Our stakeholder groups, as of December 31, 2015, include the following:
Employees – Masco and its business units had approximately 25,000 employees in 35 countries, approximately 60 percent of whom worked in the United States.
Investors – Masco is a publicly-traded company and had approximately 4,000 shareholders of record as of December 31, 2015.
Customers – Our customers include home center retailers, other retailers, dealers, distributors and homebuilders. Our largest customer is The Home Depot, which represents approximately 33 percent of our consolidated 2015 net sales.
Consumers – The ultimate consumers of our goods include builders, contractors, designers, installers and homeowners.
Communities – Masco’s principal North American facilities consist of 46 manufacturing facilities and 27 distribution and warehouse facilities, and its principal facilities outside North America consists of 20 manufacturing facilities and 23 distribution and warehouse facilities. Community involvement and good citizenship are important parts of the Masco corporate culture. Through the Masco Foundation, the Company has demonstrated its commitment to a variety of arts, cultural and housing-based organizations, such as Habitat for Humanity, serving the communities in which its companies and employees reside.
Suppliers – Masco buys raw materials and parts for its products from a wide range of supplier companies around the world.
Masco views its business–first and foremost–as one that serves its stakeholders. From our customers to our business partners to our employees, we know our financial and corporate sustainability performance depends on establishing good relationships with those we serve and rely on in the communities in which we work and live. We believe in engaging with all of our stakeholders honestly, respectfully and with integrity. Our stakeholder groups have been identified through a number of processes, namely feedback from Masco’s SSC, SSC Working and Advisory Groups, and employees, feedback directly from stakeholders, studies from recognized industry organizations, and evaluation of peer benchmark studies.
We routinely seek input on what we make and sell, and how we operate internally and externally through employee surveys, shareholder meetings, market research and customer satisfaction analyses. The qualitative market research studies we conduct typically include questions related to the importance of sustainability to customer buying decisions.
Our approach has been to respond to various investors, highly-respected nongovernmental organization and advocacy group inquiries for information. We also believe that our Corporate Sustainability Report is an effective method for providing meaningful communications with our stakeholders about our sustainability practices. In addition, Masco interfaces regularly with sustainability executives from other companies. This has enabled peer review and learning within a network of trusted professionals. We also engage in sustainability best-practice exchanges with other companies.
Masco’s suppliers are engaged through our enterprise-wide Supplier Business Practices Policy and audit process, and each Masco business unit has one or more managers or groups responsible for ensuring employee engagement in their respective organizations.
Through executive interviews, online bulletin boards and focus groups, Masco seeks to connect with its customers and build a two-way conversation. This conversation is enabled by a corporate Customer Satisfaction Index initiative across our North American business units that continually captures, evaluates and reports on how our channel customers, consumers, designers and installers perceive our product offerings. Our business units undertake qualitative and quantitative “Voice of Customer” market research to guide their development efforts for new products focused on the needs of their customers.
This report pays special attention to the topics of greatest concern to our principal stakeholders. These topics include innovative and sustainable products and energy usage.