Organizational management of pharmaceutical enterprises: transforming strategy into performance

If there is only one most important requirement for the managers of pharmaceutical enterprises, it is how to turn the strategy into reality so as to increase the value of enterprises, and how to realize this transformation? Organizational management is one of the most critical links Good organizational management can make the overall value of the company exceed the sum of the individual values of each business "The company headquarters should not only choose the best management and control strategy, but also design an organization that can transform the value creation logic of the strategy into practice." 。 What organizational form or structure does an enterprise adopt? There are many influencing factors, including the scale of the enterprise, the complexity of the product line, the preferences and habits of the leaders, but the fundamental determinant is strategy, and what kind of strategy will be adopted will have what kind of organizational structure For example, in the pharmaceutical industry, there are more than 100 million yuan and 30 billion scale pharmaceutical enterprises Some pharmaceutical enterprises have a single variety structure, such as only making APIs or even only making several APIs, so the organizational structure of pharmaceutical enterprises is simple Some pharmaceutical companies have made and opened up domestic and global markets for APIs and preparations, so the organizational structure of such pharmaceutical companies must be complex 。 The key factors driving the growth of enterprises are three aspects: business model, competitive strategy and organizational capacity Because no matter what business model an enterprise has designed, no matter how advanced development strategy it has formulated, it has to rely on organizational capacity to implement and realize In the general organizational structure design, it is mainly decided to adopt the straight-line function system or the matrix system, or the business unit system, or the group structure or the single structure This article is limited to space, not to describe the content that can be found in textbooks, but directly to the core of organizational management 1 Control mode of headquarters: including what business activities and results should headquarters trace? What is the main line of business unit reporting? In the pharmaceutical industry, multinational pharmaceutical giants basically adopt matrix and business unit systems, while domestic pharmaceutical enterprises, including state-owned pharmaceutical enterprises and private pharmaceutical enterprises, basically adopt linear function system for small-scale ones, and group system for large-scale ones This group system is different from the global general group system, and the group formed by M & A is basically group headquarters and subsidiaries As for the management and control mode, it is quite different and not standardized 2 Decision making power of the headquarters: which decisions are made by the headquarters of the company and which decisions are handed over to the business unit? 3 Functional requirements of headquarters: how and in what depth does the headquarters lead? What functional requirements should be delegated to the business unit? Therefore, the following four types of control modes are basically formed: 。 In this type of management and control mode, almost all decisions are made by specific business units The main operators report to the board of directors The matters to be decided by the board of directors are only limited to the contents determined in the articles of association Some enterprises also need regular written reports from the main operators of business units In this business model, the main business unit operators and their deputies are managed by the headquarters in principle The Sanjiu group before being classified into China Resources Group basically adopts such a mode On the surface, it is the "boss" who makes centralized decisions In fact, it is the business units that make their own decisions 。 This type of management and control mode focuses on the financial return rate Each year, the headquarters will determine the budget statement of the business unit and monitor the financial data in the operation progress, and approve the projects that cannot be fully standardized such as the external investment, loan, donation and advertisement of the business unit However, the main operators and their deputies are managed by the headquarters in principle, and they will conduct financial and safety audits on business units on a regular basis There are many non pharmaceutical enterprises adopting this mode after M & A of pharmaceutical enterprises 。 This type of management and control mode focuses on the overall planning of the strategy The headquarters will approve the development strategy of the business unit and track the implementation of the strategy The headquarters will assess the strategic ability of the main operators, and pay great attention to the areas they enter, exit, increase investment in or maintain Therefore, the investment, key personnel and key positions will be closely managed and audited, financial and operational Comprehensive pharmaceutical enterprises basically adopt this mode 。 In addition to the strategic and financial management and control approved by the superior, this type of management and control mode also manages human resources, key businesses, compensation level, operation efficiency and operation safety, and conducts regular audit and inspection Of course, in reality, the specific control methods adopted by tens of thousands of enterprises are very different First, the four modes divided by the author can be called "CVT", but in the final analysis, they do not exceed these four categories Each organizational control mode has its own value and conditions to exist and play its role As long as the enterprise organization design finds out the rules and realizes which business (work) is in charge of which layer is most beneficial to the enterprise, this mode is good In China's pharmaceutical industry, this mode is the desire and goal of most pharmaceutical decision-makers, but it is far from being achieved Organization element: Authority - do - approve There must be a big difference in the level and management mode from a few person enterprise to a large enterprise with hundreds of thousands of people But the core elements of the organization are three: decision-making power, implementation and audit supervision If the relationship among the three aspects can be straightened out and the respective processes can be effectively handled, the core structure of the organization will be sound Is the decision-making power divided or centralized? It should be determined according to the specific business, specific enterprises and enterprise scale In principle, centralized decision-making is conducive to the consistency and matching of strategic objectives and measures However, if centralized decision-making is carried out in every detail, the problem of information symmetry and decision-making power mismatch will inevitably occur, and the sense of responsibility of managers at all levels will also be frustrated In general, the decision-making of specific things should be made by the people who do them, and the decision-making of things that have a greater impact on the overall situation should be made by the upper level In an enterprise, the distribution of decision-making power is not necessarily uniform, and the post decision-making with sound system and process and specific understanding of authorization is not only fast but also easy to implement But for the things that the system and process are not very sound or strong individualization, it is more appropriate to make centralized decision For enterprises with sound incentive and performance management, authorization decision is more appropriate, otherwise, centralized decision should be made Decision-making, implementation and audit supervision are the core framework of the decision-making system.