Baxter's Approach
Baxter views sustainability as a long-term strategic approach to balancing business opportunities with social, economic and environmental responsibilities. The company’s sustainability efforts naturally align with and support the company's higher purpose of saving and sustaining people's lives.
The main aspects of sustainability at Baxter, as reflected by the structure and contents of this report, include:
- Governance, Ethics and Compliance – Operating in a sound and ethical manner and complying with the law wherever the company operates;
- Employees – Providing a rewarding workplace for employees;
- Environment, Health and Safety – Reducing the company’s environmental impact and improving employee health and safety;
- Product Responsibility – Ensuring patient safety, and integrating sustainability criteria into Baxter’s products and packaging;
- Supply Chain – Working with suppliers to improve their social and environmental performance;
- Community Support – Expanding access to healthcare and contributing to communities in need worldwide, including those impacted by disasters; and
- Economic Impacts – Using financial resources wisely to ensure business success and benefit the company’s stakeholders.
Programs and activities in these areas are interconnected and mutually reinforcing, as the graphic illustrates. Click on a segment to view content page.
Baxter’s commitment to sustainability is longstanding.
Sustainability Priorities
Baxter has strategies, programs and goals focused on a range of sustainability issues, such as product development, supply chain management, resource conservation, environmental protection, employee safety and ethics and compliance. The company is also developing a more comprehensive sustainability strategy and defining companywide sustainability priorities and goals.
In the fall of 2006, Baxter established an executive-level Sustainability Steering Committee, which convened its first meeting in March 2007. The committee's role is to:
- Assess the opportunities and challenges associated with sustainability;
- Define Baxter's sustainability priorities;
- Establish performance targets and help implement sustainability initiatives;
- Track progress on key sustainability activities, drive organizational accountability and recognize accomplishments;
- Report status and engage senior management on appropriate actions and direction;
- Guide and inform company sustainability reporting; and
- Provide a sounding board for stakeholder inquiries and recommend necessary actions.
The group's executive sponsor is Baxter's corporate vice president, global manufacturing operations. Co-chairs are the company's vice president, environment, health and safety, and vice president, corporate communications.
Stuart Hart, Samuel C. Johnson Chair of Sustainable Global Enterprise and Professor of Management at the Johnson School of Management at Cornell University, facilitated two committee meetings during spring 2007 and will continue to advise the group throughout the year.
During these meetings, the committee defined sustainability priorities for Baxter to further focus its efforts and direct future initiatives. The priorities (see below) fall into three broad categories and reflect the range of issues described in this report. Throughout this year, Baxter plans to develop supporting goals in each of these areas.
How Sustainability Strengthens Baxter's Business
In addition to improving Baxter's social and environmental impacts, sustainability also enhances Baxter’s business in a variety of ways as described in the following table.
| COST SAVINGS |
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| MARKET ACCESS |
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| COMPETITIVE ADVANTAGE |
| NEW AND EXPANDING MARKETS |
| POSSIBLE SOURCES OF INTANGIBLE VALUE |
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