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Strategies for Managing Pharmaceutical Workforce and Site Reductions: Analysis of Legal, Productivity, and Quality Control Issues

27 Aug 2010 • by Natalie Aster

“In 2007, due to the impending patent cliff and the consequent need to cut costs, big pharma began for the first time to outsource chemical API manufacturing to China and India. Prior to this only generic drug companies had manufactured in the two countries. Since then, big pharma has been undergoing waves of layoffs that have been accelerated by the economic downturn, with manufacturing and sales being particularly affected, and outsourcing levels in R&D and manufacturing are expected to increase further in the future”

A new report "Strategies for Managing Pharmaceutical Workforce and Site Reductions: Analysis of Legal, Productivity, and Quality Control Issues" by Business Insights examines the different strategies available for managing the layoffs and site closures resulting from not only the outsourcing of R&D and manufacturing, but also the transition from small-molecules to biologics and the need to exploit new markets. The factors causing change and producing the need for workforce reductions are analysed, and the expected impact across the pharmaceutical workforce in the US is detailed. Case studies from the pharmaceutical industry are provided to highlight pitfalls and illustrate best practice. The report concludes with discussion of the long-term risks associated with over-dependence on expansion in nonmarket economies and suggests methods to lower these risks.

Report Details
Strategies for Managing Pharmaceutical Workforce and Site Reductions: Analysis of Legal, Productivity, and Quality Control Issues
Published: July 2010
Pages: 118
Price: $4,795

Use the report to:

  • Identify current and future trends in pharmaceutical industry employment and understand their causes.
  • Assess inter-country (and within the US inter-state) differences in employment protection regulations.
  • Gain insight into strategies that have been used for facility divestitures to achieve optimum returns.
  • Appreciate the benefits of engaging with key local stakeholders during workforce reductions and site closures, and understand the sanctions which local governments may attempt to impose.
  • Understand the important role of employee morale and identify measures to retain key staff.

    • …And answer questions like…

  • What are the employment protection regulations regarding a mass layoff or facility closure in key states in the US and countries in Europe and Asia?
  • What happens to the government tax benefits and incentives when a company undergoes employment reduction?
  • When and why do companies provide additional severance and displacement support?
  • What two factors are key for a cost-efficient workforce reduction?
  • How does a company most effectively and quickly recover from a workforce reduction?
  • What is necessary to maintain an innovative R&D group after a workforce reduction?
  • What are the long-term risks of outsourcing to China and India? How does a company minimize risk exposure to nonmarket economies?

    • To order the report or ask for free sample pages contact [email protected]


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