Sustainability Report 2020
Our Values (WHAT WE STAND FOR)
Our Vision (WHAT WE STRIVE FOR)
OneMed´s vision is to be the European partner of choice for stakeholders in the healthcare sector, providing a comprehensive offering within medical supplies to caregivers and prescribers. As a true value-added partner to the healthcare sector, OneMed contributes to improving patient outcomes and reducing the total cost of care. We strive to reduce our environmental impact and cooperate with our suppliers to improve working conditions throughout our supply chains.
Caring for customer We strive to exceed our customers’ expectations and establish long-term reliable partnerships with customers and suppliers. We assign the highest priority to improving patient outcomes.
Our Mission (WHAT WE DO)
Passion for improvement We challenge the way things are done, we explore new channels for developing ourselves and our business, we are creative and have an entrepreneurial spirit.
Improve patient outcomes
Sustainability at OneMed
Taking responsibility We aim to contribute to sustainability, we view ethics as an integral part of conducting business, we keep our promises and deliver on time, we respect our co-workers and motivate and inspire team members.
Lessen the environmental impact and ensure fair working conditions
Reduce total cost of care
Our environmental program
About this report
Greenhouse gas management
A message from our CEO
Initiatives to reduce our carbon footprint
Carbon accounting challenges
The impact of healthcare
Climate compensation program
A true partner to healthcare institutions throughout Europe
Sustainable buildings: a new domicile in Denmark
Our business model
Harmful substances: phasing out PVC
OneMed’s Wound Care initiative
Anti-fraud, bribery and corruption
Product quality and patient safety
Delivering quality products
Upholding the right to data privacy
Supplier quality and product integrity
Sustainability disclosure tables
Protecting our people
Together we made it happen
Keeping the Dutch healthcare system strong during the pandemic
Sustainability Highlights 2020
Stakeholder engagement and materiality
GRI content index
Our contribution to the Sustainable Development Goals
A safe and healthy working environment
Caring for our employees
Making a strong and inclusive culture
Our responsible sourcing program
Operationalizing our policies
Mapping our supply chains
Assessments of risks and impacts
Management, mitigation, and elimination of risks and impacts
Investigation and remediation
Managing forced labor risks
Responsible sourcing during Covid-19
Reviewing our due diligence systems
About this report
OneMed’s sustainability report for 2020 summarizes our main achievements and challenges of the reporting year and describes how we manage social, ethical and environmental risks in our value chains. It is also a progress report that presents how our sustainability work is evolving over time.
This report covers all OneMed branded companies (see the full list on page 70) and is for the period from January 1, 2020 to December 31, 2020. This report has been prepared in accordance with the GRI Stan- dards: Core option. As per the GRI reporting principles to define the content of the report, we engaged with relevant stakeholder groups, consisting of individuals and organizations that impact OneMed as well as those who are impacted by our activities, services or pro- ducts. Their input formed the foundation for defining our material topics. The stakeholder engagement was complemented by our social and environmental impact assessments, following which we developed an understanding of where to focus our sustainability efforts. Whenever relevant, we have provided additional information to contextualize our performance and help explain the decisions that we made as well as the challenges that we are still facing. We additionally took steps to apply the GRI principles for reporting quality. To secure the reliability and accuracy of the report, we had both internal and external stakeholders involved in the drafting and reviewing of the report as well as its underlying data. Whenever we deemed the data to be of insufficient quality, we excluded it from the report and described the underlying reason. With this report we would like to set the foundation for future GRI reporting at OneMed
that can be used to compare results over time and against other benchmark data. We therefore see it our responsibility to be consistent in when we publish our sustainability report as well as in the way we present our data. To support with the report, we commissioned Ernst & Young for an overall review of the report as well as Kumi Consulting for support with developing the responsible sourcing section. By sharing this report, we continue our ongoing work of engaging in meaningful dialogue with our stakeholders and promoting a transparent process for steady impro- vement. Should you have any questions about, or feedback on this report or OneMed’s sustainability work in general, please feel free to email us at: ESG@onemed.com.
an even more structured ESG Agenda throughout the group in 2021. Sustainability is our business, we strive to fulfill the global goal of modern, efficient healthcare for everyone. The “more for less” challenge can be solved by value adding services for better outcomes and easier access for less cost, less complexity and with less time requi- red by patient and caregiver. Together we made it 2020 I want to thank all the employees in the group for their fantastic commitment in 2020. I’m energized by our reliable, creative and diverse workforce covering many geographies, a wide age span, equal gender split and different occupational groups working at several loca- tions, remote or onsite to serve our customers. Our onsite colleagues’ work, in processing orders and keeping customer delivery operations running at all times, was exceptional. With the Covid-19 risk, safe and healthy working environment was of highest impor- tance. I am pleased to note that we succeeded in our task, sick leaves even decreased during this challeng- ing time. With such a commitment from all employees, we have been able to continue our acquisition strategy adding several new companies to the group, that together with OneMed has strengthen our position in Europe further.
A message from our CEO
A more sustainable and patient centric future
The healthcare industry is facing rising costs and in- consistent outcomes. Caregivers and payers are working hard to improve patient care and public health while reducing budgets. In addition, the medical supplies market is highly fragmented. Healthcare institutions must partner with a large number of companies to co- ver their need. We want to help streamline this process by serving the many companies’ products at one table, so that the care givers will have more time and resour- ces to focus on their core - to provide care. We believe in transforming the community towards a more sustainable and patient- consumer-centric future. With a holistic view, we offer a wide range of products, value adding services, and solutions for improved outcomes. We are acquiring companies to expand our group. We are developing new brands when products are needed and demand is high. Some good examples are our PVC free infusion sets, sugar cane based bioplastic aprons and our accelerator-free nitrile examination gloves for sensitive hands. The Wound care program is another example, designed with image recognition and AI technology for individual treatment plans, resulting in faster healing times as well as decre- ased use of antibiotics. We are innovative and use technology to constantly move forward, true to our mission of improving patient outcomes at a reduced total cost of care. Our environmental and responsible sourcing program in addition to our ABC governance based on UN Global Compact ten principles, OECD conventions and ILO, lead the way to lessen our environmental impact, safeguard fair working conditions and business ethics. We have come far and our next step is to implement
2020 was a special year in so many ways. For OneMed, it meant being closer to customers than ever before responding to the drastically accelerating demand for essential protective equipment, such as face masks and gloves, needed in Covid-19 pandemic. I’m pleased to note that this was a challenge that our ope- rations proved ready for. We delivered on the urgent demand that arose in such a high speed and large volumes. At the same time we succeeded in keeping our working environment safe and healthy for our important employees. Solving the short term pandemic supply crisis efforts and worked hard to integrate this through our group and our partners.
We partnered with competitors, colleagues, in our in- dustry and the public authorities to solve the pandemic challenge. The cooperation with the Ministry of Health in the Netherlands is one good example, which you can read about in this report. By applying advanced data analytics of historic buying patterns to control our digital order channels we managed to continuously safeguard the supplies to our customers. As a result of managing these acute challenges, our greenhouse gas emission increased short-term due to extra need of airfreight. It is a notch in an otherwise positive reduction progress, and we still continued reducing the emissions for road transport relative to our Net Sales in 2020. Road transport is, under normal circumstances, our highest emission source. This achievement was possible due to close dialogue with our logistic partners.
I would like to take this opportunity to thank all the health care professionals and staff at hospitals and other healthcare institutions for their commitment and hard work. They have played the most significant part in saving lives and ensuring that our societies kept functioning during the Covid-19 pandemic. As a trusted partner to the healthcare sector, our priority has been to ensure availability of the products and services needed for the care givers’ emergency situation. The tremendous increase in demand com- bined with a limited global supply gave rise to some opportunistic behaviors in the market with counterfeit and substandard medical products. To navigate through this new complex situation, we quickly established a cross-functional task force team to keep healthcare supply chains strong, without compromising on quality or ethics. We strengthened our social sourcing policy
Johan Falk CEO
OneMed is a leading provider of medical supplies and solutions in Europe. We provide a complete assortment of products and services to different healthcare institutions in our countries of operation.
As from late 2020, we are present in, and serve 10 European markets with the ambition to further expand and become a pan-European organization that improves the lives of patients and lowers the cost of care across the continent. We will achieve this by becoming the European partner of choice for healthcare institutions and take away their burden of having to partner with many suppliers to get the medical products that they need. In addition, we will increasingly expand our value-adding services to further support care givers in their daily activities and become a true partner to the healthcare professionals. We do recognize that, in pursuing our mission, we have a social and environmental impact that we need to manage properly, both internally and together with our partners. The latter is especially important given OneMed’s asset-light business model where many of the operational activities are outsourced to third parties. It is for this reason that above all else, our sustainability approach is a collaborative one which relies on constant engagement with service providers, suppliers and customers. In 2020, OneMed’s revenue for the group amounted to 6.601 million SEK. OneMed is a limited liability company, owned by Nalka Invest, who are the majority owner, as well Sjätte AP-fonden and Ilmarinen as minority owners.
OneMed endorses The ILO Core Conventions, The UN Declaration of Human Rights, the Principles of the UN Global Compact and the OECD Due Diligence Guidance for Responsible Business Conduct. We take inspiration from these in the process of developing our internal as well as external requirements on ethical business behaviour. OneMed is a member of the Ethical Trading Initiative (ETI) and the Responsible Labor Initiative (RLI).
The impact of healthcare
The importance of healthcare in our society cannot be overstated. Despite its vital role, the healthcare sector is facing major challenges ranging from growing need for care and increased regulations to staff shortages and tight budgets. As a result, care givers are forced to be more efficient with their resources, all the while main - taining their service levels and high-quality care.
On top of this, there are mounting concerns related to the social and environmental impacts of healthcare (from a climate change perspective alone, it is esti- mated that the global healthcare sector is responsible for 4.4% of worldwide net emissions 1 ). The climactic events of late (floods, forest wildfires, melting glaciers) have accelerated the general consensus that we need to take action and address these impacts now. This recognition has led to an increase in sustainability demands and requirements in the healthcare sector, which, while being a positive development, is also adding more – potentially conflicting – variables to an already complex equation. Medical supplies play an important role in this; they are essential to healthcare professionals when treating patients, but also come with a large social and environ- mental impact as a result of their production, transpor- tation and subsequent disposal. In the past, MedTech companies have paid little attention to these impacts and instead focused their efforts on patient outcomes.
After all, when it comes to saving lives, the safety and wellbeing of the patient in front of a caregiver is always the main priority. While it is easy to ignore the social and environmental impact of medical products when they contribute to such a noble cause, their indispensable value to our society cannot be an excuse to neglect the externa- lities related to their life-cycle. It is for this reason that lessening the environmental impact and ensuring good working conditions across our value chains is a key tenet of OneMed’s mission statement, along with improving patient outcome and reducing the total cost of care. Tackling these issues requires a holistic and systemic approach and cannot be addressed in isolation; con- flicting aspects need to be understood and conside- red when working with sustainability in the MedTech industry. 1 Healthcare Without Harm, Health Care’s Climate Footprint, 2019
Our business model OneMed was formed in 2006 from the merger of several Nordic companies with over 80 years of experience in medical supplies. Since then, we have developed a comprehensive range of services, support systems and medical supplies, and strive to provide our customers with a complete assortment of quality products.
A true partner to healthcare institutions throughout Europe
Our product assortment covers a vast range of product categories, which are adopted to the needs of the local markets and the procuring authorities. On the one hand, these include medical products from leading brands and established product companies, which we distribute to the markets where we operate. On the other hand, we also have our own private label products (under our brands evercare ® & SELEFA ® ) with which we seek to increase competitiveness across the industry and drive innovation. In addition to our product portfolio of around 50.000 SKUs, we provide an array of value adding services and solutions to the healthcare sector. This includes pro- duct suggestions to ensure that customers use the best
products to improve patient outcomes in each specific case, educational programs for doctors and nurses, so that they can perform their work in a better way, as well as logistical management support solutions to ensure that products are always available when needed. We take a holistic approach to our products and services offering to make it easier for healthcare providers to focus on the care of patients.
Up to the present day, the European medical supplies industry is highly fragmented and dominated by product companies with significant influence and power over products and price levels.
This situation is comparable to how the food industry operated 100 years ago with no supermarkets available. People had to visit the butcher for meat, the bakery for bread and the farmer for dairy products. Unfortunately it is still how most of the healthcare industry in Europe works today and healthcare institutions, such as hospitals and elderly homes, must partner with many product companies to get the products they need, taking away precious time and resources from what they really need to focus on: providing care. This time and cost inefficient system is not working in the best interest of healthcare providers and their patients. At the same time, the global population is increasing and people tend to live longer as a result of better access to healthcare and new ways to prevent and treat diseases. Additional pressure on producers of medical supplies to use their resources in an effi- cient way, increases the need for support. We need to reshape the MedTech industry as we know it by shifting
the spotlight away from product companies and back to the customers.
We will seek to achieve this by consolidating our posi- tion as the modern provider of healthcare supplies and solutions. Through compounded organic growth and strategic acquisitions, we will restore the power balan- ce between customers and suppliers and contribute to a system that puts the patient at the center. Through OneMed, healthcare providers will benefit from easy access to the medical supplies and solutions they need when they need them and at competitive costs. As a true partner to the healthcare sector, we will not only offer a complete assortment of quality products and value-adding services and solutions; we will also keep aligning our operations with local market con- ditions by leveraging local expertise to ensure that we remain a relevant partner to the healthcare sector regardless of where we operate.
Research & product development
Marketing & Sales
Manufacturing Warehousing & logistics
Provider of branded and own brand products as well as services
Private healthcare providers
Direct sales and services
Direct to patient
33 000 customers
1 700 suppliers
The OneWound program helps to Empower nurses
Improve patient outcome
Half the costs
OneMed’s Wound Care initiative
The OneWound Program initiated by OneMed in Sweden is a good example of a solution that accomplishes our mission to ‘Improve patient outcomes’, ‘Reduce total cost of care’ and ‘Lessen the environmental impact and ensure safe working conditions’. It also exemplifies how OneMed contributes to SDG3 ”Good Health and Well-being”.
Digital workflow + human support Combining A.I. technology and expert knowledge we guide nurses through the entire treatment.
First initiated in Sweden 6 years ago, the OneWound Program offers a comprehensive concept for chronic wound care that guarantees distinct and measurable results. By combining expert knowledge with the sup- port of Artificial Intelligence technology and by keeping each patient at the center, our wound care program empowers nurses in their assessment of each wound, gives them a clear structure including all critical para- meters in wound treatment (such as underlying dise- ases, circulatory status, patient status, time, etc.) and guides them in using the right products and performing dressing and bandage changes correctly when needed throughout the entire treatment. Our model contributes to a change in work methodolo- gy, where we work closely with care units on a weekly basis during 4 months. Healthcare professionals en- gaging in our program become more confident in their decision making, allowing for a reduction in the use of antibiotics and in the frequency of their visits. This in turn leads to lowered emissions from less travelling, as well as reduced waste from fewer dressing changes (we estimate that our approach can reduce medical was- te by 2/3). More important, this approach drastically reduces healing time and releases 40-80% of the time currently spent on wound care. These results have been proven repeatedly with different customers and from different starting points.
Studies show that around two million people in Euro- pe suffer from complex chronic wounds. Beyond the considerable suffering endured by each patient, these wounds consume 30-40% of nurses’ time within the home care segment. Wound care is a complex science, far from just app- lying a bandage on a wound. Each wound is different and can require a specific approach, based on the con- dition of the wound and the patient’s characteristics. Treatment needs to change following the evolution of the wound. Combined with the vast offer of wound care products available on the market and the rapid evolu- tion of product technology and clinical best practices, it is often a daunting task for healthcare professio- nals to select the right method and products to treat complex wounds. Unfortunately, wound care was never among the prestigious specialties of medicine and, for many years, was neglected. Knowledge transmission in this area is often lacking. Having worked with +7,000 nurses in six years, we have observed that healthcare professionals working with complex wounds struggle
finding answers to their questions - education and gui- dance in wound care is always high on their wish list. If not treated properly, complex wounds can often lead to worse outcomes, including amputation. As it is impossible for the untrained eye to distinguish an inflamed wound from an infected one, healthcare professionals tend to overuse antibiotics (even though only 4% of complex wounds are infected, hence requi- re antibiotics). The overuse of antibiotics, which leads to the development of antibiotic-resistant bacteria, is frequently identified as a major threat to global health. Lack of knowledge also often leads to the use of sub-optimal products and changing dressings more fre- quently than necessary which not only comes with the inconvenience of wasting nursing staff resources (by requiring more frequent travels to the patient’s home) but also wasting supplies (by using more products): this also lengthens the overall wound healing time when everyone’s interest (starting from the patient) is to heal wounds as fast as possible.
OneMed wound care experts
receiving the right treatment. It is important to manage nursing resources and to avoid making an unnecessary amount of changes when you can instead make one change with quality and get a shorter healing time. Shorter healing time and reduced frequency of dressing changes do not only translate into cost savings, it also has a positive impact for the environment. -The consequence will be reduced human resources, reduced travels and a greatly reduced environmental impact. Each dressing change requires to travel to the patient’s home and generates a whole bag of medi- cal waste. With our method, 2/3 of that waste can be eliminated. Our Wound Care initiative is also a significant example of how we engage with our stakeholders. -By meeting the care givers in their everyday work, we have the opportunity to create value for the patients together with them and to share their joy when ”ce- lebrating successes”. It can be gratefully stated that we work with a long-term goal together with nurses, doctors, assistant nurses to become part of the road towards a better treatment for our patients with diffi- cult-to-heal wounds. Let this end with the fact that it is entirely possible, and we have come a long way to reduce the suffering that patients live with when their wounds do not heal. The OneWound Program is now being rolled out in other OneMed countries.
Q&A with Anna-Karin Brask
Unit Manager in Ale Municipality Q: How has the OneWound program and app supported you in your work? A: It has brought benefits for the patient and care provider. The program enables faster wound healing and better material use, saving both time and resources which we can spend on other things. Q: How has the program changed the dynamics in your team? A: It´s really wonderful to see how the group has developed, what a difference it is in the competence and confidence. It is also reassuring to know that we are constantly keeping up with the development in wound care and getting the latest research and strategies thanks to OneMed´s wound care experts. Q: How has the program changed patients´ lives? A: To give an example, for one patient who had problems with a hard-to-heal wound, the number of weekly dressing changes decrea- sed; the wound started looking significantly better and is almost completely healed. He is content, and it is fantastic to be able to make such a difference.
Maria Käll, Healthcare Development Manager at OneMed Sweden, has a passion for healing complex wounds. She is behind the development of our Wound Care initiative: - With our help, a municipality in western Sweden redu- ced its average healing time for chronic wounds from 10 months to 10 weeks. By tailoring treatment for each individual, the municipality improved their patients’ quality of life and gave nurses more time to care for patients. The average treatment cost fell by 80%. This result is not an isolated occurrence – it reflects the type of results our customers typically achieve when they participate in our wound care initiative. Our experience has shown that it is entirely possible and we have come a long way in reducing the suffering that patients live with when their wounds do not heal. Maria is also behind OneWound, a wound treatment digital app which uses A.I. technology to help health-
care professionals assess whether a wound is inflamed or infected. The app also works as a knowledge support and makes it possible to get an expert opinion via a chat function or by calling a nurse specialized in wound care. A materials library is available, where a nurse who feels unsure of how a product works can click on the product and get a short description. -I think the app should be a safe hand to hold when you as a nurse are out with a patient. There is a great lack of knowledge among healthcare professionals as it is not possible to distinguish between inflammation and infection. This in turn leads to overuse of antibiotics. From the app, it is also possible for unit managers to monitor statistics so that they can follow the develop- ment of wound treatment in their municipality or health center. -We see, among other things, the frequency of dressing changes, so it is possible to check that the patient is
Economic value for caregivers Total cost savings over 10 OneWound programs* MSEK
* Use of OneMed products in combination with the OneWound application Source: OneMed and customer data; QVARTZperVERTICAL analysis
evercare ® is OneMed’s main own brand for products within surgery, infusion and injection, infection control, wound treatment, gloves and procedure kits (MediKits ® )
From its early days in Sweden, SELEFA ® has become a household brand in Nordic healthcare; it focuses mainly on examination gloves, paper and plastic consumables, bandages, compresses and swabs
We design our products with value-adding features making them both more effective and safer for patients and users. Sustainable design is also central to our pro- duct development, for instance in our material choices.
Some examples of value-adding products providing customers with a more sustainable option include:
Our offer includes over 900 evercare ® and SELEFA ® branded products In 33 different product groups. They are developed in-house and continuously improved based on our customers’ needs, suggestions and ideas, always with our mission in mind to ‘Improve patient outcomes’, ‘Reduce total cost of care’ and ‘Lessen the environmental impact and ensure safe working conditions.
evercare ® inLine® infusion sets with a FilterStop drip chamber which reduces the risk of air passing into the tube, hence the risk of air embolisms. These products are also 100% PVC-free, made in a polyolefin polymer safer both for patients and the environment. (see section ‘Harmful Substances: Phasing out PVC’). SELEFA ® Bosco Green apron made from 70% sugar cane based bioplastic with a lower carbon footprint than classic fossil-based PE aprons.
This wide product assortment is developed by the Private Label organization, an agile, cross-functional team of specialists within the areas of Product Manage- ment, Quality & Regulatory, Graphic Design, Sourcing, Manufacturing, CSR, Marketing and Sales. Thanks to their special set of skills, expertise and product know- ledge, this team contributed significantly to OneMed’s Covid-19 effort in 2020 (see section ‘Covid-19 response’). The majority of evercare ® and SELEFA ® products are CE-marked by OneMed Group Oy in Finland. We have established, documented, and imple- mented a process-based Quality Management System which we continuously maintain and improve to ensure its effectiveness and compliance with applicable regulations (this includes internal and external audits of the quality management system, management reviews, assessments of suppliers and corrective and preventive actions). The quality management system of OneMed Group Oy is certified as fulfilling ISO 13485:2016 and MDD 93/42/EEC and has been updated according to the new requirements of Regula- tion (EU) 2017/745 (MDR). Our manufacturing and sourcing strategy for own brand products focuses on providing reliable and
quality, cost-effective products to our customers. Our geographically diverse contract-manufacturing and sourcing network supports our ability to deliver quality products at competitive prices. Consequently, we focus on maintaining a supply chain that reflects our core values and respect for quality, environment and social responsibility. Corporate Social Responsibility is well embedded in our Private Label organization’s culture. We carefully select our suppliers and work closely with them to ensure ethical production processes and improve working conditions throughout the value chain (see se- ction ‘Responsible Sourcing’).” On product quality, we are committed to patient and user safety and providing products that meet or exceed the expectations of our customers. To help ensure our products are safe and effective, our suppliers must meet the requirements of our supplier quality management process, which inclu- des an on-site qualification audit and monthly periodi- cal performance monitoring, regular inspections at the production facilities and randomized tests. (see section ‘Product Quality and Patient Safety’).
evercare ® accelerator-free nitrile examination gloves Without sulfur-based chemical accelerators (thiurams, dithiocarbamates) to reduce the risk of occupational contact dermatitis in sensitive users.
evercare ® inLine ® urological sets made from polyolefin polymer and among the first PVC-free urological sets on the market, thereby reducing the use of harmful substances.
industry standard ISO 13485:2016. Our products are developed according to a structured way of working, with a primary focus on patient risk and quality. Conti- nuous improvements form the basis for the work on our quality system and we work continuously and proacti- vely to follow up on the quality of all the products we place on the market. When potential product quality incidents happen, we work to respond promptly. Since
2012, we have our own organization in Shanghai that regularly conducts audits and follow-ups at the facto- ries manufacturing our products, as well as product inspections before shipment.
Supplier quality and product integrity Our supply chain focuses on supplier quality, production quality, quality of products delive- red and the integrity of product packaging and containers. We highly value maintaining close relationships with our suppliers, which facilitates a quick resolution to identified product devia- tions in a controlled and safe way. Having local OneMed supplier quality management person-
nel at key locations in the world enables this. When shipping products, we ensure full traceability of our high quality products and we use containers and shipping methods that have been verified to maintain our product quality and safety. This helps preserve product integrity and prevent any quality issues. We continuously monitor and strive to improve the quality of our products and services. One key control measure we use to follow up on this is the CPM (Complaints Per Million). In 2020 we improved our performance by lowering this incidence to 0.057 (versus 0.089 in 2019), staying well below our target of <0.1 CPM.
Decreased number of complaints (CPM)
Product quality and patient safety
Delivering quality products Our core quality activities secure that providing safe and quality products is a key pillar of our operations. We work with a constant focus on user safety and quality improvements for every- one who comes into contact with our products, including patients, healthcare professionals and those who manufacture or handle our products.
Our quality management system is based on inter- national regulations such as the EU Medical Device Directive, REACH, and others, to ensure that all the products we sell comply with applicable regulatory requirements. We strive to comply with and stay informed about regulations. Our daily work is focused on following the established processes and templates of our quality management system. In 2020, a company-wide effort was undertaken to upgrade processes and technical documentation in compliance with the increased regulatory require-
ments of the new European Medical Device Regulation (MDR). Additional experienced staff were recruited in OneMed’s Quality & Regulatory Team to support this transition and meet the new requirements when the new legislation enters into force in May 2021. In addition to our global processes, our facilities have a local quality management system with experienced personnel responsible for local quality management and compliance. For the development of our Private Label Products, evercare ® and SELEFA ® , we follow a process-based quality management system with established working methods and processes according to the medical device
In the end, only very few of these offers turned out to be legi- timate but they still had to be reviewed considering the dire need for products at the time. In parallel, we kept engaging with our existing suppliers to restart production for OneMed, despite volatile price in- creases, temporary discontinuation of many product referen- ces, evolving exports restrictions and transportation hurdles. Given the strong demand and supply hurdles, we undertook a temporary rationalization of our product portfolio to help maxi- mize output of the products most in need. We also developed new suppliers and added products to our assortment, which we managed to do while staying compliant with our standard control procedures (all the new suppliers were audited and qualified for both Quality and CSR) thanks to our colleagues in Asia. Despite speed and quality being the two priorities, we never compromised on our values. All this was driven by an acute sense of urgency, purpose and common meaning: never before had we worked so closely with each other across countries and functions, all focusing on the same goal: providing healthcare professionals with the products they needed to protect themselves and care for their patients during the pandemic. For many reasons the pandemic heightened the risk of PPE supplying companies (and often sole traders) to compromise on values as opportunities to charge well over acceptable margins arose from scarce supply and high demand for these products. OneMed’s board and executive management team have been careful not to pursue short term profits at the expense of customers, but instead uphold our core values by conducting business fairly and responsibly, always ensuring that products were supplied wherever they were most needed.
Extra PPE supplied
2020 has been a year unlike any other. When in January the news broke out of a coronavirus outbreak in Wuhan, and then spreading to the whole Hubei province and the rest of China, we first saw our Chinese colleagues facing lockdowns and tough restrictions from the Chinese government.
+120 million evercare ® facemasks (type IIR)
At that point, we still had hope that China’s measures would allow to contain the virus and that life could go back to normal after a couple of weeks. Little did we know that this would become a pandemic of global proportions, unlike anything ever experienced before. By mid-March, the coronavirus had spread to Europe and it quickly became clear that supplies of critical products were falling short and could not keep up with the enormous demand. In response, we quickly established a cross-functional task force team involving key personnel from the Group’s Category & Sourcing Team, Supply Chain & Planning Team and Swedish Category Team in order to keep healthcare supply chains strong. This foundation was additionally strengthened by the Sales Teams in the different OneMed countries who ensured that communication with key customers remained seamless. The situation pushed us to be creative, think outside the box and find solutions within the boundaries of
the Covid-19 restrictions. Many activities and projects that would, under normal circumstances, take place face-to-face and on-site, were now moved to a digital format. While this may have come with some benefits in the form of reduced traveling – saving time, cost and emissions – it also made some activities, including audits and warehousing, harder to carry out. However, with demand for medical supplies skyrocketing, we could not take our time in getting used to the situation. In March and April, the tremendous increase in demand for products combined with a limited glo- bal supply (not only due to limited raw material and production capacity, but also to exports and logistics restrictions) gave rise to opportunistic behaviours and a market of counterfeit and substandard medical products. Many of our customers asked us then to help them screen offers they received and to review the documentation. This placed an additional workload and responsibility on our Sourcing and Category teams who had to be extra thorough to prevent fraudulent and substandard products from entering the market.
+170 million SELEFA ® Nitrile gloves
+15 million evercare ® protective gowns
+2,5 million liters of surface & hand disinfection
While the pandemic put a strain on our production capacity, forced us to explore new markets, develop new products and deliver them rapidly, we never indulged in skimping on the quality and selling as many products as possible to maximize earnings. In line with our vision to improve patient outcome, we always put product quality first to maintain the trust and support of our customers.
Keeping the Dutch healthcare system strong during the pandemic In March 2020, Pieter-Jan Jongeling and Mark van de Camp of OneMed Netherlands were invited to a meeting to discuss an overhaul of the national procurement of infection and pre- vention equipment in the Netherlands. Participants in this meeting comprised a selected group of hospitals, distributors and the management of the Ministry of Health who were looking for a solution to safeguard the protection of all the healthcare workers in the Netherlands. The out- come of the meeting resulted in an unconventional collaboration in which public and private (commercial) organizations joined forces in a national consortium.
Protecting our people
Besides the responsibility towards our customers, we also had to ensure that our internal staff remained in good health and were not exposed to any unnecessary risks.
For most of the office employees, this meant working from home and shifting towards virtual meetings as much as possible. For employees who were not able to work from home or preferred working at the office, we took steps to secure a safe working environment. This was achieved by regularly disinfecting the office, set- ting up spacious working stations, putting disinfectants in common areas and providing employees with the possibility of measuring their temperatures. Moreover, as opposed to the office employees who in most cases had the option to work from home, our warehouse staff
had to be on-site to fulfil their vital role in keeping lo- gistical processes going. To ensure their safety, we had to take additional measures in the form of markings on the floor, opening second canteens and taking breaks in smaller groups.
‘The consortium we built operated as if it were one company. We built strong syner- gies where we made use of each other’s st- rengths and worked towards one common goal: keeping the Dutch healthcare system strong during the pandemic’ Pieter-Jan Jongeling – MD OneMed Netherlands At the time of writing the partnership is still operational as an emergency organization and will keep supporting the Dutch government until a more long term solution can be implemented.
The goal of the National Consortium was clear: to serve the interest of the Netherlands and keep the Dutch healthcare system from collapsing by ensuring the availability of personal protective equipment (e.g. facemasks and gloves) and medical devices of the right quality for all healthcare workers in the Netherlands. In the following days all participants agreed to a part- nership, and discussed the key principles of the colla- boration, which entailed: full transparency, no eye on making profit from the partnership, maintaining normal margins on products and serving as an emergency orga- nization for the healthcare sector as long as the market is not able to cover the shortage of PPE. Soon after the partnership was established, other organizations started joining and what started off with a small group of individuals quickly grew into a team of over 200 people involving multiple stakeholders, including product manufacturers, distributors, hospitals and other organizations alike.
Investing in our employees’ wellbeing
‘When the Coronavirus arrived in the Netherlands and working remotely became the new normal, we directly recognized the need to adapt our existing vitality program and support employees setting up a healthy work environment at their homes. In addition to providing guidance on when to take breaks, go out for a walk and regular updates on the Covid-19 situation, we sent employees home plants to create an oxygen-rich working environment, gift-cards for healthy meals and home cinema tickets to take away some of the pressure caused by the pandemic.’ Looking out for employees’ wellbeing is key in stressful times like these. Marijke Meeuwesen - HR Manager OneMed Netherlands
Together we made it happen
To meet the demand for medical supplies during the pandemic, collaboration and solidarity were more important than ever.
It was only thanks to the collective efforts of different stakeholders that we managed to provide healthcare workers with the medical supplies they so desperately needed. Our efforts would have been in vain, were it not for our carriers who prioritized deliveries of medical
supplies, our suppliers who went to great lengths pro- viding us with the products that our customers quickly needed, or the support of local authorities who made it easier to register medical products to combat Covid-19.
Highlights 2020 Sustainability
5 million+ biobased products sold 100% Biodiesel deliveries in Stockholm Region
6000+ patients treated with the OneWound program
75+ Managers and employees in high-risk functions formally trained on Anti- Bribery and Corruption
Highest possible score external audit ISO14001 /9001 management systems (OneMed Sweden AB)
100% Electric distribution in Oslo starting September 2020
Private Label areas completely PVC free 2/3 CO2 climate compensation program started in 2020 1st
Trade-off: +37% Scope 3 emissions increase due to Covid-19 response (see page 49)
of the employees have access to a whistleblowing service
100+ Pallets of medical products donated to Human Bridge
Our ongoing engagements include:
Our customers Examples include: public and private customers in the Nordics. How OneMed engages with its customers • Quarterly or biannual meetings with customers’ sustainability departments to discuss OneMed’s progress on responsible sourcing. • Collaborative roundtables with our customers’ sustainability departments and NGOs on specific CSR challenges in the healthcare industry. Our suppliers Examples include: producers of our Private Label products, group agencies (such as ICU Medical, mentioned in this report) and Brands. How OneMed engages with its suppliers: • Direct engagement with our Private Label suppliers through audits and remediation processes. • For suppliers that we consider high risk this entails a yearly audit with a closing meeting plus check-ins to follow up on corrective action plans. • In 2020 we sent a questionnaire to all branded suppliers (group contracts) that we consider high- risk to evaluate the extent to which they complied with our Code of Conduct and followed up in case non-conformities were identified. Our employees How OneMed engages with its employees: • Annual performance reviews between OneMed employees and their managers to identify learning and development opportunities, review progress and lay out a plan for the future that is in line with OneMed’s goals and the employee’s personal ambitions. • Ongoing dialogue about our Code of Conduct; this includes training and continuous dialogue around ethical dilemmas throughout the business. In addition to providing guidance on where to focus our sustainability efforts, our stakeholder engagement also allows us to find synergies and tackle challenges that we, as a single company, cannot address on our own. This in particular applies to risks of human rights violations that go beyond the typical buyer-supplier relationship (e.g. risks of forced labor or child labor in complex supply chains) and where a multi-stakeholder approach is more likely to have an impact. Addressing these issues requires effective cross-organizational
Our logistical partners Examples include: Schenker, PostNord, Kuehne + Nagel and other carriers/freight forwarders supporting our inbound and outbound logistics. How OneMed engages with its service providers: • Quarterly high-level meetings to develop green transport initiatives and improve emissions reporting. • Monthly operational follow-ups to ensure effective implementation of emissions reducing initiatives. Non-profit organizations Examples include: Stakeholder organizations (e.g. Responsible Business Association (RBA), Ethical Trading Initiative (ETI)) NGOs (e.g. Transparency International (TI)), industry associations (e.g. MedTech Sweden) and academia (various universities across the Nordics) How OneMed engages with non-profit organizations: • Ad-hoc meetings and trainings with NGOs to learn about ways in which we can improve our responsible sourcing program (ETI UK/SE/NO, RBA, Responsible Sourcing Network), anti-bribery and corruption efforts (TI) and environmental work (Svanen). • Ad-hoc meetings with staff and students from univer- sities to collaboratively work on sustainability projects (recent examples include supply chain mapping and human rights risk assessments). Our owners How OneMed engages with its owners: • The main forum for engaging with our owners on sustainability topics is our company’s board of directors. Sustainability is a regular agenda point on board meetings where representatives of our owners provide feedback on sustainability related proposals. • Yearly ESG questionnaire, identifying ESG KPIs of interest for OneMed’s majority owner. • OneMed’s owners share best practices among their portfolio companies including, but not limited to, trainings for OneMed’s Management Team. collaboration and joint objectives. We therefore appre- ciate it when our stakeholders engage with us to openly discuss how we can improve working and labor condi- tions in our common supply chains together. Most notably, we have experienced a strong engage- ment and an increase in sustainability requirements from a few customers in Sweden, Norway and Finland who are effectively implementing sustainable public procurement as a way to include responsible sour- cing and environmental criteria in their purchasing
Stakeholder engagement and materiality
Continuous dialogue with our stakeholders in the healthcare sector and beyond is important to capture opportunities for improvement in relation to our mission statement and our ambitions within sustainability. We engage in regular dialogue with parties that influence, or are impacted by, our operations to better under - stand their needs and ambitions, and develop common goals that we can work towards. These could include our owners, customers, employees, suppliers, stake-
holder organizations or society at large. Our last formal stakeholder analysis was conducted in 2017 and enabled us to capture what was important to our stakeholders from a sustainability perspective and develop a sustainability strategy for the OneMed Group. Following this analysis, we maintained an ongoing dialogue with our stakeholders to stay informed about evolving demands and capture their view on changes affecting our industry (e.g. the start of the climate
movement in 2018 and the Covid-19 pandemic in 2020) and our company (e.g. the change of ownership of OneMed in 2019). We use the input from these en- gagements to adapt our sustainability strategy whene- ver necessary and, as such, ensure alignment between stakeholders’ needs and our material topics. In 2021, we will undertake a new formal stakeholder analysis and update our material topics accordingly.
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