Environment
Committed to conducting our business in an environmentally sustainable matter
Environment: Conducting business sustainably
At ICON, we understand that climate change poses substantial threats to our planet, our operations, people, patients and communities and we remain dedicated to alleviating our environmental impact.
Across our global footprint, our plans for sustainability consider our environmental performance related to Greenhouse Gas (GHG) emissions, energy use, waste generation, procurement-related activities and more.
ICON's environmental goals
ICON’s GHG emissions reduction targets validated with SBTi
In 2024, the Science Based Targets initiative (SBTi) validated ICON’s near- and long-term science-based emissions reduction targets and verified our net-zero science-based target by 2050.
Environmental management and targets
Two fundamental pillars shape our environmental initiatives: our Global Environmental Management Policy and Global Environmental Management Plan (together EMP). These pillars establish ICON’s goals and targets for reducing our carbon emissions and energy footprints.
To support analysis and reporting accuracy, ICON onboarded a new carbon emissions reporting platform, Watershed, in 2024. It played a key role in helping to calculate our Scope 3 emissions, providing our full environmental footprint, as we worked with SBTi to receive verification and set our new targets. This platform allows ICON to capture Scope 3 data in a centralised portal.
Minimising our environmental footprint in our operations
ICON has adopted the mitigation hierarchy of avoid, reduce and purchasing renewable energy to better define the roadmap for attaining our targets. We will prioritise avoiding and reducing our negative impacts on the environment while only offsetting the impacts of those activities that we can neither eliminate nor curb.
New energy efficient offices
As ICON leases most of our offices and facilities, we work with our landlords and leasing agents to update our operations to become more environmentally sustainable. In 2024, we reduced our real estate footprint by downsizing or closing 16 offices and relocating 4 locations to new buildings such as our state-of-the-art office in Trivandrum, India, all of which are BREEAM or LEED certified. The benefits of these actions include increased efficiency, lower cost of utilities and a reduced carbon footprint.
Reducing carbon emissions
We continually track, calculate and report our GHG footprint and we apply the GHG Protocol Corporate Standard - the globally recognised corporate accounting and reporting benchmark for calculating carbon emissions as part of our dedicated transparency around minimising our environmental impact. EY provides limited assurance annual verification of ICON’s Scope 1 and 2 emissions data in accordance with ISAE3000 (revised) and ISAE3410.
In 2024, we reduced our combined Scope 1 and 2 market-based GHG emissions by 70.06% compared to our 2019 base year.
This achievement surpasses our SBTi validated near-term target of a 61.2% absolute reduction by FY2028. This progress also aligns with our broader SBTi validated goal of achieving net-zero GHG emissions across the value chain by 2050.
With our newly implemented software platform, Watershed, we will be able to closely monitor our Scope 1, 2 and 3 emissions and explore further opportunities to reduce our environmental impact.
Reducing energy consumption
As we work to further reduce emissions, we also concentrate on reducing our energy use. Our goals include switching to 100% renewable energy sources by the end of 2025 and reducing our electricity consumption by 20% by 2030. At the end of 2024, ICON was 94% of the way to achieving our electricity consumption reduction goal having decreased our consumption by 19% compared to 2018.
Minimising our environmental footprint in our value chain
There is a connection between the health of people and the health of the planet. That is why we partner with our employees, suppliers, customers and patients to better manage emissions and reduce our environmental footprint across our value chain.
ICON employs a range of tools including Watershed, our carbon emissions reporting platform, to expand Scope 3 emissions data tracking and calculate our Scope 3 inventory. This tool allows ICON to capture all scope 3 data in one centralised portal.
We adopt strategies to reduce Scope 3 emissions across areas such as purchased goods and services, upstream transportation, business travel and employee commuting. To reduce business travel, we promote teleconferencing and virtual meetings whenever possible and have embraced new reduction solutions through remote patient monitoring and decentralised clinical trials. While ICON strives to provide alternative solutions to minimise business travel, some travel is necessary to meet customer needs.
Beyond business travel, our procurement team has implemented the Sustainable Procurement program to collaborate with suppliers to identify low-carbon products and services to address the remaining Scope 3 emissions categories.
Compared to our SBT base year, 2022, ICON has decreased Scope 3 emissions by 7.56%
ICON participates in CDP on an annual basis. CDP is a globally recognised system that allows companies to measure and manage their environmental impacts. We scored a rating of B- for our 2024 Climate Change response against our 2023 activity. To view our response, visit the CDP website.
Engaging our supply chain
We are driven to engage suppliers to lessen the environmental impact on our value chain. We expect our suppliers to adhere to our Global Supplier Code of Conduct, which requires them to comply with all applicable environmental regulations and laws.
In 2024, when onboarding and reassessing suppliers, we shared a new supplier guide on sustainability that offers useful resources and guidance on carbon emissions and other topics. We also updated key suppliers on how we will engage with them to improve sustainability across the business. For all suppliers, our Sustainable Procurement Policy outlines our commitment to and expectations for supplier engagement. We also continue to invite suppliers to participate in the EcoVadis program.
Engaging employees on sustainability
ICON would be unable to reach our sustainability targets without the passion, partnership and engagement of our employees. Team members worldwide participate in our Green Champion Network (GCN), transforming our commitments into actions by finding opportunities for awareness, education and change at a local level.
A highlight of our GCN is Sustainability Month, which is celebrated in May each year. Throughout the month, employees globally take part in community-based charitable and educational activities and challenges, such as clothing drives, household item swaps, tree planting and beach preservation events. In 2024, 44 locations across 31 countries participated in the event.
Beach clean-up during sustainability month
In Chennai, India, we marked Sustainability Month with a series of eco-conscious activities designed to enhance environmental awareness and support conservation endeavours. Most notably, on May 25th we hosted oura coastal clean-up in partnership with the Environmental Foundation of India (EFI), where 96 volunteers from ICON’s Chennai office cleaned up Astalakhmi Templatle Beach. This activity emphasised the significance of collective action to preserve pristine coastlines and helped spread awareness on the impacts of littering on maintaining healthy beaches.
Celebrating sustainability together
ICON’s 2024 environmental photo contest highlighted the power of human action in tackling environmental challenges and inspiring a greener future. The photo contest’s theme, “Restoring the Balance: Human Efforts to Heal the Planet”, celebrates the innovative ways individuals and communities are rejuvenating ecosystems.
Entries included images of reforestation, regenerative gardening, clean-up efforts, renewable energy, sustainable agriculture, wildlife conservation and community sustainability projects.
