Global Sustainability Report 2020 - Kimberly-Clark ...

 
Global Sustainability Report 2020 - Kimberly-Clark ...
Smallest Environmental   Making         Our Strategy for the   Our Business   Leadership
Footprint                Lives Better   Decisive Decade        in 2020        Message

                                                                      2020

                                  Global

                                  Report
                                  Sustainability
Global Sustainability Report 2020 - Kimberly-Clark ...
3                                                  15
Leadership

                         Table of
Message

                                                                                                          A Message from Mike Hsu                              Making Lives Better

                                                                                                                                                                    Social Impact

                         Contents                                                                         4
                                                                                                          A Message from Lisa Morden
                                                                                                                                                                    Caring for Our Community
Our Business

                                                                                                                                                                    Inclusion & Diversity
in 2020

                                                                                                          5
                                                                                                                                                                    Talent Development

                                                                                                          Our Business in 2020                                      Human Rights & Ethical Practices

                                                                                                               Our Business                                         Ingredients & Transparency
Our Strategy for the

                                                                                                               Responding to COVID-19                               Product Quality & Safety
Decisive Decade

                                                                                                               Leading Through Social Unrest                        Environmental, Health & Safety

                                                                                                          9                                                 40
                         This report portrays Kimberly-Clark's progress through stories that highlight
                         our work around the world as well as key data and metrics, prepared in
                                                                                                          Our Strategy for the Decisive Decade                 Smallest Environmental Footprint
                         accordance with the Global Reporting Initiative (GRI) Sustainability Reporting
                         Standards “Core” level. Our reporting time frame covers January 1 through
                         December 31, 2020.                                                                    Our Strategy                                         Plastics Footprint
Lives Better

                         Legal Notice; Forward-Looking Statements                                                                                                   Forest Footprint
Making

                                                                                                               Focusing on What’s Essential
                         All statements in this report that are not historical, including goals for and
                         projections of future results, the expected execution and effect of our               Driving Benefit Across Our Value Chain               Carbon Footprint
                         sustainability strategies and initiatives and the amounts and timing of their
                         expected impact, constitute forward-looking statements that are based
                                                                                                               Our Goals and Progress                               Water Footprint
                         on management’s expectations and beliefs concerning future events
                         impacting the company. Many factors outside our control, including
Smallest Environmental

                         competitive pressures, evolving legal and regulatory requirements, and
                         societal and market conditions globally and in the markets in which we
                         do business, could cause actual results to vary.

                         There can be no assurance that these future events will occur as
                         anticipated. Forward-looking statements speak only as of the
                         date they were made, and we undertake no obligation to publicly
Footprint

                         update them. Please see Kimberly-Clark’s latest Annual Report
                         on Form 10-K and subsequent SEC filings for a discussion of
                         risk factors as they relate to forward-looking statements.                       For more detailed data, metrics and disclosures, see the 2020 Sustainability Report Addendum.
Global Sustainability Report 2020 - Kimberly-Clark ...
Living Our Values
Leadership
Message

                         A Message from Mike Hsu

                                                      A Message from Mike Hsu
                         A Message from Lisa Morden
Our Business

                                                      Reflecting on the past year, I am incredibly proud of how        This sense of purpose is at the core of our ambitious
in 2020

                                                      Kimberly-Clark and our people responded in a powerful way        sustainability strategy, which we introduced last year: to uplift
                                                      when the world needed us the most.                               the lives and well-being of 1 billion people around the world
                                                                                                                       by 2030, with half the environmental footprint in the areas
                                                      The health and safety of our employees has been and remains      where we can make the biggest difference – climate, forests,
Our Strategy for the

                                                      our priority. We took swift action to protect our teams at the   water, and plastics.
Decisive Decade

                                                      outset of the COVID-19 pandemic to keep our people and
                                                      their families safe and healthy. We prioritized care for our     We know the hard work is still ahead of us. Yet, the
                                                      employees so we could provide the essential products that        conversation around sustainability is changing, and growing
                                                      the world was counting on.                                       for good means that we must be bolder and act faster to
                                                                                                                       address the social and environmental challenges facing our
                                                      As the world's focus expanded beyond the pandemic to             consumers, our communities, and the planet. In setting these
                                                      include social and racial injustice, our values dictated how     goals for ourselves, we believe we are futureproofing our
                                                      we would use the strength of our culture and trusted brands      business for generations to come.
Lives Better

                                                      to advocate for and promote inclusion, drive diversity, and
Making

                                                      disrupt bias - at first with our employees around the world,     This year’s report showcases the incredible response from our
                                                      and later in the communities where we live and work.             teams to an extraordinary year, and it reflects how we live our
                                                                                                                       purpose every day.
                                                      These once-in-a-lifetime events forced us to both embrace
                                                      and redefine how we care for each other, our customers,          Mike Hsu
Smallest Environmental

                                                      our consumers, our communities, and our planet, and they         Chairman, CEO, and Proud Employee
                                                      affirmed a shared purpose for our company that was not fully     Kimberly-Clark
                                                      realized until the pandemic required a singular focus on care.
Footprint
Global Sustainability Report 2020 - Kimberly-Clark ...
The Essentials for a Safer,
Leadership
Message

                                                      Healthier World
                         A Message from Mike Hsu
                         A Message from Lisa Morden
Our Business

                                                      A Message from Lisa Morden
in 2020

                                                      The past year presented previously unimaginable          Amidst this backdrop, we launched Kimberly-             progress—and the impacts, including those driven
Our Strategy for the

                                                      challenges that put health and safety at the forefront   Clark’s 2030 ambitions, aimed at improving              by climate change, are far-reaching. Thousands of
Decisive Decade

                                                      while illuminating social and environmental gaps         the lives of 1 billion people in underserved            women and girls miss school and work every day
                                                      that still need to be bridged. For Kimberly-Clark, it    communities around the globe. With a                    since they lack access to clean, safe toilets and
                                                      reminded us how closely we are all connected, and        commitment to reducing our environmental                are unable to manage their periods.
                                                      of the urgency of the work ahead to achieve our          footprint by 50% over the coming decade, we're
                                                      environmental, social, and governance goals.             focused on the areas where we can make the              This year’s report shares how our teams cared
                                                                                                               greatest difference, including climate, water,          for each other, our consumers, our communities,
                                                      The safety of our people has remained our top            forests, and plastics.                                  and the planet. Further, our experiences
                                                      priority, and we have taken extra precautions                                                                    have taught us that we can move quickly to
Lives Better

                                                      across our global operations to keep employees           Kimberly-Clark is using its unique position to help     achieve incredibly challenging goals and that
Making

                                                      and their families safe while ensuring that              address these challenges and drive initiatives          an unwavering focus on health, safety, and
                                                      consumers have continued access to our                   that support the United Nations Sustainable             sustainability can illuminate ways of working
                                                      essential products.                                      Development Goals for good health and well-             with purpose and urgency.
                                                                                                               being, gender equality, and clean water and
                                                      The COVID-19 crisis has also increased awareness         sanitation as well as life on land, climate, and life   We look forward to keeping you posted
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                                                      of the complex relationship between humans and           below water.                                            on our progress.
                                                      the world around us, and the critical connection
                                                      between health, safety, and sustainability.              Our work also serves to tackle longstanding social      Lisa Morden
                                                      Preserving natural resources and improving public        inequities. The lack of basic sanitation for 1-in-      Vice President, Safety, Sustainability,
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                                                      health and hygiene are essential to helping people       4 people around the world makes communities             and Occupational Health
                                                      lead safer, healthier, and better lives.                 less resilient to disease and impedes economic
Global Sustainability Report 2020 - Kimberly-Clark ...
Leadership
Message

                                                         Our Business
Our Business

                                                         in 2020
in 2020

                         Our Business
                         Responding to COVID-19
                         Leading Through Social Unrest
Our Strategy for the
Decisive Decade

                                                         Our essential heroes responded to the strain of 2020 with incredible
                                                         care for each other, our consumers, and communities around the
                                                         world. The year brought a series of profound disruptions—to our
                                                         people and operations, our consumers, and our value chain—
                                                         highlighting greater social issues in the process.

                                                         The COVID-19 pandemic tested our resilience, both as
                                                         individuals and as a business committed to helping people
Lives Better

                                                         live better lives. The demonstrations that erupted in late
Making

                                                         May spotlighted longstanding social inequities around the
                                                         world and challenged us to chart a better, faster, and more
                                                         comprehensive way forward.

                                                         The urgency of these obstacles brought a renewed
Smallest Environmental

                                                         sense of purpose for how we care for others and
                                                         improve people’s lives.
Footprint

                                                                                                                                Our Malaysian team donated care packages that included Huggies, Kotex, and Kleenex products to 16,000 affected families. YB Dato’ Sri Dr. Santhara
                                                                                                                                Kumar, Deputy Federal Territories Minister, pictured here, recognized Kimberly-Clark for the contribution.
Global Sustainability Report 2020 - Kimberly-Clark ...
Our Business
Leadership
Message

                                                                                                                                        Net Sales                                     Our portfolio of brands,
                                                                                                                                                                                      including Huggies, Kleenex,

                                                           149                 Kimberly-Clark (NYSE: KMB)                                                              54%            Scott, Kotex, Cottonelle,
Our Business

                                                                               and its trusted brands are                                                    North America            Poise, Depend, Andrex,
                                                           years in            an indispensable part of                                                                               Pull-Ups, GoodNites, Neve,
in 2020

                         Our Business
                                                           business
                         Responding to COVID-19
                         Leading Through Social Unrest
                                                                               life for people in more than
                                                                               175 countries.
                                                                                                                                                              46%                     Plenitud, Viva, and WypAll,
                                                                                                                                                                                      hold the No. 1 or No. 2 share
                                                                                                                                               outside North America
                                                                                                                                                                                      position in 80 countries.

                                                           1/4                 We are headquartered in
Our Strategy for the

                                                                               Dallas, Texas, with approximately
Decisive Decade

                                                           of the world’s      46,000 employees* worldwide and
                                                                                                                              Diapers & Baby Wipes          Consumer Tissue           K-C Professional
                                                           population          operations in 34 countries.
                                                           uses one of                                                        Diapers                       Facial Tissue             Facial Tissue, Bathroom
                                                           our products        Fueled by ingenuity, creativity, and                                                                   Tissue, and Paper Towels
                                                                                                                              Training & Swim Pants         Bathroom Tissue
                                                           every day           an understanding of people’s most                                                                      for away-from-home use
                                                                               essential needs, we create products            Baby Wipes                    Paper Towels
                                                                                                                                                  $9.3                                Wipers
                                                                               that help individuals experience               Feminine Care        bilion                   $6.7                                 3
                                                           $19.14
                                                                                                                                                                                      Safety Products        $
                                                                               more of what’s important to them.                                                             bilion
Lives Better

                                                                                                                              Incontinence Care                                                             bilion
Making

                                                           bilion sales        For nearly 150 years, we’ve had the
                                                           in 2020             foresight to find new ways to make lives
                                                                               better. From creating new categories
                                                                               to starting new conversations, we are

                                                           175+                constantly innovating our products and
Smallest Environmental

                                                                               our practices to serve and care for the
                                                           countries,          ever-changing needs of the people we
                                                           regions, and        touch at all stages of life.
                                                           territories where
Footprint

                                                           our brands          * Number includes employees of Softex, which
                                                           are sold            Kimberly-Clark acquired in September 2020.
Global Sustainability Report 2020 - Kimberly-Clark ...
Responding to COVID-19
Leadership
Message

                                                         Kimberly-Clark responded to the         We remain vigilant at every office,
                                                         COVID-19 pandemic by helping to         manufacturing facility, and distribution
Our Business

                                                         provide needed supplies to font-line    center throughout our global operations
                                                         workers and impacted households         in our efforts to keep our people
in 2020

                         Our Business
                         Responding to COVID-19          and supporting relief efforts around    safe and healthy. We have rigorous
                         Leading Through Social Unrest
                                                         the world. Our response is guided       COVID-19 safety protocols, which were
                                                         by our commitment to our value of       developed in line with guidance from       2   Caring for Our Customers &             3   Caring for Those in Need: The Kimberly-Clark
                                                         caring, which starts with our people    recognized public health authorities.          Consumers: Kimberly-Clark teams            Foundation donated over $8 million to assist
Our Strategy for the

                                                         and their families and extends out      These protocols are dependent on local         stepped up to help our consumers           with COVID-19 response and recovery efforts
Decisive Decade

                                                         to our partner, our customers and       COVID-19 health conditions and include         and customers have access to               around the world. The Foundation donated
                                                         consumers, communities, and to          mask requirements, work-from-home              essentials they need most - the            $2.5 million to UNICEF and its programs
                                                         those in need.                          options where practical, temperature           comforts of home and health that our       focused on preventing the spread of the virus
                                                                                                 scans at facility entry points, regular        trusted brands provide every day. We       by providing hygiene and medical kits to
                                                         Our efforts focus on three key areas:   cleaning of work areas, shift rotations,       accelerated our production globally.       schools and health facilities, and by increasing
                                                                                                 and social distancing reminders where                                                     children’s access to health, education,
                                                                                                 people gather.                                 And when consumer uncertainty and          and social services during the pandemic.
                                                                                                 Our protocols encourage employees to           shifting market demands caused             Another $2.5 million went to the International
Lives Better

                                                          1    Caring for Our People: Nothing    stay home when they feel unwell, and,          toilet paper shortages in stores,          Federation of Red Cross and Red Crescent
Making

                                                               is more important than the        where applicable, we have enhanced             our brands like Cottonelle and             Societies and the American Red Cross.
                                                               health and safety of our          paid leave policies.                           Andrex launched a #ShareASquare
                                                               people, who enable us to                                                         movement.
                                                               provide the products people
                                                               count on to maintain good
Smallest Environmental

                                                               health and hygiene.
Footprint
Global Sustainability Report 2020 - Kimberly-Clark ...
Leading Through Social Unrest
Leadership
Message

                                                         In 2020, the world was shocked by the tragic deaths of Breonna Taylor, Ahmaud Arbery, and George Floyd. The death     Our priority is to cultivate a workforce where all are
                                                         of George Floyd in late May broadened the Black Lives Matter movement and sparked a summer of worldwide protests      included and empowered to do their best work—
Our Business

                                                         against systemic inequities and violence.                                                                             where differences are valued and essential for success.
in 2020

                         Our Business
                         Responding to COVID-19          Companies large and small—including Kimberly-Clark—recognized the responsibility we have to reexamine our cultures;   We champion the ongoing progress made by our passionate
                         Leading Through Social Unrest
                                                         root out racism, discrimination, and bias; and foster more inclusive and diverse workplaces that welcome and engage   employee resource groups and non-discrimination policies,
                                                         people of all races, cultures, and identities.                                                                        yet we remain focused on the responsibility that we must do
                                                                                                                                                                               more. Our executive team is leading by example by driving
Our Strategy for the

                                                         While this kind of work isn’t                                                                                         conversations about systemic racism and inequality. We’ve
Decisive Decade

                                                         new to Kimberly-Clark, 2020                                                                                           taken concerted action, including increased employee
                                                         demonstrated that integrating                                                                                         engagement in caring conversations and addressing
                                                         inclusion and diversity is a social                                             By leading with                       unconscious biases with team leader training and resources.
                                                         imperative and enabler of our                                                   inclusion, we were                    We also introduced a series of town halls led by our global
                                                         business goals.                                                                 better prepared in                    Inclusion & Diversity team to lay the foundation for our long-
                                                                                                                                                                               term strategy.
                                                                                                                                         this moment to listen
                                                         We know shifting a complex,
                                                                                                                                         to each other and
                                                         established system and                                                                                                Through these actions, we can be a catalyst for conversation,
Lives Better

                                                         creating new norms takes
                                                                                                                                         truly understand                      understanding, and community-building. We know that we
Making

                                                         sustained management                                                            the need for a                        can affect immediate change by looking inward—to challenge
                                                         attention and personal                                                          workplace reality for                 our comfortability, educate ourselves, and improve our
                                                         work by everyone in the                                                         our employees that                    company for the future.
                                                         organization. As the events of                                                  matches our values
                                                         2020 unfolded, the urgency                                                      and aspirations.                      Kimberly-Clark doesn’t hold the answers, but we are holding
Smallest Environmental

                                                         of racial justice galvanized                                                                                          tight to our values of caring and being accountable, and
                                                         us into collective action: We                                                   Erin Mitchell Richeson                that begins with each of us. Caring means truly listening,
                                                         committed to do more, move                                                      VP, Global Inclusion &                empathizing, and seeking to understand. It means being
                                                         faster, and enable change.                                                      Diversity                             inclusive and valuing the differences, and commonalities, that
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                                                                                                                                                                               make us stronger.
Global Sustainability Report 2020 - Kimberly-Clark ...
Leadership
Message
Our Business
in 2020

                                                        Our Strategy
                                                        for the Decisive
Our Strategy for the
Decisive Decade

                         Our Strategy
                         Focusing on What’s Essential

                                                        Decade
                         Driving Benefit Across Our
                         Value Chain
                         Our Goals and Progress
Lives Better
Making
Smallest Environmental
Footprint

                                                                           We commemorated our Kleenex® brand’s 50th anniversary in Taiwan, China with a celebration at our Hsin-Ying site. This facility has produced nearly 7
                                                                           billion Kleenex® Brand packs since its inception in 1971.
Global Sustainability Report 2020 - Kimberly-Clark ...
Our Strategy
Leadership
Message

                                                        As we take action to solve               It is also clearer than ever that we   By 2030, we aim to:
Our Business

                                                        sustainability challenges for the        cannot effectively and equitably
                                                        decade ahead, we are building on         address these environmental
in 2020

                                                        our past successes, scaling up our       challenges if we don’t also address
                                                                                                                                               Advance well-being in underserved and vulnerable
                                                        use of efficient new technologies, and   the challenges of inequality and
                                                                                                                                               communities around the world, helping
                                                        delivering solutions that address the    access to education, hygiene, and
                                                        challenges facing our planet.            sanitation.                                   1 billion people
Our Strategy for the
Decisive Decade

                                                        We’re proud of the progress we have      Our ambitious goals are                       Reduce our absolute Scope 1 and 2 GHG emissions by
                                                        made to date. We have improved           intended to spur innovation
                                                                                                                                               50% (by 2030)
                         Our Strategy
                         Focusing on What’s Essential
                                                        the lives of more than 25 million        and action on building a better
                         Driving Benefit Across Our
                         Value Chain                    people through programs such as          future.
                         Our Goals and Progress         Toilets Change Lives and the Kotex                                                     Reduce our Natural (Northern) Forest Fiber footprint by
                                                        “Period or Not, She Can” promise,
                                                        surpassing our 2022 goal to advance
                                                                                                                                               50% (by 2025)
                                                        the wellbeing of 25 million people. We
Lives Better

                                                        have reduced our GHG emissions by                                                      Reduce our plastics footprint by
Making

                                                        32.1% versus our 2015 baseline and
                                                        decreased our water usage in water-
                                                                                                                                               50%
                                                        stressed regions by 32.5%.
                                                                                                                                               Reduce our water footprint in water-stressed areas by
                                                        However, we believe accelerated                                                        50%
Smallest Environmental

                                                        action is needed to stay ahead of
                                                        the imperatives of the global climate,
                                                        biodiversity, and plastics crises.
Footprint
Focusing on What's Essential
Leadership
Message

                                                        At Kimberly-Clark,       Making Lives Better                                                                      Smallest Environmental Footprint
Our Business

                                                        we’re committed to
                                                        improving the lives of   We create opportunities for social impact with our purpose-driven brands and products.   We help sustain and reinvigorate natural systems by
in 2020

                                                        1 billion people while                                                                                            stepping up to meet the challenges that science and
                                                        striving to operate      Caring for the health and well-being of people at all stages of life                     our stakeholders have identified.
                                                        with the smallest
                                                        environmental                                                                                                     Reducing the use of new fossil
                                                        footprint, helping to    Challenging stigmas and championing the progress of women everywhere                     fuel-based plastic
Our Strategy for the
Decisive Decade

                                                        safeguard natural
                         Our Strategy                   systems, and doing
                         Focusing on What’s Essential
                                                        the right thing          Championing a world where all enjoy access to clean water, sanitation, and hygiene       Enabling circular systems
                         Driving Benefit Across Our
                         Value Chain                    for people and
                         Our Goals and Progress         communities.
                                                                                 Promoting inclusion and diversity within our business and society at large               Reducing our forest carbon footprint
Lives Better

                                                                                 Protecting the rights of workers across our supply chain                                 Supporting biodiversity and forest-
Making

                                                                                                                                                                          dependent communities

                                                                                 Protecting the health and safety of our employees, customers, and consumers
                                                                                                                                                                          Reducing GHG emissions across our value
                                                                                                                                                                          chain, in line with science
Smallest Environmental

                                                                                 Furthering ingredient transparency to ingredient transparency

                                                                                                                                                                          Building resilience to water risk
                                                                                 Delivering product safety and quality
Footprint
Driving Benefit Across
Leadership
Message

                                                        Our Value Chain
Our Business
in 2020

                                                        An important lesson we have learned       Forest-dependent                      Sustainable water use​
                                                                                                                                                                                                   Water stewardship​
                                                                                                  communities​                          Water stewardship​
                                                        over the years is that we can only
                                                        succeed at scale when we align our                                              Human rights and
                                                                                                  Forest carbon footprint​                                                                         Zero waste to landfill​
Our Strategy for the

                                                        sustainability ambitions with our                                               ethical practices​
Decisive Decade

                                                        commercial plans.
                         Our Strategy                                                             Biodiversity                          Scope 3 carbon emissions                                   Scope 1 & 2 carbon emissions
                         Focusing on What’s Essential
                                                        We are building purpose-led
                         Driving Benefit Across Our
                         Value Chain                    brands that create shared
                         Our Goals and Progress         value for our business and               Raw Materials                           Supplier Mfg.​                                     Kimberly-Clar
                                                                                                                                                                                                              kM
                                                        stakeholders by innovating                                                                                                                                 fg
                                                                                                                                                                                                                        .
                                                        solutions to global challenges.
                                                                                                                                                          Recovery
Lives Better

                                                                                                                             Residual

                                                                                                                                                                                                                             D is
                                                        Recognizing that the United Nations’                                 waste
Making

                                                                                                                                                                                                                                           Scope 3 carbon emissions

                                                                                                                                                                                                                                 tribu
                                                        Sustainable Development Goals

                                                                                                                                                      E n d - o f - L i fe
                                                                                                                             Post-consumer

                                                                                                                                                         P ro d u c t
                                                        (SDGs) provide the best shared                                       waste

                                                                                                                                                                                                                                  ti o n
                                                        definition of our global challenges,
                                                        we have considered these goals
                                                                                                                             Health and
                                                        against our value chain. The result is
Smallest Environmental

                                                                                                                             well-being of people​
                                                        a strategy focused on addressing key
                                                        impacts and opportunities across the                                 Empowerment of

                                                                                                                                                                                                                            s
                                                                                                                                                                                                                            er
                                                                                                                                                                             Co                                                            Improving access
                                                                                                                             women and girls

                                                                                                                                                                                                                    m
                                                        lifecycle of our products, and we have                                                                                                                         o
                                                                                                                                                                                  ns                                st
                                                        challenged our brand, innovation,
                                                                                                                                                                                       um
                                                                                                                                                                                            e rs               Cu
Footprint

                                                                                                                             Access to clean                                                                                               Scope 3 carbon emissions
                                                        and supply chain teams to develop                                    water and sanitation
                                                        new solutions that move the needle.
Our Goals and Progress
Leadership
Message

                                                        Strategic                                       Our 2030                                        Our                                                                Target Year               Progress1                 SDG
                                                        Focus                                           Aspiration                                      Goals                                                                                                                  Focus
Our Business

                                                        BETTER LIVES
in 2020

                                                                                                                                                        Advance the well-being of 1 billion people
                                                                                                        Make lives better through
                                                                        Social Impact                                                                   through innovation and programs that deliver                       2030                      25.7M
                                                                                                        purpose-driven brands.
                                                                                                                                                        essentials to underserved2 communities.
Our Strategy for the
Decisive Decade

                                                        SMALLEST ENVIRONMENTAL FOOTPRINT
                         Our Strategy
                         Focusing on What’s Essential
                         Driving Benefit Across Our                                                                                                     50% reduction in the use of new, fossil fuel-
                         Value Chain
                                                                                                        Reduce our plastics3 footprint                                                                                     2030                      2.8%
                         Our Goals and Progress                                                         by 50% through reductions,                      based plastics from a 2019 base year.
                                                                        Plastics Footprint
                                                                                                        renewables, and recycled
                                                                                                        substitutes, or by introducing                  75% of the material in our products either                         2030                      70.9%
                                                                                                        reusable products or circular                   biodegradable or recovered and recycled.
Lives Better

                                                                                                        systems.
Making

                                                                                                                                                        100% of our packaging reusable, recyclable,                        2025                      82%
                                                                                                                                                        or compostable.

                                                                                                                                                        20% average recycled content across plastic                        2025                      2.5%
                                                                                                                                                        packaging.
Smallest Environmental

                                                                                                                                                        100% of our manufacturing waste diverted                           2022                      96%
                                                                                                                                                        from landfill to beneficial uses.
Footprint

                                                        1. Progress reflects impact of COVID-19.
                                                        2. We identify "underserved" populations based on (1) inability to pay for existing products, (2) inadequate distribution, (3) underdeveloped waste-management infrastructure, or (4) other disparities such as lack of education, social stigmas, etc.
                                                        3. Plastics reductions are by weight.
Strategic                                     Our 2030                                       Our                                                          Target Year              Progress                SDG
                                                        Focus                                         Aspiration                                     Goals                                                                                                         Focus
Leadership

                                                                                                      Reduce our natural forest                      Reduce our Natural (Northern) Forest Fiber2                  2025                     19%
Message

                                                                                                      footprint by 50% while unlocking               footprint by 50% from a 2011 base year.
                                                                       Forest Footprint
                                                                                                      the power of the world’s forests
                                                                                                      to help solve the climate and
                                                                                                      biodiversity crises.
                                                                                                                                                     Source 90% of our tissue fiber from                          2025                     84%
                                                                                                                                                     Environmentally Preferred Fiber (EPF) sources.
Our Business

                                                                                                                                                     Set a science-based goal to reduce Scope 3                   2030                     In progress
in 2020

                                                                                                                                                     land-use emissions by 2030.

                                                                                                      Do our part in the fight against               Reduce absolute Scope 1 and 2 GHG                            2030                     32.1%
                                                                                                      climate change by minimizing the               emissions by 50% over a 2015 base year.
                                                                       Carbon Footprint
Our Strategy for the

                                                                                                      carbon footprint of our products
Decisive Decade

                                                                                                      and brands and reducing our
                                                                                                      direct emissions by 50% and
                                                                                                                                                     Reduce absolute Scope 33 GHG emissions by                    2030                     3%
                         Our Strategy                                                                                                                20% from a 2015 base year.
                         Focusing on What’s Essential                                                 value chain emissions by 20%.
                         Driving Benefit Across Our
                         Value Chain
                         Our Goals and Progress                                                       Reduce our water footprint                     Reduce our water footprint by 50% in water-                  2030                     32.5%
                                                                                                      by 50% in water-stressed                       stressed regions.
                                                                       Water Footprint
                                                                                                      regions by creating significant
                                                                                                      improvements in our supply
Lives Better

                                                                                                      chain and the surrounding
                                                                                                                                                     Conduct 30 stakeholder engagements in                        2030                     In progress
                                                                                                                                                     water-stressed regions that result in improved
Making

                                                                                                      communities, ensuring ongoing
                                                                                                                                                     access to fresh water.
                                                                                                      access to fresh water for all.
Smallest Environmental
Footprint

                                                        2. Natural forests are composed of native species that self-regenerate and contain key elements of native ecosystems   3. Reduction target is focused on emissions from the Greenhouse Gas Protocol's Scope 3 Category 1 (Purchased Goods
                                                        such as wildlife and biological diversity. To us, this primarily includes boreal fibers known as Northern Bleached     and Services) and Category 12 (End of Life Treatment of Sold Products).
                                                        Softwood Kraft (NBSK).
Leadership
Message
Our Business
in 2020

                                                            Making Lives
                                                            Better
Our Strategy for the
Decisive Decade

                                                            With the UN SDGs as our roadmap, we're putting our brands
                         Social Impact
                         Caring for Our Community           and supply chain to work to solve some of today’s most
                         Inclusion & Diversity              pressing challenges while working to lift up vulnerable and
                         Talent Development
                                                            underserved people around the world.
Lives Better

                         Human Rights & Ethical Practices
Making

                         Ingredients & Transparency
                         Product Quality & Safety           We live our purpose by elevating care and improving
                         Environmental, Health & Safety
                                                            the quality of people's lives with our essential health
                                                            and wellbeing solutions.
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Footprint

                                                                                                                          We partner with WaterAid to provide communities in Bangladesh and around the world with access to sanitation and hygiene.
                                                                                                                          Photo Credit: Jannatul Mawa, WaterAid
Social
Leadership
Message

                                                                                  Impact
Our Business
in 2020

                                                            We deliver essentials for a         But millions worldwide remain in need,   Through our social impact ambition,
                                                            better life to one quarter of the   lacking access to basic products         we aim to advance the wellbeing
                                                            world's population every day.       and services that could dramatically     of 1 billion people in underserved
Our Strategy for the

                                                                                                improve their quality of life.           communities.
Decisive Decade

                         Social Impact
                         Caring for Our Community
                         Inclusion & Diversity
                         Talent Development
Lives Better

                         Human Rights & Ethical Practices
Making

                         Ingredients & Transparency
                         Product Quality & Safety
                         Environmental, Health & Safety
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                                                                                                                                                                               The Huggies Brazil team
                                                                                                                                                                               partnered with 12 NGOs
                                                                                                                                                                                  across the country to
                                                                                                                                                                                 donate and distribute
                                                                                                                                                                                  over 1 million Huggies
Footprint

                                                                                                                                                                                  diapers to more than
                                                                                                                                                                                 3,000 families in need.
Program Ambition
Leadership
Message

                                                            Around the world, 500 million women and girls still lack access to
                                                            menstrual health solutions and 2 billion people lack access to basic
                                                            sanitation (World Bank). Countless babies are born with limited access
                                                            to maternal and neonatal healthcare that could dramatically improve
Our Business

                                                            their quality of life.
in 2020

                                                            We believe we are uniquely positioned to help tackle these challenges.
Our Strategy for the

                                                                                                                                     Who Wants to Be a (Humanitarian) Billionaire?
Decisive Decade

                                                                                                                                     Kimberly-Clark's chief scienctist, Pete Dulcamara, believes we have an opportunity to become billionaires if we
                                                                                                                                     stop defining billionaire as someone who accumulates a billion dollars and instead define it as someone who
                                                                                                                                     helps a billion people.
                         Social Impact
                         Caring for Our Community
                         Inclusion & Diversity                                                                                       At Kimberly-Clark, we see the connection between menstrual hygiene and sanitation, and know we have a
                         Talent Development
                                                                                                                                     huge opportunity to make an impact.
Lives Better

                         Human Rights & Ethical Practices
Making

                         Ingredients & Transparency
                         Product Quality & Safety
                         Environmental, Health & Safety
                                                                                                                                     We don't shy away from a challenge that has the potential to positively impact
                                                                                                                                     people's lives. When we address access to essentials like water, sanitation, and
                                                                                                                                     hygiene while at the same time breaking down barriers for women, it's not that
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                                                                                                                                     difficult to see that we can all become billionaires.
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Strategic Focus
Leadership
Message

                                                            As we launched these global ambitions amidst a global pandemic, our brands have been guided by purpose to ensure embedding
                                                            social good sits at the core of their business. Here are some of our key programs and impacts since our program started in 2015.
Our Business

                                                                                                   We care for the health and                                We challenge stigmas and                            We champion a world where
                                                                                                   well-being of people at all                               champion the progress of                            all enjoy access to clean water
in 2020

                                                            SDG                                    stages of life.                                           women everywhere in pursuit                         and sanitation.
                                                                                                                                                             of gender equality.

                                                            Leading Brands​
Our Strategy for the
Decisive Decade

                                                                                    Our programs have impacted more than 16M                  Our programs have impacted more than 3M since        Our programs have impacted nearly 4M since 2015
                                                            Key programs
                                                                                    since 2015 including:                                     2015 including:                                      including:
                                                            and impacts​

                         Social Impact
                                                                                    1.6M                                                      1.3M                                                 1.7M
                                                                                    Babies and young children benefited from                  Students benefited from our U by Kotex program in    People benefited from Andrex partnering with WaterAid
                         Caring for Our Community
                         Inclusion & Diversity
                                                                                    No Baby Unhugged partnership                              Australia and the Pacific Islands​                   to build and renovate public toilets in Bangladesh​
                         Talent Development
Lives Better

                         Human Rights & Ethical Practices
                                                                                    1.5M                                                      $15,000                                              233
Making

                         Ingredients & Transparency
                                                                                    Lives impacted by National Diaper Bank Network            Grants awarded to 30 female entrepreneurs to         Communities given access to sanitation services and
                         Product Quality & Safety
                         Environmental, Health & Safety                             (USA) since 2015                                          help them bounce back from hardships related to      clean water through Scott’s partnership with Water
                                                                                                                                              COVID-19 ​                                           for People​
                                                                                    $500,000
                                                                                    Donations given to support education programs             >36M                                                 1.25M
                                                                                                                                              Period products donated to the Alliance for Period
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                                                                                    for safer, healthier workplaces                                                                                People benefited from Neve’s partnership with UNICEF
                                                                                                                                              Supplies since 2018                                  to support WASH programs​
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Goals and Performance

                                                                                                                                                                                         Goal
Leadership
Message

                                                            Throughout 2020, Kimberly-Clark              These efforts are supported by the      While we recognize we have a long                  Advance the
                                                            and our brands reached 8.5 million           Kimberly-Clark Foundation, whose        way to go to achieve our 2030 goal                 well-being of

                                                                                                                                                                                                             1
                                                            people in vulnerable/underserved             social and community investments        of reaching 1 billion people, we are
                                                            communities with our programs and            aid in our work to increase access to   laying the groundwork for accelerated
Our Business

                                                            initiatives, pushing us beyond our initial   sanitation, help children thrive, and   impact in the years to come.
                                                            2022 goal to impact 25 million lives.        empower women and girls.                                                             billion people
in 2020

                                                                                                                                                                                            through innovation and
                                                                                                                                                                                             programs that deliver
                                                                                                                                                                                            essentials to vulnerable

                                                                                                                                                            2.3M                               and underserved*
                                                                                                                                                                                                 communities
Our Strategy for the
Decisive Decade

                                                                                                                                                            COVID-19/other

                                                            25.7M
                                                            lives impacted
                                                                                                                                                            3.2M
                                                                                                                                                            empowering
                                                                                                                                                                                           *We identify "underserved" populations
                                                                                                                                                                                           based on (1) inability to pay for existing
                                                                                                                                                                                              product, (2) inadequate access to
                                                                                                                                                                                          distribution, (3) under-developed waste-
                         Social Impact                                                                                                                                                    management infrastructure, or (4) other
                         Caring for Our Community           since 2015                                                                                      women & girls                   disparities such as lack of education,
                         Inclusion & Diversity                                                                                                                                                        social stigmas, etc.

                                                                                                                                                            3.9M
                         Talent Development
Lives Better

                         Human Rights & Ethical Practices
Making

                         Ingredients & Transparency
                         Product Quality & Safety                                                                                                           access to
                         Environmental, Health & Safety
                                                                                                                                                            sanitation

                                                                                                                                                            16.2M
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                                                                                                                                                            helping children
                                                                                                                                                            thrive
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                                                                                                                                                                                                                             Photo Credit:
                                                                                                                                                                                                                           Jannatul Mawa,
                                                                                                                                                                                                                                WaterAid
Case Study: 100 Years of Leading with Purpose
Leadership
Message

                                                            More than a 100 years ago, World
                                                            War I nurses began using Kimberly-
                                                            Clark’s bandages as makeshift sanitary
                                                            napkins, so they could continue their
Our Business

                                                            lifesaving work without worrying about
                                                            their periods.                                                                                      Purpose
in 2020

                                                                                                                                                  We exist to ensure a period never gets in
                                                            After the war, the resilience and                                                        the way of any woman’s progress
                                                            resourcefulness of those nurses inspired the
                                                            introduction of a whole new category of
Our Strategy for the

                                                            personal care products. They also inspired
Decisive Decade

                                                            the launch of our Kotex brand.

                                                            Throughout the century that followed, those                                                To champion her progress, our
                                                            products have advanced, but the brand’s                                                 social impact programs drive lasting
                                                            purpose has remained essentially the same:                                                  change for women and girls
                         Social Impact
                         Caring for Our Community           to ensure that a period never gets in the
                         Inclusion & Diversity              way of any woman’s progress. To make that
                         Talent Development
                                                            promise a reality for women and girls around
Lives Better

                         Human Rights & Ethical Practices
                                                            the world, Kotex takes a holistic approach to
Making

                         Ingredients & Transparency
                         Product Quality & Safety           social impact.
                         Environmental, Health & Safety
                                                                                                            Fight the ​Stigma                              Open Doors ​for Her                Build Futures with Education
                                                                                                            Working with our partners, we’re               Through local, brand-led efforts   Particularly in the developing
                                                                                                            focusing on efforts to increase                around the globe, we’re opening    world, lack of menstrual hygiene
                                                                                                            knowledge and make societal                    doors for women to pursue          management contributes to
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                                                                                                            changes to eliminate period stigma.            independent futures.               school dropout, stunting her future
                                                                                                                                                                                              opportunities.
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Fight the Stigma                                                                            Open Doors for Her
Leadership
Message

                                                            Every day, somewhere around the world, more than 800 million women                          Promoting Women’s Innovation in the Sanitation Economy
                                                            and girls are experiencing their period, yet 500 million of them lack access
                                                            to hygienic period products. In both developing and developed nations,                      In October, Kotex partnered with the Toilet Board to launch Women in the Sanitation Economy
                                                            cultural taboos, discrimination, and lack of menstrual education create                     Innovation Lab, a six-month program that cultivates women-led and/or women’s-health-focused
Our Business

                                                            stigmas and barriers that impact women’s and girls’ rights, stifling their                  startups. The program features five women-led businesses hailing from the United States, United
                                                            opportunities.                                                                              Kingdom, and Kenya.
in 2020

                                                                                                                                                        The participating businesses receive mentorship and training from 12 Kimberly-Clark global employees
                                                            She Can Initiative                                                                          who help them roll out their services and products, including recycling solutions for menstrual products,
                                                                                                                                                        waterless toilets, toilets for people with special needs, cloth diapers and laundering services, and
Our Strategy for the

                                                            Kotex’s She Can initiative aims to fight stigmas and barriers by delivering menstrual       sustainable menstrual products. We support these women entrepreneurs in their journey to achieve
Decisive Decade

                                                            health education and skills to more than 1.6 million women and girls in Nigeria, Vietnam,   their goals and positively contribute to some of the world’s most pressing sanitation issues.
                                                            China, India, Brazil, and Colombia. Over three years, Kotex is devoting $2.5 million
                                                            to a combination of educational efforts, mass media campaigns, and skills-building
                                                            trainings that help girls and young women take control of their menstrual health and
                                                            their futures.
                         Social Impact
                         Caring for Our Community
                         Inclusion & Diversity
                         Talent Development
Lives Better

                         Human Rights & Ethical Practices
Making

                         Ingredients & Transparency
                         Product Quality & Safety
                         Environmental, Health & Safety
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Footprint
Build Futures with Education
Leadership
Message

                                                            U by Kotex Schools Program

                                                            Our U by Kotex Schools Program aims to prepare young girls
                                                            for their first period by providing fully syllabus-compliant
Our Business

                                                            lesson plans, interactive digital teaching materials, and
                                                            product samples to be delivered by someone they trust: their
in 2020

                                                            teacher. The program has been active in Australia and New
                                                            Zealand since 2014, and in 2020, it expanded to reach over
                                                            30,000 students in Papua New Guinea, Fiji, and other Pacific
                                                            Islands nations. Since 2016, the program has reached nearly
Our Strategy for the

                                                            1.3 million students.
Decisive Decade

                         Social Impact
                         Caring for Our Community                    We have the opportunity to positively
                         Inclusion & Diversity                       impact people's lives in these countries
                         Talent Development
                                                                     by visiting high schools in local
Lives Better

                         Human Rights & Ethical Practices
                                                                     communities and providing education
Making

                         Ingredients & Transparency
                         Product Quality & Safety                    and products. We are creating
                         Environmental, Health & Safety
                                                                     normality around menstruating by
                                                                     starting conversations and challenging
                                                                     taboos.
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                                                                     Elizabeth Harrington
                                                                     U by Kotex Pacific Islands Manager
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Caring for Our
Leadership
Message

                                                            Community
Our Business
in 2020

                                                            Our caring value drives our culture, and we are committed to supporting
                                                            communities through company giving and employee volunteerism.
Our Strategy for the

                                                            The Kimberly-Clark Foundation                                                                                                              United Way Annual Campaign
Decisive Decade

                                                            In 1952, we established the Kimberly-Clark Foundation to        The Kimberly-Clark Foundation’s Community Partners program recognizes      For nearly 70 years, we have been a strong
                                                            support our commitment to charitable giving. The Foundation     the volunteer efforts of U.S. employees and their spouses, making $500     supporter of United Way. In Kimberly-
                         Social Impact
                         Caring for Our Community           was built around our promise to be a good employer and          grants to charitable organizations where those employees volunteer for     Clark communities throughout the United
                         Inclusion & Diversity              a good neighbor, and to help those in need gain essentials      a minimum of 30 hours per year. U.S. employees are able to double their    States, we raise money through enthusiastic
                         Talent Development
                                                            through a portfolio of health, humanitarian, economic, and      donations to qualified charitable organizations through the Foundation’s   campaigns and participate in United Way
Lives Better

                         Human Rights & Ethical Practices
                                                            environmental initiatives.                                      Matching Gifts program.                                                    volunteer events.
Making

                         Ingredients & Transparency
                         Product Quality & Safety
                         Environmental, Health & Safety
                                                            Extending our impact beyond direct corporate funding and
                                                            employee-led giving, the Foundation supports targeted
                                                            causes through financial contributions, Kimberly-Clark
                                                            product donations, and volunteer hours.
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                                                            Each year, employees from Kimberly-Clark facilities around
                                                            the world participate in a variety of volunteer activities to
                                                            support local nonprofit organizations.                          $42.2M                            $1.4M                                    $1.9M
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                                                                                                                            total giving in 2020              employee gifts matched in 2020           annual campaign contributions to
                                                                                                                                                                                                       United Way in 2020
Brands Giving Back
Leadership
Message

                                                            In 2020, Kimberly-Clark’s trusted brands led initiatives to
                                                            provide better care for communities around the world.

                                                            Kimberly-Clark                                   Kleenex                                          Huggies
Our Business
in 2020

                                                            In the UK, Kimberly-Clark donated 1 million      In Australia and New Zealand, Kleenex teams      Huggies North America launched a
                                                            Andrex toilet rolls, 248,000 Kleenex Brand®      partnered with Lifeline to raise awareness       partnership with Hand to Hold, facilitating
                                                            tissue boxes, and over 100,000 Huggies           and funding for crisis support and suicide       support groups and podcasts for parents with
                                                            products, reaching 2,284 charities across the    prevention services. The brand committed         infants in neonatal intensive care.
Our Strategy for the

                                                            country to help families in need.                to donating up to AU$200,000 in matched
Decisive Decade

                                                                                                             donations so that Lifeline can continue          Our Huggies team in Brazil announced a
                                                                                                             to provide around-the-clock services to          partnership with BC2Mammy to launch “Mais
                                                            Poise                                            Australians and New Zealanders in need.          Abraços Academy” through our Huggies
                                                                                                                                                              website. The Academy gives our Huggies
                                                            Poise in North America provided 50 grants to                                                      moms and dads the opportunity to receive
                         Social Impact
                         Caring for Our Community           women-led businesses, totaling $500,000.         Kotex                                            free online business training designed to
                         Inclusion & Diversity                                                                                                                strengthen their business skills and fuel their
                         Talent Development
                                                                                                             The Kotex India team partnered with the          entrepreneurial ideas.
Lives Better

                         Human Rights & Ethical Practices
                                                            Scott                                            Municipal Corporation of Greater Mumbai to
Making

                         Ingredients & Transparency
                         Product Quality & Safety                                                            provide 1 million Kotex pads to women in need.
                         Environmental, Health & Safety
                                                            Our Scott brand in the United States committed
                                                            $500,000 to Boys & Girls Clubs of America,       Our Kotex brand in Latin America partnered
                                                            supporting the families of essential workers     with the Red Cross to distribute 1.3 million
                                                            during COVID-19 by keeping nearly 300 clubs      Kotex products to nurses, healthcare workers,
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                                                            open and providing emergency childcare.          and people in need across Argentina, Peru,
                                                                                                             Bolivia, Chile, Uruguay, and Paraguay.
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Employees Strengthen
                                                            Communities Around the Globe
Leadership
Message

                                                            Kimberly-Clark is working to advance the well-being of 1 billion people in
                                                            underserved communities around the world by 2030​. Our employees help
Our Business

                                                            make this ambition a reality. Here are a few of their stories.
in 2020

                                                                    Sonia S., Romagnano, Italy                                             Scott S., Jenks, Oklahoma
Our Strategy for the
Decisive Decade

                                                                    As a child, Kimberly-Clark         When the COVID-19 pandemic          Nine years ago, Jenks manufacturing facility employee
                                                                    employee Sonia wanted              hit Northern Italy, Sonia knew      Scott almost lost his daughter after she swallowed a
                                                                    to help people. Her dream          that she wanted to help             penny. The doctors at The Children's Hospital at Saint
                                                                    was to become a doctor             strengthen and care for her         Francis in Tulsa, Oklahoma, saved her life. He used
                                                                    or a nurse, but she couldn’t       community. Kimberly-Clark           this experience to strengthen his community through
                         Social Impact
                         Caring for Our Community                   afford to attend a university.     ardently supported her              volunteering.
                         Inclusion & Diversity                      Instead she joined the Red         decision to volunteer, and
                         Talent Development
                                                                    Cross as a volunteer. Today,       Sonia dedicated two months
Lives Better

                         Human Rights & Ethical Practices
                                                                    Sonia is proud to work at          to working full-time on the front   Every morning, I get to wake up and spend another
Making

                         Ingredients & Transparency
                         Product Quality & Safety                   our manufacturing facility in      lines of the pandemic response      day with my daughter, and now I have a unique
                         Environmental, Health & Safety
                                                                    Romagnano, Italy.                  with the local Red Cross.           opportunity to help save someone else’s life. Through
                                                                                                                                           Kimberly-Clark’s volunteering and donation matching
                                                                                                                                           programs, we can help care for the communities
                                                                    Being a volunteer in several fields, I have now been able to           where we live and work. I work really closely with the
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                                                                    appreciate what Kimberly-Clark is doing for the environment,           Children’s Hospital, helping raise money so they have
                                                                    health, and people. I’m grateful that I could be there for those       the resources they need and providing entertainment
                                                                    who needed support. I’ll never forget the elderly people who           for the patients.
                                                                    just wanted a hand to hold so they wouldn’t be alone.
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Inclusion &
Leadership
Message

                                                            Diversity
Our Business
in 2020

                                                                          Kimberly-Clark’s path to growth and                 foundation for everything we do. We
                                                                          prosperity rests on building a more inclusive       believe that diverse teams achieve
                                                                          and diverse, global organization. Employing         better business outcomes and that
Our Strategy for the

                                                                          people from disparate backgrounds, cultures,        teams generate these results when
Decisive Decade

                                                                          and experiences amplifies our ability to            they are activated by a culture of
                                                                          gather insights, foster innovation, and             inclusion that recognizes, values, and
                                                                          understand the culture, context, and mindset        utilizes the diverse perspectives on
                                                                          of consumers around the world.                      the team.

                         Social Impact
                         Caring for Our Community                         Our journey to build a more inclusive               We started by changing the program
                         Inclusion & Diversity                            and diverse Kimberly-Clark began                    name to Inclusion & Diversity (I&D)
                         Talent Development
                                                                          a decade ago, and in late 2019 we                   and reflecting this change in I&D
Lives Better

                         Human Rights & Ethical Practices
                                                                          embarked on the next phase of our                   team titles. By emphasizing building
Making

                         Ingredients & Transparency
                         Product Quality & Safety                         strategy by exploring the barriers                  an inclusive environment first, we will
                         Environmental, Health & Safety
                                                                          that can prevent true equity in the                 be able to focus our culture on truly
                                                                          workplace.                                          unleashing the unique greatness
                                                                                                                              inside of each individual—greatness
                                                                          We determined that diversity actions alone          that is based on embracing different
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                                                                          would not be enough. We used to call our            backgrounds, experiences, and
                                                                          initiatives in this area “Diversity & Inclusion,”   perspectives, to create the ideas that
                                                                          but we realized that sustainable impact could       carry us forward.
                                                                          only be achieved by first making inclusion the
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An Inclusive Culture Is Our Foundation
Leadership
Message

                                                            While that strategy rework was underway,
                                                            the worst realities of systemic racism were
                                                            brought into focus with the killings of Breonna
                                                            Taylor, Ahmaud Arbery, George Floyd, and
Our Business

                                                            other Black Americans.
in 2020

                                                            The protests, marches, and unrest that
                                                            unfolded across the globe in late May
                                                            2020 brought this work into greater focus.
                                                            We kicked off a series of conversations
Our Strategy for the

                                                            inside Kimberly-Clark, examining the topics
Decisive Decade

                                                            of racism, discrimination, bias, and our
                                                            commitment to a truly inclusive culture. These
                                                            conversations were candid, sometimes raw
                                                            and personal, and they tested our values and
                                                            beliefs.
                         Social Impact
                         Caring for Our Community
                         Inclusion & Diversity              See pg. 8, "Leading Through Social                But the work here is just beginning. It’s only by         Ultimately, by building a more inclusive global
                         Talent Development
                                                            Unrest"                                           building a workplace environment where people feel        organization that applies its diverse experiences and
Lives Better

                         Human Rights & Ethical Practices
                                                                                                              welcomed, valued, and respected that we become a          passions to our trusted brands, we will make life better
Making

                         Ingredients & Transparency
                         Product Quality & Safety                                                             company where diverse individuals feel empowered to       for people all around the world.
                         Environmental, Health & Safety
                                                                                                              work, contribute, and innovate. And it’s only by living
                                                                                                              that inclusion, day in and day out, that our culture
                                                                                                              truly reflects our corporate values and aspirations.
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Footprint
Kimberly-Clark Global Inclusion & Diversity Strategy
Leadership
Message

                                                            1   Create Community                                  How: Show you care. Be real,
                                                                Develop a Kimberly-Clark community whose          accepting, open, and curious.
                                                                deepened understanding and daily actions          Find common ground and respect
                                                                drive inclusion, embrace diversity, and empower   different perspectives.
Our Business

                                                                authenticity.
in 2020

                                                            2   Leverage Leadership                               How: Self-reflect and actively
                                                                Raise the standard, expecting our leaders         recalibrate the approach.
Our Strategy for the

                                                                to act as cultural enablers who build diverse,    Lead with courage, intention, and
Decisive Decade

                                                                high-performing teams and infuse inclusion into   accountability.
                                                                decision-making and the workplace experience.

                         Social Impact
                         Caring for Our Community           3   Empower Employees                                 How: Unlock different identities,
                         Inclusion & Diversity                  Empower talent to thrive, and embrace hiring,     individuals, and ideas.
                         Talent Development
                                                                promotion, and development practices that         Seek, demand, and leverage
Lives Better

                         Human Rights & Ethical Practices
                                                                reflect our diverse consumer base.                different points of view.
Making

                         Ingredients & Transparency
                         Product Quality & Safety
                         Environmental, Health & Safety

                                                            4   Accelerate Action                                 How: Disrupt, speak up, and stand
                                                                Integrate I&D into everything we do, using our    up. Own the change.
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                                                                strength to combat inequities for our people,
                                                                our consumers, and our communities around the
                                                                world to make lives better today and tomorrow.
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CEO Action                            Global Inclusion Week                     She Can Connect

                                                            Our CEO Mike Hsu pledged on           In September, Kimberly-Clark              In 2020, we launched the “She Can
Leadership
Message

                                                            behalf of Kimberly-Clark to support   conducted its first Global Inclusion      Connect” initiative across our Asia-
                                                            a more inclusive workplace for        Week, during which we held over 75        Pacific, Latin America, Europe, Middle                          Connect
                                                            employees, community, and society     workshops, small-group discussions,       East, and Africa operations, providing                        Virtual network
                                                            through CEO Action. Signatories       leadership panel discussions,             a platform where the next generation                               forums
                                                            pledge to:                            keynote addresses, and collaborative      of Kimberly-Clark’s female leaders
Our Business

                                                                                                  brainstorming sessions, all centered      can connect, inspire, express, and
                                                                                                                                                                                            Grow                               Express
                                                            Cultivate environments that           on inspiring our people to better         grow. Aimed at supporting and
in 2020

                                                            support open dialogue on              understand and activate a culture         accelerating women’s professional
                                                                                                                                                                                             Self-
                                                                                                                                                                                          awareness
                                                                                                                                                                                                             She              Lean circles
                                                                                                                                                                                                                                & panel
                                                            complex, and sometimes                of inclusion. These events reached        development opportunities and                 & personal         Can              discussions
                                                            difficult, conversations about        more than 3,000 employees in more         boosting their visibility, the program          brand
                                                            inclusion and diversity               than 50 countries and covered topics      includes mentorship and sponsorship
Our Strategy for the

                                                                                                  such as the value of cross-cultural       opportunities where participants can
                                                                                                                                                                                                             Inspire
Decisive Decade

                                                                                                  teams, viewing inclusion as a growth      learn from other women’s experiences                        Women Mentoring
                                                                                                  strategy, the power of diverse thought,   in the company, expand their personal                      Women program and
                                                            Implement and expand                  finding your individual I&D voice, and    networks, and build self-awareness and                      network-building
                                                            unconscious bias education            balancing inclusion and beliefs.          their personal brand.

                                                                                                                                                           124
                         Social Impact
                         Caring for Our Community                                                 Kimberly-Clark CEO Mike Hsu hosted
                         Inclusion & Diversity                                                    a Global Town Hall as part of the                                                     This initiative contributes both to our
                         Talent Development
                                                            Share best-known inclusion            week’s events, where he shared                           women participated           employees’ own development and to our
Lives Better

                         Human Rights & Ethical Practices
                                                            and diversity programs and            reflections on Kimberly-Clark’s 10-year                  in the program               pipeline of strong women talent.
Making

                         Ingredients & Transparency
                         Product Quality & Safety           initiatives among signatories,        diversity journey and introduced our
                         Environmental, Health & Safety
                                                            as well as those that have            new global I&D strategy and goals.
                                                            been unsuccessful
                                                                                                                                                 We are proud to have won               In 2020, Kimberly-Clark earned a place in:
                                                                                                                                                 recognition from leading
Smallest Environmental

                                                                                                                                                 organizations for our approach to      2020+ Top Companies            2020 Diversity
                                                            Engage boards when                                                                   promoting and nurturing an inclusive   for Executive Women by         Best Practices
                                                            developing and evaluating                                                            and diverse workplace environment      Working Mother Media           Inclusion Index
                                                            inclusion and diversity                                                              and advancing leadership
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                                                            strategies                                                                           opportunities for women.               See full list of awards
Talent Development
Leadership
Message

                                                            Developing talent and                                                Strong leadership          Employee Resource Groups
Our Business

                                                            leaders at all levels in the                                         requires ongoing
                                                            organization is critical to our   Core Values                        coaching and               Kimberly-Clark is proud to offer employees the opportunity to
in 2020

                                                            long-term success. To attract,                                       feedback, so we            join Employee Resource Groups (ERGs). These groups include
                                                            engage, develop, reward,          Authentic: Our heritage is         encourage our leaders      networks for those of African, Hispanic, Latino, and Asian
                                                            and retain the best and the       one of honesty, integrity, and     to frequently engage       ancestry, women, and LGBTQ+, as well as parents, caregivers,
                                                            brightest, we strive to create    courageously doing the right       in open dialogue with      people with disabilities, military veterans, and new employees.
                                                                                              thing.                             their employees. These
Our Strategy for the

                                                            an inclusive work environment                                                                   Our ERGs promote career development by allowing employees
Decisive Decade

                                                            that fosters personal and                                            conversations were         to connect with and learn from one another and help amplify
                                                            professional growth.                                                 especially important       our inclusion and diversity efforts through our Global Caring
                                                                                              Accountable: We take               during the pandemic,       Conversations.
                                                            Kimberly-Clark’s values play      ownership for our business and     when business priorities
                                                            a critical role in establishing   our future.                        and objectives were
                         Social Impact
                         Caring for Our Community           this work environment. Our                                           changing rapidly.
                         Inclusion & Diversity              employees strive to live by
                         Talent Development
                                                            these principles every day        Innovative: We are committed
Lives Better

                         Human Rights & Ethical Practices
                                                            and use them as a compass         to new ideas that add value
Making

                         Ingredients & Transparency
                         Product Quality & Safety           for engaging with partners,       for our customers, our business,
                         Environmental, Health & Safety
                                                            consumers, customers, and         and our world.
                                                            each other. Our values unify
                                                            our employees, shaping our
                                                            culture and the future we         Caring: We respect each other
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                                                            envision for our company.         and care for the communities
                                                                                              where we live and work.
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Kimberly-Clark’s
                                                            Learning Culture
Leadership
Message

                                                            At Kimberly-Clark, we cultivate a learning culture that not only enables our employees   In 2020, we launched the Activating Inclusive      We also developed five training modules
                                                            to positively impact billions of lives but also provides them with the knowledge to      Leadership Lab, a three-week program               covering topics essential for success in our
Our Business

                                                            know how to make a lasting difference. Our learning culture empowers our employees       exploring unconscious bias mitigation and          new socially distanced work environment,
                                                            to meet the moment by knowing our business, leading with impact, and living our          inclusive leadership strategies. To date, 40% of   enabling our employees to remain engaged.
in 2020

                                                            purpose and culture. The result is a company focused on creating a better world for      team leaders in North America have completed
                                                            the products we make, the workplace we cultivate, and the communities we serve.          the course. We are now rolling out the training
                                                                                                                                                     to all global managers during 2021.                These modules include:

                                                                                                                                                                                                        Personal Well-Being
Our Strategy for the

                                                                                                                                                     Kimberly-Clark emphasizes building employee
Decisive Decade

                                                                                                                                                     knowledge and capabilities on human rights.
                                                                                                                                                     Through training and other tools, we enable
                                                                                                                                                     our operations and supplier-facing teams to        Individual Productivity
                                                                                                                                                     understand, identify, and act on forced labor
                                                                                                                                                     and other potential human rights risks in our
                         Social Impact
                         Caring for Our Community                                                                                                    supply chain.                                      Team Productivity
                         Inclusion & Diversity
                         Talent Development
Lives Better

                         Human Rights & Ethical Practices
                                                                                                                                                                                                        Meeting Productivity
Making

                         Ingredients & Transparency
                         Product Quality & Safety
                         Environmental, Health & Safety

                                                                                                                                                                                                        Technology Tools
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Human Rights &
Leadership
Message

                                                            Ethical Practices
Our Business
in 2020

                                                            Kimberly-Clark’s values of authenticity,   Our Code of Conduct and Human            In recognition of our
                                                            accountability, innovation, and caring     Rights Policy establish Kimberly-        ethics policies and
                                                            enable us to provide better care for a     Clark’s ethical expectations and         practices, Kimberly-Clark
                                                                                                                                                was once again named
Our Strategy for the

                                                            better world.                              create accountability across key issue
Decisive Decade

                                                                                                       areas.                                   one of the "World's Most
                                                            Our Ethics and Compliance Program                                                   Ethical Companies" in
                                                            fosters a culture of integrity that        These commitments extend beyond          2020 by the Ethisphere
                                                            supports our employees in living out       our corporate walls to also encompass    Institute, an independent
                                                            these values and ensures a workplace       our suppliers’ employees and             research center that
                         Social Impact
                         Caring for Our Community           where all are treated with respect.        workplaces.                              promotes best practices
                         Inclusion & Diversity                                                                                                  in corporate ethics and
                         Talent Development
                                                                                                                                                governance.
Lives Better

                         Human Rights & Ethical Practices
Making

                         Ingredients & Transparency
                         Product Quality & Safety
                         Environmental, Health & Safety
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