This year, Advanz Pharma published its inaugural environment, social and corporate governance report highlighting the efforts the company is making into becoming more socially responsible, sustainable and progressive. Here, we speak to Rob Sully, General Counsel & head of ESG and Fiona Huzarski , vice President Global HR about the report and what it means for Advanz.
Why have you chosen to publish your first ESG report this year?
RS: We have been actively involved and committed to our ESG responsibilities as an organisation for a very long time. In fact, our ESG Committee was initiated back in 2013 and, since then, we’ve been doing extensive work behind the scenes, whether that’s working closely with children’s charities in Mumbai, or enabling continued patient access to critical medicines globally throughout the height of the pandemic. With the effects of Covid-19 easing and the world as we know it continuously evolving, it seems like a natural timing to launch our inaugural report and really make our voice, and that of the generics sector, heard within the industry.
With COP26 highlighting the importance of sustainability throughout government and industry, what is ADVANZ PHARMA doing to make its work more environmentally friendly?
FH: We are closely analysing our carbon footprint when it comes to our global supply chain, such as challenging where we can switch transport methods, including closely monitoring our shipping and air freight channels to reduce environmental impact wherever possible. On a more local scale, we have a number of employee-led initiatives within each of our global offices, such as recycling waste into useful materials as part of our ‘Go Green’ initiative in India, switching to green electricity providers, installing automatic lights, removing single-use plastics and offering alternative milks. We have also taken a critical look at the need for business travel, we plan to offer an all-electric car fleet, as well as considering how we can mitigate our carbon footprint by offering virtual alternatives for meetings, while providing hybrid working so employees don’t need to commute into the office every day.
Do you think there is enough work being done throughout pharma to make it a more sustainable industry?
RS: The pandemic has shone a spotlight on the vital role the industry plays in providing sustainable solutions and contributing to greater social responsibility. It’s great to see an increasing number of pharmaceutical companies delivering on their sustainability objectives, however there is still much to be done to improve production processes, optimise supply chains and reduce energy consumption. Due to the global operation of many pharmaceutical companies, including our own, it’s crucial that we collaborate closely with regulators to ensure manufacturing, development and disposal of our products is undertaken in the greenest way available, while tracking our carbon emissions and power usages closely. For us, it’s all about reducing our environmental impact as much as possible while ensuring that patient welfare and safety is always at the forefront.
How does ADVANZ ensure that its medicines are supplied in a cost-effective manner so that patient access is increased?
RS: As a company, we are dedicated to focusing on product quality and delivering medicines that are sustainable for healthcare systems around the world, even in cases where market selling prices fall below the cost to manufacture. We monitor the prices of our medicines on a ‘portfolio basis’, which means that we consider price increases and decreases across all of our medicines, to ensure we maintain continued access for patients. Our aim is always to deliver value to our customers, whether that’s through an improved product which targets an area of unmet patient need, or by providing a more cost-effective solution to budget-constrained hospitals.
ADVANZ has implemented progressive working policies such as flexible working, personal development opportunities and its Women’s Network. How important are these aspects of working, including greater diversity, to the everyday running of the company?
FH: These initiatives are absolutely vital to who we are as a company. For three decades we have championed a truly multicultural workforce and we have a culture where we genuinely believe that the more diverse and inclusive we are, the better the organisation will be as a result. With our ADVANZ Women’s Network, we strive to embed a culture of equitable opportunities where every woman has access to a level playing field and the ability to truly reach their potential. The Network is still evolving and most of our work over the last year has focused on understanding the challenges female employees face and providing a ‘safe space’ to openly discuss these, as well as working closely with the Healthcare Businesswomen’s Association. We led our first development workshops last year focussed on understanding Imposter Syndrome and self-awareness and have since seen a number of promotions into management positions, demonstrating the importance of this support network in nurturing future leaders within the business.
What changes did ADVANZ have to implement throughout the pandemic?
FH: As with the majority of companies around the world, there were a number of changes we had to quickly implement during the initial outbreak of the pandemic. Our employees were, and still are, our top priority throughout this period, which was clearly communicated from the outset. We were quick to set-up a daily Covid Task Force, with our employees as the main focus of discussions. One of our priorities has been looking after our employees’ wellbeing, both physically and mentally during remote and hybrid working, and we have arranged a host of activities as a result, including mindfulness sessions, yoga classes and resilience training, as well as training Mental Health First aiders across the organisation. As the pandemic eases we have shifted to hybrid working so that employees can come into the office when they feel comfortable to do so, and have also established meeting-free days each month to give staff time to recalibrate and reduce screen time as needed.
RS: On the business side, the pandemic actually affirmed many of the decisions we made before Covid hit. Prior to this, we had optimised our inventory levels so that we could ensure continuity of supply despite any supply chain interruptions, so that patients were not adversely affected. In addition, we had already shifted to a hybrid working model, whereby we had increased our digitalisation, put relevant IT systems in place and ensured agility across functions within the organisation. When we all had to start working remotely last year, this really validated the forward-thinking decisions we had already made as a company.
Do you think the off-patent sector should have more input when it comes to broader conversations within life sciences?
RS: Absolutely, the off-patent sector still remains a relatively unheard voice at the table within the industry, but we have a fantastic story to tell. Through our offering of off-patent medicines, we can provide essential cost savings to healthcare systems, freeing up budgets so they can be allocated where there is greatest need: such as investment in front-line workers or the latest innovations in cancer treatment. We’re committed to improving patient outcomes by enhancing the critical medicines they depend on; sometimes these can be for populations of a handful of people who suffer from a rare disease, but we are dedicated to ensuring our medicines reach those that rely on them. Millions of patients globally have benefited from better access to high quality therapies as a result of the use of generic medicines and we are committed to working in partnership with the healthcare community to improve this further, while contributing to more stable and competitive pharmaceutical markets.
ADVANZ was the first company to reach ISO 37001. Why was this accreditation important and is the company targeting other goals such as ISO 50001?
RS: We are extremely proud to have been the first pharmaceutical company in Europe to reach ISO 37001 accreditation for our comprehensive compliance management systems. Transparency and trust are at the core of our values at ADVANZ PHARMA and so this recognition was important in demonstrating our commitment to ‘best in class’ compliance. We are now targeting ISO 50001 accreditation.
How does ADVANZ plan to reach its ESG ambitions and how does this approach align to the company’s values?
RS: As the world moves on from the pandemic, it seems like the ideal timing for ESG initiatives to take precedence and, as a company, we’re passionate about making our goals a reality. Our values are based around being a truly global business that supports one another and our local communities, as well as ensuring all of our decisions are based on integrity in delivering the best possible service to our customers. We operate in a complex and competitive environment, but we always aim to do what’s right for the healthcare systems and patients we serve.
In terms of our ambitions for the future, it’s easy for companies to make promises, and we recognise that more needs to be done in certain areas, but we’re wholeheartedly committed to reaching the tangible goals set out in our report and are excited to see these come to fruition in the years to come.