Global Inclusion and Diversity

Although having a diverse employee population (for example, in terms of age, gender, sexual orientation, race, ethnicity or religion) is essential, diversity alone does not ensure an inclusive culture. An inclusive organization must also have policies, programs, processes and systems in place that engender respect and enable all employees to work together effectively.

Baxter believes that an inclusive culture and a diverse workforce can contribute to the success and sustainability of the company by driving innovation and creating trusted relationships with employees, customers, suppliers and community partners. This thinking forms the foundation of Baxter's global inclusion and diversity strategy, which is directly linked to one of the company's shared values – respect for individuals and the diverse contributions of all. In addition to helping the company attract, motivate and retain a globally diverse workforce, Baxter’s focus in this area will help the company understand and address the diverse needs of our employees, customers and their patients. Baxter's global inclusion and diversity strategy focuses on four key areas:

• Workforce - building a globally diverse organization;
• Workplace - creating an inclusive culture in which diversity is valued;
• Communities - building partnerships with community-based organizations that embrace and support diverse stakeholder groups; and
• Marketplace - creating competitive advantage by promoting Baxter's commitment to inclusion through its brand, customers and supplier relationships.

Learn more about Baxter’s programs and progress in the following areas:

• Global Inclusion Council
• Inclusion and Diversity Training
• Business Resource Groups
• 2011 Business and Regional Initiatives
• Fair and Equal Opportunity for All Employees
• Supplier Diversity
• Awards

Global Inclusion Council

Baxter’s Global Inclusion Council, which was established in 2008 provides thought leadership, guidance and support to enhance the company’s inclusive culture. In collaboration with the Global Inclusion Council, businesses, regions and functions globally have developed local inclusion plans. These plans incorporate Baxter-wide opportunities, in addition to addressing their unique inclusion priorities and requirements. This customized approach recognizes that there are unique needs in different geographies. Baxter believes this two-pronged approach will drive the sustainability of the company’s inclusion and diversity focus.

The Council's executive sponsor is Baxter's Chief Science and Innovation Officer Dr. Norbert Riedel. “In an increasingly competitive global environment, our strong focus on inclusion and diversity is a critical element to our success and sustainability. Inclusion and diversity enhance our business performance,” Dr. Riedel says. The Council works closely with the Human Resources Leadership Team and Baxter’s Sustainability Steering Committee, which ensures alignment and support among the company's senior leadership.

(Top)

Inclusion and Diversity Training

In 2011, all Baxter employees completed a companywide training designed to educate employees on how they can contribute to an inclusive culture at Baxter. As a follow-up, Baxter piloted ‘The Power of Managing Inclusively’, a five-hour instructor-led, mandatory workshop for all managers, supervisors and above. A phased global roll-out launched in early 2012.

Also in 2011, Baxter asked all employees to take personal accountability for enhancing the company’s culture of inclusion and required employees to add an inclusion goal in their individual goals for the year. All of Baxter’s senior executives included a goal focused on improving gender and/or ethnic minority representation and developing a more inclusive work environment in their annual performance plans, demonstrating a strong commitment to inclusion and diversity from the top down.

(Top)

Business Resource Groups

Business Resource Groups (BRGs) provide a forum for employees to share knowledge and ideas while embracing the unique backgrounds and perspectives of all participants. These groups support Baxter’s business goals and aim to enhance personal growth and multicultural understanding, while strengthening relationships among employees and with customers, partners and community partners. In 2011, Baxter established two BRGs, “Building Women Leaders” and “Latinos@Baxter.” Baxter’s Europe, Middle East and Africa (EMEA) region also established the “Female Talent Matters” BRG.

(Top)

2011 Business and Regional Initiatives

• Baxter’s BioScience business sponsored “Women in Lifetime Leadership (W.I.L.L.)”, a program to support the advancement of women across the business globally. This development program helps women develop key skills for leadership roles, build high-impact networks and learn from networking experiences. Also, Baxter’s BioScience and Medical Products businesses launched the Women & Ethnic Minority Mentoring program, a diversity-driven mentoring program to accelerate the upward movement of director level and above top talent women and minorities. The program matches mentees with senior leaders from their respective business.
• Baxter’s EMEA region formally documented its inclusion and diversity charter, created a detailed three-year plan, and secured region and country leadership commitment. The charter, which was signed by the regional president and senior leaders across the region, is prominently displayed in the lobbies of each country location. A strong cross-regional and cross-functional inclusion network represents the various countries within EMEA. In 2011, the region also led roundtable meetings with employees from all EMEA countries to incorporate employee feedback into its flexible work arrangements framework that will be rolled out in 2012.
• Baxter’s Asia Pacific region continued its focus on the Building Talent Edge initiative, which aims to create a gender balance in critical leadership positions across 14 countries where Baxter operates. The company received the 2012 J-Win Diversity Award, which honor companies that proactively drive diversity and inclusion, for the company’s 2011 efforts in Japan. These included developing various programs for women, including with a focus on mentoring and working mothers. During the year, Baxter Japan also launched an alternate work arrangement program designed to promote work/life flexibility. In Australia, the Australian government's Equal Opportunity for Women in the Workplace Agency (EOWA) recognized Baxter with the Employer of Choice for Women citation in March 2012. The EOWA publicly acknowledges organizations for their efforts in making gender diversity a strategic imperative, promoting flexible working arrangements, ensuring men and women can access opportunities to develop their careers, and ensuring gender pay equity.

(Top)

Fair and Equal Opportunity for All Employees

Baxter is committed to fair and equal opportunity for all employees, and recognizes that every individual's unique background and experiences contribute to a successful organization.

Discrimination in hiring, promotion and all other employment decisions on the basis of race, color, religion, gender, national origin, age, disability, sexual orientation, veteran status or any other basis protected by federal, state or local laws is prohibited. Baxter's global operations comply with applicable laws and company business standards around the world. Employees are encouraged to raise any issues or concerns they might have through one of the channels outlined in the company's "Prohibition of Workplace Harassment" policy.

The tables below illustrate Baxter's ethnic and gender diversity at various levels in the company.

Board and Executive Leadership Diversity
	2007	2008	2009	2010	2011
Ethnic (% non-white of total)
Board of Directors	7.7%	7.7%	7.7%	7.7%	8.3%
Executive Management*	5.8%	11.1%	11.1%	17.7%	11.8%
Gender (% female of total)
Board of Directors	15.4%	15.4%	15.4%	15.4%	16.7%
Executive Management*	29.4%	27.8%	27.8%	17.6%	17.6%

*	The data set of Executive Management has been expanded to align with Executive Management listed in Baxter’s Annual Report on Form 10-K filling with the U.S. Securities and Exchange Commission. The figures have been restated for each year listed.

Gender Diversity at Baxter (% Female Globally)
	2007	2008	2009*	2010*	2011*
Vice President and Above	17.7%	18.5%	19.2%	19.8%	21.5%
Supervisor/Director	47.7%	48.1%	48.5%	47.8%	48.0%
Non-Manager	56.4%	56.3%	55.8%	55.4%	54.1%
Overall	52.7%	52.8%	52.5%	51.9%	51.3%

*	2009, 2010 and 2011 figures do not include Baxter Credit Union employees, which were approximately 0.1% of the total population.

(Top)

Supplier Diversity

Baxter works to develop mutually beneficial relationships with small and diverse suppliers. The company plans to continue expanding the diversity of its supplier base to reflect the demographics of Baxter's customers. See Supplier Diversity for more information.

(Top)

Awards

Several leading organizations have recognized Baxter for its 2011 inclusion and diversity efforts:

• Great Place to Work – Best Multinational Workplaces in Europe
• Great Place to Work in Austria – Great Places to Work Institute
• Great Place to Work in France – Great Places to Work Institute
• Great Place to Work in Ireland – Great Places to Work Institute
• Great Place to Work in Portugal – Great Places to Work Institute
• J-Win Diversity Award – Japan
• Top 50 Employers – Equal Opportunity Magazine

Click here for a comprehensive list.

(Top)

Employee Perspective