Pfizer Human Resource Analysis - Essay Example

Pfizer Human Resource Analysis Founded in 1849 by Charles Pfizer in partnership with his cousin Charles Erhart, the US-based international pharmaceutical firm Pfizer has its headquarters in the New York City. Pfizer has been in existence for a long period, yet it has persistently invoked innovative strategies to prove its dominion and recognition as one of the world’s largest pharmaceutical. The company has five key segments that define its operation: Specialty Care and Oncology, Primary Care, Consumer Healthcare, Animal Health, And Established Products in the Emerging Markets (Pharmaceutical-technology.com). These segments have provided Pfizer with a leading portfolio of pharmaceuticals that not only support wellbeing and prevention but treating and curing widespread diseases across the broad range of therapeutic areas as well. Its central infrastructural chronology follows a well-defined order ranging from the corporate office, consumer health care units, manufacturing units, and the R&D centers. Primary operations Throughout the evolution of Pfizer over years, their main activities have been inclined to the responsibility in the discovery and marketing several of the world’s top and most innovative medicine. In line with these operations, they, for this reason, formulate, manufacture, fill, pack, manage, disseminate, and delivery to end consumers (Kumar). Despite the extensive list of its produced drugs, some of its profound ones include Lipitor (renowned at reducing cholesterol level), Lyrica for treatment of Fibromyalgia, vaccines for cervical cancer, tetanus and the famous Zithromax antibiotic and many others. Even though, Pfizer focuses more on human drugs, they also research and develop animal and healthcare products. Such extensive product line has continually demanded an efficient Business operation team whose mandate is to set quality, value and safety standards in unearthing, developing, and production of novel medicines. Pfizer has as a result had to deploy talent and well-trained staff together with flexible Human Resource departments across the globe to meet its targets. Their assurance and dedication on healthcare and business triumph facilitated the 2012 recognition reward as the world’s leading pharmaceutical in the investment strategies of its primary goal being biologics and emergent markets (Baines, 2010). Customer base and size As a key player in the Drug making industry with its establishment over two centuries ago, the company has not only grown in terms of products and size of operation, but its customer numbers as well. Pfizer’s product-oriented strategies, as well as its Mergers and Acquisitions policies, have fortified the firm’s marketing and sales capacity in supporting its extensive customers in over 42 nations across the globe. Its prominence was apparent in the 2013 Fortune magazine ranking that recognized it as world’s largest pharmaceutical firm by profit and second largest in terms of revenue save for Johnson and Johnson at the top. Consequently, as of may 2014, Pfizer was the top firm in the industry with market capitalization of $203.93 billion and $172.1bn worth of assets (Pharmaceutical-technology.com). As with human resource that forms a significant part in Pfizer’s competitive advantage, the company has about 103700 employees spread across its outlets globally (Kumar). Pfizer’s mission statement Pfizer’s mission statement since its establishment has been a dedication to better health and provides easy access to health care for humans and animals alike. In a well-paraphrased outlook, its mission states that our mission is to develop bold and fruitful partnerships in the provision of medicinal products and services in an affordable manner (Kumar). Through such envisage, our mission is to also be a leading pharmaceutical firm in the emergent markets to reach patients never reached before by our firm and be recognized as having an exceptional talent in production and provision of healthcare products. In order to proffer both curative and preventive drugs that are consistently of high quality through manufacturing, Pfizer employs over 100,000 staff with about 12000 of them forming its research team often referred to as Pfizer’s Global Research and development team (Hr.com). Pfizer’s HR role in fostering its mission statement Notably, Pfizer’s latest strategy is predominantly on the company’s merger and acquisition strategy such as the June 2000 purchase of Warner-Lambert and other the related merger integration practice with its Global Research & Development (PGRD) program. Thus, providing a brilliant case of how its HR department makes a difference fostering its mission statement (Hr.com). Significant investments in the firm’s Research and Development department continue to provide grand opportunities in the creation of new essential drugs as envisaged in its mission. Accordingly, the Pfizer’s HR role is to invest in people philosophy considering latest mergers that the company is undertaking. Together, with the firm’s PGRD, the HR should continuously develop best terms of organization in an endeavor to create of new Pfizer. In an interview with Nelson and Milner, the Hr.com reveal that Pfizer’s HR primary philosophy is to attract the best talent, build a retainable environment, and invest in Development. A combination of these strategies together with measuring success and managing change and transition, Pfizer’s HR will triumph in fostering its mission (Hr.com). Typical HR challenges facing Pfizer Pharmaceuticals Lack of skilled workers in emerging markets Even though, the USA is and has been the biggest front market for pharmaceutical, due to recent challenges such as the rise of generic competition, the dominant firms such as Pfizer have had to prioritize verge into emergent markets. Countries such as India and China become a priority with others such Russia, Brazil, and even Poland have also become significant areas with a potential market. However, these efforts have met a challenge of shortage or hardly any talent to serve these markets due to lack of enough competence. For instance, Pfizer had to lay off its 10,000 of its 100,000 staff globally as is beginning to shift its recruitment based on expertise rather than job descriptions (Baines, 2010). Difficulties in integrating its staff with those of acquired companies Pfizer’s merger and acquisition practices have from time to time presented the company with typical challenges such as managing impending redundancy and idleness in staffing and evaluation projects as budgetary decisions are considered. Such scenario has made it impermeable for the integration of the new staff into the existent and has lead to high turnover in most cases due to role duplication and related complications (Baines, 2010). As evidenced by Dr. Milne and Nelson in an interview with hr.com, these difficulties were apparent in past merger of SmithKline Beecham and Pfizer animal healthcare group (Hr.com). Challenges in managing change and transition Managing change that has become inevitable in Pfizer is another problem that its Human resource administration has to come to terms with. Although Pfizer has succeeded before to initiate the Human resource training and development program known as “on the road-to-2005,” the challenges seem to evolve from time to time thus necessitating subsequent change of management programs. As a result, managers have continued to host challenges in managing anxiety, apprehension, and concerns related to the merger (Hr.com). Such precedence speaks of the inherent challenges that Pfizer Human Resource managers have to face continually. HR strategy recommendations In order to address the inadequacy of necessary skills and workforce in the emergent markets, Pfizer should delegate resources in the recruitment of young talent and offer training so as further their endeavor. As an initial step, the company should also use some of its experienced employees in developed nations and early entries such US and Europe to train new staff in the emergent markets. Consequently, in recruiting, unlike it old model where Pfizer used to take into service candidates using job descriptions, it should revert to evaluation of what competencies the applicants demonstrates. For a global conglomerate of Pfizer’s magnitude, changes in leadership, culture and structure are necessary so that the stay ahead of their competitors. As with addressing challenge resultant with mergers, there is a need for Pfizer to initiate concurrent policies that go in hand with its merger and acquisition strategies. Regardless of PGRD’s achievements, it needs reinforcement and proactive changes corresponding to challenges in the pharmaceutical industry to actively be involved in the integration stage of mergers. The past challenges should be a lesson to the firm of the importance of bold communication strategy and participation of staff in planning and proposing integration policies. Working as a team through the established Functional integration teams can be used to identify synergies in an effort to build Pfizer’s values of stable leadership, teamwork, and performance (Hr.com). The commendations above are in response to the challenges that Pfizer is experiencing both within the US and in its fresh markets in regard to Human resource administration. They are, therefore, effective in making Pfizer more competitive. For instance, having an entirely distinct segment with the Human resource dedicated to not only recruitment and training, but also in managing changes that affect staff within the firm will effectively enable Pfizer overcome most of its challenges. It will let the company concentrate its energies on issues leading to potential losses such as when their important innovative drugs loss patents. Having an independent body to deal with its main challenges will enable the firm to add more subsidiaries in emergent markets and thus edge out competitors. Conclusively, Pfizer’s human resource administration has an enormous role in ensuring that the company keeps not only a sustainable staff but also an effective one. With continuous review of its HR policies, the company can conquer its inherent challenges and sustain competition in the challenging pharmaceutical industry. Works Cited Baines, Donald A. "Problems facing the pharmaceutical industry and approaches to ensure long term viability." (2010). Hr.com. In Real Life HR Makes a Difference: Pfizers Merger Integration - The Human Resources Social Network. Web. 21 Jan. 2015. Kumar, Chandra. Strategic Analysis of Pharmaceutical Companies- Lupin, Mankind, GlaxoSmithKline, Pfizer & Cipla | Business Article | MBA Skool-Study.Learn.Share.. Mbaskool.com. N.p., 2014. Web. 21 Jan. 2015. Pharmaceutical-technology.com. The Top 10 Biggest Pharmaceutical Companies Of 2014 - Pharmaceutical Technology. N.p., 2014. Web. 21 Jan. 2015. Read More