emergency
communications, as it drastically reduces the response time
during disasters and enables communications with remote
areas that do not have mobile network coverage. This
advanced technology has significantly changed peoples
lives around the world.
B Providing Financing Solutions for
Cash-strapped Local Governments
and Carriers to Develop Telecom
Networks
National Broadband Networks
The Telephone for All project (first promoted by the
Maitland Commission more than two decades ago) has
achieved a certain amount of success. According to the
latest report by the ITU Secretary-General, its objective
has basically been achieved. The worlds top priority for
the next twenty years will be to bridge the digital divide
caused by national information networks (broadband) and
make Broadband Inclusion for All a reality. However,
constructing national broadband networks often requires
a substantial investment, and both public and private
sectors must work hard to achieve this goal.
National broadband networks (NBNs) can significantly
boost a countrys competitiveness and can stimulate
economic development, according to multiple studies.
Statistics from the World Bank in 2009 show that in
developing countries, NBNs can increase the gross
domestic product (GDP) of a country by an additional
1.5%. Consequently, financing for NBNs has become an
increasingly important element of governmental policy
in various countries to stimulate the economy. These
policies have played a key role in bridging the digital
divide after the global economic crisis in 2008. Huawei
has made efforts to facilitate financing and reduce initial
costs through innovative solutions. Our all-encompassing
products, services, and solutions allow us to be at the
forefront of assisting a number of countries in the
construction of NBNs.
Developing Countries
Mobile broadband
Connectivity
Low cost and high coverage
Eliminating poverty, increasing employment, and
improving education
Satisfying personal information needs
Bridging the digital divide
NBN Requirements for Developing Countries
Huaweis NBN solutions cater to different requirements of
both developed and developing countries. For developing
countries, the driving force lies in satisfying peoples
communication needs and bridging the digital divide.
NBNs can transfer connections into social wealth and narrow the gap between developing and developed countries using
the following applications:
Communication
VolP
Telecommuling
Videophone
Infotainment
lPTV
VOD/PVP
Mullimedia Conlenl
Online Caming
Lifestyle
Domeslic Services
L-Covernmenl
L-Lducalion
Web 2.0+
P2P/8T
Virlual Pealily
Ajax
Olher Non-lMS Services
C Establishing Training Centers and Launching Joint Teaching
Initiatives to Develop Local Talent, Transfer Knowledge, and
Improve the Ability of Locals to Build Digital Communities
Below are some of the activities carried out by Huawei in 2011:
1. Donated equipment to the St. Petersburg State University of Telecommunications in Russia, set up a joint lab, and
provided training for 250 college students annually.
2. Continued the E-HOPE project in India.
3. Donated computers and office equipment to schools in developing areas of Northern Laos.
4. Set up a training center and established a foundation at the National Institute of Advanced Communications in
Belarus to encourage and support talented college students.
5. Conducted the Huawei Undergraduate Work Experience Program for talented students from higher education
institutes around the world.
Huawei provided and facilitated education opportunities and developed talent in developing countries and regions using
communications services. Details are provided in the Social Contribution section.
Promoting the Bridging the Digital Divide Strategy
Huawei carried out the following activities in 2011:
Sponsored lhe World Lconomic lorum lo help il release lhe Nelwork Peadiness lndex lor promoling lCT
development in developing countries.
Delivered lhe key message on bridging lhe digilal divide al lhe eC8 Summil and lo lhe 8roadband Commission
for Digital Development.
The "Phone Lady" inilialive was recognized by lhe World Lconomic lorum and lhe 8oslon Consulling Croup
at the Davos World Economic Forum as a role model for bridging the digital divide.
Huaweis long-term effort has been to expand communications network coverage in developing countries and
regions and provide training opportunities to local technical personnel. As a result, more people enjoy conveniences
brought by communications, the distance between people has been shortened, and lives have been enriched through
communications via terminal products, services, and solutions such as eCity.
Case study
Lets simply share

In August 2011, Huawei Device launched Lets simply share, the worlds first branded concept for mobile Internet,
to drive innovation in Huawei Devices brands and build a Business to Person (B2P) device brand centered on user
experience. The CEO of Huawei Device said, It is our unshaken belief that the real value of innovation is to help people
enjoy a better life and bring people closer.
Cloud computing is sweeping the world, and Huawei has launched an industry-leading cloud services platform. Building
on its fresh new concept of Lets simply share, Huawei Device has launched two flagship products: the Vision phone
and the MediaPad tablet. The aim is to draw people closer and enable consumers to enjoy new and enhanced mobile
Internet capabilities.

eCity Solution
Huawei provides the future-oriented eCity Solution with five products (Unified Communications, Cloud Contact Centers,
Collaborative Conference, Telepresence, and Video Surveillance) and a government collaboration platform that is driven
by cloud applications and carried by devices.
Huaweis eCity Vision
Achieve
long-term
stability in urban
areas and
harmonious
development
of society
Information
promotes the
development
and prosperity
of various
industries.
Information
improves
public
well-being
Build
information-
based,
service-
oriented
governments
eCity
Green and
harmonious
industry
ecosystem
Campus
Medical
Care
Education
Surveillance
Emergency
e-Govern-
ment
Hotline Ofce
Efcient and
transparent
government
Happy with
a comfortable
livelihood
Safe and
orderly city
Health,
Convenience
and Happiness
Green and
Continuous
Innovation
Safety,
Collaboration,
and Order
Efcient,
Convenient, and
Transparent
Case study

Huaweis eCity solutions are widely deployed:
Huaweis eCity solutions are deployed in more than 50 cities worldwide.
Digital Medical Care in Angola National project in Nigeria
Happy smart Shenzhen
Smart healthy Ningbo
Smart traffic in Bijie, Guizhou Province
Digital urban administration in Shihezi
Kelamayi The salesl cily
Teleconference
in the UK
Digital urban administration
in Anshun, Guizhou Province
Cloud computing in Shanghai
Ecological smart Langfang
Digital firefightinwg in Xingtai
National project in Cuba
in Baiyin, Tianshui, and
Jinchang in Gansu Province
Digital urban
administration in the Xian
high-tech zone
Digital city in Yanbian and
Liaoyuan in Jilin Province
Digital Medical Care in Angola
in Xingtai and Cangzhou,
Hebei Province
Long-distance court in Hainan
Smart traffic in the Maldives
National project in
Cambodia
Distance education in Uzbekistan
Emergency police command
system in Laos
Caring for
Employees
1o ehsure employees' healIh ahd wel!are
1o promoIe Ihe ihdividual value o! employees
1o ehhahce Ihe well-beihg o! employees
Total Number of Employees:
140,000+
China 79.81%
Other Asian Countries 7.56%
Oceania 0.21%
Africa 2.85%
Europe 4.92%
North America 1.72%
South America 2.93%
Huawei has operations in over 140 countries around the world.
The regional employee workforce breakdown is shown in the
table on the left. Given this diversified and globalized employee
population, Huawei wants to ensure that maximum benefits
are brought to both the business and the employees.
Huawei focuses on enhancing employees awareness of and compliance with ethics. We attach great importance to employee
health and welfare by creating a sound work environment and climate. We also ensure that dedicated employees receive
reasonable and timely rewards. As the company continues to grow, we care about our employees career development by offering
different paths for both international and local personnel to realize their own personal potential.

20%
Male Employees
80%
Female
Employees
Less than 30 years old
51%
30 to 50 years old
48%
Over 50 years old
1%
Caring for Employees
Quote from an HR supervisor:
Efficient and upbeat employees are our most valuable asset, without which Huawei could not have been able to achieve long
term success. We will continue to adhere to our practice of employee care as it is a vital element of a progressive enterprise.
We assess our level of employee care not only in terms of employee satisfaction with compensation packages but also through
employees perception of the company as one that truly cares about them.
Others
17%
Strategy and Marketing

1%
Production and Delivery
8%
Services
19%
Sales
11%
Products &
Solutions(R&D)

44%

Employee breakdown based on business fields
Non-discrimination
Huaweis policy of equal opportunity is reflected in our recruitment, promotion, compensation, and other aspects. Huawei
stipulates that there should be no discrimination in terms of race, gender, region, nationality, age, pregnancy, or disability.
In addition, we have established a policy for anti-discrimination and abide by the requirements of applicable laws in different
locations.
Employee Compensation
While complying with the minimum wage requirements as stipulated by local laws, Huawei has established a competitive
compensation system and a set of social security and welfare mechanisms for all employees. Under these systems, the
compensation Huawei offers is not lower than the requirements of local policies, including mandatory social security insurance
and additional welfare benefits. The bonus plan for Huawei employees closely relates to employee performance and is decided
on a quarterly basis based on:
Pesponsibililies underlaken by individual employees
Work perlormance
Complelion ol main projecls
Huawei reviews the compensation scheme annually to ensure that the scheme is balanced in terms of competitiveness and
costs.
Employee Benefits
Huawei has set up a complete employee benefits system, including additional commercial insurance benefits (listed below) beyond
those stipulated by local laws, and has introduced a company-wide medical assistance plan for special circumstances:
Commercial Personal Accident Insurance
Commercial Critical Illness Insurance
Commercial Life Insurance
Commercial Medical Insurance
Business Travel Insurance

Huaweis Total Benefit Plan Cost for global employees in 2011: CNY 4.534 billion
Special Needs Employee Management Process
Huawei has established a Special Needs Employee Management Process which is used for managing female
employees under four special phases and employees with certain physical disabilities. The management process
is aimed at ensuring Huaweis compliance with applicable laws and regulations and protecting the health and
rights and interests of employees in specific groups.
Overseas Local Employees
Huaweis strategy for local employees overseas:
Selecling, deploying, developing, and relaining excellenl local managers and employees
Deepening local employees' underslanding ol Huawei's core values, policies, processes, and syslems
The majority of Huaweis operations outside China are sales and retail-oriented activities. In 2012, Huawei will institute a local
hiring policy that seeks to employ more local people in these regions who will be responsible for coordinating with local customers
to ensure smooth communication and a thorough understanding of customer needs.
The percentage of local employees outside China is 72%.
Talent Management
100% of Huawei employees receive regular performance and career development
reviews.
The following diagram shows the career development model for Huawei employees:
Managerial
Personnel
Senior-level
Managers
Mid-level
Managers
Junior-level
Managers
Senior Experts
Experts
Core Key Employees
Key Employees
Junior-level
Employees
Technical
Professionals
Huawei motivates employees to contribute to the
company by publishing appointment notifications,
clearly defining their career development paths, and
designating their positions and responsibilities. We
select managers who demonstrate high performance,
solid adherence to moral principles, and outstanding
leadership capabilities.
Case study
Talent Development at Overseas Locations

Huawei awards employees according to their contributions and length of employment at Huawei. Huawei grants contribution
service awards to local employees who hold important managerial positions in overseas representative offices or who
work in key technical positions if these employees satisfy the requirements for job levels, length of employment, and
performance.
Local Managers: Through in-depth interaction and communication between Chinese and non-Chinese trainees as well
as between trainees and management teams, we help enhance mutual understanding, facilitate integration, improve local
managers understanding of the companys core values and the role of managers, and help them meet the requirements
of their positions.
Local Key Employees: To motivate local key employees to perform outstandingly, we provide job rotation opportunities
at Huawei headquarters to help them better understand company operations.
Local New Employees: We provide comprehensive on-the-job training for new employees and allocate tutors during their
probation period to assist them with required skills and knowledge.
Building Employee Capabilities
We believe that the foundation for Huaweis progress is to
build employee capabilities. Employee training is an important
part of developing employee capabilities. Huawei provides
employees with technical expertise and professional skills
based on the business needs and individual characteristics of
each position.
2011 Employee Training Highlights
Total Participants in 2011 60,176
Total Training Person-time
in 2011
849,170
Average Training Hours
Per Employee in 2011
40.65
e-Learning Training
Huawei has instituted an e-Learning system to provide online
interactive training to employees to build up their capabilities.
More than 7,500 courses were provided and over 1.5 million
participants used the e-Learning platform in 2011.
Huawei University
Huawei University supports Huaweis overall strategy.
Currently, the most important mission of Huawei University is
to disseminate Huaweis management philosophy, galvanize
Huaweis corporate culture, train personnel for business and
management, and help employees realize their potential.
Huawei University focuses on key personnel, key abilities,
leadership development, and the dissemination of corporate
culture and core values through general training sessions, core
learning and development programs, and cross-departmental
professional skill development programs. These capability-
building activities involve summarizing business cases and
experiences, and provide business performance related
workshops based on key case studies and strategic focus.
Employee Health
Overtime Management Policy
Huaweis overtime management policy specifies the overall
requirements within the company. Employees follow a voluntary
principle for working overtime, which shall be declared and
approved. Overtime shall not exceed two hours a day generally
or three hours a day under special circumstances. There shall
be at least one day off duty per week. Huawei has introduced
the following measures to ensure that the overtime policy is
implemented:
1. Established the overtime management system for the
manufacturing department where overtime is monitored
through an IT platform and adjusted if too much overtime
is planned.
2. Strengthened cross-skill employee training to help with
manpower adjustments at peak times for different products
by developing employees with skills for multiple positions
3. Carried out an overtime analysis which reviews abnormal
overtime and performs an audit. The review results are
circulated and the Overtime Management Briefing is
prepared and released on a monthly basis
Stress Relief
Huawei requires managers and HR departments at all levels to
focus on employees physical and mental health. In May 2011,
Huawei started a Stress Relief initiative in departments such
as R&D and the Joint Committee of Regions. This initiative
is aimed at helping employees recognize their stress levels
and identify the sources of their stress. Through onsite team
discussions and sharing, employees learn methods of stress
relief. Through in-depth communication between managers
and employees, we help create an open and upbeat team
climate, strengthen mutual understanding and trust, and
increase team cohesiveness.
By the end of December 2011, Huawei had organized 2,200
stress self-tests for over 63,460 employees. Health and
safety materials were also distributed to increase employee
awareness of caring for oneself and others. We promote the
4x1 initiative (making a friend, participating in an activity,
developing a hobby, and reading a good book) to help staff
alleviate stress and improve their physical and mental health.
In 2011, the manufacturing department organized a Healthy
and Happy Work and Lives seminar for frontline employees
to promote healthy living and work. The seminar was attended
by over 1,200 people. Along with experts on ethics and
compliance and representatives from relevant departments
and the local government, we carried out health education and
staff psychological counseling activities to enable employees to
practice a healthy living lifestyle. In addition, our courseware,
Creating Happiness Through Dedication, has been well-received
among employees.
Case study
Employee Assistance Program

The Employee Assistance Program (EAP) is an initiative
that requires managers at all levels to focus on the
mental health of their employees and take precautionary
measures whenever they notice unusual behavior.
Huawei worked with a reputable enterprise management
consulting firm to conduct a series of EAP-related training
programs for its employees from March 2011 through
March 2012. The EAP consists of four trainings:
1. Identification of and Assistance for Psychological Crises
2. lullilling Work Lnhancing Menlal Compelencies
3. Lnergy Managemenl 8eing Lllicienl in Work and Lile
4. Management of Generation Y Employees
Huawei employees appreciated the EAP program and
acknowledged its benefits.
Medical Examinations and
Disease Prevention
Huawei provides free medical examinations for its employees,
including examinations for new employees, annual examinations
for regular employees, occupational health examinations,
and medical examinations for overseas employees. Huawei
provides professional channels to interpret employees medical
examination reports, track health problems found during the
examinations, and provide guidance on how to handle health
issues. Huawei also identifies positions that are exposed to
occupational hazards according to regulatory requirements,
standardizes the management of these positions, and arranges
for staff to have occupational health examinations. As a result,
no occupational diseases occurred in 2011.
Medical examinations
for new employees
24,000
Special health checks for
overseas employees
3,400
Annual medical
examinations for
regular employees
58,000
Occupational health
examinations
3,400
In 2011, Huawei continued to focus on the prevention of
infectious diseases in areas where they are prevalent and
promoted the implementation of travel health care systems
across the globe. For employees working in areas where
diseases are prevalent, disease prevention awareness and
knowledge increased to 80% and 85% respectively, and
the infection rate decreased by 10.2%. For cholera-affected
areas in the Congo, dengue-affected locations in the Middle
East, and flood-stricken areas in Thailand, Huawei provided
employees with full medical support and guidance. Over the
course of the year, Huawei provided 2,000 emergency medical
first-aid kits for employees in 107 countries.
Pictures of the companys first-aid kits
First-aid kit for cars
First-aid kit for cars
First-aid kit for individuals
First-aid kit for offices
Fair
Operations
Aim
1o ehsure compliahce wiIh Ihe legislaIioh ahd
national standards for fair and ethical practices
in our business operations
1o comply wiIh regulaIiohs !or ihIellecIual
property rights
Quote from management
Every Huawei employee should comply with laws and ethical standards. This is an important means to
ensure Huaweis long-term sustainable development. We feel it is our obligation to inform our employees
of what is right and wrong when conducting business and ensure that they do the right things. The
BCG makes clear the right direction for Huaweis compliance with laws and regulations as well as ethical
standards, and also for Huaweis fair and ethical operations. The BCG is the cornerstone for our long-term
success and development.
Huawei has established ethical compliance organizations to strengthen employees legal awareness, integrity, and moral character. We
have created a good environment for ethical compliance, which helps our employees consciously comply with laws and regulations
as well as the companys ethical guidelines. We have put in place a supervisory mechanism that features points, lines, and sites to
ensure that fairness and ethical behavior are incorporated into our business operations. During the process of producing and utilizing
products and services, we ensure that we comply with intellectual property laws and regulations, grow together with our peers, and
create a favorable environment for development.
Huawei firmly believes that operations should be based on business ethics. Huawei defines bribery, corruption, intellectual property
violations, and other similar behavior as major risks in business. Any behavior that violates the rules for fair play will have a negative
impact on the company. Therefore, Huawei has introduced procedures to incorporate anti-bribery and anti-corruption principles
into its operations. The IPR risks Huawei is exposed to include protection of its own IPR and respecting other companies IPR.
Huawei will continue to adopt similar initiatives to ensure that the company complies with international intellectual property laws
and regulations.
Huaweis Business Conduct Guidelines
Huaweis Business Conduct Guidelines (BCG) provides the foundational principles for
our general business conduct, which we expect all employees to follow. The BCG
was developed by analyzing situations that occurred in our company and the global
environment in which we operate, as well as the regulations with which our employees
must comply while conducting business activities. The BCG provides guidance and
assistance for Huawei to comply with laws and ethical standards.
New Huawei employees are required to learn and sign the BCG. Each year, all employees
are required to learn the BCG based on their specific positions, take online examinations,
and sign a letter of commitment.
The business environment and the outside world are constantly changing, and new
problems related to ethics and laws emerge every minute. We will constantly build upon
our BCG as new issues emerge so that our BCG and specific business guidelines can
address any new situation.
Huawei expects that its employees work with integrity and comply with the BCG. At
Huawei, no fraud is tolerated. Every Huawei employee is required to:
Have inlegrily when dealing wilh Huawei business aclivilies and business
relationships
Comply wilh laws and regulalions lhal apply lo Huawei's business operalions
Protect and properly use Huaweis assets and respect others intellectual property rights
Saleguard lhe company's inleresls and properly handle lhe relalionship belween
company interests and individual interests
Pespecl dillerences and lreal cuslomers, suppliers, business parlners, and
employees from different cultures and religious beliefs fairly
Fair Operations
BCG-related Topics
Internal Business Conduct
Prohibiting Discrimination or Harassment
Prohibiting Illegal Conduct
Prohibiting Alcoholic Beverages
Physical Assets
Protecting Huawei's Information and Communications
Systems
Protecting Huawei's Proprietary Information
Protecting Huawei's Intellectual Property Rights
Recording, Reporting and Retaining of Information
Personal Information and Property
External Business Conduct
Authority to Make Company Commitments
Avoiding Misrepresentation
Dealing with Suppliers
Competing in the Marketplace
Terminating Business Relationships with Competitors
Relationships with Government Departments or Officials
Relationships with the Media, Judiciary Personnel and Other
Stakeholders
Respecting Others' IPR
Personal Conduct
Avoiding Conflicts of Interest
Not Using Inside Information and Insider Trading
Community Activities
Personal Ethical Practices
Extracted from the Table of Contents of the Huawei Business Conduct
Guidelines
Anti-corruption and Anti-bribery
Huawei believes that corrupt activities like bribery severely
undermine the legal system, harm free and fair competition,
and have negative effects on the development of society, the
economy, and enterprises. Huawei believes that by employing
an efficient and transparent anti-corruption and anti-bribery
control system, it can win trust from its partners and customers to
guarantee its sustainable development. Huawei strongly prohibits
bribery in business situations. Huawei will abide by business
ethics, perform all operations with integrity, adopt active and
effective systems and measures, and oppose and prevent bribery
and other corrupt activities. Huawei stresses that employees shall
abide by all laws, and conduct themselves ethically at all times in
business situations. The BCG and legal documents state that:
Lmployees musI hoI give or accepI gi!Is or
business amenities that exceed normal value
Lmployees are sIrohgly !orbiddeh Io per!orm
illegal actions, such as bribery, in business
situations
Lmployees musI comply wiIh all goverhmehI
laws and regulations when conducting
business
Huaweis policies on anti-corruption and anti-bribery include
the following:
1. No use of bribery or illegal commission to obtain illegal
interests or special treatment;
2. Comply with laws and regulations on gift giving in
countries where we operate; no giving of money or
precious gifts to managers or employees of the customers
which may impact or may be suspected of impacting their
relationship with Huawei; all gifts or customer receptions
shall not influence or be suspected of influencing the
decision making of related parties;
3. Any employee who has shown improper behavior such as
taking or offering bribes shall be dismissed from Huawei.
If any employee violates the law, the employee shall take
legal responsibility.
In the second half of 2011, Huawei had videoconferences
with Customer X, sharing experiences in anti-bribery and
discussing prospects for future work in this field. Huawei
plans to build a more complete anti-bribery system across the
company and complete the signing of letters of commitments
by employees in key positions so as to more effectively manage
their business conduct. In addition, Huawei will provide reliable
channels for complaints about the improper behavior of
Huawei employees.
Case study
Forced Labor
Huawei abides by all applicable laws and regulations and
prohibits the use of forced labor. Huawei has instituted a
detailed and reasonable system during operations such as
recruitment, deployment, and termination of employment to
ensure that no forced labor is ever used. There has never been
an instance of forced labor in any of Huaweis operations.
Intellectual Property Rights
Huawei respects its own intellectual property and actively
accumulates IPR in its core businesses. Huawei invests at least
10% of its sales revenue in R&D, of which 10% is invested
in research, standards, patents, and new technologies. We
adopt a standards patent strategy and actively take part in the
development of international standards.
Huawei respects the IPR of other organizations, complies
with international intellectual property rules, and resolves
IPR issues through consultations, cross-licensing, and product
cooperation. Huawei protects its own rights against malicious
IPR violations by legal means. By the end of 2011, Huawei
had:
Parlicipaled in !23 inlernalional slandards organizalions,
including ITU, 3GPP, IEEE, IETF, ETSI and OMA
Held !80 posilions in inlernalional slandards organizalions
Submilled 23,000 qualilied papers lo inlernalional
standards organizations
By the end of 2011, Huawei had filed for 47,322 patent
applications worldwide, 23,522 of which were granted, with
10,978 being from overseas. Huawei also had 5,415 granted
patents in the US, Europe, and other countries and regions,
and had filed for 10,650 patent applications under the Patent
Cooperation Treaty (PCT).
Anti-bribery & Anti-corruption
Practices in Western Europe
In December 2011, Huawei established an anti-bribery
committee in the Western European Region and
appointed anti-bribery officers in countries where it
operates, including the UK, Ireland, Germany, France,
Spain, Portugal, Italy, Switzerland, the Netherlands,
Belgium, and Luxembourg. All of Huaweis European
subsidiaries released a series of anti-bribery systems and
measures, including:
1. Letter of Commitment by Management
2. Anti-Bribery and Anti-Corruption Systems
3. Anti-Bribery and Anti-Corruption Code of Conduct
4. Gift Giving and Customer Reception Systems
5. Case Handling and Complaining Systems
Anti-monopoly
Huawei always adheres to business ethics, complies with
international guidelines, and promotes fair play. We request
that all our employees comply with our BCG while competing
in the market.
Child Labor
Huawei abides by all applicable laws and regulations and
prohibits child labor. A comprehensive system is in place during
important processes such as recruitment and deployment to
ensure that no child is employed. There has never been an
instance of child labor in any of Huaweis operations.
Environmental
Protection
1o pracIice "Creeh CommuhicaIiohs, Creeh
Huawei, Green World strategy
1o desigh ahd provide greeh soluIiohs
1o respohd acIively Io climaIe chahge by
implementing energy conservation and emissions
reduction measures
The ICT sector is an energy-intensive industry with further user growth and traffic
growth leading to greater energy consumption. Huawei realizes the importance of
providing energy-efficient solutions. To address this issue, Huawei has implemented
the Green Communications, Green Huawei, Green World strategy in its operations,
products, and services.
Huawei fully considers the need for environmental protection and evaluates its
impact on the key areas of resource and energy consumption, greenhouse gas (GHG)
emissions, and waste handling procedures for its products, services, and business
activities. This understanding allows us to develop innovative solutions that minimize
negative environmental effects and maximize our active influence in facilitating
the development of a low-carbon economy. Additionally, Huawei hopes to spread
our environmental protection practices, such as energy conservation and emissions
reduction, throughout society to achieve the goal of Green Communication, Green
Huawei, and Green World.
Green
Communications
Dedicated to
Providing
Leading Green
ICT Solutions
Green Huawei
Actively Promoting
Energy Saving,
Emissions Reduction,
and Cleaner
Production
Green World
Contributing to
Building a
Green World
Huawei is dedicated to provide leading green solutions to address challenges of
global climate change. We help telecommunications carriers and other industries
realize energy conservation and reduce emissions in order to create a green world.
We continuously make efforts to manage emissions reduction of products in an
end-to-end manner, promote the assessment of lifecycle carbon emissions, and
make innovations in energy conservation and emissions reduction in products,
technologies, and services. We also provide end-to-end green communications
solutions to sustain environmental protection through our Green Base Station,
Green Equipment Room, Green Transmission, and Green Energy solutions.
Environmental Protection Policy of Green Communications, Green Huawei, Green World
Environmental Protection
Energy
By establishing and implementing the key performance indicators (KPIs) of Unit
Energy Consumption and Energy Conservation Quantity, Huawei has established
and optimized an energy management system. Huaweis energy management system
implements energy conservation and emissions reduction activities in infrastructure
construction, property management, management of lab electricity use, and
management of manufacturing energy consumption. Huawei focuses on improving
energy utilization, makes plans for energy conservation renovation projects, and
continuously improves the energy efficiency of office environments, including the
central air-conditioning system, lighting system, and office and lab equipment. The
power consumption of Huaweis global R&D equipment and production equipment
is centralized in the research centers and production facilities in China, which
together account for 91% of all Huawei employees in China and 68% of Huawei
global employees. At Huawei representative and local offices, the major resources
consumed are energy and water.
In 2011, the CO2 emissions from our research centers and production facilities
in China totaled 690,065 tons. This increase over 2010 emissions is due to two
factors:
1. Increase of about 32% in the total number of employees in China;
2. Increase in the size of our R&D facilities in Nanjing, Shanghai, and Beijing,
amounting to a total of 638,000 m
2
, which requires greater amounts of
power consumption, as well as natural gas for heating.
Energy Name Unit 2009 2010 2011
CO2 Emissions
Factor
Natural gas 10 km
3
350 375 630 19.84 tons/10 km
3
Gasoline ton 520 556 1,474 2.9848 tons/tons
Diesel ton 40 60 67 3.1605 tons/tons
Electricity 10,000 kWh 48,945 55,000 71,793 See remarks for details
CO2 emissions ton 474,276 532,616 690,065
Remarks: 1. The electricity emissions factor is from 2011 Baseline Emission Factors for Regional Power Grids in China.
2. The natural gas, diesel, and gasoline emissions factors are from China Energy Statistical Yearbook 2007 and 2006 IPCC
Guidelines for National Greenhouse Gas Inventories.
Energy Conservation and Emissions Reduction
The energy consumption of the research center and manufacturing base in Huaweis China Region is primarily related to the
power consumption of manufacturing, R&D equipment, central air-conditioning, and lighting systems; the diesel consumption
of generators; the gas consumption of service cars; and the natural gas consumption of canteens and heating.
Huawei strictly implements regulations on air-conditioning and lighting for indoor heating, strictly controls environmental
temperatures, adjusts the on-and-off time of its systems in a timely manner, and reduces the consumption of diesel and gas by
maintaining generators and establishing fuel consumption per hundred kilometers for cars.
In 2011, Huaweis Shenzhen and
Dongguan bases implemented energy
conservation audits and strategies
based on the 12th Five Year Energy
Conservation Plan. The major production
facilities in the China Region saved a
total of 14.13 million kWh through
management and technology.
Area Energy Conservation Activities Power Savings (kWh)
Shenzhen
Creen Area Translormalion
Aulomalic Door lacilily
Air Curlain Machine
Aulomalic Conlrol Oplimizalion ol
Basement Wind Machines
Lnergy Conservalion Penovalion ol
Lighting Systems
Wind Machine Oplimizalion ol
the Cooling Tower
1.28 million
Dongguan
Lnergy Conservalion
Renovation of Lighting Systems
Wind Machine Oplimizalion ol
the Clean Room
Cooling Tower Oplimizalion
Waler Chiller Oplimizalion
Llevalor Oplimizalion
6.23 million
Nanjing
Aulomalic Conlrol ol Healers Lnergy Conservalion Penovalion ol
Lighting Systems
1.42 million
Shanghai
Lnergy Conservalion
Renovation of Lighting Systems
ldle Lquipmenl Power Oll
Pelrigeralion Syslem Oplimizalion
4.5 million
Beijing Lnergy Conservalion Penovalion ol Lighling Syslems 0.7 million
Case study
12th Five-Year (2011-2015) Energy Conservation and Emissions Reduction Plan

Target 40 million kWh of power savings by 2015
The following key projects under the Plan are being implemented at our main facilities at Shenzhen and Dongguan:
Area Energy Conservation Activities
Power Savings
(10,000 kWh/year)
Shenzhen
Base
Use of active filters to handle harmonic. Optimization of the power
supply and distribution system
20
Renovation of energy-saving lights in indoor and outdoor lighting
systems
1,310
Frequency conversion of the chilled water system and technological
improvements in the smart control system
869
Improvement of the appraisal system for energy measurement, statistics,
and quota
528
Dongguan
Production
Base
4 million kWh solar powered, clean energy projects
420
Optimization of temperature and humidity control systems of factories
to reduce device load
514
Project of improving energy conservation of humidifiers in factories
79
Group control of wind machines for the process cooling tower and air-
conditioning refrigeration tower (optimization)
18
Renovation of energy-saving lights in indoor and outdoor lighting
systems
400
Air compressor energy conservation through joint control technology
and waste heat utilization
137
Replacement of obsolete equipment on the production line
251
Efficiency improvement of SMT equipment and testing equipment
through technical renovation and management optimization
81
GHG Emissions
Carbon Disclosure Project
The Carbon Disclosure Project (CDP) is a joint initiative of the worlds largest investors to promote dialogues between companies
and investors based on high-quality information disclosure to help companies reasonably address climate change.
To address the challenges of climate change, Huawei established the CDP project team in September 2011 and established
a GHG management mechanism and calculating method based on the ISO 14064 standard. Huawei identified risks and
opportunities in climate change and measured and disclosed its 2011 corporate GHG emissions. Huawei continuously reduces
any impact that may worsen climate change by implementing GHG emissions reduction measures.
Water Resources
Huawei is attentive to the protection of water resources and
proper disposal of sewage. Our water consumption is mainly
related to landscape maintenance, food service, cooling, and
production activities. In the process of operations, we promote
cleaner production technologies to reduce water consumption
and implement water conservation measures, such as using
recycled cooling water and purchasing reclaimed water for
cleaning and landscape maintenance of the campus.
Huaweis production and domestic water is from the municipal
water supply system, which has no negative impact on external
water sources, such as surface water and groundwater. The
figure below shows Huaweis water consumption data in China
for the past three years.
W
a
t
e
r

O
o
n
s
m
p
t
|
o
n

(
m
3
)
0
500000
1000000
1500000
2000000
2500000
3000000
3500000
4000000
2009
2,850,000
3,129,700
3,566,200
2010 2011
Wastewater
Huaweis wastewater effluents are primarily domestic sewage.
The results of the testing of wastewater generated at our
Shenzhen, Dongguan, Beijing, Shanghai, and Nanjing bases
are in compliance with national standards. The table on the
right lists the monitoring results for wastewater effluents at
our Dongguan manufacturing base:
Contaminant
Type
Effluent
Concentration
Achieved (mg/L)
Concentration
Limits for Water
Contaminants
Specified by
Guangdong
Province (mg/L)
Suspended Solids 33 400
Chemical Oxygen
Demand
217 500
Biological Oxygen
Demand
84.8 300
Animal and
Vegetable Oils
3.1 100
Waste Gas
Huaweis waste gas emissions are primarily generator gas,
fume exhaust in kitchens, and welding gas. Test results of
waste gas emissions at our Shenzhen, Dongguan, Beijing,
Shanghai, and Nanjing bases show that all waste gas emissions
are in compliance with national standards. The table on the
right lists the monitoring results for waste gas emissions at our
Dongguan manufacturing base:
Waste Gas
Type
Emissions
Concentration
Achieved
(mg/L)
Concentration
Limits Specified
by Guangdong
Province
(mg/L)
Lead and Its
Compounds
0.07 0.7
Tin and Its
Compounds
0.292 8.5
Soot Emission 1.12 2.0*
Particulate Matter 49.2 120
Sulfur Dioxide 102 550
* Note: the soot emission limits with reference to the cooking fume
emission standards
Waste
During normal operations, Huawei generates wastes, including
recyclable solid waste, hazardous waste, and general solid
waste.
In 2011, bases in China produced a total of 1,600 tons of
solid waste, 630 tons of hazardous waste (where 400 tons of
hazardous waste was reused), and 765 tons of administrative
recyclable waste, excluding recyclable waste generated during
the manufacturing process. To reduce the environmental
impact, waste that cannot be recycled or reused is sent to
qualified recycling companies for legal disposal in accordance
with local regulations.
Product Waste and Waste During
the Manufacturing Process
Recycle & Reuse
Landll
4%
Incineration
2%
94%
As a responsible enterprise, Huawei fully understands the need
to effectively treat and manage electrical and electronic waste.
According to the European Union (EU) Waste Electrical and
Electronic Equipment Directive and waste regulations of all
countries, we formulated a system for waste recycling to recycle,
reuse, and dispose of scrapped products and materials.
Huawei established a waste scrap disposal center in Shenzhen
and also jointly established regional scrap disposal platforms
with waste service providers in Latin America, Europe, Africa,
Asia Pacific, and China. This enabled us to provide one-stop
services to disassemble and recycle waste from Huawei, and
waste delegated by customers. This also enabled us to further
facilitate the follow-up of waste treatment until the process
is completed. We have successfully handled our waste in an
environmentally friendly manner.
In 2011
globally, Huawei handled
7,403 tons
tons of product waste and
waste from the manufacturing
process, of which 6,960 tons
were recycled or reused for a
recycle rate of
94%
Ecological Benefits and Green Products
Lifecycle Analysis
Huaweis Lifecycle Analysis (LCA) process assesses a products entire lifecycle, from raw material procurement, parts manufacturing,
product processing, transportation, and usage, to product waste and recycling. Using the LCA, we can determine the impact of
each phase of the products life cycle on climate change and other aspects of the environment. We can identify key influencing
factors, from which we can take measures to reduce our overall environmental impact. In 2010, Huawei developed a quick
lifecycle assessment (Quick-LCA) tool for products, based on the product environment database, to ensure LCA assessment and
continuous improvement of products. In 2011, Huawei conducted an LCA for 35 types of products covering the range of our
main products with the help of the Quick-LCA tool. We focus on our LCA initiatives in the following areas:
Internal
Conlinuously enhance energy elliciency ol producls
Provide innovalive energy conservalion solulions lo serve cuslomers beller
External Conlrol environmenlal impacl logelher wilh suppliers and cuslomers during producl developmenl and delivery processes
Case study

0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Raw Materials
Manufacturing
Manufacturing Transportation Usage Disposal Total
Carbon Footprint Assessment for Enterprise Network Switches. The usage stage accounts for 96% of the carbon footprint throughout the
product lifecycle.
Stages in
a Products
Lifecycle
Initiatives to Reduce
Environmental Impact
Green R&D

Energy-saving product design

Energy-saving chip design

Alternative energy research
Green
Production

Air-conditioning energy
conservation

Reasonable lighting system

Automatic logistics center

Escalator energy conservation
Green
Delivery

Reusable packaging

Electronic information and B2B
cooperation

Simplified internal and external
packaging standard
Green
Operation

Network optimization

Improvement of hardware and
software energy efficiency

Introduction of green energy
Green
Recycle

Cooperation with authorized
recycling companies in regions
where we operate
Operation
Production
Delivery
R & D
Recycle
Raw Materials Management
Huawei complies with all product-related global environmental laws and regulations for the control of chemical substances. We
have developed the Huawei Substance List to mandate requirements for the control of chemical substances in materials during
the manufacturing of parts and products. We actively seek substitutes to continuously reduce the use of hazardous chemicals.
In 2011, the global community urged stricter, standardized controls on toxic and hazardous substances. These efforts included
the following:
LU Pegislralion, Lvalualion, Aulhorizalion and Peslriclion ol Chemicals (PLACH) Pegulalion increased lhe calegories ol
reported substances to 73
The LU updaled lhe Peslriclion ol Hazardous Subslances (PoHS) Direclive and released PoHS2.0, which will be pul inlo
force on January 3, 2013
lndia and Vielnam also released new regulalions on conlrolling loxic and hazardous subslances
Anticipating the changes to these regulations, we updated our policy regarding hazardous substance control and included the
policy in our commitment, to ensure that Huaweis green products always comply with the regulations.
Q
u
a
n
t
i
t
y

o
f

C
o
n
t
r
o
l
l
e
d

S
u
b
s
t
a
n
c
e
s
Quantity of
Forbidden
Substances
Quantity of
Reported
Substances
2005
6
13
25
15
46
73
25 25
0
0
2006 2008
80
60
40
20
0
2010 2011
Trend of the Quantity of Huaweis Controlled Substances
Huawei Energy Efficiency Solutions
Energy Efficiency Challenges Huaweis Solutions
Green
Base Station
High energy consumplion ol lhe 8ase Slalion
Transceiver due to low equipment density and
traditional software
High energy consumplion ol cooling syslems
Lllicienl broadband mulli-mode base slalion, ellicienl
MCPA technology and energy conservation features
Creale a dislribuled archileclure lor cooling syslems
to reduce energy consumption
Green
Equipment Room
lnelleclive energy managemenl due lo complex
traditional network components, resulting in high
energy consumption
High energy consumplion ol lradilional servers
Peduce lhe number ol nelwork componenls
through measures such as ALL IP and the mobile
switching center (MSC) Pool
Peplace lradilional servers wilh ellicienl servers
lmplemenl lhermal managemenl lo improve
equipment room efficiency
Green
Transmission
High energy consumplion due lo lhe low elliciency
of traditional transmission networks
Low energy elliciency ol nelwork componenls
lmplemenl aulomalically swilched oplical nelwork
(ASON) intelligent networks to improve network
efficiency
Creale inlelligenl bypass syslems lo improve rouler
efficiency
Lnable crealive unilied dislribulion mode lo improve
the energy efficiency of network components
Green Broadband
Translorming nelworks lo be energy ellicienl
High energy consumplion ol equipmenl
High energy consumplion ol cooling equipmenl
Creale a nexl generalion nelwork lranslormalion
solution
lmplemenl inlelligenl loop design, syslem on a chip
(SoC), and non-fan multi-dwelling units
Lnable underground cooling
Huawei provides energy efficient products, services, and
solutions for telecommunications carriers through the
following four measures:
Creen 8ase Slalion
Creen Lquipmenl Poom
Creen 8roadband
Creen Transmission
Green
Equipment
Room
E
Green
Transmission
Green
Broadband
Green Base
Station
Green Base Station
Our research has shown that carbon emissions occur mostly
in products used for base stations in mobile networks and
broadband access in fixed networks. Based on our analysis of our
customers energy consumption, we are focusing on the need
for a more energy-efficient design of our networks: primarily our
access network, core equipment room, and transport network. In
2011, Huawei reduced its power consumption by implementing
various measures and developing energy-conservation soft
features during the operation of its base station. The reduction
in our power consumption has also led to a reduction in carbon
dioxide emissions and air pollution.
170
150
130
110
90
70
50
2007 2008 2009 2010 2011
GSM WCDMA CDMA
P
o
w
e
r

C
o
n
s
u
m
p
t
i
o
n

p
e
r

C
a
r
r
i
e
r
(
W
)
Power Consumption Trend of Wireless Access Equipment
Green Broadband
According to Huaweis research, most energy consumption occurs
during narrow and broadband access, which accounts for over
50% of our total energy consumption. This is where we primarily
focus our energy conservation activities in fixed networks.
Based on a green design, whose goal was to produce less heat,
improve heat dissipation, and enhance heat resistance, in 2011,
the green broadband network with millions of nodes has the
capacity to save over 200 million kWh of electric power annually.
This savings is equivalent to the annual power consumption of
250,000 Chinese families. In the next three years, Huaweis
access network user ports will cut energy consumption by 30%
(700 million kWh) and reduce carbon dioxide emissions by
approximately 5.9 million tons.
In the next three
years, Huaweis
access network
user ports will
cut energy
consumption by
30%
Case study
SingleRAN Solution for Green Base Stations

SingleRAN
Power
Battery
Microwave
IDU
RET
TMA
ODU
Microwave
Antenna
Alarm
DC
Climate
Control
Schematic Diagram of SingleRAN technology
Huawei has developed SingleRAN radio access network technology, an innovative solution that allows mobile telecom carriers
to support multiple mobile communications standards and wireless telephone services on a single network. This solution allows
telecom carriers to deploy a single infrastructure rather than the traditional multiple infrastructures that are commonly deployed
for different mobile communications standards.
Telecom carriers can significantly reduce energy consumption using SingleRAN technology, which offers fewer cabinets, causes
no combination loss, and shares its cooling system and transmission, contributing to:
= + +
GSM UMTS
5SBEJUJPOBM5FDIOPMPHZ
SingleRAN
MBTS
BTS 1 NodeB 2 eNodeB 3
LTE
Floorareasavings
of up to
66%
Energyconservation
of up to
50%
Green Packaging
Huawei has developed a green 6R1D packaging strategy based on right packaging, which means that packaging is designed
to be reduced, returned, reused, recycled, and recovered, and is degradable. The 6R1D packaging strategy also allows for the
systematic development, application, and promotion of key green packaging solutions, such as circulation racks, turnover trays,
and turnover boxes.
In 2011, Huawei delivered 47,600 pieces of green packaging, which reduced the consumption of trees by 5,300m
3
, and lowered
CO2 emissions by 13,000 tons. Of the packaging used for major equipment, 79% was green packaging, and 85.8% of all
packaging was recycled.
0
10000
20000
30000
40000
50000
2008 2009 2010 2011 2012
280
29800
40100
47570
50000
Green Packaging Delivery
(Number of Pieces)
0
1000
2000
3000
4000
5000
6000
2008 2009 2010 2011 2012
60
4080
5120
5313
6000
Amount of Lumber Saved (m
3
)
0%
20%
40%
60%
80%
100%
2009 2010 2011 2012
45%
84.50%
85.80%
90%
Return Rate of Green Packaging (%)
0
10
20
30
40
50
60
70
80
2008 2009 2010 2011 2012
0.40%
42.30%
61%
74.20%
79%
Application Ratio of Green Packaging (%)
* 2012 data are estimated targets
By reducing the weight and size of packaging, Huawei has reduced the use of materials and the overall cost of transportation. We
are also continuously improving and extending the recycling rate of materials. In 2011, metal circulation racks and metal turnover
trays were widely used in China region.
Huawei is dedicated to continuously simplifying its packaging; removing excess packaging; and researching, developing, and using
packaging made of paper, plastic, and metal rather than wood. In 2011, we developed plastic turnover boxes and trays for wireless
products, which raised Huaweis green packaging rating to the customers highest CM3A grade.
According to the requirements of the National Ministry of Industry and Information Technology, Huawei, along with its customers
and packaging suppliers, established a three-party circulation sharing system. This system simplifies logistics management, improves
the reuse rate of packaging materials, and increases the environmental protection benefits for all parties involved. We are continuing
to work on the widespread implementation of this model.
In the future, Huawei will apply the key points of energy conservation and emissions reduction to its integrated supply chain and
logistics activities. The continued and growing use of green packaging and logistics will create increased economic and social
benefits and promote Huawei as a green industry brand with an environmentally friendly industry chain.
Project Delivery of Environmental Protection
Carriers
Huawei
Packaging
Supplier
Lease Packaging Goods Delivery
Society and the
Environment
Conserve energy, reduce emissions, and deliver service fees for returning packages to packaging suppliers
Pay for package leasing, simplify logistics management, and reduce recovery and transportation costs
Gain economic and social benefits
Improve the reuse rate of packaging materials and increase the environmental benefits of energy
conservation and emissions reduction
Huawei
Sharing
Information
Packaging
Supplier
Carriers
Return Package
Green Packaging Model of the Three-Party Circulation Sharing System
Case study
Project Delivery of Environmental

Protection
Huawei fully considers the environmental impact
of constructing its base stations and clearly defines
environmental protection requirements in the contracts
it signs with engineering subcontractors. In addition,
Huawei base station management personnel check the
environmental protection status during the construction of
these base stations. The results of these checks are one of
the criteria for appraising the performance of engineering
subcontractors.
During construction, environmental protection requirements
include the following:
Sile acquisilion. Siles should nol be conslrucled
on lands where wildlife migrates or gathers. The
ecosystem, such as lakes, rivers, mountainous regions,
and agricultural lands, along with archaeological,
cultural, and historical relics, must not be damaged.
Sile design. ll lowers are conslrucled in scenic spols,
the towers must be integrated with the environment
landscape lowers. Moreover, lhey musl promole
energy-conserving designs. Refer to the chapters
about green base stations for details.
Sile conslruclion.
Construction near residential areas will not take
place at night.
After the construction is complete, trash and
debris will be disposed of in a timely manner
and scrapped equipment will be recycled.
Waste containing hazardous substances (like
batteries) will be sent to qualified local recycling
companies.
After the construction is complete, the grounds
surface will be filled and recovered.
Base station equipped with a solar power system
Green Logistics
Huawei has attached increasing importance to reducing greenhouse gas emissions when transporting products over long
distances. Huawei not only reduces costs and energy consumption, but also actively addresses climate change using green
logistics.
As a result of the continuous growth in its overseas business, Huawei has focused on the direct shipment of goods, increasing
the proportion of local procurement, and reducing the logistics cycle and transportation distances. In 2011, the volume of
materials that were directly shipped was 40,000 m
3
.
Huawei is actively increasing the coverage of its overseas supply centers to significantly reduce the transportation cycle and
its associated costs. In 2011, the proportion of supplies shipped from these overseas centers increased from 7.1% in 2010 to
11.4%, based on the cost of materials.
Huawei has continued to reduce the percentage of global transportation through air transport. The percentage of products
transported by air dropped from 19.3% in 2010 to 14.6% in 2011. Specific instances of reduced products transported by air
are in Latin America, where the percentage of products shipped by air was reduced from 34% to 27%, and Africa, where the
percentage of products transported by air was reduced from 33% to 15%.
Social
Contribution
1o be a respohsible corporaIe ciIizeh
1o cohIribuIe Io Ihe developmehI o! Ihe
communities where we operate
1o cohIribuIe Io posiIive ecohomic, ehvirohmehIal,
and social changes
Huawei believes that the power of information and
communication can transcend the boundary of economies,
society, and regions. We are committed to popularizing
communications technologies, increasing educational
opportunities, and developing ICT talent. We actively join our
partners, promote sustainable development, contribute to local
communities, and enrich life through communication.
As an international and global company, we pay attention to
our joint development with the community. As a responsible
citizen of the community, we are committed to creating
value for the community by contributing to its harmony
and prosperity.
Social Contribution
An overview of Huaweis major
social activities in 2011
Canada
Huawei sponsored a charity event held in
Toronto and donated money to the local
mental health center
The US
1. Huawei donated to Childrens Medical
Center at Legacy in Plano to improve
community medical services
2. Huawei supported the charitable activities
of the North Texas Food Bank through
donations and employee volunteering
The UK
1. Huawei l aunched the
undergraduate work experience
program for the students from
Royal Holloway University and
the University of Southampton
2. Huawei organized a Princes
Charities Foundation concert in
the UK and donated the money
raised to the Princes Charities
Foundation
France
1. A Chinese Spring Festival Concert
was held locally to promote
cross-cultural communication
2. Huawei started the work
experience training program for
excellent students from the Ecole
Polytechnique which enables
them to do an internship in
Huawei
Venezuela
Huawei worked with local charities CAJA
MAGICA to visit children in poor areas and
donated toys
Colombia
Huawei donated money to Colombia to
support the governments efforts in dealing
with the floods
Morocco
Huawei launched a network technology
institute to promote IP technology
and develop ICT talent by cooperating
with the State University of Posts and
Telecommunications in Morocco
Ghana
1. Huawei donated a complete package of
facilities to help the university of Cape
Coast to build a new ICT laboratory,
provided training courses, and developed
ICT talent for local enterprises, research
institutes, and government
2. Huawei donated some equipment to
the local hospital to improve medical
conditions and healthcare technologies
Nigeria
Huawei worked with the Nigeria Charity
Foundation organizations to organize the
Happy Childrens Day initiative in Nigerias
capital, Abuja
Guinea
Huawei Guinea contributed to the Guinean
Governments policy on Youngsters
Employment, donated telephone booths
and tools for repairing mobile phones, and
provided training to create job opportunities
for young people
Mali
Huawei cared for women and children of
the community and donated to the local
foundation for women and children
Kenya
Huawei donated money to the Kenya
Red Cross Society for relief of the biggest
drought in 60 years as part of the Kenyans
for Kenya initiative
Italy
Huawei sponsored the China Disabled Art performance in Rome and
promoted cross-cultural exchanges between the two countries
Poland
Huawei got involved in fundraising to
support youth education and called
on volunteers to take care of orphans
and the poor
Hungary
Huawei cooperated with Hungarys
Economics University and Technology
University and provided scholarships
to the students
Belarus
Huawei set up a training center in
the National Institute of Advanced
Communication (VGKS) in Belarus
and is going to establish a fund to
encourage and support excellent
students
Russia
Huawei donated communications equipment
to Russias St. Petersburg State University of
Telecommunications
Kazakhstan
Huawei provided scholarships to Kazakhstan
International IT University to develop local
ICT talent
China
1. Huawei cooperated with 45 universities in
China and went on providing scholarships
and faculty fellowships to support
educational development
2. Huawei donated money for the earthquake-
stricken area of Yingjiang, Yunnan
3. Huawei supported the Care Association
for charitable activities
Japan
Huawei employees offered their assistance
to the disaster relief in response to the
earthquake and tsunami by deploying
equipment and emergency solutions to help
restore communication networks at the
earliest possible time
Latvia
Huawei donated telepresence systems
to improve medical services
Thailand
Huawei contributed money, goods,
and equipment to assist the Thai
government in resolving the flood
situation in many regions
Laos
Huawei donated computers
and office facilities to the Lao
government to improve the level of
school conditions of the northern
developing regions
Cambodia
1. Huawei donated money to
the Cambodian Red Cross
to support educati onal
development of the community
and assist the poor
2. Huawei donat ed some
equipment and materials to
the Cambodian government
for rebuilding after the flood
Malaysia
Huawei l aunched a program
to develop and train 10,000 ICT
professionals in cooperation with
the government of Malaysia over the
next five years
Indonesia
The STEI /I TB/Huawei datacom
IP advanced training center was
completed and inaugurated as a
technical development base oriented
toward school and society, and was
dedicated to the development of
local communications talent
Australia
Huawei sponsored local foundations
committed to cancer prevention and
research to support local community
healthcare careers
India
Huawei continued the
E-Hope i ni ti ati ve to
enable students from
underdeveloped regions
to get equal access to the
latest information and
knowledge
Social Contribution
Case study
Our global social activities focus on:

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In 2011, we fulfilled our commitments to local
communities by implementing various social
projects.
1. Bridging the Digital Divide
Huawei is dedicated to enriching life through communication. In 2011, we improved information access in developing
countries and remote areas and developed ICT talent through our social projects aimed at leveraging the enormous
potential of communications technologies to bridge the digital divide.
Aims of Bridging the
Digital Divide
To improve information access in developing countries and remote areas.
To donate communications equipment to educational institutions or NGOs to
support the local development of ICT education or provide communications
services to developing countries and remote areas.
To cooperate with internationally accredited organizations or institutions to
research solutions to expand network communication services in developing
countries and remote areas.
To sponsor programs that are designed to bridge the digital divide.
Telecom Seeds for the Future project:
To narrow the gap between the knowledge learnt at school by ICT students and the current state of the industry,
and to support local ICT talent, Huawei continued to implement the Telecom Seeds for the Future project in 2011
by cooperating with ICT colleges to offer scholarships and to implement training programs. As an important part
of the project, Huawei cooperated with universities and educational institutions in many countries to establish the
Huawei Authorized Network Academy (HANA). It provides training programs in IP and optical transmission for both
teachers and students and with career certifications. Huawei will continue to globally promote the Telecom Seeds
for the Future project throughout 2012.
Indonesia
Huawei worked with Bandung Institute of Technology (ITB) to establish HANA dedicated to promoting ICT talent. An STEI/
ITB/Huawei datacom IP advanced training center was launched in April 2011 to serve as a technical development base for
students, employees, third-party partners, and end users. Through this program, 500 excellent technical professionals will
be trained each year.
Malaysia
Huawei worked with the Malaysian government to establish HANA. Huawei will collaborate with Multimedia Development
Corporation (MDeC) and Dream Catcher Consulting over the next five years to set up a global training and professional
testing facility to promote Huawei engineers certifications along with the Malaysian government. Datacom engineers
certification will be promoted first.
Kenya
Huawei cooperated with the telecommunications carrier S and three local universities (Moi, JKUAT, and Nairobi Universities)
to help engineering students in Kenya master the latest communications skills to meet current industry needs. The facets of
technology keep changing every day, and for students to remain competitive in the job market or in their own entrepreneurial
endeavors lhey require modern lraining. Thanks lo Huawei lor making lhis possible," said Dr. 8ilange Ndemo, PS Minislry
of Information and Communications, Kenya.
Morocco
On June 27, 2011, Huawei established HANA in cooperation with the National Institute of Post and Telecommunications
(INPT) in Morocco, as the first HANA project in North Africa.
Launch of HANA in Morocco Minister of Communication and Information Technology of the
Republic of Indonesia is visiting Huaweis Datacom IP Training
Center
Social Contribution
Case study
E-hope Program to Provide

Computer Education to Students in
the Developing Regions of India
In most schools in rural areas of India, helping students
become more familiar with the outside world is a long-term
challenge. Facing this issue, Huawei launched the E-hope
for Rural Education program in October 2010. The aim is
to build a bridge to the outside world through computers
for students in rural areas and enable the students to
conveniently obtain a wide range of information and
2. Creating Opportunities Through Education
Huawei believes that education is vital for creating opportunities that support
sustainable and fair development in the countries in which we operate. We
are particularly focused on leveraging communication technologies to improve
the conditions of education system and to provide more young people with
opportunities in education. Huawei is achieving this goal through the cooperation
with educational institutions. Our efforts to improve the quality of education
have been recognized by the society. We have been granted with the Support
and Improvement in Quality of Education Category Award from Blue Dart World
CSR Day and Star News in India.
Aims of Creating
Opportunities
through Education
To develop and support educational programs that use communications technologies as the
content or delivery method
To support the establishment of ICT training centers by governments or NGOs
To cooperate with accredited educational institutions or NGOs to research innovative
applications of communication technologies in education programs
To support the development, application, and dissemination of e-learning programs by accredited
educational institutions
To provide scholarships for excellent students
Huawei receiving the Support and Improvement in Quality of Education
Category award from Blue Dart World CSR Day and Star News.
E-hope program in India
Case study
knowledge. To fulfill this goal, Huawei plans to provide computers, Internet access,
and information technology training to 1,000 public schools across India over the
next three years. In 2011, Huawei promoted this program in 400 schools in Orissa,
Delhi, Uttar Pradesh, West Bengal, and Rajasthan. In 2012, this program will be
promoted to more remote schools in Himachal, Bihar, and Rajasthan. Each year,
300,000 students will benefit from this program.
Modern education is incomplete without an early introduction of computers and
relevant technologies, said the Honorable Chief Minister of Delhi, Smt. Sheila
Dikshit at the opening ceremony of the E-hope program in Deli. I welcome this
initiative from Huawei, for their commitments and contributions to bridging the
digital divide in India.
Huawei Undergraduate Work Experience Program
Developing ICT talent by working with prestigious colleges is a key focus for
Huawei in education. In the Huawei Undergraduate Work Experience Program,
Huawei selected students from top ICT universities to go to its headquarters
in China for training and practical activities. This program includes an
introduction to Huawei, training programs on ICT basics, lab visits, and
interactions with Huawei employees.
In August 2011, Huawei cooperated with the UKs University of Southampton
and the Royal Holloway University of London, as well as Frances cole
Polytechnique. 14 college students were chosen for a 3-week internship in
China. It was an opportunity for these students to become better acquainted
with Huawei and extend their ICT knowledge. This project was supported
by local governments, such as the education department and was deeply
appreciated by the universities and students. One student participant
commented, I would recommend this internship program to others, as it was
really one of the most valuable and significant experiences of my life so far.
In 2012, Huawei will continue this program and cooperate with additional
colleges.
British College Students Internship at Huawei
French College Students Internship at Huawei
Social Contribution
3. Promoting Environmental Sustainability
Huawei recognizes the need for every enterprise to play a role in protecting the worlds environmental resources.
Huawei adheres to the concept of Green Communications, Green Huawei, and Green World and is actively seeking
opportunities to collaborate with partners on green programs that promote environmental protection and sustainable
development.
Aims of Promoting
Environmental
Sustainability
To sponsor environmental education programs, especially those oriented
towards young people
To support research or related activities in environmental science conducted by
accredited organizations or institutions
To support governments or NGOs to promote environmental sustainability,
such as green technology summits, recycling and reusing electronic
waste, and online publications
To support the development and distribution of environmental educational materials
To support relevant institutions to develop prototypes or tools that can be
used by companies or individuals to address issues related to environmental
sustainability
Tree planting initiative in Pakistan
Tree planting initiative in Pakistan
In collaboration with Pakistans Capital Development Authority (CDA), on
March 2011, Huawei participated in a Tree Planting Day activity to make the
local environment more beautiful and promote the environmental awareness
of people in Islamabad, Pakistans capital. More than 1,000 pine saplings
were planted by Huawei. This activity was part of a large tree planting
initiative involving governments and enterprises, with the theme of promoting
environmental protection locally.
This program aims to promote public awareness of environmental protection
by planting trees that make the local environment more beautiful, said
the CEO of Huawei Technologies Pakistan (Pvt.) Ltd. Actually, Huawei has
always been an initiator in promoting public sectors, especially environmental
protection, which is a crucial part of sustainable development.
Case study

4. Contributing to the Communities Where We Operate
Huawei is committed to supporting communities where we operate by contributing to the welfare, health, and disaster
relief in these locations. We provide the communities with financial, material, and human resources to help build a
better world.
Aims of
Contributing
to the
Communities
Where We
Operate
To develop or to promote healthcare initiatives and leverage communications
technologies to serve developing regions
To support emergency preparedness or disaster relief efforts, especially those that
need communications networks or technologies
To support programs that leverage communications technologies to improve the
lives of disadvantaged people
To sponsor programs that enrich the cultural exchanges of most of people
To sponsor cross-cultural exchanges
Case study
Support for drought relief

efforts by donating to the Red
Cross in Kenya
In 2011, Kenya experienced its worst drought in six
decades, affecting 3.5 million people. To support
the Kenya Red Cross in its disaster relief efforts,
Huawei actively participated in the Kenyans for
Kenya initiative and donated KES9.4 million for
humanitarian relief.
The Kenyans for Kenya campaign brings together the KCB Foundation, Safaricom Foundation, and the countrys
mainstream media operating under the framework of the Media Owners Association (MOA), with the goal of raising
KES1 billion over four weeks. The funds help finance immediate aid such as emergency food relief and water delivery,
and medium-range solutions that include rehabilitating or digging wells, setting up greenhouses, and improving
food security. I would like to thank Huawei for supporting this campaign through their generous contribution of
KES9.4 million to help thousands of Kenyans who are currently in dire need of food and medical treatment, as a
result of the effects of drought, said Abbas Gullet, the Secretary General of Kenya Red Cross.
Huawei contributes to the Kenya Red Cross
Social Contribution
Care Association Expression
of charity and good will
Huawei encourages its employees to
participate in community activities and
has established the Care Association
to help employees actively participate in
community services and charity activities.
Major donation activities by employees in 2011
are listed below:
Employees made some donations through the
donation platform of the Care Association.
Organized the One Item of Clothing for One
Warm Day initiative in which clothes were
donated to designated poverty alleviation areas
of Dongguan.
Collected clothes and stationery to support poor areas in western China and disaster-stricken areas. Collected
44 cartons of clothes and stationery and sent them to Chengduo County, Yushu State, Qinghai province, and
Fuhai Peace Primary School, Daofu County, Ganzi State, Sichuan Province.
Organized the Hand in Hand Walking into the Orphanage initiative where CNY8,963 was donated along with
some goods to 150 disabled children in Shenzhen Huayang Special Children Rehabilitation Center.
Organized the Let Love Continue to Shine initiative in which four computers and 23 cartons of materials were
sent to the teachers of the Beijing Tongzhou Guangai School.
Organized A Drop of Love Ignites Hope initiative in which employees donated CNY20,150; 60 books; stationery;
and sports goods; and provided financial aid to the Dongdajian Primary School, Zhouzhi County, Xian.
Moreover, the Care Association regularly organizes environmental protection and care activities providing
assistance to the disabled, young, and elderly people.
Donation and financial aid to the Dongdajian Primary School,
Zhouzhi County, Xian
Case study

1o work wiIh suppliers Io promoIe susIaihable
development and social responsibility
1o esIablish Huawei's supply chaih social respohsibiliIy ahd
gain the condence of global customers
1o ihIegraIe CSR sIahdards ihIo Ihe whole procuremehI
process and supplier lifecycle management
1o cooperaIe wiIh ihdusIry peers Io solve supplier CSR
issues using innovative approaches
Supply Chain
CSR Management
Supply Chain CSR Management
To achieve sustainable development of our supply chain, Huawei requires our suppliers to be
as committed to sustainable development as we are. We focus on the areas of ethics, the
environment, health and safety, and labor conditions. The potential shortcomings of suppliers
have multiple implications on a business, including loss of production and a negative brand
image through association with the non-complying supplier. As an integral part of a companys
value chain, a risk to a supplier is also a risk to our company and our customers. We believe
a supply chain is only as strong as its weakest link. That is why we require our suppliers to
cascade our requirements down through the entire supply chain.
Huawei established the Supplier CSR Committee chaired by the chief procurement officer.
Procurement supervisors and CSR experts sit on the committee, which regularly reviews
the strategies, principles, standards, processes, solutions, and performance of supplier CSR
management. These reviews ensure that supplier CSR is managed throughout the procurement
process and the supplier lifecycle. The Supplier CSR Management Department is responsible
for formulating and optimizing the management process and standards, and for coordinating
global supplier CSR management. We also established a cross-functional CSR working
group, which is headed by our chief CSR expert, to incorporate CSR management into major
procurement functions and daily operations and to ensure that suppliers comply with CSR
requirements and make continuous improvements. These functions and operations include
supplier qualification and selection, ongoing supplier management, supplier performance
management, and supplier termination.
Huawei communicates the standards, principles, strategies, and programs of supplier CSR
management to all our procurement staff and incorporates the above elements into a
departmental performance index. In 2011, we provided CSR management training to 223
key procurement staff.
We want to move away from forcing our suppliers to comply
with our standards (by constantly auditing them) and instead
develop a relationship of trust whereby we can see by their proactive
behavior that they really are embracing the spirit of Corporate Social
Responsibility. Even though we see some islands of excellence in
meeting that vision, it is still a significant challenge to make this
vision a reality.
Supplier CSP managemenl direclor
CSR Requirements for Suppliers
Based on the EICC code, SA8000, and ISO 26000, as well as customer requirements
and industry characteristics, Huawei has defined our CSR requirements for suppliers and
incorporated these requirements into the supplier CSR agreement that must be signed by all
suppliers. Building on the Supplier CSR Agreement, Huawei mandates our suppliers to institute
a comprehensive CSR strategy into the core of their operations. We view the implementation
of these CSR requirements as the foundation for our suppliers to carry out activities in line
with their CSR Strategy, and to ensure continual improvement of their practices. Our suppliers
benefit, and in turn Huawei and our customers also benefit from their success.
Through the CSR strategy, we expect our suppliers to install systems that incorporate the
following aspects:
Labor Slandards
Heallh and Salely
Lnvironmenla Proleclion
8usiness Llhics
CSP Managemenl Syslem
CSR
Management
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Principles of Huaweis Supplier CSR Agreement
1. All suppliers must operate in full compliance with the
laws, rules, and regulations of the countries in which
they operate.
2. All businesses must go beyond legal obligations by
drawing upon internationally recognized standards.
3. All businesses must be deployed and implemented as
per the agreement.
4. All suppliers must require their next tier suppliers to
acknowledge and implement the CSR principles in a
cascade effect throughout the supply chain.
5. Huawei reserves the right to audit our suppliers with
advance notice.
6. All suppliers must be certified by the international
standards of ISO14001 and OHSAS18001, and develop
management systems based on the SA8000 standard.
New Supplier Qualification
Huawei qualifies all new suppliers on their comprehensive
management systems, including their CSR compliance and
management system. We assign CSR experts to audit potential
supplier sites on their CSR management capabilities through
employee interviews, document review, on-site inspections, and
third-party information searches to assess the potential risks as
well as improvement opportunities. If deficiencies are found,
Huawei will require the suppliers to take corrective and preventive
actions in a timely manner. A candidate that fails to meet the CSR
requirements will not be accepted as a qualified supplier.
Ongoing Supplier Management
Huawei integrates CSR into our ongoing supplier management
process, giving priority to high-risk countries/regions, high-risk
suppliers and high-risk issues. In 2011, we optimized our supplier
CSR risk ranking tool in accordance with international standards
and guidance. Annually, we assess supplier CSR risks and identify
the risk level of each supplier. We manage our suppliers based
on their risk level, regularly audit high-risk supplier sites, and
audit those medium risk suppliers selected based on random
sampling approach in order to drive supplier self-management.
If problems occur, we will require the suppliers to take preventive
and corrective measures, and follow up on their improvement
progress until its closure.
Supplier Performance Management
Huawei incorporates CSR into our supplier performance
management programs and measures supplier CSR performance
based on the supplier audit results and improvement effect.
Huawei regularly reviews the CSR performance results with each
suppliers top management. We also communicate with strategic
suppliers, preferred suppliers, and approved suppliers about
their performance results on a quarterly, semi-yearly, and yearly
basis, respectively. For suppliers with better CSR performance,
Huawei will provide incentives to them, such as increasing their
procurement quota. For suppliers with poor CSR performance,
Huawei will decrease their procurement quota, restrict bidding
opportunities, or in a few special cases, terminate the business
relationship.
Case study
Red Card System

Safety and health is always a top priority for construction projects. By adhering to the principle of Safety First, we have
established a Red Card System that applies to engineering service subcontractors. Huaweis project managers, QA engineers,
and safety managers regularly check whether the construction sites of engineering service subcontractors are safe in order to
determine the safety and health risks in the construction process. In case a major safety risk is identified, Huawei will require the
subcontractor to take prompt corrective measures. If a significant risk is exposed and the subcontractor fails to take immediate
corrective measures, Huawei will issue a Red Card and ask the subcontractor to stop site work immediately and take corrective
measures until the risk is reduced or eliminated.
CSR Audit
Year
Number of
New Suppliers
Audited
Number of
High-Risk and
Medium-Risk
Suppliers Audited
Number of
Follow-up
Audited Suppliers
2010 18 42 136
2011 55 87 195
Low-risk suppliers
74%
Medium-risk
suppliers
23%
High-risk suppliers
3%
Supplier CSR Management Highlights
CSR Risk Ranking
Year
Number of
Ranked
Suppliers
Number of
High-risk
Suppliers
Number of
Medium-risk
Suppliers
Number of
Low-risk
Suppliers
2010 670 14 75 581
2011 633 19 144 470
Note: Huaweis supplier CSR risk ranking criteria became more stringent, so the number of high-risk and medium-risk suppliers
in 2011 was higher than in 2010.
Supplier Capability Building
The sustainable solution to tackling supplier CSR issues is to enhance suppliers awareness and self-management capabilities. Huawei conducts
several supplier conferences globally every year. At these conferences, Huawei executives and experts introduce our supplier CSR requirements,
standards, and programs to the top management and key managers of our key suppliers. We also invite senior management and experts
of our customers to introduce global CSR trends and demands, and invite supplier representatives to share their successful experiences and
achievements. We also organize training sessions and workshops for suppliers to address the challenges and difficulties of CSR management
to enhance their CSR management capabilities.
In 2011, Huawei introduced the CRCPE (Check, Root Cause, Correct, Prevent, and Evaluate) five-step method to guide suppliers in tackling CSR
problems with this innovative and systematic approach. This method includes the following:
1. Check: Regularly check against identified deficiencies and CSR requirements to identify and analyze similar deficiencies and relevant risks,
especially management deficiencies; list prioritized issues;
2. Root cause analysis: Ask five whys against the identified deficiencies to investigate the root causes until management system failures;
3. Corrective actions: Eliminate the identified deficiencies or mitigate risks with specific and traceable actions and evidences;
4. Preventive actions: Eliminate the identified root causes, including developing or optimizing management systems and capabilities to prevent re-occurrence;
5. Evaluate: Assess the effectiveness and quality of corrective and preventive actions against relevant regulations and standards, verify whether
the problems are resolved or the risks are reduced, and identify continuous improvement opportunities.
Through learning and implementation of the CRCPE five-step method, the suppliers who participated have significantly improved their capabilities and
have been able to make continuous improvements. When problems do arise, these exercises will also reduce the time it takes to solve a problem.
Huawei Green Partner Program
The product environmental program is an integral part of Huaweis supplier CSR management. In
2011, Huawei continued implementing the Huawei Green Partner (HW GP) certification program.
The program standards cover all regulations, directives, and requirements related to product
environmental requirements. Its goal is to ensure that all products and parts are free from chemicals
that are restricted by relevant laws and regulations and in line with customer requirements.
In 2011, 27 suppliers passed the certification process and became Huaweis green partners.
The HW GP program encourages innovations in energy saving and emissions reduction to
build green supply chains.
Case study
Huaweis 3rd Annual Global Supplier CSR Conference

3rd Annual Huawei Global Supplier
CSR Conference
In September 2011, Huawei held the 3rd Annual Global Supplier
CSR Conference with the theme of Commitment and Innovation,
which focused on the commitment of sustainable development and
behavior change through innovation. The conference was attended
by 360 people from six key customers, including senior executives
of Telenor, Deutsche Telekom, Vodafone, British Telecom, France
Telecom, and China Mobile as well as 174 suppliers. The Chief
Operation and Delivery Officer of Huawei gave the opening speech
on CSR, foundation for sustainable development and emphasized
the importance of supplier CSR management. During the conference,
Huaweis CSR expert introduced CSR management processes and
innovative approaches to resolving CSR issues. The representatives
from our customers discussed international trends of CSR and sustainable sourcing principles, and a supplier representative shared an
innovative method to address CSR issues. All the participants at the conference signed CSR Commitments.
Certification mark of
Huaweis green partners
G
R
E
E
N
Case study
Conflict Minerals
Minerals such as tin, tantalum, tungsten and gold (3TGs) which originate in the Democratic Republic of Congo (DRC) or
adjoining countries are known as conflict minerals since the profits from their sale allegedly finance continued armed
conflicts in these countries. Huawei takes this issue very seriously and is actively addressing it.
The issue of conflict minerals is well known in the electronics and other industries, and is extremely complex. Resolution will
require the commitment and cooperation of businesses, governments and NGOs. Huawei neither procures nor supports the
use of conflict minerals and requires all suppliers not to procure conflict minerals. Huawei also asks suppliers to cascade this
requirement to sub-tier suppliers. In 2011, 441 key suppliers signed commitments not to procure or use conflict minerals.
Huawei continuously supports industry collaboration to address supply chain CSR issues. We continue to participate in
efforts with customers and suppliers through the Global e-Sustainability Initiative (GeSI) to seek a sustainable solution to
the conflict minerals issue.
Huawei has incorporated CSR into our procurement process
and daily operations to the point where it is a vital part of the
normal business process and an integral part of the commercial
decision-making process.
As stated by the Chief Operation and Delivery Officer of
Huawei, Today, CSR is simply part of Huaweis DNA.
We will persist in embracing this spirit and work closely with
our suppliers to continuously promote the CSR management
capabilities of the global supply chain and effectively reduce
risks. As long as our suppliers demonstrate their efforts to
improve their CSR management capabilities, Huawei will
continue to support them.
As Huaweis chief procurement officer said, We all live on the
same planet, breathe the same air, and drink the same water.
It is up to all of us in business to go beyond our financial goals
of making profit and use our influence to cause our suppliers
to meet their social responsibilities as well.
Cooperation with NGO
Huawei participated in a Green Choice initiative facilitated by an NGO and applied
the environmental performance data of enterprises in China to our supplier
CSR management program. This NGO regularly collects nationwide enterprise
environmental performance data and maintains an online database, which is updated
on a monthly basis. By applying this database to our supplier qualification and
ongoing management process, we are able to quickly identify possible environmental
violations of our suppliers and push suppliers to correct them immediately.
1o sIrehgIheh Ihe mahagemehI o! sIakeholder
inclusiveness through consultation and communication
1o ihcorporaIe sIakeholders' viewpoihIs ihIo our
business approaches and activities
1o ehhahce percepIioh mahagemehI ahd cohIihue Io
improve customer satisfaction
Stakeholder
Communication
Stakeholder Communication
A new focus of our CSR strategy is to regard stakeholder communication as a
critical factor in all of our operations. Our goal is to continuously engage with our
internal and external stakeholders to understand their views and address them by
incorporating the issues raised into our business strategy and operations. In this
chapter, we will focus on communication with customers and staff. Engagement of
and communication with other stakeholders, such as suppliers, industry associations,
governments, and NGOs, are elaborated on in other related chapters. In the future,
we will be expanding the scope and scale of stakeholder communication, highlighting
stakeholder participation in our business.
Customer Communication
Huawei has and always will put customers first. We strive to provide high-quality
products and responsive services while driving down operating costs. Satisfying
customer needs is our top priority. We help customers enhance their competitiveness
and profitability. In addition, we will continue to take steps to establish a global
customer satisfaction management system.
Huawei has set up regional and representative offices in major countries across all
continents. We listen attentively to customers and better understand their needs by
establishing multi-layer customer-facing organizations and lines of communication,
and through activities, such as open discussions, annual meetings, third-party
satisfaction surveys, service hotlines, receptions for customers who come to audit
Huawei, summits, and routine visits.
Open discussions and annual meelings. Huawei aims lo improve cuslomer
relations by encouraging customer communication and sharing experiences
directly with them. In 2011, we organized over 900 open discussions globally
and held 44 annual meetings with more than 250 valuable customer groups.
In 2012, we will expand our experience and maintain a high level of customer
interaction.
Third-parly salislaclion surveys. Since 200!, we have enlrusled a lhird-parly
market research company with our global customer satisfaction surveys. Our
overseas surveys in 2011 covered more than 80 countries, more than 150
customer groups, and 27 representative offices in China. We have received over
7,000 pieces of feedback from our customers. In 2012, we will further expand
the survey scope to cover enterprises and end users.
Service hollines. We have eslablished !2 Technical
Answering Centers (TACs) in more than 150 countries
to handle and resolve customer technical issues and
understand customer needs by telephone or e-mail.
In 2011, Huawei received 83,805 pieces of feedback
from customers through the hotlines, of which 809
were negative. We have dissected the causes and made
improvements. In 2012, we plan to expand the survey
scope to cover enterprise customers.
Peceplions lor cuslomers who come lo audil Huawei. Since
2003, Huawei has passed the audits of various world-class
carriers as well as the subsequent routine assessments
and audits for areas that include management systems,
quality, safety, risk management, CSR, and sustainable
development. These audits are very helpful for Huawei to
better understand our customers key requirements and
needs.
Huawei has eslablished a hierarchical managemenl
mechanism at the representative office, regional, and
corporate headquarter levels to solve customer complaints
in a prompt manner. We have also appointed a dedicated
customer satisfaction management team to drive the rapid
resolution of customer complaints and organize efforts to
effectively resolve common problems and problems with
management systems that have occurred. Moreover, we
have set up a dedicated work team to deal with crucial
customer complaints and coordinate internal resources
across the company to solve problems quickly.
Huawei takes the customer-first philosophy and customer
requirements into consideration when designing main business
processes in order to ensure that all customer requirements
and expectations are incorporated into the relevant processes
and addressed in a timely manner.
Huawei manages lhe end-lo-end process ol dealing
with customers technical issues through a requirement
management process and a consistent IT platform. We also
track the status of customer requirements in the end-to-
end process, raising customer requirements, incorporating
them into R&D version development and addressing the
requirements. Huawei has made the process of addressing
customers technical issues visible so that representative
offices and account departments can quickly track the
latest status of customer technical issues.
Stakeholder Communication
Because of the efforts in the past few years, Huawei has received no significant complaints related to CSR or product safety
from customers. Huawei is improving our customer satisfaction and has obtained recognition from more and more customers
who see Huawei as a strategic partner.
In 2012, Huawei will continue to adopt the customer-centric strategy to improve and optimize our customer satisfaction
management system, which will better serve our customers and provide them with greater value.
Employee Communication
A wide range of formal and informal communication channels exists between Huawei and our employees. Employees can voice
opinions and provide recommendations to their immediate supervisors or higher-level managers in accordance with the corporate
policy for open communications.
Huawei has established a hierarchical complaint channel to receive employees complaints in a timely manner. A unified
mechanism is in place to respond to and properly address employees complaints within a reasonable time frame. In addition,
Huawei maintains multiple channels for regular, as well as unscheduled, internal communications.
Family Day
A communication channel between the
company and family members of employees
This activity has been extended to overseas
research centers and representative offices
Huawei Community
Bulletin Board System (BBS)
An anonymous online interaction platform for
employees to post comments and suggestions,
submit inquiries and seek assistance, and share
the activities they do in their free time
The BBS helps employees understand corporate
policies
Democratic Life Meeting
A platform to discuss a variety of
issues, such as departmental policies,
daily work management, as well as
personal issues
Each department holds one to two
democratic life meetings each year
CEO Mailbox
A channel for direct communications
between Huawei employees and the
companys CEO
This channel allows the top management
of each department to receive employee
feedback and helps employees
understand the companys culture and
policies
Open
Communication
Channels
for Huawei
Employees
Open Day
An opportunity for employees
to communicate with Huawei
executives
Workout
A communi cati on pl atform
guided by external experts
This platform exposes team
management issues and helps
search for solutions
Corporate
Publications
Huawei regularly issues internal
publications, such as Huawei People
and Improvement
The publications are sent to more
than 100 representative offices
worldwide, and have a circulation
of over 118,000
1o comply wiIh Ihe "Sa!eIy FirsI, PrevehIioh FirsI"
principle relating to occupational and product health
& safety
1o sysIemaIically idehIi!y hazards, assess risks, ahd
implement control measures to ensure sustainable
development
Safe
Operations
Safe Operations
Huawei develops our management processes and operation guides and implements
our occupational health and safety management system to prevent accidents in many
areas, such as manufacturing, project delivery, infrastructure, firefighting, vehicle
security, and food safety.
Operations indicators for safety from 2009 to 2011 are listed below:
Indicator 2009 2010 2011
Injury Rate (per thousand employees)* 0.227 0.415 0.282
Number of Work-related Fatalities** 1 1 0
* Data only includes the injury rate of employees who were employed by the China Region
and are working in this Region.
** Data only includes the work-related fatalities of employees who were employed by the
China Region and are working in this Region.
Competition for forklift operation skills
Manufacturing Safety
In 2011, Huawei promoted our I Want Safety management concept throughout
all manufacturing departments. This strategy involved establishing a multi-level safe
manufacturing inspection model in multiple locations and implementing regulations and
policies. In 2011, only four minor accidents occurred. There were no serious accidents.
The injury rate in 2011 was 0.15 per million working hours. Over the past three years,
the accident occurrence rate has been significantly reduced.
Quote from management:
Prevention is the main concern
of safe operations. We need to
develop a systematic safety
management model to raise
employees safety awareness. We
should carry out safety measures
in our work process to prevent
accidents and promote sustainable
development.
Improvement at Manufacturing Sites
Huawei conducted a safety assessment and adopted a Three
Principles management approach for new equipment, products,
and raw materials. The improvement activities at manufacturing
sites included:
Aclively conducled salely checks by 3-level
lacililaled improvemenl projecls lor idenlilied risks
Promoled lhe salely ol eleclrical equipmenl and
standardized project construction and acceptance
lnlroduced aulomalic cleaning syslems lo prolecl lhe
environment
Peduced employee exposure lo hazardous chemicals
Relocation Safety
To ensure safety in the relocation of production facilities, Huawei
established a dedicated project team to identify and assess risks
and develop and implement a relocation work plan to ensure the
successful relocation of production facilities from Shenzhen to
Dongguan without an accident.
Building a Safety Culture
Initiatives for building a safety culture included:
Provided Level 3 salely lraining lor all new employees
working on production lines
Provided hierarchical salely awareness and skills lraining
for all on-the-job employees
Trained and cerlilied a group ol lirsl aid personnel and
chemical administrators and helped them acquire work
licenses issued by the government
Held essay wriling conlesls on lhe lopic ol sale
production
Organized "sale produclion promolion monlh" campaigns
and competitions for forklift operation skills to raise
employees safety awareness, improve their skills, and
build the culture of production safety in manufacturing
departments
Compleled emergency drills and inspeclions, in accordance
with emergency response plans customized for chemical
warehouses and other important locations, to improve
employees emergency response ability
Experience Sharing and Skills Improvement
Initiatives for experience sharing and skills improvement included:
Aclively parlicipaled in lhe work salely experience sharing meelings organized by
the local governments (Dongguan and Shenzhen)
Promoled lhe applicalion ol LHS managemenl lechnologies and lools, such as
Take 2, STOP, and JSA, and provided safety skills training for employees of all
departments
Organized LHS managemenl knowledge sharing meelings wilh lop salely
management enterprises in the industry
lnviled consulling lirms lo Huawei lo share lheir experience and help conlinuously
improve Huaweis safety management ability
Safe promotion month in workplaces
Training for engineering delivery safety and on-site safety
Engineering Delivery Safety
Huawei implemented the following activities to ensure the
safety of the end-to-end process of global engineering delivery
projects:
Analyzing inlernal and exlernal salely requiremenls
Developing salely assurance programs
Selling up salely managemenl leams
ldenlilying salely risks
Moniloring high-risk aclivilies
Checking and reporling on salely managemenl
performance
lormulaling and implemenling lraining plans
Appraising lhe perlormance ol subconlraclors
In 2011, we combined our EHS management system and project
quality management system to create the Quality, Environment,
and Health & Safety (QEHS) management system.
In accordance with the management requirements for engineering
delivery safety at Huawei, we qualify all potential subcontractors.
Subcontractors who fail the qualification will not be used by
Huawei to provide services. Huawei also signs EHS agreements
with subcontractors, checks the safety of construction sites,
and rewards or penalizes subcontractors based on their safety
performance. We check all sites during the early phase of projects.
After the project implementation is stable, we randomly select
more than 20% of the sites for safety checks. Extra attention is
paid to checking the qualifications, personal protective equipment
(PPE), and training attendance of subcontractors construction
personnel.
Huawei requires directors at all levels and the EHS management
team to audit global projects to ensure that EHS management rules
and regulations are enforced and to convey Huawei executives
commitment to EHS. In 2011, we audited the QEHS management
status of 123 projects. For major projects, we developed monthly
reports to announce their EHS management progress.
To enhance employees safety awareness, we provided more than
220 safety training sessions and more than 130 safety knowledge
promotion campaigns at all levels (corporate headquarter, region,
and project team) in 2011. The training also included employees
of subcontractors.
Safe Operations
Workplace Health and Safety
Huawei has employed internationally recognized designers and
companies to construct industrial bases that meet construction
safety standards and health requirements inside and outside
China that increase the per capita floor area and public service
area and that ultimately create a sound work place for Huawei
employees.
We have increased our capital investment to improve existing
office environments, develop office environmental standards, and
conduct regular monitoring and analysis. We initiated projects to
eliminate adverse safety factors in the work place. Among all the
safety projects implemented in 2011, 49 were associated with
air quality, office lighting, noise, electromagnetic radiation, and
electrical safety.
Fire Control Safety
Huawei continues to emphasize the importance of fire control.
To help our employees better understand the Huawei Fire
Control Management Regulations (updated in 2011) and adhere
to the regulations in their daily work, Huawei formulated the
Fire Control Management Manual. We encourage all employees
at all levels to fulfill their fire control responsibilities and have
effectively avoided fire accidents through activities, such as
training, fire control inspection, and potential risk elimination.
No fire accidents occurred in 2011.
In 2011, we deployed 634 full-time and part-time fire security
personnel in the China Region. Some 77,291 personnel have
attended online fire control training, and all new employees
have completed the fire control training. We organized 605 fire
control promotion campaigns and developed and distributed
more than 30,000 safety manuals to our employees. We also
conducted 119 Fire Safety Promotion Week campaigns.
Through these efforts, we have effectively improved employees
fire safety awareness. By conducting fire inspections, electrical
testing, and smokestack examinations on a quarterly, monthly,
and daily basis, as well as before holidays, we promptly
exposed and reduced potential risks in 5,810 cases. In 2011,
we also organized 70 fire drills at 94 buildings. In the drills,
69,227 employees were evacuated, accounting for 86.5% of
the total employees on-site.
Huaweis 12th fire safety promotion week
Huawei always strives to offer a comfortable, healthy, and safe
work place for our employees.
Huawei subcontracts our power facilities management and
property management to industry-leading property management
companies. Equipment, such as elevators, heating, ventilation,
and air conditioning (HVAC) systems, power supply systems, and
fire control facilities, are regularly maintained and overhauled by
facility management companies to ensure that the air quality,
office lighting, and noise in the workplace comply with the
associated rules and regulations. Security personnel of property
management companies are required to observe their work
instructions and service etiquette to safeguard the personal
security and safety of Huawei and our employees. More than
2,500 property security personnel in the China Region were
trained before they began work.
Food Safety
In our bases in the China Region, Huawei outsourced catering
services to catering companies that provide meals for employees,
customers, and suppliers. Huawei has qualified, supervised, and
appraised our food suppliers based on the requirements of the
food safety management system. To improve our capability to
respond to food poisoning incidents, in 2011 we conducted
food poisoning drills in each representative office in China. Also,
to guide the representative offices outside China in internal
management standardization and ensure food safety, Huawei
standardized the management of cafeterias outside China, built
Vehicle Safety
In 2011, Huawei reinforced the safety management over Huawei-
owned and leased vehicles based on Huaweis requirements for
vehicle services worldwide:
1. We developed and implemented new standards for managing
vehicle procurement and driver selection. We checked the safety
of 1,100 vehicles and provided safety training for more than
1,600 drivers in the China Region;
2. We conducted traffic accident emergency drills in 10 offices
in the China Region. There were no severe accidents involving
Huawei-owned vehicles in 2011;
3. Among all 5,782 vehicles reported to be in use by overseas
representative offices, 193 have been used for more than eight
years or have been driven more than 200,000 kilometers.
Representative offices have reinforced their management of such
vehicles and replaced them in time to ensure vehicle safety;
4. We organized the 4th traffic safety promotion week with the
theme of Observe traffic rules and protect lives. More than
70,000 people were involved in the event.
Huaweis cafeteria Employees visit a cafeteria
food management platforms, and developed global processes for
managing these cafeterias.
To effectively oversee the quality of ingredients, Huawei set up
a dedicated project team to review the supply channels of bulk
ingredients. To date, we have finished certification of the supply
channels of bulk ingredients and acknowledgement of supplier
brands in Shenzhen and Dongguan. In 2012, we will expand the
operation to other regions.
Safe Operations
Emergency Response
Huawei established an emergency response team to help our employees
respond to natural disasters, accidents, and other emergencies. To improve
the efficiency of emergency handling, we developed a series of effective
countermeasures, including dealing with issues at the scene of an accident,
informing and consoling the families of injured persons, dealing with issues
after the accident, and communicating with employees internally.
Product and Service Safety
Man-Machine Engineering
The main principle of man-machine engineering is to ensure all products comply
with the applicable health and safety standards. Huawei established a design team
to implement man-machine engineering. The team adopted the user-scenario-based
product safety design concept and incorporated the concept throughout the product
development cycle of planning, designing, developing, testing, and manufacturing.
We analyzed user scenarios that included the environment in which products are
used, user skills, user habits, and user behavior when using the products. By 2011,
we had analyzed user scenarios of major carriers in 17 countries in North America,
Europe, Africa, and Asia. Our analysis helped us understand the engineering habits
and user skills of people in these countries. In 2012, we will expand the operation
to more countries.
0
5
10
15
20
2009 2010 2011
7
12
17
Number of countries covered by
the user scenarios
0
10
20
30
40
50
60
2009 2010 2011
24
36
56
5PUBMOVNCFSPGVTFS
TDFOBSJPTJOUIFHMPCF
Huaweis 4th traffic
safety promotion week
Case study
iSite
Huawei developed iSite to assist Customer V in developing wireless base stations in South Africa and helped carriers reduce
the size of sites in order to minimize the negative impact on equipment users. The advantages of iSite include:
The loolprinl ol lhe inslalled slruclure is smaller, and lhere is no need lo buy a large land area lor lhe wireless base
station.
Through modular design, generally only lwo people are needed lo inslall a slalion, unlike lhe inslallalion ol lradilional
stations.
The base slalion is well suiled lo ils surroundings so lhe base slalion slruclure does nol spoil lhe landscape.
By adopting this innovative, scenario-specific design approach,
we were able to develop products that are easy to install and
use. Based on our in-depth understanding of user scenarios,
we applied man-machine engineering in our product design
to make our products conform to the engineering habits and
skill requirements of users.
These measures in man-machine engineering effectively
support our product design and project delivery. They also
make Huawei products superior to other products in terms of
health and safety, which is widely recognized by global leading
carriers and customers.
0
5
10
15
20
25
30
2009 2010 2011
18
21
27
/VNCFSPGNBO-NBDIJOF
FOHJOFFSJOHEFTJHOBOEBTTFTTNFOU
QSPKFDUTDPOEVDUFEBU)VBXFJ
Safe Operations
Case study
Man-machine engineering design of

instant network
The instant network solution (mentioned in the case for
bridging the digital divide) was developed by Huawei in
collaboration with Vodafone. This solution introduces an
innovative type of network a mini, portable GSM network-
and provides instant communication services (voice, text,
and data). Huawei adopted the man-machine engineering
rationale in the development of instant networks to ensure
that the developed products meet related requirements. After
being upgraded by Huawei in 2011, the instant network
product received an award from the Mobile World Congress
(MWC) for the following innovative characteristics:
Small size: The instant network product is small enough
to adapt to any air transportation conditions and can be
delivered anywhere in the world within 24 hours
Portability: The instant network product is as light as
a suitcase, which allows for long-distance transportation
in any weather conditions
Ease of installation: The entire station can be
installed by two people within 30 minutes
Noise Reduction
The location of telecommunication equipment is getting increasingly closer to peoples living
environments. To minimize the impact of equipment noise on peoples physical and mental health,
Huawei strives to offer customers more competitive products and solutions with less environmental
noise, and we actively cooperate with customers to support a green and healthy lifestyle for the
public.
We are always researching and exploring products that generate less noise, and using advanced
acoustic testing and analysis systems to improve the heat dissipation and reduce the noise of our
products. We manufacture components for the Huawei-developed active noise reduction module.
The maximum level of noise that can be reduced by the module is up to 11dB (A). For the outdoor
product SmartAX F01S50, the level of noise that can be reduced reaches 45dB (A) in the daytime
and 35dB (A) at night, far below the noise control limits defined in the European standard, ETSI
EN 300 753. Therefore, we can ensure that the noise levels of our devices do not adversely affect
peoples daily lives and health.
Huawei has also made a breakthrough in noise quality research and has successfully applied our
research achievements to improve our products. Huawei products offer users better auditory
experiences, while complying with noise control regulations. Huawei provides a quieter and more
comfortable living environment while enriching life through communications.
Portable instant network product
F01S50
In addition, Huawei actively researched the industrial methods
for analyzing and testing environmental noise. We adopted
Network Equipment-Building System (NEBS) standards and
joined the European Telecommunications Standards Institute
(ETSI) and other standards organizations. We also have taken
part in developing global noise control standards. Huawei has
introduced cutting-edge acoustic testing and analysis devices
to make our environmental acoustics laboratory an industry-
leading acoustic control and testing facility. This lab has been
ISO 17025 certified by the American Association for Laboratory
Accreditation (A2LA) and China National Accreditation Service
for Conformity Assessment (CNAS). The lab has been accredited
by internationally authoritative testing organizations, such as
Underwriters Laboratories, Inc. (UL); MET Laboratories, Inc.
(MET); and National Technical Systems, Inc. (NTS).
Electromagnetic Radiation
With rapid growth in the number of wireless mobile phone
users, the impact of electromagnetic radiation from mobile
phones and wireless base stations on peoples health has
caused serious concern to all stakeholders in society, including
governments, social organizations, the media, and the general
public. According to the results of research led by the World
Health Organization (WHO), scientists cannot find enough
evidence from the existing radiation control standards to
prove the negative health impact caused by electromagnetic
radiation from mobile phones and wireless base stations. To
ensure user health and safety and assure people that wireless
communication equipment is safe, many countries have
formulated various standards to restrict the electromagnetic
radiation intensity of wireless communication equipment.
Huawei has attached much importance to the health impact
of electromagnetic radiation. We established a mechanism to
control electromagnetic radiation, to ensure that the wireless
communication equipment designed and produced by Huawei
complies with the associated laws and regulations and is safe
for customers and consumers to use. We also have a system
to protect the health and safety of the employees who design
and manufacture the equipment.
When constructing wireless base stations, Huawei always
works with carriers and environmental protection organizations
to conform to the electromagnetic radiation control standards
and environmental impact assessment rules in all countries
and regions, to offer safe mobile communication services to
the local people. As the site deployment environment becomes
more and more complicated, Huawei has invested a significant
amount of human and other resources to help our customers
tackle the challenges of electromagnetic radiation control in
the new environment. Also, we always collaborate with our
customers to support a green and healthy lifestyle for the
public.
Case study
Applying appropriate technologies to reduce

electromagnetic radiation of products
A Huawei pad has a built-in proximity sensor that detects
the distance between a user and a wireless product and
then adjusts the transmit power based on the distance.
If the distance is below a certain range, the sensor will
notify the associated processing unit of the product to
lower the power and reduce electromagnetic radiation to
protect the users health.
Safe Operations
We used various parameters to assess the electromagnetic radiation of various
wireless terminal equipment manufactured by Huawei. We have established several
professional laboratories to test and assess the Specific Absorption Rate (SAR) of
mobile phones, pads, and other products. We cooperated with the product safety
certification bodies in diverse countries and regions to ensure that our products
comply with the associated laws and regulations. For wireless terminal products
that are far away from users, we assessed the electromagnetic field (EMF) under the
most extreme conditions. We also took into consideration the requirements of special
users. For example, to ensure the health and safety of mobile phone users who wear
hearing aids, Huawei established a Hearing Aid Compatibility (HAC) evaluation system
in accordance with the relevant laws and regulations, to ensure that such users can
use their mobile phones conveniently and safely.
The SAR of Huaweis wireless terminal products (typical products sold in all regions)
is well below the limit specified in associated standards.
1.8
1.6
1.4
1.2
1.0
0.8
0.6
0.4
0.2
0
C8150-1 M886 U8860
FCC Requirement in the US [W/kg]
C8511 C8651 U8350-3 U8800 U8650-1 U8510-1 C8500
FCC Limit (1g) SAR for Human Head SAR for Human Body
U
8
8
6
0
U
8
3
5
0
U
8
6
5
2
U
8
6
5
0
-
1
U
8
5
1
0
-
1
U
8
5
0
0
U
7
5
2
0
U
8
1
6
0
U
8
8
0
0
U
8
8
6
0
-
9
2
CE Requirement in Europe [W/kg]
CE Limit (10g) SAR for Human Head SAR for Human Body
2.5
2.0
1.5
1.0
0.5
0
2.5
2.0
1.5
1.0
0.5
0
T1201 FC8221 C2827 C8300 F360 T6300 T2251 C5120 G6600 C5720
Requirement in China [W/kg]
Limit (10g) SAR for Human Head
Huawei actively participates in developing global electromagnetic radiation control standards and tracks and drives the
development of basic research, as well as related industry standards. To date, Huawei has joined and participated in research
projects of the International Electrotechnical Commission (IEC), International Telecommunication Union (ITU), Institute of Electrical
and Electronics Engineers (IEEE), ETSI, China Communications Standards Association (CCSA), and other standards organizations.
Huaweis professional laboratories for electromagnetic radiation are operated in accordance with international standards. The
laboratories have been ISO 17025 certified by the A2LA and CNAS and accredited by internationally authoritative certification
organizations, such as CETECOM, TUV Rheinland, TUV SUD (BABT), and Intertek Testing Services (ITS).
Appendix I. GRI Index
Performance
Indicator
Description Page No.
1. Standard Disclosures Part I: Profile Disclosure
1.1
Statement from the most senior decision maker of the organization (e.g., CEO, chair,
or equivalent senior position) about the relevance of sustainability to the organization
and its strategy
2 3
1.2 Description of key impacts, risks, and opportunities !! !3
2. Organizational Profile
2.1 Name of the organization 16
2.2 Primary brands, products, and/or services
!6 !7
2.3 Operational structure of the organization
24 25
2.4 Location of an organizations headquarters
!8 !9
2.5 Number of countries where the organization operates
!8 !9
2.6 Nature of ownership and legal form
25
2.7 Markets served
!6 !9
2.8 Scale of the reporting organization
!6 !9
2.9 Significant changes during the reporting period
No Significant
changes during the
reporting period
2.10 Awards received in the reporting period
20
3. Report Parameters
Report Profile-This section to be added before the section on the GRI Index
3.1 Reporting period
inside the front cover
3.2 Date of most recent previous report (if any)
3.3 Reporting cycle
3.4 Contact point for questions regarding the report or its contents
3.5 Process for defining report content
3.6 Boundary of the report
3.7 Specific limitations on the scope or boundary of the report
3.8
Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced
operations
3.9 Data measurement techniques and calculation basis
3.10
Explanation of the effect of any restatement of information provided in earlier reports,
and the reasons for such restatement
Not Applicable
3.11
Significant changes from previous reporting periods in the scope, boundary, or
measurement methods applied in the report
Not Applicable
3.12 GRI Index !08 !!2
3.13 Policy and current practice with regards to seeking external assurance for the report inside the front cover
4. Governance, Commitments and Engagement
Governance
4.1
Governance structure of the organization 24 26
4.2
Indicate whether the Chair of the highest governance body is also an executive
officer
Huawei 2011
Annual Report
Appendix
4.3
State the number of members of the highest governance body that are independent
and/or non-executive members
Huawei 2011
Annual Report
4.4
Mechanisms for shareholders and employees to provide recommendations or
direction to the highest governance body
Huawei 2011
Annual Report
4.5
Linkage between compensation for members of the highest governance body, senior
managers, and executives
Not Reported
4.6
Processes in place for the highest governance body to ensure conflicts of interest
are avoided
25 26
4.7
Process for determining the qualifications and expertise of the members of the
highest governance body
Not Reported
4.8
Internally developed statements of mission or values, codes of conduct, and
principles relevant to economic, environmental, and social performance and the
status of their implementation
4 9
4.9
Procedures of the highest governance body for overseeing the organizations
identification and management of economic, environmental, and social performance
26
4.10
Processes for eval uati ng the hi ghest governance bodys own performance,
particularly with respect to economic, environmental, and social performance
Not Reported
4.11
Explanation of whether and how the precautionary approach or principle is
addressed by the organization
Not Reported
4.12
Externally developed economic, environmental and social charters, principles, or
other initiatives to which the organization subscribes or endorses
27
4.13
Memberships in associations (such as industry associations) and/or national/
international advocacy organizations
27
4.14
List of stakeholder groups engaged by the organization
28
4.15
Basis for identification and selection of stakeholders with whom to engage
29 3!
4.16
Approaches to stakeholder engagement, including frequency of engagement by
type and by stakeholder group
29 3!
4.17
Key topics and concerns that have been raised through stakeholder engagement
32 33
Standard Disclosures Part II: Disclosures on Management Approach
Disclosure on Management Approach (Economic Performance) 36 39
Disclosure on Management Approach (Environmental Performance) 36 39
Disclosure on Management Approach (Labor Practices) 36 39
Disclosure on Management Approach (Human Rights) 36 39
Disclosure on Management Approach (Society) 36 39
Disclosure on Management Approach (Product Responsibility) 36 39
Standard Disclosures Part III: Performance Indicators
Economic
EC1
Direct economic value generated and distributed, including revenues, operating costs,
employee compensation, donations and other community investments, retained
earnings, and payments to capital providers and governments
21
EC2
Financial implications and other risks and opportunities for the organizations activities
due to climate change
Not Reported
EC3 Coverage of the organizations defined benefit plan obligations 51
EC4 Significant financial assistance received from government Not Reported
EC5
Range of ratios of standard entry level wage compared to local minimum wage at
significant locations of operation
51
EC6
Policy, practices, and proportion of spending on locally-based suppliers at significant
locations of operation
Not Reported
EC7
Procedures for local hiring and proportion of senior management hired from local
community at significant locations of operation
52
EC8
Development and impact of infrastructure investments and services provided primarily
for public benefit through commercial, in-kind, or pro bono engagement
78 79, 80 86
EC9
Understanding and describing significant indirect economic impacts, including the
extent of impacts
80 86
Environmental
EN1 Materials used by weight or volume Not Reported
EN2 Percentage of materials used that are recycled input materials Not Reported
EN3 Direct energy consumption by primary energy source 62
EN4 Indirect energy consumption by primary source 62
EN5 Energy saved due to conservation and efficiency improvements 63 65
EN6
Initiatives to provide energy-efficient or renewable energy based products and services,
and reductions in energy requirements as a result of these initiatives
66 73
EN7 Initiatives to reduce indirect energy consumption and reductions achieved 66 73
EN8 Total water withdrawal by source 65
EN9 Water sources significantly affected by withdrawal of water 65
EN10 Percentage and total volume of water recycled and reused Not Reported
EN11
Location and size of land owned, leased, managed in, or adjacent to, protected areas and
areas of high biodiversity value outside protected areas
Not Reported
EN12
Description of significant impacts of activities, products, and services on biodiversity in
protected areas and areas of high biodiversity value outside protected areas
Not Reported
EN13 Habitats protected or restored Not Reported
EN14 Strategies, current actions, and future plans for managing impacts on biodiversity Not Reported
EN15
Number of IUCN Red List species and national conservation list species with habitats in
areas affected by operations, by level of extinction risk
Not Reported
EN16 Total direct and indirect greenhouse gas emissions by weight 62
EN17 Other relevant indirect greenhouse gas emissions by weight 62
EN18 Initiatives to reduce greenhouse gas emissions and reductions achieved 62
EN19 Emissions of ozone-depleting substances by weight 65
EN20 NOx, SOx, and other significant air emissions by type and weight 65
EN21 Total water discharge by quality and destination 65
EN22 Total weight of waste by type and disposal method 66
EN23 Total number and volume of significant spills Not Reported
Appendix
EN24
Weight of transported, imported, exported, or treated waste deemed hazardous under
the terms of the Basel Convention Annex I, II, III, and VIII, and percentage of transported
waste shipped internationally
66
EN25
Identity, size, protected status, and biodiversity value of water bodies and related habitats
significantly affected by the reporting organizations discharges of water and runoff
Not Reported
EN26
Initiatives to mitigate environmental impacts of products and services, and extent of
impact mitigation
69 75
EN27 Percentage of products sold and their packaging materials that are reclaimed by category 72 73
EN28
Monetary value of significant fines and total number of non-monetary sanctions for non-
compliance with environmental laws and regulations
Not Reported
EN29
Significant environmental impacts of transporting products and other goods and materials
used for the organizations operations, and transporting members of the workforce
75
EN30 Total environmental protection expenditures and investments by type Not Reported
Labor and Decent Work
LA1 Total workforce by employment type, employment contract, and region 49 50
LA2 Total number and rate of employee turnover by age group, gender, and region 49 50
LA3
Benefits provided to full-time employees that are not provided to temporary or part-
time employees, by major operations
51
LA4 Percentage of employees covered by collective bargaining agreements Not Reported
LA5
Minimum notice period(s) regarding significant operational changes, including whether
it is specified in collective agreements
Not Reported
LA6
Percentage of total workforce represented in formal joint management-worker health
and safety committees that help monitor and advice on occupational health and
safety programs
Not Reported
LA7
Rates of injury, occupational diseases, lost days, and absenteeism, and number of work
related fatalities by region
98
LA8
Education, training, counseling, prevention, and risk-control programs in place to
assist workforce members, their families, or community members regarding serious
diseases
54 55
LA9 Health and safety topics covered in formal agreements with trade unions Not Reported
LA10 Average hours of training per year per employee by employee category 54
LA11
Programs for skills management and lifelong learning that support the continued
employability of employees and assist them in managing career endings
53
LA12
Percentage of employees receiving regular performance and career development
reviews
53
Human Rights
HR1
Percentage and total number of significant investment agreements that include human
rights clauses or that have undergone human rights screening
Not Reported
HR2
Percentage of significant suppliers and contractors that have undergone screening on
human rights and actions taken
90
HR3
Total hours of employee training on policies and procedures concerning aspects of human
rights that are relevant to operations, including the percentage of employees trained
57
HR4 Total number of incidents of discrimination and actions taken 51
HR5
Operations identified in which the right to exercise freedom of association and collective
bargaining may be at significant risk, and actions taken to support these rights
Not Reported
HR6
Operations identified as having significant risk for incidents of child labor, and
measures taken to help eliminate child labor
59
HR7
Operations identified as having significant risk for incidents of forced or compulsory
labor, and measures to contribute to the elimination of forced or compulsory labor
59
HR8
Percentage of security personnel trained in the organizations policies or procedures
concerning aspects of human rights that are relevant to operations
Not Reported
HR9
Total number of incidents of violations involving the rights of indigenous people and
actions taken
Not Reported
Society
Aspect Community
SO1
Nature, scope, and effectiveness of any programs and practices that assess and
manage the impacts of operations on communities, including entering, operating,
and exiting
78 86
SO2 Percentage and total number of business units analyzed for risks related to corruption 58 59
SO3
Percentage of employees trained in the organizations anti-corruption policies and
procedures
58 59
SO4 Actions taken in response to incidents of corruption 58
SO5 Public policy positions and participation in public policy development and lobbying Not Reported
SO6
Total value of financial and in-kind contributions to political parties, politicians, and
related institutions by country
Not Applicable
SO7
Total number of legal actions for anticompetitive behavior, anti-trust, and anti-
monopoly practices and their outcomes
59
SO8
Monetary value of significant fines and total number of non-monetary sanctions for
non-compliance with laws and regulations
Not Reported
Product Responsibility
PR1
Life cycle stages in which health and safety impacts of products and services are
assessed for improvement, and the percentage of significant products and services
categories subject to such procedures
66 67, !02 !07
PR2
Total number of incidents of non-compliance with regulations and voluntary codes
concerning health and safety impacts of products and services during their lifecycle,
by type of outcomes
Not Reported
PR3
Type of product and service information required by procedures and percentage of
significant products and services subject to such information requirements
Not Reported
PR4
concerning product and service information and labeling, by type of outcomes
Not Reported
PR5
Practices related to customer satisfaction, including results of surveys measuring
customer satisfaction
94
PR6
Programs for adherence to laws, standards, and voluntary codes related to marketing
communications, including advertising, promotion, and sponsorship
94 95
PR7
concerning marketing communications, including advertising, promotion, and
sponsorship by type of outcomes
Not Reported
PR8
Total number of substantiated complaints regarding breaches of customer privacy and
losses of customer data
Not Reported
PR9
Monetary value of significant fines for non-compliance with laws and regulations
concerning the provision and use of products and services
Not Reported
Appendix II. Terms & Abbreviations
Appendix
Abbreviation Full Name
3G Third Generation Mobile Telephony
3GPP Third Generation Partnership Project
AA1000 AccountAbility 1000
ADSL Asymmetric Digital Subscriber Line
BSS Business Support System
CAPEX Communication Automatic Processing Equipment
CCSA China Communications Standards Association
CDMA Code Division Multiple Access
CDN Content Delivery Network
CEO Chief Executive Officer
CSR Corporate Social Responsibility
CAGR Compounded Annual Growth Rate
CNAS China National Accreditation Service for Conformity Assessment
DSL Digital Subscriber Line
EHS Environment, Health and Safety
EICC Electronic Industry Citizenship Coalition
ETSI European Telecommunications Standards Institute
FTTx Fiber To The x (e.g. x= [H, P, C, N], H=home)
GeSI Global e-Sustainability Initiative
GSM Global System for Mobile Communications
GRI Global Reporting Initiative
ICT Information and Communications Technology
IEC International Electro technical Commission
IEEE Institute of Electrical and Electronics Engineers
IMS IP Multimedia Subsystem
IETF Internet Engineering Task Force
IP Internet Protocol
IPTV Internet Protocol Television
ISO International Standardization Organizations
Appendix II. Terms & Abbreviations
ISO26000 Guidance on Social Responsibility
ITU International Telecommunication Union
ICNIRP International Commission on Non-Ionizing Radiation Protection
LCA Lifecycle Assessment
LTE Long Term Evolution
NGBSS Next Generation Business Support System
NGN Next Generation Network
NGO Non-government organization
OHSAS Occupational Health and Safety Assessment Series
OPEX Operating Expense
OSS Operation support system
OTN Optical Transport Network
OMA Open Mobile Alliance
PCT Patent Cooperation Treaty
P2P Peer-to-Peer
PVR Personal Video Recorder
SA8000 Social Accountability 8000
SDP Service Delivery Platform
TCO Total Cost of Ownership
TD-SCDMA Time Division-Synchronous Code Division Multiple Access
UNGC United Nations Global Compact
UMTS Universal Mobile Telecommunications System
VoIP Voice over Internet Protocol
VOD Video on Demand
WEEE Waste Electrical and Electronic Equipment
WCDMA Wideband Code Division Multiple Access
WiMAX Worldwide Interoperability for Microwave Access
WDM Wavelength Division Multiplexing
WHO World Health Organization
Appendix
Appendix III. Verication Statement
Appendix
Appendix III. Verication Statement
Huawei Investment & Holding Co., Ltd. Corporate Sustainability Report 2011
Enriching Life Through Communication
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Huawei Industrial Base
Bantian Longgang
Shenzhen 518129, P.R. China
Tel: +86-755-28780808
www.huawei.com
Copyright Huawei Investment & Holding Co., Ltd. 2012. All rights reserved.
General Disclaimer
The information in this document may contain predictive statements including, without limitation,
statements regarding the future nancial and operating results, future product portfolio, new technology,
etc. There are a number of factors that could cause actual results and developments to differ materially
from those expressed or implied in the predictive statements. Therefore, such information is provided
for reference purpose only and constitutes neither an offer nor an acceptance. Huawei may change the
information at any time without notice.
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