Commitment to a Smarter, Sustainable Future Through Innovation
Synopsys has released its 2023 Environmental, Social, and Governance (ESG) Report, showcasing its dedication to driving sustainable innovation across the semiconductor industry. The report emphasizes Synopsys’ strategic focus on environmental stewardship, social responsibility, and strong governance to create a smarter and more sustainable future.
“We really want to be driving innovations that build a better future for us and our customers in this era of pervasive intelligence,” stated Shelagh Glaser, Synopsys CFO. “It’s important that we’re operating responsibly, not only in terms of our resilient business but also in how we treat the environment and foster a great workplace.”
Environmental Stewardship
Synopsys has made substantial progress in minimizing its environmental impact, aligning its objectives with the Science Based Targets initiative (SBTi). The company’s greenhouse gas (GHG) emissions reduction targets have been validated, with a goal to achieve a 55% reduction in absolute Scope 1 and 2 GHG emissions by 2032. Furthermore, Synopsys targets a 62% reduction in Scope 3 emissions related to employee commuting, business travel, and product usage.
In 2023, Synopsys reached a significant milestone by securing CarbonNeutral® certification for the fifth consecutive year, reaffirming its commitment to sustainable operations. The company’s renewable energy initiatives, including a virtual power purchase agreement (VPPA) with Azure Sky Wind, generated approximately 49,000 MWhs of clean energy, meeting 50% of its North American energy demand.
Social Responsibility
Synopsys remains focused on its workforce and community involvement. In 2023, the company achieved a high employee engagement score, with 94% participation in its annual survey and 89% of employees recommending Synopsys as a great place to work. Synopsys’ commitment to inclusion and diversity is reflected in its equitable pay initiatives, with women earning $0.99 for every $1 earned by men in similar roles. Additionally, Black, Hispanic, Latinx and Indigenous employees in the U.S. earn $1.01 for every $1 earned by their white colleagues.
Through its “Synopsys for Good” programme, the company has made a meaningful social impact, reporting $4.5 million in foundation donations, $910,000 in CSR spending in India, and 13,844 volunteer hours logged by employees globally.
Governance and Ethical Leadership
Governance is central to Synopsys’ ESG strategy. The company’s ESG Management Team and Leadership Committee ensure the integration of ESG priorities across the organization. In 2023, Synopsys enhanced its climate risk assessments and reinforced its cybersecurity and data privacy measures to protect against emerging threats.
The company’s proactive engagement with stakeholders, including stockholders, suppliers, and industry partners, highlights its commitment to transparency and ethical conduct. Synopsys continues to refine its corporate governance practices, keeping pace with evolving standards and stakeholder feedback.
A Future-Driven Vision
The Synopsys 2023 ESG Report underscores the company’s commitment to sustainable innovation, responsible business practices, and social impact. As Synopsys leads the semiconductor industry, its ESG efforts remain essential to driving positive change for the company, its stakeholders, and the global community.
“As we continue this journey together to create a smarter future, we remember our why—the reason we do what we do,” said Sassine Ghazi in the report. “Synopsys exists to power innovation today that ignites the ingenuity of tomorrow. We will continue to innovate, to push boundaries, and to lead with purpose and integrity. Together with our customers and partners, we have the power to create a brighter future for generations to come.”