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05/11/2003: Janssen Pharmaceutica initiates Ambitious Diversity Policy

Beerse, December 5, 2003 – Janssen Pharmaceutica today gave details of the Women’s Leadership Initiative, a program with the objective of promoting equal opportunities for men and women.

 

Political analogy
In her introduction, Senator Fatma Pehlivan confirmed that the under-representation of women had for too long been of their own making.

In the interim, views have changed and while it is true that they are increasingly active on the political scene, there are still too few women in politics.

The broad principles for a political equal opportunity policy, such as providing support for younger generations of women, recruitment of talent, and mentorship, are equally applicable in business and industry.

It is important for the whole of society that women find the way to political power, the economy, the financial world and certainly to business and industry.

A worldwide diversity program: good for employees, patients and the results
Johnson & Johnson, the parent company of Janssen Pharmaceutica, started a large-scale program in 1995 with the objective of giving employees the opportunity to grow in the organization without being hindered by prejudice based on gender, national origin or religion, etc.

This diversity policy is actually stated in much the same words in the 60 years old ‘Our Credo’ of Johnson & Johnson: ‘There must be equal opportunity for employment, development and advancement for those qualified.’

Ajit Shetty, Managing Director of Janssen Pharmaceutica, says this about the diversity policy: ‘A properly developed equal opportunity policy is not only a moral obligation, it is also good for the business results. Our patients can be found all over the world. Most employees in the healthcare sector are women, and most of the medical and pharmacy students in Belgium are women. To be able to correctly gauge all their expectations and take account of their needs, it is important for this diversity likewise to be reflected in our company’s decision-making bodies and in our decision-making. Moreover, there is fierce competition for talented people. To attract the best people to our organization we must have an open working culture in the company, one that takes account of employees’ expectations and offers equal opportunity. If we can live up to our vision, then diversity will become one of the most important competitive advantages that we have.’

Focus on equal opportunity for men and women
At Janssen Pharmaceutica, the diversity policy is initially focused on equal opportunity for men and women. A special work group, Women’s Leadership Initiative, has been installed for that purpose.

‘There is an equal number of men and women among the manual and hourly-paid workers at Janssen Pharmaceutica. It is only at exempt level that female employees are under-represented. So that is where we are currently focusing all our activities’, says Mieke Smet, Chair of the Women’s Leadership Initiative and Director Training and Development.

To measure is to know
One of the very first initiatives was to identify the critical points that could be used as a working framework. Efforts to raise awareness and specific actions are only possible when these critical points are known. Hilde Rombouts, Process Excellence Leader and the person responsible for the study, says this about it: ‘We started with 50 or so items that had to be looked at. After thorough evaluation we were left with six points. These are considered as being critical observations that we intend to target with initiatives. The observations are not judgmental. We must now figure out why everything is the way it is, and especially what the solutions could be’.

 
1. The recruitment of women at management level takes place primarily at the lower levels; women are seldom recruited externally for higher management positions.
2. A far lower proportion of women than men participate in management training courses.
3. The myth of international mobility has been shattered: the flexible, international employability of women is found to be equal to that of men.
4. On average, there is a difference of nine years’ experience between men and women; this may work adversely for women when experience is stipulated as an important criterion for promotion.
5. Not enough women are identified in the succession planning process.
6. A higher proportion of women than men leave the company voluntarily.
 
The way forward
On the basis of these criteria a ‘dashboard’ has now been drawn up with concrete objectives, and this is supported by the senior management.

The dashboard consists of the following elements.

 
1. A percentage increase of the number of women at the level of director or higher.
2. A percentage increase of the number of women that are recruited at the level of director or higher.
3. A percentage increase of the number of promotions of women at the level of director or higher.
4. A reduction of the number of women that leave the company voluntarily at the level of manager or higher.
5. An equal proportion of the number of women that participate in management training courses.
6. A six-monthly follow-up of the results achieved, to be performed by the Management Committee.
 
In cooperation with Prof. Veerle Draulans of the University of Leuven, an internal survey was conducted among the employees of Janssen Pharmaceutica. Several important results are given below:
 
1. Where careers are concerned, women are just as ambitious as men (56%). That puts an end to the argument that is often used to explain differences in this respect.
2. For the majority of female employees, ‘responsibility’ (23.19%) ‘regular feedback’ (20.5%) and ‘positive comments’ (18.3%) are more important than ‘remuneration’ (12.5%). For men, the remuneration is the most important factor (25.9%).
3. Half (50%) of the women agree with the proposition that a difference in leadership style is a possible explanation for the lower representation of women at Management Board level.
4. The vast majority of the women (74.2%) and a majority of the men (38.1%) understand the necessity for a work group specifically focused on diversity policy.
 
Four work groups are developing specific areas of the diversity policy
 
1.
A ‘gender-conscious’ HR policy:

The work group Gender-conscious Human Resources Policy is concentrating on the elimination of obstacles to career advancement at the level of worker inflow, internal mobility and worker outflow. Moreover, there are possibilities for making the working culture in the company friendlier for women, or, to put it in a broader context, to strengthen the culture regarding diversity.

Examples of actions:

- Worker inflow: headhunters are consistently asked to put forward a diverse list of candidates.
- Internal mobility: in the succession planning programs for critical functions, the work group requests that consideration be given to a diverse list of successors.
- Worker outflow: upon leaving the company, use is made of a standard list which includes attention for gender aspects. The application of a transparent HR policy in itself provides very strong support for a gender-conscious HR policy. Openness and transparency are key.
2. Networking: The aim of the work group is to stimulate informal networking between employees and to make clear the importance of networking as a tool for one’s own development.

The work group brings interested men and women together in panel sessions. Small discussion groups encourage employee engagement and interaction. Conscious efforts are made to develop networks between the participants.

In addition, the work group tries via all kinds of channels to make employees aware of the added value of networking in mapping out one’s own career.

3.

Mentoring: The objective of the Mentoring work group is to stimulate the exchange of experiences between young and more experienced female employees.

As a first important step, the mentoring task force developed a training program (SOFIA) in cooperation with the Limburg University Center (LUC). Young female exempts are invited to take this program. They meet five times to discuss a specific theme: organization culture, gender-conscious communication, the balance between work and home, the place of women in management, and career development.

4.

Development: The Development work group has set itself the task of
• urging more women to take control of their own development;
• making more trainers aware of the importance of a gender-neutral approach;
• including the diversity theme in management programs as a logical focal point.

To achieve these objectives, the work group establishes and maintains contacts with all internal and external Janssen trainers and persons with responsibility for training. The work group informs female employees of the importance of their presence at the many training initiatives.
Management is urged to include the diversity theme as a focal point in strategic training courses.

 
Communication
Diversity is a theme that should run strongly through the organization. Good communication to exempts and other involved persons generates attention for WLI initiatives. Such communication is pre-eminently gender-neutral. Women and men are addressed by such communication as equals.

The objective of the Communication task force is to raise awareness of the WLI in all sections of the organization. It is developing an internal and external communication strategy. It supports the other task forces with their public relations. It keeps a watchful eye on gender-neutral communication. Events, a brochure and a WLI Communication task force intranet site are the first concrete results of this.

On Friday, November 14, an information afternoon on the diversity policy was held at the company for all exempts, under the title ‘Colours of Diversity’.

Janssen Pharmaceutica has a workforce of 4,234 persons employed at the company’s sites in Beerse, Geel and Olen. The company is a global market leader in diverse areas, including central nervous system disorders, gastrointestinal diseases, fungal diseases, oncology, pain control, and anesthesia.

 
Facts & Figures
 
In Europe, women occupy only about one third of the higher decision-making positions in companies; in the USA that figure has already reached nearly 50%.
In Belgium, the number of women graduates exceeds male graduates in the faculties of medicine (58%) and pharmacy (75%).
(Academic year 2000/2001.)
At Johnson & Johnson, Christine Poon heads up the Pharmaceutical Group. As a woman of Asian origin, she therefore strongly embodies the drive for diversity. In Fortune magazine’s list of 50 Most Powerful Women in Business she is ranked 27th. She is one of the ten newcomers to join the list this year.
The employees at Janssen Pharmaceutica in Belgium come from more than 30 countries.
Johnson & Johnson employs more than 110,000 persons in 150 companies distributed over 54 countries.
Decision taking by mixed groups has proved to be six times (6!) more effective than decisions taken by groups of persons with the same background (e.g. consisting solely of white males in their thirties).
 


 
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