peer awards

1. People Integration:
Ensuring Fairness &
Equal Opportunity

2. Our Story…
Established 238 years ago in Japan,
Takeda has been serving society with
innovative medicines and helping
patients reclaim valuable moments of
life from illness and become one of the
world’s leading companies. In January
2019, Takeda has completed its £46
billion-acquisition of Shire, a deal that
took just eight months to see through
from announcement to close.
The merge has created a global, value-
based, R&D-driven biopharmaceutical
leader headquartered in Japan, making
the 238-year-old drug company one of
the world’s ten biggest pharmaceutical
companies.

3. Following the Shire acquisition on 8th
January 2019, Takeda rang the openning
bell at New York Stock Exchange and listed
on the NYSE. It was an amazing moment
for all Takeda employees.

4. 4
The deal closure was just the beginning of a
challenging integration. A major acquisition is
not only an opportunity to achieve synergies,
but also a valuable “moment in time” to bring
about true change. If change is uncomfortable,
a transformational change is even more so.
While obviously exciting, we also realized that
this particular moment in time is probably a
little unsettling for many of us, too. It was
very critical to reassure our people that we
are committed to building the new company in
the best way possible, with the right mindset
of integrity, fairness and inclusiveness.

5. 171 roles were duplicated in ICMEA region due to
acquisition and we had to manage a very critical talent
selection process for the duplicated roles

6. TRUST
Trust is the foundation of any organization and it is even more critical
during integration times. Talent selection is the most challenging
initiative of an integration. It was essential for us to maintain the trust
in the organization by implementing a talent selection process which
gives equal opportunity both legacy employees and strongly assures
transperancy, objectivity and fairness in the process.

7. Essentials of People Integration
Integrity Fairness Honesty Perseverance
We take action and make decisions by focusing on our values in this order:
02
Building trust
with society
01
Putting the patient
at the center
03
Reinforcing
our reputation
04
Developing
the business
Our long history since 1781 has shaped the values that are
fundamental to the success of Takeda in the long term and they were
the essentials of our people integration process and talent selection.

8. 3. Legal
Review
4. Transparent
Communication
1. Objective
Criterions and
Assessment
2. Calibration
by Panel
Guiding principles for a consistent
and fair selection process

9. 1. Objective Criterions and Assessment
• Is talent selection
needed for this part
of the
organization?
1
Yes, talent selection needed
• This part of the organization has
synergies or has been restructured as
part of the integration
No, talent selection NOT needed
• No change to organization or talent
• Will talent be
selected as a group
or on an individual
basis?
2
Group selection – high-level selection
based on specific criteria
• Strategic business decision (e.g., site
closure, move to business services)
• Interchangeable skillset where
reduction is needed
Individual selection – detailed individual
assessment
• Areas where restructuring is significant,
or there is a high level of duplication, or
positions has multiple top talent
candidates
• Does the benefit of
conducting
assessments
outweigh the time
required?
3
Yes, assessments required
and time available
• Contested role that is
important and difficult
decision (e.g., top talent)
No, assessment is not
required to make
selection
• Performance data and
conversations with
manager are sufficient
Assessment-based Data-based Group selection Lift and shift
‘Create your talent selection process in detail, identify your
criterions and transparently communicate with your employees’

10. 2. Calibration by Panel
‘Create a cross-functional panel and review talent selections
decisions to ensure objectivity and fairness’
Calibration Meeting
• Meeting used to confirm hiring managers selections with HRBPs and
supervisor, including peers when overlaps in talent pool exists
• HRBP, Hiring Manager, Second Manager, Area Head, Area HR and
cross-functional leaders participate in the meting as Calibration
Committee
• HRBP should take lead on setting up Calibration Meetings and hiring
managers should partner with HRBPs
Suggested responsibilities for hiring managers and HRBPs
• Prior to Meeting
– HRBP should take lead on setting up Calibration Meetings, setting
the agenda, and collecting information (location, job summaries,
etc.) for all positions to be discussed
– Hiring manager comes prepared with first and second choice
candidates and rationale
• During Meeting
– Hiring manager provides overview of organization design,
impacted positions, and rationale for candidate selections
– Calibration committee approve or challenge recommendations
Agenda for Group Calibration
Meeting
1. Ground rules and legal
guidelines
2. Review organizations and
candidate selections
3. Group discussion
4. Finalize desired
appointments
5. Prepare selections and
related documents for legal
review

11. 3. Legal Review
‘After applying the talent selection process for overlapping roles due to
integration, we initiated legal review with legal council. This practise is
critical not only for ensuring labor requirements, but it’s also essential
for confirming the fairness and equal opportunity in the process ’
Actions
❑ HR, business leader, and Legal coordinate on timing for Legal
approval in line with standardized due dates and return dates
❑ Submit final list of selected and de-selected talent to Legal,
including appropriate demographics data
❑ Wait until go-ahead from Legal before executing on notification
plan
❑ Make adjustments as needed based off of feedback from Legal

12. 4. Transparent Communication
‘We ensured transparent and continuous communication with our
employees before,during and after the selection process. The strong
and effective communication is key to success in people integrations’
Talking points/key messagesSituation
Not appointed to a role • Regard them as important to company future and therefore highly valued
• Wish to understand professional and personal preferences as to role and location
• Door open to executives anytime to discuss concerns and avoid rash decisions
• Continued commitment appreciated through this time of uncertainty
• Initiate process for talent exchange with other Business Units and/or locations
Already appointed to
a role
• Respect your employees and keep continuous transparent communication
• Give updates of the process and status
• Make pulse checks via HRBPs and Line Managers to ensure smooth process
During selection process
• Explain the selection process and methodology in detail to all employees
• Keep the timeline as short as possible and commit for finalizing decision in an
objective, fair and transparent way
• Ensure line managers have 1-1s with all employees to understand the preferences
Before selection starts
• Expect them to play a significant leadership role now that they are appointed
• Want to solicit their help in contacting other “A” players lower in the organization
• Wish to understand potential long-term career interests, given recent changes

13. Manage employee
experience (engagement,
fairness, morale, timing)
Lesson Learned
Use an enterprise mindset
(coordinate selection
between different business
units, functions and locations)
Allow time for panel and legal
review of selection outcomes
(always require if selection is
occurring)
Coordinate works councils,
unions and restrictions, and
consultations with the
collaboration of Legal and HR