Novartis Pharma The Business Unit Model Case Solution

Case Solution

In June 2000, Novartis restructured its pharmaceutical business division to develop international business entities in oncology, transplantation, ophthalmology, and mature goods. The other enduring primary care items were overlooked and supervised under international operations (e.g. R&D and marketing). The rejuvenated company initiated a matrix construct and restructured duties and job descriptions for heads of different business divisions, CEOs of new business sections, and country managers functional in more than 100 countries.

Excel Calculations

Questions Covered

Form of Business Units Created at Novartis Pharmaceuticals

Creation of Marketing Focus

Quick Response to Changes in Market Dynamics

Inculcation of Entrepreneurial Spirit and Motivation of Staff

Creation of Reporting Conflicts

Less Focus on Long-Term Research and Development

Conclusion