Corporate
Citizenship at Novartis begins
with the success of our core business. The
more successful we are in discovering, developing, manufac-turing and marketing
new medicines, the greater the benefits we can offer to patients and health-care
professionals, associates and shareholders, our neighbors around the world, and
other key stakeholders. Our uniquely broad portfolio
of medicines provides patients, physicians and payers the right treatment at the
right time and the right price. We offer innovative patentprotected medicines
that address unmet medical need; cost-effective generics as an alternative once
patent protection on an originator compound has expired; and nonprescription,
self-medication, products that are convenient to buy. Such a diverse portfolio
becomes increasingly important as aging populations and rising affluence increase
demand for drugs and medical services. Thanks to
our good financial results, we also try to help where there is immediate need
– with products, funds and other supportive measures, on a case-by-case basis.
In 2005, Novartis was able to contribute USD 696 million and reach almost 6.5
million patients in need through access-to-medicine programs.
ACTIVE ENGAGEMENT Novartis has a longstanding tradition
of active engagement in society, reflected in our Policy on Corporate Citizenship. |
| We
pledge to recognize the interests of stakeholders, and the public at large, in
our social behavior, and the health, safety and environmental impacts of our business.
We seek to maintain an active dialogue with diverse
stakeholder groups through community panels, focus groups and collaborations with
patient advocacy organizations. At the same time,
we are building a reputation as an exciting place to work, where people can realize
their professional ambitions. We strive for a motivating environment where creativity
and effectiveness are encouraged, and where cutting-edge technologies are applied.
The clearest example of the interrelation between business strategy and Corporate
Citizenship is our commitment to the United Nations Global Compact. The Global
Compact asks companies to embrace, support and enact a set of core values in the
areas of human rights, labor standards, the environment and efforts to combat
corruption. Last year, in an acknowledge-ment of the
pioneering role of Novartis in the evolution of the Global Compact, UN Secretary-
General Kofi Annan named Professor Klaus Leisinger, President of the Novartis
Foundation for Sustainable Development, as a Special Advisor to the Global Compact.
Professor Leisinger will act as a global ambassador for the Global Compact and
advance issues critical to the initiative. Another
important acknow-ledgement of our commitment to the Global Compact came from DNWE,
the German Business Ethics Network which awarded Novartis its Preis fuer Unternehmensethik,
the Business Ethics Award, for 2006. |
| MEASURE
PROGRESS AND IMPACT To be recognized as an innovative
and trustworthy company, Novartis fosters a culture where associates are expected
to behave ethically and lawfully. Besides complying with laws and regulations
that govern our operations in more than 140 countries around the world, Novartis
associates uphold the ideals and values defined in our Code of Conduct and Corporate
Citizenship Policy, and as related policies and guidelines.
Corporate Citizenship at Novartis is firmly anchored at the Board level. The Audit
and Compliance Committee is responsible for auditing Corporate Citizenship implementation
and compliance. The Group Executive Committee (ECN) is responsible for implementation
and has established a Corporate Citizenship Steering Committee, which has overall
responsibility for Corporate Citizenship Policy and guidelines.
The operating units within each of our Divisions establish appropriate structures
and allocate sufficient resources to reasonably meet the expectations of our Corporate
Citizenship Policy. Through management reviews, plus internal and external audits,
we measure progress and verify compliance with the Policy, related guidelines
and regulatory requirements. Each year, we report
our progress in addressing key challenges of Corporate Citizenship, as well as
establishing targets for the coming year. Reporting on Corporate Citizenship activities
includes regular surveys of employees and contacts with suppliers.
(For a summary of Corporate Citizenship- related results for 2005 and targets
for 2006, see table pages 52-53.) |
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