Effective corporate responsibility in times of change

Employee at volunteer event

We are living in transformational times. All will be affected. It is a business and moral imperative that companies ensure a just transition for all, particularly in the communities where we work and live.

Effective corporate responsibility in times of change requires a flexible community engagement model, one that can both organize a company's resources at scale and adapt to regional differences. Simultaneously, it must understand and address the unique needs of each of its communities.

At Cummins Inc., our approach for this is to think globally, lead regionally and act locally.

Corporate responsibility and climate action

Climate change is the existential threat of our times, and virtually all companies and communities eventually will be impacted. Responsible corporate citizens today must be proactive in determining their role in addressing these effects, where they can have the greatest impact, and how they will focus their resources accordingly.

At Cummins, our Destination Zero strategy is our business growth strategy, leading the industries in which we compete through the transformational changes required for achieving zero-emissions solutions. Our business and moral responsibility is to ensure that all our industries and customers can make the transition towards a healthier planet in the manner that makes the most sense to them.

Similarly, we know the communities in which we work and live also will be impacted by climate change and the transition towards a healthier planet. It is our business and moral responsibility to ensure they can make this transition smoothly and successfully as well. 

Aligning community and business strategies for impact

This alignment between our business and community strategy is crucial for success in both areas.

Cummins’ global community engagement focuses on three priorities: education, equity and the environment. These areas are essential to our business strategy and to ensuring a just transition for our communities and community members.

To be successful, Cummins must equip a workforce with the skills of tomorrow, and attract, retain and develop diverse talent to lead through this transition. In our community work, we must do the same. Por ejemplo: 

  • Our community education strategy supports STEM education from early childhood education to adult learning. This helps prepare our communities and members for well-paying jobs of the future.
  • Our community equity strategies address barriers that disproportionately prevent progress and readiness for women and minorities in our communities.
  • And in our community environmental work, we focus on initiatives that address the negative effects of climate change related to water, such as floods and droughts, while also aiming to significantly reduce atmospheric carbon.

Maximizing community impact with a flexible engagement model

Think globally, lead regionally, act locally. At Cummins, we achieve this through a three-tiered community engagement model:

  1. At a global level, our Cummins Inc. CEO serves as chair of The Cummins Foundation Inc., which has its own Board of Directors. The Foundation is led by a company officer and a global team of senior leaders. Here, global community strategies and corporate community giving objectives are determined.
  2. At the regional level, the most senior Cummins leader in each region manages a Corporate Responsibility council, composed of senior regional leaders. They are responsible for translating global community strategies and corporate giving objectives into regional strategies. They also review and approve employee-submitted grants in their regions to ensure adherence to each regional strategy and to encourage and support employee volunteerism.
  3. At the local level, Cummins has over 400 Community Involvement Teams in each of its communities around the world. These teams develop local strategies based on their community's unique needs. They engage and develop relationships with nonprofits in the community, apply for grants, and organize volunteer activities. This allows our employees to contribute their time and skills to our nonprofit partners to positively impact each community.

We believe this three-tiered approach enables a flexible community engagement model. It allows us to organize Cummins' resources at scale, adapt to regional differences, and account for the unique needs of each community.

Tailoring corporate responsibility models

Effective corporate responsibility in times of change requires a flexible community engagement model. While our three-tiered approach works well for us, all companies, as responsible corporate citizens, must find their own effective strategy to ensure both business success and a just transition for all.

Jim Schacht headshot

Jim Schacht

Jim is Vice President of Cummins Inc.'s Corporate Responsibility function worldwide. In this capacity, he also serves as CEO of The Cummins Foundation Inc. Prior to this, he served as Executive Director of Cummins Community Relations and Corporate Giving for North America. He also was responsible for the design, establishment, and launch of Cummins Water Works, the company's global environmental program focused on strengthening communities through sustainable water.

Jim joined Cummins in 2010. During his tenure, he served as Executive Director and General Manager of Cummins' Marine and Oil & Gas market segments globally. Prior to that, he was Executive Director of Cummins Business Services, the company's corporate shared services organization. Prior to joining Cummins, he held numerous positions in the telecommunications and investment banking industries. He holds a B.A. degree in Philosophy from Trinity College (CT) and an M.B.A. from Harvard University. He and his wife, Sally, have been married for 34 years. They have four grown children.

STEM Project Unites Children in the UK and Uzbekistan

Zoom call with West Park School and the Children's Home

If you ever doubted the ability of young minds to grasp what many adults would consider complex concepts, then you'll be amazed by the achievements of two groups of young children - one in a school in northern England, and the other 4,000 miles away in an orphanage in Uzbekistan.

With the support of Cummins, children ranging from six to twelve years of age have managed to bridge the language, culture, and time divide. They are collaborating with great success on building a basic electric racing car.

The story begins with a visit by Cummins to Rudmash Export Service, which has been representing Cummins in Tashkent, the capital of Uzbekistan, since 2018.

Rudmash has an impressive list of clients in mining, construction, gas, and power generation.

It is also a highly respected supporter of community initiatives, a key focus for Cummins.

During the visit, Amit Kumar, Cummins' Technical Territory Manager for the Commonwealth of Independent States (CIS) region, mentioned the work he was doing with local schools involving the Greenpower Education Trust in the UK.

Amit suggested that Rudmash might consider introducing local children to the fantastic learning opportunity that comes from building an electric car.

The Rudmash executive team loved the idea and reached out to their friends at the local orphanage (Children’s Home 22), about the proposed connection with children from West Park Academy – a primary school near Cummins' manufacturing plant in Darlington, England.

Students at the Children's Home working on the car
The children from Children's Home 22 building the car

Speaking through a translator, Rudmash Sales Manager Mr. Mavlonberdi Akhmedov said there was no hesitation from the orphanage. "Everyone was excited about it," he said. "When we showed them pictures of the car, the children's eyes lit up with interest.

"The only issue we encountered was not being able to involve the older children, but I think Amit has something in his mind for them. It will involve a similar collaboration with a UK school on a larger electric car that they can fit in!"

Over in Darlington, teacher Mr. David Fraser and his group of 9 to 11-year-olds were thrilled at the prospect of working with children from another country.

Students from West Park Academy
The children from West Park Academy

"Before our first session, I showed the children a map of Uzbekistan and explained how the time zones worked," Mr. Fraser said. "Tashkent is four hours ahead of us."

"When they started hearing a different language, they were a little hesitant although still excited. However, towards the end, once they got used to the translation pauses, lots of questions were being asked."

"They adapted very quickly, and every session with the orphanage has become more engaging. The children have greatly benefited from the relationship. It's been a great learning experience."

The car involved in the project is called the Greenpower Goblin G2. It comes as a flat-pack kit including chassis, wheels, steering, disc brakes, a 24V electric motor, and two 12V batteries.

Students at West Park Academy working on the car
The children from West Park Academy building the car

"The project is all about inspiring young children to take an interest in engineering in a fun and innovative way," said Amit Kumar, who earlier this year received special recognition at the North-East England STEM (Science, Technology, Engineering, and Mathematics) Awards for his years of dedication to STEM Education.

"The build introduces children to basic mechanics and electronics and might be the first step on the pathway to a career in engineering or another STEM field.

Mr. Fraser said the children soon started discussing aspects of the car such as frames, brakes, and steering geometry. There was a lively question-and-answer session on different materials that could be used to design and make the car's body. Their last session was about controls and driving.

"There are also other general discussions, as the children are eager to learn more about each other's countries," said Amit, who leads the sessions.

Students at the Children's Home looking at the car drawing
The children from Children's Home 22 talking about a drawing while on a zoom call

Rudmash service engineer Mr. Abdullayev Shakhzod said the children were enjoying the experience of working in teams.

"It's a fantastic new chapter in the history of a place that has a storied past. It was established in 1942 during the Second World War to care for evacuees from all over Eastern Europe. Children of over 40 different nationalities have been cared for by this children's home.

"The home is named Antonina Pavlovna Khlebushkina after the woman who ran it in the early days. She would be so proud of what is happening there today.

"As the summer vacation times differ in the two countries, the West Park school children have already finished building their cars, while the Uzbekistan car is about 40% complete.

"When the children return from their summer camp in September, they will start the rear axle, motor, and electrical components. Then they can take it for a drive," Amit said.

"Just before their summer term ended, the West Park children conducted a demonstration for their new friends in Tashkent. They set up a track and showcased driving the car on it. It was a great success."

Mr. Akhmedov, speaking through a translator, mentioned that the management team at Rudmash was considering how the project could expand beyond the children's home and into schools and youth organizations throughout Uzbekistan.

Mr. Akhmedov praised Cummins for their support of the project. "They have shown great responsibility at every stage and been very proactive, always striving to ensure things are done right.

"This is just the beginning for these children. It's already motivating them to learn more and develop their skills in broader technical applications.

"I would say that this project is not only important for the children's home but also for our city of Tashkent and the Republic of Uzbekistan, as it is nurturing an educational culture that is highly valuable. I can't thank Amit and Cummins enough."

Amit expressed that it's a privilege to help Cummins inspire young people about engineering and science from an early age.

How is the United States investing in clean energy?

GR hero

Our planet is facing a dire crisis: carbon dioxide concentrations in the atmosphere continue to soar above record highs. If gone unaddressed, the collective stress of climate change will produce an irreparable impact. Our health, energy, water, and food ecosystems are at risk. 

As it stands, there are many long-term effects of climate change. In North America, climate change is forecasted to cause decreasing snowpack in the western mountains. It will also lead to a 5–20% increase in yields of rain-fed agriculture and great intensity of heat waves. In fact, over the last five years, the United States has incurred roughly $120 billion a year in damages as a result of natural disasters caused by extreme weather and climate events.

Beyond natural catastrophes, climatic risks to the United States will have a cascading effect on the country's interconnected ecosystems. Reduced labor and overall economic productivity, and altered crop yields, will disproportionately harm lower-income and marginalized populations. These groups lack the resources to prepare or cope with extreme weather and climate events.

The world is investing in clean energy innovation

Combating the intensifying climate crisis requires a strategic combination of research and development (R&D), innovation, technology — and bold attempts.

Around the globe, countries are investing in clean energy to contribute to a livable planet now and for generations to come. In 2022, the US passed the Inflation Reduction Act, which includes a historic $370 billion investment to address the climate crisis. The Inflation Reduction Act provides tax credits and incentives to power homes, businesses, and communities with clean energy by 2030. The Act will increase investments in the fastest-growing power generation technologies, solar and wind. It will also advance cost-saving clean energy projects and protect two million acres of national forests. These initiatives are in addition to substantial tax credits and rebates offered to families and businesses in the United States.
Consequently, a stronger clean energy economy will contribute to overall economic growth and competition. As a result, there will be millions of new well-paying jobs for Americans to make clean energy.

It is possible to start decarbonizing now

Governmental policy strategies and investments in decarbonization technologies are part of the solution to produce increasingly cheap, dependable, and clean energy.

Strong communities and vibrant economies depend on a healthier planet. As a global power technology leader, Cummins is in a unique position to power customer success by leading during this energy transition. We intent to do so by providing customers with the right technology at the right time, understanding of their needs and applications.

We think of this journey to carbon neutrality in two distinct and complementary ways. First, by innovating zero-emission solutions and introducing them in markets and applications where the infrastructure, development and deployment are ready. Secondly, by advancing internal combustion engines through efficiency improvement and by running them on cleaner alternative fuels for a well-to-wheels solution.

Through Destination Zero, we are advancing low- and no-carbon platforms. This includes diesel and natural gas engines, hybrid, and electric platforms, as well as powertrain components, controls, and related technologies.

Join Cummins in powering a better tomorrow

Cummins environmental sustainability strategy includes goals timed for 2030. Progress toward the reduction of carbon emissions from company plants and facilities — in addition to our products — is in full swing. For more than one hundred years, we have brought technological solutions to market. As a power solutions leader, we will continue to power a more prosperous world for today and tomorrow. Are you ready to consider investing in new power solutions?

Traci Kraus headshot

Traci Kraus

Traci Kraus is a Director of Government Relations where she leads US federal advocacy for Cummins. She focuses on energy, climate, hydrogen, transportation and budget legislative and regulatory issues. 

Prior to joining Cummins, Traci worked for former U.S. Senator Russ Feingold.  She has a Master's in Public Administration from the George Washington University and B.A.s in Government and Politics and Communication from the University of Maryland in College Park. She is originally from Chicago, and now lives outside of Washington, D.C. with her husband, Aaron and two children Liam (8) and Sloane (5).

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