Aligned with its charter, the Nominating and Corporate Governance Committee provides oversight and guidance for our overall sustainability program. On an annual basis, the Nominating and Corporate Governance Committee reviews our activities and practices regarding ESG matters significant to Elanco. This includes our top initiatives and policies related to these matters and the progress of Elanco’s Healthy Purpose-related sustainability and broader ESG commitments. Additionally, the Audit Committee reviews policies and practices related to environmental protection and the health and safety of our employees.
The Elanco’s Healthy Purpose framework and sustainability goals continue to be embedded in our everyday work, beginning with our senior leadership, who drive the necessary mindset throughout their respective areas of the organization. In early 2021, we implemented our formal sustainability governance structure to strengthen its integration into our business and coordinate efforts across our organization. Senior leadership members appointed functional representatives to serve on the Healthy Purpose Sustainability Committee, our central accountability group.
To further support our Elanco Healthy Purpose Pledges described above, we established workgroups aligned with the pledges to foster cross-functional collaboration and tracking of key performance indicators toward achievement our long-term goals. These workgroup members are key advocates helping to integrate our sustainability initiatives into our everyday business decisions.
In June 2021, we published our 2020 ESG Summary Report, which was our first annual sustainability report. This report provides a look into our Healthier Enterprise efforts and is aligned with the SASB and TCFD reporting frameworks. The report also considers additional topics deemed relevant by Elanco and our key stakeholders and includes extensive information on specific ESG areas. Please view our 2020 ESG Summary Report at www.elanco.com/en-us/sustainability/esg for further information on our ESG efforts, and see “—Shareholder Outreach” above for further information about shareholder feedback regarding these efforts.
DIVERSITY, EQUITY AND INCLUSION
We have a broad view on diversity, including gender, race, ethnicity, sexual orientation, religion, nationality, skill set, educational background, and disability/ability, among other aspects. Our employees’ unique experiences and backgrounds allow us to meet challenges effectively and perform efficiently at a global level.
Our DEI strategy is led by our Executive Director of Global Talent Management, who reports to our Executive Vice President of Human Resources, Corporate Communications, and Administration. Within this team we have established a position solely focused on advancing our DEI efforts across the company.
In partnership with our dedicated team members, the Elanco Global DEI Council promotes a healthy enterprise by helping to make our Employee Promise of an inclusive culture come to life at Elanco. This employee-led and leadership-supported group influences the strategic direction of diversity, equity, and inclusion efforts at Elanco. By serving as a key partner and advocate for all employees, the Council serves as an internal business consultant and DEI Champion, builds DEI partnerships across Elanco, furthers community building through the annual Multicultural Summit and other events, and acts as a recruiting and retention resource for diverse talent. Additionally, nine Elanco Employee Resource Groups serve as communities to celebrate dimensions of difference, resources for groups’ unique needs, and change catalysts to drive our promise of an inclusive culture.
Our comprehensive DEI strategy starts with targeted recruitment efforts, equity and inclusion learning opportunities for leaders and all employees, dedicated mentorship, and development opportunities for individuals from underrepresented groups. We also acknowledge the continued needs of our diverse workforce through the evolution of our benefits, including holidays and parental leave.
Our DEI strategy is reviewed annually by the Nominating and Corporate Governance Committee, and the Compensation Committee is also responsible for evaluating the effectiveness of our policies and strategies relating to human capital management and diversity in our workforce. Our management Executive Committee, which consists of our President and Chief Executive Officer and other members of senior leadership, reviews progress on our initiatives quarterly, including our workforce gender metrics and race and ethnicity representation as well as the impact of DEI events and activities throughout the organization. To learn more about our DEI efforts, see www.elanco.com/en-us/careers/why-work-for-elanco/diversity-inclusion.
Our Annual Report on Form 10-K for the year ended December 31, 2021 (our “2021 Annual Report”) and our 2020 ESG Summary Report provide additional information relating to our human capital resources, including with respect to our DEI practices and initiatives.
