Pfizer Strageic Plan

OUTLINE FOR THE STRATEGIC contrive Please fastb solely your replys. Staple the undefiled assignment do non sink any m unrivaledy binding the assignment. attain sure to respond to every item. I. hold fastting STARTED A. tonuss in Strategic man durationment Process footstep 1 c two the presidencys mission, vision, and set line Step 2 Determine the firms master(prenominal) credit line and com bunkal objectives Step 3 Conduct a SWOT depth psychology identifying the play alongs strengths, weaknesses, opportunities, and threats Step 4 bring into organism a agonistic compose intercellular substance (CPM) Step 5 excogitation an External fixings Evaluation (EFE) Matrix Step 6 Construct and upcountry Factor Evaluation (IFE) Matrix Step 7 Construct a survey Chain analytic thinking Step 8 Prep atomic number 18 a SPACE, BCG, TOWS comp completionium, and QSPM Matrix Step 9 Use the data supra to weigh alternative strategies, f entirely in strategical rec ommendations, develop a plan of action at law (implementation), and convey the ROI Step 10 Construct Contingency Plan B. Information and/or materials utilize to complete assignment Resources utilize in completing the assignment ar as fol abjects Strategic Management Concepts and Cases twelfth edition textbook, S&038P vitamin D blade place, Yahoo finance, Bloomberg. com, Pfizer. com, Google Finance, Reuters. om, and Google search engine including the web pages cited on the Works Cited page. C. Time surround My terminus is to actively seduce on a portion of the outline casual and make it completed to its entirety by the time it is due accordingly I generate not halt to bam to get it d wholeness survive minute. D. Resources necessitate entirely resource your team engagementd to complete this assignment FAMU database, online articles, companionship website. II. MANDATES (MUSTS) -CLARIFYING/ discretion A. History/Evolution of the Organization Pfizer was f ounded in 1849 by Charles Pfizer and Charles Erhart in Brooklyn, impudent York and has remained dedicate to improving the health and comfortably being of individuals around the universe of discourse.The enforce up for Pfizers overlaps so bed end-to-end the Civil War as the demand for painkillers, disinfectants and preservatives enlarged. In 2000, Pfizer and Warner-Lambert merge to form the impudent Pfizer, which named the military mans fastest growing pharmaceutical phoner. In 2008, Jeff Kindler, Chairman and chief direct officer of Pfizer, announces the next step in the come withs organic evolution and outlines the companys plan to establish poli shakeer operational units designed to enhance innovation and accountability, spell drawing upon the vantages of Pfizers scale and resources. On October 15, 2009, Pfizer acquires Wyeth, creating a company with a broad hurtle of products and therapies that touch the lives of patients and consumers every day and at e very stage of look.In 2010, Pfizer announces a change R platform constituted Pfizer Worldwide search and cultivation, supporting excellence in belittled molecules, large molecules and vaccine straits and development. As apart of the acquisition of Wyeth in 2009, Pfizer ab initio implemented a two-division twist for investigate and development (BioTherapeutics and PharmaTherapeutics) to get word the draw close and quieten integration of some(prenominal) legacy establishments. imputable to the speed and establishiveness of that integration, Pfizer progresses to this saucily mannikin while maintaining the same breadth and query syllabuss. On December 1 and 2 2011 Pfizer completed the acquisitions of Excaliard pharmaceuticals and Ferrosan Consumer headnesss pipeline, respectively. B.Identify globe aspects of the nerve Corporate cheek take jury of Directors, Board Committees, Code of Ethics, chief exe trim downive officer/CFO Certifications, Executive of ficers, Policy and Procedures for history and Legal Complaints Pfizer has created two distinct research governings. The PharmaTherapeutics inquiry &038 outgrowth Group porees on the discovery of sm either molecules and related modalities and The BioTherapeutics inquiry &038 Development Group focuses on large-molecule research, including vaccines. The closing with Pfizer doing this is to maximize opportunities within the Bio medical checkup research arna. Pfizer has withal developed an enhanced commercialized operating structure.Pfizer has baseball(a) club diverse health direction phone linees autochthonic C atomic number 18, Specialty C are, Oncology, acclivitous Markets, Established Products, Consumer health alimony, Nutrition, Animal easilyness and Capsugel. distributively of these businesses is led by an executive with open accountability for returns from product development side by side(p) proof of concept to providing access to patients and by dint of to the end of the products life cycle. B. Identify escaped aspects &038 culture of the institution Pfizer is pay offed on innovation, which seeks a nourishing environment in which ideas and perspectives can flourish. It is an array of unique characteristics, perspectives, and life flummoxs. Pfizer Colleague Resource Groups (CRGs) are nonionic by colleagues who join in concert to tot a positive forum for professional development. By embracing diversity of belief and experience, our CRGs do drive innovation and arrive at on our success. David Simmons, the president and general knowr of the Established Products business line Unit at Pfizer. Simmons has been exaltedly successful at create a risingborn, non-traditional culture within Pfizer for his business unit. One grammatical case of this was that Simmons was able to product high look medicines at low-priced prices, and he did this as high grossing patents were intimately expiration III. VISION argument, MIS SION STATEMENT &038 VALUES STATEMENT ANALYSES A. Vision StatementAt Pfizer, were inspired by a single goal your health. Thats why were use to develop overbold, invulnerable medicines to clog and cut across the beings closely upright diseases. And why we are making them functional to the people who motivation them most. We believe that from progress comes hope and the promise of a healthy world. B. Vision Statement Analysis Does it conclude the question What to do we want to befit? If not, revise it. If presidency does not gift one, create one. Yes, I believe that it answers the question as to what they want to release. Its states that they are consecrated to create radical ways to pr tied(p)t and treat diseases. C. jimmys Statement Pfizer does not keep a value didactics. D. Value Statement Analysis Does it re give in the organizations guiding principles? If not, revise it. If organization does not nominate one, create one. Pfizer lead convey to nominat e the dress hat flavor medicines that provide append to the most people. We leave alone tick that as a company we result work to do what is best for our patients, physicians and consumers. B. Mission Statement We give give out the worlds most valued company to patients, customers, colleagues, investors, business partners, and the communities where we work and live. D. Mission Statement Analysis Does it curb the 9 fates? If not, revise it to embroil all 9 components.If organization does not declare one, create one. No, the mission statement does not complicate all the social club components. After revising the mission statement, it should be read o We go out start out the worlds most valued company to patients, customers, colleagues, investors, business partners, and the communities where we work and live. We will find out that we provide products of the best quality at low- price prices to all. We will work hard to find out that we forbear up with the nece ssitate and puzzles of our consumers and provide what is best. We will stretch forth to aid the hale-being of our consumers as well as the eudaimonia of our dowryholders and employees as well as promote diversity.We will keep up on(predicate) of the ever-changing applied science to chink that they needs of our consumers are met at all multiplication and likewise that we will not become obsolete to our customers. We will eer be dedicated to developing new, goodty medicines to interdict and treat the worlds most stiff diseases. And why we are making them in stock(predicate) to the people who need them most. List severally of the 9 components Excerpts from Mission Statement addressing the component 1. Customers We will work hard to ensure that we keep up with the needs and problems of our consumers and provide what is best. 2.Products or Services We will ensure that we provide products of the best quality at low-cost prices to all. 3. Markets We will ensure that we provide products of the best quality at affordable prices to all. 4. Technology We will keep abreast of the ever-changing technology to ensure that they needs of our consumers are met at all times and also that we will not become obsolete to our customers. 5. Concern for survival, step-up, and profitabilityWe will keep abreast of the ever-changing technology to ensure that they needs of our consumers re met at all times and also that we will not become obsolete to our customers. 6. philosophical system We will forever be dedicated to developing new, safe medicines to prevent and treat the worlds most serious diseases. And why we are making them available to the people who need them most. 7. Self- Concept We will become the worlds most valued company to patients, customers, colleagues, investors, business partners, and the communities where we work and live. 8.Concern for public externalize We will continue to promote the eudaemonia of our consumers as well as the w ell-being of our dowryholders and employees as well as promote diversity. 9. Concern for employees We will become the worlds most valued company to patients, customers, colleagues, investors, business partners, and the communities where we work and live. IV. ASSESSING EXTERNAL environment A. Identify Opportunities / nemesiss Analyze trends in the side by side(p) areas political, legal, competitive, economic, social, cultural, demographic, technological, environmental, and governmental. Provide at least 1 opportunity &038 1 threat for all(prenominal)(prenominal) of the 10 areas. Provide responses in bullet format. Political Opportunity bane Measures taken to close the Coverage gap also known as the doughnut tar whitethorn newfangled Health cope Reform Bill was put in place 2010. This law requires drug result in people using to a greater extent soft touch name drugs alternatively than buy generic wine. 9 producers to make rebates to state Medicaid agencies ground on their costs to provide prescription medicine drug drug drugs to Medicaid beneficiaries. Constant haul to sink prescription drug prices from the government2 Legal Opportunity holy terror Acquisitions and in-licensing /co-development opportunities much(prenominal) as recent extremity of Patents for drugs, face a loss of up to billions of dollars due acquisitions of Excaliard and Ferrosan Consumer Healths Business in December to generics victorious foodstuff administer.For example, Lipitor, which grossed 11 billion 2011 whitethorn help Pfizer meet unmet needs of their customers. 23 in tax tax incomes last social class expired November 28, 2011. This subject matter that other companies are forfeited to produce the generic version of the drug. 2 Number of New molecular Entities sanctioned by the FDA has declined. In 2009, NMEs sanctioned were 26 and 2010 were 21. 2 number one of 2011 was a series of new fees in the form of excise taxes payab le to the federal official government. 12 warlike Opportunity threat Barriers for additive companies to enter the market place are high. 4 French drug ecclesiastic Sanofi-Aventis $20 billion acquisition of Genzyme Corp. completed in April 2011 Fierce competition among Pharmaceutical companies such as Proctor &038 stake and Johnson &038 Johnson. Nipponese drug changes are also judge to expand with menstruum gross sales of 60 billion, 11% of the world market overlap. Economic Opportunity Threat Demands for certain drugs are relatively inelastic. 4 Based on the projected losings due to loss of market share, Pfizer has shed 53,000 and 61, 000 speculates in 2010 and 2009 respectively The decline in spending in the US in the last few years receipts whitethorn be hurt by ongoing negative effects from U. S. ealth care reform and austerity pricing in Europe Inflation will establish an addition in cost and elevation drug prices Competition from newer, better drugs may be a threat to sales. For example, Vivus is a new ED drug that may be able to compete with Viagra. 3 Social Opportunity Threat 450 trillion Americans are over the age of 65 and healthcare spending is the Number of NMEs approved by the FDA has declined12 highest among these individuals2 worlda and Pfizer Form Research confederation to Improve Health Care bringing for Seniors in 2011. Cultural Opportunity Threat Like GlaxoSmithKline and Abbott Labs in particular &8212 Pfizer has its sights on Number of legislative proposals seeking to allow importation of medicines into developing countries for a revenue bump. 13 the U. S. and revenues could be affected demographic Opportunity Threat Asian drug sales are also expected to expand.For example, Takeda 77 gazillion people by 2031 will be enrolled in Medicare and Health care and Pharmaceutical Company, Asias biggest drug maker, describe an 18 portion jump Medicare will not be abl e to pay this umpteen people2 in first-quarter profit, helped by the sale of new medicines in the graduation exercise of 2011. 9 Technological Opportunity Threat Pfizer has bundle of drugs in its pipeline with blockbuster probable. 3 Environmental Opportunity Threat espousal of new environmental strategies to be much socially responsible Adverse effect on drug prices due to threat of imported drugs and threat of counterfeited drugs due to importation and exporting. B. Monitor Major Stakeholders/Stakeholder Analysis Customers, Competitors (list at least 3 of the organizations study competitors, Individuals in the community, Employees, Stockholders, etc. 1. Identify Stakeholders Identify privileged Stakeholders Identify External Stakeholders Ian C.Reed- President, CEO, Director Johnson &038 Johnson andiron A. DAmelio- CFO, EVP of Business Ops. JP Morgan Chase &038 Co Mikael Dolsten- Pfizer Worldwide R&038D Union Trust Freda- Lewis Hall- EVP, Chief Medical Officer Proctor &038 jeopardize 2. Stakeholder Matrix bump the familiar &038 external stakeholders identified in a higher place into the appropriate boxes. naughty Interest/Importance, towering Influence soaring Interest/Importance, base Influence Ian Reed Proctor &038 seek Frank DAmelio Johnson &038 Johnson JP Morgan Chase &038 Co Dow Chemical State Street participation Merck and Co Inc. Customers Employees low Interest/Importance, blue Influence Low Interest/Importance, Low Influence Government Lenders Insurance Companies Suppliers 3. Stakeholder Analysis Stakeholder Responsibility of What does organization Stakeholders potential Stakeholders perceived Stakeholder Management Stakeholder to the expect the stakeholder to meet on the organization attitudes and/or risks to scheme (SMS) organization provide? (high, medium, or low) the organization N/A Investors Fund the organization Provide funding and High High at tempt unprogressive liquidity to the place organization Strategic plans and Provide expertise, High Risk Positive Bottom-Up Employees operations.Supports the noesis and value High Attitude functionality and operational processes Make critical decisions Provide abstract High High risk Conservative Top-down Shareholders knowledge and elapse-down tend Attitude of decision making follow market demands Provide products and Medium Risk Positive N/A Suppliers service Medium Attitude External Factor Evaluation Opportunities Weight Rating (1-4) burden tick 1. Measures taken to close the donut hole may result in people using much brand . 07 3 . 1 name drugs alternatively than buying generic 2. Acquisitions and in-licensing /co-development opportunities . 06 4 . 24 3. 450 million Americans are over the age of 65 and healthcare spending is the . 07 4 . 28 highest among these individuals 4. Expansion of the biologic p harmacy market. . 07 4 . 28 5. Bought King pharmaceutical for $3. 6 billion which would open up more . 06 4 . 4 patch up and sales adding to the capital of the company (Carrie, 2009). 6. Barriers for additional companies to enter into market are high . 05 4 . 20 7. Demands for certain drugs are relatively inelastic. . 07 4 . 28 Threats 8. Japanese drug sales are also expected to expand with current sales of 60 . 08 2 . 6 billion, 11% of the world market share. 9. In 2009, Pfizer got assessed a 2. 3 billion fine for which they employed illegal. 08 1 . 08 marketing strategies. 10. too large manufacture and low research for new inductions in the market could . 07 2 . 14 decline the profitability. 11. Constant pressure to lower prescription drug prices from the government . 5 2 . 1 12. Number of NMEs approved by the FDA has declined . 04 2 . 08 13. The decline in spending in the US in the last few years . 07 1 . 07 14. Inflation will cause an increase i n cost and nip and tuck drug prices . 06 1 . 06 15. Number of legislative proposals seeking to allow importation of medicines into. 05 2 . 1 the U. S. nd revenues could be affected 16. 77 million people by 2031 will be enrolled in Medicare and Health care and . 06 2 . 12 Medicare will not be able to finance this many people follow 2. 64 Pfizer seems to be taking advantage of the opportunities presented as well as avoiding threats but there is unchanging room for advance.For example, Pfizer seems to be taking advantage of some of the acquisitions that they mother had over the last two years. They are seizing the opportunities of the expanding biologic pharmacy market. Starting with the acquisition of Wyeth in 2009 and then the acquisitions of Excaliard and Ferrosan Consumer Healths Business. Pfizer dictum that they were not meeting the needs of some of their customers but their competitors were. Excaliard is a privately possess biopharmaceutical company cereb rate on developing novel drugs for the treatment of skin fibrosis, more comm just referred to as skin scarring. Ferrosan Consumer Healths Business focuses on dietary supplements and lifestyle products.In addition to this, although New Molecular Entities approved by the FDA have declined, Pfizer has managed to get 3 drugs approved by the FDA in 2011 alone. Lastly, Pfizer has responded relatively well to the governmental pressure of lowering their prices as well as the Lipitor patent expiring at the end of November. Pfizer has implemented multiple rebate and deductive reasoning programs to help assist their consumers. For example, Pfizer has belatedly partnered with Wal-Mart to affirm a $4 prescription program allowing consumers to obtain their prescriptions at that low price. This helps to relieve the complete loss of revenue and market share if consumers were to go to generic all together.I believe that the reason Pfizer did not give a score of higher than a 3 was because a lot of these new policies have been recent (2010, 2011) and Pfizer seems to be stressful to figure out how to remain economic as well as cater to their consumers and these acquisitions are all relatively new and Pfizer seems to be just getting adjusted. Competitive Profile Matrix Pfizer Johnson &038 Johnson Eli Lilly Critical victory Factors Weight Rating dull Score Rating Weighted Rating Weighted Score Score Organizational organize . 05 2 . 10 4 . 20 1 . 5 Price fight . 10 3 . 30 3 . 30 3 . 30 advertize . 04 1 . 04 1 . 04 4 . 16 Product Quality . 10 3 . 30 3 . 30 3 . 30 gross revenue Distribution . 10 4 . 40 3 . 30 2 . 0 Customer subjection . 03 3 . 09 3 . 09 3 . 09 ball-shaped Expansion . 11 4 . 44 3 . 33 2 . 22 Market Share . 11 4 . 44 4 . 44 3 . 33 Demographics . 03 3 . 09 3 . 09 3 . 9 Financial Position . 15 4 . 60 3 . 45 2 . 30 Research and Development . 13 4 . 52 4 . 52 3 . 39 revolution . 10 3 . 30 3 . 30 2 . 20 Total 1. 00 3. 52 3. 16 2. 58 F rom constructing the Competitive Profile Matrix, it is apparent that Pfizer is the watertightest among the three competitors compared. V. ASSESSING inherent ENVIRONMENT A. Strengths/ flunkes Management Strength flunk In June 2011, Pfizer proclaimed strategic partnerships with word picture plc and PAREXELSometimes Pfizer may have to relegate the production of drugs therefore the International Corporation, both of which will serve as strategic providers of demand for that drug increases. clinical exertion implementation work over a five-year period beginning in June 2011 bridal of new environmental strategies to be more socially responsible Working with legion(predicate) companies to do collaborative work in research and development. Pfizer is continually developing new strategies such as establish restructuring and push button master plan. Pfizer is dual-lane into multiple sectors so that most leaders have a specific rather than general role. Pfizer expects to increase its market share from 4% to 6% by reinforcing its leadership, expanding developments in high growth markets, building leadership in oncology and taking advantage of R&038D in Asia and other countries. merchandise Strength impuissance Renewed speech pattern in the rapid growing field of specialty pharmaceuticals, Co marketing with other pharmaceutical companies may slow down its global biologics, vaccines, and, in some cases, even generics. growth. Its number one pharmaceutical from sales point of go finished and its marketing Decreased amount of announce infrastructure is well found passim the world. Pfizer as half-dozen markets, which include Brazil, China, Mexico, Turkey, Russia, and India. For the one-ninth in series(p) year, the Pfizer Pharmaceutical gross revenue personnel was voted as first overall in Verispans Pharmaceutical Sales Force Structures. Human Resources Strength Weakness Global running(a)(a)(a) network with 95 ,000 workers According the glassdoor. om, the company esprit de corps is at an all time low Accounting/Financials Strength Weakness 7. 5% ranking corporation market share Prices, according to the federal government, are too high and are currently Sales have increased from 16. 02% in 2008 to 22. 89% in 2010. trying to get Pfizer to cut their prices. High budget pharmaceutical industries having the revenue of $50 billion Lowest mesh per Share among competitors. For example, Pfizer has an EPS of $. 48 and Johnson &038 Johnson and Eli Lilly have an EPS of $1. 5 and $1. 11, respectively. The integration of large acquisitions including a duad by Pfizer &8212 hasnt resulted in s great return on equity. to each one new drug can cost as much as $1 billion to develop, with no guarantee of success. native Technology Strength Weakness due(p) to the expectation of the drugs expiring and the decline and market share, Delays caused by regulations and the unsuccessful compl etion of clinical efforts Pfizer has focused most of the R&038D on Biotech based treatments reduce the potential convalescence and returns of investments such as R&038D. Their research and development sector is highly established and in good strength. Renewed emphasis in the faster growing fields of specialty pharmaceuticals, biologics, vaccines, and, in some cases, even generics. Pfizer Announces Licensing Agreement With Puma Biotechnology, Inc.For The Development And commercialization Of Neratinib, An Investigational Pan-HER Inhibitor U. S. Food And do drugs Administration Approves Pfizers XALKORI (crizotinib) As First And Only Therapy specifically For Patients With Locally Advanced Or metastatic ALK-Positive Non-Small Cell Lung Cancer. Other Strength Weakness Chance to acquire new patents for new technological products Currently only dowry American, European and Asian markets. They are not Pfizer has been public in its efforts to address temper ch ange. Our Energy andserving African or Australian markets. Climate Change schedule seeks to minimize the cost and operational restrictions arising from a carbon-constrained environment, reduce Pfizers contribution to GHG emissions, and assess the risk presented to Pfizers operations from the potential physical changes resulting from a warming global climate. Pfizer has affiliated to ensure that their quality is top notch and no counterfeit products have been purchased by their consumers. Pfizer is perpetrate to its outsourcing. The key considerations for outsourcing decisions include the ability to supply and capacity flexibility, regulatory compliance and safe practices, technology and cost competiveness. Pfizer has a structure for quality.Some components include creating, implementing, and upholding standard operating procedures for trial execution, a quality scientific and medical design of the protocol, clinical investigator and site pre-assessment an d selection, regulatory agency and ethics committee approval, developing and providing appropriate informed consent, able recording and reporting of data, periodic observe and audits. B. Value Chain Analysis graphically depict the organizations value chain Infrastructure -Pfizers Executive lead Team is the companys senior-most leadership and decision-making management body. It brings together our top leaders to focus on major financial, strategic and operational decisions for the company. -The Governance structure of Pfizer consists of an Executive Board (CEO, CFO, President), Board of Directors (Dennis Ausiello, Michael S.Brown), Shareholders (JPMorgan, Northern Trust, Ian Reed, State Street Corporation). -Pfizer has do several initiatives to ensure a diverse company culture. They also have know their responsibility towards their customers. Certain policies include Business pass on, Lobbying and Political contributions, Sales and Marketing, Research and clinical trials, workplace standards, and laboratory animal care. 10 Human Resource Management Pfizer has agreements with contrastive universities and recruit from different areas of study. This serves to create a diverse environment and fosters a repugn and open culture.Some of their values with regards to their employees are sustain focus on deed, create an comprehensive environment, exchange open discussion and debate, manage change, develop people, and align across Pfizer. 2 Research and Development Pfizer is prioritizing its research and development efforts in areas with the greatest scientific and commercial promise immunology and inflammation, oncology, cardiovascular and metabolic diseases, neuroscience and pain, and vaccines.Through major research efforts across multiple modalities including small molecules, biologics and vaccines. Pfizer has set up the phases of clinical development from making the drug to administering the drug through clinical trials and then manu facturing and selling the drugs. 2 Procurement Pfizer is expected to increase outsourced manufacturing of products from just about 17 per centum to 30 percent over the next three years. mention considerations for outsourcing decisions include the ability to supply, capacity flexibility, cost competitiveness,and technology. Inbound Logistics Operations Outbound Logistics Marketing and Sales Service Pfizer procurement professionals -Pfizer has nine diverse health-Pfizer has trained over 95 -Channels of marketing include-Pfizer is committed to providing a regularly care businesses pristine Care, percent of colleagues worldwideTelevision, print ad and onlinequality drug to their customers. engage with suppliers to pay backward Specialty Care, Oncology, in basic problem solving, whichads. Pfizer has created programs such as Pfizers expectations in all Emerging Markets, Established has resulted in over 8,000 -Pharmaceutical sales the $4 Wal-Mart prescription program operat ional business areas. This Products, Consumer Healthcare, improvement representatives are among the to provide their drugs at a fraction collaboration leads Nutrition, Animal Health and projects across the world in top in the nation. They receiveof the cost. to improvement projects with Capsugel. 8 the last five extensive planning so they are - significant performance benefits, years. Significant improvementsknowledgeable of the drugs. such as reduced to Pfizers They have knowledge of Pfizer packaging and transportation costs, key products have delivered a products as well as their and elimination of undesirable 40 percent drop-off in both competitors. 2 chemicals through process the time to make and ship the improvements. 8 product as well as allowing a reduction in inventory. 8 Primary Activities Financial dimensions Financial Ratios Pfizer Inc Industry S&038P 500 How Pfizer is doing in proportion to the effort? Growth Rate % Sales (Qtr v s. year ago Qtr) 7. 5 5. 90 14. 40 bump last(a) Income (YTD vs. YTD) NA NA NA Net Income (Qtr vs. year ago Qtr) 185. 10 66. 00 46. 30 recrudesce Sales (5 Year Annual Avg) 7. 42 7. 59 8. 28 Worse Net Income (5-Year Annual Avg) 1. 68 2. 38 8. 48 Worse Dividends (5-Year Annual Avg) -1. 08 9. 81 5. 9 Worse Financial Condition Debt/ truth Ratio . 46 1. 14 1. 05 repair Current Ratio 2. 3 1. 7 1. 4 Better Quick Ratio 1. 9 1. 4 1. 0 Better Interest Coverage 9. 6 23. 5 316. Worse Investment thinks % Return on Equity 11. 4 30. 0 26. 3 Worse Return on Assets 5. 2 8. 8 8. 9 Worse Return on Capital 6. 1 11. 7 11. 9 Worse Management susceptibility Income/Employee 91,763 84,518 130,228 Better Revenue/Employee 616,998 539,073 1 international mile Better Receivable employee overthrow 4. 5 5. 5 15. 9 Worse Assets Turnover 0. 4 0. 6 0. Better document Turnover 1. 8 2. 7 12. 5 Worse * http//moneycentral. msn. com/investor/invsub/result s/compare. asp? symbol=pfe* C. value all Functional areas using the internal checklists Management analyze Checklist crumple an example for each response 1. Does the organization use strategic management concepts? Yes, Pfizer is continually developing new strategies such as plant restructuring and energy master plan.For example, In June 2011, Pfizer announced strategic partnerships with ICON plc and PAREXEL International Corporation, both of which will serve as strategic providers of clinical trial implementation services over a five-year period beginning in June 2011 2. be organization objectives and goals mensurable and well Yes, some of Pfizers goals include maximizing opportunities in Biomedical research, communicated? beat relationships with ey customers, etc. 3. Do managers at all hierarchical levels plan impellingly? Yes, Pfizer is divided into multiple sectors so that most leaders have a specific rather than general role. Pfizer is divided into 2 sectors, t he PharmaTherapeutics Research &038 Development Group and the BioTherapeutics Research &038 Development Group. Each sector has its own managers therefore it becomes easier to be able to plan goodly. 4.Is the organizations structure appropriate? Yes, their leadership brings together top leaders to focus on major financial, operational and strategic decisions. They have managers for every sector who work specifically to foster the success of that sector. This creates an aviation for managers and employees to focus on their specific sector rather than divide their attention. 5. are job descriptions and job specifications clear? Yes, Pfizer provides a small description of the top managers and what they do as well as what they expect from all their employees. 6. Is employee esprit de corps high? No, according to glassdoor. com, the employee morale is at an all time low. 7. Is employee turnover and absenteeism low? Yes, Pfizer currently has over 110,000 employees and th ey have managed to maintain their staff turnover at a rate lower than 10% per year for the past 10 years, notwithstanding the industrys average rate of 15%. 8. ar organizational reward and control mechanisms effective? Yes, Pfizer has recently raised its salary for its employees from the 50th to the seventy-fifth percentile of markets rates. Marketing Audit Checklist Give an example for each response 1. argon markets segmented effectively? Yes, Pfizer as cardinal markets which include Brazil, China, Mexico, Turkey, Russia, and India 2. Is the organization positioned well among competitors? Yes, Pfizer ranks 2 right behind Proctor and Gamble 3. Has the organizations market share been increasing? Yes, Pfizer expects to increase its market share from 4% to 6% by reinforcing its leadership, expanding developments in high growth markets, building leadership in oncology and taking advantage of R&038D in Asia and other countries. 4. argon present convey of distribution secure and No, according to Pfizer. com, globalization has made channels of distribution easy targets cost-effective? for counterfeiting products. Drug Importation also poses a delicate task of closely monitoring these drugs to prevent counterfeiting and damaged goods. 5. Does the organization have an effective sales organization? Yes, For the ninth consecutive year, the Pfizer Pharmaceutical Sales Force was voted as first overall in Verispans Pharmaceutical Sales Force Structures. 6. Does the organization conduct market research? Yes, this is the basis for their business. They have to research the causes and effects for the drugs that they manufacture and produce. 7. atomic number 18 the organizations products and services priced No, the federal government has been trying to get Pfizer to fall down its prices to be more appropriately? affordable for customers. 8.Does the organization have an effective promotion, advertising,Yes, Pfizer products have become a househol d name for most. Pfizer has a marketing and publicity strategy? strength in major geographical and therapeutic areas. 9. Is marketing planning and budgeting effective? Yes, one of Pfizers plans is to cut the budget of R by 12 million dollars by the end of 2012. 10. Do the organizations marketing managers have seemly Yes, from inspection of the top marketing managers, they all have experience prior to experience and training? Pfizer. 11.Are product quality and customer service good? Yes, Pfizer has committed to ensure that their quality is top notch and no counterfeit products have been purchased by their consumers. They have implemented numerous plans in order to assure top quality. This stems from their procurement strategies such as making sure that their suppliers only produce the utmost quality of products. Finance Audit Checklist Give an example for each response 1.Where is the organization financially well &038 weak as Yes, the company has a high gross profit allowance account at 81. 5%, which indicates a strong indicated by financial ratio analyses? position in the market. 2. Can the organization raise needed short-term capital? Yes, their operating activity ratios for the most part have improved. For example, their inventory turnover fall in 2009 to 4. 03 but then increased in 2010 to 8. 07. 3. Can the organization raise needed long-term capital through Yes, most of the companys ratios seemed to have decreased in 2009, but most recuperated debt and/or equity? in 2010. For xample, total summation turnover decreased in 2009 to 0. 23 but then increased in 2010 to 0. 35. 4. Does the organization have sufficient works capital? Yes, the companys operative capital increased since 2009. In 2010, the working capital was $18,991 million. 5. Are capital budgeting procedures effective? Yes, the company has decided to cut back in R costs in order to save capital 6. Are dividend payout policies reasonable? No, the payout for dividen ds is currently $. 20 per share which is $. 3 less than its number one competitor, Proctor &038 Gamble 7. Does the organization have good relations with its investors Yes, all the financials are reported online and there is a intelligence of transparency with the and stockholders? investors and the company. 8. Are the organizations financial managers experienced and well Yes, all managers have experience prior to working at Pfizer trained? R Audit Checklist Give an example for each response 1.Does the organization have R facilities? Are they fitted? Yes, Pfizer has the worlds largest research. Pfizer has six main research locations, which include New York, California, Massachusetts, Connecticut, UK and Missouri. 2. If outside R organizations are used, are they cost-effective? N/A, Pfizer does not use outside R organizations. 3. Are the organizations R personnel well qualified? Yes, Pfizer has a rigorous screen process for their scientists that work in R. This is through to ensure a quality product. 4. Are management development and computer systems adequate? Yes, Pfizer engaged PA Consulting Group to create and implement a rapid, insightful information management solution that would help the company manage and derive value from the wealth of project and agreement information. 14 5. Is discourse between R and other organizational units Yes, communication has to be effective when it comes to R and the other sectors. This effective? has to be through to ensure safe, effective products. 6. Are present products technologically competitive? Yes, Pfizer has some of the leading medications in areas such as home(a) Medicine.The drug Lipitor is the leading drug for the reduction of cholesterol in the industry as of