EMD Group Corporate Responsibility Report 2014 - Global Compact CoP (optimized for printing)

2014 Communication on Progress regarding the implementation of the Global Compact Principles

The Global Compact (GC) is a United Nations (UN) initiative founded in 2000. Signatories of the initiative commit themselves to ten principles based on key UN conventions regarding human rights, labor standards, environmental protection, and anti-corruption. At the same time, the compact obliges the signatories to actively engage themselves in propagating the principles within their own sphere of influence.

Merck KGaA, Darmstadt, Germany has been a Global Compact participant since 2005. The following table presents the key measures that we took in 2013 and 2014 to implement the principles of the Global Compact.

Link: www.unglobalcompact.org

Global Compact – COP


UNGC Principles	Relevant GRI Indicators	Key actions in 2013 and 2014	Link
Human Rights
Principle 1: Support and respect human rights	G4-HR2, G4-HR7, G4-HR8, G4-HR9, G4-HR12, G4-SO1, G4-SO2	Adoption of a Group-wide Human Rights Charter Revised supplier management in terms of Corporate Responsibility (CR) aspects and joined the Together for Sustainability (TfS) initiative Formation of the Global Schistosomiasis Alliance (GSA) to fight NTDs Increase in praziquantel donations to eliminate schistosomiasis	Human rights Management Suppliers Counterfeit pharmaceuticals
Principle 2: Rule out complicity in human rights abuses	G4-HR1, G4-HR10–11	Adoption of a Group-wide Human Rights Charter Human Rights Impact Assessments CR audits on suppliers and collection of self-reported supplier information Revised supplier management in terms of CR aspects and joined the Together for Sustainability (TfS) initiative	Human rights Compliance Management Suppliers
Labor Standards
Principle 3: Uphold freedom of association	G4-11, G4-HR4, G4-LA4	Internal audits on labor standards of the Human Rights Charter CR audits on suppliers and collection of self-reported supplier information Revised supplier management in terms of CR aspects and joined the Together for Sustainability (TfS) initiative	Human rights Compliance Management Suppliers
Principle 4: Eliminate all forms of forced and compulsory labor	G4-HR6	Internal audits on labor standards of the Human Rights Charter CR audits on suppliers and collection of self-reported supplier information Revised supplier management in terms of CR aspects and joined the Together for Sustainability (TfS) initiative	Human rights Compliance Management Suppliers
Principle 5: Abolition of child labor	G4-HR5	Internal audits on labor standards of the Human Rights Charter CR audits on suppliers and collection of self-reported supplier information Revised supplier management in terms of CR aspects and joined the Together for Sustainability (TfS) initiative	Human rights Compliance Management Suppliers Supply chain
Principle 6: Eliminate discrimination	G4-10, G4-EC5–6, G4-LA1, G4-LA3, G4-LA9, G4-LA11–13, G4-HR3	Internal audits on labor standards of the Human Rights Charter Corporate goal to increase percentage of management positions held by women Worldwide hotline for people to anonymously report cases of discrimination	Human rights Compliance Diversity and inclusion Recruiting and retaining talent
Environmental Protection
Principle 7: Take a precautionary approach to environmental challenges	G4-EC2, G4-EN1, G4-EN3, G4-EN8, G4-EN15–17, G4-EN20–21, G4-EN27, G4-EN31	ISO-14001 Group certificate for company environmental management Annual reduction of greenhouse gas emissions (reduction target 2020: 20% relative to 2006 baseline Signed the revised version of the Responsible Care^® Global Charter EHS standards updated Product safety measures (e.g. REACH, GHS, Global Product Strategy) Identified sites located in areas of high water stress and created a best practice sharing platform for water management projects	Management Environment Climate protection Resources Sustainable products Safety of drugs Safety of chemical products Plant and process safety Transport and storage safety Water Waste management
Principle 8: Promote greater environmental responsibility	G4-EN1–34	Implementation and update of Group-wide standards and guidelines (e.g. on Energy Management and company car policy) New measures within EDISON climate protection program Internal and external EHS audits Energy checks at sites Product labeling Packaging take-back programs	Climate protection Plant and process safety Transport and storage safety Water Waste management Safety of drugs Safety of chemical products Reuse and recycling
Principle 9: Encourage diffusion of environmentally friendly technologies	G4-EN6–7, G4-EN19, G4-EN27, G4-EN31	Product life cycle analyses Sustainable products developed	Sustainable products Performance Materials
Anti-corruption
Principle 10: Fight corruption in all its forms	G4-56–58, G4-SO3–SO6	Internal audits on corruption Assessment of business partners’ compliance standards Anti-corruption training Worldwide hotline for people to anonymously report cases of corruption	Compliance

Global Compact Communication on Progress

2014 Communication on Progress regarding the implementation of the Global Compact Principles