Sai Life Sciences Sustainability Report 2023

33 Striving for excellence in manufacturing to contribute to sustainability impact We are engaged with our customers and part of Manufacture 2030 and are committed to strong climate action in our journey of bringing medicines to life, cleaner and greener. The Task Force is taking scalable action to collectively address emissions across supply chains, patient care pathways, and clinical trials. It has set joint, minimum climate and sustainability targets for suppliers to address emissions across the value chain and reduce the complexity of multiple asks and platforms. These joint, minimum supplier targets are as follows: • Assess and disclose Scope 1, 2, and 3 emissions by 2025 • By 2025, commit to set near-term targets aligned with the 1.5 degree pathway (SBTi) • By 2025, set targets to reduce waste (including solvents) and energy and reuse materials in manufacturing • Commit to switch to at least 80% renewable power by 2030 and make commitment public • By 2030, explore options to source green heat • Transport suppliers to make SBTi-aligned commitments by 2025 and include green transportation solutions in their core offering by 2030 • Commit to set standards for own suppliers • Set targets to increase water efficiency and commit to adopt water stewardship standards healthcare supply chains become greener, more efficient and circular. This is a major step taken to decarbonise healthcare supply chains and accelerate the transition to net zero, patient-centric health systems. Global pharmaceutical companies - AstraZeneca, GSK, Merck, Novo Nordisk, Roche, Samsung Biologics and Sanofi have united with the World Health Organization (WHO) to form a health systems Task Force called as “Sustainable Markets Initiative”. We are a valued partner and committed to make SFTI - A game changing sustainability commitment Building a culture of customer centricity The Shop Floor Transformation Initiative (SFTI) is a defined set of objectives and measures aimed at greater sustainability by improving material efficiencies and making processes simpler, safer and nimbler in manufacturing. It is a transformational approach to bring customer centricity at the frontline in daily management practices. Beyond measurable metrics, SFTI imparts intangible, intrinsic values such as a spirit of ownership and collaboration, which are our core values. Key Metrics Measurement • Monitoring the key metrics under Productivity, Quality, Cost, Delivery, Safety and Morale (P-Q-C-D-S-M) • Gap analysis through structured problem-solving tools Grass Root Team (GRT) • Identification of abnormalities in the shopfloor by executives work for solutions • Standard visual management and closure of actions Lean Audit • Auditing entire shopfloor biweekly with defined 5S checklists • Identifying the Opportunity of Improvements (OFI) • Cross Functional discussion and support to close the OFIs Daily Work Management • Daily meeting on shopfloor • CFT participation and discussed on the issues and solution • Engage shopfloor level employees in root cause analysis & improvements 5S and Standardization • Trained shopfloor team on housekeeping and 5S practices • Implementing multiple small improvements like Single Point Lesson (SPL), 5 Why analysis, Poka-yoke SFTI R&R • Rewarding best SFTI team for the month • Highlighting SFTI champion and rewarding them • Engaging and motivating employees to achieve best performance

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