Sourcing Responsibly – putting ESG principles into practice: Connect to Frankfurt on-demand
In this Connect to Frankfurt session, Enric Bosch, Global Third Party manager, Chemicals at Boehringer Ingelheim (Barcelona, Spain), investigates the growing shift towards environmental, social, and governance (ESG) principles and how to put responsible sourcing for pharmaceutical companies into practice.
As part of our conference track on Sustainability, this session covers the ethical and sustainable considerations impacting the pharmaceutical supply chain, and the responsibility of all key players to make a positive impact not only for their stakeholders but for a collective global benefit.
Responsible procurement
The goal of responsible procurement is to improve the ethical, environmental, and social performance of suppliers and ultimately mitigate any negative impacts found within the supply chain. Responsible procurement looks at not only where or what to source, but how to source according to ESG criteria, sustainability criteria, and more. Such focus on sustainability can not only minimise the risk of disruption in the supply chain, but also mitigate any reputational damage for a given company.
While Bosch acknowledges the increased complexity for decision-makers when incorporating responsible procurement principles into their workflow, he emphasizes that better buying decisions affecting a company’s ESG performance is a key performance marker for investors and board members. Bosch highlighted the Pharmaceutical Supply Chain Initiative (PSCI), CPHI Frankfurt’s official partner in sustainability, and their work in providing common standards across the pharmaceutical supply chain via the Principles for Responsible Supply Chain Management. The key focus for the pharma supply chain, Bosch says, is in raw materials sourcing and active collaboration to embed and achieve responsible sourcing at scale throughout the pharmaceutical sector and supply chain.
The Pharmaceutical Supply Chain Initiative
The PSCI operates as a group of pharmaceutical and healthcare companies working towards a shared vision for better social, health, safety, and environmental outcomes. The three main modes of impact by which the PSCI functions, as highlighted by Bosch, include:
1) Audit programs – these programs set up guidelines and standards across companies, as well as sharing the audit programs to establish consistency across the sector.
2) Capacity building – suppliers are offered capacity building with tools and training offered by the PSCI in order to better understand the focus and importance on sustainability within the pharma supply chain.
3) Special programs – depending on the situation, special programs may be implemented to a specific event or location for their particular issue. Bosch highlights the Musi river in the Hyderabad region of India as an example, a highly polluted river due to the cumulative concentrations of active pharmaceutical ingredients.
With 32 full members including Bayer, Boehringer Ingelheim, and Bristol Meyers Squibb, as well as 36 associate members including Biogen, Charles River, and Amgen, the PSCI continues to grow as more companies become dedicated to responsible sourcing and sustainability within their work processes.
Bosch also gives a brief overview of the PSCI Principles for Responsible Supply Chain Management, a set of five areas of responsible business practice to articulate industry expectations from the supply chain. The five principles are: ethics, human rights and labour, health and safety, environment, and management systems. With each area Bosch covers relevant business and operating practices to enact within the pharmaceutical supply chain. The PSCIs Implementation Guidance also provides further details for each Principle, giving companies a framework to improve and strive towards a responsible supply chain.
Bosch concluded his presentation with a consideration for raw material sourcing. He highlighted the Responsible Sourcing Guidances available to the public for high-risk raw materials such as wax, talcum powder, and palm oil, areas of concern when considering the ethical and sustainable outcomes of each raw material source.
Summary
With a final emphasis on the responsibility companies must take in order to create a positive impact not only for supply chain stakeholders but also a more global social responsibility, Bosch takes care to encourage companies to join the PSCI’s initiative for a more ethical and sustainable pharmaceutical supply chain.
Interested in what else Connect to Frankfurt has to offer? Discover more Connect to Frankfurt 2022 on-demand sessions here.
Related News
-
News Pharmapack Awards 2024 Patient-Centric Design Award Winner – Dr Ferrer BioPharma
The 2024 Pharmapack Awards celebrated the best in innovation and design for the pharmaceutical packaging and drug delivery industry on January 24, 2024. -
News Women in Pharma: Minding the Gap at Pharmapack 2024
2024 marks the first year Pharmapack will host a Diversity track dedicated to bridging the gap within the pharmaceutical packaging and drug delivery sector. The track includes a panel discussion on 'Enabling Diversity in the Workplace,' focused... -
News Pharmapack Awards 2024 - Celebrating Packaging and Drug Delivery Innovation
The 2024 Pharmapack Innovation Awards ceremony celebrated the best in pharmaceutical packaging and drug delivery innovation at all levels. The awards were held on January 24, 2024 at the Paris Expo Porte de Versailles. -
News Pharmapack 2024 - From the Floor
Paris once again welcomes Europe’s leading trade show in pharmaceutical packaging and drug delivery innovation. Join our content team as Pharmapack 2024 opens its doors to leading experts and innovators in pharmaceutical packaging and drug delive... -
News CPHI Barcelona 2023: Partnering for Success – Managing Outsourcing Relationships to Optimise Manufacturing Operations
During CPHI Barcelona 2023, insightful content sessions offered attendees the chance to explore trending topics with expert speakers and panellists. Here, we summarise what the pharma industry and supply chain are talking about the most. -
News CPHI Barcelona 2023: Loading Potential – Artificial Intelligence for Pharma Manufacturing
During CPHI Barcelona 2023, insightful content sessions offered attendees the chance to explore trending topics with expert speakers and panellists. Here, we summarise what the pharma industry and supply chain are talking about the most. -
News Pharmaceutical industry supports COP28 health stance in joint statement
As COP28 takes place over this week in Dubai, UAE, several bodies in the pharmaceutical and health industries have come together to announce support of key movements in sustainability in the sector, and to recognise sustainability as a health issue.&nb... -
News CPHI Podcast Series: Start-ups take centre stage at CPHI Barcelona
The first episode of the CPHI Podcast Series since we attended CPHI Barcelona in October covers the Start-up market at the event, with expert Matthew Wise joining Editor Lucy Chard to discuss the event.
Position your company at the heart of the global Pharma industry with a CPHI Online membership
-
Your products and solutions visible to thousands of visitors within the largest Pharma marketplace
-
Generate high-quality, engaged leads for your business, all year round
-
Promote your business as the industry’s thought-leader by hosting your reports, brochures and videos within your profile
-
Your company’s profile boosted at all participating CPHI events
-
An easy-to-use platform with a detailed dashboard showing your leads and performance