Celgene’s commitment to corporate responsibility extends to our supply chain, and we expect our suppliers to deliver sustainable solutions while operating with high ethical standards and adhering to fair business practices. These suppliers are part of regional, national and international supply chains that are involved in the manufacturing process for Celgene therapies.
Celgene procurement follows a strategic sourcing process to identify the best suppliers and works with internal teams to ensure that we obtain the best value from our suppliers in terms of quality, cost, service and delivery. We understand the value these businesses bring to Celgene and strongly encourage them to participate in our competitive sourcing processes.
Pharmaceutical Supply Chain Initiative (PSCI)
The Pharmaceutical Supply Chain Initiative (PSCI) is a group of major biopharmaceutical and healthcare companies who share a vision to establish and promote responsible practices that will continuously improve social, health, safety and environmental sustainable outcomes for their supply chains. This includes fair and safe work conditions and practices, responsible business practices, and environmentally sustainable and efficient use of resources. Celgene joined the PSCI in 2017 because we believe that collectively, PSCI members can share knowledge and expertise across the industry to drive complex, global change more effectively than any one organization alone.
The PSCI has developed a set of Principles that set the guidelines for a more sustainable supply chain. We have adopted these Principles as our own Supplier Code of Conduct and encourage our suppliers to follow them.
Celgene recognizes the value and importance of a diverse supplier base and makes it part of our commitment to the communities we serve.
Celgene had business transactions with Small Business Administration (SBA) suppliers in 2017 that represented about 8.7 percent of Celgene’s total spend through U.S. general sourcing. Many of these suppliers represent more than one type of SBA category, furthering our goal of developing our business collaboration with diverse suppliers. We seek to leverage our outreach efforts to introduce ourselves to new sources of business and a chance of aligning our needs with another company’s resources to further enhance our database of suppliers. In 2017, these outreach efforts allowed us to gather contact and company information from over 550 diverse suppliers, which were added to an internal database repository. Celgene has implemented changes to increase visibility and to better align with nontraditional small businesses. We are continuing to develop our supplier diversity program by adding outreach efforts, including financial resources and additional manpower, and by attending multiple events to pinpoint/include each type of diverse classification. As a result of this investment, we became a National Corporate Member of the Women’s Business Enterprise National Council (WBENC) to further enhance our engagement with women- owned businesses specifically, and expand our company reach and network of industry experts. These collective efforts resulted in 22 women-owned businesses being added to our portfolio, 10 of which are certified small, helping us to exceed our 2017 goal with the SBA in this category.
Celgene continues to readily participate in several additional alliances to learn best practices and develop our pool of resources for information. Celgene is a member of the Supplier Diversity Pharmaceutical Forum, a subcommittee of the Pharmaceutical Forum of the Institute for Supply Management.
The Forum is a collaborative group of supply chain professionals with the goals of expanding supply base diversity in the pharmaceutical industry, developing best and next practices in supplier diversity, and professional development. In addition, we renewed our membership in the Women Presidents’ Educational Organization (WPEO).