Samba and Epis Leading ESG Management... Successive Report Publications

Samsung Biologics Releases '2023 ESG Report'
Samsung Bioepis Also Publishes 'Sustainable Management Report'

Samsung Biologics and Samsung Bioepis are taking the lead in sustainable management by consecutively releasing ESG (Environmental, Social, and Governance) related reports.

2023 Samsung Biologics ESG Report Cover Image. [Image provided by Samsung Biologics]

Samsung Biologics announced on the 30th that it published an ESG report last year detailing the major achievements in ESG management and its mid- to long-term strategies. This is the third report published to date and the first joint disclosure with Samsung Bioepis, whose entire stake was acquired last year, prepared in compliance with global guidelines.

Samsung Biologics is striving to enhance ESG management by expanding the scope of information disclosure through the ESG Committee under the Board of Directors. This year's ESG report newly introduced a double materiality assessment that evaluates both the impact of the company on society and the environment and the financial impact of sustainable management on the company in a bidirectional manner.

Through this assessment, Samsung Biologics included in the report the top priority issues such as "carbon neutrality (net zero)" and other environment-related achievements and goals. First, it declared the 2050 net zero target last year and completed joining RE100. To build a low-carbon, eco-friendly workplace, it has been conducting energy-saving activities such as reducing greenhouse gas emissions, switching to renewable energy, and recycling waste. In addition, it is actively participating in various climate change response activities, including participation in the global Carbon Disclosure Project (CDP) and publishing reports under the Task Force on Climate-related Financial Disclosures (TCFD).

Samsung Biologics is also engaged in activities to build a healthy society. Voluntary participation by employees is driving social contribution activities such as youth education and scholarship support, as well as medical and childcare support for marginalized groups. The scale of related donations increased more than twofold from 1.05 billion KRW in 2021 to 2.52 billion KRW in 2022.

Furthermore, to manage a sustainable supply chain, Samsung Biologics is implementing a green purchasing policy that consumes eco-friendly products with high energy efficiency and plans to establish mid- to long-term goals for supply chain diversity. It also plans to strengthen win-win management with partners by establishing a system that enables mutual growth with suppliers.

The achievements in ESG management have been recognized by various institutions. Last year, Samsung Biologics received the "Gold" rating from EcoVadis, a global supply chain ESG evaluation, awarded only to the top 5% of companies. Additionally, it was included for the second consecutive year in the Dow Jones Sustainability Index (DJSI) World, a global ESG evaluation, which recognizes the top 10% of companies in ESG management among the world's top 2,500 companies by market capitalization.

Samsung Biologics estimates the scale of social value it created last year at a total of 3 trillion KRW, nearly doubling from 1.6 trillion KRW in 2021. By sector, the economic impact recorded 2.9 trillion KRW, significantly increasing from the previous year due to the expansion of global big pharma clients and the incorporation of Samsung Bioepis as a subsidiary.

John Rim, CEO of Samsung Biologics, stated, "We focused on concretizing and advancing ESG goals and strategies to enhance the effectiveness of ESG management," adding, "As the global No.1 Contract Development and Manufacturing Organization (CDMO), we will lead ESG initiatives and practical achievements to realize a sustainable future for humanity."

2023 Samsung Bioepis Sustainability Management Report Cover. [Image provided by Samsung Bioepis]

Meanwhile, Samsung Bioepis also announced on the same day that it published a sustainability management report. This report contains key financial and non-financial business achievements aimed at enhancing stakeholder value and is the second sustainability management report issued since 2021.

Through the report, Samsung Bioepis identified four key topics: "Research and Development (R&D) Innovation," "Product Quality and Patient Safety," "Access to Medicines," and "Supply Chain Management," and disclosed related business achievements.

Under the R&D innovation topic, the company presented sustainable growth drivers through expanding its product portfolio and product competitiveness through process and development innovation. It also emphasized efforts to nurture bio experts who will continuously contribute to society and is promoting digital transformation across all operations. Furthermore, to ensure product quality and patient safety, it has established a global-level quality management system. Based on this, it manages clinical trials and drug safety throughout the entire lifecycle of medicines.

To improve access to medicines, Samsung Bioepis is expanding its biosimilar portfolio to provide patients with diverse treatment options. The company explained that supplying medicines at reasonable prices helps reduce patient costs and national healthcare financial burdens, contributing to building a sustainable healthcare system. Efforts to maintain a stable and sustainable supply chain continue as well. Samsung Bioepis manages ESG risks across the supply chain through an ESG evaluation system and leads ecosystem win-win cooperation by supporting ESG capacity building for small and medium-sized enterprises in the bio industry.

Go Han-seung, President of Samsung Bioepis, said, "Samsung Bioepis has produced innovative R&D achievements based on excellent bio professionals over the past decade," adding, "We promise to continue growing for a sustainable future by practicing responsible management and corporate ethics."

This content was produced with the assistance of AI translation services.