2021 CORPORATE RESPONSIBILITY REPORT I 72 All contracted suppliers must: • Acknowledge receipt and review of the Supplier Code of Conduct in writing • Complete required supplier self-assessment surveys, upon onboarding and periodically • Comply with monthly regulatory screening of every supplier • Expect that any supplier—and their representatives and personnel— whose conduct proves unlawful or inconsistent with the Code of Conduct or any Quest policy is subject to immediate removal Partnering for the planet We are partnering with several suppliers who share our commitment to making the planet greener. Together, we’re working to develop and deploy innovative solutions to: • Reduce waste in the supply chain, including reducing reliance on air freight • Eliminate wasteful exterior packaging materials • Validate reuse of plastic consumables that historically have been single-use items Quest’s waste management suppliers are helping us assess “waste to energy” and on-site medical waste sterilization systems. Quest is planning to convert 2 major lab facilities to zero landfill waste management and anticipates completing conversion in 2023. Quest’s commitment to supplier diversity Quest has purchased more than $1B in goods and services over the past 3 years from US small and diverse businesses. In 2021, Quest spent over $400M with these suppliers, and we plan to grow our small business and diverse supplier spend to greater than $500M annually by 2025. We are committed to: • Strengthening our small and diverse business communities through our actions and membership with the National Minority Supplier Development Council (NMSDC), the Health Care Industry Group (HCIG), and the National LGBT Chamber of Commerce (NGLCC) Corporate Advisory Council • Satisfying customer requirements for increased spend with small and diverse suppliers Driving supplier excellence and innovation through collaboration (continued) • Contributing to the overall economic growth and expansion of our markets • Identifying small and diverse businesses to provide services and event support for Quest for Health Equity (Q4HE) Supply chain ESG initiatives An initiative is in progress to enhance the tracking and reporting of the ESG maturity of our supply base. We expect to deploy our enhanced solution in 2022 as our next step in improving and reporting on the social and environmental impact of our supply chain. A virtual “sit-down” with suppliers strengthens partnerships Every 2 years, Quest welcomes our suppliers to a forum where we can discuss our strategy and how we can serve one another better. Our 2021 Supplier Forum was the first time we held the event virtually, and nearly 300 people joined us. During the forum, Jim Davis , CEO-elect and Executive Vice President, General Diagnostics, thanked participating suppliers for their herculean efforts since the beginning of the pandemic. “From the bottom of our hearts, thanks to those who helped us scale our COVID-19 capacity, whether it was molecular testing, serology testing, or sequencing variants,” Jim said. “Thanks also to those who are supporting our base business. We couldn’t do what we do without you.” Vice President and Chief Procurement Officer Tom Plungis, noted, “It’s important for us to sit down with our suppliers to let them know where we’re going and listen to how they can help us. Our suppliers appreciate the time with Steve Rusckowski [Quest Chairman, CEO, and President] and Jim to discuss our strategy, and we always get great ideas to help us accelerate growth and drive operational excellence. With the event being virtual, a record number of people were able to share their ideas. We can’t go it alone, and our suppliers appreciate the efforts we make to take them on the journey with us.” TABLE OF CONTENTS 2021 OVERVIEW COVID-19 RESPONSE PROMOTING A HEALTHIER WORLD CREATING AN INSPIRING WORKPLACE BUILDING VALUE REFERENCES
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