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Omnicom Group
SUSTAINABILITY REPORT
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LETTER fROm JOHN WREN INTROdUCTION COmmUNITY ENVIRONmENT WORKPLACE GOVERNANCE GOALS
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Creativity. Quality. Commitment.
those words are common ground for the omnicom family of agencies. We are a global collection of 1,500 companies that, by strategic design, thrive on just the right combination of autonomy and alliance. and this cultural foundation underpins all we do for our clients, our shareholders and the communities we share. it wasnt so long ago that most companies viewed the latter part of that equilibrium the community aspect as more social obligation than business imperative. not anymore. increasingly, the measure of a companys value extends beyond the financial bottom line, as performance around nonfiscal considerations has begun to define the truly well-managed enterprise. Considerations like environmental stewardship, contributions to social justice and strong, transparent corporate governance. in short, sustainability in all of its forms is an expanding and increasingly important piece of the global economic conversation. there are growing concerns about the world we will leave for future generations as a swelling chorus of voices are calling for businesses to be smarter and more conscientious in their use of all resources human, economic and environmental. theyre the voices of many stakeholders: from consumers and employees to policymakers and investors, and many more in between. While these stakeholders may come to care about sustainability for different reasons, the reality is that they all care. at omnicom, so do we. omnicom brings together the very best advertising, marketing and public relations companies in the world. We serve 5,000-plus clients in more than 100 countries. that positions us, first and foremost, to drive awareness about the issues we face as a people and as a planet as well as the potential solutions. But the exciting part is the potential of our industry, and our agencies in particular, to use the full range of communications channels advertising, Pr, online, offline to shape meaningful changes in behavior. Were also working to lead by example. in 2009, omnicom harnessed the innovative spirit of our agencies to strengthen our global enterprise. Were focused on supporting the agencies in our network as they nurture a diverse and creative workforce give back to their communities support a culture of integrity and implement smarter, more sustainable business practices to help us tread more lightly on our planet. For instance, over the past few years, weve been measuring, monitoring and managing our environmental footprint through a companywide energy reduction initiative. our goal is to reduce our overall electrical energy consumption 10 to 20 percent from our 2008 baseline by 2013. of course, that will do more than just reduce our energy use. it will have a positive impact on our bottom line, as well. and thats just one of the win-win outcomes that lie ahead. youll hear about more as you read this report. as we move forward in 2011, were committed to building on our successes. and all with one goal: to make a sustainable difference.
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improving the world around us. Thats something that weve been applying our creative talents and financial resources toward for a long time, through our network of more than 1,500 advertising, pr and marketing agencies worldwide.
Those agencies enjoy a lot of autonomy. But were all partners, too. we constantly learn from each other, cultivating a better understanding of critical issues that impact society. And we take the next important step: sharing best practices on how to influence positive change. Sustainability is a prime example. whether its working to reduce energy consumption or striving for a more diverse workplace and supplier base or simply lending a helping hand when friends and neighbors need it most, omnicom agencies are committed to improving the communities we serve, and the world we share. no question about it, consumers are still looking for the products and services that make their lives simpler, richer and more convenient. But a growing number of consumers also want to feel good about the companies they choose to meet their needs. its no surprise that our agencies increasingly are helping clients to make sustainability and corporate citizenship a more visible, tangible aspect of their brand essence. But a commitment to sustainability true leadership in the social, environmental and governance aspects of business is much more than about image. its about doing well by doing good. within our own omnicom ranks, we work hard to maintain a corporate culture that fosters integrity and the highest ethical standards. everyone from the C-suite to the newest hire at one of our agencies is trained on our expectations and culture. weve also developed a global Citizenship and Sustainability policy that articulates our values and establishes standards for business conduct. its a policy built on the four pillars that frame this report: community, environment, workplace and governance. we believe a strong culture of sustainability must go far beyond mere compliance with laws and industry guidelines. its a belief we put into action every day as we make environmental improvements, find new and innovative ways to advance worthy causes and celebrate the power of diversity.
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investing in our Communities is the right thing to do, and its smart Business. aCross the omniCom Family oF agenCies, Were helPing to ensure a Brighter tomorroW By sharing our time, talents and resourCes to strengthen our Communities.
Across the omnicom family, our employees and agencies share their time, talents and resources to strengthen their communities. For us, investing in the places where we live, work, learn and grow is more than the right thing to do its smart business. omnicom Cares, our corporate philanthropic commitment, starts at the top. we try to lead by example by supporting our employees creative and
generous spirit to serve. Collectively, our pro bono campaigns, direct cash donations and employee volunteer efforts make a significant difference in communities around the world. Since 2008, the value of those contributions worldwide is more than $35 million uSd.
giving BaCK
CharitaBle giving
omnicom, together with our family of agencies, has a strong tradition of giving back to our communities.
As the world slowly began to emerge from a global recession, employees at Omnicom and its agencies around the globe continued to remember those in need. In 2009, cash contributions totaled more than $5 million USD ... and that didnt include in-kind donations, service discounts or pro bono work. In 2010, cash donations rose to $6.8 million USD and benefited such causes as Ronald McDonald House Charities, Doctors Without Borders, the Cascade Land Conservancy, Thurgood Marshall Scholarship Fund and the March of Dimes. We take pride in our legacy of charitable giving, and were confident that our agencies generosity will continue through the ups and downs of the business environment.
our donations
Cash ContriButions
Not including in-kind donations, service discounts or pro bono work.
2009
2010
$5m+ $6.8m
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the omniCom grouP and Plan international
Omnicom Groups single most extensive charitable effort has been our support of Plan International, a global development organization that works to alleviate child poverty worldwide. This support has ranged from helping secure water purification products in Zimbabwe to establishing youth training skills in India and Vietnam. Weve provided considerable financial and creative support to such efforts, as well as strategic advice in planning, brand development and cause-related marketing programs. Omnicom employees have also supported Plans global campaign, Because I am a Girl, to fight gender inequality, promote girls rights and lift millions out of poverty. Omnicoms support has been crucial to raising global awareness and resources and differentiating Plan in a crowded, competitive fundraising environment. Our partnership includes three years of financial support, lead generation, materials production and delivery of marketing expertise in support of Plans campaigns. At the core of the effort is our Global Corporate Partnership Engagement Unit (CPEU), a group we brought together to support innovative, crossborder partnerships with multinational corporations. The CPEU has coordinated strategic public relations efforts, assisted with the launch of Plans leading research publication The State of the Worlds Girls and secured membership for Plan at leading business forums including the World Economic Forum, the Clinton Global Initiative and the UN Global Compact. To date, the CPEU has helped develop partnerships with Omnicom clients like Procter & Gamble and PepsiCo and coordinates financial and in-kind commitments from many other leading global businesses. Two Procter & Gamble grants, for example, will provide nearly 3 million gallons of safe drinking water to vulnerable children and families in Zimbabwe and the Sudan.
AGENCY SHOWCASE
1 Fold sQuare PaPer diagonally in halF Both Ways 2 Bring sides together & doWn & Press PaPer 3 Fold leFt, right & toP Corners into Center Point 4 oPen PoCKet By Pulling Bottom Corner uP & Folding along the Crease 5 result oF steP 4 - FliP PaPer over & rePeat 6 unFold & liFt toP layer - Fold edges to middle 7 Fold tWo edges to middle 8 Bring uP Bottom Corners to through Center Fold to maKe neCK & tail 9 Fold doWn tiP oF neCK to maKe BeaK & sides to maKe Wings
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Cone, inc.
Cone, inc. is providing plan uSA with brand strategy advice and communications support.
BBdo uk.
BBdo uk has worked extensively with plan uk on a rebranding campaign, in addition to providing support for Because i am a girl.
FeBruArY
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in February 2010, omnicom appointed Archana kumar (BBdo) as the main point of contact for the global relationship. She delivers strategic marketing and branding assistance and has led the coordination of a marketing workshop for more than 30 plan international offices. Tim love, the driving force behind the omnicom-plan partnership, has visited plan programs in india, provided numerous corporate introductions and spoken at plans global leadership conference on the importance of an aligned and consolidated brand.
disaster relieF
when natural disasters devastate communities, destroy homes and uproot families, the people of omnicom are always ready and willing to step in and help. when devastating earthquakes hit Japan in march 2011 and haiti in January 2010, omnicom agencies responded quickly. our employees provided substantial financial support and worked with clients to provide medicine, water and other supplies and services.
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emPloyees
more than 130 employees from virtually every brand and company in omnicom media group (omg) donated more than $12,500 through the omnicom red Cross website and $523 through other channels. Those funds were matched in full by omg.
i,000
Cranes
employees at BBdo worldwide gave a modern twist to an ancient Japanese legend to spread messages of hope and healing through 1000 Cranes for Japan. read more in our agency showcase on page 8.
$6,750
usd
organic is donating proceeds from the sale of its new ipad app, BroadFeed, to the American red Cross. BroadFeed is a valuable tool that pulls in and prioritizes content that friends, colleagues, experts, organizations and others are sharing, so people never miss the stories they care about.
doremus resident baker and senior project manager Janie Thomas sold her signature amazing js organic cookies for donations to the American red Cross. one sweet idea sparked another a companywide bake sale and second batch of Janies treats raised total contributions to nearly $1,750 uSd, to which doremus added an additional $5,000.
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omnicoms efforts continued into April, when we conducted an imagine brainstorm session. representatives from BBdo, Blue Current, ddB, Flamingo, Fleishman-hillard, interbrand, omnicom, kgA, proximity, rApp, Targis, TBwA and voX global were joined by Japanese political officials, corporate leaders and representatives from leading nonprofit organizations, including Second harvest Japan and the American Chamber of Commerce Japan. This influential group came together to report on what has already been done and discuss new ways for omnicom to support the people of Japan.
emPloyee volunteerism
From our corporate headquarters to agency offices around the globe, our employees are the lifeblood of a culture that believes in the importance of giving back. we are proud of the work, commitment and time omnicom agencies and employees give to our communities whether it is in the form of organizing fundraising events, serving on foundation and nonprofit boards or improving the environment in which children live and play. These efforts make a difference, and we will continue to support and celebrate the efforts of our agencies and employees as they give their time and talents to help others.
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FinanCial leadershiP ConFerenCes
Every year, Omnicom holds three regional financial leadership conferences. In addition to discussing the state of our business, we use these opportunities to unite people from around the world in service. Each year, we select a special project to give back to the community that hosts us for the week. In conjunction with the 2010 Omnicom European Financial Conference, volunteers worked together to revitalize parts of Kids Village on the outskirts of Budapest, Hungary. Kids Village, founded in 1957, is an orphanage that sits on 40 hectares of public park land and provides a refuge for boys and girls of all ages, abilities and nationalities. Omnicom volunteers painted murals, moved and assembled furniture, planted gardens and built an outside play area, small animal enclosure and World Compass garden. Omnicom also made a cash donation of $80,000 that was used to purchase a transport van for disabled children. During our 2010 Americas Financial Leadership Conference in Las Vegas, Nev., nearly 150 Omnicom volunteers came out to support St. Judes Ranch for Children, a home and healing center for abused, abandoned and neglected children in Boulder City, Nev. We partnered with teams from Care Force, Hello Las Vegas, Perini Building Company and local and national sponsors to replace damaged or missing light fixtures and ceiling tiles, remove trash and weeds from the property, re-organize donation areas and provide new computers and furniture for the classroom. Omnicom also contributed $80,000 to help the ranch continue work towards its mission. During the 2010 Asia Pacific Financial Leadership Conference in April of 2010, the group came together to support Nur Salam, a 24-hour drop-in and crisis center in the Chow Kit district of Kuala Lumpur. Through an auction and a volunteer clean-up service project, we raised more than $11,000 USD to help fund essential programs. Nur Salam opened in 2001 as a daycare center, but now serves more than 460 children most after school and on weekends and helps them grow into happy, healthy, productive adults.
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AGENCY SHOWCASE
more than 52,000 FaCeBooK Fans & nearly 500 FolloWers on tWitter.
donning bright red jackets, the el Balad Baladna team spent Saturday, February 19, painting over graffiti and scrubbing the street, sidewalks and walls. TBwA secured its client henkel (in particular its persil detergent and pril dishwashing liquid brands) to sponsor the day of service and provide needed cleaning supplies, tools, paint, brushes and trash-removal equipment. working with omd as the main media arm, TBwA produced print ads, several advertorials and web banners. TBwA and ddB created two Tv spots that were broadcast on egyptian television, and the Al Balad Baladna project has been featured in international trade publications, including Advertising Age. As of April 2011, six additional events had taken place to improve other Cairo neighborhoods. TBwA continues to support this effort through text messages and by engaging the efforts more than 52,000 Facebook fans and nearly 500 followers on Twitter (@elbaladbaladna).
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We KnoW our Business, liKe every Business, imPaCts the soundness oF the Planet. so Were WorKing more eFFiCiently and aCtively loWering greenhouse gas emissions aCross our oPerations. Were measuring and monitoring our energy reduCtions and emPoWering our emPloyees to Be good steWards oF the environment. and Were Providing strategiC CounCil to 1,500 organizations around the World, helPing shaPe and guide their sustainaBility eFForts.
given our scope as one of the largest advertising, marketing and communications service providers in the world, we at omnicom recognize that our business impacts the planet. Thats why we are measuring, monitoring and reducing energy consumption in our offices and encouraging our employees to be good environmental stewards. we started measuring our carbon footprint in 2008. And based on that data, were also working more efficiently to reduce greenhouse gas (ghg) emissions across our operations. in fact, weve
set an aggressive goal to reduce overall energy consumption 10 to 20 percent from that 2008 baseline by 2013. in addition to reducing our impact at the corporate level, our more than 1,500 agencies have specific, focused initiatives to reduce their own environmental impact. many also provide strategic counsel to help shape the sustainability efforts of their clients, which include corporations, government agencies and nonprofits across the globe.
environmental management
environmental governanCe and PoliCies
At Omnicom, our commitment to sustainability starts at the very top. Omnicoms Senior Executive Management Team, including our CEO and CFO, are engaging the effort to measure and reduce Omnicoms carbon footprint and developing strategies to reduce our environmental impacts. They are also responsible for approving the implementation plan, monitoring results and reporting to our Board of Directors.
first-step energy analysis, on a per-building basis. ENth Analyze-IT reports provide full energy-use profiles that help us create and prioritize energy-reduction action plans. They also aid our energy procurement process by providing comparable rate structures. > Seven Utility Management. Seven Utility Management provides Omnicom procurement analysis and advice for the U.S. energy market, to ensure Omnicom obtains the most advantageous utility contracts based on terms and conditions available in the marketplace. > McKinnon & Clarke. To assist with our energy reduction efforts in the United Kingdom, Omnicom is working with leading global energy consultancy McKinnon & Clarke. The company provides energy procurement analysis and assists us in meeting the objectives of the U.K.s Carbon Reduction Commitment.
sustainaBility ProCurement
Strategic Alliance Services (SAS) is Omnicoms strategic sourcing division and coordinates various preferred vendor programs. Preferred vendor partners provide solutions and options to enable our agencies to develop, implement and manage strategic sourcing to meet their sustainability goals. From recycled paper, to energy-efficient lighting, to workflow management improvements, the SAS programs help connect agencies with more sustainably sourced, ethically produced and environmentally responsible options. SAS also provides information about preferred vendor environmental policies to assist Omnicom agencies in meeting their own sustainable procurement and purchasing goals.
u.K. eFForts
Since October 2009, Omnicom has actively been working with around 40 agencies in our U.K. network comprising more than 130 office sites to collect data and prepare reporting information for the United Kingdoms Carbon Reduction Commitment (CRC) Scheme. CRC is designed to help the U.K. achieve its overall target of reducing carbon emissions and provides financial incentives for companies to reduce energy consumption. Data collected is used to produce league tables that enable companies to compare their energy-saving efforts with those of their peers. Omnicoms participation in this process has benefitted agencies across our global network by providing smarter data collection, increased awareness of emissions reduction needs and greater sharing of best practices.
CollaBoration
We have reached out to experts in the field to help us refine and strengthen our environmental efforts. These third-party partners help us arrive at a more complete picture of our total corporate energy consumption levels and identify reduction strategies. Partnerships include:
> ENth Energy. ENth Energy is informing Omnicoms global energy audit by providing
CarBon FootPrint
Climate change is one of the most pressing challenges of our time. To help meet that challenge, global enterprises like omnicom must do our part to reduce greenhouse gas (ghg) emissions and lessen our environmental impact. Advertising agency TBwA paved the way by conducting an energy assessment in 2007. Soon after, it successfully launched an organization-wide emissions reduction target. The initiative proved so successful omnicom used TBwAs model to implement a companywide plan to affect change both at the corporate level and across our global network of agencies.
our FootPrint
ghg sCoPe i
Direct emissions from use of natural gas, fuel oil and company-leased vehicles
ghg sCoPe 2
ghg sCoPe 3
2008
72,445
I00,830
I62,0I9
335,294
2009
64,242
97,I97
I3I,424
292,863
20I0
34,749
83,418
I42,991
26I,I58
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energy from renewable sources. As agencies sign new contracts for electricity, especially in our European offices where an open electricity market forces competition, theyre increasingly creating carbon-free and carbon-neutral solutions. While one may be tempted to look at the data in our footprint and calculate year-over-year reductions, it is important to note some of the other factors that have influenced our emissions numbers. For example, in 2009, we closed one of our corporate offices in Detroit, which reduced our footprint considerably. In addition, Omnicom acquires and divests companies each year and while that practice in and of itself may not create a dramatic shift in our actual emissions, it does impact our emissions reporting, sometimes significantly. For example, Omnicom divested Gavin Anderson & Company in 2010, along with several other companies, and acquired several smaller firms. The sizeable footprint created by Gavin Anderson and the other divested companies was erased from the books immediately. The newly-acquired firms do, however, take some time before coming online with our emissions reporting system. As a result, some of them are not factored into our 2010 numbers. Thats a long way of saying that we recognize the importance of accuracy and transparency in our reporting, and therefore work diligently to collect and track data in as uniforma manner as possible, recognizing the fluctuations in our portfolio.
methodology
while this may seem like the fine print, its very important to us to get this right. Thats why, to calculate our carbon footprint, omnicom uses the guidelines established by The greenhouse gas protocol initiative (a partnership between the world resources institute and the world Business Council for Sustainable development). while we have 1,500 agencies, many of them co-locate and share leases. we gather data from around 1,000 separate locations to calculate our Scope 1, 2 and 3 level emissions. we then convert the gathered information into our carbon emissions total (measured in metric tons) using formulas provided by ghg protocols. we recognize the potential for human error with such a large number of individuals gathering and inputting data globally. To minimize misreporting, we validate against financial data, such as electricity and travel costs. we know that agency costs in those fields should also be accounted for in ghg reporting. if we notice gaps, we are then able to follow up with the agency directly. we collect our electricity consumption data in: a) kilowatt hours (kwh); b) cost in uSd and c) office space in square meters. our corporate real estate department is conducting an on-going analysis on properties directly leased by omnicom to determine energy efficiency on a property-by-property basis in those locations where omnicom pays the direct electricity costs and has the ability to measure and monitor electricity usage. we use this data to rank properties by level of energy efficiency on two key data points: kwh cost per rentable square foot, and kwh cost per headcount.
euroPe
asia PaCiFiC
totals
SCOPE 2
indirect emissions
SCOPE 3
other indirect emissions
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omnicom is working with our networks and agencies to reduce our environmental impacts, especially when it comes to energy consumed for electricity. Although specific energy targets are determined by each agencys overall usage, omnicom aims to reduce overall consumption 10 to 20 percent from our 2008 baseline by 2013.
start with smart, low-cost changes, such as shifting employee electricity consumption behaviors and encouraging small but important energy improvements, such as installing energy-efficient lighting and power strips for office equipment.
lighting
we have special lighting efforts, designed to reduce the impact our commercial buildings have on global Co2 emissions. At the most basic level, weve taken steps reminding people to turn off office lights at night and power-down computers. we also encourage agencies to replace incandescent lights with more energy efficient compact fluorescent lights and to use task lighting, dimmers, sensors and timers, lighting configurations and natural light to reduce energy use.
training materials.
we offer a series of resources to support our energy reduction initiative, including a Quick Start Checklist that provides a starting point for agency directors and their designees. These are also available to agencies at any time through omnicomlink.
we know that many of our agencies around the world are using these tools already, but we dont yet know about them all. one of our goals going forward is to better capture information about individual agency efforts.
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AGENCY SHOWCASE
U.K. Efforts Since October 2009, Omnicom has actively been working with around 40 agencies in our U.K. network comprising more than 130 sites to collect data and prepare reporting information for the United Kingdoms Carbon Reduction Commitment (CRC) Scheme. The CRC Scheme is designed to help the U.K. achieve its overall target of reducing carbon emissions and provides financial incentives for companies to reduce energy consumption. Data collected is used to produce league tables that enable companies to compare their energy-saving efforts with that of their peers. Omnicoms participation in this process has benefitted agencies across our global network by providing smarter data collection, increased awareness about emissions reduction needs and greater sharing of best practices. Collaboration individuals us refine and strengthen businesses turned their We have reached out to experts in the field to helpand more than 2,000 our environmental efforts. These thirdlights off to take a stand against our total corporate energy party partners can help us get a more complete picture of things, including climate change. Today, consumption levels, and identify reduction strategies. Partnerships include: a global sustainability movement earth hour has become ENth Energy. ENth Energy is informing Omnicoms global energy audit by providing first-step energy that asks people to turn out the lights for a single hour analysis, on a per-building basis. ENth Analyze-IT reports provide full energy-use profiles that help us create and a simple act with powerful results. prioritize energy-reduction action plans. They also aid our energy procurement process by providing comparable rate structures. For the past two years, Fleishman-hillard has provided Seven Utility Management. Seven Utility Management provides Omnicom procurement analysis and advice for the U.S. energy market, to ensurepro bono support for earth hour as part ofcontracts based on terms and Omnicom obtains the most advantageous utility the companys conditions available in the marketplace. global commitment to the environment. led by the team McKinnon & Clarke. To assist with our energy reduction efforts in the United Kingdom, Omnicom is workin Australia, Fh offices in dubai, germany, Japan, russia, ing with leading global energy consultancy McKinnon & Clarke. The company provides energy procurement analysis Scotland, the united kingdom and the united States and assists us in meeting the objectives of the U.K.s Carbon Reduction Commitment.
helped secure record-breaking media coverage. They led corporate and community engagement efforts, developed supporting materials for media outreach and events, conducted online editorial outreach, provided strategic counsel on celebrity endorsements, and coordinated logistics at major lights out events. Fh built upon the 2011 theme Beyond the hour by encouraging people to continue their commitment throughout the year, and the message resonated throughout the media coverage. preliminary results show ground-breaking participation worldwide, attracting more than 1.5 billion people from 136 countries and territories and more than 5,000 cities.
AGENCY SHOWCASE
1 2 3 4 5
Turn oFF AnY deSk lighTS iF Youre going To Be AwAY From Your workSTATion For more ThAn 20 minuTeS. iF You leAve The oFFiCe For more ThAn A Two-hour period, power down Your CompuTer CompleTelY. uSe onlY Two pAper TowelS per dAY. when You leAve Your oFFiCe For The dAY, Turn oFF heATerS And CloSe windowS. iF Youre AwAY From Your deSk longer ThAn 30 minuTeS, Turn oFF Your moniTor.
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our PeoPle are the very Best at What they do. and We WorK exCePtionally hard to attraCt and retain them. its imPortant to us that our WorKForCe reFleCts our gloBal Community Featuring diverse BaCKgrounds, exPerienCes and PersPeCtives. sParKed By a WorKing environment Where everyone Can aChieve their utmost Potential, the result is extraordinary Creativity and suPerior serviCe.
omnicom agencies around the world place a high priority on being among the best employers in the industry. That includes attracting, advancing and retaining the best and brightest talent in the business. And, our agencies clients directly benefit from the global perspective and exceptional creativity that flow from the diverse backgrounds and experiences of more than 65,000 employees worldwide.
we are committed to using best practices and tools for recruiting and retaining a workforce that reflects our global community. By attracting the best talent from diverse backgrounds and experiences, our globally recognized and locally managed brands provide unique perspective and extraordinary creativity and services to their clients. we foster a working environment where all employees can achieve their greatest potential.
our professional development programs are the glue that binds omnicom together and are an essential differentiator between us and our competitors. we bring our best professionals together in an interdisciplinary learning environment that not only boosts morale and lowers turnover but also creates connections across the network that result in new partnerships and business development.
omniCom university
Each year, Omnicom invests more than $1 million in professional development for our agencies leaders through Omnicom University. Founded in 1995, the University claims more than 2,400 global alumni from the Senior Management and Advanced Management Programs. Established in conjunction with a Harvard School of Business (HBS) faculty member, Omnicom University is considered one of the preeminent management development programs. The format is based on the HBS case study method and is led by professors from HBS, Babson College, China Europe International Business School (CEIBS) in China and IESE Business School in Spain. Since its inception, case writers have developed a library of more than 170 real world case studies that highlight the challenges and opportunities faced by Omnicom business leaders around the world. To keep the program fresh and vibrant, new elements are added to the curriculum each year. Omnicom continues to increase access to leadership programs around our network. In 2011, sessions are planned in Shanghai, China and Milan, Italy. Omnicom University also is in discussions to offer our Advanced Management Program in other markets in APIMA (Asia Pacific India Middle East Africa) in 2012.
mBa residenCy
Omnicom offers an MBA Residency program to attract the best and brightest talent to the upper levels of the advertising and communications industries. Each year, Omnicom welcomes a class of MBA residents selected from top-tier business schools based on academic merit, experience and personal strengths. Over the course of one year, MBA residents cycle through positions in four major disciplines of the industry: advertising, media, strategy and digital. This rotational structure offers residents the benefit of a holistic exposure to the marketing industry. Each resident is also paired with an Omnicom Group mentor who provides significant personal support and attention during the program. Participating Omnicom agencies benefit from the residents multi-disciplinary perspectives and also have the opportunity to evaluate each candidate as a potential full-time employee. Approximately two-thirds of MBA residents are offered full-time positions at Omnicom agencies at the conclusion of the program.
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talent has no color. all of my recruitment conversations start with talent in mind and then focus on achieving our diversity goals.
tiFFany Warren
diversity
omnicom supports organizations and initiatives that encourage diversity across the advertising and marketing industries. we continue to cultivate and attract talent from diverse backgrounds through programs such as the omnicom medgar evars Associate program. we encourage personal growth and industry retention through our involvement with the AdColor industry Coalition and other programs that celebrate the strengths of a diverse, global workforce. omnicom adds value to client interactions through internal resources such as the omnicom diversity initiatives group and the omnicom Supplier diversity database.
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adColor
The AdColor industry Coalition was founded in 2005 to support and inspire professionals of color and diversity champions within the advertising, marketing and media industries. The coalitions primary initiative is the AdColor Awards, an annual program that honors outstanding diverse professionals at the junior, mid and senior levels of the industry. honorees are selected based on their personal contributions as well as their efforts to open the door for other highpotential, diverse professionals.
years
this year, adColor marks its fifth anniversary with a number of new initiatives, including:
official status as a 501(c)(6) trade association lighting up the reuters building with the adColor logo extending the impact of the annual awards year-round with a series of content seminars and professional networks to benefit diverse ad professionals and their supporters hosting a special fifth anniversary awards ceremony at Beverly hilton in hollywood, Calif. (watch Queen latifahs acceptance speech at the 2010 adColor awards).
aWards sPotlight
adColor is a Brand that stiCKs With youit means something aBout Who you are, rather than Just something youve done. its a great, great Feeling.
Jd miChAelS
Svp director of Creative engineering, BBdo new York and two-time AdColor Award winner.
The omnicom diversity initiatives group (dig) is a group of 23 omnicom agency representatives that meet monthly to share best practices and develop tools to efficiently and effectively incorporate diversity and inclusion initiatives at omnicom offices. Among digs 2011 efforts is a new management and inclusion workshop launching in July. The multi-day seminar will help arm leaders across the network to recruit and support talent from diverse backgrounds by creating a welcoming and receptive workplace environment.
osdi
Omnicom also has taken a leadership role in supplier diversity by developing the Omnicom Supplier Diversity Initiative (OSDI). OSDIs first initiative was to launch the Omnicom Supplier Diversity Database (OSDD) in 2010 to expand access to diverse suppliers across our global network of agencies. The database currently includes more than 900 minority- and women-owned vendors. It serves as a resource for Omnicom agencies to spur collaboration with clients and the supplier community, and successfully utilize mutually beneficial business relationships that help meet Omnicoms internal diversity goals as well as those of our clients.
g23
In 2008, Omnicoms most senior female executives and distinguished thought leaders founded G23 a global strategic insights consultancy focused on the economic and social impact of women in a global economy, and activating them on behalf of our clients. Just one year after the launch, the group released ground-breaking global research data that organized the women of the world into eight tribes based not on geographic location but on their Economic Power Index. In 2010, the group provided updated research that highlighted the changes in womens roles as we emerge from the global recession. G23 works with some of Omnicoms largest clients to mine the deep insights which lay the foundation for more meaningful engagement and dialog with women in all their life stages.
Women in leadershiP
Every time a woman within Omnicom hears or reads about G23, I get a phone call or e-mail, asking if they can join. That says to me that there are great opportunities to foster and sponsor that lift women of Omnicom to do great things and become our future leaders.
Janet Riccio, founding partner of G23
62%
Across omnicoms u.S. network 62% of managers and professionals are female or minority male employees.
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AGENCY SHOWCASE
amv BBdo
Amv BBdos Farah ramzan golant was awarded the Commander of the order of the British empire (CBe), Britains highest honor, on new Years eve 2010 in recognition of her contributions to the advertising industry. The award is typically presented to leaders in business and public sector, rarely to individuals in advertising and communications. ramzan golants award speaks to the increasingly important role advertising and communications have in the global economy and the unique culture ramzan golant has fostered as the leader of Amv BBdo.
What attracted me to amV in the first place Was that its an agency founded on creatiVity and friendship and in that respect nothing has changed since i first joined the firm in 1990,
ramzan golant said.
But, of the many things that have changed over the last 21 years, one thing certainly is evident. Abbot, mead and vickers the companys founders were all men. now, more than half of the companys board is women. i sometimes say, sarcastically, that the future is female, ramzan golant said. many of our most senior clients are women, and i see more evidence in their corporate boardrooms of the need for collaboration and building relationships of trust, not just performance. These are areas where women have natural talents. But ramzan golant is as focused on advancing womens careers so much as on attracting and rewarding the best talent. The Amv BBdo team is young the Coo is just 35 and the Ceo was a graduate intern just 15 years ago. And they deliver. This year, Amv BBdo is celebrating its 30th anniversary with Britains grocery chain Sainsburys as well as more than 20 years representing British Telecom and 25 years with The economist. what weve achieved is not some mad men-type agency where youre expected to do time before you are rewarded, ramzan golant said. we are a workplace where individual aptitudes and capabilities are nurtured and where people are encouraged to step forward with their ideas.
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integrity and resPonsiBility guide all our aCtions. We are Committed to the highest ethiCal standards and We aBide By the laWs and PrinCiPles that govern our Business. and Were diligent aBout Continually revieWing and strengthening our PoliCies and PraCtiCes, helPing our Family oF ComPanies maintain the highest standards.
omnicom is a global company respected for our ethical business practices and valued as a community and environmental partner. we are committed to the highest standards of integrity, ethics and personal and corporate responsibility, and we closely adhere to the laws and regulations that govern our business.
The omnicom culture fosters ethical leadership and promotes ethical behavior at all levels of our company. we strive to continually review, renew and strengthen our policies and practices to help our agencies uphold the highest standards of integrity and responsibility.
leadershiP
CorPorate governanCe guidelines
We believe that transparency in corporate governance contributes significantly to ensuring that our actions measure up to our high ethical standards. Thats why we have made our Corporate Governance Guidelines including our guidelines on ethics available online. Further, we have established a system that enables interested parties to communicate confidentially and anonymously with our Board of Directors, or with any individual Director or Board committee.
Board oF direCtors
Our Board of Directors is structured with an eye toward ensuring true independence. Ten of our 12 Directors meet the SECs definition of independent, helping to ensure that our shareholders can rely on the Board for unclouded judgment and guidance and that the Board holds our executives accountable for responsible governance and performance. Other than compensation for their service as Board members, the 10 independent Directors receive no direct or indirect benefits from Omnicom or any of its subsidiaries.
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AGENCY SHOWCASE
U.K. Efforts Since October 2009, Omnicom has actively been working with around 40 agencies in our U.K. network comprising more than 130 sites to collect data and prepare reporting information for the United Kingdoms Carbon Reduction Commitment (CRC) Scheme. The CRC Scheme is designed to help the U.K. achieve its overall target of reducing carbon emissions and provides financial incentives for companies to reduce energy consumption. Data collected is used to produce league tables that enable companies to compare their energy-saving efforts with that of their peers. Omnicoms participation in this process has benefitted agencies across our global network by providing smarter data collection, increased awareness about emissions reduction needs and greater sharing of best practices. Collaboration ketchum has always had a strong commitment to ethics We have reached out to experts in the field to help us refine and strengthen our environmental efforts. These thirdparty partners can help us get a more complete picture of things, including our total core skillenergy consumption and has made ethical decision-making a corporate of all its levels, and identify reduction strategies. Partnerships include: employees through training, leadership development and ENth Energy. ENth Energy is informing Omnicoms global energy audit by providing first-step energy practical guidelines to ensure that business is conducted analysis, on a per-building basis. ENth Analyze-IT reports provide full energy-use profiles that help us create and with the highest level of transparency and responsibility. prioritize energy-reduction action plans. They also aid our energy procurement process by providing comparable rate structures. in 2005, firm leaders collaborated with Trust, inc. author Seven Utility Management. Seven Utility Management provides Omnicom procurement analysis and advice for the U.S. energy market, to ensureCarol osborn and marketing communications law experts terms and Omnicom obtains the most advantageous utility contracts based on to conditions available in the marketplace.develop a unique training program based on osborns McKinnon & Clarke. To assist with our energy reduction efforts in the United Kingdom, Omnicom is workleAp model. ing with leading global energy consultancy McKinnon & Clarke. The company provides energy procurement analysis and assists us in meeting the objectives of the U.K.semployees complete the core training and are All ketchum Carbon Reduction Commitment.
tested on their understanding of the content. They also then complete an annual ethics certification program. ketchum updates its training materials regularly through online video-based training courses, which outline evolving policies that affect the companys work and its clients. To date, the company has 100 percent compliance. As further evidence of the firms commitment to ethical practices, ketchum shares best practices with its clients via webinars and in-person meetings. The company also shared the model with other agencies through a special training program held in conjunction with the Council of pr Firms.
Learn everything you can | evaLuate your oPtionS | acceSS your intuition | Put your DeciSion into action
internal PraCtiCes
omnicoms directors, officers and employees are required to comply with our Code of Business Conduct. omnicoms Code of Business Conduct sets the foundation for how we should do business on a day-to-day basis. while no document could possibly cover every ethical question that might arise, the Code of Business Conduct provides guidance on some of the conduct issues that are critically important to us. The Code of Conduct covers topics such as our commitment to comply with anti-corruption and bribery laws wherever we do business, our prohibition of insider trading, our duty to advance our employers legitimate interest and our commitment to equal opportunity.
For more information about our proxy statement, internal control line, committee oversight and other internal practices, please visit the corporate governance section of our public website.
our goAlS
TAke A peAk AT Some oF our FoCuS AreAS.
WorKPlaCe
goals
develop mutually advantageous business relationships with suppliers of various goods and services
20i0 Progress
Increased the number of diverse students participating in programs offered by Omnicom agencies
20ii Plans
Continue to increase the number of diverse students participating in programs offered by Omnicom agencies
foster opportunities to encourage diverse students to learn and work in the communications industry
Began vendor selection process by collecting information on diverse vendors and related disbursements
Begin project development on a diverse vendor spend with a collection of partners through a new disbursement analysis system
Supported 2010 AdCOLOR awards, highlighting the coalitions upcoming 5th anniversary Highlighted, through internal communication, agency implementation of successful diversity and inclusion programs
Highlight, through internal communications, agency implementation of successful diversity and inclusion programs
Continued our multi-million dollar investment in professional development programs and diversity programs
Hold Omnicom University classes in China and Europe and continue to discuss opportunities to offer Advanced management programs in India, beginning in 2012
governanCe
goals
In every interaction, treat people with respect and honesty
20i0 Progress
Updated on public website all global citizenship and sustainability policies
20ii Plans
Continue to identify, distribute and counsel agencies on best practices for training on integrity and good governance Update and expand the companys Code of Conduct
Released the first update to Omnicoms Global Citizenship and Sustainability Report
environment
goals
Reduce electricity consumption 10 percent to 20 percent from 2008 baseline
20i0 Progress
facilitated continuous energy efficiency improvements by acting as an energy efficiency resource for agencies
20ii Plans
Encourage and support creation of local sustainability committees to promote energy reduction, recycling and sustainable practices at the local office level Continue to promote sustainable business practices in office reuse and recycling, customer interactions and employee behaviors, such as public transportation incentive programs Expand efforts to help our agencies meet their sustainability goals through our strategic sourcing division, SAS, which helps connect agencies with more sustainably sourced, ethically produced and environmentally responsible options
develop more opportunities for green procurement and recycling for agencies
Supported the Omnicom Energy Reduction Team members from across the network
Partnered with an energy specialist to provide a detailed analysis of electricity consumption at the most inefficient properties Evaluated procurement activities and considered sustainability requirements for purchased and leased equipment Collected information to comply with U.K.s Carbon Reduction Commitment
Community
goals
Coordinate opportunities for Omnicom employees to use resources and talents to assist communities
20i0 Progress
Coordinated service projects at financial conferences in Las Vegas in the United States and Budapest, Hungary which drew more than 200 volunteers each Established the Chief diversity Officers leadership role in AdCOLOR Awards ceremony
20ii Plans
Organize pro bono and service activities for each financial Leadership Conference
manage and update central location for agency pro bono and community giving
Build global participation on Omnicom Cares website to encourage and highlight community work Continue our support of Plan International, which works to alleviate child poverty worldwide
Set-up a matching donation effort through the Red Cross to aid victims of the Japan earthquake and tsunami Agencies contributed more than $6.8 million to a number of worthy causes around the globe, along with millions in pro bono work to local communities
omnicom group inc. 437 Madison ave. new york, ny 10022 www.omnicomgroup.com