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Novartis in Switzerland Novartis in Switzerland Novartis in der Schweiz Novartis en Suisse Dear reader, At Novartis, exploring new paths and improving and extending people’s lives is what we strive toward every single day. Switzerland has always served as a key location for driving innovation at our company. It is home to our global headquarters, as well as central branches for the research, development and production of innovative drugs and therapies. By way of example, we invested approximately CHF 3.4 billion into research and development alone at our Swiss sites last year. To ensure the success of Novartis over the long term, we are evolving into a focused medicines company. Per- sonalized therapies, new digital technologies and strong partnerships with research institutions will be at the core of our business. This evolution is leading to changes in pro- duction: traditional production methods are becoming less relevant, while new platforms are increasing in importance. Over the next few years, for example, we are planning to invest up to CHF 90 million into a new platform for the pro- duction of cell and gene therapies in Stein, Switzerland. This pocket-size brochure has been designed to provide you with current information about these key activities and other developments at our company in Switzerland and around the world. We hope you enjoy the read. Matthias Leuenberger Country President Novartis Switzerland Our strategic priorities Content Novartis at a glance Novartis a glance at What drives us 4 Unleash the power Deliver transformative At work worldwide, at home in Switzerland 6 of our people innovation One of the world’s largest pharmaceutical companies 11 Procurement of goods and services 12 Facts and figures 2018 13 Our sites Our sites Sites in Switzerland 14 Location profiles 16 Embrace operational Go big on data excellence and digital Employer Working at Novartis 21 Employer Novartis employees in Switzerland 22 Starting a career 23 Our medicine The path to a new medicine 25 Build trust with society Reimagining medicine 28 Therapeutic areas 30 medicine Our Research and development 32 Excellence in manufacturing 36 Our responsibility Supporting science 37 Our contribution to the environment and society 39 Sponsoring and donations 47 responsibility Our 6 7 What drives us Our Commitment to Patients and Caregivers In 2018, we adopted Group-wide principles in order to We reimagine medicine to improve and extend people’s better integrate the requirements of patients and care lives. We use innovative science and technology to address providers into our day-to-day work. This promise represents some of society’s most challenging healthcare issues. We the evolution of our patient statement from 2015, and is now discover and develop breakthrough treatments and find the guiding principle for the company as a whole. It is the Novartis a glance at new ways to deliver them to as many people as possible. outcome of a dialog with more than 40 patient organizations We also aim to reward those who invest their money, time representing approximately 200 million patients around the and ideas in our company. world, and is based on four pillars: Respecting and Expanding access understanding the patient to our medicines community perspective Conducting responsible Recognizing the clinical trials importance of transparency and reporting 8 9 At work worldwide, Our business model Novartis focuses on innovative patent-protected medicines at home in Switzerland and generics – segments with a global reach and strong Novartis is a global company with a strong commitment to customer relations. Research and development (R&D) its Swiss roots. These stretch back over 150 years. We offer forms the core of our business and is a crucial part of our medical solutions to address the changing needs of patients strategy. At the global level, our functional organizations Novartis a glance at and societies around the world. Our core skills lie in the help to increase efficiency and to promote operational research and development of new medicines. Worldwide, excellence. around 130,000 people of 147 nationalities work at Novartis. Importance of Switzerland Switzerland is one of the most important research, pro- ls ica ut duction and distribution hubs of Novartis. The 13,000 or so ce a Bu employees who work here make an important contribution rm si a s ne h n s P io s to the success of the pharmaceutical industry, which has t c s n e become a stable driver of the economy in Switzerland since u r f v i c Novartis was established in 1996. Around 2% of the com- e t e a s r pany’s total sales are generated in Switzerland. ( o N p B r S Many international units are based in Basel, including our o ) C y company headquarters and the head office of the global g o l Innovative Medicines division. The campus is one of our o c R&D n most important research sites: Scientists from all over the O S a world are engaged in research here on innovative medi- n d o cines and therapies. z M a ) nu TO With the acquisition of the gene therapy company AveXis and facturing (N the radiopharmaceutical company Advanced Accelerator Applications (AAA), we are increasing our presence not only Alcon worldwide, but also in Switzerland. 10 11 Our divisions Functional organizations with a global reach Innovative Medicines Research and development (R&D) The division comprises two business units: is divided into two organizations: Novartis Oncology focuses on patented treatments for a Novartis Institutes for BioMedical Research (NIBR) is the variety of cancers and rare diseases. innovation engine of Novartis. NIBR focuses on discovering Novartis a glance at new drugs that can change the practice of medicine. Novartis Pharmaceuticals focuses on patented treat- p. 33 ments in the areas of ophthalmology, immunology, hepa- tology and dermatology, neuroscience, respiratory and Global Drug Development organization oversees the devel- cardio-metabolic. opment of new medicines discovered by our researchers and partners. p. 35 Sandoz offers patients and healthcare professionals high quality, Novartis Technical Operations (NTO) affordable generics and biosimilars. handles manufacturing of innovative medicines and Sandoz products. NTO helps us optimize resource allocation and Alcon capacity planning across our production sites. p. 36 offers one of the world’s widest selections of eye care devices. Novartis Business Services (NBS) consolidates support services across our organization, help- In 2018, Novartis announced the intention to spin off Alcon, ing drive efficiency, simplification, standardization and quality. pending approval from shareholders and regulators. p. 10 Corporate functions support the enterprise in specific areas of expertise, includ- ing finance, human resources, legal and communications. 12 13 The future of Alcon One of the world’s largest As part of our strategy to build a leading, focused medi- cines company, we are planning to spin off the Alcon eye pharmaceutical companies care division into a standalone company with shares in In terms of global pharmaceutical sales, Novartis is the Alcon listed on the SIX Swiss Exchange (SIX) and the New second largest pharmaceutical company in the world. York Stock Exchange (NYSE). Novartis a glance at The planned spinoff would enable Novartis and Alcon to focus fully on their respective growth strategies. On The 10 largest pharmaceutical companies in the world (by sales of pharmaceutical products) completion of the planned spinoff, Alcon will remain com- USD billion mitted to Switzerland. Its global headquarters will be in the 1 Johnson & Johnson USA 46.5 canton of Geneva and it will be incorporated in the canton of Fribourg, with other important sites in Rotkreuz and 2 Novartis Switzerland 4 4.1 Schaffhausen. 3 Pfizer USA 41.6 4 Roche Switzerland 39.7 Completion of the planned transaction is subject to general market conditions, regulatory approvals, final endorsement 5 AbbVie USA 35.8 by the Board of Directors and shareholder approval. 6 Merck & Co USA 35.4 7 Sanofi France 3 5.1 8 GlaxoSmithKline GB 34.4 9 Gilead Sciences USA 26.3 10 Lilly USA 26.0 Source: IMS PADDS Monthly, January 2019 (data from January – November 2018) 14 15 Procurement of Facts and figures 2018 goods and services Novartis offers jobs not only directly, but also as a buyer Employees of goods and services from suppliers, including many Novartis a glance at SMEs. Through the procurement of products and ser- 13,000 vices, Novartis indirectly secures more than 58,000 jobs in Switzerland in Switzerland; behind each job at Novartis, there are more 10% 130,000 than four further indirect jobs. In 2018, the company placed worldwide orders worth around CHF 2.4 billion in the 26 cantons of Switzerland. Purchases by canton Sales Current income taxes Top 10 CHF million Zurich (ZH) 743 CHF 0.8 bn CHF 0.7 bn Basel-Stadt (BS) 486 in Switzerland in Switzerland Neuchâtel (NE) 271 2 % CHF 50.7 bn 39% CHF 1.8 bn worldwide Basel-Land (BL) 223 worldwide Aargau (AG) 211 Zug (ZG) 142 Berne (BE) 84 Research and Investment in property, development plant, and equipment Nidwalden (NW) 55 Geneva (GE) 40 CHF 3.4 bn CHF 0.2 bn Vaud (VD) 29 in Switzerland in Switzerland 38% CHF 8.9 bn 12% CHF 1.7 bn worldwide worldwide 16 17 Sites in Switzerland 7 1 2 3 5 4 1 Basel (BS) 6 Company headquarters Head office of Innovative Medicines Division Research and development Production 2 Schweizerhalle (BL) Production 3 Stein (AG) Production Our sites 4 Schaffhausen (SH) Alcon Grieshaber * 5 Zurich (ZH) AveXis 6 Rotkreuz (ZG) Head office of Swiss business units • Innovative Medicines • Sandoz • Alcon * 7 Fribourg (FR) 8 Alcon Pharmaceuticals * 8 Geneva (GE) Advanced Accelerator Applications (AAA) Alcon Management * 9 9 Locarno (TI) Novartis Pharmanalytica * In 2018, Novartis announced the intention to spin off Alcon, pending approval from shareholders and regulators.
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