Contract development and manufacturing organizations (CDMOs) play a key role in the production and distribution of the world’s medicines and vaccines. But these companies also have another role to play on the global stage when it comes to accountability and commitment to climate change reform.
As the world has changed during the COVID-19 pandemic, so have the priorities of businesses, investors, and consumers. The definition of success no longer means simply bringing in revenue. It also means demonstrating a firm commitment to environmental policies, its employees, and the communities that depend on these companies for answers and solutions. Companies now want to show that they can help rebuild the world in the aftermath of the pandemic, so they put forth several ways to measure their impact on the environment, communities, and their own employees.
Over the last year, Samsung Biologics has taken several steps to lay the foundation for its commitment to ESG principles. The company has made it its mission to help shape a better world with high-quality biopharmaceuticals that help patients around the world. As part of the global logistics supply chain, Samsung Biologics understands that more is at stake than just profit and revenue. Therefore, it has plunged forward in all three parts of ESG, expanding its eco-friendly investment in project facility and energy reduction, participating in the Carbon Disclosure Project, growing with its local community, and taking part in the Korea National Institute for Bioprocessing Research & Training (K-NIBRT).
Participation in the Frontier 1.5D Project
As part of their ongoing promise to adhere to the values of ESG, Samsung Biologics signed an MOU to participate in the Frontier 1.5D initiative. This initiative plans to develop a climate risk management model as part of the 2050 Carbon Neutral Strategy. These actions will assist efforts to subdue the current effects and the future effects of climate change.
Frontier 1.5D is an initiative started by the Korean Financial Supervisory Service, the government’s top financial regulator. Other businesses and schools joined the initiative, including KB Financial Group, SK Innovation, CJ CheilJedang, and the British Embassy to Korea.
Different representatives promised to follow through to ensure that the climate temperature does not rise by 1.5 degrees Celsius above pre-industrial level. Samsung Biologics agreed to closely monitor, identify, and provide data for each of its biopharmaceutical manufacturing plants through its Carbon Disclosure Project (CDP) initiative with Science-Based Targets (SBT). These actions will help both the company and the initiative determine risks and opportunities to improve based on climate change standards, as well as the financial impact implementing new strategies would have on business.
“We are proud and honored to be a part of the vital Frontier 1.5D initiative to ultimately redefine energy efficiency and reusable energy through the reduction of GHG emissions,” said John Rim, CEO of Samsung Biologics. “Alongside our core mission to bring a healthier and sustainable future for humanity, Samsung Biologics will support the development of mid to long-term climate change strategies and action plans as part of our decarbonization efforts to achieve a net-zero future.”
Samsung Biologics’ First Annual Sustainability Report
Samsung Biologics has taken several steps to show its strong resolve to achieve sustainability in the past year.
In February 2021, Samsung Biologics established an ESG Committee to construct and supervise its managerial policies. The committee consists of four independent directors with expertise in the fields of management, economy, biotechnology, and law and systems.
As a part of this mission, Samsung Biologics released its first annual sustainability report in 2021. John Rim, CEO of Samsung Biologics, said, “As we have always been since our founding in 2011, Samsung Biologics will continue to carry out its social accountability – creating a safer and healthier culture, reducing its environmental footprint, and increasing reporting transparency on ESG initiatives.”
Sustainable Markets Initiative
In November, Samsung Biologics also joined leaders from global life science, international institutions, healthcare systems, academia and policymakers in a Health Systems Taskforce as part of the Sustainable Markets Initiative (SMI), convened by His Royal Highness (HRH) The Prince of Wales. The Taskforce launched at COP26 and will work collaboratively to create a strategic roadmap to accelerate the delivery of net zero, sustainable healthcare to improve individual, societal, and planetary health.
John Rim, CEO of Samsung Biologics, was designated as a champion for the Supply Chains working group, which is a part of the SMI Health Systems Taskforce led by AstraZeneca’s Chief Executive Officer Pascal Soriot with the support of HRH The Prince of Wales. The working group will focus its decarbonization efforts on the health system’s supply chains.