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2015-JNJ-Citizenship-Sustainability-Report

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Supplier Sustainability<br />

Goal: All strategic suppliers have two or more<br />

publicly reported sustainability goals.<br />

Actual: Approximately 98 percent of strategic<br />

suppliers have two or more publicly reported<br />

sustainability goals. A<br />

Goal: $1 billion in spend with diverse suppliers by<br />

2011; five percent increase per year thereafter with<br />

a 2015 target of $1.36 billion.<br />

Actual: Achieved $1.39 billion in spend. A<br />

Goal: All goods suppliers in high-risk countries<br />

and any service providers with greater than<br />

$250,000 in spend with operations in a high-risk<br />

country confirm awareness of and conformance<br />

with the human rights provisions of our policies.<br />

Actual: Using a regional approach, identified<br />

approximately 1,200 goods suppliers in high-risk<br />

countries and services suppliers with greater<br />

than $250,000 in annual spend with operations<br />

in a high-risk country. Of these, greater than 80<br />

percent have been determined to have confirmed<br />

awareness of and conformance with the human<br />

rights provisions of our policies. 4 A<br />

certificates. We continue to support on-the-ground<br />

projects to improve yields and farming standards<br />

at small holders.<br />

Advancing<br />

Community Wellness<br />

Goal: Advancing community wellness through<br />

health education—number of programs by<br />

geography and disease/health education area<br />

where the needs are greatest.<br />

Actual: 26 new health education programs<br />

launched across 20 countries.<br />

Goal: Report the number of people reached by<br />

these initiatives.<br />

Actual: Approximately 568,000 lives reached.<br />

Philanthropy Measurement 6<br />

Goal: Increase number of major philanthropic<br />

programs measuring health-related outcomes.<br />

Actual: 170 programs reported measuring longterm<br />

outputs and/or outcomes; 10 programs were<br />

identified for projects to build measurement<br />

capacity. 7 A<br />

Transparency and<br />

Collaborations<br />

Goal: All major brand websites share product<br />

sustainability information.<br />

Actual: 100 percent of major brands share<br />

product sustainability information on their<br />

websites. A<br />

Goal: Major stakeholder engagements and new<br />

collaborations reported publicly.<br />

Actual: As a global healthcare company, we<br />

engage in hundreds of collaborations in any given<br />

year.<br />

Goal: Johnson & Johnson website shares<br />

Company policy perspectives on major issues.<br />

Actual: The Company shares policy perspectives<br />

on major issues routinely on the website.<br />

Goal: Economic and sustainability reporting<br />

enhanced online and provided for key markets.<br />

Actual: Reporting on global environment, social,<br />

governance and economic activities strengthened<br />

online and across regions.<br />

Goal: All critical employees receive human rights<br />

training.<br />

Actual: Greater than 1,300 procurement<br />

professionals (characterized as critical employees),<br />

or 99.85 percent, have received training. 5 A<br />

Goal: All palm oil and palm oil derivatives are<br />

sourced from certified sustainable sources.<br />

Actual: Working on including Roundtable for<br />

Sustainable Palm Oil-certified derivatives in our<br />

supply chains where possible. Additionally, we<br />

are understanding our supply chains through<br />

transparency improvements with our suppliers and<br />

purchasing Independent Smallholder Greenpalm<br />

A<br />

Goal: Increase percentage of major philanthropic<br />

programs measuring and reporting health-related<br />

outcomes.<br />

Actual: 85 percent (170 of 201 programs in this<br />

category) reported measuring long-term outputs<br />

and/or outcomes. 7 A<br />

Goal: Increase percentage of mid-tier/<br />

intermediate programs measuring and reporting<br />

health-related outcomes.<br />

Actual: 70 percent (132 of 189 programs in this<br />

category) reported measuring long-term outputs<br />

and/or outcomes. A<br />

Included in the scope of ERM CVS assurance engagement. Please see page 96 for their findings and conclusions.<br />

4. Performance against this goal was originally tracked<br />

by supplier category. In 2015, we modified to a more<br />

comprehensive regional approach. For more details, please<br />

see the Procurement and Supplier Management section of this<br />

report.<br />

5. In 2014, we erroneously reported progress against this goal<br />

at 100 percent, but discovered after publication of the report that<br />

actual progress was just under 50 percent due to adjustments of<br />

classifications of employees.<br />

6. For these metrics, major philanthropic programs include<br />

grants greater than $50,000, and mid-tier/intermediate<br />

programs include grants of $50,000 or less. The indicator is<br />

based on response to the question on the grant application<br />

asking whether grantees will be measuring long-term outputs<br />

and/or outcomes. J&J does not fund the same partners every<br />

year, making annual comparisons difficult; grants not submitted<br />

through GIFTS Online (including some in regional portfolios) are<br />

excluded.<br />

7. Progress as stated is correct and cannot be measured<br />

against the original goal on the basis of year-over-year increase,<br />

as the overall pool of programs varies over time.<br />

2015 Citizenship & Sustainability Report 12

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