Our company promotes and values global diversity and inclusion (GD&I) at every level of the organization—starting with the Office of the CEO—and strives for inclusiveness in every aspect of work.
The pharmaceutical industry is increasingly complex; having a diverse mind-set is not just a vision─it is a fundamental business imperative for our company. The global demographic landscape of patients and the labor markets is changing, and is now overwhelmingly female and diverse. This understanding requires a paradigm shift—what we historically have regarded as the mainstream market is, in fact, a very diverse global marketplace. Given this perspective, we are committed to evolving GD&I to create a fully integrated ecosystem where diversity and inclusion permeate our day-to-day operations and decisions, and one where business performance is exponentially enhanced by the power of inclusion.
By any measure, 2015 was an important and successful year for our company. With a strong past, we looked toward the future and revamped and launched a new comprehensive strategic plan to take us successfully into the 21st century. This plan ensures that we can attract and retain the best talent from around the world, and build an inclusive workplace where every employee can thrive and where we leverage our diversity for greater innovations in cutting-edge science.
“’Diversity’ and ‘inclusion’ are not just abstract concepts—they are core values and strategic business imperatives that deliver business results.”
Celeste R. Warren
VP Human Resources and Global Diversity and Inclusion Center of Excellence
We employ people of varied sexual orientation, gender expression, veteran and disability status, and ethnic, cultural and faith backgrounds to help us better understand the unique needs of global patients and to create a strong competitive advantage in the marketplace. This, in turn, delivers intrinsic, long-term value to society and to our shareholders.
The single most significant driver of diversity and inclusion at our company resides at the very top—with our CEO, Kenneth C. Frazier.
“We are deeply committed to fostering an inclusive environment that embraces different perspectives and values the contributions of each individual. Having a globally and locally diverse workforce makes us a more innovative and agile company—and one better attuned to the needs of our customers, health care providers and patients who ultimately use our products.”
Kenneth C. Frazier
Chairman & CEO
Our CEO publicly drives this commitment to diversity throughout all ranks of the global enterprise by:
- Signing off on executive compensation tied to recognition of diversity, in the form of bonuses, raises, stock, and options
- Personally approving diversity metrics and reviewing progress against aspirational talent goals for women and underrepresented ethnic groups
- Meeting with the company’s key line leaders on a quarterly basis to review key strategic initiatives centered on global diversity
- Meeting with the company’s diversity leader to discuss strategic diversity and inclusion solutions and innovation opportunities
- Approving goals and reviewing achievements for supplier diversity
By driving these initiatives across every facet of the business, we continuously seek to raise the performance bar for diversity and inclusion and drive accountability among leaders, integrating both as important drivers of our sustainable competitive advantage.
Our CEO plays an active role in communicating our company’s commitment to diversity and inclusion through corporate sponsorships of national advocacy and health organizations, participation in diversity leadership events, and public keynote speeches.
In 2015, Mr. Frazier received a Lifetime Achievement Award from the Executive Leadership Council (ELC) Foundation, an organization comprising prominent African American executives.
In accepting the Lifetime Achievement Award at the “Power of One” Executive Leadership Foundation (ELF)—the charitable affiliate of the ELC, which supports its mission through education, leadership development and academic scholarships—Mr. Frazier emphasized our company’s belief that expanding and building inclusive organizations are essential to advancing innovation.
“One of humanity’s biggest risks is discounting someone’s ideas because of their ethnicity, gender or educational background,” Mr. Frazier said to the audience of 2,300 guests attending the celebration.
Executive Committee members and the Office of Diversity & Inclusion are also active on boards of nonprofit organizations, and are fully committed to GD&I as a business strategy.
- Roger Perlmutter, executive vice president and president of our Research Laboratories, most recently served as a director of several biotechnology companies and was a science partner at the Column Group, a biotechnology-focused venture capital firm.
- Adam Schechter, president, Global Human Health, serves as a board member of the National Alliance for Hispanic Health, an organization focused on improving the health of Hispanic communities in the United States and working with others to secure health for all. Mr. Schechter also serves as the executive sponsor for our company’s Women’s Employee Business Resource Group.
- Dr. Julie Gerberding, executive vice president, Public Policy, Global Communications and Population Health, serves as a board member for the Biotechnology Innovation Organization (BIO), the world’s largest biotechnology trade association and is the chair of the Diversity Committee. Dr. Gerberding is also a co-executive sponsor of our company’s Women’s Employee Business Resource Group.
Talent Management and Development
Building a diverse workforce and executive population, and actively promoting opportunities for people of all backgrounds across race, gender, ethnicity, culture, age, disability, religion, gender identity, gender expression, and veteran status, is indispensable to the solid business performance and outstanding patient care provided at our company. We deliver on this promise through a myriad of current and new programs seamlessly woven into the fabric of how the company operates.
Using the company’s Corporate Scorecard, we ensure that the candidate selection process is inclusive of goals aspiring to diversity. Our company provides world-class leadership opportunities for employees.
Training & Development
Throughout 2015, we continued to invest in diversity-related training for our employees. Employees have access to diversity and inclusion programs, conferences, other activities, and professional development resources to ensure their and the company’s ongoing success.
Unconscious Bias Education: Using thought leadership related to unconscious bias in the workplace, all company vice presidents and above were introduced to Unconscious Bias Education (UBE) as an enabler to identify the hidden biases we all possess and to mitigate unconscious bias in processes, practices and behaviors.
Micro-Inequities: We offer employees training options to reinforce our commitment to diversity and inclusion. One in particular, micro-inequities training, helps to create a more fully inclusive work environment by providing employees with an opportunity to learn about and avoid non-inclusive behaviors.
Executive Leadership Council (ELC): We support the ELC, an organization that provides recognition, executive seminars, peer coaching and leadership opportunities to help African American mid-career and senior-level executives with their personal and professional development.
Simmons Leadership Forum: We partner with Simmons to inspire and empower women executives. We recognize that developing the leadership potential of women executives and positioning them for success delivers a tangible competitive advantage for their organizations. In so doing, we send a strong signal to our employees that we regard developing, promoting and retaining female executives very seriously.
Women’s Sponsorship Program: The goal of the Women’s Sponsorship Program is to accelerate the movement and improve the readiness and visibility of high-potential women and women of color at our company so they can attain positions of greater leadership and responsibility. This two-year engagement between the sponsor and protégée is also intended to help build the network and personal brand of high-potential women leaders and to further their development and career. During 2015, 49 sponsor-protégée pairs were enrolled in the program; 67 percent were based in U.S. businesses; the remaining 33 percent were based in Asia, Europe and Latin America. Of those protégées in the U.S., 22 percent were women of color.
Women in STEMM (Science Technology Engineering Manufacturing Marketing): We hosted two Women in STEMM conferences, one in the United States and one in Prague for our women employees. The objectives of this conference were to:
- Learn how to effectively enhance leadership skills
- Introduce tools and resources to help leadership skills support career aspirations
- Grow a network of colleagues across different divisions and functions
- Understand the value women leaders provide to the future of our company
We partner with organizations in both professional and academic settings to net the company a more diverse mix of capable talent. We also have several recruiting and outreach initiatives to seek and attract a diverse candidate pool.
Our initiative with the UNCF provides scholarship and fellowship support to outstanding African American undergraduate, graduate and postdoctoral students pursuing studies in biomedical research. Since the program’s inception in 1995, our company has committed nearly $50 million in support, awarding more than 700 scholarships. Students also serve as interns within our company’s research laboratories with our scientists serving as mentors.
We partner with Hiring Our Heroes, an organization that provides employment opportunities nationwide to veterans with disabilities. Through external media relations, the company is able to demonstrate that 80 percent of jobs in the private sector have a corresponding job in the military. Each branch of the military produces scientists, engineers, photographers and doctors, all of whom are aligned with our company’s needs. To build awareness of this opportunity, we developed a special podcast, promoted on the U.S. Chamber of Commerce website, to address the benefits of hiring a veteran. Our ability to attract and retain military veterans as prospective employees was greatly enhanced through the podcast series.
In addition, our company recruits on higher-education campuses and, as part of its diversity-recruiting mission, visits institutions that have a history of serving African American and Latino students. We recognize these pools of talent to be a priority, and have allocated time and employee resources to focus on:
- Historically Black Colleges and Universities (HBCUs): e.g., Hampton University, North Carolina A&T State University
- Hispanic-Serving Institutions (HSIs): e.g., University of Puerto Rico, Rutgers
Moreover, our company has strong relationships and partnerships with the following organizations to support talent development:
- American Indian Science and Engineering Society (AISES)
- Career Opportunities for Students with Disabilities (COSD)
- National Black MBA Association (NBMBAA)
- National Society for Hispanic MBAs (NSHMBA)
- New Jersey National Society for Hispanic MBAs (NJNSHMBA)
- Catalyst—the leading women’s research organization
- Hispanic Alliance for Corporate Responsibility (HACR)
- Healthcare Businesswomen’s Association (HBA)
- National Urban League (NUL)
- National Organization for the Professional Advancement of Black Chemists and Chemical Engineers (NOBCCHE)
- ASCEND—largest nonprofit organization for pan-Asian business professionals
- Out & Equal Workplace Advocates—for LGBT business professionals
- USBLN─United States Business Leadership Network─driving success through disability inclusion
- Society of Women Engineers (SWE), National Society of Black Engineers (NSBE), and Society for Hispanic Professional Engineers (SHPE) university chapters
Once on board, we utilize a comprehensive approach to ensure that all new employees have ample opportunities to network, build important stakeholder relationships, learn new skills, and hear the perspectives of the senior-most people in the company to broaden their insights and knowledge. We address workplace barriers to ensure full on-boarding for all employees.
One hundred percent of our Executive Committee members are mentors, helping and enabling other company employees to achieve their full potential. In addition, many employee business resource groups (EBRGs) have developed targeted mentoring for their constituents, recognizing that culture plays a role in how careers are furthered. Specifically, our Hispanos/Latino, LEAD (League of Employees of African Descent) and Women’s EBRG have formal mentoring programs.
Creating a Culture of Full Inclusion for Employees with Disabilities
Our company understands that people with disabilities (PwDs)—apparent and non-apparent disabilities—may require workplace accommodations to enable them to contribute to their full potential. PwDs account for more than 15 percent of the world’s population, are an important patient group, and control trillions in discretionary income. Moreover, as populations in developed countries continue to age and experience a greater likelihood of having disabilities, recruiting and retaining top employees at our company, regardless of disability, is not just a nice thing to do, it is a competitive necessity. Accordingly, in 2015, we launched the Global Disability Inclusion Council to uphold the spirit of full disability inclusion. The Council is embarking on a five-year strategy encompassing our company’s leaders from Information Technology, Benefits, Compliance, Staffing, Integrated Health Management and Facilities.
In addition to the creation of the Global Disability Inclusion Council, we leverage a comprehensive strategic platform to address full disability inclusion, titled Workplace EnABLEment. This is the first enterprise-wide, customized disability inclusion strategy that addresses the entire spectrum of the employee experience with a strategic road map that includes recruiting, retention and advancement, the Just-in-Time manager training toolbox, an employee education program, communications support, community outreach, supply-chain engagement, strategic alliance support, and a measurement system to track results.
We launched a self-ID campaign designed to comply with U.S. federal regulations and to reinforce a culture of inclusion by inviting employees in the U.S. and Puerto Rico to voluntarily self-identify disability, LGBT and veteran status. The program received a strong response from employees and was featured at the ILG Conference as a best practice in self-identification.
Employee Business Resource Group
The Employee Business Resource Group (EBRG) Executive Leadership Council was formed to help strengthen and diversify the global leadership pipeline, as well as to provide culturally relevant insights that drive innovation and our company’s success. The Council is one part of a larger initiative to bring increased accountability, simplicity and focus to the GD&I model.
“As we enter a time when our medicines and vaccines need to reach an increasingly diverse base patient population, it’s important that we come together now to help our company tap into the vast amount of diverse cultural insights inside our walls.”
Associate Director, Global Marketing, Global Human Health
Chief of Staff and African Ancestry Employee Business Resource Group (EBRG)
The EBRGs represent women, African Ancestry/Black, Hispanic/Latino, Asian/Pacific Islander, Native American/Native Indigenous, interfaith, LGBT, differently able, veteran, and millennial employees—our newest EBRG launched in 2015 with 1,400 active employee members worldwide.
Many of our senior leaders also support EBRGs as sponsors.
- Julie Gerberding, executive vice president Global Public Policy, executive sponsor for Merck’s Women’s Employee Business Resource Group
- Tyrone Brewer, associate vice president, Marketing Global Commercial Strategy, executive sponsor for African Ancestry Employee Resource Group
- Richard Murray, vice president, Scientific Affairs, executive sponsor for Differently Able Employee Business Resource Group
- Tony Alvarez, senior vice president, Managing Director, executive sponsor for Hispanic Employee Business Resource Group
- Sherri Motzel, executive director, Laboratory Animal Resources, executive sponsor for Native Indigenous Employee Business Resource Group
- Sandra Milligan, senior vice president, Global Regulatory Affairs, executive sponsor for Veteran Employee Business Resource Group
- Michael Thien, senior vice president, Operations, executive sponsor for LGBT Employee Business Resource Group
- Quentin Roach, senior vice president, Procurement, executive sponsor for Millennials Employee Business Resource Group
- Ken Massey, vice president of Medical Affairs, executive sponsor for the Interfaith Employee Business Resource Group
- Muna Bhanji, senior vice president, Customer Business Line, executive sponsor for the Asian Employee Business Resource Group
- Mirian Graddick-Weir, chief human resources officer, executive sponsor of the GD&I Extended Human Resources Leadership Team
- Rob Davis, chief financial officer, executive sponsor of the GD&I Business Consortium
The GD&I Business Consortium is another one of our leadership teams that was established to create a competitive business advantage and drive shareholder value. Sponsored by Rob Davis, our company’s chief financial officer, the GD&I Business Consortium focused on four primary areas throughout 2015:
- Increasing the number of diverse patients in U.S. clinical trials
- Global supplier diversity
- Customer insights
- Enhancing our customer-centricity efforts through partnership with key customers on various diversity and inclusion agendas
We believe our role is to work in partnership with others—local communities, governments, donors, patient organizations, health care professionals, non-governmental organizations (NGOs), multilateral organizations, and others in the private sector—to contribute our expertise and knowledge. Learn more about our work with communities.
|Gender & Ethnicity|
|Women in the workforce1||51%||47%||47%||48%||48%|
|Women on the Board||17%||17%||17%||17%||21%|
|Women in executive roles1,2||35%||31%||31%||31%||34%|
|Women on the senior management team3||42%||35%||35%||31%||34%|
|Women in management roles4||43%||38%||37%||37%||38%|
|Underrepresented members of ethnic groups on the Board||11%||25%||25%||25%||21%|
|Underrepresented members of ethnic groups in executive roles (U.S.)||17%||17%||20%||20%||20%|
|Underrepresented members of ethnic groups on the senior management team (U.S.)||15%||23%||23%||15%||18%|
|Underrepresented members of ethnic groups in the workforce (U.S.)||29%||24%||24%||24%||26%|
|Underrepresented members of ethnic groups in management roles (U.S.)||19%||18%||18%||20%||23%|
|New hires that were female1||50%||45%||46%||49%||50%|
|New hires that were members of underrepresented ethnic groups (U.S.)||25%||27%||25%||22%||33%|
|Note: Our company has publicly disclosed EEO-1 information since 1999. Our 2014 data is available here. |
1 Beginning with 2012, data reported for women is global. Previously, it was limited to the U.S.
2 "Executive" is defined as the chief executive officer and two structural levels below.
3 "Senior management team" is defined as the fourth structural level below the CEO.
4 "Management role" is defined as all other managers with direct reports not reflected in notes 2 or 3.
|Employees and Compensation|
|Number of Employees (approximate)||86,000||83,000||76,000||70,000||70,000|
|Total compensation paid to employees/payroll, including benefits (in billions)||$8.8||$8.3||$7.7||$7.4||$7.5|