Sustainable sourcing runs across the pillars of the PSCI Principles and enables companies to build responsible supply chains. In that spirit, PSCI members have been working over the last year to produce an approach that sets the foundations of sustainable sourcing and is consistent with the PSCI Maturity Models. This work focused on two raw materials of importance to the pharmaceutical supply chain: lactose and palm oil. Each with its own challenges, these two raw materials were selected to test the approach developed, and will be the first of more to come.

The PSCI sustainable sourcing supplier pathways offer a best practice approach for members and suppliers, with guidance and tools to aid the implementation. By providing this common best practice approach, the PSCI aims to improve the industry’s collective progress towards a more sustainable supply chain and address key issues for both commodities:

• For lactose - Carbon emissions, water use and pollution, animal welfare, labour rights, biodiversity impacts from feed growing, and traceability and governance
• For palm oil - Land use change, Biodiversity loss, and Human & labor rights

The documents were produced by a third party under the direction of a PSCI expert Topic Team and were based on a series of interviews with key stakeholders, as well as a review of the literature available and sustainability reporting frameworks covering the raw materials selected.

The PSCI welcomes our new Committee and Topic Team leaders who work to drive the PSCI’s activities in line with our vision for responsible pharmaceutical and healthcare supply chains.

New Committee Co-leads:

• Dorota Wiacek (Roche) - Audit Committee, succeeding Roy Agostini
• Wenjia Xu (Merck & Co.) - Capability Committee, following Daniel Rehm, who has transitioned to the PSCI Board as Treasurer
• Enric Bosch (Boehringer Ingelheim) - Projects Committee, taking over from David McCarthy

New Topic Team leads:

• Devin Carsdale (Bristol Myers Squibb) – Decarbonization, succeeding Lucy Pickett, who has transitioned to PSCI Vice Chair
• Vincent Mignone (Kenvue) – Environment, stepping into the role previously held by Lynnette Cartagena
• Pietro Butti (Roche) – Management Systems, following Aimee Pasquier
• Reinhold Maeck (Boehringer Ingelheim) – Pharmaceuticals in the Environment (PiE) & AMR, succeeding Vincent Parker

A sincere thank you to Roy Agostini, Daniel Rehm, David McCarthy, Lucy Pickett, Lynnette Cartagena, Aimee Pasquier, and Vincent Parker for their leadership and contributions, which have helped shape PSCI’s workstreams.

The PSCI congratulates our new appointees and looks forward to their contributions in driving progress across our Committees and Topic Teams.

The PSCI is pleased to announce updates to its Board leadership for 2025-2027.

Daniel Rehm: Treasurer for 2025-2027
Daniel Rehm takes on the Treasurer role alongside our 2023-2025 Treasurer Ranjana Ganguly, Global EHS Leader for Emerging Markets at Pfizer.

Daniel, Operation Manager EEM Global API at Elanco Animal Health Inc., has over 26 years of experience in process development, Health, Safety and Environment, and manufacturing. Daniel has been a dedicated PSCI member since 2016, leading the Process Safety Management (PSM) Topic Team and co-leading the Capability Committee. He also played a key role in launching Learnster, PSCI’s e-learning platform.

James Lee: Secretary for 2025-2027
James Lee, Sustainable Procurement Lead at Moderna, has been appointed Secretary of the PSCI Board. He will join Rincy Joseph, the Secretary for 2023-2025, in advancing PSCI’s governance.

James brings expertise in sustainability and supply chain management, having led Moderna’s Sustainable Procurement strategy and managed Responsible Sourcing programs at The Clorox Company. James has actively collaborated with PSCI peers to drive sustainability and foster collaboration across the industry.

The PSCI congratulates Daniel and James on their new roles and looks forward to continued progress under their leadership.

Thank you to outgoing Board Members
We would also like to extend our heartfelt thanks to outgoing Board members for their service:

Ingrid Vande Velde completes her term as Past Chair, leaving a legacy of dedication and strategic insight.

Enric Bosch, who served as Treasurer from 2022 to 2024, has been instrumental in ensuring PSCI’s financial sustainability and supporting the organization’s growth. Enric will continue his involvement with PSCI as Co-Lead of the Projects Committee.

Aimee Pasquier, Secretary from 2022 to 2024, brought clarity and focus to PSCI’s governance, playing a key role in supporting the Board and its initiatives.

Schneider Electric, the leader in the digital transformation of energy management and automation, announced continued progress toward decarbonization for the pharmaceutical and healthcare sectors. Energize, a collaborative partnership among the world’s leading pharmaceutical and healthcare companies and their suppliers, celebrates the second PPA cohort to procure renewable electricity together, following the first cohort announced in fall 2024. This multi-buyer PPA was signed with developer X-ELIO, and the energy sourced from their Lorca Solar Project is expected to be operational by early 2026.

Energize sponsors, Haleon and GSK, and industry suppliers, Gilead Sciences and Thermo Fisher Scientific, have collaborated to execute an aggregated purchase of 245 GWh of renewable energy per year for a 10-year term. This represents an estimated 41,7481 metric tons CO2 avoided per year, or the equivalent of 74,8782 Spanish households’ average annual electricity consumption. Thermo Fisher Scientific served as the lead negotiator supporting the group of companies during the PPA negotiations, which led to a successful combined investment in this long-term supply of renewable electricity.

The largest estimated emissions driver for the pharmaceutical and healthcare sector is the supply chain, which accounts for over 50% of emissions. Twenty-four leading pharmaceutical and healthcare companies sponsor the Energize program, managed by Schneider Electric, to provide renewable electricity education and procurement support at no cost for their suppliers. This support empowers suppliers to make tangible strides toward achieving decarbonization goals.

Recently, Energize celebrated the first multi-buyer PPA for 563.7 GWh of renewable electricity per year for a 10-year term. The success of this industry-wide initiative has proven successful, as evidenced by the progress shown through multiple PPA cohorts investing in a long-term supply of renewable electricity.

About Energize

The Energize program is a supply chain renewables initiative designed and delivered by Schneider Electric Sustainability Business and endorsed by the PSCI.

To learn more, please contact energize@se.com. Read the full press release here.

The Pharmaceutical Supply Chain Initiative is delighted to announce its 2025 leadership appointments and extend heartfelt thanks to outgoing Chair Deirdre O’Reilly for her impactful contributions.

Robert Williams: Chair of the PSCI Board 2025
Robert Williams, Senior Director, Sustainable Procurement at AstraZeneca, will lead the PSCI Board as Chair in 2025. Having served as Vice Chair in 2024, Robert has been instrumental in advancing the PSCI’s strategic vision of fostering safety, environmental, and social excellence across the global pharmaceutical and healthcare value chain.

With over 25 years of leadership experience spanning diverse sectors such as renewable energy, telecoms, and pharmaceuticals, Robert has championed sustainability initiatives, including AstraZeneca’s Ambition Zero Carbon program. As a longstanding PSCI member, he co-developed the Decarbonization Pathway and strengthened partnerships like PSCI’s collaboration with Energize and the Sustainable Markets Initiative.

Lucy Pickett: Vice Chair of the PSCI Board 2025
Lucy Pickett, Senior Manager for Global Procurement Sustainability & Compliance at Roche, will take on the role of Vice Chair. Lucy brings over 15 years of expertise in procurement, sustainability, and compliance, with notable roles at Roche, GSK, Thales, and Rolls-Royce.

At Roche, Lucy has led the development of the company’s first Scope 3 quantification and supplier engagement program. She also co-led the Science-Based Targets Initiative program, securing the Board's commitment to a 2045 Net Zero Target. A finalist for Global Sustainability Leader at the 2021 World Sustainability Leader Awards, Lucy has also been co-lead the PSCI’s Decarbonization Topic Team.

The PSCI congratulates Robert and Lucy on their new roles and looks forward to another year of progress under their leadership.

Thank you Deirdre O’Reilly
As Deirdre O’Reilly transitions to Past Chair, we extend our sincere gratitude for her impactful leadership and dedication. During her tenure as Chair, Deirdre achieved key impacts, including:

• Establishing the Projects Committee
• Spearheading the Supplier Partnership program
• Representing the PSCI on global platforms such as CPHI Milan and the India Supplier Conference

Deirdre’s strategic vision, advocacy for the “One Voice” approach, and commitment to responsible practices have left a lasting legacy. Thank you Deirdre for your remarkable service and leadership. We look forward to your continued contributions as Past Chair.

THE PSCI PRESENTS ITS SECOND PUBLIC AUDIT FINDINGS REPORT, PROVIDING CONTINUED INSIGHTS INTO SUPPLIER RISKS, TRENDS, AND AREAS FOR IMPROVEMENT ACROSS THE PHARMACEUTICAL AND HEALTHCARE SUPPLY CHAIN.

Every year, pharmaceutical and healthcare companies carry out thousands of audits around the world to ensure that their suppliers are meeting expectations around Health, Safety, and Environmental topics, amongst others. These audits represent a significant investment of time and financial resources both for the company and the supplier. At the PSCI, we aim to support companies and suppliers to collaborate on audits through our shared audit platform and framework.

This report shares our analysis of findings from PSCI audits available on our platform. Each year, we review these in line with the PSCI Principles to identify trends, highlight improvements, and share recommendations. Overall, this analysis provides deep insight into supplier practices within the pharmaceutical and healthcare industry and guides us on developing targeted resources and trainings.

The year’s report analyzes 1,776 findings from 180 supplier audits uploaded to the PSCI platform in 2023. These findings are categorized into 308 Management Systems findings, 7 Ethics findings, 169 Human Rights findings, 970 Health & Safety findings, and 322 Environment findings, offering a comprehensive overview of supplier practices and opportunities for improvement. The report includes a summary of findings across key topics, detailed breakdowns with recommended actions for suppliers, and links to relevant PSCI resources. By identifying patterns, we can develop targeted support through training programs and resources tailored to address specific challenges.

What’s new this year?

• The first-ever analysis by supplier type, providing tailored insights into specific supplier categories.
• A regional analysis focused on major pharmaceutical manufacturing hubs, including China and India.
• A deep-dive analysis of 13 suppliers’ audit data over three years, exploring changes in supplier practices and measuring PSCI’s impact.

Reflecting on the report, Co-lead of the PSCI Audit Committee Dorota Wiacek-Trojanowska, Senior Supplier Sustainability Audit Program Manager at Roche commented,

"We are delighted to invite you to read our comprehensive PSCI Audit Findings Analysis Report, featuring intriguing analyses drawn from a significant number of audits conducted in 2023 in accordance with the PSCI Principles.

We’re pleased that this year’s report includes a new, detailed regional analysis that highlights the main challenges and opportunities for improvement across various geographic regions. Additionally, the report provides a perspective on different supplier categories, offering valuable insights into their specific contexts.

At the PSCI, we use these insights to develop tailored supplier development and improvement activities, including webinars, tools, and resources. By exploring this report, you will gain a deeper understanding of the detailed analyses per Principle, regional coverage, and industry segments, enabling you to identify impactful improvement areas effectively."

The report reinforces the PSCI’s role as a catalyst for continuous improvement, equipping suppliers with tools and guidance to enhance practices and adapt to evolving demands. For more details, access the full report in the resource attached.