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BIOGEN IDEC FRANCE

BIOGEN IDEC FRANCE. BEST IN FRANCE December 2004 Group C – ES1 Charles Najjar Jonathan Newell Gaku Susai Jaime Arango. Biogen Idec in the world R&D Product pipeline Biogen Idec France Company Values HR Difficulties in France and Adaptation to France

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BIOGEN IDEC FRANCE

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  1. BIOGEN IDEC FRANCE BEST IN FRANCE December 2004 Group C – ES1 Charles Najjar Jonathan Newell Gaku Susai Jaime Arango

  2. Biogen Idec in the world R&D Product pipeline Biogen Idec France Company Values HR Difficulties in France and Adaptation to France Attraction and Retention of Talent Benefits and Costs Agenda

  3. Biogen Idec Inc. • US Biotechnology company based in Cambridge, Mass. • Third largest Biotechnology company in the world • Result of a merger of equals in November 2003 between Biogen Inc. and Idec Corp. • Core business: Oncology and Immunology • 5 Products in the Market in the US (Tysabri approved by the FDA in November ’04) • Sales over $2bn, 4.000 employees worldwide • Quoted in Nasdaq: BIIB ($20bn Market Cap) • Annual Growth estimated about 20% year/year

  4. Worldwide Presence • Cambridge, MA: Biogen Idec Worldwide Headquarters • San Diego, CA: Biogen Idec Research, Manufacturing, Commercial Capabilities • Research Triangle Park, North Carolina: Manufacturing • Washington, DC: Biogen Idec Government Relations • Canada: Direct Sales Force and Operations • Europe: Direct Sales Force & Operations in 13 Countries • Zug, Switzerland: International Headquarters • Netherlands: Packaging Facility • Japan: Developing Commercial Capabilities • Australia/NZ: Direct Sales Force

  5. Research and Development • Research and Development only done in 2 centers of excellence: Cambridge and San Diego in the US. • Manufacturing sites only in the US: • Cambridge, Massachusetts • RTP, North Carolina • Oceanside, California • Biogen Idec is currently constructing a manufacturing site in Denmark. It is expected to be ready by 2007.

  6. Product Pipeline

  7. Company's clients • Vision “With passion, purpose and partnerships, we transform scientific discoveries into advances in human healthcare.” • Mission “We create new standards of care in oncology and immunology through our pioneering research, and our global development, manufacturing and commercial capabilities.” • Company tag-line: transforming discovery into care.

  8. Biogen Idec France • Only 1 Product approved in France (Avonex®) • Over 42% market share in Multiple Sclerosis market in 2004 • Tysabri® is next product in MS expected to be approved for commercialization in 2006 • Amevive® in Phase 3 in Europe • Commercial rights of Rituxan® and Zevalin® were given to third parties for sales outside the US • Sales over €80m, 65 employees • Teams built up to support local sales and marketing

  9. Back in 1996… • Biogen decided to come to Europe to enlarge its operations based at that moment on the US only. • France was one of the first countries to come. Why? • France is second largest MS market in Europe, only behind Germany. • Developed Social Security system. • Developed infrastructure.

  10. Company values • Courageous Innovation We apply our knowledge, talent and resources to yield new insights and bold ideas. We confront challenge and uncertainty with zeal, tenacity and vision and seize opportunities to excel. • Quality, Integrity, Honesty Our products are of the highest quality. Our personal and corporate actions are rooted in mutual trust and responsibility. We are truthful, respectful and objective in conducting business and in building relationships. • Team as a Source of Strength Our company is strong because our employees are diverse, skillful and collaborative. We pursue our fullest potential as individual contributors, team members and team leaders. • Commitment to Those We Serve We measure our success by how well we enable people to achieve and to thrive. Patients, caregivers, shareholders and colleagues deserve our best. • Growth, Transformation and Renewal Consistent with our core values, we as individuals and as a corporation are dedicated to creative and constructive growth, transformation and renewal as a source of inspiration and vitality.

  11. Company values • Company values are general and applied worldwide. • It is a company culture. • And the company seeks people that fits with this culture. • Nevertheless these company values are difficult to translate to French.

  12. HR Difficulties in France Before coming: • The perception from the US towards France: Rules and administration are complicated in France: holidays, 35-hour week, contracts, taxes… To keep in mind: • Beware of laws – use lawyer frequently. • Understanding of rules in France is very important – the company can’t afford a mistake. • Important for dealing with employees, works council and trade unions.

  13. Adaptation to France • Biogen Idec has worldwide rules and guidelines for recruitment, compensation, performance appraisal, etc. • To make impact, communication has to be adapted to local culture (i.e. performance appraisal). • Recruitment is very important in France, because of the size of the company. • Also, every employee is actively participating in the development of the company. • Generally, lay-off process in France is more complicated than the US.

  14. Attract and Retain Talent • Attract talent is easy for Biogen Idec: people are team oriented, interested by the environment of a small company, and have high scientific interest. • Retention and motivation come from the team spirit and the job interest. • However, the size of the company in Europe limits European transfers within the company.

  15. Key Benefits • Because Biogen Idec France only has sales and marketing efforts (no R&D nor Manufacturing), Revenue/employee figures are high. • Infrastructure, quality of life and local work environment are very positive, so the employee turnover is very low. • Pharmaceutical associations and pharmaceutical companies in France facilitate interaction with governmental organizations. • Social Security in France is one of the best in the world. • MS Market is the second most important market in Europe. • The company will increase its competitive advantage when it will launch Tysabri® in 2006.

  16. Key Costs • Salaries are lower, but taxes, benefits and charges are higher than many other countries. • Because of the good infrastructure in France, travel, communications, etc, are available for all the companies. • Also, because of the profile of employees sought, French employees adapt to BI France culture and therefore to the company culture. • English is used throughout the company worldwide and is essential for French employees, except for sales team. • Training is outsourced for employees when special knowledge is required for the job. • Team meetings are developed in Europe for similar jobs and for integration.

  17. Essential Advice • Know the legislation and seek legal advice. • The company needs global and adaptable values, with a common vision. • Seek the employees that can adapt to this culture. • When seeking presence in Europe, France is a perfect starting point of operations.

  18. We thank: • Costanza Gadda-Conti - HR Manager France Costanza.Gadda-Conti@biogenidec.com; Tel: 0141379595 For further information, please visit www.biogenidec.com / www.biogenidec.fr

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