The developed ESG strategy assumes the implementation of strategic goals across all ESG areas (environmental, social, and corporate governance).
Strategic objective 1
Providing the availability
of medicines
Strategic objective 2
Quality assurance
in the supply chain
Strategic objective 3
Adapting
to climate change
The strategic and detailed goals were defined based on:
- a double materiality assessment (DMA),
- an industry benchmark analysis, including a review of best practices, ESG-related activities, and general guidelines and upcoming regulations,
- recommendations from the project team,
- an ESG diagnosis,
- the consulting firm’s experience in developing ESG strategies for businesses.
As part of the assessment, the following were conducted:
Analysis of the company’s
strategic documents
Analysis of internal
ESG maturity level
Value chain analysis
and IRO analysis
Dialogue surveys among employees
and external Stakeholders
Analysis of information available
in the media and industry reports
– industry benchmarking
The results of the survey were used to:
Development of the ESG profile of BIOTON
Identification of key ESG action areas
Setting targets and KPIs for individual ESG areas
Developing an action plan for the implementation of the ESG strategy
As part of the dialogue with Stakeholders, BIOTON’s Stakeholders’ attitudes towards sustainability issues were surveyed. The Stakeholders indicated which topics BIOTON should address first and had a chance to formulate specific issues that the Company should, in their opinion, prioritise. The Stakeholders’ preferences and indications were taken into account in the formulation of strategic objectives and in the verification of the correctness of the DMA results (Impact, Risk, and Opportunity analysis) carried out by BIOTON staff.
The double materiality analysis identified the most important sustainability topics for BIOTON. The hierarchy of material topics is reflected in the materiality matrix and suggests the order and intensity of actions the company should take in the context of its ESG strategy, and in the longer term – for reporting purposes as well.
Key S2 and G1
S2 and G1 topics considered material both from a financial and impact perspective include working conditions across the value chain and corporate culture. This corresponds with the fact that BIOTON operates in a regulated market and has a long value chain – both geographically and in terms of the number of contractors.
Social impacts
The impact of BIOTON’s activities on communities (due to the socio-economic importance of medicines) was highly rated. In addition, consumer-related activities (safety and social inclusion) were found to be important in terms of impact.
Environmental impacts
The most significant environmental topic was pharmaceutical waste. Biotechnology activities generate a considerable amount of such waste, which is strictly regulated. Soil contamination was also ranked high due to the handling of chemical substances.
Financial materiality
BIOTON has identified financially relevant topics. Key ones include own staff resources and climate change mitigation, in addition, sub-themes of the G1 standard were identified.
Based on the above analyses, priority strategic objectives for BIOTON were defined:
- providing the availability of medicines;
- quality assurance in the supply chain;
- adapting to climate change.