Novartis US Equal Employment Opportunity/Diversity & Inclusion Report 2021
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Contents OVERVIEW3 EQUAL EMPLOYMENT OPPORTUNITY REPORTING 4 TALENT 6 SOCIETAL IMPACT 10 MOVING FORWARD TOGETHER14
Novartis US EEO/Diversity & Inclusion Report 2021 | 3 Overview ovartis strives to achieve high standards of Diversity & Inclusion (D&I) in our cul- N ture and values, as embodied in our company’s Code of Ethics. D&I is an integral part of our strong commitment to corporate responsibility and is fundamental to our inspired, curious and unbossed culture. It is endorsed at the highest level of the company and central to the way we run our business. As a diverse and inclusive organization, we are better positioned to drive innovation, get closer to patients and other stakeholders, and have a lasting impact on our world. Our executive leaders take accountability for corporate responsibility and D&I efforts, led by Patrice Matchaba, Head of US Corporate Responsibility and President, Novartis US Foundation, and Marion Brooks, Vice President and US Country Head, Diversity & Inclusion. Together, they work with N ovartis employees across the US business to implement a range of innovative programs designed to augment and support our diverse talent base and shape a more inclusive and equitable society.
4 | Novartis US EEO/Diversity & Inclusion Report 2021 Equal Employment Opportunity Reporting As part of our ongoing commitment to in the US that provides demographic discussion of our many initiatives to fur- D&I, Novartis is taking the initiative to information related to gender, race and ther D&I at N ovartis as well as make a publicly disclose the consolidated US ethnicity of a c ompany’s US employee positive impact on society. Our goal is EEO demographics that we prepared population. to provide transparency and insights for the US Equal Employment Oppor- into our efforts to support continued tunity Commission. This is a govern- This report provides a summary of progress on D&I. ment-required submission filed by all the data submitted to the government companies with 50 or more employees along with some context, including a Novartis total US EEO-1 data as of 12-31-20 with gender breakout GENDER RACE/ETHNICITY Gender of Novartis US employees Race or ethnicity of Novartis US employees by job category by job category Executives First/mid-level managers Women Men 15.5% Asian total total 20.6% Asian 7% Hispanic 2.8% Black 6.3% Hispanic 0.7% Others Executives 4.2% Black 74% White 38.9% 61.1% 1.3% Others 67.6% White First/mid-level managers 48.1% 51.9% Professionals Sales 3.6% Asian Professionals 28.1% Asian 6.3% Hispanic 57.5% 42.5% 6.5% Black 1.6% Others 82% White Sales 53.5% 46.5% 7.9% Hispanic 6.9% Black 1.8% Others 55.3% White
Novartis US EEO/Diversity & Inclusion Report 2021 | 5 GENDER BY RACE/ETHNICITY Race, ethnicity and gender of Novartis US Gender of all Novartis US employees by race and ethnicity – not divided by job category employees by job category Executives First/mid-level White Asian managers 0.4% 1.7% Women Men Women Men 4.2% 52.2% 47.8% 54.7% 45.3% 0.6% 2.0% 0.7% 3.2% 9.0% 2.2% 3.1% 0.3% 1.1% 2.8% 10.6% 10.0% 6.5% Hispanic Black Women Women Men Men Women Men Women Men 28.2% 45.8% 32.1% 35.5% 54.8% 45.2% 57.4% 42.6% Professionals Sales 0.9% 4.2% 0.9% 3.5% 4.6% 3.4% 0.7% 1.9% 3.0% 0.9% 2.9% 2.7% 1.7% 3.3% 16.8% US EQUAL EMPLOYMENT OPPORTUNITY COMMISSION JOB CATEGORIES 11.3% Executive/senior-level officials and managers Professionals are defined as VPs and above. are defined as non-managers whose roles typically Women Women require a bachelor’s degree or equivalent – both First/mid-level officials and managers Men Men exempt and non-exempt – excluding sales roles. 31.0% 24.3% 43.8% 38.2% are defined as all non-executive functional or people managers and supervisors. Sales workers are defined as all non-management White Asian Hispanic Black Others sales positions.
Talent At Novartis, we aspire to have an employee population that reflects the populations we serve in terms of the representation of women and people of color, particularly at the leadership level. To help us realize this important goal, we have designed and implemented a number of initiatives that already are yielding results. Recruitment and retention Case study: Making a sales organization more diverse Diverse hiring panels and slates In January of 2020, Novartis US imple- In addition to corporate- and country-wide initiatives, individual business units mented guidelines requiring gender and at N ovartis are embracing the benefits of diverse teams. In 2020, the Novartis racial/ethnic diversity both in candidate sales organization for Cardiovascular, Renal and Metabolic (CRM) joined with slates as well as on the panels inter- our D&I talent acquisition team to develop and implement a comprehensive viewing these candidates. Having diver- strategy to make the sales force more diverse and reflective of our customers sity in both slates and panels is critically and their patients. They used as their model a highly successful six-year old important to the success of this ini program that recruits military veterans for CRM sales positions. tiative. Since its launch fifteen months ago, more than 90% of our candidate CRM’s Diversity Hiring Initiative takes a strategic and targeted approach to re- slates are now gender diverse and more cruiting and developing talent. They work directly with a recruiter to put together than 80% are diverse in their r acial/eth- diverse candidate pools and slates, in geographies across the country. nic representation. To assist in identifying new talent, CRM engages the company’s ERGs, includ- In addition, N ovartis hired a dedicat- ing the African Ancestry & Cultural Exchange, CapABLE (employees with visible ed D&I talent acquisition team to help and invisible disabilities), Chinese Cultural Community, Hispanic Latino Network, us identify and attract diverse talent to Military Affinity Group and Slavic Culture Club. They also leverage alumni net- the company. Our Employee Resource works from Historically Black Colleges and Universities. The program includes Groups (ERG, discussed below) also intensive training, mentoring and one-on-one engagement for participants. play a vital role in our recruitment efforts.
Novartis US EEO/Diversity & Inclusion Report 2021 | 7 Profile: Garrett Bryant One day, a friend and former Novartis employee told him the company was ac- For Garrett Bryant, career advice al- tively looking for candidates to fill crit- ways seemed to point in one direction. ical sales roles. Garrett was intrigued “People would always tell me I should and learned about a N ovartis program go into sales,” he said. Today he is a that hired graduates of HBCUs into sales Novartis virtual sales specialist based positions. He applied and was accepted, in Charlotte, NC. “I like connecting with joining the company at the beginning of doctors and other medical profession- this year. als who are directly helping patients,” he says. Starting a new job in the middle of a pan demic has been a challenge, especially After graduating in 2014 from North because so much of sales work requires Carolina Agriculture and Technical face-to-face interaction. But Garrett University, one of the country’s Histor- jumped right in, immersing himself in ically Black Colleges and Universities intensive training in virtual sales as well (HBCUs), Garrett began a career in as in the clinical profile of our product healthcare. He held positions in manu- portfolio. “It’s been pretty intense since facturing and customer service but re- day one, but I get a high level of person- which I like, and also I can see plenty of ally wanted to make the jump to sales, al and professional support in the sales opportunity here to grow and achieve where he felt he could have the biggest organization,” he says. “Novartis has a my career goals.” impact helping people. welcoming and family-oriented culture, part of a three-person team supporting “I was impressed by the intensive train- an important Novartis cardiovascular ing about the sales process as well as product in the Albany, Georgia, region, the products I would be supporting,” with a lot of autonomy and initiative in he says. “I also heard incredible sto my work.” ries about the difference our products were making in the lives of loved ones Ryan credits his military service with and friends, and that drove me even helping him step confidently into a new more to succeed.” Since joining the role. “In the Army I learned how to adapt company six years ago, Ryan has been quickly to new situations, how to em- promoted twice and received three na- brace different cultures and build trust- tional sales awards. ing relationships between very different people, and how to function effectively Ryan credits mentors at all levels with as a team, thinking and operating as helping him get off to a strong start in one,” he says. “I knew these skills his sales career at Novartis. “People would serve me well in my next career were so generous with their time and following the Army.” Sales seemed like wisdom, and it made all the difference Profile: Ryan Demastus a good fit for him, since he considered for me,” he says. Now he is working himself a “people person” who liked to with colleagues to create a new men- When Ryan Demastus joined the channel his enthusiasm into something torship program for future hires in the Novartis sales force in 2015, he knew he believed in. CRM sales force who are new to the he was embarking on a very different pharmaceutical industry. “Mentoring journey than his previous nine-and-a- After being offered positions with and hands-on support will help ensure half year career in the Army. “I was used many different companies, Ryan chose that people – including veterans – who to highly structured environments in Novartis because of the company’s join the sales organization will have the distant places like Korea, Iraq, Afghan- unique program that hires veterans tools to reach their full potential here at istan and Kuwait,” he said. “Now I am without previous sales experience. Novartis,” he says.
8 | Novartis US EEO/Diversity & Inclusion Report 2021 Gender equity initiatives female leaders across five divisions to commitments by 2023, both in the US In 2018, Novartis chose to directly chal- support our female talent in their career and globally. In addition, in the US and lenge gender inequity by becoming the development. We are currently evalu- several other countries, we no longer first pharmaceutical company to join ating this program with a view toward look at any candidate’s prior salary the Equal Pay International Coalition expanding it going forward. when making internal and external of- (EPIC), a UN-sponsored initiative work- fers, and we conduct regular pay equi- ing to achieve equal pay for women These initiatives build on ongoing com- ty analyses for each of our US-based and men worldwide. As a member of pany efforts to promote greater partic- companies and take remedial action as EPIC, we made a global commitment ipation of women in leadership roles. appropriate. In 2021, we are advancing to achieve gender balance in manage- They include Leading Up, a six-month pay transparency further by sharing ment and further improve our pay equity development program specifically de- with our employees their pay as com- and transparency processes by 2023. signed for emerging women leaders. pared to external benchmarks, and look To date, we are making good progress Each participant engages in a com- to further expand this to internal bench- toward this goal. prehensive exploration of her career marks in 2022. goals, personal development and the In 2020, the percentage of women in impact she has on the organization. A We have also adopted a number of fam- management globally at Novartis rose specific action plan is developed that ily-focused initiatives that improve the to 45%, and in the US the figure was focuses on development of important lives of both women and men, such as slightly higher – 47.5%. To accelerate leadership skills and traits, including Choice with Responsibility, which sig- this momentum, we are pursuing var- networking, persuasive communica- nificantly increases flexible working ious initiatives to improve gender bal- tion and executive presence. Since the opportunities and strengthens work- ance. For example, our commitment to program’s launch in 2008, 224 women life balance, and our expanded Gender balanced candidate slates and inter- have participated, with many moving Neutral Paid Parental Leave, open to all view panels is having a direct impact on into key leadership roles. employees globally, which provides a the number of women joining the com- minimum of 14 weeks paid leave to all pany. And in 2020, we launched a glob- We also remain on track to meet our new parents following the birth or adop- al Executive Sponsorship Program for EPIC pay equity and transparency tion of a child.
Novartis US EEO/Diversity & Inclusion Report 2021 | 9 Fostering inclusion MEP Profile: Multicultural Engagement Program Charmaine Anthony In 2020, Novartis launched our Multi- cultural Engagement Program (MEP) Charmaine Anthony is passionate to strengthen our inclusion efforts and about helping patients with sickle cell ensure engagement – and improve re- disease (SCD), an extremely painful tention – of ethnically and racially di- and life-threatening blood condi- verse employees. The one-year pilot tion primarily affecting individuals of program included African American/ African ancestry. As a Medical Science Black employees at the Associate Di- Liaison Director, supporting the Benign rector and Director levels in the US Hematology and Sickle Cell unit in the Innovative Medicines organization. Novartis Oncology mid- Atlantic ter- Participants were provided executive ritory, Charmaine puts her extensive coaches, e xecutive mentors and learn- training as a pediatric sickle cell nurse ing sessions to accelerate their person practitioner and clinical educator to al and professional development and good use, helping healthcare providers help prepare them for senior l eadership understand SCD and make informed roles in the company. decisions on treatment options for their patients. We are pleased with the results of the MEP pilot and are now expanding “One of the most important aspects the program. More than 60% of the of my job is making sure patients have first class of participants have seen access to therapies that can potential- their careers advance, either through ly benefit them,” she says. “SCD is a professionally and acquire extremely promotion or key assignments that global disease and the majority of pa- valuable new skills,” she says. “The strengthens their experience profile. tients affected are in low-income and networking, mentorship and training Feedback has been extremely positive, underserved communities. I am proud opened my eyes to a leadership path with participants benefiting from net- and humbled to do my part to advance forward for me, and also made me more work- and community-building along education about the disease, reduce confident and resilient.” with direct, hands-on coaching, mentor- stigma and advocate for patients.” ing and sponsorship designed to further Charmaine received a promotion during enhance personal development, pro- Charmaine is also part of the first group the program and was one of the speak fessional development and leadership of N ovartis employees to participate in ers at the graduation ceremony for the capabilities, and expand exposure and the company’s innovative Multicultur- first MEP class. She remains an enthu- sponsorship across the organization. al Engagement Program (MEP), which siastic “ambassador” for the program. In 2021, the program was expanded to provides direct one-on-one coaching, “This is a huge investment in people by include Hispanic employees as well. We training and executive monitoring for di- Novartis and a commitment to helping will stay involved with MEP participants verse talent, preparing them to assume employees realize their full potential,” she for at least three years following their critical leadership roles in the future. says. graduation, to track their careers and “MEP helped me grow personally and provide follow-up support.
10 | Novartis US EEO/Diversity & Inclusion Report 2021 Employee Resource Groups ing underserved communities. Recent- Teletha Brown, co-chair of the African Employee Resource Groups (ERGs) ly, N ovartis D&I partnered with Public Ancestry & Cultural Exchange (AACE) are employee-led groups that support Affairs to connect several group Chairs ERG, summarizes the value of ERGs in our diverse and inclusive workplace at with Members of Congress to discuss one word: community. “AACE provides Novartis. Their activities align with our the value of ERGs to a global enterprise opportunities to network and connect company purpose of reimagining med- like Novartis and the positive role they formally and informally, along with op- icine to improve and extend people’s play in furthering the company’s D&I ob- portunities to give back to the com- lives, and also with our US and global jectives and helping shape society. munity and provide information and D&I priorities of Equity, Inclusivity and resources to hundreds of colleagues Society. ERGs play an important role For Melissa Patterson, co-chair of across the organization,” she says. For in helping us live our values as a com- the PRIDE@East Hanover group for John Sun, lead of the Chinese Culture pany, advance our business objectives, LGBTQIA+ employees at the company’s Community, “ERGs are a great platform recruit and develop our talent, and in- East Hanover, New Jersey, US head- to learn and expand our own leadership crease employees’ engagement. quarters site, “ERGs are a great place capabilities.” to proactively further diversity and There are currently 28 ERGs across inclusion at Novartis and a community Novartis US work sites totaling approx- where we can share our own goals and imately 6 500 members. The groups needs in a safe and welcoming space.” are engaged in internal and external She notes that “ERGs can also foster activities ranging from mentoring and allyship, which is so important to build- networking, to developing programming ing broad support for D&I at N ovartis.” for employees around heritage and Executive Sponsors for PRIDE and special recognition months, to organiz- other ERGs, as well as other company ing community outreach events, includ- leaders, are all allies.
Novartis US EEO/Diversity & Inclusion Report 2021 | 11 Societal impact At Novartis, our commitment to furthering D&I extends beyond the workplace. We are also working to build a stronger, safer and more inclusive society. Through initiatives led by our company as well as the Novartis US Foundation, we are focusing on addressing persistent disparities of care that hit individuals, families and communities of color especially hard. Meeting diverse patient needs ious A frican populations and those of periences of program alumni, PRISM African ancestry. participants have a high likelihood of ovartis has a long history of pursuing N successfully completing their studies novel treatments for diseases that af- We also believe it is important to en- and moving into meaningful careers in fect diverse populations, including courage diversity in science educa- science and research. people in underserved communities tion to help build a broad-based talent and regions. We start by analyzing pipeline in biomedical scholarship and Diversity in clinical trials our early-stage pipeline to ensure our training. In 2010, the N ovartis Institutes drug candidates have the potential for BioMedical Research established It is vitally important to have broad- to meet the needs of diverse groups, the N ovartis PRISM (Postbaccalaure- based participation in pharmaceutical and continue this focus through the ate Research InternShip & Mentoring) clinical studies, to help researchers find proof of concept stages and into later Program, targeting under-resourced better ways to fight diseases, includ- development. recent college graduates – including ing those that disproportionately affect women, first-generation college stu- racial and ethnic minority groups. Cur- ovartis also collaborates with other N dents, underrepresented minorities rently, underrepresentation of diverse companies and organizations to sup- and others – from across the US and groups in clinical trials appears to be a port scientific research into genet- around the world. key contributing factor to the disparity ic diversity. For example, in January of care. 2021, N ovartis and GlaxoSmithKline Under the program, participants come announced a joint effort to improve to N ovartis research facilities for in- ovartis is active on a variety of fronts N the efficacy and tolerability of cur- tensive hands-on training, mentoring to further diversity and inclusion in rent and future medicines among var- and development. Based on the ex- clinical trials. For example, we are pur-
12 | Novartis US EEO/Diversity & Inclusion Report 2021 suing partnerships and other strategic relationships to enhance clinical trial accessibility and expand geographic reach. This includes exploring alterna- tive recruitment models and aligning with trial centers and local hospitals in areas with diverse patient groups. Our goal is to increase our network of inves- tigators and expand the overall number of locations offering trials. In collaboration with physicians and clinical staff, we are also working to produce educational materials and tool- kits to mitigate some of the attitudinal and language barriers to participating in clinical trials. In addition, we are in- corporating the patient perspective to improve clinical trial designs, clinical trial access and participation, and re- cruitment, enrollment and retention of diverse populations. We are exploring ways to reduce practical barriers as well, such as transportation challenges and scheduling conflicts. Separately, the Novartis US Founda- tion is committing USD 15 million to initiatives that address the vast under representation of Black Americans, provement’s Pursuing Equity Learning & a pledge to lead a legacy of fewer lives Native Americans, Hispanics, and other Action Network, which brings together lost to the disease. Working with advo- minorities in clinical trials. healthcare organizations to learn about cacy groups and organizations like the and identify bias in the system. These Association of Black Cardiologists and Addressing disparities in care learnings are used to shape policies to the Black Heart Association, this initia- and health equity create more equitable care. tive places special emphasis on raising awareness of the disproportionate im- ovartis believes an important way we N COVID-19 has shined a harsh spotlight pact of cardiovascular disease within can achieve greater health equity is to on disparities of care and their impact Black and other minority communities. address persistent disparities in the way on disadvantaged communities. The US healthcare is approached, accessed Foundation’s support of the New Jersey Mentoring programs and delivered. We are confronting these Primary Care Association’s Telehealth disparities in innovative ways, such as Innovation Grant Program, initiated just For many years, Novartis has partici- promoting greater diversity in pharma- before the onset of the pandemic, ena- pated in mentoring programs designed ceutical clinical trials (discussed above) bled five New Jersey Community Health to bring employee volunteers together and supporting education programs Centers to rapidly launch telehealth ser- with individuals who can benefit from that raise awareness about diseases vices shortly after the pandemic began, direct, hands-on support. Since 2008, and treatments. Often, we work in part- ensuring continuity of care for some of we have hosted a Disability Mentoring nership with patient and community or- the state’s most vulnerable populations. Day for New Jersey high school stu- ganizations that share our commitment dents as part of a nationwide initiative to health equity. Education and awareness are an im- by the American Association of Peo- portant part of our efforts to reduce ple with Disabilities to promote career The Novartis US Foundation is very disparities in care. For example, in development for students and job seek- active in this effort as well, committing 2020 N ovartis launched The Legacy ers with disabilities. more than USD 12 million to promote We Lead, a first-of-its kind community greater health equity and lower barriers activation initiative that aims to stop the ovartis also invites New Jersey stu- N to care. These funds support projects rise of cardiovascular disease mortality dents in grades 8-12 from a wide range like the Institute for Healthcare Im- by rallying diverse stakeholders around of cultural backgrounds to come to
Novartis US EEO/Diversity & Inclusion Report 2021 | 13 our East Hanover campus for a three- in the 1990s to a multifaceted initiative External recognition day mentoring program focused on to include small and diverse suppli- introducing them to the pharmaceuti- ers in our e xtensive supply chain as a Our D&I achievements continue to be cal industry and providing insights into business imperative. Today, small and recognized outside the company. In various career opportunities. Launched diverse companies deliver more than 2020, we once again ranked among in 1996, the Novartis Teen Corporate USD 400 million in goods and services just seven companies in DiversityInc’s Mentoring Program has earned the to our company’s US operations. Hall of Fame, and also number one in praise of the New Jersey State Senate our industry in the Refinitiv Diversity & and General Assembly, which cited the Key to the initiative’s success is our Inclusion Index for the second consec- program in naming N ovartis the “Most focus on identifying, developing and utive year. In addition, we scored 100% Dedicated Mentor”. The program has mentoring small and diverse suppliers. on the LGBT Corporate Equality Index been a huge success, inspiring many of Every year N ovartis holds a Supplier of the Human Rights Campaign and the students to become first-generation Diversity Business Forum, where more were named a Military Friendly Employ- college students. than 100 strategically identified small er for 2020 by Victory Media, publisher and diverse suppliers meet with the US of GI Jobs Magazine. Supplier diversity procurement team and others to learn about doing business with Novartis and ovartis believes that diverse suppli- N the value of partnering with diverse ers provide unique expertise as well companies. We are also aligned with as innovative ideas, products and ser- five national and local business asso- vices to our businesses. Supplier di- ciations to help build capacity for small versity at Novartis has grown from a and diverse businesses through formal government reporting effort beginning supplier mentoring programs.
14 | Novartis US EEO/Diversity & Inclusion Report 2021 Case study: Addressing sickle cell disease break their silence about the impact and burden of the dis- ease. Since the program’s inception, people within the sickle ovartis is pursuing a comprehensive approach to tackling N cell community have shared more than 1 000 stories on the sickle cell disease (SCD), a hereditary and life-threatening website, JoinGenS.com. condition that causes ongoing vascular damage and repeated injury to blood vessels and organs. This lifelong illness – which ovartis has also supported US nonprofits working with the N disproportionately affects individuals of African ancestry and SCD community as part of our STEP (Solutions to Empow- other people of color – often takes an extreme emotional, er Patients) Program. In 2019, we provided USD 250 000 in physical and financial toll on patients and their families. In the funding for innovative programs to help empower SCD pa- US alone, there are about 100 000 people living with SCD. tients with significant unmet needs to better navigate the healthcare system, and support them as they transition from For more than a decade, N ovartis has been seeking to better pediatric to adult care. The diverse group of grant recipient understand sickle cell disease and pursuing improved treat- organizations included patient advocacy groups and research ments for it. In 2019, the US Food and Drug Administration institutions, reflecting the broad impact of the disease. approved an important new Novartis treatment for SCD that is helping many patients. In addition, we are pursuing promising new pathways to- ward more effective treatments of SCD, including in the We are also actively working to raise awareness about the area of breakthrough gene therapies. In February 2021, we condition and expand SCD patient access to treatment and announced a collaboration with the Bill & Melinda Gates care, partnering with patient groups and other organizations. Foundation to discover and develop an accessible in vivo In 2018, we joined with a number of patient advocacy organ- gene therapy for the disease. This agreement aims to ad- izations to launch Generation S, a national sickle cell story- dress disparity in access to treatments and to prioritize pop- telling project designed to encourage the SCD community to ulations and regions that bear the greatest burden of SCD.
Novartis US EEO/Diversity & Inclusion Report 2021 | 15 Moving forward together At Novartis, D&I is a constant work in tinually assessing our progress toward initiatives to continue to make a real dif- progress, as we continue to seek new achieving our D&I goals, and holding ference for our employees and our pa- ways to make our company more di- ourselves accountable to the highest tients, so that together we can discover verse and inclusive and to help society standards. As we move forward, we are more, reach underserved communities, move in a positive direction. We are con- excited about the potential of our D&I and reimagine medicine.
Novartis US EEO/Diversity & Inclusion Report 2021 | 16
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