Highlights from 2019

We are committed to being a socially responsible company by building the innovative
technologies that transforms lives around the world

Pay Equity

No statistically significant differences in salaries based on gender in countries where Cadence has employees


12%

Decrease in CO2e emissions
per full-time employee
(compared to 2018)


240%

Increase in charging
stations at San Jose, CA
headquarters


2

Recently launched products to help customers with sustainability
Tempus™ Power Integrity
Celsius™ Thermal Solver

2019 Activities

A summary of Cadence’s environmental, social and governance strategy, programs and activities

Innovation

Our Intelligent System Design strategy guides everything we do, influencing our product and service offerings, as well as partnerships with other industry leaders. Our products and services enable our customers to design innovative and differentiated electronic products. We believe that giving our customers a systems-level perspective throughout the design cycle provides faster and better design, shorter verification cycles, seamless integration of software and hardware, and new product leadership. We promote innovation at every level within Cadence.

We focused on the following in 2019:

We launched two products that help our customers look at the entire system, including power and thermal implications. With one of the new products, the Celsius Thermal Solver, customers can mitigate thermal issues from chip to package to board all the way through to system enclosures.

01 /06

Workforce: Our High-performance

Culture outlines the values and behaviors that will enable our employees to succeed at Cadence. We embed these values and behaviors throughout our business and use them to drive our business objectives. These values also influence our practices for hiring, goal setting, development, promotion, and recognition. The Great Place to Work Institute recognizes Cadence as an exceptional employer in many regions around the world. Our diverse team of passionate, dedicated, and talented employees go above and beyond for our customers, our communities, and each other.

We focused on the following in 2019:

We reviewed gender pay equity in all countries where Cadence has employees and as of July 1, 2019, there were no statistically significant differences in salaries based on gender in any country where we operate. We also provided unconscious bias workshops to managers to challenge ourselves and improve diversity and inclusiveness at Cadence.

02 /06

Environmental Sustainability

We regularly evaluate new ways to lessen the environmental impact of our facilities and business operations. Cadence monitors its performance on energy, water, waste, and emissions to conserve resources and reduce costs. Our culture of giving back inspires employees to plan environmental initiatives that improve the sustainability of communities where we operate.

We focused on the following in 2019:

We tracked and reviewed our greenhouse gas (GHG) emissions and our energy use across our operations.

03 /06

Data Privacy and Security

Cadence implements data privacy and security policies and procedures to protect our customers, partners, and employees. Our Information Security team works to identify and prevent risks to the protected data we collect. Our Chief Information Security Officer administers our data privacy and security program, with oversight from our Board’s Audit Committee.

We focused on the following in 2019:

We implemented changes responsive to the requirements of the California Consumer Privacy Act.

04 /06

Governance

Cadence benchmarks corporate governance practices of its S&P 500 peers and makes amendments to its practices to reflect their best practices. The Board, through its Corporate Governance and Nominating Committee, regularly reviews our corporate social responsibility program. In our annual engagement with stockholders in 2019, we discussed our environmental, social, and governance efforts in addition to our Board’s composition and diversity of background.

We focused on the following in 2019:

We reported to our Board of Directors on our environmental, social, and governance efforts and initiatives.

05 /06

Supply Chain

Cadence is committed to doing business honestly and ethically everywhere we operate. We expect our suppliers to conduct themselves with the same high standards as our own employees. To ensure our relationships with our suppliers meet and support these expectations, we joined the Responsible Business Alliance as an Affiliate Member in 2018.

We focused on the following in 2019:

We aligned our supply chain sustainability efforts with the Responsible Business Alliance's vision of a global electronics industry that creates sustainable value for workers, the environment, and business.

06 /06

A Statement from the CEO

Lip Bu Tan

At Cadence, we provide the technologies our customers need to design and optimize innovative and differentiated electronic products that conserve energy and power. In 2019, we continued this world-wide focus by adding even more to our technology portfolio and by adding power-aware benefits. Moving forward, we will remain committed to advancing this effort for our customers, investors, and communities and to fostering an environment where our employees can make an impact.

- Lip-Bu Tan Read More

Awards

Recognitions for our efforts around our environmental, social, and governance strategies.


100 Best Companies to Work For

Fortune

Top 50 ESG Companies and #1 in Tech Category

Investor’s Business Daily

Partner of the Year

Foundries

Top 50 Companies That Care

People

Thermal Management Product of the Year

ThermalLive

23 Global Recognitions

Great Place to Work Institute

Best in Europe and Asia

Great Place to Work Institute

Excellence in Corporate Social Responsibility

Mahatma Awards

Best in Show

Embedded World