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ADVANCING

NE

T-ZEROFOR

LIFE

SCIENCESOPER

ATIONSGood

for

business.

Good

for

patients.STRUCTURINGSUSTAINABILIT

YFOR

OPER

ATIONSMost

of

our

life

sciences

clients

are

well

on

their

way

toestablishing

overall

sustainability

visions,

completewith

high-level

frameworks.

Many

of

these

companies

have

also

made

internal

and

public

statements

includingspecific

goals

related

todecarbonization.

But

while

these

efforts

are

necessary,

the

actions

required

tomeetthese

goals

must

come

from

coordination

of

several

internal

departments

and

external

groups.

This

requiresthat

the

high-level

sustainability

strategy

flows

down

tothese

specific

groups

for

execution.The

concept

of

strategy

flow

down

or

“deployment”

is

not

new

and

therein

lies

the

advantage.

In

operations,for

example,

our

clients

have

a

carefully

delineated

set

of

goals

and

objectives

that

are

based

on

overallcompany

goals.

These

operations

goals

include

targets

for

time

tolaunch

new

therapies,

customer

fulfillment,end-to-end

flow,and

cost,

all

the

while

ensuring

safety

and

efficacy

of

products.Typically,the

flow

down

and

alignment

of

goals

is

adjusted

or

revisited

annually,

which

provides

an

opportunitytoalign

sustainability

goals

as

part

of

the

process.

Wefind

that

the

most

successful

programs

are

integrated,meaning

that

the

process

of

goal

setting

and

the

mechanics

of

developing,

measuring,

and

tracking

keyperformance

indicators

(KPIs)

is

not

separate

for

sustainability,

but

part

of

the

whole.2RAeDsVilAi

eNnCtI&NGS

uNstEaTi-nZaEbRleOLFifOeRSLcIi

eF

En

cSeCsIESNu

pCpElSy

OC

hPaEiRnsATIONSALIGNING

MEASUREMENT

SYSTEMSAs

the

expression

goes,

“what

gets

measured

gets

done.”

Taking

a

closer

look

at

the

way

measurements

inspireaction,

wesee

that

only

metrics

that

are

accessible

and

actionable

provide

this

momentum.

As

much

as

“net-zerocarbon”

is

a

worthy

high-level

statement,

individuals

and

groups

within

an

operation

are

more

likely

toformulateactions

todrive

a

specific

metric

like“kilowatt

hours

of

energy

consumed

bythe

compressing

equipment

in

plant

Athis

month.”For

this

reason,

each

of

the

high-level

goal

statements

must

be

broken

down

into

supporting

metrics

(the

collectionof

related

metrics

that

drive

the

whole)

and

further

decomposed,

such

as

bylocation,

bydepartment,

over

time,etc.

This

effort

allows

people

and

groups

within

the

operation

tosee

links

between

initiatives

and

goals

and

totrackcause

and

effect

over

time.In

many

cases,

existing

metrics

are

a

part

of

the

scheme

outlined

above

and

should

be

leveraged

tothe

maximumextent

as

they

are

already

established

and

likely

well

understood

and

accepted.

Examples

of

these

include:

energyusage,

as

outlined

above;

product

yield;

packaging

dimensions;

material

volumes;

and

many

others.

Naturally,existing

metrics

won’t

provide

a

complete

set,

but

they

can

be

integrated

into

the

whole

and

complimented

bynewly-created

metrics.It

is

equally

important

toavoid

the

pitfall

of

pulling

in

metrics

that

do

not

relate

tosustainability

simply

becausethey

are

available.

In

many

cases,

effort

is

better

invested

developing

the

metrics

needed

tocover

sustainabilityfully,

as

opposed

toincorporating

metrics

that

may

have

value

separately,

but

don’t

directly

relate.

In

all

metric

anddashboard

development

efforts,

all

attempts

should

be

made

tokeepprocess

and

display

simple.3FOCUSING

ON

USE

CASESThere

is

evidence

that

the

behavior

of

individuals

changes

when

they

know

they

are

being

measured.

Thisphenomenon,

called

the

Hawthorne

Effect,

can

be

useful

in

certain

circumstances.

However,

in

drivingsustainability

goals,

simply

measuring

and

allowing

organizations

tosee

measurements

is

not

enough.

Changesrequired

tomeet

sustainability

goals

include

modifications

toprocesses,

product

re-designs,

adaptations

andupgrades

of

equipment

and

systems,

changes

in

energy

sources,

and

a

range

of

other

actions

that

are

far

beyondindividual

behavioral

adaptations.

For

this

reason,

specific

sustainability

use

cases

aligned

tothe

metrics

outlinedabove

must

be

developed

and

implemented.We

find

that

most

of

our

clients

who

have

successfully

flowed

down

toa

specific

strategy

and

set

goals

for

theiroperations

and

have

outlined

the

metrics

needed

toguide

their

way

are

in

the

early

stages

of

use

case

ideationand

execution.

Leaders

in

this

category

tend

tofind

the

most

success

in

use

cases

that

correlate

toother

goalsthat

have

already

been

in

place.As

an

example,

reduction

in

yield

loss

in

pharmaceutical

and

medical

device

manufacturing

has

long

beena

goal,

not

only

in

reduction

of

the

cost

of

these

losses,

but

also

in

demonstration

of

high

and

sustainedlevel

of

quality

tocustomers

and

agencies.

Yield

loss

reduction

also

leads

directly

toenergy

reduction

inthe

presence

of

constant

demand.

After

all,

if

an

operating

unit

needs

toproduce

100

batches

in

a

yearand

can

improve

yield

byjust

1%,

it

saves

the

energy

and

associated

costs

of

1

entire

batch

in

thatyear.As

another

example,

in

many

cases

dimensions

and

material

choices

in

primary

packaging

designs

fornew

products

are

based

on

previous

products

and

are

made

heavier,

larger,

and

in

a

more

conservativemanner

tohedge

against

stability

concerns.

Challenging

these

assumptions

in

product

design

can

leadtoreductions

in

volumes

of

components

consumed,

identification

of

alternate

sources

of

materials,

andidentification

of

alternate

vendors.

Use

cases

targeted

this

way

provide

substantial

cost

and

lifecyclemanagement

benefits

and

provide

opportunities

toimpact

sustainability

goals

in

a

meaningful

way.4ADVANCINGNET-ZEROFORLIFE

SCIENCES

OPERATIONSOVERCOMING

RESISTANCETO

CHANGEThe

life

sciences

industry

is

generally

slower

toadopt

changes

that

impact

operations.

This

is

driven

byseveralfactors,

including

the

focus

that

the

industry

takes

on

safety

and

efficacy

in

the

market

and

the

highly

regulatednature

of

the

operation.

Taken

together,it

is

usually

far

less

risky

for

businesses

tokeepprocesses

and

productdesigns

constant

once

they

are

validated

than

towork

through

regulatory

assessments

and

approvals

requiredwhen

making

changes.Regulatory

bodies

and

life

sciences

companies

share

the

same

goals.

Theseinclude

assuring

safety

and

efficacy

of

products

and

sustainability.

Leading

lifesciences

organizations

create

open

dialog

with

regulators

and

communicateclearly

what

their

sustainability

goals

are

and

the

various

changes

they

envisiontomeet

these

goals.

These

leading

groups

also

address

their

own

regulatoryWHATTO

DOprocesses

proactively

tobe

sure

that

they

have

a

smooth

flow,

adequateresources,

and

appropriate

technology

so

that

they

do

not

become

bottlenecks.In

addition

toregulatory-driven

change

hurdles,

people

in

life

sciences

organizations

are

also

affected

bythe

basichuman

dynamics

of

change.

In

short,

people

are

generally

wary

of

change

and

benefit

from

an

organized

approachtomaking

changes

on

a

large

scale,

particularly

if

these

changes

affect

them

personally.Werecommend

a

simple,

but

thorough

organizational

change

managementapproach

based

on

a

proven

framework.

There

are

many

such

frameworksin

use

and

the

most

effective

of

them

focus

on

human

dynamics

of

change,communication,

and

training.

Although

the

latter

two

are

straightforward,

wefind

very

often

that

human

dynamics

are

not

properly

accounted

for.

Inspiringpeople

tomakethe

journey

of

change

is

not

primarily

about

selling

them

onWHATTO

DOthe

value

of

change

or

making

them

happy

about

the

new

process.

Rather,successful

journeys

are

largely

about

aligning

sponsorship

(influencers

withthe

authority

tolegitimize

change)

and

providing

a

process

in

which

peoplecan

participate

in

the

change

such

that

it

becomes

something

they

are

activelychoosing

todo,

as

opposed

tosomething

that

is

being

done

tothem.5LEVERAGING

GREEN

FIELDS

FORGREEN

INITIATIVESOne

of

the

most

exciting

aspects

of

life

sciences

in

the

past

few

years

is

the

drive

toincreased

capacity,

courtesyof

green

field

(new

facility)

expansions.

Just

likewith

building

a

new

home

or

office

building,

building

of

newproduction

facilities

affords

companies

the

opportunity

todesign

and

implement

policies,

processes,

equipmenttrains,

and

systems

that

set

things

right

in

a

waynot

possible

with

existing

facilities.

This

provides

ready

benefitsin

end-to-end

flow,

product

quality

and

cost;

it

can

also

benefit

sustainability

efforts

in

several

ways,

both

in

theopportunities

for

change

presented

and

in

the

acceleration

in

the

pace

of

change

adoption

from

a

regulatory

andindividual

employee

perspective.SETTING

YOUR

ORGANIZ

ATION

UPFOR

LONG

-TERM

SUCCESS

INSUSTAINABILIT

YMany

life

sciences

organizations

are

united

in

their

commitment

tonet

zero.The

question

is

how

can

companiesaccelerate

the

journey

with

the

lowest

cost

and

have

no

impact

tosafety,

quality,

and

efficacy?While

there

is

no

one-size-fits-all

approach

tosustainability,

there

are

some

concepts

such

as

alignment

with

thebroader

organizational

strategy

and

goal

setting,

adapting

processes

togather

and

track

specific

metrics,

focusingon

high-impact

use

cases

tobuild

momentum,

and

implementing

a

change

management

program

tohelp

peopleembrace

new

systems

that

are

common

toall

programs.

We

believe

that

byanchoring

the

sustainability

agenda

inthese

component

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