RESPONSIBILITY HIGHLIGHTS REPORT 2018 - Amgen
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2018 RESPONSIBILIT Y HIGHLIGHTS REPORT
ABOUT AMGEN
Amgen discovers, develops, manufactures of a disease first, then selecting the right
and delivers life-changing human medicines drug modality, or structural format, best
that address unmet medical needs and suited for the target. As a worldwide leader
help reduce the social and economic in biologics manufacturing, we’re proud
burden of disease in society. Our innovative of our outstanding track record of reliably
medicines have reached millions of people delivering high-quality medicines to
in the fight against serious illnesses. These patients who need them.
medicines typically address diseases for
which there are limited treatment options As you’ll read in this report, we are
or provide a viable alternative, such as committed to responsible behavior inside
F O R M O R E I N F O R M AT I O N , V I S I T A B O U T A M G E N O N high-quality biosimilars, to what is otherwise our company and in our communities.
www.amgen.com available. We focus on six therapeutic We are proud to have built an ethical
areas: cardiovascular disease, oncology, culture rooted in science and innovation
neuroscience, inflammation, nephrology that embraces diversity and inclusion.
and bone health. A longstanding commitment to creating
positive change in the world drives our
“Since Amgen’s founding in 1980, Amgen combines leading-edge research contributions in the community, where
our staff have directed their with world-class biomanufacturing we are focused on building a healthier,
intelligence and enthusiasm capabilities. Amgen’s approach to stronger, inspired and more
toward a simple, yet powerful drug discovery begins with developing sustainable future.
mission: to serve patients, a deep understanding of the biology
especially those suffering from
serious illness.”
—ROBERT A. BRADWAY, CHAIRMAN AND CHIEF EXECUTIVE OFFICER
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SPOTLIGHT ON 2018
Included in Amgen’s mission to serve patients
is a responsibility to support strong communities
where we live and work. Improving patient 100% of staff completed 52% of our global We’ve met our 2020
access to medicines, supporting science Code of Conduct training. workforce is female. carbon and water
education for the next generation of innovators, environmental targets
ahead of schedule.
integrating environmentally sustainable practices
throughout our business and giving back through
philanthropy and volunteering are just some of
the many efforts we are proud to highlight in
this report.
Amgen Foundation Science Medicines donated through Direct Relief
Education programs reach reached more than 7,000 patients in 18
more than 7 million students. low- and middle-income countries.
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COMMITMENT | 7 ENVIRONMENT | 21
Our commitment extends We proactively reduce our
CONTENTS beyond making vital
medicines.
impact on the environment.
WORKPLACE | 26
Our 2018 Responsibility A C C E S S TO We create an inclusive,
Highlights Report features MEDICINE | 10 safe and healthy work
Our mission is to environment.
selected accomplishments in serve patients.
the many areas where we are
making positive contributions REPORTING | 29
We communicate our
for patients and beyond. BUSINESS
progress in alignment
ETHICS | 14 with global standards.
We have an unwavering
Complete information and commitment to integrity
full data can be found on and compliance.
www.amgen.com.
COMMUNITY | 17
Amgen and the Amgen
Foundation contribute to
the greater good.
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LEADERSHIP MESSAGE
Thank you for your interest in Amgen and our focus $1 trillion a year. Nearly 18 million people die every As an example, in 2018, we met our 2020 carbon and
on building a healthier and more sustainable future year from cardiovascular disease, which costs water conservation targets well ahead of schedule.
for people and communities around the world. approximately $600 billion annually in the U.S. alone. One of the innovations that helped us to achieve
these targets is our pioneering next-generation
Since Amgen’s founding in 1980, our staff have We are making progress in expanding patient access biomanufacturing capability, which uses a fraction of
directed their intelligence and enthusiasm toward to our medicines. In 2018, the commercial value of the energy and water of conventional plants. Our first
a simple, yet powerful mission: to serve patients, the medicines provided by the Amgen Safety Net next-generation facility, in Singapore, was licensed
especially those suffering from serious illness. In Foundation at no cost to patients in the U.S. who by regulators in 2017. In 2018, we broke ground on
pursuit of this mission, we have grown over time could not afford them exceeded $1 billion. We also our second such plant in Rhode Island.
from a company with a handful of medicines treating donated nearly $100 million worth of Amgen cancer
hundreds of thousands of patients largely in the U.S. treatments and supportive care medicines last year We are in a long-cycle business, and much of the
to a company with 20 medicines treating millions of for distribution to patients in 18 developing countries at work taking place at Amgen today will be carried
patients in approximately 100 countries around the no cost through the nonprofit organization Direct Relief. forward in the future by those who have yet to even
world. As we seek to have an even greater impact enter the workforce. We are focused, therefore, on
on global health, we invest heavily in research and Even as we work to provide innovative treatment inspiring the scientists of tomorrow by increasing
development to find new treatments—nearly $19 options to as many patients as possible, we access to science, technology, engineering and
billion in the past five years alone—resulting in the continuously seek opportunities to contribute to the mathematics education. To this end, the Amgen
strongest pipeline in our history. greater good in other ways. As you’ll read in this Foundation has invested nearly $150 million in a
report, we make many contributions in the areas of range of hands-on and virtual science, technology,
Our medicines target diseases that place a environmental sustainability, science education and engineering and mathematics education programs
tremendous burden on individuals and society, community assistance. that have reached more than 7 million students
including cancer and cardiovascular disease. around the world. It brings us great satisfaction to
According to the World Health Organization, see many of these students go on to pursue careers
cancer claimed an estimated 9.6 million lives in biopharmaceutical research, pushing the boundaries
worldwide in 2018 and costs society well over of innovation on behalf of patients.
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LEADERSHIP MESSAGE
spot on the Dow Jones Sustainability Indices World
We are committed to being a good neighbor in Index. In early 2019, we were named a Best Place
the communities where we work and live around to Work for LGBTQ Equality by the Human Rights
the world. In 2018, the community surrounding our Campaign Foundation, earning a perfect score on
global headquarters in Southern California faced two the HRC’s Corporate Equality Index for the third year
nearly simultaneous crises. Following the tragic mass in a row.
shooting at the Borderline Bar and Grill, which killed
12 people, massive wildfires erupted in and around We are grateful to our more than 21,000 staff
our community. In addition to financial assistance members and the many partners we work with
from the Amgen Foundation, hundreds of Amgen around the world. We value your ideas, questions
staff members lent helping hands by volunteering, and comments and ask you to share them through
giving blood, donating to relief funds, thanking first responsibility@amgen.com. I hope you will follow our
responders and opening their homes to colleagues progress as we continue to advance as a successful,
and neighbors who needed to be evacuated. socially responsible enterprise.
Our commitment to sustainability and good corporate “Even as we work to provide innovative
citizenship is aligned with respected global treatment options to as many patients
frameworks, including the UN Global Compact. In as possible, we continuously seek
this report, we demonstrate our ongoing commitment opportunities to contribute to the
to the UN principles and communicate our progress.
greater good in other ways.”
We are proud to see our efforts recognized and in
2018, for the fifth consecutive year, Amgen earned a Robert A. Bradway
Chairman and Chief Executive Officer
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COMMITMENT
Corporate responsibility is important to Amgen since of our approach to corporate responsibility. This
making a positive difference in the world is at the heart council, chaired by the senior vice president of
of what we do—and it goes beyond making Corporate Affairs, is designed to ensure that executive
vital medicines. Our approach to corporate management is informed and involved in the
responsibility encompasses seven key elements: implementation of corporate responsibility.
1) improving access to our medicines, 2) ensuring
we operate with the highest standards of business Engaging With Stakeholders
ethics, 3) continuing our corporate philanthropy Amgen strives to continuously align its responsibility
with a focus on STEM education, 4) enhancing the programs with the expectations of internal and external
diversity and inclusion of our workforce, 5) conducting stakeholders. In particular, we focus on those issues
ethical research and development, 6) improving the that are considered to be important priorities for
environmental sustainability of our operations and stakeholders and that align with Amgen’s mission,
7) increasing the diversity and sustainability values and strategy.
performance of our suppliers. This 2018 report shows
how our corporate responsibility efforts align with Amgen uses a variety of ways to gauge stakeholder
the United Nations Sustainable Development Goals interests, including direct engagement with stakeholders,
(SDGs), a globally recognized platform for advancing periodic stakeholder assessments and guidance
sustainability in the public and private sectors. from relevant frameworks. These frameworks include
the UN Global Compact, SDGs and Sustainability
Responsibility Governance Accounting Standards Board standards, as well as
Responsibility at Amgen is governed at the highest external sustainability ratings, such as the Dow Jones
levels. Our executive leadership reports our progress Sustainability Index and CDP (formerly known as Carbon
to the Corporate Responsibility and Compliance Disclosure Project), since they represent the perspectives
Committee (CRCC) of our board of directors. The of key stakeholders. Specific examples of engaging
CRCC assists the board in overseeing Amgen’s with external stakeholders, including our second annual
activities in the areas of corporate responsibility Stakeholder Summit, can be found throughout this report.
and compliance. In 2018, a new, executive-level The results of our most recent stakeholder perspective
governance council was established at Amgen to assessment can be found in Reporting and Metrics in
oversee the continuing evolution and enhancement Responsibility on www.amgen.com.
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COMMITMENT
Our Commitment to Patients Our efforts to increase the value of integrate the perspectives of diverse external
Our commitment to patients extends beyond delivering healthcare include: stakeholders into the development and execution
innovative medicines to creating healthcare solutions •R
evolutionizing the way that biologic medicines of corporate responsibility.
for those we serve. It is also reflected in the following can be manufactured through our next-generation
areas of focus: biomanufacturing technology, making the process We are dedicated to patient safety. The Global Patient
• Helping patients get access to the medicines faster and less expensive and reducing our Safety department serves patients by monitoring
they need—see the Access to Medicine environmental footprint the safety of Amgen products (medicine, devices
section of this report and combination products) through the science of
•B
uilding partnerships that share accountability for
pharmacovigilance. Pharmacovigilance refers to the
• Investing in Research health results within the healthcare system and
monitoring, reviewing, evaluating and communicating of
• Increasing the Value of Healthcare providing options, such as linking the price of our
information on the safety of pharmaceutical products.
medicines to their performance
• Listening to the Voice of the Patient
•C
ontinuing to develop “biosimilars”—high-quality,
• Ensuring Global Patient Safety
more affordable versions of existing biologic
medicines—to treat inflammatory disease and
Amgen invests heavily in research and development
certain types of cancer
in search of innovative medicines and tools that may
provide breakthrough opportunities for medical needs
We continue to listen to the voice of the patient
that are currently unmet. We focus on medicines
and integrate it into our processes. In October of
made using biotechnology, and we aim for medicines
this year, Amgen convened a gathering of senior
that make a difference in patients’ lives. We are
leaders from nearly 50 organizations representing
committed to breakthrough medicines and growing our
professional societies, patient advocacy organizations,
understanding of human genetics, which we believe
employer groups, insurance companies and industry
can meaningfully aid our ability to discover and deliver
in Washington, D.C., for Amgen’s second annual
medicine to control hard-to-treat diseases.
Stakeholder Summit, Elevating the Patient Voice.
These kinds of interactions ensure that we can
FOR MORE INFORMATION
Visit Amgen’s Commitment to Patients
on www.amgen.com.
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COMMITMENT
The Community section of this Amgen’s long-term, sustained
report highlights how the Amgen progress toward our Environmental
Foundation’s numerous educational Sustainability goals demonstrates
The UN Sustainable Development Goals (SDGs) programs support fulfillment of our support for SDG 12:
are a globally recognized framework for advancing SDG 4: Quality Education—Ensure Responsible Consumption and
sustainability in the public and private sectors. They Inclusive and Quality Education Production. The Environmental
are designed for participation by many different for All and Promote Lifelong Learning. The ongoing Sustainability section of this report describes how we
stakeholders, including countries, communities, global expansion of the Amgen Foundation’s innovative have significantly reduced the amount of waste and
businesses and organizations, who support the goals educational programs is something of which we are carbon emissions produced from our operations while
in a variety of ways to tackle global challenges in particularly proud. simultaneously reducing the amount of energy and
economic, social and environmental dimensions. water used.
Much of Amgen’s approach to responsibility is aligned
with the SDGs and helps support their achievement. Innovation is core to Amgen’s Much of what Amgen
Throughout this report, you’ll see SDG icons to signal business, meaning a great deal accomplishes in corporate
how our current actions in an area align with the SDG of what we do aligns with SDG responsibility is through
framework. We are currently focusing on alignment 9: Industry, Innovation and partnerships that align well with
with five SDGs. Infrastructure. In addition to our SDG 17: Partnerships for the
innovative medicines, Amgen Goals. In the Access to Medicine
applies innovation to our manufacturing, pricing and section of this report, you can read about the wide
Amgen’s mission is in alignment
partnerships. With regards to manufacturing, in 2018 range of partnerships we utilize to help improve access
with SDG 3: Good Health and
Amgen broke ground on our second next-generation to our medicines—from the CDC Foundation to the
Well-Being. See the Access to
manufacturing facility, which employs technology that Union for International Cancer Control.
Medicine section of this report to
significantly reduces construction time, costs, physical
read about how we try to ensure
footprint and environmental impacts.
that as many patients as possible
benefit from our medicines—including a significant
donation of medicine that will benefit patients in
18 low- and middle-income countries.
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ACCESS TO MEDICINE
Amgen’s medicines can make a profound difference
in the lives of patients with serious illnesses—and Pricing and Patient Support Patient Assistance Programs
we believe patients should have access to them. We We operate several programs to support patients who Amgen Safety Net Foundation (ASNF) is an
have made progress reaching patients in geographies may not otherwise be able to afford our medicines. independent nonprofit patient assistance program
that typically have limited access to biologic established in 2001, sponsored by Amgen. ASNF was
medicines through our partnerships, donations and Flexible Pricing and Contracting designed to assist patients who have a financial need
affordability programs. In 2018, in alignment with our The prices of our medicines reflect their ability to and are uninsured, or the insurance plan excludes the
mission to serve patients, we continued to evolve reduce the burden of disease for individuals and Amgen medicine. It has provided nearly $5.5 billion
our approach by advancing our local partnerships, society, but we also recognize that affordability can of support to patients in the United States since 2008.
enhancing programs that strengthen health systems present challenges to patients accessing our valuable In addition to the ASNF, Amgen supports 12 patient
and addressing affordability through innovation. medicines, particularly in low- and middle-income access programs outside the United States, including
countries (LMICs). To improve the accessibility and in Egypt, Thailand and China, designed to help
affordability of our products, Amgen adopts a flexible clinically and financially eligible patients obtain
Our multifaceted Access to Medicine approach approach to pricing to ensure our prices reflect local the drugs they need.
encompasses four key areas of activity: socioeconomic conditions and ability to pay while also
• Pricing and Patient Support using innovative contracting solutions that tie costs
incurred directly to outcomes achieved.
• Health System Strengthening
• Product Donations
• R&D, Manufacturing and Distribution
Amgen 2018 Responsibility Highlights Report 10COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY ENVIRONMENT WORKPLACE REPORTING
ACCESS TO MEDICINE
Health System Strengthening •A
n expanded collaboration in 2018 with the Union programs are in place in countries including Brazil,
Amgen is dedicated to working with global, for International Cancer Control to support major Colombia, Mexico, Peru and South Africa. In 2018,
regional and local stakeholders to improve cities in the design, planning and implementation Amgen partnered with the Hellenic Society of
healthcare systems in LMICs. We help strengthen of integrated cancer treatment solutions Hematology to provide air transportation support
health systems by creating partnerships and •A
n Infarct Code program—a partnership with a for patients living on 17 remote islands in Greece
programs, deploying patient support initiatives Mexican state institution to increase diagnosis and to receive treatment at mainland medical centers
and supporting science education for the next treatment of patients with cardiovascular disease of excellence.
generation of health innovators. following a cardiovascular event
Science Education
•C
ardiovascular Risk Factors Research
Partnerships and Programs to Support The Amgen Foundation is dedicated to advancing
Partnership—a collaboration with the CDC
Healthcare Systems excellence in science education to inspire the
Foundation and Oxford University to sponsor
Our health system strengthening programs seek next generation of innovators and has donated
researchers to conduct observational studies
to build healthcare capabilities to enhance the way nearly $150 million to advancing science education
on cardiovascular epidemiology in Cuba, India,
healthcare can be delivered and improve patient globally. The Amgen Foundation’s initiatives to
Mexico and Russia and advance the availability
outcomes. Programs include collaborations with improve access to science education globally
of a point-of-care testing device to improve lipid
providers, diagnostic companies, medical societies, include LabXchange, a partnership with Harvard
testing in over 25 countries
digital technology companies, academia, payers University, and our collaboration with the Khan
and others. Including the progress made in 2018, Academy. See the Community section of this report
Patient Programs and Education
we are currently implementing programs in 36 for more information on Amgen’s efforts to advance
Amgen uses patient support programs to help
countries, including Bulgaria, Colombia, Cuba, science education.
patients with their disease journey. Such programs
India, Mexico and Thailand.
can include patient education on their disease,
administration support of and adherence to
Example programs include:
treatment, managing side effects and navigating
•F
racture Care Coordination programs to provide reimbursement processes. We also provide
the care required to prevent additional fractures transportation assistance outside of the United
in patients who recently broke a bone States to medical appointments for mobility-
impaired patients in certain countries. These
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ACCESS TO MEDICINE
Product Donations demonstrating alignment with well-established
We believe that donations of medicine can play global health needs. Recognizing the importance
a role in meeting an immediate need for patients of regulatory systems to review biosimilar products,
in LMICs who cannot currently afford biologic Amgen is working closely with a wide range of
medicines. We are therefore committed to finding stakeholders to help middle-income countries
opportunities to partner with organizations that can establish regulatory frameworks to evaluate
meet the unique challenges of distributing and biosimilars and enable safe use of these potentially
delivering donated biologic medicines in parts of cost-saving therapies.
the world with limited access to these medicines.
Access to Investigational Medicines: We have a
R&D, Manufacturing and Distribution process in place to provide access to therapeutics
The growing burden of noncommunicable that are still in clinical trials to patients with serious
diseases is a pressing global health issue. Amgen diseases for which no alternate therapy exists. PRODUCT DONATIONS TO SUPPORT
medicines and drug candidates in research address More information can be found on www.amgen.com. CANCER CARE IN 18 COUNTRIES
noncommunicable disease, such as cancer, In 2018, through a corporate donation, Amgen In 2018, Amgen donated US $93 million of NEUPOGEN®
cardiovascular disease, osteoporosis, migraines contributed $2 million to the Lazarex Cancer (filgrastim), Neulasta® (pegfilgrastim) and Vectibix®
and kidney disease with high prevalence in LMICs. Foundation’s IMPACT (IMproving Patient Access (panitumumab) to Direct Relief to serve approximately 7,400
low-income patients. Direct Relief distributes the medicines
to Cancer Clinical Trials) program, which is focused
through a network of high-quality cancer hospitals and
Investment in Biosimilars: Amgen is a leader in on improving patient enrollment, retention, minority clinics across 18 low- and middle-income countries,
developing and manufacturing biosimilars that will participation and equitable access in oncology trials. including African countries such as Ethiopia, Ghana,
enable us to provide more affordable treatment Malawi, Senegal, Tanzania and Uganda.
options for patients around the world suffering
“Direct Relief is deeply appreciative to Amgen for
from certain types of cancers, inflammatory its leadership and initiative in providing critical treatments
conditions or rare genetic disorders. Three of our to underserved cancer patients globally,” said Thomas
biosimilar medicines are listed on the World Health TO LEARN MORE Tighe, president and chief executive officer of Direct Relief.
about our biosimilars program, visit “Cancer patients who would otherwise not be able to access
Organization’s Model List of Essential Medicines,
www.amgenbiosimilars.com. many important therapies will be able to receive these
advanced biologic medicines.”
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ACCESS TO MEDICINE
Product Distribution Amgen Access to Medicine Programs in Low- and Middle-Income Countries
Product distribution can be challenging in LMICs
that have less developed infrastructure. To
reach patients in such countries, Amgen uses
co-marketing agreements and distributors. Amgen
is committed to improve mechanisms for distribution
to make products available on a worldwide basis for
patients suffering from grievous illness. Amgen also
partners with nonprofit organizations, such as Direct
Relief, to reach patients through product donations,
an example being our 2018 donation for products
serving cancer care highlighted in this section.
When working with these partners, we support them
in developing the capabilities needed to ensure that
the transport, handling and administration of these
biologic medicines will maintain the quality needed
for treatment of patients.
“Reaching patients around the world who can
benefit from our therapies and enabling patient Pricing and Patient Support Product Donations
access to our products are integral components China, Egypt, Thailand Armenia, Cambodia, Dominican Republic, Ghana, Honduras, India, Jamaica,
Malawi, Nepal, Nicaragua, Pakistan, Paraguay, Senegal, Tanzania, UseUganda
of Amgen’s mission and long-term strategy.” 1 Amgen Proprietary—Internal Only
—C L A E S H O RNST R AND, V I C E PRE SIDENT, GLOB A L VA LUE, ACCESS A ND POL ICY
Health System Strengthening R&D, Manufacturing and Distribution
Brazil, Bulgaria, Colombia, Cuba, India, Algeria, Brazil, Cambodia, Colombia, Egypt, Jordan, Indonesia, Iran, Lebanon,
Mexico, Peru, Romania, Thailand Malaysia, Morocco, Myanmar, Philippines, Thailand, Tunisia, Vietnam
FOR MORE INFORMATION Amgen has numerous programs to help patients access our medicines who otherwise couldn’t afford them. This map specifically
on Amgen’s Access to Medicine approach and the many shows Amgen’s programs to improve access to our medicines in certain low- and middle-income countries.
ways we serve patients, please see Access to Medicine,
Low- and Middle-Income Countries (with no programs) High-Income Countries (programs not mapped)
Our Approach to Pricing, Access and Affordability and
Amgen’s Commitment to Patients on www.amgen.com.
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BUSINESS ETHICS
Doing the right thing is central to our mission to serve This Compliance Committee oversees the Amgen provides a framework for successful
patients. At Amgen, doing the right thing means operations of a Compliance Council and ensures implementation of its compliance program based on
more than just following our compliance policies. that compliance performance is part of executive core elements from the OIG Compliance Program
It also means truly living the Amgen values, which management reviews. The Compliance Council, Guidance for Pharmaceutical Manufacturers, such
include being ethical, trusting and respecting each chaired by the chief compliance officer, is a as a designated compliance officer and compliance
other, ensuring quality and being science-based. It’s cross-functional body that analyzes compliance committee, written policies and procedures and
a privilege to work at a company focused on helping obligations and activities, implements program providing effective training and education. We
patients with serious diseases, and this is a privilege improvements and provides information to the augment these elements with additional tenets
we do not take lightly. Our business is built on an CRCC. The Compliance Council is comprised of we believe to be important, such as elevating
unwavering commitment to integrity and compliance, senior level compliance professionals who are compliance leadership to be an integral part
which is demonstrated by our staff members every selected by the Compliance Committee to represent of executive performance reviews.
day through their words, decisions and actions. each functional area. The chief compliance
officer, who reports directly to Amgen’s chairman These tenets are put into action through Amgen’s
and chief executive officer and who oversees Code of Conduct and Business Conduct Hotline,
Compliance Governance Amgen’s Worldwide Compliance & Business Ethics compliance websites and training courses, Amgen’s
Our ethical culture starts at the highest levels Program, oversees the ongoing operations of the compliance policies, guidance from managers
of leadership and is integrated at every level of company’s Compliance program and reports on the and dedicated compliance professionals, internal
our business. To guide us, Amgen has created a effectiveness of the program to the CRCC. monitoring and auditing and investigating detected
tiered compliance governance structure, to ensure problems, undertaking corrective actions and
a company-wide commitment to compliance. Supporting and Reinforcing Our Compliance Culture applying disciplinary measures where appropriate.
The Corporate Responsibility and Compliance As Bob Bradway, our chairman and chief executive
Committee (CRCC) of the board of directors has officer, reminds us, conducting ourselves in
ultimate oversight for the company’s compliance principled ways is core to our mission. There are no
program. An internal Compliance Committee, shortcuts. The Worldwide Compliance & Business
chaired by Amgen’s chairman and chief executive Ethics Program facilitates Amgen’s success by
officer and comprised of Amgen’s Operating Team, diligently partnering with functions across our
ensures Amgen’s steadfast culture of compliance business to create effective solutions within the FOR MORE INFORMATION
Visit Business Ethics on www.amgen.com.
and business ethics are the foundation of the framework of regulatory requirements in order to
company’s strategy, goals and objectives. provide clear and practical rules and guidelines.
Amgen 2018 Responsibility Highlights Report 14COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY ENVIRONMENT WORKPLACE REPORTING
BUSINESS ETHICS
Promoting Ethical Business Practices • Internal communications on business ethics, “At Amgen, maintaining a culture of integrity
At Amgen, we understand that promoting a including an Ethics Quarterly Newsletter, targeted and ethics is critical to the success of our
culture of compliance and ethical operations is communications campaign on the topic of business. Our commitment to these values, as
a continuous process. So, in addition to our “Speaking Up” and internal Amgen portal on well as our focus on serving patients, ensures
Policies, Practices and Disclosures, we Ethical Leadership
we make sound decisions that fulfill our
implement a wide range of activities and •M
anager trainings on special responsibilities responsibilities.”
programs to promote ethical business practices. for promoting and supporting ethical and — C Y N T H I A M . PAT T O N , S E N I O R V I C E P R E S I D E N T A N D C H I E F CO M P L I A N C E O F F I C E R
compliant conduct
In 2018, highlights of those activities included:
•P
eriodic surveys to measure employee
•C
ode of Conduct training completion by 100% perceptions of the compliance program FOR MORE INFORMATION
of staff and ethical culture Visit How We Operate on www.amgen.com.
•G
lobal Ethics & Compliance Declaration Program,
which calls for leaders in selected roles to execute These activities serve to reinforce Amgen’s
an ethics and compliance engagement plan and commitment to operating in a compliant and
sign an annual declaration ethical manner.
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BUSINESS ETHICS
Supplier Sustainability and Supplier Diversity Amgen also has a Supplier Diversity Program that
As part of Amgen’s commitment to sustainability is designed to provide opportunities to small and
and diversity, we require our suppliers to conduct diverse businesses. One of the key efforts within our
their business in alignment with our mission and Supplier Diversity Program is participation in events
values. Amgen’s Supplier Sustainability Program that are designed as a platform for connecting
is not only focused on suppliers’ commitment corporations with small and diverse businesses.
to quality, cost and reliability but also on a wide Amgen is a corporate member of various national
range of sustainability and social responsibility and local organizations that support supplier
considerations, such as business ethics, labor diversity, such as the National Minority Supplier
and human rights and environmental impacts. Development Council (NMSDC), the Women’s
Business Enterprise National Council (WBENC),
Amgen, through a third-party service, annually Diversity Alliance for Science (DA4S), Diversity:
assesses and monitors sustainability performance IN and National LGBT Chamber of Commerce
of key suppliers and continues to expand the (NGLCC). Supplier Diversity professionals at Amgen
program, reflecting our global growth. This are actively serving on the board of directors
annual assessment provides Amgen insights and various committees of the above-mentioned
into our suppliers’ sustainability-related activities organizations. Amgen’s Supplier Diversity Program
and facilitates a dialogue with suppliers about leader Jinus Moghbeli Pashai is the current
opportunities to further enhance or focus their president of Diversity Alliance for Science and
sustainability activities. was recognized as the Spirit of Diversity Award
recipient by Southern California Minority Supplier
In the area of conflict minerals, Amgen will continue Development Council (SCMSDC) in 2018.
to seek to identify, reduce and ultimately eliminate
the use of conflict minerals—those that directly or
FOR MORE INFORMATION
indirectly finance or benefit armed groups in the
Visit Supplier Sustainability in Responsibility on
Democratic Republic of the Congo and surrounding www.amgen.com.
countries—in its products. The identification of
potential use of conflict minerals in our supply chain
is integrated into our Supplier Sustainability Program.
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COMMUNITY ENVIRONMENT WORKPLACE REPORTING
COMMUNITY
Amgen is a values-based company, engaged in to scientific education and resources. The following since its inception almost 30 years ago. The program
discovering and developing medicines for patients are highlights of existing and new science education empowers teachers to bring biotechnology into their
with serious illnesses. By extension, Amgen, along programs for 2018: classrooms by providing hands-on molecular biology
with our philanthropic arm the Amgen Foundation, curricula, tools and professional development training.
• The Amgen Foundation became the founding sponsor
contributes to the greater good in communities
of the new LabXchange online platform, awarding • Nearly 200 educators participated in an Amgen
around the world.
$6.5 million to Harvard University to develop, launch Foundation–sponsored webinar from Khan
and grow this platform that increases student Academy. As a Science Partner of Khan Academy,
The Amgen Foundation, the main channel for Amgen’s
access to online lab-based learning. Amgen the Amgen Foundation has provided $3.7 million in
corporate philanthropy efforts, has helped to make
scientists will play key advisory roles to enhance the funding to date, contributing to the creation of more
the excitement of the sciences, the promise of
impact of the platform with a virtual lab that integrates than 300 videos, 123 deep practice exercises and
science, technology, engineering and mathematics
dynamic experimental simulations with background 243 articles on the topic of biology. The free, online
(STEM) education and the provision of essential
curriculum and social networking. resource provides access to educational content
social services more accessible to members of
• The Amgen Scholars Program expanded with in multiple subjects, including biology, to 70 million
our communities. To date, the Foundation has
a new four-year, $21 million commitment, bringing users across more than 190 countries.
contributed more than $300 million to local, regional
and international nonprofit organizations that reflect the program to a total of 24 elite institutions across
Amgen’s core values and complement the company’s the United States, Europe, Asia and, for the first
dedication to positively impacting lives. time, Australia and Canada. Through a 16-year, $74
million commitment from the Amgen Foundation,
Amgen Scholars enables young scientists from
Support of Science Education across the globe to enage in cutting-edge research
The Amgen Foundation is primarily focused on inspiring experiences and learn more about biotechnology and
the scientists of tomorrow and advancing scientific drug discovery. For the past two years, 30 percent
literacy. The Foundation advances this vision through of Amgen Scholars have self-reported as being Pell
a number of hands-on and virtual experiences for Grant recipients.
students and teachers. The Foundation is especially • The Amgen Biotech Experience, now available
committed to reaching diverse and underserved in 20 regions around the world, has reached nearly
populations that might not otherwise have access 700,000 students, 1,500 teachers and 850 schools
Amgen 2018 Responsibility Highlights Report 17COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY
COMMUNITY ENVIRONMENT WORKPLACE REPORTING
COMMUNITY
• The Amgen Foundation provided a $100K grant to Supporting Communities Around the World The Amgen Foundation provides programs and
advance STEM priorities for Teach For All network In addition to the strategic science education programs resources to empower individual Amgen staff in their
partners in Brazil, Colombia and Mexico. Teach For All developed and implemented by the Amgen Foundation, charitable giving. These programs include Amgen
is a global network of 48 independent, locally led and Amgen and Amgen staff contribute to a variety of Volunteers, through which volunteering by staff in the
governed partner organizations that each work to recruit charitable organizations and efforts throughout the world. United States and Puerto Rico triggers a donation from
and develop promising future leaders to teach in their the Amgen Foundation, a Matching Gifts Program,
nations’ under-resourced schools and communities. A major highlight of Amgen’s charitable giving in 2018 which provides a 1:1 match for staff donations to
• Along with the Carnegie Corporation of New York, the was a joint initiative in which we donated $93 million eligible nonprofit organizations from $50 up to $20,000
Amgen Foundation sponsored a major new National worth of Amgen cancer treatments and supportive care annually per staff member, and Amgen Impact Day,
Academies report on how investigation and design can medicines for distribution to patients in 18 developing which gives all full- and part-time regular active staff
improve student learning in science and engineering. countries through the nonprofit organization Direct members up to eight hours of paid time off per calendar
Relief. This is in addition to the programs Amgen year to volunteer in support of an effort of their choice.
Details of these and other Amgen Foundation– provides to support access to our medicines for Staff donations plus matching funds from the Amgen
sponsored programs that improve access to clinically and financially eligible patients in the United Foundation totaled $4 million in 2018. Staff volunteered
science education around the world can be States (through the Amgen Safety Net Foundation) more than 19,000 recorded hours overall in 2018.
found on www.amgeninspires.org. and abroad. See the Access to Medicine section
for more information on these efforts.
7 MILLION +
STUDENTS
reached through compelling
hands-on and virtual
experiences in science
Amgen 2018 Responsibility Highlights Report 18COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY
COMMUNITY ENVIRONMENT WORKPLACE REPORTING
COMMUNITY
As a multifaceted, global company, Amgen’s charitable We were proud to be recognized with the Corporate organizations providing help. The Amgen Foundation
giving efforts are numerous and diverse. Some of the many Social Responsibility Program of the Year award for then pledged $500,000 to support victims of the local
and varied global charitable efforts in 2018 included: a second year in a row by the Ireland Pharma wildfires in Ventura and Los Angeles counties. Staff
• Support by our site in Canada of the Advanced Industry organization. made additional donations through the Amgen Disaster
Coronary Treatment Foundation, which has provided Relief program totaling nearly $105,000 of support in
free, life-saving CPR and defibrillator skills to 4.2 Responding to Crisis and Recovering From Disasters response to these tragic circumstances, which were
million youth at 1,790 high schools across the country 2018 was a year that tested the resolve of many Amgen also matched by the Amgen Foundation’s Disaster
staff. The community of our global headquarters, Relief Matching Gifts program.
• Collection and donation of aluminum can tabs by staff
Thousand Oaks, California, was impacted with a mass
at our Singapore manufacturing site to be made into
shooting at a local establishment and with fires that
prosthetic limbs by the Prostheses Foundation
erupted in the surrounding hills and burned for many
of H.R.H. the Princess Mother, an NGO that collects
days. Amgen’s strong and supportive culture shone
and processes these tabs in combination with other
through as staff rose in support of the Thousand
strong metals to produce prosthetic legs that are
Oaks community.
provided to amputees of all races and religions free
of charge
Many staff gave blood to local hospitals and wrote
• Nearly 100 percent participation by staff at our hundreds of cards and notes to victims of disaster,
manufacturing site in Dun Laoghaire, Ireland, in both within the company and in the community. Some
their Helping Hands staff philanthropy program staff, trained in emergency first response, served as
• A 500-kilometer bike ride from London to Paris by volunteers in local areas impacted by the fires.
15 dedicated riders from our Dublin, Uxbridge
and Cambridge offices over four days in September, After the shooting tragedy, the Amgen Foundation
raising more than £25,000 for myeloma research made a direct donation of $250,000 to the Ventura
County Community Foundation for the Conejo Valley
Victims Fund to support the victims, families and
Amgen 2018 Responsibility Highlights Report 19COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY
COMMUNITY ENVIRONMENT WORKPLACE REPORTING
COMMUNITY
Puerto Rico Se Levanta: Puerto Rico Rises The Foundation will continue this strategic process
In 2018, Puerto Rico, home to Amgen’s largest to distribute the remaining dedicated funds toward
manufacturing facility, continued its slow recovery recovery efforts.
from Hurricane Maria, which devastated the island in
the fall of 2017. Directly following the disaster, Amgen The hurricane had lasting impacts not only to major
committed $3 million in immediate relief, which went institutions in Puerto Rico but also to staff, their families
to the International Medical Corps, Direct Relief, and their communities. Staff at our site in Juncos along
Americares, the CDC Foundation, the Puerto Rico with Amgen’s Government Affairs team coordinated a
Community Foundation and the American Kidney community relief effort in partnership with SOMOS, Inc.
Fund. Amgen also committed up to $2 million to and members of the New York State Assembly that
support recovery efforts. helped more than 40 families in the La Hormiga sector,
an isolated area in Juncos that was severely impacted
In 2018, Amgen Foundation representatives met with by the hurricane. Amgen staff and their family members
members of the Puerto Rican government to determine made an especially strong showing for the International
the most strategic and impactful ways to focus its Coastal Cleanup volunteering event in September.
$2 million commitment to recovery and rebuilding
in Puerto Rico. Through this coordinated work, “Amgen’s philanthropic efforts have expanded
the Foundation directed the first $1 million toward along with the company’s growing presence
the reconstruction of educational institutions in around the world. We are proud to bring the
Amgen’s hometown of Juncos: the Juana Sánchez
promise of science education and numerous
Montessori School, Roberto Silva School and
community support programs to more
Pedro Bosh School. The Foundation also provided a
people.”
grant to the Mayagüez and Humacao campuses of
— E D U A R D O C E T L I N , P R E S I D E N T A M G E N F O U N D AT I O N A N D H E A D O F
the University of Puerto Rico to rebuild and improve PHILANTHROPY
student science laboratories and academic facilities.
Amgen 2018 Responsibility Highlights Report 20COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY ENVIRONMENT
ENVIRONMENT WORKPLACE REPORTING
ENVIRONMENT
At Amgen, we have a strong commitment to Our Targets
environmentally sustainable operations and have We set our 2020 environmental targets by establishing
met three of our 2020 targets ahead of schedule. reduction quantities based on our 2012 baseline
The 2020 targets are our second set of performance. We have created a portfolio of projects
environmental targets since 2008. We integrate and initiatives that we implement to achieve the
sustainable practices throughout our business in targeted reductions. We track progress toward our
alignment with our 2020 Environmental Sustainability targets through verified results from these improvement
Plan. Our staff work to reduce Amgen’s environmental projects, without influence from growth or contraction
footprint through strategic thinking, technology and in our business. With achievement of all of our 2020
sustainable practices. We have demonstrated that targets on the horizon, in 2018 we began preparing
environmentally sustainable operations benefit our for our next set of environmental targets.
overall operations.
2020 Target Progress Through 2018
Carbon Reduce 3,000 metric tons (MT) of fleet carbon
20% of 2012 baseline
3,200 MT
Carbon Reduce 38,500 metric tons (MT) of facility carbon
10% of 2012 baseline
42,000 MT
Waste Reduce 1,490 metric tons (MT) of waste
to landfill or incineration 35% of 2012 baseline
1,300 MT
Water Reduce 269,000 cubic meters (CM)
10% of 2012 baseline
278,000 CM
0% 20% 40% 60% 80% 100%
2012 Baseline 2020 Target
Amgen 2018 Responsibility Highlights Report 21COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY ENVIRONMENT
ENVIRONMENT WORKPLACE REPORTING
ENVIRONMENT
Reducing Carbon Through Energy Conservation based projects, we also take steps to reduce carbon • Expansion of our smart and integrated facility
Amgen implements a comprehensive carbon reduction output from our business by encouraging alternative monitoring system to six Amgen sites. This award-
strategy that encompasses strategic elimination of methods of commuting to work, such as carpooling winning system has helped our engineers identify
energy use, increasing energy efficiency and increasing and providing electric vehicle charging stations at conservation opportunities that reduced 83,000
the proportion of energy used from renewable and some facilities. At the end of 2018, we had exceeded gigajoules (GJ) of energy, reduced 5,400 MT of
alternative sources. We complete projects and our 2020 carbon targets for fleet vehicles and facility carbon and saved $1.3 million.
incorporate innovations that provide substantial returns operations. We are continuing to work through our • Installation of latest-generation, high-efficiency chillers
for both energy savings and carbon reduction across portfolio of identified carbon reduction opportunities at our site in Ireland are conserving 2,700 GJ of
our network of facilities around the world. We have for 2019 as we finalize our next generation of energy per year and reducing 315 MT of carbon.
realized savings of $30 million in operating costs environmental targets.
•O
ptimization of the heating, ventilation and air
annually and reduced carbon emissions by 126,000
conditioning system at our laboratories in San Francisco
metric tons (MT), or 30 percent, from 2007 through Highlights of our energy and carbon program in
resulted in annualized savings of 28,600 GJ of energy
2018, by implementing energy conservation and 2018 include:
and 1,300 MT of carbon and saved $418,000.
carbon reduction projects. In addition to operations-
132 19
500 14
8 10
430
1,017 84 84 20 34 42
400 84 84
Scope 1 Sources
Natural Gas 84
300
84 84
Diesel Carbon Emissions
Propane
200 Carbon Emissions Avoided*
416 385 363 354 369 291 278 263 From 2007 Through 2012
Scope 2 Sources
100 Carbon Emissions
937 Fossil Fuel Avoided* 2013+
Renewables
*Value represents year-over-year,
748 Nuclear 0 cumulative and continuing avoidance.
1 Nonspecified
2007 2012 2013 2014 2015 2016 2017 2018
2018 Energy Use by Source (1,000 GJ) Carbon Emissions and Carbon Emissions Reduced Through Conservation Efforts (1,000 MT)
Amgen 2018 Responsibility Highlights Report 22COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY ENVIRONMENT
ENVIRONMENT WORKPLACE REPORTING
ENVIRONMENT
Conserving a Precious Resource We have reduced annual water usage through projects Highlights of our water conservation program
We strive to conserve water—a vital component in the eliminating 964,000 CM, or 29 percent, since 2007. in 2018 include:
manufacture of our medicines. We have developed As of the end of 2018, we have exceeded our 2020 • Ongoing use of next-generation biomanufacturing
water-saving practices and strategic projects based target for water conservation. We are continuing to technologies that reduce the volume of water required
on assessments of our water use and available work through our portfolio of identified water reduction to maintain manufacturing equipment and spaces
opportunities for conservation. Our total water use opportunities for 2019 as we finalize our next
company-wide in 2018 decreased from 2017. Water • Conservation of approximately 6,000 CM of water per
generation of environmental targets.
conservation projects implemented in 2018 resulted in year, resulting from a systems cooling tower upgrade
an additional 12,300 cubic meters (CM) of annual water
reduction to achieve a total reduction in water use of
278,000 CM since establishing our 2020 targets.
4,000
3,500 19 142
36 203 266
278
3,000 686 686
686 686
686 686
2,500 686
Water Intake
2,000
1,500 Water Intake Avoided*
From 2007 Through 2012
3,286 2,720 2,725 2,487 2,520 2,351 2,320 2,093
1,000
Water Intake
Avoided* 2013+
500
*Value represents year-over-year,
0 cumulative and continuing avoidance.
2007 2012 2013 2014 2015 2016 2017 2018
Water Intake and Intake Avoided Through Conservation Efforts (1,000 CM)
Amgen 2018 Responsibility Highlights Report 23COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY ENVIRONMENT
ENVIRONMENT WORKPLACE REPORTING
ENVIRONMENT
Increasing Recycling, Reducing Waste annual waste reduction to achieve a total of 1,297 MT them for industrial uses, including benches in use at
We strive to recycle and eliminate waste within the since establishing our 2020 targets. We have reduced these sites.
constraints of our regulated biopharmaceutical annual waste generation through projects eliminating • In 2018, our use of reusable packaging systems
business and availability of municipal services. Our staff 2,400 MT, or 24 percent, since 2007. reduced solid waste by 98 percent compared to
have identified and implemented innovative, creative
using disposable packaging systems associated with
ways to reduce and eliminate waste, including practices Highlights of our waste reduction and recycling our clinical shipments. While this does not directly
to increase recycling of plastics used in manufacturing, program for 2018 include: impact Amgen’s waste generation, it does help to
changing packaging and shipping systems and
• Expansion of our program to recycle plastics reduce waste generated at locations where these
increasing composting. Total waste generation
used in labs and manufacturing at our Cambridge, medicines are shipped.
company-wide decreased slightly in 2018 compared
Massachusetts, research facility. Overall, this
with 2017. Waste reduction projects implemented in
program, in place at three of our sites, diverted 468
2018 resulted in an additional 259 metric tons (MT) of
MT of these plastics from the landfill and repurposed
320 441 688 850 1038 1297
100%
1,094 1,094
90% 1,094 1,094 1,094 1,094 Waste Reduced*
3,542 1,094
80% from 2013+
70%
4,762 4,493 4,501 5,235 5,517 Waste Reduced* from
60% 4,790 4,625 2007 Through 2012
50%
Recycled, Composted
40% and Reused
30%
20% 6,604 4,256 4,287 4,429 4,819 4,814 5,067 5,016 Disposed
10% *Value represents year-over-year,
cumulative and continuing avoidance.
0
2007 2012 2013 2014 2015 2016 2017 2018
Routine Waste by Waste Hierarchy (MT)
Amgen 2018 Responsibility Highlights Report 24COMMITMENT ACCESS TO MEDICINE BUSINESS ETHICS COMMUNITY ENVIRONMENT
ENVIRONMENT WORKPLACE REPORTING
ENVIRONMENT
Sustainable by Design A Reusable Shipping Solution for Amgen’s evaluating the feasibility of significantly expanding its
In line with our 2020 Environmental Sustainability Plan, Precious Cargo compost program at the Thousand Oaks location. To
we’ve integrated environmentally sustainable practices Amgen medicines are precious cargo that require raise awareness about composting among staff, we
throughout our complex, global business. specialized packaging to maintain specific temperatures created and installed a demonstration garden and
and product quality when they are shipped for compost site where we are composting landscape
Data Science Approach to Energy distribution to patients. To create superior temperature waste and coffee grounds from break rooms for use
Conservation Evolves controls and to reduce packaging waste from as a soil amendment on adjacent plants and trees.
Amgen is a pioneer in our industry in the use of a disposable packaging systems, Amgen implemented a
data collection and monitoring system to assess system using reusable packaging cubes. These durable “I am pleased that we have been able to elevate the
performance of the utilities that consume the most systems—in use in more than 90 percent of our clinical visibility of sustainability among our Thousand Oaks
energy in our buildings. This system, an Association network and in 5 percent of our commercial network staff and also engage with the city to improve services
of Energy Engineers 2017 Energy Project of the Year as of the end of 2018—can be reused multiple times, that will help us make greater progress towards our
award winner, allows us to collect and scan hundreds which makes them far more environmentally friendly. environmental targets. We continually search for ways
of thousands of data points from utilities, such as In 2018, through this innovative approach, Amgen to become a more environmentally friendly company,”
heating, ventilation and air conditioning. This form of reduced solid waste that would have formerly been said Margaret Faul, vice president, Drug Product.
artificial intelligence helps us spot inefficiencies and generated at locations receiving the medicine.
problems with utilities and identify opportunities to
make fixes and improvements that lead to large energy, Collaborating With the Community
water and financial savings. In implementation since to Expand Composting
2016, the longer we use this system, the more we In 2018, Amgen stepped up its commitment to
learn. The opportunities we have identified through the practice of composting at its Thousand Oaks,
2018 have resulted in conservation of 189,000 California, headquarters. Amgen staff worked with the
gigajoules of energy and reductions of 12,000 city of Thousand Oaks and the city’s franchise waste
metric tons of carbon. hauler to evaluate compost infrastructure and expand
composting services in the community. As a result of
this collaboration and service expansion, Amgen is
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