The most sustainable Drug companies of 2019
- Richa Mahindru
- Oct 17, 2019
- 4 min read

In continuation of our efforts to provide latest updates on sustainability in multiple industries, we have curated special insights on pharmaceutical and drug companies that have expedited their initiatives to meet UN Sustainable development goals (SDG) with zero/minimal environmental impact. The UN SDGs set out a vision for ending poverty, hunger, inequality and protecting the Earth’s natural resources by 2030.
Now, what looms large in our minds is "Do we have a circular mindset?" According to a recent artcle on Forbes and a recent study by Global 100, the ranking of Top 100 sustainable companies was done based on some key performace indicators (KPIs) like Carbon productivity score, CEO to average worker pay ratio, Percentage of women on board, Percentage Clean Revenues and Overall sustainability score.

In general, drug companies are embracing a circular mindset with their key focus on designing products that can be recycled or re-used, reshaping their business practice to minimise consumption and eliminate waste, and working with suppliers who share their circular mindset.
Here are the most sustainable pharmaceutical companies that share a circular mindset and meet key performance indicators KPIs of 2019 Global 100 by Corporate Knights rating methodology.
1. GlaxosmithKline plc, UK ranks 5th in the most sustainable drug companies with an overall score of 79.4% based on the above KPIs. According to GlaxoSmithKline's SDG fact seet, it outlines all goals that will require private sector, governments and civil society to play their part and work together in new and innovative ways. One of their goal states that all of the waste will be repurposed for beneficial uses by 2030, avoiding harmful environmental impacts from landfill and keeping materials in circulation for use in new products. They have initiatives in place to reduce plastic use, increase use of recycled plastic content and encourage the recycling of plastic components. They are also targeting 60% of their electricity to come from renewable sources by 2030.
2. Novartis AG, Switzerland ranks 18 with an overall score of 75.19%. In order to better understand and minimize the potential impact of pharmaceuticals on the environment, Novartis uses a four-fold approach that applies to all of our operations involved in research and development (R&D), production, marketing and disposal of pharmaceutical products. According to its climate sustainability report, it has established targets to first become carbon neutral in its own operations by 2025, and then reduce its carbon footprint, including that of its supply chain by half versus 2016 levels by 2030. Novartis responsible water management report states 2025 goal is to reduce water consumption in its operations by half versus 2016, with no water quality impacts from manufacturing effluents. By 2030, it aims to be water neutral in all areas of its operations, while actively enhancing water quality wherever it operates. As one of the key important sustainability initiatives of managing its waste, Novartis aims to eliminate polyvinyl chloride (PVC) in packaging and reduce waste disposal by half versus 2016 levels by 2025. By 2030, they are aiming to be completely plastic neutral, with all new products meeting sustainable design principles.
3.Sanofi, France ranks 20th, trailing behind Novartis with a slight difference in the overall score 75.16%. Some examples of Sanofi's efforts to reduce its energy and carbon footprint include Maritime Shipping. It employs maritime shipping vs. the use of air freight in its transportation of vaccines. This has reduced their CO2 emissions by 60 times and cut transport costs by 50%, according to its environment policy. Sanofi has established a new global goal to reduce water consumption by 25% over a 10 year period (2010-2020).
4. Eli Lilly and Company, US takes 46th spot with an overall score of 66.87% in top 100 sustainable companies in 2019.
Their key areas of focus are improving global health, strengthening communities, and operating responsibly. Lilly takes a holistic approach to understanding and managing environmental impacts across the product life cycle. According to the integrated summary report, they are committed to conducting their business in an environmentally, socially and financially responsible manner.
5. AstraZeneca PLC, UK ranks 50 in the list and targets reducing greenhouse gases (GHG) and maintaining operational GHG footprint no greater than 2015 levels by 2025. 61% of total electricity use is sourced or generated from renewable sources.7% of their vehicles fleet in North America, Europe and Japan is a hybrid, plug-in or electric vehicle. They have developed a framework for the product environmental sustainability index. According to the recent sustainability data report, AstraZeneca stays on track in meeting 2025 targets on waste management, resource effieciency, water and energy management.
6. Novo Nordisk A/S, Denmark ranks 58 in the list and in the Circular for Zero ambition, Novo Nordisk is aiming for zero CO2 emissions from all operations and transportation by 2030, with an overall ambition to completely eliminate their negative footprint on the environment in the future. In 2015, the company decided that their entire global production will be powered by renewable electricity by 2020 and signed up for the RE100. Today, their production in Brazil runs on hydroelectric power, in China and Europe they use wind energy, and in North Carolina, USA, they recently signed a deal on a major solar power plant to supply their production there.
7. Takeda Pharmaceutical Co., Japan at no. 78 is reducing its environmenal impact throughout the entire value chain. According to the sustainbility report, they are set to reduce CO2 emission target from energy sources by 30% from fiscal 2015 levels by fiscal 2030.
Such initaitives are only possible if the companies foster new sustainable technologies and partnerships to meet environmental challenges and in turn create new enterprises, growth, prosperity and workplaces.
Please feel free to comment and reach us for any additional queries.
References:
https://www.un.org/sustainabledevelopment/sustainable-development-goals/
https://www.forbes.com/sites/karstenstrauss/2019/01/22/the-most-sustainable-companies-in-2019/#316d12386d7d
https://www.corporateknights.com/wp-content/uploads/2018/10/2019-Global-100_Methodology-Final.pdf?v=20181205
https://www.gsk.com/en-gb/responsibility/
https://www.novartis.com/our-company/corporate-responsibility/environmental-sustainability
https://www.sanofi.us/en/corporate-responsibility/
https://www.lilly.com/corporate-responsibility-reports
https://www.astrazeneca.com/content/dam/az/Sustainability/2019/Sustainability_Data_Summary_2018.pdf
https://www.novonordisk.com/sustainable-business/zero-environmental-impact.html
https://www.takeda.com/siteassets/system/csr/sustainable-value-report/report_2018_en.pdf
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