2021 SUSTAINABILITY PROGRESS REPORT | Cummins Inc. SUPPLY CHAIN BY THE NUMBERS 70 INTRODUCING RENEWABLE POWER Cummins teams are also working to meet PLANET 2050 goals by identifying opportunities to reduce greenhouse gas (GHG) emissions at Supply Chain sites. The company, for example, worked on a record 20 solar projects in 2021 to include renewable power in Cummins’ energy mix. These ranged from a relatively modest 36-kilowatt peak (kWp) array that was phase 2 of a project at the Cummins Generator Technologies facility in Ahmednagar, India, to a 3,600 kWp array at the Rocky Mount Engine Plant in Rocky Mount, North Carolina (U.S.). When complete, the Rocky Mount array will be the second largest at the company. Cummins currently has plans for another 18 solar projects in 2022, with a special emphasis moving forward on sites in China and the United States. 43 MILLION Number of surgical masks produced by the company to help prevent the spread of COVID-19 during the pandemic. 20 300+ Number of collaborative robots now in place at company locations to enhance safe work practices, productivity, efficiency and product quality. 100,000+ Times the company’s Safe Work Playbook has been accessed detailing company procedures and practices during pandemic. its facilities were able to quickly comply with local shutdowns and regulations. NAVIGATING PANDEMIC IMPACTS When the pandemic hit in early 2020, Cummins’ Supply Chain teams worked quickly to support the development of the Safe Work Playbook—a detailed resource that provided step-by-step instructions for working safely during the pandemic and shutting down and restarting operations. Implementing safe work protocols across all plants, warehouses and operations globally was imperative to ensure the continuity of Cummins’ operations—sites simply couldn’t stop operating. Today, the Safe Work Playbook , which is publicly available on cummins.com, is on its 35th revision and has been viewed more than 100,000 times since the start of the pandemic. The Cummins Manufacturing function installed mask manufacturing lines in three company plants located in Columbus, Indiana. (U.S.); San Luis Potosi, Mexico; and Pune, India. Cummins’ mask manufacturing teams would go on to produce and distribute more than 43 million masks. Today, the company has a healthy stockpile and has ceased manufacturing masks with creating a more dependable supply network. With high demand for premium freight, increasing transportation prices and disruptions related to weather and shutdowns, Cummins’ Logistics teams developed innovative solutions to ensure the continuity of parts and product delivery to Cummins’ customers. For example, they chartered private vessels to bypass backlogs at major ports and with major transportation suppliers and worked to decrease customer backorders. By the end of 2021, Cummins saw record shipments from its warehouses and reduced customer aftermarket backorders by more than 30%—a major shift compared to the industry as a whole since the start of the pandemic. The good news is that many supply chain constraints and disruptions that impacted Cummins early in the pandemic are either improving or showing signs they are starting to improve, alongside falling COVID-19 rates and the lifting of pandemic health and safety protocols in many regions of the world. Of course, Cummins is continuing to maintain a flexible approach based on the risk in specific regions—with the recent COVID-19 surge in China, for example, Cummins and and distribution sites while supporting the ever-changing needs of both employees and customers. The company’s Purchasing teams worked to manage supply shortages and ensure supplier continuity, especially relating to electronic chip recovery, to ensure Cummins was able to produce and deliver to its customers—particularly after a robust increase in demand in mid-to-late 2020. Throughout 2020 and 2021, these teams were able to reduce the company’s list of highly constrained parts by more than half, SUPPLY CHAIN // Number of solar projects worked on at Supply Chain sites across the company in 2021 to add renewable power to Cummins’ energy mix.