Merit Medical Systems, Inc.
Climate Impact & Sustainability Data (2019, 2020, 2021, 2022, 2023)
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Wellness, Health & Safety
- Compliance & Ethics
- Environmental Sustainability
- Diversity & Talent
- Philanthropy
- Quality Assurance
Environmental Achievements
- Scrape Your Plate program diverted food waste, preventing 1.7 metric tons of CO2 emissions.
- MeritSmart™ Shipping reduced corrugated boxes and plastic bubble wrap by over 100 tons.
- eWORQ program estimated to save 2.8 million sheets of paper and 20,000 plastic sleeves annually.
- Reduced blister packs and film thickness in several products, saving over 20 tons of plastic per year.
- Implemented reusable universal transport trays, avoiding over 1,600 disposable trays per month.
- Electric vehicle charging stations prevented 7,785 kg of GHG emissions.
- Merit Tijuana uses propane-powered buses, reducing emissions by approximately 15% compared to diesel.
Social Achievements
- Added the position of Chief Wellness Officer (CWO).
- Launched 90-day Wellness Challenge with an average weight loss of 16 pounds per employee.
- Expanded wellness programs in Tijuana and Galway.
- Operates on-site health clinics at Salt Lake City and Tijuana.
- Operates a free on-site employee dental clinic at Salt Lake City.
- Five consecutive years of zero increases to employee health insurance premiums.
- Introduced Spanish-Speaking Production Lines at Merit Salt Lake City.
- Celebrates employee service milestones with yearbooks.
- Partners with local school system in Tijuana to provide on-site education opportunities.
- Sponsored annual Kid-to-Work Day.
- Hosted Back-to-School Fair in Tijuana.
- Partnered with Dress for Success Dublin to promote gender equality.
Governance Achievements
- Maintains ethical and responsible policies and practices.
- Compliance and anti-corruption policies ensure interactions with medical professionals benefit patients.
- Compliance is monitored by the Chief Compliance Officer, reporting to a Compliance Committee and the Board of Directors.
- Provided over $400,000 in unrestricted educational grants.
- Conducted a country-of-origin inquiry regarding conflict minerals.
Climate Goals & Targets
Environmental Challenges
- Environmental impact of single-use plastic medical products.
- Reducing greenhouse gas emissions.
- Attracting, developing, and retaining top talent.
Mitigation Strategies
- Increased recycling and reuse programs.
- Implemented sustainable energy programs (e.g., Blue Sky program, electric vehicle charging stations).
- Implemented programs to reduce emissions (e.g., Scrape Your Plate, propane-powered buses).
- Integrated diversity and inclusion strategies into business, recruitment, and internal initiatives.
Supply Chain Management
Supplier Audits: 57 supplier audits in 2019
Responsible Procurement
- Partnering with suppliers that have sustainability goals (e.g., FSC-certified supplier).
Climate-Related Risks & Opportunities
Awards & Recognition
- Shingo Prize (Merit Tijuana)
- 2019 Healthcare Heroes Award (Shingo Institute)
- 2019 Sustainability Leadership Award (Utah Business Magazine)
- 2019 A Giant in our City (Business Intelligence Group)
- 2019 Green Business Award (Salt Lake Chamber)
- 2019 Manufacturer of the Year (Utah Business Magazine)
- 2019 Manufacturer of the Year (Utah Manufacturers Association)
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- COVID-19 Response
- Enterprise Opportunity Management
- Health & Safety
- Diversity & Inclusion
- Compliance & Ethics
- Quality Assurance
- Environmental Sustainability
- Philanthropy
Environmental Achievements
- Four of eight manufacturing sites achieved ISO 14001 certification.
- Recycled more than 15,000 metric tons of waste.
- Reduced corrugated boxes and plastic bubble wrap materials by more than 100 tons per year through Merit Smart Shipping™.
Social Achievements
- Implemented a work-from-home policy for eligible employees.
- Provided additional sick time (pandemic pay) for employees impacted by COVID-19.
- Partnered with various organizations to support low-income women, single mothers, and refugees.
- Established a Women’s Leadership Network in Merit Asia.
- Developed Merit Asia Academy for employee skills development.
- Partnered with NUI Galway Youth Academy and Galway Science Festival.
Governance Achievements
- Improved grant policies and processes to ensure compliance with the US Office of Inspector General.
- Implemented a Global Complaint Management System.
- Deployed a Global Learning Management System.
Climate Goals & Targets
- Not disclosed
- By 2030: 50% renewable energy, 10% reduction in energy intensity, 15% reduction in GHG emissions, 10% reduction in water intensity (all indexed to revenue).
- Complete ISO 45001 certifications at remaining manufacturing sites by end of 2021.
- Achieve ISO 50001 certification at remaining large manufacturing sites by end of 2021.
Environmental Challenges
- COVID-19 pandemic impacted operations and supply chains.
- Water risk varies significantly by operating location.
- Reducing GHG emissions and improving energy efficiency.
Mitigation Strategies
- Implemented new global policies and response teams to address COVID-19.
- Increased production of syringes for vaccine distribution.
- Developed the Cultura™ family of products (nasopharyngeal swabs and media for PCR testing).
- Implemented water-efficiency projects at various sites.
- Set 2030 goals for renewable energy, energy intensity, GHG emissions, and water intensity reduction.
- Implemented ISO 50001 certification for EMS at various sites.
Supply Chain Management
Supplier Audits: 25 audits in 2020
Responsible Procurement
- Supplier selection based on risk assessment, regulatory compliance, supplier performance, and Merit requirements.
- Ongoing monitoring of supplier performance.
- Partnership with FSC-certified supplier for paperboard packaging.
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Energy efficiency and renewable energy investments.
Reporting Standards
Frameworks Used: COSO Enterprise Risk Management, ISO 31000:2018, ISO 13485:2016, ISO 9001:2015, ISO 45001, ISO 14001, ISO 50001, EU MDR, ISO 14971
Certifications: ISO 13485:2016, ISO 9001:2015, MDSAP, ISO 14001 (at four manufacturing sites), ISO 50001 (at Merit Galway)
Third-party Assurance: BSi (for South Jordan, UT facility EU MDR compliance)
Sustainable Products & Innovation
- Merit Smart Shipping™ program
Awards & Recognition
- National Irish Safety Organization Safety Quiz 2020 (Merit Galway)
Reporting Period: 2021
Environmental Metrics
ESG Focus Areas
- Climate Change
- Diversity, Equity & Inclusion
- Compliance & Ethics
- Employee Health & Safety
- Environmental Sustainability
- Product Quality and Innovation
- Philanthropy
Environmental Achievements
- Reduced GHG emissions (scope 1 and 2) by 3,202 MT of CO2e from 2020 to 2021.
- Decreased energy intensity by 9% compared to 2020.
- Decreased GHG emissions intensity by 24% compared to 2020.
- Increased renewable energy usage by 15% compared to 2020.
- Reduced water intensity by 7% compared to 2020.
- Saved approximately 211,000 lb in eliminated packaging materials.
- Recycled more than 20,000 MT of waste.
Social Achievements
- Launched a global wellness program, "Get Healthy."
- Launched North America Women’s Leadership Initiative (WLI).
- Achieved a total recordable injury rate (TRIR) of 0.80, a significant reduction from 1.10 in 2020.
- Maintained zero cost increases to employees for health insurance premiums for seven consecutive years.
- Various diversity and inclusion initiatives across global locations, resulting in 34% women in management and 56% women in the global workforce.
Governance Achievements
- Improved grant policies and processes to ensure compliance with the Corporate Integrity Agreement.
- Enhanced systems and processes to adapt to the changing legal and regulatory landscape.
- Conducted a country-of-origin inquiry regarding conflict minerals.
Climate Goals & Targets
- By 2030: 50% renewable energy, 10% reduction in energy intensity, 15% reduction in GHG emissions (scope 1 and 2), 10% reduction in water intensity (all indexed to revenue).
Environmental Challenges
- Climate change and its impact on global operations.
- Water risk at several manufacturing locations.
- Environmental impact of single-use medical devices.
- Supply chain disruptions.
Mitigation Strategies
- Enterprise Opportunity Management (EOM) program to assess risks and opportunities.
- Implementation of water efficiency projects at various sites (e.g., water recirculation systems, xeriscaping).
- Multi-year project to reduce unnecessary product packaging.
- Increased use of renewable energy.
- Business Continuity Management System (BCMS) to address disruptions.
Supply Chain Management
Supplier Audits: 24 audits in 2021
Responsible Procurement
- Supplier assessments and approvals; ongoing performance monitoring; partnership with FSC-certified supplier for packaging.
Climate-Related Risks & Opportunities
Opportunities
- Energy efficiency and renewable energy investments.
Reporting Standards
Frameworks Used: GRI Standards
Certifications: ISO 14001, ISO 45001, ISO 50001 (at some sites)
Sustainable Products & Innovation
- Smart Shipping program
Awards & Recognition
- 2021 Green Business Award (Utah Business)
- Stevie® Awards for Frontline Medical Hero of the Year (Dr. Nicole Priest)
- 2021 Healthcare Hero (Fred Lampropoulos, Utah Business)
- Top Employer China 2022 award (Merit Asia)
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Climate Change & GHG Emissions
- Environmental Impact of Products & Services
- Diversity, Equity & Inclusion
- Supply Chain Management
- Product Quality & Safety
- Business Ethics/Code of Conduct
Environmental Achievements
- 35% reduction in Scopes 1 and 2 GHG emissions intensity compared to 2020 baseline
- Increased renewable energy share to 26% from 5% in 2020
- Reduced unnecessary packaging by approximately 551,550 lbs
- Recycled more than 3,300 MT of waste
Social Achievements
- Launched first formal employee wellness activities calendar
- Completed first global employee engagement survey with 83% participation
- Created a global Inclusion and Diversity Council
- Improved Total Recordable Incident Rate (TRIR) to 0.7 from 0.8 in 2021
Governance Achievements
- Achieved ISO 45001 certification at all major manufacturing sites
- Approved new iterations of 12 compliance policies
- Developed and adopted a Field Inventory Policy in the US
Climate Goals & Targets
- Decrease energy intensity by 10% by 2030
- Decrease GHG emissions intensity by 15% by 2030
- Decrease water intensity by 10% by 2030
- Increase renewable energy to 50% by 2030
Environmental Challenges
- 12% increase in energy intensity compared to 2020 baseline
- Water scarcity risk at Tijuana, Salt Lake City, and Pearland facilities
- Managing climate change risks and opportunities across global operations
Mitigation Strategies
- Investing in water-efficiency initiatives (xeriscaping, water recirculation systems)
- Developing capital expenditure plans to address future water risks in Tijuana
- Increasing the use of renewable and carbon-free energy
- Implementing programs to reduce emissions from transportation
Supply Chain Management
Supplier Audits: 34 audits in 2022
Responsible Procurement
- Supplier self-assessment questionnaires on ESG initiatives
- Management of modern slavery and conflict minerals risks
Climate-Related Risks & Opportunities
Physical Risks
- Water scarcity
- Extreme weather
Transition Risks
- Regulatory changes
Opportunities
- Increased use of renewable energy
Reporting Standards
Frameworks Used: GRI, SASB
Certifications: ISO 50001 (five of six largest sites), ISO 45001 (all major manufacturing sites), My Green Lab (Merit Ireland R&D lab)
Sustainable Products & Innovation
- Reviewing materials used in devices to find eco-friendly alternatives
Awards & Recognition
- Newsweek America’s Most Responsible Companies 2023
- Top Employer 2022: China
- Utah Business Corporate Counsel Award
- My Green Lab Certification: Merit Ireland R&D
- 2022 Supplier Legacy Award (Premier Inc.)
- Honorary Adjunct Professor (Fred Lampropoulos)
- 2022 Manufacturing Leader of the Year (Fred Lampropoulos)
- National Irish Safety Organization (NISO) Safety Awards: Merit Ireland
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Climate Change & GHG Emissions
- Environmental Impact of Products & Services
- Diversity, Equity, and Inclusion
- Product Quality & Safety
- Supply Chain Management
- Business Ethics/Code of Conduct
Environmental Achievements
- Decreased energy intensity by 20% compared to 2020 baseline.
- Decreased GHG emissions intensity (scopes 1 and 2) by 35% compared to 2020 baseline.
- Increased renewable energy share to 36% in 2023 from 5% in 2020.
- Decreased water intensity by 17% compared to 2020 baseline.
- Reduced packaging materials by approximately 146,000 lbs in 2023 and 600,000 lbs since the inception of the Merit Smart Shipping initiative.
- Recycled approximately 2,500 MT of waste in 2023.
Social Achievements
- Maintained a Total Recordable Incident Rate (TRIR) of 0.8 in 2023, below the industry average.
- Launched EMEA Women’s Leadership Initiative.
- Improved employee engagement scores and participation rate compared to 2022.
- Implemented 500+ local and a global action plan based on employee feedback.
Governance Achievements
- Established a global Inclusion and Diversity Council.
- Continued progress on compliance, including new iterations of compliance policies and a new escalation policy for administrative lapses.
- Expanded compliance team in the Asia-Pacific region.
Climate Goals & Targets
- Decrease energy intensity by 10% from 2020 baseline by 2030.
- Decrease GHG emissions intensity (scopes 1 and 2) by 15% from 2020 baseline by 2030.
- Increase renewable energy to 50% of total usage by 2030.
- Decrease water intensity by 10% from 2020 baseline by 2030.
Environmental Challenges
- Climate-related risks such as drought, severe storms, and rising costs of energy and materials.
- Transition risks from policies affecting other sectors, carbon pricing, and potential litigation.
- Water scarcity at manufacturing locations in Tijuana, Mexico; Salt Lake City, Utah; and Pearland, Texas.
Mitigation Strategies
- Investment in infrastructure resilience and supply chain redundancy.
- Implementation of water-reduction and efficiency projects (e.g., xeriscaping, water recirculation systems).
- Use of the Water Risk Filter to understand basin water risk.
- Engagement with energy providers to purchase more renewable energy.
- Exploration of carbon offset credits.
- Business Continuity and Crisis Management System (BCMS).
Supply Chain Management
Supplier Audits: 46 audits in 2023
Responsible Procurement
- Supplier selection, qualification, and monitoring based on risk.
- Partnership with Sedex to improve supply chain sustainability.
Climate-Related Risks & Opportunities
Physical Risks
- Drought
- Severe storms
Transition Risks
- Rising costs of energy and materials
- Carbon pricing
- New regulations
Opportunities
- Efficient recovery from natural disasters
- Competitive advantage through CAPEX investments in resilience
- Development of climate-friendly medical technology
Reporting Standards
Frameworks Used: GRI, SASB, TCFD
Certifications: ISO 14001, ISO 50001, ISO 45001
Sustainable Products & Innovation
- Review of materials used in devices to find eco-friendly alternatives.
Awards & Recognition
- Barron’s 100 Most Sustainable US Companies 2024
- Top Employer 2023: China
- 100 Companies Inspiring Women
- Utah Business CXO of the Year and CHRO of the Year
- Top 50 Women Leaders of Salt Lake City 2023
- National Irish Safety Organization Safety Awards: Best MedTech Company for High Achiever Award