2015 Inpro Sustainability Report

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November 2015

S O C I A L R E S P O N S I B I L I T Y + S U S TA I N A B I L I T Y CO R P O R AT E R E P O R T

O B S E S S I V E LY P R O T E C T I N G Y O U R B U I L D I N G S A N D T H E P E O P L E W H O U S E T H E M ™

MEETING THE UNIQUE NEEDS OF HEALTHCARE

ENVIRONMENTS FOR OVER 35 YEARS

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INDEXCorporate Sustainability Report

MESSAGE FROM OUR CEO

COMMUNITY + PEOPLE ECONOMIC RESPONSIBILITY

PRODUCT OFFERINGS

PARTNERSHIPS CONCLUSION

30 Cool Choices$

32 Community Supported Agriculture34 Community Involvement36 Inpro® is one of the Best Places to Work—again!38 Healthy rewards$

40 Safety$

42 Inpro® University44 Diversity and Equal Opportunities

$ denotes initiatives that benefit environmental, societal and economic performance indicators.

80 Wisconsin Sustainable Business Council82 Wisconsin Green Building Alliance and United States Green Building Council 84 Milwaukee Sustainability Roundtablesm 86 Health Product Declaration Collaborative88 UL Environment90 thinkstep 92 Road to Sustainability

16 IPC® Door + Wall Protection18 Endurant® Washroom Systems20 Clickeze® Privacy Systems22 JointMaster® Expansion Joint Systems24 SignScape® Architectural Signage26 Ascend® Elevator Protection Systems

56 ISO14001 and EMS $

58 Examples of objectives and targets set in the past include:60 Sustainable Business Committee $

62 Green Product Committee$ 64 Environmental Product Declarations and Health Product Declarations $

66 SoFi and GaBi Software$

68 Leadership in Energy and Environmental Design 70 UPS Carbon Neutral Program72 Inpro® Sample Return Program$

74 Bees & Biodiversity$

76 Reducing our Waste, Conserving Energy and Decreasing Water Usage$

ABOUT INPRO

OUR FOUNDATION

AWARDS + RECOGNITION

8 Corporate Values + Vision Statement10 Commitment To A Sustainable Future12 Organization Profile

4 Message From Our CEO

48 Suppliers

100 Conclusion96 Business Friend of the Environment98 Green Master’s Program

VIEWING OUR BUSINESS THROUGH A LENS OF

SUSTAINABILITY HELPS US BECOME AN EVEN MORE

SUCCESSFUL COMMUNITY PARTNER AND SUPPLIER OF

QUALITY PRODUCTS.

We offer resources to help you make the most informed product decisions, employ sustainable business practices in our every-day operations and have a restorative vision for the future of our business.

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Message From the

CEO “Sustainability is too important a concept to be only a trendy industry term. Sustainability is a value integrated into the way we run our business at Inpro because it’s the right thing to do. What started out as genuine community participation and common sense environmental stewardship has evolved into a realization that we have a responsibility to all stakeholders to move beyond compliance. We are proud to have formalized our sustainability commitment. Alongside health and safety, appearance and service, sustainability has been identified as one of our corporate pillars. While Inpro has been a thought leader in many respects, when it comes to integrating principles of sustainability into daily actions, we believe there is room for everyone to improve. We share our sustainability story to push the needle forward in the industry and to remain transparent to our employees, customers, community members and others. Thank you for taking the time to read about our most recent endeavors!”

Phil Ziegler - CEO

ABOUT INPROAt Inpro®, we go to obsessive lengths to create products that protect the appearance of buildings and the health and safety of the people who use them every day. We are obsessed with health and protecting your facility without the need for continuous cleaning and maintenance. We are obsessed to develop products that support the well-being of the people who use your facilities. Our obsession with appearance means we design innovative products to make buildings more resilient and last longer. Finally, we’re obsessed with conducting business with a strong evaluation of the relationship between people, the planet and the economy. Feel free to learn more about us by visiting our website at www.inprocorp.com.

“Viewing business decisions through a lens of sustainability allows us to systematically integrate principles into every decision we make and every action we take. Office operations, production, travel, packaging and more should be analyzed through by impact on people, planet and prosperity. At Inpro we realize we are part of a bigger system; in everything we do, and in everything we create, there is an impact from those decisions. The decisions we make at work influence our decisions at home and vice versa. Those shared stories and experiences help us to continuously develop our commitment to becoming more sustainable. The more I travel and speak with folks from around the world, the more I realize how great an awareness revolves around the concept of sustainability. It’s a common language, one that we can all rally around. It’s no longer a buzz word. It’s a way of thinking and doing. Long before many were seeing it, we saw it. Long before others took action, we did it. It’s nice to be in a leadership position when it comes to sustainable business practices and it feels good to know our actions have in some way increased the rate of change within our industry.”

— Marc Holland, President

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CORPORATE VALUES• Promote high integrity through ethical and sustainable business practices.

• Encourage and respect input from all internal and external individuals.

• Attract, develop, inspire, and retain a talented work force.

• Participate in and support continuous improvement.

• Provide a life-long learning environment.

• Promote a safe and healthy environment.

• Support work/life balance initiatives.

• Protect assets and corporate image.

• Support community initiatives.

VISION STATEMENTInpro® is committed to being the recognized global leader in our industries through:

• Individual employee care and support—employees first

• Providing and promoting total corporate quality

• Complete customer satisfaction

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OUR COMMITMENT TO A SUSTAINABLE FUTUREInpro is committed to improving our sustainable business practices inside and outside of our company walls—all with an eye toward our obligation to future generations. Acting as a responsible corporate citizen is not only good for the community, environment and economy but it is also good for our business and all stakeholders. True business value lies within viewing operations through a lens of sustainability; cost savings, cost avoidance, risk management and mitigation, expanded market share access, product and process innovation, employee attraction, engagement and retention and more. We hope to share some of these experiences with you in this report.

SUSTAINABILITY POLICYAt Inpro, operating in a systematically sustainable manner provides opportunities to be innovative when it comes to business practices and product offerings. We understand that everyday matters, matter every day. It is Inpro’s sustainability policy to conduct business and product development with consideration of the relationship with people, the planet and profit. We intend to continuously reduce our overall environmental impact, positively impact the communities within which we operate, and provide an economically responsible place of employment for our employees and respective communities. We realize that as the world around us—knowledge, technology, culture and policy—evolves, so will our sustainability policy.

“Sustainability is an ever-increasing part of the way we do business at Inpro. What started out as instinctive environmental stewardship and community involvement has developed into a sustainability program that integrates environmental, societal and economic performance indicators into every part of the business. Sustainability is part of the way we develop and assess new product ideas. It is part of the conversations we have with suppliers, community neighbors and customers. It is part of the conversations we have with each other in copy rooms and over lunch hours. Sustainability initiatives are fun and engage our colleagues in purposeful and meaningful work. We will continue to strive to be a positive change maker and industry thought leader in order to maximize benefits of our business for all stakeholders.”

—Amanda Goetsch, Sustainability Manager


WE MANUFACTURE,

DESIGN AND DISTRIBUTE OUR

PRODUCTS

ORGANIZATIONAL PROFILEProtecting your work, your buildings, your spaces, is how we began. Protecting your reputation, through our obsessive service is the reason we’re still here. In 1979 we began our obsessive commitment protecting buildings and the people who use them and we haven’t stopped. From healthcare to hospitality, education to commercial buildings, we’ve expanded the protection products we manufacture and opened global offices to bring protection to every space, in every building, everywhere. Based in Muskego, Wisconsin with a total of 512 employees, Inpro is the nation’s premier manufacturer of door and wall protection, washroom systems, expansion joint systems, privacy systems, architectural signage and elevator protection systems.

We not only manufacture but also design and distribute our products. This all-encompassing approach is applied to our plastics manufacturing, injection molding, extrusion, solid surface pouring, fabrication, thermal forming, custom product development and light assembly. Technologies such as CNC and rapid prototyping are utilized throughout our manufacturing processes.

Inpro Corporation will enhance employee engagement through continuous training, development and wellness initiatives. By continuing technology advancements to maximize efficiency and accuracy we will update and simplify our internal processes to make the customer experience easier. Reduced lead-times and increased vertical integration will improve market competitiveness. Through technology efficiencies and reduced material costs profitability will be improved. The development of work-flows and metrics will support the attainment of our 2014 sales goals.

At Inpro®, we go to obsessive lengths to create products that

protect the APPEARANCE of buildings and the HEALTH and SAFETY of the people who use

them every day.

PRODUCT OFFERINGSOur Divisions

Inpro is proud to offer six varying product divisions which include: IPC® Door + Wall Protection, Clickeze® Privacy Systems, Endurant® Washroom Systems, JointMaster® Expansion Joint Systems, SignScape® Architectural Signage and Ascend™ Elevator Protection Systems.

“Years ago the concept of sustainability wasn’t a large part of our industry’s dialogue. Today, sustainability is at the forefront of our product design and development process. It influences the materials we select, the suppliers we work with, the type equipment we purchase, as well as many other aspects throughout a product’s life cycle.

I believe green building is still in the beginning stages and will mature quickly as more companies, institutions, owners and newer generations will become engaged . It will be very interesting to see how technology, material advances and design will evolve in the next five to ten years. The greener building initiative is here to stay and it will monumentally influence the way we do business.”

— Mark Alan, Sr. VP Product Management

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OVER 150 DIFFERENT COLORS AND PATTERNS

At IPC® Door + Wall Protection Systems, we manufacture and provide interior architectural products designed to enhance the appearance of interior spaces while reducing damage to walls, doors and casework and easing maintenance demands. The IPC® Door + Wall Protection Systems product line features rigid sheet, ADA-compliant handrail, wall and corner guards, wall panel systems, and door and door frame protection products. In total, IPC offers over 50 product families totaling over 10,000 SKUs, available in over 150 colors, patterns and finishes.

Attractive and functional interior spaces require suitable materials, and IPC® Door + Wall Protection Systems meets these requirements by offering products in a myriad of choices. These include Rigid Vinyl, G2 BioBlend®, PETG, polycarbonate, HDPE, MDPE, rubber, stainless steel, aluminum, and real wood. IPC® Door + Wall Protection Systems continually works to utilize and develop safe, sustainable and useful materials that meet the stringent demands of today’s building designers and contractors.

A number of IPC® products may contribute to LEED® credits.


ELIMINATES THE GROWTH OF MOLD AND MILDEW

YSTEMSInpro® is a manufacture of BioPrism® Solid Surface shower systems, privacy partitions for public washrooms, wall cladding for wet rooms and areas that require non-porous materials, along with additional commercial products such as window sills and countertops. BioPrism Solid Surface® is a proprietary blend of soy, acrylic and polyester including rapidly renewable content with antimicrobial properties that eliminate the growth of mold, mildew and order causing microbes.

A number of Endurant® products may contribute to LEED® credits.


PROVIDING CLEAN AND SAFE ENVIRONMENTS

FOR PATIENTS

At Clickeze® Privacy Systems, we cover a facility’s most essential privacy needs by making and installing innovative solutions to ensure the people feel comfortable. With cutting edge antimicrobial technology—that has been tested and proven to be permanently antimicrobial* to inhibit the growth of mold and mildew—professional installation and beautiful designs, we work tirelessly to help provide a clean and safe environment for patients, visitors and staff.

A number of Clickeze® products may contribute to LEED® credits.

*When laundered per manufacturer’s instructions.


PROTECT BUILDING OCCUPANTS FROM

NATURAL SHIFTING

At JointMaster® Expansion Joint Systems, we protect building’s occupants and its finishes from the natural shifting, movement and hazards that can occur within their expansion joints. Our Architectural Joint Solutions are engineered to handle every condition found around the globe. We know that various building types have different needs- whether the concern is aesthetics, high load performance, fire containment, or watertight seals- our team of experts can assist you through any design challenge for your project specific needs.

A number of JointMaster® products may contribute to LEED® credits.


KNOW WHERE YOU’RE GOING AND HOW TO

GET THERE

We know you want to create the best experience possible for everyone who uses your building. That’s why we worry about creating and installing architectural signage that always connects the dots so people always know where they’re going and how to get there. At SignScape® Architectural Signage, we manufacture and install signs to provide you with the solutions you need. We take care of everything from design to installation so you can guide the people within your buildings to the right place.

A number of SignScape® products may contribute to LEED® credits.


PROTECT ELEVATORS INTERIORS FROM

CONSTANT DAMAGE

At Ascend™ Elevator Protection Systems, we protect elevator interiors from constant damage with beautiful products that are durable enough to withstand the harshest environments. Ascend™ ensures that Inpro’s devotion to protecting the appearance of buildings and the health and safety of the people who use them every day is taken to a new level.

Each cab will be installed with Inpro’s® Palladium® Beveled Edge Wall Panels designed to withstand the toughest abuse. Palladium® panels are more durable than real wood, feature Edge Protectant Technology™ and have a Class A fire rating. The Ascend™ line has eight different basic cab configurations offering endless design options ensuring the elevator is consistent with the rest of the building’s décor. For additional protection, Ascend™ elevators offers ten different handrail styles as well as four different ceiling configurations. Finally, Ascend™ cabs feature a patent pending fastening system that provides security without sacrificing design. This unique clip systems allows for quick and simple installation to decrease the amount of time the elevator is out of service.

A number of Ascend™ products may contribute to LEED® credits.

COMMUNITY + PEOPLEHaving Fun and Doing Good

We can systematically improve the world we live in through our actions

as corporate citizens. Part of improving the world includes engagement

with our employees, our community neighbors, our business neighbors

and our customers. We have utilized a myriad of ways to get involved with

community and people all while having fun and doing good.

“Sustainability efforts affect Inpro’s competitiveness, reputation and ability to attract and retain top talent. Our HR practices in talent acquisition, employee training and development, retention, compensation, communication and organizational development support our sustainable business strategy. We focus on the health and well-being of our most valuable asset – our employees. We support programs that help people to live well and enjoy their lives in their communities. Our employees want to make a difference in the world through their work. They want to use their careers to make a positive contribution to society. Many employees don’t see their personal and professional lives as separate. Those who believe they are making an impact through their work experience greater job satisfaction which reduces costly turnover. Inpro’s commitment to sustainable efforts indicates our role in society is one that is beyond that of simply making a profit.”

—Laurie O’Loughlin, VP Human Resources

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COOL CHOICES $The spring of 2014 was a very exciting time at Inpro®. We partnered with a local non-profit organization out of Madison, Wisconsin called Cool Choices to implement an employee sustainability engagement program. The game is also called Cool Choices and is played by forming teams. Teams as well as individuals compete against other over a period of eight weeks. The objective of the game is to play a single sustainability action daily, each valued with different points. Needless to say our participants had a blast.

Weekly challenges really engaged our employees to consider how small actions throughout their daily lives add up over time. Across the eight week playing period we had a 98% participation rate with a total of almost 22,000 actions being taken. Our participation across company departments was tremendous; everyone from sales, operations, facility management, and our senior executives got in on the fun. If we were to keep our actions up across twelve consecutive months our employees would save up to $200,000 in energy savings, water savings and so on. Additionally, our employees would abate 300,000 lbs. of carbon dioxide from the atmosphere. That is equivalent to abating the emissions from 33,757,173 gallons of gasoline or 7,692,308 tree seedlings grown for 10 years!

Overall we had a fun time learning about ways to integrate more sustainable habits into our daily lives. The hope is that these habits also translate to the workplace. Participating in Cool Choices also created a common vision of what sustainability means at Inpro® which further supports initiatives throughout the company.


EMPLOYEES GET FRESH AND LOCAL PRODUCE

THROUGHOUT THE GROWING SEASON

WHO’S YOUR FARMER—COMMUNITY SUPPORTED AGRICULTURECommunity Supported Agriculture (CSA) helps families know where their food comes from and assures farmers make a living as stewards of the land while growing top-quality food. CSA reestablishes the relationship between consumers and producers. Members support farmers by paying an annual fee at the beginning of the season that entitles them to a share of the season’s harvest. In turn, share owners know exact where and how their food was grown. CSA is different than a buying club or other form of box delivery because payment, relationship and the communication between farmer and shareholder are direct. Food chains in CSAs are very short, often within 75 miles.

In 2014 Inpro® partnered with Three Brothers Farm, a 100 acre farm near Oconomowoc, Wisconsin to provide an opportunity for employees to get fresh and local produce throughout the growing season. Three Brothers Farm has been in operation for 100 years and has been in the same family since 1954. The traditional hip-roof barn has been restored to its original beauty and is the keystone of their farming operation. Chris, Michael, and John, the three Gutschenritter brothers, run the farm with the lp of friends, neighbors and volunteers. In the past, the land was farmed in a traditional fashion. Today, they are proud of their calloused hands and muddy boots as they strive to attain their goal of healthy and sustainable food.


COMMUNITY INVOLVEMENTCommunity is a huge part of what we do at Inpro®. We began in Muskego, Wisconsin and are proud to continue to do our best to support the community whenever we can. Our employees proudly put time and effort into volunteering to a variety of community service activities.

Schools to Skills Tour, a joint effort with Waukesha County Action Network The premise of this program is to educate youth about acquiring skillsets for manufacturing and hands-on positions at technical schools and in the manufacturing sector. During their time at tech school they may seek employment opportunities while still learning their trade. Approximately 30 students attended the tour in 2014.

Career Tour, a joint effort with the Muskego Area Chamber of Commerce This event was held twice in 2014. The learning objective was to educate high school students on the various job opportunities available in the Muskego area. As many of the children associate manufacturing with “hands on assembly work”, we emphasized the fact that there is a place for everyone in the manufacturing arena; including sales, administration, sustainability, marketing, training and development, human resources and more. Approximately 50 students participated in this event.

Job preparedness event, a joint effort with the Muskego Area Chamber of Commerce Each year a handful of managers take part in the mock interview process at Muskego High School to prepare students for future positions they will pursue. 2014 marked our third year of participation!

Inpro® Scholarship Each year Inpro® provides one $1,000 non-renewable scholarship to members of the current year graduating class of Muskego High School. Funds are to be utilized for a two or four year program at a college, university or technical school. 2014 marked the 6th year of the Inpro® Scholarship.

Project Lead the Way In 2014 a group of eight students worked in conjunction with our product management team to engage in the design of an acoustical panel for possible inclusion in our product lines. Students went through the entire process from R&D to design, feasibility testing and marketing opportunities.

Junior Achievement Program Each year a core group of 10 Inpro® employees teaches Junior Achievement coursework to local schools. In the past we have worked with all grade levels, though in 2014 we were charged with working with 8th graders to focus on job preparedness and the career selection process. 2014 marked Inpro’s® fourth year of participation!

Sandhill Booster Club Support Every other Thursday when complimentary lunch is offered to Inpro® employees, donations are collected for the Sandhill Booster Club. Additionally, money is collected from Inpro’s® annual football survivor pool every fall. The Sandhill Booster Club uses the funds to support local families in the Muskego area. 2014 marked Inpro’s® fourth year of donating in this manner.

Muskego Area Food Pantry Inpro® houses the Muskego Area Food Pantry in one of our buildings, rent free. All extra food from Thursday lunches is donated to the food pantry for distribution as well as monetary contributes collection throughout the year.

Adopt-a-Highway Inpro® continues to partner with Waukesha County in the Wisconsin Adopt-a-Highway program.


INPRO® IS ONE OF THE BEST PLACES TO WORK—AGAIN!The Milwaukee Journal Sentinel named its 2014 Top Workplaces, and Inpro® made the list for the fifth year in a row, putting the Muskego-based company in the award’s Hall of Fame. The Top Workplaces awards program recognizes the best places to work in southeastern Wisconsin—the businesses and organizations whose employees find their jobs most rewarding and meaningful.

“This award belongs to our employees,” said, Phil Ziegler, x® CEO. “You cannot be a top workplace without a first-rate staff. We have that in spades.” Ziegler added that the company enjoys participating in benchmarking exercises like Top Workplaces. “It’s not about the plaques. It’s about holding ourselves up to review and measuring us against other excellent companies. This examination helps us continue to hone and enhance the employee experience.”


PARTICIPANTS EARN POINTS THROUGHOUT

THE YEAR

HEALTHY REWARDS $

Inpro® is committed to supporting wellness efforts because we take our employee’s overall health, productivity and well-being seriously. We were excited to again offer Health Rewards in 2014. While staying active is very important, there is more to healthy living than just exercising. Wellness is a way of living—eating a healthful diet, reducing stress, managing one’s well-being every day. Everyone takes different steps to enhancing their health and well-being. That’s why the Healthy Rewards Program includes other important areas in wellness such as preventive screenings, good nutrition, education, safety and volunteering.

The Healthy Rewards Program allows participants to earn points throughout the year for making smart decisions about their well-being. There are three Achievement Levels: Bronze, Silver & Gold. An activity log is used to log points throughout the year and at the end of the year, points earned can be redeemed for rewards!

In 2014, 97 Inpro® employees participated in the Healthy Rewards Program; that’s about 21% of our employees. They took part in activities such as Lunch and Learns, a Poker Walk to get active during the day, exercise classes, community service and more.


SAFETY$

Over the 35 plus years of Inpro’s® existence, we have developed a true culture of safety and a belief that employees are our top priority. This belief is, in fact, incorporated into our corporate vision statement, which states that Inpro® is committed to “individual employee care and support—employees first.” As a daily reminder of this emphasis, all employees have a safety card worn with their access badge that provides a number of safety tips, highlights Inpro’s® dedication to safety, and solicits input from all employees regarding safety strategies.

While we know we are not unique in the claim and the belief that employees are our first priority, we do believe we demonstrate this belief and foster a culture of safety through some unique approaches. One approach is the way we choose to manage health and safety by engaging and empowering a wide variety of employees as members of our safety committee. They are responsible for developing annual goals, setting the course to achieve those goals, and ensuring a safe and healthy environment to work in. Committee members dedicate a minimum of 24 hours per year each, with many members serving double that through participation on sub-committees and specific projects, totaling close to 1,000 hours per year.

Our recordable incident rate at the conclusion of 2014 was 2.213 and our MOD rate was 0.87. As of the end of 2014, we operated 1.25 million hours without a lost-time incident. We are extremely proud of this accomplishment, and feel it is cause for celebration as well as recognition of the unique approaches that helps us achieve it.


INPRO’S OWN ON-SITE DAY CARE

INPRO® UNIVERSITYInpro® University’s mission is to support the children and families of Inpro® employees. Our center provides a safe, developmentally appropriate environment for all children. Through play and personal interactions we provide meaningful care and education that promotes each child’s social, emotional, physical and cognitive development. Our goal is to lay the foundation that will instill the love and joy of learning throughout their life time.

Themes Inpro® University led through the year include gardening, bugs, my family, my neighborhood, community helpers, nutrition, circus, transportation, dinosaurs, sports, holidays, all about me and prince and princesses. Within each of these themes is built a lesson on letters, numbers, colors and shapes.

Our teachers at Inpro® University encourage and support a child’s natural curiosity and desire to learn. The material and teaching methods enhance learning and foster respect, independence, joy, creative thinking, self-expression and an appreciation of nature and others.


DIVERSITY AND EQUAL OPPORTUNITIESDiversity and equal opportunities are very important to Inpro®. Diversity fosters a multitude of perspectives, providing a platform for creative dialogue, innovation and opportunities and solutions to our businesses’ toughest challenges. Our Affirmative Action Plan ensures equal treatment to candidates and employees of all genders, people with disabilities, sexual orientation and minorities. We conduct an annual review of the policy to ensure its efficacy. Inpro® remains up-to-date with current and changing legislation and employment laws to ensure compliance in areas such as OSHA standards and child labor laws.

ECONOMIC RESPONSIBILITY Economic responsibility is essential in order for Inpro® to continue striving to

make the world a better place. We must remain fiscally responsible in order

to employ great employees, produce quality products and give back to our

communities. While we understand traditional bottom line responsibilities

we also acknowledge that part of economic responsibility is sourcing local

products when possible, being honest to the system and mitigating risks such as

resource shortages, societal changes and economic outlooks in order to remain a

successful business.

The evolution of our overall corporate sustainability strategy has without a

doubt helped Inpro® save money, reduce and avoid costs, identify and mitigate

risk, attract, engage and retain the best and brightest employees, gain access to

new markets, identify opportunities for operational and product innovation and

remain thought leaders in the industry.

We manufacture most of our products in the United States and ensure

you have the products you need when you need them. Our state-of-the-

art manufacturing capabilities enable us to maintain high inventory levels

guaranteeing all of our in-stock products will ship within 48 hours.

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SUPPLIERS$

Inpro® is very proud of the relationship we have built with our suppliers over

the years. Mike Sekula, VP Supply Chain, has developed a Supplier Council in

order to maintain the best and most effective relationships with key suppliers.

This Council is made up of 12 non-competing suppliers that meet three to four

times a year. Every other year, Inpro® hosts a key supplier conference where best

management practices, business updates and sustainability are key focuses of

discussion. Our suppliers are a key to the ultimate sustainability of our business

and we are happy to report that we have started a chain reaction through our

suppliers when it comes to educating, implementing and improving sustainable

business initiatives.

“It’s amazing to me how much sustainability touches so many parts of our business and leaks into my personal life. From all the committees I oversee to all the areas I’m involved with and considering the People, Planet and Profit; sustainability is generally a topic of discussion in some fashion and depending on the result can be a game changer in how we proceed with a decision. I carry that same methodology to my home and personal life and have made positive sustainable changes because of what I’ve learned over the past several years.”

— Mike Sekula, VP Supply Chain


SUPPLY CHAIN OVERVIEW

• Of the 225 suppliers Inpro® works with, 40% reside within 100 miles of our World Headquarters. Of every dollar spent locally, $0.70 stays local!

• Our overall supplier quality performance is at 98.90% and 96% on-time.

• Our carriers are equally important to us since they are the lasting impression on our customers. Their quality performance is at 99.5%.

• Inpro® ships over 72,000 orders annually making up over 200,000 line items.

• Our external quality performance to our customer is at 0.78% and our on-time is 97.7%. We ship all orders on average in 6 days.

• Inpro® has 15,000 active buying customers

• Inpro® has approximately 400,000 square feet of space worldwide.

• Inpro® ships over 24,000 free samples to our customers and offer them the ability to ship back to us for reuse at no cost to them.

• In continuing our model of collaboration, the Inpro® Operations/Supply Chain Management Team meets bi-weekly with the Sales Management Team to discuss any open issues, machine capacity constraints or upcoming orders. This is a great way to keep an open line of communication open between departments.

• Inpro’s key suppliers are actively engaged in sustainability conversation, collaboration, innovation and education.


FOREVER REQUIREMENTSThe Inpro® Forever Requirements are for our valued suppliers in order to build a lasting relationship between companies. The Requirements including knowing when to raise the flag on changes or issues that may affect Inpro® or its stakeholders. :

• Communicate pending material or process changes.

• Communicate pending manufacturing location changes.

• Watch for and communicate sub-supplier issues.

• Notify Inpro® of imminent supply/capacity issues.

At Inpro®, we take pride in offering our customers the best products and service.

THE FOUNDATION: ENVIRONMENTA healthy natural environment is truly a foundation for successful business.

We are grateful for the opportunity to efficiently utilize natural resources

and in turn take environmental stewardship very seriously. We have

integrated a environmental management system into our business in order

to manage and continuously decrease impacts on the environment.

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ISO14001 AND EMS$

Inpro® earned its ISO14001 certification in January of 2013 after fully integrating an Environmental Management System into our business operations. The ISO 1400 family of standards provides practical tools for companies and organizations of all kinds looking to manage their environmental responsibilities. ISO 14001 focus on environmental systems to achieve this .

Inpro® has a dedicated and diverse team focuses on implementing and managing the Environmental Management System. The team meets approximately every six weeks to discuss ongoing annual objectives and targets. The objectives and targets are based on significant environmental impacts identified the year prior.

We have defined our environmental policy as: Inpro® is committed to sustainable business practices in our dealings with employees, customers, suppliers, government entities and our community neighbors—all with an eye toward our obligation to future generations. Through our business operations we shall:

• Communicate environmental practices to all employees.

• Develop products and processes to minimize adverse environmental impacts.

• Comply with environmental regulations and other requirements.

• Prevent pollution, conserve resources and reduce waste.

• Continually improve our environmental management system.

This policy is communicated to all persons working for or on behalf of Inpro, as well as communicated to the public through the following means:

• Provided to all new employees during new employee orientation.

• Posted at various points within Inpro® locations.

• Made available to the public through the Inpro® website.


SETTING SUSTAINABILITY GOALS Examples of objectives and targets set in the past include:

• Minimize consumption of natural resources > Target to reduce copy paper usage by 10%

• Educate employees on environmental practices at office and at home > Target to offer a minimum number of continuing education opportunities related to environmental stewardship and sustainability practices

• Increase energy efficiency > Target to reduce electric usage by 5%

• Decrease waste to landfill > Target to conduct waste audits throughout the facility

• Increase supplier’s role in the Inpro® EMS system > Target to educate key suppliers on Inpro® sustainability program, highlighting the role they play in our initiatives


SUSTAINABLE BUSINESS COMMITTEE$

Inpro® is very proud of the level of employee engagement related to our sustainability initiatives0. The Sustainable Business Committee was formed in 2010 when almost 30 Inpro® employees expressed interest in contributing to a more sustainable workplace. The task of the Sustainable Business Committee is to manage and promote internal sustainability initiatives focused around the triple bottom line of environmental, social and economic responsibility. A number of the initiatives discussed throughout this report are a direct result of the work by the Sustainable Business Committee.

One of the largest events the Sustainable Business Committee oversees is our annual Earth Week celebration. In 2014, this group led daily education email blasts (on subjects such as water conservation, energy usage and healthy eating), helped plant an Inpro® garden, pledged a tree, celebrated our Cool Choices participation, held an electronic recycling awareness drive and held a lunch and learn about bees and our Inpro® bee sanctuary open to all employees.


GREEN PRODUCT COMMITTEE$

Inpro’s® Green Product Committee is tasked with acting as an incubator for sustainable (as defined by the triple bottom line) product and non-product research and innovation, making consensus-based decisions to communicate to colleagues through the company. Topics and initiatives that have fallen under the responsibility of the Green Product Committee include Inpro® environmental product declaration program, health product declaration program, life cycle assessment research and implementation, building rating system product compliance and much more.

In 2014, Inpro® developed the Sustainable Product Analysis Tool for internal analysis of sustainability attributes. The purpose of the tool is to ensure a multitude of robust sustainability criteria are reviewed as during the new product development process as well as when making improvement to existing products. The tool reviews criteria such as Health Product Declarations, environmental Product Declarations recycled content, building rating systems, social attributes and even shipping methods to be used for that product.


ENVIRONMENTAL PRODUCT DECLARATIONS AND HEALTH PRODUCT DECLARATIONS$

In November 2013, Inpro® was the very first in its industry to publicly release Environmental Product Declarations (EPDs) and Health Product Declarations (HPDs). EPDs and HPDs are integral roles in understanding the overall impact of building products and in the future the impact of an entire building. Leading architecture and design firms from around the world are now creating design libraries based on product manufacturers who have developed product transparency declarations.

EPDs are documents that illustrate the overall life cycle impact of a product or service across its entire life cycle; everything from raw material acquisition, materials processing, manufacturing, transportation, use, end-of-life and/or reuse. Inpro® has partnered with thinkstep to conduct the life cycle assessment on a majority of our IPC® Door + Wall Protection System division and UL Environment partnered to verify and certify all declarations.

HPDs are documents that communicate the potential human health impact of materials and substances within building products. Inpro® was again the first in our industry to public release HPDs for a majority of our IPC® Door + Wall Protection Systems division. We continue to actively research and create new HPDs for our product lines throughout the year. Additionally, Inpro® was one of a handful of original pilot manufacturers to participate in the program in 2012. Since then, we have remained active through the Health Product Declaration Collaborative Manufacturer’s Advisory Panel to help create the most effective HPD template possible.

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Declaration


SOFI AND GABI SOFTWARE$

In 2014, Inpro® committed to implementing six-figure sustainability software to further our internal and external sustainability initiatives. SoFi and GaBi software has been created by thinkstep to help companies collect data in more efficient ways, create valuable analytics, create life cycle assessments and subsequent EPDs along with many other benefits.

SoFi software is sustainable enterprise software. This aids Inpro® in collecting often tedious data information in a more automated manner. We are then able to create an entire host of analytics in order to make sound sustainable business decisions that fit into our longer term sustainability goals.

GaBi software is focused more on sustainable product innovation opportunities. Integrating this software into our operations will help us develop products with knowledge of life cycle impact at the first stages of new product development. We will also be equipped to now create for products when we see such demand.


LEADERSHIP IN ENERGY AND ENVIRONMENTAL DESIGN (LEED®)Inpro® continues to be on the cutting edge when it comes to offering products that contribute to a number of building rating systems. We design products to include maximum possible recycled content, regional materials, indoor environmental quality, product transparency and more whenever possible.

Inpro® joined the U.S. Green Building Council in 1998 and was the 6th product manufacturer to do so. We also joined the Wisconsin Chapter of the U.S. Green Building Council and actively work on regional committees to help bring awareness to green building.

LEED, or Leadership in Energy and Environmental Design, is a green building certification program that recognizes best-in-class building strategies and practices. To receive LEED certification, building projects satisfy prerequisites and earn points to achieve different levels of certification. Prerequisites and credits differ for each rating system, and project teams choose the best fit for their project.

Simply inquire with Inpro to understand which credits Inpro products many contribute to.


UPS CARBON NEUTRAL PROGRAMInpro® has long partnered with UPS in their Carbon Neutral Shipping Program. The program works when UPS purchases certified carbon (CO2) offsets in order to balance emissions produced by the transportation of a number of our shipments. UPS has supported projects that include reforestation, landfill gas destruction, wastewater treatment, and methane destruction . In 2014, 92.21% of Inpro’s® UPS shipments were sent supporting the Carbon Neutral initiative.


INPRO® SAMPLE RETURN PROGRAM$

Following our pledge to offer sustainability solutions to stakeholders, Inpro set up the Samples Return Program in June of 2014. This program allows our customers to return the samples we send out for free after they are done utilizing them in the same box they came in. This saves the company the money, time, and resources needed to produce more samples, lessening our impact on the environment. The packaging and wrapping used to send the samples can also be reused to lower the amount of waste we send to the landfill.

The money saved through this program comes from the difference between the value of the samples returned and the total return shipping costs. Between June 2014 and the end of the year, 286 samples were returned. This year through June, already 299 samples were returned.


BEES & BIODIVERSITY$

A syndrome known as Colony Collapse Disorder (CCD) has been on the rise causing honey bee colonies to decline at an annual rate of 30% or more. This causes adult bees to abruptly vanish, leaving the queen and her brood in a deserted hive. The cause of CCD has originated from the use of pesticides and herbicides among other variables.

The danger of CCD is significant as numerous agricultural crops rely on bees for pollination, “…out of some 100 crop species which provide 90% of food worldwide, 71 of these are bee-pollinated.” Although difficult to estimate, according to the United Nations, the global economic value of the pollination services is close to $60 billion.

Inpro continues to do its small part to reverse these trends by expanding our bee sanctuary. The initial population introduced was between 6,000 and 7,000. In 2014 we group the Inpro® bee population to approximately 50,000!

Our bee sanctuary has offered a platform for employee education on bees, their decline, the health benefits of local honey and more. The honey from the Inpro® bee sanctuary is sold internally to employees and all proceeds go back toward the project.

Inpro® continues to nurture a portion of our property dedicated to native Wisconsin prairies grasses. These grasses provide habitat to small animals and reminds us of what the property may have looked like years before we established our business. This historic reference of the natural environment provides a reminder that we have a responsibility to preserve and even enhance the environment for generations to come.

Additionally, during our Earth Day 2014 celebrations we established the first Inpro® garden at the Inpro® University daycare center. Our goal was to continue to teach children about where food comes from, organic growing practices and of course get help eating all the great produce!


REDUCING OUR WASTE, CONSERVING ENERGY AND DECREASING WATER USAGE$

Over the years Inpro® has taken actions to reduce contributions to the waste stream, energy usage and water consumption. Initiatives have included using increased levels of reground product in products, landscaping and operational improvements for decreased water use and employee engagement activities to reduce energy consumption. You’ll see only a snapshot of the environment metrics we measure.

PARTNERSHIPSSustainability involves open and innovative collaboration. We are fortunate

to not only have a great internal group of folks working to continuously

improve but also a fantastic network of partners from across the country

and globe that help challenge and propel our sustainability commitment

forward.

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WISCONSIN SUSTAINABLE BUSINESS COUNCILInpro® has partnered with the Wisconsin Sustainable Business Council (WSBC) over the past year as our Sustainability Manager Amanda Goetsch took a leadership role on the Board of Directors. The WSBC is a network of Wisconsin businesses and organizations that are interested in, or actively responding to, the challenge of sustainability. Many businesses find themselves challenged by stakeholders to describe what they are doing in this field. The Council is designed to bring businesses together and provide resources to help businesses on their path toward being more sustainable. You may learn more about the WSBC by checking out the website at http://www.wisconsinsustainability.com/.


WISCONSIN GREEN BUILDING ALLIANCE AND UNITED STATES GREEN BUILDING COUNCIL Inpro® has been a long time partner and supporter of the mission of the Wisconsin Green Building Alliance (WGBA) as well as the United States Green Building Council (USGBC).

The WGBA is a nonprofit 501(c)3 charitable organization that serves the state of Wisconsin. They are the official Wisconsin Chapter of the US Green Building Council (USGBC) and represent USGBC and its programs in Wisconsin. Their Members and Board are a diverse group, and are passionate about green buildings and sustainable design.

The WGBA envisions Wisconsin as a place where all people live, work, and build sustainably because where we live, learn, and labor matters. WGBA works toward its mission through education, advocacy, and collaboration. You may learn more about the WSBC by checking out the website at http://www.usgbc.org/chapters/usgbc-wisconsin.

The USGBC is made up of tens of thousands of member organizations, chapters and student and community volunteers that are moving the building industry forward in a way that has never been seen before. They are a diverse group of builders and environmentalists, corporations and nonprofits, teachers and students, lawmakers and citizens that share the same vision of a sustainable built environment for all within the next generation. As of today, the USGBC is made of 76 chapters, 12,870 member organizations and 197,000 LEED professionals strong. You may learn more about the USGBC by checking out the website at http://www.usgbc.org.


MILWAUKEE SUSTAINABILITY ROUNDTABLE Milwaukee Sustainability Roundtables bring the Milwaukee region’s corporate sustainability leaders together into dialogue, discovery, and collaboration. It is a member-based organization of sustainability/ CSR business professionals from non-competing firms in the greater Milwaukee/SE Wisconsin business community. Quarterly roundtable discussions are held with peers and industry experts. The purpose of the organization is to create a community where local sustainability leaders can focus on issues and topics that matter to them; share ideas across industries; benchmark with each other; find opportunities for collaboration; bridge sustainability connections with the regions supply chain; grow their company initiatives and bottom lines; serve the greater Milwaukee business community.


HEALTH PRODUCT DECLARATION COLLABORATIVEThe Health Product Declaration Collaborative (HPDC) oversees HPD’s ongoing development, maintenance, and evolution. An HPD is an acronym for Health Product Declaration. The HPD is an open standard format for reporting product content and associated health information for building products and materials. Inpro® was one of the original pilot manufacturers to take part in disclosing product information through the Health Product Declaration. Since then, Inpro® has taken an active role in the HPDC Manufacturer’s Advisory Panel and continues to create HPDs for a number of our products.

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UL ENVIRONMENTInpro® has been a long time partner of UL Environment through programs such as Greenguard and Greenguard Gold Certification as well as Environmental Product Declarations. UL is a global independent safety science company with more than a century of expertise innovating safety solutions from the public adoption of electricity to new breakthroughs in sustainability, renewable energy and nanotechnology. Dedicated to promoting safe living and working environments, UL helps safeguard people, products and places in important ways, facilitating trade and providing peace of mind.

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THINKSTEP Inpro® first partnered with thinkstep in 2013 when we launched the very first known Environmental Product Declarations in our industry. thinkstep enables companies worldwide to recalibrate their strategies and operations for long-term sustainability success with unrivalled data, software technology, and consulting services.


ROAD TO SUSTAINABILITY PARTNERSSmart Motors, Lakefront Brewery, VOA, Cannon Design, Bgr3s, ANF, Project Green Fork, Axiall, UL Environment, Thinkstep

The road to Greenbuild® 2014 began in Milwaukee, 1,000 miles away from the New Orleans Convention Center. Inpro’s® Sustainability Manager, Amanda Goetsch loaded up her Prius (thanks Smart Motors Toyota—WI) and began her trip on the Road to Sustainability Tour, starting near the company’s Milwaukee home and ending up in the Mississippi Delta. Thank you to all the partners who participated along the way including Russ Klisch at Lakefront Brewery (WI), Susan Heinking at VOA (IL), Rand Ekman at Cannon Design (IL), Jay Sweeney at Brg3s (TN), Margot McNeeley at Project Green Fork (TN), Joe Wieronski at ANF (TN) Joe Gruska and team at Axiall (MS), Paul Firth and Dagmar Ebaugh of UL Environment and Heather Gadonniex and Nick Santero of thinkstep.

Inpro’s® journey came to life through visits with architectural firms, local food movement leaders and other companies and organizations committed to a more sustainable future. We learned a lot from all of our partners and thank them for their participation!

AWARDS + RECOGNITIONThe employees of Inpro® have been recognized by numerous

measurements. Our CEO, Phil Ziegler adds that Inpro® enjoys participating

in benchmarking exercises, however, “It’s not about the plaques. It’s about

holding ourselves up to review and measuring against other excellent

companies. This examination helps us continue to hone and enhance our

performance.”

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BUSINESS FRIEND OF THE ENVIRONMENTWisconsin Manufacturers & Commerce (WMC), the state’s chamber of commerce, honored Inpro® as a Business Friend of the Environment for 2014. The WMC recognized Inpro® as a laudable practitioner of Environmental Stewardship. For the past 25 years, WMC has sponsored the annual Business Friend of the Environment Awards program. An independent panel of judges representing industry, environmental groups, the Department of Natural Resources, and the University of Wisconsin select the Business Friend of the Environment winners.


GREEN MASTER’S PROGRAM The Green Master’s Program is a points-based recognition program run by the Wisconsin Sustainable Business Council. The program is a completely free, points-based recognition and assessment program that enables Wisconsin businesses of all sizes and from all sectors to be recognized for their sustainability actions. The top 20% of businesses and organizations in the program are awarded the certificate of Green Master’s Program Master. As more companies join the program this challenges us to integrate even more sustainability initiatives in to our business. Inpro® was proud to earn a certificate of Green Master’s Program Professional in 2014 and looks forward to striving toward Masters status once again in 2015.


CONCLUSIONWe hope you’ve enjoyed learning more about Inpro’s® commitment to becoming more sustainable in this year’s report. We are committed to improving our practices inside and outside our company walls—all with an eye toward our obligation to future generations. As technology, policy, knowledge and culture evolves so does our lens of sustainability. We are encouraged by the trends we see in the industry, however, we also realize the work isn’t done. Our doors are always open to those who wish to share next best sustainability practices and create environments for tomorrow’s necessary solutions. If you are interested in learning more we do have a full-time sustainability expert on staff as well as information at www.inprocorp.com/sustainability.

Documents

2015 Inpro Sustainability Report