CDMO Samsung Biologics Highlights Climate Actions, Job Creation, and Corporate Social Responsibility in 2022 ESG Report
Samsung Biologics, a leading contract development and manufacturing organization (CDMO), has released its second annual environmental, social, and governance(ESG) report. Addressing climate change is a central focus of the communiqué, which details the CDMO’s emissions reduction goals and involvement in sustainability initiatives. But the report also addresses Samsung.
Biologics’ commitment to the broader social goals of diversity, equity, and access to education and healthcare. Using PricewaterhouseCoopers’ Total Impact Measurement and Management framework as a guideline, Samsung Biologics reported that it has contributed 1.6 trillion KRW (approximately $1 billion) in economic, social, and environmental value creation.
This value creation includes the CDMO’s hiring practices as well as its contributions to the community through funding scholarship programs and supporting health and wellness initiatives.
Corporate Culture and Gender Equality
The ESG report explains that “Samsung Biologics is committed to creating an advanced corporate culture where anyone can demonstrate their full capabilities. We respect work-life balance, embrace diversity, and offer a number of welfare programs.”
The CDMO reported that it was designated as a family-friendly company for the seventh consecutive year by South Korea’s Ministry of Gender Equality and Family. This designation was based on Samsung Biologics’ child care, health care, and family leave policies, as well as its hiring and training practices.
In the dispatch, Samsung Biologics outlines its commitment to strengthening female leadership within the company. The CDMO’s workforce is currently 39.5% female, with 21.9% of executive positions occupied by women.
To support female employees, Samsung Biologics has established a Bio Women’s Club that invites female executives to give talks on leadership. The report explains: “We frequently conduct mentoring programs between junior and senior employees to improve female leadership. Furthermore, we are making continuous efforts to strengthen women’s leadership by continuously increasing female executives and female department heads.”
Job Creation and Employee Training
Samsung Biologics has experienced significant growth since its establishment in 2011, quickly becoming one of the world’s largest CDMOs. The company’s expansion has involved the construction of several facilities at an unprecedented pace at its headquarters in Songdo, South Korea. This rapid growth has resulted in significant job creation in the region, with the CDMO reporting an annual workforce increase of 43% since 2013. In 2021, Samsung Biologics added 1,073 new jobs.
As Samsung Biologics CEO John Rim explained in a recent interview with The Korea Society, the CDMO’s goal in the region is “not only to foster the industry, but also employment. If you look at our company, we’ve gone from less than 100 people to almost 4,000 people. And we anticipate to grow to 10,000 within several years.”
Part of Samsung Biologics’ plans to expand hiring involves the construction of its new Bio Campus II facility in Songdo, which, at 357,366 square meters, will be 30% larger than the CDMO’s current Bio Campus. It’s expected that by the time construction of the facility is completed by 2032, it will be responsible for the creation of 4,000 jobs.
The ESG report also details Samsung Biologics’ commitment to continued education and training of its growing number of employees. According to the report, 3,905 employees participated in training programs in 2021 for a total of 82,968 hours. The CDMO spent a total of 7,332,104,000 KRW, an average of 1,877,619 KRW per employee, on training.
In addition to technical training, employees at Samsung Biologics participate in educational programs on ethics and human rights, with employees involved in a total of 11,715 hours of training on ethical management and 7,810 hours of human rights education.
The report notes that “Samsung Biologics runs a number of programs intended to contribute to the development of local communities and look after the socially underprivileged.” These programs include scholarship and mentoring initiatives for at-risk youth, as well as community health projects.
In partnership with the Incheon Human Resources Development Foundation, Samsung Biologics established the Global Talent Development Scholarship. The CDMO offers Bio Dream Plus scholarships for underprivileged youths in the Incheon region. These scholarships connect youngsters with Samsung Biologics employees for mentorship and career counseling in the biopharmaceutical industry. Samsung Biologics also funds tuition for students from vulnerable groups such as those who are the head of their household or are children of North Korean defectors.
Samsung Biologics also has established a Bio Academy that introduces students to the biopharmaceutical industry via online and classroom lectures, field trips, and hands-on experiments. Participants in the program can visit companies in the growing Songdo Bio Cluster and learn about career opportunities and innovation in biotech.
As part of its efforts to support health and wellness in the Songdo community, Samsung Biologics has installed bicycle facilities in Songdo and increased access to public transportation by installing bus stops. The report also notes that the CDMO helped provide devices to monitor elderly community members with dementia and that its employee Volunteer Club established a sisterhood relationship with the Incheon Childcare Center. And since 2015, Samsung Biologics has helped cover medical expenses at Incheon hospitals for socially marginalized patients suffering from diseases such as leukemia and cancer.
The Corporate Social Responsibility of a Growing CDMO
In a letter introducing Samsung Biologics’ ESG report, Rim explains that the CDMO is focused on growth, but that this growth will be grounded in sustainability and corporate social responsibility (CSR).
“Samsung Biologics will carry out CSR activities to grow jointly with the local community, respect the human rights and diversity of stakeholders including executives and employees, and strengthen business management to promote mutual growth,” said Rim. “We will not only fulfill our social responsibilities, but also make the utmost effort to control supply chain risks to ensure high-quality biomedicines are delivered all over the world.”