Novartis contributed PHP 8 billion to Philippine economy in 2019

Committed to reimagining medicine and discovering breakthrough treatments to improve and extend the lives of Filipinos, and increase their access to quality healthcare.

Novartis is once again privileged to be a major partner of the Filipino people in improving healthcare and contributing to the Philippine economy in 2019. Our commitment to the Philippine economy and social development is reflected in our financial, environmental & social (FES) impact valuation. The FES is our approach to measuring the social and environmental impact our business activities have on society, in addition to our economic value. 

Economic Impact

Our assessment considers ‘economic sustainability’ and ‘innovation’ as the two crucial components of financial impact. These two components are measured to quantify our relevance to national economic wealth. In 2019, Novartis contribution to the Gross Domestic Product was PHP 8 billion. Novartis also has substantial employment impact, wherein our business operations created a total of 9,517 local jobs, including the employment of 488 Filipino associates. On the average, this translates to almost 20 jobs created for every directly hired employee.

Novartis is dedicated to providing continued employment to Filipinos, as well as regional leadership exposure to local talents. Through the Next Generation Scientist program, Novartis has helped to upskill local scientists to support the research and development ecosystem in the country. We have also introduced omni-channel medical engagement to keep our associates and healthcare professionals safe during the COVID-19 pandemic.

As a research-driven healthcare company, Novartis is consistently ranked among the world’s biggest investors in research and development. The company's R&D intensity (the proportion of R&D spending to direct GDP contribution) in the Philippines in 2019 was 4%, exceeding the European Union target of 3%.

Novartis has established Centers of Excellence for clinical trials in hospitals and research institutes, and have active recruiting trials in cardiovascular medicine, immunology and dermatology, respiratory, neurology, nephrology, ophthalmology and oncology. Our strong commitment to R&D is seen in our investment of over PHP 104 million in clinical trials. Additionally, we have collaborated with Asian Eye Institute to generate local health economics and outcomes research.

Social Impact

Novartis continuously strives to contribute to the Filipino society, focusing on the social impact its business operations creates. In year 2019, Novartis was able to bring in close to PHP 5.2 billion in social impact through its products & human capital measured through GDP contribution of healthier people & living wage, training & safety respectively. Of this amount, PHP 4.6 billion was attributed to Novartis’ products, and PHP 615 million to human capital.

Novartis helped achieve 16,277 quality-adjusted life years (QALYs) for 1 million patients across 52 brands, shaping a healthier and more resilient Filipino population.

Novartis continues to be a strong partner to the Filipino healthcare system, through strategic and meaningful collaborations with key stakeholders in the field. We have strengthened local health systems through establishing Heart Failure Clinics, Service Delivery Network, Universal Health Care Forums and Hospital CEO Forums. Our Collaboration to Preserve Sight initiative will help address blindness and vision impairment among Filipinos through patient education and vision screening.

We have supported the nationwide COVID-19 response with a focus on protecting frontline health workers, patients and associates, and expanding testing and treatment capacity of healthcare system. Through the Progressive Alliance Towards Healthy Workplaces (PATHw), we led a change for healthier workplaces and behaviors. Additionally, Novartis Foundation and the Department of Health has co-developed the Leprosy Alert Response Network and Surveillance System (LEARNS) to help reduce delays in leprosy diagnosis and treatment.

Novartis has received Special Recognition for Commitment to Leadership by Aon Best Employers program, Special citation from the Department of Health and Office of the President for contribution to nationwide COVID-19 response, the Outstanding Healthy Lifestyle Advocacy Award by Department of Health, and the Agora Award for Outstanding Achievement in Advocacy Marketing by Philippine Marketing Association.

It is our commitment to continue reimagining medicine and discovering breakthrough treatments to improve and extend the lives of Filipinos, and contribute to the resilience of the Philippine economy amidst challenging times.