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Diversity Audit

In: Business and Management

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HOJNACKI_M5A1 April 08, 2012

DIVERSITY AUDIT

Company Highlights

Merck and Company, Inc., a pharmaceutical leader, has a clear vision which is to make a

difference in the lives of people globally through their innovative medicines, vaccines, biologic

therapies, consumer health and animal products. The company’s core strength is the skill,

integrity and creativity of its people. Merck employees, while remarkably diverse in

background, training and life experiences, are all motivated by innovation and their mission of

providing products that save and improves lives around the world.

Under the leadership of Kenneth C. Frazier, who serves a threefold role: Chairman of the

Board, President and Chief Executive Officer, Merck and Company reflects its corporate values

and guides in day-to-day decision making. Merck recognizes that the world is changing and they

have to keep up with the changing demands. The company’s vision is “a commercially

sustainable business that both increase the accessibility of products globally and helps build

local capacity for quality, healthcare services for those who need them most.

Background

Merck and Company is an innovative, global healthcare leader that is

committed to improving health and well-being around the world.

Merck and Company is a very unique leader in its diversity outlook. The company,

sort of like IBM, encourages diversity through their employees by:

Diversity

Acknowledges contributions of their employees around the world and are

committed to creating a workplace that is open, welcome and respectful

to all employees

Ethics

They work hard to make sure that the company lives up to their own high

standards each and every day

Openness and Transparency The company strives to operate openly and transparently in everything they

because their employees and customers trust depends on this.

Global Constituency Groups

Merck also support Global Constituency Groups from around the world, focuses

On diversity and inclusion in order to benefit their customers and company.

Analysis

After analyzing the company and finding out just how innovative they were, I

came up with a few questions:

1. What strategies has Merck used to address diversity challenges?

A strategy used to address diversity in the company would be that they feel

diversity cannot stop at the hiring stage. They want to encourage diversity through

communication and teamwork.

2. Has the company had positive outcomes from the above process?

A positive outcome of this process was incorporating diversity and seeing it as an

integral part of their business practices.

3. What tools were put in place to manage diversity?

Global Constituency Groups, these members represent different cultures and areas

of expertise. They are: women, men, generational, Hispanic, black, Asia Pacific,

Native Indigenous, Lesbian, Gay, Bisexual and Transgender, Differently-abled and

Interfaith.

4. How does diversity help the company compete amongst other Pharmaceutical

providers?

In their own words. talent, diversity and integrity of our people drive our success.

5. What understanding of diversity exits within your organization?

“We recognize the challenge of balancing professional achievement and personal well-

being. And we understand that the more that’s asked of us as a business, the more we

rely on our employees to advance our vision. We work hard every day to help employees

succeed, by providing resources to improve their health and that of their families, and by

providing more opportunities to get involved in the communication where they live and

work.”

6. Are there any mentoring opportunities available at Merck for your employees?

Strategic alliances include the following:

NCNW

The Ph.D. Project

The Society of Women Engineers The Healthcare Businesswomen’s Association Catalyst

Gay, Lesbian and Straight Education Network

7. Does upper management see a need for cultural change in order to succeed in

diversity?

This would be where our geographical presence is widespread so there really isn’t any

need since Merck is has a presence in various countries around the world, they are:

| Argentina
Australia
Austria – German
Belgium – Dutch, French
Brazil – Portuguese
Canada – French, English
Caribbean – English
Chile – Spanish
China – Simplified Chinese
Colombia – Spanish
Costa Rica – Spanish
Czech Republic – Czech
Denmark – Danish
Ecuador – Spanish
Egypt – English
Estonia – Estonian
Finland – Finnish
France – French | Germany – German
Gulf – English
Hungary – Hungarian
India – English
Indonesia – English
Ireland – English
Israel – Hebrew
Italy – Italian
Japan – Japanese
Lebanon – English
Lithuania – Lithuanian
Malaysia – English
Mexico – Spanish
Netherlands – Dutch
New Zealand – English
Norway – Norwegian | Peru – Spanish
Philippines – English
Poland – Polish
Portugal – Portuguese
Puerto Rico – Spanish, English
Saudi Arabia – English
Singapore – English
Slovakia – Slovak
Slovenia – Slovene
South Africa – English
South Korea – Korean
Spain – Spanish
Switzerland – German, FrenchSweden – Swedish
Taiwan – Traditional Chinese Thailand – Thai, English Turkey – Turkish
Ukraine – Ukrainian
United Kingdom – English
United States – English
Venezuela – Spanish
Vietnam – Vietnamese |

8. How would your organization define diversity?

Merck’s ability to excel depends on the integrity, knowledge, imagination, skill,

diversity and teamwork of our employees. We strive to create an environment of mutual

respect, encouragement and teamwork.

9. What understanding of diversity exists within your organization?

Employees understand that our company depends on them for our success. Merck

provides a positive work environment, flexible work arrangements, engagement,

wellness, diversity and inclusion and restricting.

10. Where would you say your organization stands in regard to diversity imitative?

A company like Merck can always look for improvement by implementing better

practices into the already existing ones. Merck promotes diversity and has done a

good job thus far.

Some of the Company’s

KEY PERFORMANCE INDICATORS*

In 2010 we began to reevaluate how we measured our corporate responsibility efforts. With more

than 80 separate measurements, we saw a need to focus and align them with our new corporate

responsibility framework.

First we categorized the existing measurements according to the priority areas of our new

framework: access to health,environmental sustainability, employees, and ethics and

transparency. If measurements did not fit into these categories, they were evaluated for

materiality and either kept as a measurement for our overall reporting efforts

or discontinued.

$46 BILLION WORLDWIDESALES:

277 MILLION GALLONS OF WATER RECYCLED OR REUSED BYMERCK FACILITIES DURING 2010
22% REDUCTION IN LOST-TIME
INJURY RATE
$1.2 BILLION TOTAL GIVING
*Figures above represent 2010 data.

Employees: 86,000 worldwide

Works Cited:

Canas-Sondak, Workplace Diversity, 2nd Edition 2011

Galenet, galegroup.com.library.esc.edu

Powell,G., Women & Men in Management, 4th Edition 2011

Merck & Company, Inc., financialandstrategicanalysisreview

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