《羅蘭貝格：2025制藥行業ESG（環境、社會和治理）實踐報告：企業表現、關注重點及未開發潛力（英文版）（32頁）.pdf》由會員分享，可在線閱讀，更多相關《羅蘭貝格：2025制藥行業ESG（環境、社會和治理）實踐報告：企業表現、關注重點及未開發潛力（英文版）（32頁）.pdf（32頁珍藏版）》請在三個皮匠報告上搜索。

1、Pick your battles!REPORTESG in pharmaceuticals Environmental,social and governance(or ESG)criteria are becoming an integral part of day-to-day decisions and business strategies in every industry.The pharmaceutical sector faces distinct ESG challenges that include equitable access to medicines,pressu

2、re to innovate and supply chain control.Yet existing ESG assessment frameworks are often too narrow and fail to fully evaluate these unique considerations.In response,the Roland Berger Pharma ESG framework integrates 13 industry-agnostic indicators plus five more that are specific to the pharmaceuti

3、cals sector.Based on this framework,analysis of the ESG posture and performance of the top 30 pharmaceutical companies by market capitalization in 2024 reveals three key takeaways:First,there is still significant room for ESG improvement across the pharmaceutical industry.While key material topics(s

4、uch as patient safety)achieve high average scores,social indicators remain underreported despite their critical importance.Second,three clusters of pharmaceutical companies with different levels of ESG maturity can be identified:1.ESG initiators comply with basic ESG requirements and focus on identi

5、fying ESG risksand opportunities in key dimensions,but the goals they set are limited in scope.2.ESG aspirers go beyond these basics in terms of actual performance,but their tools and strategies for other indicators are still a work in progress.3.ESG frontrunners achieve the highest overall scores,a

6、re the most mature across all indicators and deliver a measurable impact.Third,many pharmaceutical companies have adopted a selective approach to ESG,seeking to set themselves apart on specific ESG lighthouse indicators.While lighthouses give companies an edge over their peers,this alone does not ma

7、ke them genuine ESG leaders:improving on hitherto underdeveloped indicators is the path to becoming a true ESG leader.The study confronts pharmaceutical executives with key strategic imperatives:the need to act on a broad spread of ESG priorities,to go beyond regulatory requirements and to demonstra

8、te ESG authenticity,for example.The Roland Berger Pharma ESG framework serves as a strategic tool to benchmark companies against pharmaceutical ESG leaders,identify areas for improvement and successfully navigate the evolving regulatory landscape.Cover:ppampicture/Getty ImagesManagement summary2 Rol

9、and Berger|Pick your battles!Contents 1 2 3 4 5 6The need for a holistic ESG framework tailored to the pharmaceutical industrySpearheading the drive for ESG The EU focuses on the environmental and governance dimensionsNot all pharmaceutical companies have thesame level of commitment and maturity acr

10、ossthe ESG dimensionsTwo main ESG strategies can be differentiated The pick your battles approach currently has the edge over holistic strategiesKey takeaways for pharmaceutical executivesMethodology46141923 24Page3 Roland Berger|Pick your battles!The need for a holistic ESG framework tailored to th

11、e pharmaceutical industry The importance of environmental,social and governance(ESG)criteria has surged across all kinds of industries in recent years.As stakeholders increasingly demand greater accountability and transparency,companies are recognizing that robust ESG practices are not merely a regu

12、latory obligation but a vital component of any sustainable business strategy.This shift is further amplified by a wave of new legislation:what started as a purely voluntary reporting approach with the launch of the Global Reporting Initiative(GRI)in 1997 has since become mandatory by degrees.Some ex

13、amples are the EUs Non-Financial Reporting Directive(NFRD)in 2015,its Sustainable Finance Disclosure Regulation(EU SFDR)in 2019 and the EU Taxonomy Regulation in 2020.While the EU has acted and continues to act as a trailblazer in ESG regulation,India too made Business Responsibility and Sustainabil

14、ity Reporting(BRSR)mandatory in 2021.In contrast,the impact of the US new Securities and Exchange Commission(SEC)Directive on strengthening climate disclosures remains to be seen in reports for the year 2024.The forthcoming EU Corporate Sustainability Reporting Directive(CSRD)will further widen the

15、scope of requirements,forcing EU organizations to embed ESG considerations in their core operations.As such,this directive is likely act as a blueprint for other global markets.The pharmaceutical sector faces unique challenges as it seeks to navigate this ever-evolving landscape.Aspects that must be

16、 addressed include everything from(1)ensuring access to medicines,especially in low-and middle-income countries(LMICs),through(2)stepping up efforts to drive innovation to(3)navigating rising pressure for integrated controls across end-to-end supply chains and(4)minimizing the environmental impact o

17、f drug production by leveraging green chemistry practices and active water management,avoiding contamination arising from the uncontrolled release of active substances or excipients.While many ESG indices already exist to measure pharmaceutical companies,they often focus on only a single aspect of E

18、SG.One example is the CDP(formerly known as the Carbon Disclosure Project),which focuses exclusively on environmental indicators such as climate change and water scarcity.Another is the Access to Medicine Foundation,which prioritizes three specific aspects of access in its evaluations.To date,there

19、is no end-to-end standard by which to evaluate ESG maturity based on the key material topics and challenges that exist in the pharmaceutical industry.The Roland Berger Pharma ESG framework closes this gap by adopting a more holistic approach that encompasses 13 industry-agnostic and five pharmaceuti

20、cal-specific indicators across all three ESG dimensions.The framework covers all of the main sustainability topics and challenges that exist in the pharmaceutical industry:1 A 1 Sustainable medicines(i.e.green chemistry)in the environmental dimension2 Access to medicines in the social dimension3 Pub

21、lic health innovation and security in the social dimension 4 Patient safety in the governance dimension5 Animal rights and testing in the governance dimensionWhile the other 13 indicators can be applied across different industries,the information reported for these indicators is specific to the phar

22、maceutical industry(including engagement with local healthcare professionals as a subset of engagement with local communities in the social dimension).11 Based on materiality assessment,ESG and annual reports,and investor updates,as well as corporate websites4 Roland Berger|Pick your battles!A The R

23、B ESG framework for the pharmaceutical industry,consisting of 18 indicatorsSource:Roland BergerEach indicator is further broken down into sub-indicators(42 sub-indicators in all),allowing for measurable benchmarking across key performance indicators(KPIs).These KPIs are expressed as scores from 0 to

24、 a maximum of 6(depending on whether a sub-indicator is disclosed and measured,whether a specific goal has been set,and what time frame is being used relative to the most ambitious targets in the industry).Taking all indicators,sub-indicators(11 in the environmental dimension,14 in the social dimens

25、ion and 17 in the governance dimension)and dimensions into account,a maximum score of 100 can be achieved by each company.For further details on the methodology and scoring,please refer to Chapter 6(Methodology)of this study.For the purpose of this study,the top 30 pharmaceutical companies by market

26、 capitalization in July 2024 were analyzed based on their own published material for the years 20222023.This sample enabled us to identify best practices in the pharmaceutical market and map out different strategies adopted by the markets largest players.Furthermore,it allowed us to identify gaps th

27、at need to be closed as well as potential ESG lighthouse topics for individual players in the industry.By providing a comprehensive analysis,our hope is that this study will equip industry leaders with the insights they need to thrive in todays rapidly changing environment.Water managementEmissions

28、reductionWaste and pollutionRenewable energiesSustainable sourcingDiversity and inclusionEmployeedevelopmentThird-party risk managementCompensation schemesStructure and oversightBusiness ethicsESG transparencyCORPORATE GOVERNANCEENVIRONMENTALSOCIALSpecific to life sciencesEngagement with localcommun

29、itiesGESAnimal rights/testingPatient safetyPublic health innovation and securityAccess to medicinesSustainable medicines(green chemistry)5 Roland Berger|Pick your battles!Spearheading the drive for ESG The EU focuses on the environmental and governance dimensions The upcoming European Sustainability

30、 Reporting Standards(ESRS)a subset of the CSRD will officially require double materiality(the impact of a criterion on both the company itself and on society and the environment)to be assessed for nearly 50,000 companies in the EU.Many pharmaceutical players are already publishing initial assessment

31、s.Although nearly all topics are ranked as having a strong impact on internal and external stakeholders,our assessment highlights four key topics for the pharmaceutical industry in 2022 and 2023:(1)access to medicines,(2)public health innovation/security,(3)patient safety and(4)business ethics.B 2B

32、Key material topics in the pharmaceutical industrySource:company websites,annual and ESG reports,Roland Berger analysis100010203040506070809010203040506070809010010045455055606570758085909550 55 60 65 70 75 80 85 90 95100Impact on external stakeholders%Impact on external stakeholders%Impact on inter

33、nal stakeholders(company)%Impact on internal stakeholders(company)%Indicators by dimension:Zoom 1 Access to medicines 2 Public health innovation/security 3 Patient safety 4 Business ethics Environmental Social GovernanceAnimal rights/testingKey topics 5 Employee benefits and safety 6 Sustainable med

34、icines 7 Emissions8 Employee development9 Diversity and inclusion10 Governance structure and oversight11 Third-party risk management12 Sustainable sourcing13 Engagement with local communities 14 Water management15 Renewable energy16 Waste and pollution 1 2 3 4 5 6 78910111213 1415166 Roland Berger|P

35、ick your battles!Close analysis of total sample performance across the key indicators in our Pharma ESG framework reveals four key insights:C,D 1 ESG reporting has yet to reach its full potential.The average ESG score for the pharmaceutical players in this study is just 54 out of 100 points.The high

36、est score,achieved by just one pharma player,was 68 points.This indicates that ESG journeys still have a lot of potential to mature further.All pharmaceutical companies including those that already score highly compared with their peers have the potential to further expand their ESG initiatives and

37、set more ambitious ESG goals.2 Overall ESG reporting transparency is improving across all indicators,as reflected in developments from 2022 to 2023.This trend is expected to continue in light of forthcoming additional legal requirements for EU-and US-based companies.3 Across the industry,reporting f

38、or environmental and governance indicators is more transparent than for social indicators,for which reporting is not mandatory.This can be explained by the historical focus of legislation on these two dimensions.For example,the CDP and the Science Based Targets initiative(SBTi)both focus on emission

39、 reduction targets.The Task Force on Climate-related Financial Disclosures(TCFD)is another example covering the environmental dimension.Indicators from the corporate governance dimension are largely covered by tighter regulations around corporate governance and risk management reporting standards(e.

40、g.various national corporate governance codes under the G20/OECD principles of corporate governance,and the European Federation of Pharmaceutical Industries and Associations EFPIA code of conduct for the promotion of medicinal products to healthcare professionals).4 In line with the above,ESG report

41、ing for the years 2022 through 2023 emphasizes the importance of business ethics and patient safety,giving the highest averages scores to these indicators in line with their status as key material topics.Conversely,key material social topics such as access to medicines and public health innovation a

42、nd security remain underreported,despite their self-assigned priority by the industry.Not all companies have the same level of commitment and maturity with regard to their ESG-frontrunners and aspirers currently set themselves apart by picking their battles.However,no single player emerges as a best

43、 practice across all indicators yet.Dr.Matthias Bnte,Senior Partner7 Roland Berger|Pick your battles!C Anonymized ranking of pharmaceutical companies Score1)by ESG dimension%of maximum score1 For each dimension E,S and G,all indicator scores are added(no weightings applied)Industry segmentHQ regionE

44、SGE+S+GDiversified LS-focusedEurope29(81%)17(58%)22(63%)#1668Diversified LS-focusedEurope28(76%)14(45%)#1025(%75)66Diversified LS-focusedEurope23(64%)#914(47%)#926(77%)63Biotech excl.new modalitiesAsia26(72%)#412(39%)#2024(70%)#461#4Diversified LS-focusedNorth America31(86%)11(35%)#2518(54%)#2860#5D

45、iversified LS-focusedNorth America22(61%)#1115(51%)22(65%)#1260#6Diversified LS&beyondEurope24(65%)#714(45%)#1022(66%)#1059#7Diversified LS-focusedEurope20(54%)#1417(58%)22(66%)#959#8Diversified LS&beyondEurope23(63%)#1012(41%)#1724(71%)59#9Diversified LS-focusedEurope26(71%)#513(44%)#1319(56%)#2358

46、#10Biotech excl.new modalitiesNorth America24(65%)#715(51%)19(56%)#2558#11Diversified LS-focusedNorth America19(51%)#1815(50%)#722(65%)#1556#12Diversified LS-focusedNorth America20(54%)#1415(50%)#621(61%)#1755#13Biotech excl.new modalitiesNorth America25(69%)#611(35%)#2319(57%)#2055#14Diversified LS

47、-focusedAsia19(53%)#1613(44%)#1423(66%)#855#15Biotech excl.new modalitiesNorth America17(46%)#2313(44%)#1224(70%)#554#16Diversified LS&beyondNorth America19(53%)#1615(51%)#518(51%)#2952#17Generics&biosimilarsAsia20(56%)#1311(38%)#2219(57%)#2051#18Generics&biosimilarsAsia17(46%)#2312(39%)#1822(65%)#1

48、251#19Biotech excl.new modalitiesNorth America16(43%)#2715(48%)#820(60%)#1850#20Biotech excl.new modalitiesEurope15(42%)#2912(39%)#1923(69%)#650#21Biotech new modalitiesNorth America16(43%)#2712(41%)#1522(65%)#1450#22Diversified LS&beyondAsia18(50%)#208(27%)#3023(69%)#7650#23Blood plasmaOceania19(51

49、%)#1812(39%)#2019(57%)#2049#24Biotech excl.new modalitiesNorth America22(61%)#118(28%)#2919(56%)#2549#25Biotech excl.new modalitiesEurope18(49%)#2212(41%)#1619(56%)#2349#26Biotech excl.new modalitiesEurope17(46%)#239(29%)#2822(66%)#1048#27Biotech excl.new modalitiesNorth America17(46%)#2310(32%)#261

50、9(57%)#1946#28Biotech excl.new modalitiesAsia18(50%)#2011(35%)#2316(48%)#3045#29Biotech excl.new modalitiesAsia13(35%)#3010(32%)#2719(55%)#2741#30Maximum score363034100#2#2#2#2#1#1#1#1#3#3#3#3#3Source:company websites,annual and ESG reports,Roland Berger analysis8 Roland Berger|Pick your battles!D E

51、SG performance in the pharmaceutical industry in 20222023Source:company websites,annual and ESG reports,Roland Berger analysisDeep-diving into geographical differences,the EUs role as a trailblazer for ESG regulations can be clearly observed from the ESG scores of Europe-based companies in 2023.E Th

52、is is true not only of absolute regional scores,but also of the relative differences between the runners-up:the USA,Asia and,in last place,Oceania.The distribution of ESG dimensions is equally focused on environmental and governance,with less emphasis placed on the social dimension.On the other hand

53、,the social dimension attracts greater attention in Oceania in terms of its overall ESG profile.The impact of the SECs climate disclosure rule,published for US-based companies in March 2024,is likely to be seen in next years evaluation,although it will once again focus on environment-related indicat

54、ors.Water managementEmissions reductionWaste and pollutionRenewable energiesSustainable sourcingDiversity and inclusionEmployeedevelopmentThird-party risk managementCompensation schemesStructure and oversightESG transparencyCORPORATE GOVERNANCEENVIRONMENTALSOCIALKey material topics within industryAv

55、erage score by indicator for 2023 reportingAverage score by indicator for 2022 reportingEngagement with localcommunities GESAnimal rights/testingBusiness ethicsPatient safetyPublic health innovation and securityAccess to medicinesSustainable medicines(green chemistry)NOTE:(i)Structure and oversight

56、and(ii)Business ethics are weighted proportionally on a 6-point scale for the purpose of illustration9 Roland Berger|Pick your battles!E ESG score performance by geographical regionDiversified life sciences companies such as GSK,Roche and Pfizer achieve the highest average total score across all seg

57、ments.They are followed by diversified companies in general,such as Bayer and Otsuka(panies operating in and beyond the life sciences segment).There is thus a clear signal that these companies demonstrate the strongest commitment to ESG across all indicators.At the other end of the spectrum,disease-

58、focused blood plasma players record the lowest average score as a segment of the overall sample,driven by lower scores in the corporate governance dimension.Overall,most pharmaceutical companies appear to use the environmental dimension as the main source of differentiation.This is indicated by grea

59、ter variation in scores in this dimension compared with social and corporate governance topics,where many pharmaceutical companies achieve roughly the same total scores.Our scoring system draws a clear distinction between reporting on actual ESG performance and the mere existence of goals on the one

60、 hand,and the level of ambition enshrined in said goals compared with best practices on the other.Accordingly,Roland Berger reflects distinctions between indicators based on the same logic.F The overall score level for environmental indicators is driven mainly by high shares of actual performance,wh

61、ile corporate governance indicators(such as patient safety and compensation schemes)are driven predominantly by goal ambition level.Given the paramount importance of patient safety in the pharmaceutical industry,there is still huge potential for companies to turn these ambitions into reality.At the

62、other end of the ambition spectrum,low or non-existent ambition levels on topics such as animal rights and testing,engagement with local communities,and sustainable sourcing could be explained by their lower perceived materiality for the given company and also for society at large and the environmen

63、t.However,the same cannot be true for Source:company websites,annual and ESG reports,Roland Berger analysisEuropeUSAAvg.environmentalscore100 max.achievableSampleaverage:54Avg.socialscoreAvg.governancescoreAsiaOceania5822201919131311122320211953GES514910 Roland Berger|Pick your battles!F ESG perform

64、ance versus goal ambition level versus gap to total score,by indicatorsustainable medicines and access to medicines,where ambition levels are equally low.Access to medicines is one of the most material topics in the pharmaceutical industry.As such,it touches on all topics that enable access,includin

65、g pricing(e.g.affordability strategies and tiered pricing),reach(e.g.the number of patients reached in low-and middle-income countries,or LMICs)and product donations.Performance across these sub-indicators is heterogeneous.While more than 40%of the screened companies have implemented initiatives and

66、 stated ambitious goals to increase their reach in LMICs,only 10%of companies have done the same to increase the affordability and reach of donations or partnerships for distribution programs.A deep dive into the topic of access to medicines is provided as part of our case study on health equity(see

67、 next page).Source:company websites,annual and ESG reports,Roland Berger analysis1.Emissions reduction6.02.Water management6.03.Waste and pollution6.04.Renewable energy6.05.Sustainable medicines(green chemistry)6.06.Sustainable sourcing6.01.Access to medicines6.02.Public health innovation&security6.

68、03.Engagement with local communities6.04.Diversity&inclusion6.05.Employee development6.01.Patient safety6.02.Animal rights/testing6.03.Third-party risk management6.04.Compensation schemes6.05.Structure&oversight2.06.Business ethics2.07.ESG transparency6.049%46%47%47%29%33%35%31%32%35%31%33%32%34%27%

69、82%100%33%24%13%16%26%3%7%6%21%1%11%7%50%68%23%32%18%28%27%42%36%28%68%59%59%48%67%54%61%17%42%41%39%Gap to total achievable score per indicatorAverage performance scoreAverage goal ambitionscore11 Roland Berger|Pick your battles!One increasingly important concept that is closely connected to aspect

70、s of the social and governance dimensions in ESG is health equity.While health equality focuses on ensuring equal access to health for all,health equity adds in other factors such as socioeconomic status,education and even food access to ensure that the best health outcomes are achieved.More specifi

71、cally,the World Health Organization(WHO)describes health equity as the state where everyone can attain their full potential for health and well-being,regardless of social,economic,demographic or geographic status or any other dimension of inequality(such as sex,gender or ethnicity).The pharmaceutica

72、l industry,as a producer and distributor of medicines,can advance health equity through various means(including medicine donations and health education).Given the multi-faceted opportunities to make such contributions,we therefore assess contributions to health equity not as an individual indicator,

73、but indirectly via the three following indicators in our ESG pharmaceutical framework:1.Access to medicines(social)2.Engagement with local communities(social)3.Patient safety Diversity in clinical trials(corporate governance)Access to medicinesIn low-and middle-income countries,critical treatments a

74、nd therapies for diseases that put society in general under pressure are often not covered by statutory health insurance.On the other hand,a variety of government and non-governmental organizations,company trusts and family foundations support access to medications for disadvantaged groups.By partne

75、ring with organizations that share similarly aligned interests(such as a focus on infectious diseases or womens health),pharmaceutical companies can create new sources of business that reach far beyond philanthropy,thereby generating both financial returns and non-monetary value.Engagement with loca

76、l communitiesranges from educating and empowering healthcare professionals by providing them with necessary training to awareness programs for patients.In pursuing such engagements,pharmaceutical companies seek to address not only the population undergoing therapy,but also those members of society w

77、ho exhibit relevant risk factors and initial symptoms.In our work,we have also seen Health equity Special contribution to ESG by the pharmaceutical industry1212 Roland Berger|Pick your battles!examples of support for local patient advocacy programs and professional societies in raising awareness of

78、rare diseases through white papers,roundtable events and educational events.Alongside various other efforts,such initiatives have given patient advocacy groups a seat at the table where reimbursement decisions are made.In addition,investments in infrastructure and digitalization processes(such as va

79、ccination monitoring platforms)are likewise important elements of strengthening local healthcare systems.Patient safetyEnhancing diversity and expanding access to clinical trials are key pillars of health equity.For instance,Pfizer has set itself the target of achieving US census population represen

80、tation or better in all clinical trials,following the finding of historical disparities.Another pharmaceutical company has translated trial guidelines into 30+languages and created a clinical trial diversity playbook that embeds diversity,equity and inclusion processes in clinical research planning.

81、These examples illustrate the broad range of potential measures that players in the pharmaceutical industry can take to advance health equity.With more and more such companies now embarking on this journey,we expect to see a continuous increase in health equity initiatives.Interestingly there is cur

82、rently a visible influx of initiatives that are not solely limited to LMICs.3The pharmaceutical industry can advance health equity through various means such as access to medicines,engagement with local communities as well as diversity in clinical trials.To accommodate these measures,pharma companie

83、s should embed health equity across all key functions,including manufacturing,supply chain,legal,value and access,commercial,and beyond.Filip Conic Partner13 Roland Berger|Pick your battles!Not all pharmaceutical companies have the same level of commitment and maturity across the ESG dimensions Our

84、analysis of 30 international pharmaceutical companies shows that not all companies have the same level of commitment and,hence,maturity with regard to their ESG reporting.In particular,three distinct clusters can be identified based on median indicator scoring:G1 ESG initiators(whose median indicato

85、r score is below 2.6)comply with basic ESG requirements regarding key indicators and focus on identifying ESG risks and opportunities in key dimensions(e.g.environmental).However,the goals they set are only limited in scope.2 ESG aspirers(whose median indicator score ranges from 2.6 to 3.4)go beyond

86、 these basics in terms of actual performance and even excel in selected indicators.For other indicators(such as the implementation of tracking boards),tools and strategies are still under development.3 ESG frontrunners(whose median indicator score is over 3.4 points)achieve the highest overall score

87、s,indicating that they are the most mature across all indicators(especially the social dimension)and deliver a tangible and measurable impact.The definition of ambitious but realistic goals for the medium to long term is what sets this group apart from the ESG aspirers.The frontrunners are perceived

88、 as sustainability leaders in the pharmaceutical industry,setting an example for aspiring companies to follow.To date,there is no single ESG player that consistently serves as a reference and best practice example across all ESG indicators and dimensions.Indeed,the ESG frontrunner with the highest s

89、core has a total score of only 67 out of a maximum of 100 points.In other words,ESG journeys are still nowhere near the finish line:they remain a work in progress.All pharmaceutical companies even those that already achieve higher scores than their peers thus have plenty of potential to further expa

90、nd their ESG initiatives and make their ESG goals more ambitious.Another relevant conclusion can be drawn from Illustration G:the fact that more than 70%of companies fall below the 1:1 line implies that their average is higher than their median score.In practical terms,this suggests that these compa

91、nies achieve one or more very high scores(serving as ESG lighthouses)in which they are positioned as best practices,and that this circumstance is their overall and average score.By contrast,companies above the 1:1 line have a higher median than average score.This signals that these companies ESG per

92、formance is being dragged down by indicators for which the company has a low score.Logically,therefore,these companies could achieve a stronger positioning and potentially transition to the ESG frontrunner cluster by closing the gap on their ESG cluster peers in areas where their performance is curr

93、ently weak.314 Roland Berger|Pick your battles!G ESG clusters based on maturitySource:company websites,annual and ESG reports,Roland Berger analysisMedian scoreAverage scoreThecompanyneeds toclose gapsto increaseits averagescoreThe company has someESG lighthouses that make its average score higher t

94、han the median1:1 scoreInterpretation of the results If the median is higher than the average,this signals that there are several indicators with low scores,damaging the overall and average score potential exists to close the gap for these indicators If the median is lower than the average,this sign

95、als that there are several indicators with high scores(e.g.6-scores).These indicators could become ESG lighthouses to set a company apart and improve its overall and average scores1.01.21.41.61.82.02.22.42.62.83.03.23.43.63.81.01.21.41.61.82.02.22.42.62.83.03.23.43.63.8Median(indicator)scoreAverage(

96、indicator)scoreESG maturitygroupsESG FRONTRUNNERSESG ASPIRERS ESG INITIATORSTo date,we have included 30pharmaceutical companies inour benchmark15 Roland Berger|Pick your battles!HAverage score by indicator and maturity clusterESG INITIATORSESG ASPIRERSWater managementWater managementEmissions reduct

97、ionEmissions reductionWaste and pollutionWaste and pollutionRenewable energiesRenewable energiesSustainable sourcingSustainable sourcingDiversity and inclusionDiversity and inclusionEmployeedevelopmentEmployeedevelopmentThird-party risk managementThird-party risk managementCompensation schemesCompen

98、sation schemesStructure and oversightStructure and oversightESG transparencyESG transparencyEngagement with localcommunities Engagement with localcommunities Animal rights/testingAnimal rights/testingBusiness ethicsBusiness ethicsPatient safetyPatient safetyPublic health innovation and securityPubli

99、c health innovation and securityAccess to medicinesAccess to medicinesSustainable medicinesSustainable medicinesn=14n=13(average profile)(average profile)16 Roland Berger|Pick your battles!Close analysis of the clusters performance across indicators leads us to draw three main conclusions:HFirst,ESG

100、 initiators focus mostly on heavily regulated indicators such as emissions reduction and business ethics,whereas less attention is paid to less strictly regulated social indicators.This finding is in line with the overall industry trend described in Chapter 2.Second,even the ESG frontrunners appear

101、to perform less well and more unevenly in the social dimension,in contrast with the environmental and governance dimensions.This is mainly due to two factors:(1)regulatory pressure that encourages ambitious goal setting to align with regional aspirations(in the European Union,for example)regarding t

102、he environmental and governance dimensions,and(2)the selective focus of pharmaceutical companies on specific social indicators.No company excels on most social indicators.Instead,each company opts to strengthen its efforts toward selected initiatives and indicators.On average,the screened companies

103、achieve a score of 3 or higher(out of a possible total of 6)for only one out of the five social indicators.Indeed,only three of the 30 companies screened(i.e.10%)reach 50%of the points achievable in three indicators across the social dimension,which is the highest score across the entire sample for

104、the social dimension.ESG FRONTRUNNERSWater managementWaste and pollutionRenewable energiesSustainable sourcingDiversity and inclusionEmployeedevelopmentThird-party risk managementCompensation schemesStructure and oversightESG transparencyEngagement with localcommunities Animal rights/testingBusiness

105、 ethicsPatient safetyPublic health innovation and securityAccess to medicinesSustainable medicinesn=3Average score by indicator in each categoryNOTE:(i)Structure and oversight and(ii)Business ethics have been weighted proportionally on a 6-point scale for illustration purposes(average profile)Emissi

106、ons reductionSource:company websites,annual and ESG reports,Roland Berger analysis17 Roland Berger|Pick your battles!I ESG performance versus goal ambition level versus gap to total score,by maturity clusterSource:company websites,annual and ESG reports,Roland Berger analysisLastly,taking into accou

107、nt score distribution between actual performance and goal ambition level,it becomes clear that ESG aspirers and frontrunners both have similar levels of actual ESG performance.The frontrunners,however,set themselves apart by setting more(ambitious)goals.Specifically,the three frontrunning companies

108、define more ambitious goals for access to medicines by formulating concrete targets around the affordability of novel therapies,for example,as well as the number of patients reached in LMICs.These targets are fleshed out with concrete examples such as product transfers to local production sites to e

109、nsure long-term supply of critical local malaria vaccines.Another social indicator emphasized by all three of these companies(in terms of the goals they set)is diversity and inclusion.They do this by introducing short-term goals for gender pay parity and gender balance in both management and the wor

110、kforce,and by drawing up clear roadmaps toward reaching the current best practice objective of a 30%ethnically diverse workforce.IESG INITIATORS(average profile)ESG ASPIRERS(average profile)ESG FRONTRUNNERS(average profile)39%30%38%44%37%41%44%40%41%11%7%21%17%7%24%28%13%26%50%63%41%39%57%35%28%47%3

111、2%363636303030343434Average goal ambition scoreGap to total achievable score per indicatorAverage performance scoreEEESSSGGG18 Roland Berger|Pick your battles!Two main ESG strategies can be differentiated The pick your battles approach currently has the edge over holistic strategies As a general rul

112、e,ESG strategies are located somewhere along a spectrum ranging from highly focused to more holistic.However,to date not a single company in our sample exhibits a uniform ESG profile that targets similarly strong performance across most or all indicators.This phenomenon can be attributed primarily t

113、o two key factors:1 Pharmaceutical companies are still developing holistic ESG strategies that go beyond the traditional corporate social responsibility perspective.Many are only now setting out on their ESG journey.2 More than 70%of companies in this sample have evidently adopted a pick your battle

114、s approach to ESG,aiming to set themselves apart on selected indicators in the medium term(Illustration G).Holistic ESG strategies,or uniform profiles,require companies to make heavy investments in terms of money,personnel and time.While winning across all dimensions and indicators still appears to

115、be a longer-term objective,the transition to a holistic strategy remains no more than an aspirational topic for now.In contrast,the selective ESG lighthouse strategy allows companies to pick their battles by positioning themselves as leaders for selected indicators.In this way,they seek to balance s

116、takeholders growing demand to see ESG results against their own resource limitations by focusing on selected topics.Furthermore,this strategy enables pharmaceutical companies to set themselves apart more clearly in line with their existing corporate vision and internal capabilities.Our analysis show

117、s that water management,sustainable medicines,ESG transparency and engagement with local communities are most often implemented as ESG lighthouse topics by pharmaceutical companies(Illustration J).At the other end of this spectrum,we find topics such as renewable energies,compensation schemes,waste

118、and pollution,and sustainable sourcing.The implication is that these topics are overlooked more often which,however,also makes them an opportunity for companies to further set themselves apart from their peers.Increasingly,the expectation is that companies will indeed define ESG lighthouses while al

119、so maintaining performance in line with peers on other indicators.This normative attitude will implicitly translate into a common development that is expected to drive up minimum ESG performance thresholds in the industry,and to drive the sector as a whole toward a more sustainable playing field.419

120、 Roland Berger|Pick your battles!When defining your companys ESG lighthouse topics,several considerations should be taken into account:1 Alignment with your corporate vision:The companys vision and strategic priorities are the starting points from which to identify ESG lighthouses.ESG criteria must

121、be embedded in the broader corporate strategy,and any decisions taken must move the organization in a common direction.2 Positioning of other pharmaceutical companies(i.e.finding your ESG blue ocean):Adopting indicators that have hitherto been neglected or deprioritized by other companies gives a co

122、mpany the chance to clearly set itself apart in the short and medium terms.Our study identifies several topics that fall into this category across the 20222023 reporting period.They are:renewable energies,compensation schemes,waste and pollution,and sustainable sourcing.3 Internal capabilities:Aimin

123、g to become a best-practice player on any aspect of ESG requires investments and capabilities that must be carefully assessed before this or that indicator is prioritized.Aligning your ESG lighthouse strategy with existing internal capabilities early on will create the most robust business case for

124、your company.4 Local and regional topics:Local and regional differences around ESG-related topics can unveil potential opportunities for companies to set themselves apart.For instance,according to the World Economic Forum,gender parity in East Asia and Pacific and in South Asia stands at 69%and 63%r

125、espectively,compared with 76%in Europe.This difference of almost 10 percentage points gives Asian companies an opportunity to prioritize D&I topics in such a way as to position themselves as Asian D&I frontrunners.Defining ESG lighthouse topics allows your company to set itself apart in alignment wi

126、th your corporate vision,capabilities and regional topics.Roland Berger is happy to support you in identifying the right topics for you.Valrie Czaya,Senior Project Manager20 Roland Berger|Pick your battles!ESG LIGHTHOUSE TOPICS CASE STUDY:SANOFI Sanofi,one of the ESG frontrunners,pursues an ESG ligh

127、thouse strategy.In line with the overall industry average,the company devotes the majority of its reporting efforts to the environmental and corporate governance dimensions,scoring approximately 75%of the possible total on both counts.Less attention is paid to social indicators(where 45%of the possi

128、ble total score is reached).Sanofis high scores in the environmental dimension are driven by lighthouse topics centered around waste and pollution and renewable energies.The company excels in its efforts regarding these indicators(100%of the possible total reached)by deploying concrete measures such

129、 as a pilot scheme for the proper disposal of unused medicines or photovoltaic panels in Europe and Asia.These activities are linked to measurable short-and medium-term targets that are tracked consistently(e.g.the change in renewable electricity since 2019,or the reduction in energy consumption sin

130、ce the previous year).Best-practice goals have either already been matched or are within reach in the next two years.On these topics,Sanofi sets itself apart,especially as many of its peers do not prioritize the same topics.JThe companys strong performance in the corporate governance dimension is dr

131、iven by reaching 5 out of 6 possible points for three indicators in this dimension:patient safety,third-party risk management and compensation schemes.Here,Sanofi sets itself apart by setting clear and reachable targets for supplier decarbonization;specifying in detail how it assesses and uses 300 s

132、upplier audits per year to cover all strategic high-risk suppliers(third-party risk management);and providing a detailed breakdown of employee benefits and protection,which also includes information on feedback KPIs,14 weeks of gender-neutral parental or family leave,and employee engagement scores(c

133、ompensation schemes).The provision of information on employee benefits at such a granular level is largely unmatched by the companys peers,who often focus their efforts on occupational safety and retirement KPIs.ESG LIGHTHOUSE TOPICS CASE STUDY:TAKEDAAnother example of a company that is successfully

134、 implementing ESG lighthouse initiatives is Takeda.Takeda positions itself as an ESG leader in the environmental dimension,placing strong emphasis on reducing emissions and managing waste and pollution.Here,the company reaches the highest achievable score.In addition,5 out of 6 possible points are s

135、cored in other critical environmental indicators such as water management and sustainable sourcing.These scores are driven by a couple of reported initiatives such as an already high share of sustainable secondary and tertiary packaging,alongside net waste-to-landfill targets for all locations throu

136、gh 2030 targets that match the industrys best-practice ambitions.In addition,Takeda has set itself net-zero targets across the value chain through 2040.On this score,it is one of the earliest players in the industry to have sound progress reporting already in place.21 Roland Berger|Pick your battles

137、!JLighthouse topics preferred by ESG frontrunners and aspirers Sustainable medicines (green chemistry)Engagement with local communitiesThird-party risk managementAnimal rights/testingEmployee developmentDiversity&inclusionBusiness ethicsPatient safetyEmissions reductionPublic health innovation&secur

138、ityAccess to medicinesStructure&oversightRenewable energyCompensation schemesWaste&pollutionSustainable sourcingESG transparencyWater management0.00.00.00.80.6-0.6-0.7-0.50.40.4-0.40.2-0.20.10.10.1-0.1-0.1Topics favored for adoption as lighthouse initiatives Topics that tend to be overlooked and mor

139、e often exhibit gapsSource:company websites,annual and ESG reports,Roland Berger analysisEnvironmentalSocialGovernance22 Roland Berger|Pick your battles!Key takeaways for pharmaceutical executives Aside from strategic considerations when setting up ESG lighthouse initiatives,our study identifies thr

140、ee key takeaways for pharmaceutical executives on their journey to ESG leadership:1 Pick your battles!Set priorities(referred to in this study as lighthouse topics)with regard to ESG.Base them on your corporate vision,your own USPs,your internal capabilities and regional variations.2 Take the initia

141、tive,set the goal,establish suitable KPIs,and continually measure and report on your achievements:Go beyond the reporting that is required by law.Build comparable KPIs in your lighthouse topics to further increase transparency and,hence,the trust of your investors and other stakeholders.3 Walk the t

142、alk:Demonstrate integrity and authenticity by reporting decisions made on related topics throughout the year not just as part of an annual ESG report.At Roland Berger,we help our clients answer strategic questions that will enable them to become or remain ESG frontrunners in their chosen industry.Ph

143、armaceutical companies need to address current gaps,potential structural problems and strategic questions if they are to continue to drive ESG maturity in an increasingly regulated field.Only by successfully addressing all these issues can they continue to shape the future and continue to fulfill th

144、e ever-more-demanding expectations of internal and external stakeholders.We would be delighted to discuss your companys ESG KPIs and how they fit into our Roland Berger ESG framework.We would be happy to support your ambition to remain or become an ESG frontrunner.5 In line with corporate governance

145、 codes and industry codes of conduct,ESG reporting for pharmaceuticals so far places a strong focus on business ethics and patient safety.While social topics such as access to medicines and public health innovation and security are recognized as key material topics,they require greater emphasis in r

146、eporting.Maria Jodra,Senior Consultant,Zurich23 Roland Berger|Pick your battles!MethodologyRoland Bergers ESG study for the pharmaceutical industry aims to help pharmaceutical companies(1)understand their current ESG positioning compared with peers,(2)assess their level of ambition,(3)identify gaps

147、where they need to catch up with peers and(4)identify relevant topics for ESG lighthouse initiatives that will help them stand out from the crowd.For this first edition,the top 30 companies by market capitalization in July 2024 were analyzed based on the tailor-made Roland Berger Pharma ESG framewor

148、k(Illustration A).We based our evaluation on publicly available information,including ESG and annual reports,corporate websites and ESG indices for the reporting years 20222023.The Roland Berger Pharma ESG framework is based on 18 industry-agnostic and pharmaceutical-specific indicators across the t

149、hree ESG dimensions(Illustration A).While this level of depth is useful for certain ESG exercises such as double materiality analyses,an index also requires a deeper level of detail to mirror the complex realities of ESG and the breadth of the topics it entails.To accommodate this need,we defined su

150、b-indicators for each indicator,breaking each indicator down into more readily measurable and benchmarkable sub-topics.As a result,42 sub-indicators were defined within our ESG framework.K624 Roland Berger|Pick your battles!K Indicators and sub-indicators in the RB Pharma ESG frameworkEnvironmentalE

151、missions reductionScopes 1 and 2Scope 3Water managementWater consumptionWater pollutionWaste and pollutionWaste minimizationSourcing of ren.energiesManagement of hazardous wasteElectric/carbonneutral fleetsPackaging/recyclabilityRenewable energiesSustainable medicinesLCAImplementation of new process

152、esSustainable sourcingPrograms(e.g.deforestation)Offsetting of env.impactDimensionIndicatorSub-indicators1.Emissions reduction Total emissions tons of CO2,broken down across-Scopes 1,2 and 3-Emitted gas(e.g.CO2,methane)%reduction vs.baseline (in line with set targets)Implementation of carbon impact

153、reduction programs and investments2.Water managementWater consumption Total water used and/or sourced million m3 Water discharge million m3%reduction vs.baseline (in line with set targets)Water pollution%of sites acting as good water stewards5.Sustainable medicines Total hazardous water generated th

154、ousand tons Total hazardous waste recovered thousand tons#ecotoxicological studies undertaken Programs/collaborative ventures for the reduction of hazardous waste from manufacturing6.Sustainable sourcing Agricultural,forestry,marine-derived materials that are sustainably sourced and deforestation-fr

155、ee as a%of total sourced materials%of supply chains certified (e.g.Forest Stewardship Council)Partnerships/programs to preserve material sources (e.g.forests,oceans)3.Waste and pollutionWaste reduction Total waste generated thousand tons%reduction vs.baseline (in line with set targets)Waste manageme

156、nt Total waste to landfill thousand tons Recycling and reuse%of PVC used in packaging%of recovered waste through circular routes4.Renewable energyConsumption Total purchased electricity by type GWh Energy consumption TJ Substitution by renewable energy Renewable energy as%of total energy consumption

157、 and/or purchase Energy efficiency kWh/EUR 000 external sales Eco-fleet as%of total fleet#projects and scale for renewable energy(e.g.solar)25 Roland Berger|Pick your battles!SocialAccess to medicinesAffordabilityReach in LMICsPublic health innovation and securityContribution to fightendemic disease

158、sInnovation levelEngagement with local communitiesAntimicrobial resistanceVolunteering programsStrengthening of healthcare systemsCommunitiesinclusionAssociations participationDonation programsDiversity and inclusionEmployee developmentGender gap(equity pay)Gender balance in top mgmt.Training progra

159、msInternal promotionsDimensionIndicatorSub-indicators1.Access to medicines Reach in LMICs Number of patients reached by products in LMICs thousand patientsAffordability and donation programs#products provided without profit#patients reached by affordability programs Product donations local currency2

160、.Public health innovation and security R&D expenditure as%of total sales#projects in the pipeline-Focus on(i)endemic diseases (e.g.Chagas disease),(ii)NMEs and(iii)AMR solutions#ongoing phase I/II/III programs Contribution to job creation#jobs created and GDP local currency4.Diversity and inclusionI

161、nclusion of women Women as%of total employees%of women as SVP/VP,director,manager and BoD)Pay equity Pay gap between men and women%Other communities inclusion%Ethnic groups(e.g.Asian)as%of total Disabled employees as%of total5.Employee developmentInternal training Employee engagement score%#employee

162、s receiving training#hours of training per employeeEducation sponsorship#employees being sponsored for graduate programs(if applicable)3.Engagement with local communitiesVolunteering programs#hours by employees in volunteering programs#employees participating in volunteeringStrengthening of healthca

163、re systems Investment in communities local currency#partnerships(e.g.local governments)#people with improved access to healthcare26 Roland Berger|Pick your battles!Source:company websites,annual&ESG reports,Roland Berger analysis1 Reduction,Refinement and ReplacementGovernanceAnimal rights/testingTh

164、ird-party risk managementPatient safetyClinical trialsProduct quality(GMP)Pharmacovigilanceand complianceCounterfeit controlCompensation schemesStructure and oversightBusiness ethicsESG transparencyDimensionIndicatorSub-indicatorsRefineThird-party oversight programsReduceEnergy efficiency in supplie

165、rsCode of ethics enforcementDedicated board/position for ESGReplaceHuman rightsassessmentExternal reporting on briberyDisclosure of corporate structureEmployee benefits and protectionTop pensationEmployees compensation structure1.Patient safety Clinical trials Publication:#clinical trials published

166、Diversity:%of ethnic groups in clinical trials Oversight:#clinical trials auditedQuality and audits#site inspections(e.g.FDA)vs.total sites#certified sites(e.g.GMP,ISO)#product recallsCompliance#independent compliance reports#compliance certifications#finesCounterfeit control Awareness:#education pr

167、ograms implemented Tracing:implementation of product-tracing identifiers Control:#websites/channels supervised Collaboration:#partnerships with regulatory bodies Employee benefits Disclosure of compensation scheme(e.g.variable vs.fixed)%health insurance coverage by employer%of retirement plan benefi

168、t coveragePublication of top management compensation Total compensation received and breakdown by module5.Structure and oversight Disclosure of corporate structure(organigram)Assignment of an ESG position/responsibility6.Business ethics Application measures for the codeof ethics#reports on bribery i

169、nstances Implementation of whistleblower/helpline systems7.ESG transparency#publications on ESG (internal and external)#appearances in external media (e.g.podcast)2.Animal rights/testing(3Rs1)Reduction%reduction in animal usage (if possible,by species)vs.baselineRefinement Initiatives implemented to

170、 refine study methodsReplacement Estimated#of animals replaced by new testing techniques(e.g.in vitro)3.Third-party risk managementHuman rights and oversight programs#audits/DD for tthird-party suppliers#reported breaches and/or corrective measures#Collaboration with external evaluators4.Compensatio

171、n schemesEmployee safety and protection#fatalities and/or#occupational injuries#reportable injuries Lost time due to injury rate (per 100,000 hours worked )27 Roland Berger|Pick your battles!These sub-indicators lay the foundation on which scores can be attributed to pharmaceutical companies perform

172、ance in the Roland Berger Pharma ESG framework.For each company,each sub-indicator was rated on a scale from 0 to 6 based on publicly available information.Taking due account of all dimensions,indicators and sub-indicators(11 for the environmental dimension,14 for the social dimension and 17 for the

173、 governance dimension),a maximum score of 100 could be achieved.LScores per indicator ranged from 0 to 6,with the exception of business ethics and structure and oversight.Between 0 and 2 points were assigned for these indicators,as goals cannot be stated for them.The score was designed to reflect co

174、mpanies advances and performance to date in each indicator,and to measure the level of ambition to make further progress on that indicator by benchmarking their goals across sub-indicators.L Overview of scores by ESG dimensionSource:Roland BergerSub-indicatorx14Indicatorx5Socialscore range:0-30Sub-i

175、ndicatorx11Indicatorx17Indicatorx6Indicatorx7Environmentalscore range:0-36Governance1 score range2:0-34Scoring by sub-indicator Sub-indicator not disclosed Sub-indicator disclosed Sub-indicator with dedicated activities and programs Sub-indicator with stated goal Sub-indicator with low-ambition goal

176、 or with end-goal out of reach Sub-indicator with lower ambition vs.best practice but end-goal within reach Sub-indicator with ambitious goal(best practice)0123456AverageAverageDimensionEESSGG1 Governance structure and oversight and 2 business ethics are evaluated on a scale from 0 to 2 qualitative

177、indicators have no stated goals28 Roland Berger|Pick your battles!The scores for each sub-indicator are outlined in Illustration K.The first three out of six points were attributed if:1 The sub-indicator was disclosed/cited.2 The company was taking initiatives to improve its performance in this sub-

178、indicator.3 The company has concrete goals(i.e.quantifiable and measurable targets)for the sub-indicator.The remaining three points were attributed based on the level of ambition inherent in the goals stated for each sub-indicator.For each sub-indicator,the company stating the ultimate goal( zero)an

179、d aiming to achieve it in the shortest time frame was identified and designated as the best practice for that sub-indicator.To avoid overemphasizing very ambitious but unrealistic goals in the scoring,the level of ambition in goal setting was evaluated based on two main dimensions:1 Time frame,i.e.w

180、hen the goal is expected to be achieved by.2 Closeness to the goal outcome in comparison to the best practice (e.g.within reach or out of reach).Based on these two dimensions,a scoring matrix was leveraged to allocate the additional three points and reflect the ambition of the goals compared with th

181、e best practice.MM Scoring matrix for the level of goal ambitionSource:Roland BergerBest practice goal but later than best practiceIntermediate goal on track for best practiceBest practiceSemi-ambitious goal but on track for best practiceTime frame vs.best practiceGoal vs.best practiceClose to or ma

182、tching best practiceBest practice out of reach2+years earlierShould match best practice within 2 years2-5 years later 5 years laterWithin reach of best practice+3.0+1.5+2.0+1.5+0.5+0.5+0.5+0.5+0+0+0n.a29 Roland Berger|Pick your battles!AUTHORSFURTHER INTERNATIONAL ROLAND BERGER PHARMA CONTRIBUTORS:D

183、ACHREST OF EUROPELennart BschH Marco Bhren MStephan Fath DDr.Morris HosseiniBDr.Thilo Kaltenbach MDr.Omer SakaZDr.Michael Baur BKai Balder LKoen BestemanAJulien GautierP Anne MoorePHans NycteliusSDr.Matthias BnteSenior Partner Zurich+41 Filip Conic Partner Vienna+43 Valerie CzayaSenior Project Manag

184、er Zurich+41 Mara Jodra CarrilloSenior Consultant Zurich+41 Elena MuggenthalerSenior Consultant Zurich+41 MIDDLE EASTASIASara Barada D Aditya AgarwalS Atsushi Kiyoizumi T Soosung LeeS This publication has been prepared for general guidance only.The reader should not act according to any information

185、provided in this publication without receiving specific professional advice.Roland Berger GmbH shall not be liable for any damages resulting from any use of the information contained in the publication.2025 ROLAND BERGER GMBH.ALL RIGHTS RESERVED.Michael Caracache R Sarah Li S Yoshihiro Suwa S 01.202

186、5ROLANDBERGER.COM24_2068_REPROLAND BERGER is one of the worlds leading strategy consultancies with a wide-ranging service portfolio for all relevant industries and business functions.Founded in 1967,Roland Berger is headquartered in Munich.Renowned for its expertise in transformation,innovation across all industries and performance improvement,the consultancy has set itself the goal of embedding sustainability in all its projects.Roland Berger revenues stood at more than 1 billion euros in 2023.PublisherRoland Berger GmbHSederanger 180538 MunichGermany+49 89 9230-0