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Our Purpose

Our world contends with unprecedented global challenges. Urbanization is dramatically reshaping our communities, our natural resources are more constrained than ever before, and climate change is accelerating at an astonishing rate. At Trane Technologies, our purpose is clear: boldly challenge what’s possible for a sustainable world.

Achieving Our 2020 Targets

In 2013, against the backdrop of these environmental and social challenges coming into global focus, we decided to act. We set 2020 Targets that pushed sustainability forward — in our company and our industry.

Our objectives were to:

  • Operate ethically and transparently
  • Cultivate a sustainable and innovative supply chain
  • Optimize natural resources in our operations
  • Innovate to deliver optimal economic and performance value over the product life cycle
  • Build a winning culture that is values-based and inclusive
  • Create shared value by putting more back into society than we take out 

Six years later — and ahead of schedule — we’ve achieved 30 specific and ambitious sustainability targets that we set out to meet by 2020. This isn’t the end of our sustainability journey. We know there’s more work to do.

Progress against each of our 2020 Targets is outlined below.

Goal Target Progress Toward Target
Governance: Enhance efforts to uphold our standards for ethical business conduct, transparency, compliance and oversight
Adhere to a Global Framework for Reporting Our Sustainability Progress Respond to the annual CDP request Achieved
Align with Global Human Rights Initiatives Maintain and update a Global Human Rights Policy Achieved — read about our human rights policy
Ensure Standard Guidelines for Responsible Business Behavior to Enhance the Reputation of Our Company and Brands Achieve annual training and certification on the Code of Conduct by employees and business partners Achieved — all salaried employees required to complete annual code of conduct training program, including an attestation of compliance
Issue robust communications to all employees to sustain ethical business culture Achieved — read about our approach to governance, ethics and risk management
Maintain a Governance Structure that Enables the Delivery of Our Long-Term Sustainability Plan Establish external Sustainability Advisory Council, internal Sustainability Council and CEES team reporting to Enterprise Leadership team and Board of Directors Achieved — read about our governance
Suppliers: Collaborate with suppliers to cultivate a sustainable and innovative supply chain to meet customer needs
Ensure Alignment of Business Partners to a Common Set of Ethical Beliefs and Expectations 100% of new suppliers have agreed to our Business Partner Code of Conduct (BPCoC) Achieved — we require all new suppliers to agree to our BPCoC in our Supplier Onboarding Standard Work. We also include our BPCoC as part of our Terms & Conditions for PO
60% of our direct spend will be with suppliers in our Preferred Supplier Program At the end of 2019, 42% of direct spend was with preferred suppliers, due in part to our increasingly stringent preferred supplier requirements as we continue to push for leadership. We are looking at category coverage to assess whether we have a preferred supplier available for all of our spend
Leverage Ingersoll Rand Product Development Process (IRPDP) to Use Preferred Suppliers 80% of Early Sourcing Work Plan (ESWP) completed in Phase 1 of IRPDP ESWP is used to grow our spend with current preferred suppliers. In 2019, 76% of ESWP was completed in Phase 1 of the IRPDP
Maximize Marketplace Connectivity by Fostering Supplier Diversity Extend supplier diversity program to spend with diverse companies globally Achieved — $532 million global spend with diverse-owned businesses and $311 million global spend with women-owned businesses in 2019
Partner with Suppliers to Minimize the Environmental Impact of Our Supply Chain All businesses will have a packaging improvement plan Achieved — every strategic business unit has been involved in packing improvement projects
Establish baseline of suppliers who have participated in waste, energy and water reduction programs by 2016 and track improvement through 2020 Achieved — Gensuite supplier platform launched and 90% of preferred suppliers enrolled
Establish baseline of suppliers in water-stressed areas who have a water conservation plan by 2016 and track improvement through 2020 Achieved — tracking through Gensuite supplier platform
Reduce emissions due to freight: goal is 5% reduction In 2019, we increased our average truckload weight by 4%, which led to a reduction of more than 3,200 truckloads. We shipped more than 1,700 truckloads via intermodal, which emits 63% less CO2 emissions than a truck
Minimize Impacts of Our Customers by Ensuring a Viable Supply Chain Designate 90% of direct material spend assessed on a quarterly basis for risk Achieved — 100% of direct material spend was assessed quarterly for risk in 2019
Operational Footprint: Optimize the use of natural resources in our operations to reduce environmental impact
Optimize Energy Use Increase energy efficiency in owned facilities by 10% Achieved — improved by 27%
Increase fuel efficiency in owned fleet Achieved — 5% increase in efficiency and approximately 3,300 metric tons of CO2e saved in 2019
Evaluate all long-term leases >100K sq. ft. against environmental and energy criteria Achieved — developed guidebook with environmental criteria and certifications
Reduce Our Scope 1 and 2 Greenhouse Gas (GHG) Emissions Reduce Scope 1 and 2 emissions by 35% Achieved — 36% reduction in absolute emissions 50% decrease in emissions intensity
Improve Waste Management in Our Operations Reduce non-hazardous waste to landfill by 30% Achieved — 31% reduction in intensity
Reduce hazardous waste by 20% 3% reduction in intensity
Improve Water Management in Our Operations Reduce water used at sites located in water-stressed areas by 25% Achieved — 39% reduction
Customer Outcomes: Innovate to deliver optimal economic and performance value over product life cycle
Design Products for World-Class Resource Efficiency during Use of Product Establish portfolios that meet world-class environmental criteria (energy consumption, emissions from the use of the product) Achieved — EcoWise™ portfolio
Reduce Direct GHG Emissions Reduce the GHG refrigerant footprint of our products by 50% Achieved — More than 80% reduction in the GHG refrigerant footprint of our products or approximately 175% of our target
Increase Reliability and Durability Improve quality and time to solution Measured by our Quality-Delivery-Cost metric
Reduce Environmental Impact at End of Products’ Useful Life Perform a life cycle assessment (LCA) on 100% of new products Read about our progress and approach to product life cycle and materials  
100% of New Product Development (NPD) projects in IRPDP have end-of-use manual created  6 end-of-use manuals created
Improve Health and Safety Improve service ability through IRPDP Achieved — Standard Work developed
Our People: Build a winning culture that is values-based, inclusive and engages and develops people for premier performance
Attract and Retain Top-Quality, Diverse Talent and Leadership Create slates with diverse candidates Achieved — targets integrated into Standard Work. Read about our progress and approach to diversity and inclusion
Retain 95% of key talent Achieved — 96.1% retention
Develop People and Processes to Build Strategic Capabilities 95% of employees have development plans in place Achieved — 97% of employees
Improve Leadership Effectiveness Index by 80% 74% favorable
Achieve a Growth and Development Index score of 75% for strategic capability development Achieved — 75% as of 2019
Foster an Inclusive, Engaging Workplace that Connects Employees to Company Purpose Achieve employee engagement rate of 80% Maintained a world-class employee engagement score; read more in company culture
75% of employees participate in community or sustainability initiatives 36% of employees participated in 2019
Provide a Safe and Secure Workplace that Supports Employee Well-Being and Productivity Provide accessibility to wellness programs to 75% of employee base Achieved — 96% of employee base has access to wellness programs
Achieve world-class performance in lost time incident rate, 60% reduction from a 2013 baseline 46% reduction; read about our approach and recommitment in occupational health and safety
Corporate Citizenship: Address social and environmental imperatives that create shared value, result in sustained customer and employee loyalty, and improve the communities where we have business operations
Expand Competency in Energy and Other Resource Efficiency Share energy conservation knowledge with 200 officials in developing regions Achieved — shared knowledge with 202 officials
Expand Competency in Science, Technology, Engineering and Math (STEM) Launch signature program to increase female representation in manufacturing positions and advance technical workforce development programs at 100 community colleges and technology institutes worldwide Achieved — met through participation in vocational technical programs and Tools for Schools program
Sponsor 20,000 females in STEM-related activities to increase career interest Achieved — met through support of mobile science labs in India
Address Nutrition and Food Waste Reduction Provide food and nutrition education to 200,000 children Achieved — met through support of Feeding Children Everywhere, American Heart Association and Second Harvest
Support Housing and Shelter Needs Volunteer 40,000 hours related to housing and shelter Achieved — 51,453 hours volunteered

2030 Sustainability Commitments

Pushing what’s possible means hitting our targets then immediately setting new ones.  If we are going to change our industry and help people access sustainable cooling comfort and healthy food, we need to keep making progress.

As Trane Technologies, we are taking on bigger, bolder 2030 Sustainability Commitments. They challenge us to lead by example, collaborate with our customers to drive sustainable innovation and create opportunity for all in our workplace and our communities. Our commitments are synched with the time horizon of the United Nations Sustainable Development Goals (U.N. SDGs) to ensure we’re contributing to the collective actions needed to drive global, sustainable progress. We also have more work to do in order to achieve all our 2020 Targets — and we remain committed to tracking and continually improving on these metrics.

Achieving our goals won’t be easy. But we are relentless innovators at Trane Technologies. When we look at the world’s challenges, we see possibilities. Continuing the momentum we started building in 2013, we are taking the following actions to secure a sustainable future by 2030:

  • Scaling technology, innovation and sustainability strategies to enable more efficient customer solutions
  • Transforming our supply chain and operations to have a restorative impact on the environment
  • Increasing opportunity for all, strengthening economic mobility and bolstering the quality of life of our people and those in the communities where we operate and serve

Global Trends Impacting Our World and Industry

URBANIZATION RESOURCE CONSTRAINTS CLIMATE CHANGE WORKFORCE DYNAMICS
Urban population growth is changing the dynamics of food, energy, water and land consumption Natural resource scarcity like energy and water is pressuring food supplies, health and wellness, and general infrastructure. The world is becoming warmer with more unpredictable weather patterns and record greenhouse gas emissions. Aging populations, shifting demographics and digital connectedness are reshaping the global workforce.

2030 SUSTAINABILITY COMMITMENT FOCUS AREAS AND GOALS

CUSTOMER OUTCOMES OPERATIONS & SUPPLY CHAIN PEOPLE CITIZENSHIP
Reduce customer carbon footprint by one gigaton (or 1 billion metric tons of CO2e)

Design systems for circularity

Increase access to heating and cooling, fresh food, water and clean air
Achieve carbon neutral operations

Deliver zero waste to landfills

Become net positive in water use

Achieve 10% absolute reduction in energy consumption
Achieve enhanced workforce diversity reflective of our communities

Achieve gender parity in leadership roles

Maintain world-class safety metrics

Maintain world-class engagement metrics

Provide wellness offerings for full global population
Broaden community access to well-being services including food/nutrition, housing and shelter, transportation and climate comfort

Invest in STEM workforce development and retraining programs

Establish network of partners to foster STEM and early education experiences

Launch seed grants for critical mobility needs