Qualcomm Milestone 2

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Qualcomm Technologies, Inc. Tristyn Huet-Heart Southern New Hampshire University FIN-620-Q5427 Money and Capital Markets 23TW5 July 30, 2023 Dr. Collin Ezemma Ekeogu
Qualcomm Technologies, Inc. Comprising of 12 members, Qualcomm’s Board of Directors act as the fiduciary for all stakeholders of the company and oversees the management of business operations. Overseen by the Governance Committee of the Board, the Environmental, Social and Governance (ESG) Leadership Committee annually reports on the company’s corporate responsibility and ESG policies and “provides guidance on global ESG issues that are most important to Qualcomm and [the] key stakeholders so that it remains a central and visible component of [the] business strategy. (Qualcomm, Inc., n.d.) With executives and management from all functions of the company, the Committee takes a cross functional approach, ensuring involvement from all employees to strive and achieve the primary strategic objectives. Strategic Objectives A company driven by forward-looking visions, Qualcomm has established three strategic objectives that support the future endeavors of the company, its employees, and the planet. The 2022 Corporate Responsibility Report details the objectives that focus on the advancement and availability of technologies, corporate responsibility to ethics and integrity, and operational and environmental sustainability. Empowering Digital Transformations Defining most of the success of Qualcomm, are the inventions that solve fundamental technology problems for average users in their day to day lives. Driven by this success, one of Qualcomm’s strategic objectives is to empower digital transformations through way of future- focused research and development, breakthrough inventions and equitable access. The company is the “global leader in the development and commercialization of foundational technologies for the wireless industry.” (Qualcomm Inc., 2022) Continued success in advancement is a result of 2
the company’s dedication and long-term investments in research and development (R&D) , directing over 20 percent of revenue into R&D annually since 2006. (Qualcomm Inc., 2022) While advancement and inventions are a primary focus, so is the accessibility of the company’s products and services. For this reason, Qualcomm’s Wireless Reach initative focuses on providing wireless technologies to communities and people through means of grant funding and support programs. The iniative focuses on particual areas of need including education, healthcare, entrepreneurship, public safety and enviornmental sustainability. Qualcomm’s 2022 Corporate Responsbility Report indicated that the company’s 2025 goal is to “enrich the lives of 27 million people by continuing to bring technology to underserved communities around the world.” Acting Responsibility Qualcomm is also committed to operating in an ethical manner and holds business operations and relationships to an elevated level of integrity. The company’s secondary objective focuses on the ethcial governance, workforce culture, its commitment to business integrity. Each focus is aimed towards creating a enviromonment that promotes the wellbeing and development of employees and stimilates collaboraation and innovation. Ethical Governance Supporting the overall ethical objective, the Qualcomm Code of Business Conduct (CoBC) guides employees towards ethical decision making and sets the tone of integrity in every action. One of the top priorities is compliance with global anti-corruption laws, to which the obedience of the Global Foreign Corrupt Practices Act (FCPA) and Anti-Corruption Policy is mandatory for the entire company, including external contractors and suppliers. Encouraging a speak-up culture within the company, “team managers and senior leaders are encouraged to 3
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create an environment where employees can feel free to raise ethical questions or concerns.” (Qualcomm Inc., 2022) Workforce Along with a trusting work environment, Qualcomm aims to provide a diverse work atmosphere that supports the increase global awareness, foster inclusiveness and colloaboration, and accelerates the overall ability to innovate. In the 2022 Corporate Reponsibilty Report, the company reported goals for 2025 to increase the representation of woman leadership by 15 percent, increase underrepresented minorities (URM) in leadership roles by 15 percent and increase the overall representation of URM by 20 percent. (Qualcomm Inc., 2022) In addition to these goals, the diversity equity and inclusion (DEI) policy emphasizes the cultivation of innovators from different backgrounds that can bring new ideas to the table. Business Intregrity Beyond the internal culture, Qualcomm defines integrity as one of its core values and strategic objectives. In efforts to adhere to this objective, a Chief Risk and Compliance officer was appointined in 2022 whos focus is to direct complianace and risk mitigation stratgegies across the company’s growing segments. In addition, there is also strong emphasis on privacy and data protection. The Privacy team takes responsibility for the security practices, data protection awareness and training programs to protect the trust and respect of consumers. On a monthly basis, the team meets with internal committess including stakeholders to organize training and give updates on privacy and data-protection laws. (Qualcomm Inc., 2022) Operating Sustainably Qualcomm’s final strategic objective extends beyond the walls of the company and targets the welfare of the planet and its communities within. Corporate responsibility of 4
sustainability and climate-related issues are overseen by the company’s Governance Committee, whose goal it is to maintain operations and activities that serve in protecting the environment, conserve finite resources, and safeguard operations. In the 2022 Corporate Responsibility Report, Qualcomm aims to reduce greenhouse gas (GHG) emissions by 30% by 2025, 50% by 2030 and reach a net-zero global GHG emission by 2040. The company believes that “environmental sustainability is extremely important, with significant social and economic benefits that require collective action and leadership.” (Qualcomm Inc., 2022) Conclusion As a company that is a global leader in innovative ideas and inventions, it’s only fitting that the strategic objectives are also geared towards forward-thinking goals that protect company operations, its employees, and the planet. Qualcomm’s goals address the need to provide equitable technological advances globally, while also providing a diverse and secure work environment that encourages groundbreaking minds to collaborate. The company’s collaborative approach has integrated corporate responsibility to include all employees, from operations to executive leadership, ensuring that everyone is equally responsible in the success of the future. 5
References Board of Governers of the Federal Reserve System. (2023, January 20). Fed Functions: The Three Key Entities Transcript . Retrieved from Federal Reserve: https://www.federalreserve.gov/mediacenter/files/fed-functions-the-three-key-entities- transcript-20230120.pdf Board of Governors of the Federal Reserve System. (2023, July 5). Federal Open Market Committee . Retrieved from Board of Governors of the Federal Reserve System: https://www.federalreserve.gov/monetarypolicy/fomc.htm Chen, J. (2023, March 13). Reserve Requirements: Definition, History, and Example . Retrieved from Investopedia: https://www.investopedia.com/terms/r/requiredreserves.asp#:~:text=By%20increasing %20the%20reserve%20requirement,bank%20credit%20and%20lowers%20rates. Federal Open Market Committee. (2023, June 14). Press Release . Retrieved from Federal Reserve: https://www.federalreserve.gov/newsevents/pressreleases/monetary20230614a.htm Federal Reserve Board. (2016, October). What is the Fed? Retrieved from Federal Reserve Board: https://www.federalreserve.gov/mediacenter/files/what-is-the-fed-transcript- 2016.pdf McBride, J., Siripurapu, A., & Berman, N. (2022, November 8). What is the U.S. Federal Reserve? Retrieved from Control on Foreign Relations: https://www.cfr.org/backgrounder/what-us-federal-reserve#:~:text=The%20U.S. %20central%20banking%20system,supply%2C%20and%20regulating%20financial %20markets 6
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Qualcomm Inc. (2022). 2022 Qualcomm Corporate Responsibility Report. Qualcomm. https://www.qualcomm.com/content/dam/qcomm-martech/dm-assets/documents/2021- qualcomm-corporate-responsibility-report.pdf Qualcomm, Inc. (n.d.). ESG & Corporate Responsibility . Retrieved from Qualcomm, Inc. : https://www.qualcomm.com/company/corporate-responsibility 7