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Letter from our CEO

Workday is a company built for the future. Our products unify finance and HR, providing real-time insights, predictive analytics, and global visibility to our customers. Our products and services are the most innovative in our industry, and our business continues to thrive.

Our forward-thinking approach at Workday extends well beyond our products and services. If we are going to continue to lead in our sector, we need to consider the broader economic, societal and environmental trends that will shape our future.

In 2012, Workday became a publicly-traded company and as a result, our stakeholder group grew much larger. However, our commitment to growing profitably and sustainably, minimizing our environmental impact, and focusing on socially responsible business practices remains steadfast.

We continuously ask our stakeholders for feedback on how we are doing and ways in which we can improve. Year over year, our customer satisfaction survey score remains above 95%, and we were recently named #22 on Fortune magazine’s “100 Best Places to Work” list for 2015. We regularly host internal “Ask Us Anything” chats between company leadership and our employees, and our customers have direct input on our product development roadmap through our Workday Community portal.

Community involvement is a big part of our corporate culture, and in 2013 we launched the Workday Foundation, which is our primary vehicle for making philanthropic investments in the community. Our Foundation focus area is Workforce Development, with the ultimate goal of breaking the cycle of generational poverty and creating lasting economic self-sufficiency. In 2014 we launched our Giving & Doing Local Leaders program to ensure that employees have plenty of opportunities to engage with our nonprofit partners and to make a difference with any cause they care about.

We believe that increased focus on the environmental impacts of carbon emissions provides us with continued market differentiation and great opportunity, since our multi-tenant cloud delivery model centralizes computing resources, reducing the energy consumption that is needed to deliver our service.

We remain an EPA 100 percent Green Power Purchaser by offsetting 100 percent of the electricity used in our office buildings and data centers in 2013 and 2014. But we know there is more to do, which is why we became a signatory to the Corporate Renewable Energy Buyers’ Principles in 2015, joining many Workday customers who are asking for easier and more cost-effective ways to purchase renewable energy to meet companies’ renewable energy goals.

In 2014 we also launched our global Green Teams, who look for ways to reduce our environmental footprint at the local level while working together across the globe to develop enterprise-wide sustainability solutions.

In our third Global Impact Report, we aim to provide our stakeholders with a transparent look into our current efforts and future plans. We call out our areas for improvement and provide updates on those from previous reports. As a company built for the future, we know this is just the beginning of our journey. We welcome your feedback.

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Workday’s commitment to sustainable business

At Workday, each person is more focused on we rather than I, and honesty and integrity are as integral to our success as our innovative products. Workday’s core values help us define what’s important. Workday turned 10 years old in 2015. With that milestone in mind, we’ve been reflecting on the cultural foundation that helped us to get where we are today.

In alignment with these core values, Workday has committed to sustainable business practices that go beyond being “green”. We aim to increase our positive impact and reduce our negative impacts in social and economic areas, in addition to our environmental impacts. We believe that to be a responsible corporate citizen we have to do our part to look after the best interests of the people, businesses and communities that make up the Workday ecosystem.

We take our responsibility to our employees and customers very seriously, as well as our responsibility to the communities where we operate. We focus on innovative business practices that improve services for customers, affect our communities in positive ways, and minimize our environmental impacts every day.

Our corporate responsibility and sustainability efforts align with our company’s core values, which support our commitments to our stakeholders.

  • Employees
  • Customer service
  • Innovation
  • Integrity
  • Fun
  • Profitability

Who we are

Workday is a leading provider of enterprise cloud applications for finance and human resourcesFounded in 2005, Workday delivers financial management, human capital management, and analytics applications designed for the world’s largest companies, educational institutions, and government agencies. Hundreds of organizations, ranging from medium-sized businesses to Fortune 50 enterprises, have selected Workday.

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Workday applications include:
  • Human Capital Management
  • Financial Management
  • Payroll
  • Time Tracking
  • Procurement
  • Expenses
  • Grants Management
  • Recruiting
  • Professional Services Automation
  • Student Recruiting
  • Talent Insights

Although Workday applications are seamlessly unified, our customers can use the Workday Integration Cloud for integration to third-party applications. The Workday Integration Cloud is available to all customers, as part of their regular Workday subscription.

Since it was founded in 2005, Workday has released 23 updates as of fiscal year-end 2015. Learn more about our applications.

Workday, Inc. is a publicly-traded company with shares listed on the New York Stock Exchange under the symbol WDAY. For more information on Workday’s financial results, including net revenues, total assets, and percentage of ownership of largest shareholders, refer to Workday’s Investor Relations site for relevant SEC filings. (These filings include Workday’s FY15 10-K Report and S-1 Registration Statement.)

Workday’s headquarters is in Pleasanton, California. The company’s European headquarters is in Ireland. We also maintain Workday offices Australia, Canada, Denmark, England, France, Germany, Hong Kong, Japan, the Netherlands, New Zealand, Singapore, and Sweden. Check the full list of Workday offices.

Who are Workday’s customers?

As of fiscal year-end FY15, Workday had more than 700 customers across several different industries, including education and government, financial services, healthcare, life sciences, manufacturing, retail and hospitality, services, and technology. Here’s a representative list of customers by industry.

How many people does Workday employ?

Workday employed more than 3,750 employees as of fiscal year-end FY15, working in multiple worldwide locations.

Workday’s value chain

We are a cloud-application provider, so our supply chain is not as materials- or labor-intensive as many industries such as manufacturing or healthcare. We have modeled a simplified value chain that illustrates major stages of value creation and we’ve identified key points where our activities, products, or services impact the priority issues identified in our materiality analysis.

sustainability_graphic_value_chain

No significant changes to Workday’s structure, ownership, or supply chain occurred during the reporting period. In February 2014, Workday acquired Identified, Inc., a San Francisco software company. Further detail is provided in our FY15 10-K.

Report profile

Our 2015 report shares Workday’s vision and strategy for sustainable business, celebrates our successes, and identifies areas where we can improve. The following sections describe Workday’s sustainable business practices in multiple areas.

IconsWorkday’s third biennial sustainability report was developed using GRI G4 Guidelines. This report contains Standard Disclosures from the GRI Sustainability Reporting Guidelines that are listed in the GRI Content Index. The reporting period is fiscal years 2014 and 2015 (February 1, 2013 to January 31, 2014 and February 1, 2014 to January 31, 2015) unless otherwise noted with specific data. This report’s scope, unless otherwise indicated in specific sections, covers all Workday, Inc. operations and offices globally. We welcome your questions or comments about this report or our sustainability efforts. These can be directed to global.impact@workday.com.

Workday materiality analysis

Interest to Shareholders

Community Engagement

Programs to engage the local community where the company operates. Includes seeking and incorporating feedback into operating activities.

GRI G4 Material Aspect
Economic Performance, Indirect Economic Impacts

Customer Satisfaction

Programs relating to customer satisfaction. Includes customer service, product stewardship, and general customer-relationship management.

GRI G4 Material Aspect
Product and Service Labeling

Employee Satisfaction

Indicators of employee satisfaction. Includes employee recognition, quality of work environment, culture, and commitment to work-life balance.

GRI G4 Material Aspect
Employment

Energy and Carbon Footprint

Efforts to measure, manage, and minimize energy use and the resulting greenhouse gas emissions. Includes direct and indirect energy consumption, green building practices, reducing the impacts of Workday’s own IT operations, and efforts to minimize the environmental impacts of transporting employees.

GRI G4 Material Aspect
Energy, Emissions, Products and Services

e-Waste

Efforts and initiatives to responsibly dispose of electronic waste and increase electronics recycling and waste diversion.

GRI G4 Material Aspect
Effluents and Waste

Governance and Ethics

Practices related to corporate governance and operating ethically and with integrity. Includes core values, code of conduct, and governance structure.

GRI G4 Material Aspect
Governance and Ethics*

Health and Safety

Issues relating to standard occupational health and safety performance and policies, employee health and wellness programs, and emergency and disaster preparedness management.

GRI G4 Material Aspect
Occupational Health and Safety

Human Rights and Labor

Related to a range of human rights issues. Includes non-discrimination, child labor, forced labor, indigenous rights, freedom of association, and collective bargaining.

GRI G4 Material Aspect
Human Rights, Labor Practices and Decent Work

Philanthropy and Volunteering

Programs to give back to local communities through philanthropy and volunteerism. Includes supporting employee charitable investments of time and money.

GRI G4 Material Aspect
Indirect Economic Impacts

Privacy and Data Protection

Efforts to safeguard customers’ sensitive business information and data. Includes initiatives to maintain rigorous data-security standards to prevent unauthorized data disclosures.

GRI G4 Material Aspect
Customer Privacy

Public Policy

Participation in public policy development. Includes lobbying efforts and political contributions.

GRI G4 Material Aspect
Public Policy

Stakeholder Engagement

Programs related to how the company engages with stakeholders (ranging from processes for identifying stakeholders, NGOs, and partnerships). Includes stakeholder involvement in environmental and social impact programs.

GRI G4 Material Aspect
Stakeholder Engagement*

Talent Retention

Initiatives relating to the retention of employees. Includes employee compensation, benefits, and performance-review practices.

GRI G4 Material Aspect
Employment, Training and Education

Waste

Efforts and initiatives to minimize solid waste and increase recycling and waste diversion.

GRI G4 Material Aspect
Effluents and Waste

Water Use

Efforts and initiatives to minimize water use.

GRI G4 Material Aspect
Water

Materiality Glossary

  • Issues
    Definition
    GRI G4 Material Aspect
  • Community Engagement

    Definition

    Programs to engage the local community where the company operates. Includes seeking and incorporating feedback into operating activities.

    GRI G4 Material Aspect

    Economic Performance, Indirect Economic Impacts

  • Customer Satisfaction

    Definition

    Programs relating to customer satisfaction. Includes customer service, product stewardship, and general customer-relationship management.

    GRI G4 Material Aspect

    Product and Service Labeling

  • Employee Satisfaction

    Definition

    Indicators of employee satisfaction. Includes employee recognition, quality of work environment, culture, and commitment to work-life balance.

    GRI G4 Material Aspect

    Employment

  • Energy and Carbon Footprint

    Definition

    Efforts to measure, manage, and minimize energy use and the resulting greenhouse gas emissions. Includes direct and indirect energy consumption, green building practices, reducing the impacts of Workday’s own IT operations, and efforts to minimize the environmental impacts of transporting employees.

    GRI G4 Material Aspect

    Energy, Emissions, Products and Services

  • e-Waste

    Definition

    Efforts and initiatives to responsibly dispose of electronic waste and increase electronics recycling and waste diversion.

    GRI G4 Material Aspect

    Effluents and Waste

  • Governance and Ethics

    Definition

    Practices related to corporate governance and operating ethically and with integrity. Includes core values, code of conduct, and governance structure.

    GRI G4 Material Aspect

    Governance and Ethics *

  • Health and Safety

    Definition

    Issues relating to standard occupational health and safety performance and policies, employee health and wellness programs, and emergency and disaster preparedness management.

    GRI G4 Material Aspect

    Occupational Health and Safety

  • Human Rights and Labor

    Definition

    Related to a range of human rights issues. Includes non-discrimination, child labor, forced labor, indigenous rights, freedom of association, and collective bargaining.

    GRI G4 Material Aspect

    Human Rights, Labor Practices and Decent Work

  • Philanthropy and Volunteering

    Definition

    Programs to give back to local communities through philanthropy and volunteerism. Includes supporting employee charitable investments of time and money.

    GRI G4 Material Aspect

    Indirect Economic Impacts

  • Privacy and Data Protection

    Definition

    Efforts to safeguard customers’ sensitive business information and data. Includes initiatives to maintain rigorous data-security standards to prevent unauthorized data disclosures.

    GRI G4 Material Aspect

    Customer Privacy

  • Public Policy

    Definition

    Participation in public policy development. Includes lobbying efforts and political contributions.

    GRI G4 Material Aspect

    Public Policy

  • Stakeholder Engagement

    Definition

    Programs related to how the company engages with stakeholders (ranging from processes for identifying stakeholders, NGOs, and partnerships). Includes stakeholder involvement in environmental and social impact programs.

    GRI G4 Material Aspect

    Stakeholder Engagement*

  • Talent Retention

    Definition

    Initiatives relating to the retention of employees. Includes employee compensation, benefits, and performance-review practices.

    GRI G4 Material Aspect

    Employment, Training and Education

  • Waste

    Definition

    Efforts and initiatives to minimize solid waste and increase recycling and waste diversion.

    GRI G4 Material Aspect

    Effluents and Waste

  • Water Use

    Definition

    Efforts and initiatives to minimize water use.

    GRI G4 Material Aspect

    Water

*General Standard Disclosure area

 

Our materiality analysis is guided by understanding the impacts of our value chain, our business strategy and corporate responsibility strategy, macro-societal trends, and the interests of our stakeholders.

We completed our first materiality analysis in preparation for our initial report in 2010. That initial analysis was conducted by our Green Team and was updated for our 2012 report. Since then, we have hired our first full-time sustainability manager, who led our efforts to update our materiality analysis for this reporting period.

Our analysis helps define content for our report and identifies priority issues and impacts that we recognize as key to our stakeholders. Our process was based on the Global Reporting Initiative’s (GRI) Principles for Defining Report Content, and included the following steps.

1) After identifying our key stakeholders, we marked the priorities for each stakeholder and plotted them on a materiality matrix. Issues that had both significant interest to stakeholders and significant impact to Workday or that Workday significantly impacted were identified as high-priority.

2) We surveyed stakeholders at our 2013 and 2014 Workday Rising conferences, a user conference where each primary-stakeholder group can interact in person. In 2013, we received input from more than 60 customerspartners, prospective customers, and employees. In 2014, we heard from over 900 stakeholders on the key issues that affect them. Read the top priorities from those stakeholder surveys below.

3) This reporting period we reviewed and refined our existing set of issues to incorporate new aspects, indicators, and topics from the newly released GRI G4 Reporting Guidelines. We also considered material sustainability issues identified in the Sustainability Accounting Standards Board (SASB) Software and IT Services framework.

4) We reviewed customer feedback, prospective customer inquiries, and considered external sustainability research published by nongovernmental organizations and sustainability rating agencies.

5) Lastly, we analyzed the above input from Steps 1 to 4 against our value chain impacts and strategic corporate initiatives to refine our materiality matrix and determine our priority issues.

We’re only in our third reporting cycle. We will refine this materiality analysis process to incorporate additional stakeholder feedback and sustainability topics as our sustainability reporting processes mature.

The results of our materiality analysis helped guide the content development for this report. High-priority issues received more coverage within this report, while lower-priority topics are included in the report as applicable.

2014-Workday-Rising

Top priorities for this report

Privacy and data protection

Workday is responsible for safeguarding our customers’ most sensitive information and data. In addition, there are data privacy regulatory concerns that both customers and Workday must adhere to. A privacy or data security breach could severely impact both Workday and our customers’ brands, and we maintain rigorous data-security standards to ensure the absolute safety of our customers’ business information. Learn more about how Workday ensures data security and privacy in A Better Choice for Customers.

Customer satisfaction

Workday is fiercely loyal to our customers and Workday co-founder Dave Duffield is also known as Chief Customer Advocate. Customer satisfaction is a key metric for Workday. We measure it throughout the year with efforts to retain our existing customer base and attract new customers. Learn more about how Workday promotes customer satisfaction in A Better Choice for Customers.

Employee satisfaction

Workday believes that happy, productive employees lead to customer loyalty and a prosperous business. That’s why at Workday, employees are our most valuable resource and we pride ourselves on being a great place to work. Learn more about Workday’s employee programs in A Better Place to Work .

Philanthropy and volunteering / community engagement

A healthy, thriving community is an important ingredient for business success. Workday and our employees actively give back to the community around us. Learn more about Workday’s community-outreach programs in Social Impact.

Energy and carbon footprint

We recognize the impact that greenhouse gas emissions have on the climate. A healthy environment provides the foundation for our economy, and ultimately, for economic opportunity and the future quality of life for our global citizens. We mitigate our negative environmental impact wherever possible, investing in renewable energy projects where feasible, and providing carbon-efficient products for our customers so that they can minimize their impact on the planet. Learn more about our approach to environmental sustainability in Sustainability in the Cloud.

Stakeholder engagement

Stakeholders are individuals or entities that are affected by an organization’s business activities
or that affect that organization’s business activities. These include customers, employees, partners, and the communities where we operate. Workday’s business model includes engaging with stakeholders to better understand their priorities and react more quickly to business trends that impact our customers.

Workday’s stakeholder engagement philosophy

Stakeholders, as defined by Global Reporting Initiative (GRI), are individuals or entities that can reasonably be expected to be significantly affected by the organization’s business activities, products, and services; and whose actions can reasonably be expected to affect the ability of the organization to successfully implement its strategies and achieve its objectives. At Workday, we view our stakeholders as part of an interconnected network of partnerships that promote mutual cooperation and success. That’s why building relationships with our stakeholders and engaging in collaborative, rather than competitive, strategies are a critical foundation to our business.

Workday engages with our stakeholders in the following ways:

  • Collaboration – We collaborate with our customers and partners in Workday Community, a web site where these important stakeholders can “brainstorm” around best practices and product features. They can also ask questions of Workday product experts, vote for new features, receive product-update information, and share assets such as reports and integrations.
  • Leadership – Workday’s leadership team regularly host internal “Ask Us Anything” online chats between company leadership and our employees. Any employee can ask questions and provide feedback directly to our senior management.
  • Rising – Each year, we produce Workday Rising, a user conference where each primary-stakeholder group can interact in person. Senior management, employees, customers, prospective customers, and consulting partners engage with each other. We conducted a survey to solicit direct feedback on our sustainability activities at both our 2013 and 2014 Workday Rising conferences, gathering feedback from over 900 stakeholders in 2014.
  • Giving & Doing – We inspire our employees to give back through our Giving & Doing program. Known as Giving & Doing Local Leaders, employees around the world take on a leadership role to champion volunteering and giving at 17 of Workday’s largest offices. Local Leaders bring our community programs to life in their local area, seeking out local volunteer opportunities for teams and giving every employee a chance to participate in company-wide initiatives. All employees are encouraged to support the causes that are most important to them through our Giving & Doing program. We offer volunteer grants to organizations where employees donate their time, and we match employee charitable donations.
  • Green Teams – We engage our employees through our Workday Green Teams program. Green Teams across 13 of our largest offices consist of passionate employees who volunteer to help Workday assess and improve sustainable business practices.
Green Teams provide a platform for engagement and empower employees to introduce meaningful practices at Workday that will reduce our negative environmental impact.
  • Openness – Workday’s first corporate sustainability report was released in 2010, providing a foundation for honest and open dialogue with
our stakeholders about sustainability topics most important to them and Workday. We report every two years and this report is our third since 2010.

Any Workday stakeholder can provide direct feedback to us at global.impact@workday.com.

At Workday, stakeholder engagement is built into our business model.

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