Teresa L. Sankner

Head of Talent Management, OD and Talent Acquisition

October 1, 2015

Novartis Pharmaceuticals CorporationLinking Diversity Recruitment to Talent Development

A Shortage of Talent and Expanded Diversity Landscape . . .Requires Rethinking Diversity Attraction & Retention Strategies

67%Of the population will not be able to afford a university education

51%of Biotech/Pharma workers are likely to seek out a new job

38%of all

employees are likely to seek out a

new job

51% of life scienceexecutives report that hiring has become more difficult

Sourcing Retention

By 2025, millennials are projected to make

up 75% of the global workforce.

GLOBAL SHORTAGE IN CRITICAL SKILLS and capabilities.

US Demographic SHIFTS = Significant Increase in DIVERSE Talent

2 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

Companies Are Facing Several Challenges As They Look to Gain an Edge

1

3

2

Culture & Brand Insufficient to Meet the Needs of Multiple Generations

• Targeted development plans and mentoring inconsistent for diverse associates

• Branding/social media presence not defined or interactive with Gen X/Y

Manager Accountability for Diversity

• Driving compressed time-to-fill timelines putting diversity hiring at risk

• Manager gap in knowledge and commitment to diversity strategy

Diversity Pipeline Planning

• Advanced workforce planning and diversity pipelining not a priority

• Relationships with diverse associations inconsistent

Separate Talent & Diversity Strategies

• Diversity seen as an ‘initiative’ vs integrated into ‘how we manage talent’

• Weak pull-through post-hire

4

Key Challenges

3 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

Integrated Talent Management

& Diversity Strategy

Culture Shift – Manager Accountability for Talent Development

Diversity Attraction & Brand Strategy

Onboarding Focused on Diversity & Culture

Diversity Integration with

PMP

Talking Talent

RPORecruitment

ProcessOutsource

Model

Social Media

Microsites & Talent

Communities

Business-Specific Sourcing Strategies

An Integrated Talent, Diversity and Development Strategy Has Been Key to Our Success

Monthly Executive Diversity Forums

Employee

Resource Groups

Diversity Hiring Protocols & Process

Role Model Talent & Diversity Leader

Targeted Developm

ent Planning

2

3

4

4 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

Custom Sourcing Strategies for the BusinessResulted in Doubling of Sourcing Pools

Professional Groups

• Public Accounting Professionals• Tax Professionals in Public Accounting• Women in Leadership-Public Accounting• Public Auditing and Accounting• Certified Public Accountant Group• CPA Public Accounting Professionals• Friends of Public Finance

Active Sourcing

Passive Sourcing

• Open Web• Publications• Talent Community

Professional Associations

• AICPA• American Finance Association• Finance Meet-up Groups• CPA Meet-up Groups• Finance Associations | EPA-

European Finance Association

Social

Diversity

• Nshmba.org – National Society of Hispanic MBA’s• BlackPerspective.com• veteransenterprise.com/blog• Asianmba.org• BlackPerspective.com• Now.org• Women’s Career Networking and Professional

Associations • BayBio• Pharma Diversity Job-Board• MinorityProfessionalNetwork

Top Schools/Finance

• Washington Univ in St. Louis• University of Pennsylvania• Georgetown University• McGill University• College of William and Mary• Boston College• U of Illinois-Urbana Champaign• Hillsdale College

5 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

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External Outreach and Diversity FocusYields Significant Business Outcomes and Brand Impact

Strategic Partnerships

PDN – 7.6% conversation rate

Diversity partnerships from sourcing to mentoring

Hiring Analytics

Diversity “pull through” with stats for each stage of the hiring process

Social Media & Brand

Microsites & Talent Communities

Business Impact:

Diversity pools significantly increased

10,000 ethnically diverse for niche roles

45% increase in Military; 20% disabled; 30% female

46% female hires; 25% diverse hires

Meeting or exceeding market availability

6 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

Embedding Diversity and Inclusion into Our New Hire Process Connects Attraction to Engagement and Retention

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Culture Integration

Team Building/Philanthropy

Cross FunctionalCollaboration

Two-Way Experiential

Dialogue

Diversity & Inclusion

FocusCreation of

the Best START™ On-Boarding Program

BusinessOutcomes

ConsistentCustomer

Experience

Retention andHigh Performance

Accelerated Time to Productivity

New Hire Engagement with a Culture of Diversity

and Inclusion

7 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

12-Month Onboarding Program Provides a Sustainable Way to Pull-Through Our Commitment to New Hires and Diversity

2.5 Day Session/12 month program

Inclusion of Sales and all Functions

Team Building and Philanthropy - packaged 254,610 meals to date

Culture Panel of diverse Novartis leaders rated as 4.5/5.0

Mingling with ERGs

Onboarding Buddies and Mentors

8 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

Diversity and Talent Processes Woven Together – “A New Way of Doing Business”

Monthly Executive Talent Forums

Diversity Integration with Performance

Management

Talking Talent Sessions Integrate Diversity Focused Dialogue

Monthly CEO/EC meetings Spotlight of key diverse talent

Mid-year & Year-end reviews include diverse talent and hiring pulse check

Development planning for diverse associates

PMP objective for all managers to attract qualified diverse candidates reflective of the market

Post calibration diversity lens for succession

“Role Model Talent & Diversity Leader” defined Talent Scout expectations Flexible ‘time-to-fill’ allowing greater diversity sourcing

Manager Accountability And

Expectations Defined

9 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

• Associate-driven development through

CareeRx

• Development ‘Pulse Checks’ to monitor progress 3x yearly

• Expectation that development will occur to enable “ready now” status per Succession Planning timeline

• Learning through others with Mentoring SharePoint

DEVELOPMENT PLANNING DISCUSSION

Targeted role and timeframe: _________________________________________________________________

Key STRENGTHS: _______________________________________________________________________________

Key CAPABILITIES NEEDED to grow into “ready now”:__________________________________________________

1. Development Actions through EXPERIENCE (i.e. complete job changes, job rotations, project participation)

Development Focus Timing and % Time 1. 2.

2. Development Actions THROUGH OTHERS (i.e. social media, learning communities, mentoring)

Development Focus Timing and % Time 1. 2.

3. ASSESSMENTS Kaisen 360 Standout Strengths Assessment (Marcus Buckingham) DiSC Work of Leaders profile PDI / Korn Ferry PDI 2-day assessment Other ___________________

4. Development Actions through FORMAL PROGRAMS

Development Focus Timing and % Time 1. 2.

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Through EXPERIENCE Learn & Develop Through OTHERS

Learn & Develop Through ROGRAMS

• On-the-job experience

• Experiential

• Mentor & coaching • Social • Assessments

• Classroom courses • Reading • Formal

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10 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

Robust Development and Pipeline Planning Expected for Rising Diverse Talents at All Levels of the Organization

An Integrated Talent, Culture and Diversity Pipeline Strategy Treating Our Talent Pipeline as Critical as Our Drug Pipeline

An integrated diversity attraction, pipeline and development strategy is key to long-term success

11 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use

Questions? Comments?

12 | DiversityInc – Linking Diversity Recruitment to Talent Development | Teresa Sankner | October 1, 2015 | External Use