New CEO to announce outcome of new restructuring plan in Jan Feb, what's he going to say?
'According to rumours, Mene P announced earlier this week that Obesity is to be dropped. Anyone with more info?'
New Opportunities iMED to go
Howard Hutchison, Chief Medical Officer, to go
Charles Dormer (Chief of Staff, whatever that is) to go.
So Astra really were a one trick pony
"I guess you don't do sarcasm"
you don't do sarcasm very well do you?
Az was tarnshed by a series of development failures coming out of AP - alongside the excesses in Sweden and arrogance of Charnwood. US sites must have done something but I can't remember what.
I guess you don't do sarcasm.
"AP is the best site, only one to produce anything, best at discovery, best management, best scientists, gave everything to other sites and they just messed it up if only the rest of Zeneca were as good."
Molndal produced Losec and Nexium, Charnwood Brilinta.
What did AP give to all the other sites? and how did the other sites manage to mess it up?.....and why did the 'best at discovery, best management, best scientists' manage to be such and epic failure for the last decade?
The truth is, the whole of AZ has failed, all sites were complicit in this
Zeneca licensed Crestor as an early stage project. It needed loads of work by Zeneca to get it through ph2 & beyond. I think for what Zeneca paid for it, it was the deal of the century. Could do with a few more like that !
Out of interest, who in-licensed Crestor? Astra or Zeneca?
''Nexium is not a new chemical entity and Brilinta, like Crestor, pre-dates the merger'' Not only does Crestor predate the merger, it was not discovered at Alderley, it was in-licensed from Shionogi.
Not only does Crestor pre-date the merger, it was an in-licenced compound - from Shionogi.
AP is the best site, only one to produce anything, best at discovery, best management, best scientists, gave everything to other sites and they just messed it up if only the rest of Zeneca were as good.
The harsh truth is no site has produced anything to replace the drugs going off patent. Why? Tricky one but bad management is in there. And whatever is anounced on 21 st won't fix things. From the previous annual restructures weaker people were given more responsibility.
Just responding to the post a few down about what has AP produced & why it 'appears' to be invulnerable. Well, no blockbusters recently but it is not invulnerable. Before anybody rants off about 'well I would say that because I work at AP', I do not & have not done so.
Over the years, AP has transferred many discovery areas out to other sites : all of infection (Boston), inflammation (Charnwood, then Molndal), cardiovasular (Molndal)+ a large chunk of oncology (Boston), so all that is left at AP now is some of the Oncology research. This has resulted in many people at AP losing their jobs.
All of CV & Inflammation/Respiratory is now at Molndal, all Infection is at Boston (+ a smidge at Bangalore) & the rest of Oncology is at Boston. Doesn't quite tie in with AP being immune to downsizing ?!
These products may not be megablockbusters but both Faslodex & Iressa are recent products of APs own research. The last time I looked they were selling about $1.3bn dollars between them & growing at about 19%/yr. The only other recent products that sell >$100m/yr & are growing are licenced in (Onglyza & Byetta). No other sites have discovered anything in living memory...........
".. So, the 2 remaining big sites in AZ have produced no products out of their own R&D for more than a decade..."
since the merger, the whole of AZ has failed to come up with a new chemical entity that has made it to the market - Nexium is not a new chemical entity and Brilinta, like Crestor, pre-dates the merger. Which sites have closed and which have survived has been based on the whims of the senior leadership team, not on delivery.
As for the future of AZ - AZ is now well and truly over the patent cliff and falling fast. Sadly it's not yet reached terminal velocity as both Nexium and Crestor go off patent by 2016. And it's too late to arrest the fall by replacing the lost revenues from those two before 2016. AZ is going to have to adapt to a future with much smaller revenues.
Bugger all, likewise Molndal. The last thing to come out of Molndal R&D was omeprazole- yes I know about Nexium but that was simply a single enantiomer of omeprazole - hardly original, yes it made money, but not original. So, the 2 remaining big sites in AZ have produced no products out of their own R&D for more than a decade. However, R&D success is not a means to survival, witness Pfizer's Sandwich site.
Good post, but you didn't mention Alderley Park. I'm not being facetious (just ignorant and interested) but what has that site produced making it seemingly untouchable?
Having worked for ICI Pharms, then Zeneca, then AstraZeneca, I find all this incredibly sad. There is a lot of cynicism in some of these comments which maybe is justified & makes people feel better making them but do not really help. However, there are a lot of people still at AZ who want it to be a success but are reliant on some good leadership (& drug targets), which has been sadly lacking over a number of years.
It appears that Discovery did not deliver enough quality candidates over a number of years. Its no good having quantity if the targets are not good enough. Development cannot make a silk purse out of a sows ear no matter how hard it tries or how much money it spends.
I don't have the magic answer (otherwise I would be running AZ) but unsuccessful Discovery sites were probably kept going for far too long having produced either nothing or very little for many years (eg, Sodertalje, Lund, Charnwood [yes I know about Brillinta], Montreal - now all closed). Molndal (still open) is not exactly covered in glory either with its last (albeit huge) product now on its last patent expiry legs. Bizarrely Reims was also closed despite being one of the more productive Dx sites.
I just hope the new management finds a way to make AZ great again as those who are left deserve it after what they have been through. However, there is only so much more downsizing that can be done before R&D becomes a virtual organisation.......
Good luck everyone on 21st Mar & lets hope not too many tents are required.........
It's no laughing matter for those caught up in this latest debacle, but you can't deny that the indecision and incompetence of AZ management is truly laughable.
I agree. This is no laughing matter.
When there's humour, I'll laugh
"So there was no announcement about when the next announcement about the forthcoming announcement might be?" - Brilliant!
"Twat" - No sense of humor then!
So there was no announcement about when the next announcement about the forthcoming announcement might be?
The announcement was about dmpksolutions and a few other things that is all
Was there no announcement, or did he announce something else?
Mene did not make such an announcement
According to rumours, Mene P announced earlier this week that Obesity is to be dropped. Anyone with more info? This mainly affects Molndal, right? Or does it hit Alederly too?
It can't be very much left of DMPK by now.They are probably just moving the outsourcing office in organogram.
can anyone confirm the order of play in terms of patent expiry? I've got Crestor coming off first but now been told Symbicort.
So DMPK continues its nomadic existence in AZ!?
...Because there is so much to get through on the 21st.
Lube up now Sweden.
Jim Lynch head of dmpk has gone. DMPK will be part of safety assessment. No idea what is the reason for the changes. I gather the webcast was a shambles and the Greek was awful. No idea why this was announced beforecthe 21st announcement.
Anyone know what the announcement today within Operations was all about?
Bold move would be to shrink AZ to a size sustainable post 2016 now. Nothing is going to happen to replace the lost revenue from Seroquel, Nexium and Crestor before 2016 so any delay is just delaying the inevitable.
"Head of ops, smith to retire?"
never heard of him! would that be a 'big announcement'?
"Big announcement next week"
there's an announcement from Soriot scheduled for the 21st, not heard of one for next week yet - what have you heard?
Head of ops, smith to retire?
Big announcement next week
Brennan is gone so I expect something different to Brennan's random, ill-thought out slash and burn this time round. Zook (head of marketing) and Gunnar Olsson (head of CVGI) going so suddenly suggests sales and marketing and CVGI are going to get hit. CVGI and oncology still bigger than R&I so maybe both will get trimmed - can't see more AZ site closures this time around.
Most interesting will be to see what happens with Medimmune. Brennan staked his position and reputation on it so wouldn't touch it (and admit he got it wrong) but Soriot's role at Roche was integrating Genentech. Makes no sense for Medi to lease a site in Cambridge whilst Alderley is half-empty and no sense in having Gaithersburg and a half-empty Wilmington in the US. Only reason to keep Medi on separate sites would be to sell it on but AZ would be lucky to get even half what was paid so don't really see that happening - see some site consolidation coming relating to Medi.
Longer term is harder to call. Nexium and Crestor patent expiries are going to hit revenues hard by 2016 and won't support the current size and structure. Can't see a merger - you merge from a position of strength and AZ offers nothing to a merged company. Can't see a take-over of AZ - again AZ offers nothing to make it a take-over target. A hostile take-over by AZ might be an audacious move. AZ has cash reserves that could probably be leveraged for a take-over of Shire and/or Forest. Could result in a viable company with decent future growth prospects, although there would be a blood-bath in order to get there - not sure what of the current AZ would survive. Only other option would to be to just to shrink back to a size that future revenues could support - would probably be only one European and one US R&D site and smaller everything else, but then it only takes one Losec-type moment to go back to soaring revenues and growth.
Happy Tent Day!
It was three years ago today, Stg Brennan taught the board to slay
Surely even those dumb wits at AZ don't need three weeks to put up a tent.
So now it's March... have the tents gone up?
Think on this. Do you want to look back at a career that produced little of value to medicine or society -- 10+ years of unproductive research -- or do you want to do something else with the remaining years of your working life?
Young or old, AZ need to get the manager:worker ratio well below 50%
to turn around the culture at AZ would take a massive clear-out at all levels and a big influx of new people untainted and unscarred by past history. Given AZ's financial state the big influx is not going to happen but rather the contraction will continue, and so the scramble to survive will only intensify. Sadly, AZ is going to be a tough place to be for the foreseeable future
And who would the right people be?
We'll know more in a couple of weeks.
Which brings us back to the original topic - hope the restructuring doesn't cause pain to the wrong people
Soo? Sorry, for 'prick' read 'pricks'.
I bet your manager loves doing your performance review and you see it as soo constructive
prick. go home and clean the webbing between your toes.
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