Since Gavin was, a successful pharmacist and Stanley had in site on a great discovery this could be something great. They set up a small laboratory on the balcony of Mr. Herbert’s drugstore in Los Angeles to make the solution, which they named ALLERGAN® Nasal Drops. Allergan has become a company not just for eyes but they also have patents for conditions, such as cervical, medical dermatology (Allergan Inc. , 2012) THE SUCCESS OF ALLERGAN 3
Assess how globalization and technology changes have impacted the corporation you researched. With approximately 10,500 employees and a presence in more than 100 countries, we work hard to make sure our products reach the people who need and want them worldwide. (Allergan 2012). Allergan has branched out into other treatments besides the eye care of dry eye, glaucoma, and other eye conditions. Now they treat cervical dystonia, which is breast asester blepharospasm, strabismus, upper limp spasticity, and facials.
They also specialize in medical dermatology such as acne, psoriasis, severe primary axillary, hyperhidrosis, inadequately managed with urocogics and over active bladder and urinary incontinence. With Allergan having, a diverse approached helped how globalization and technology has impacted the company, based on their patent products that helps people live better and feel better. When needs are not meet they make sure they go beyond what is expected of them to keep up with the technology of the different products. Allergan has a partnership with the medical community.
Having these partnerships helps the company come up with their own thoughts and insight of customer satisfaction by improving their product based their customer’s outcome. They provide customers with the tools and education needed to keep them updated on the latest information so the customer can informed their doctor of any decisions they make. (Allergan 2012) SUCCESS OF ALLERGON 4 Apply the industrial organization model and the resource-based model to determine how your corporation could earn above-average returns.
According to Strategic Management 10th edition, 2013 above average returns were earned when firms are able to effectively study the external environment as the foundation of identifying an attractive industry. Hebert’s friend Stanley Bly sought to implement a strategy to reduce competitive rivalry and form a joint venture. Joint ventures increase profitability in this company. As stated below based on the 2012 annual report sales is expected to increase in the future and helps the company earn an above average return.
For the full year of 2012, Allergan expects total product net sales between $5,650 million and $5,800 million. Total specialty pharmaceuticals net sales between $4,740 million and $4,850 million. Total medical devices net sales between $910 million and $950 million. ALPHAGAN® franchise product net sales between $420 million and $440 million. LUMIGAN® franchise product net sales between $620 million and $640 million. Restasis product net sales were between $750 million and $780 million. Botox product net sales were between $1,760 million and $1,800 million.
Latisse product net sale were at approximately $100 million. Breast aesthetics product net was between $360 million and $380 million. Obesity intervention product net sales were at approximately $170 million. Facial aesthetics product net sales were between $380 million and $400 million. Non-GAAP cost of sales to product net sales ratio at approximately 14%. Non-GAAP was other revenue at approximately $90 million. Non-GAAP selling, general and administrative expenses to product net sales ratio at approximately 39%. Non-GAAP research and development expenses to product net sales ratio at approximately 16%.
SUCCESS OF ALLERGAN 5 Non-GAAP amortization of acquired intangible assets was at approximately $25 million. This expectation excludes the amortization of certain acquired intangible assets associated with business combinations, asset purchases and product licenses. Non-GAAP diluted earnings per share attributable to stockholders between $4. 15 and $4. 19. Diluted shares were outstanding at approximately 308 million. Effective tax rate on non-GAAP earnings were at approximately 28%.
For the third quarter of 2012, Allergan expects total product net sales between $1,370 million and $1,445 million. Non-GAAP diluted earnings per share attributable to stockholders between $1. 02 and $1. 04. (Allergan Report Second Quarter 2012) Allergan’s executive team comes together to collaborate by understanding and meeting the needs of patients. The team accommodates the needs of the patients that are not meet. “When fiscal, social and corporate responsibility, and listening to employees we share a unified vision of what it means to bring the best of medicine to life.
We actualize this vision through the execution of our strategic objectives as a company, and consider it realized when innovative ideas are translated into products that make life better”. (Allergan 2012) SUCCESS OF ALLERGAN 6 Assess how the vision statement and mission statement of the corporation influence its overall success. The vision of this company is to meet with the medical specialists to find out needs that were not meet and to make a commitment to patience.
They strategize their objective as a company and try to come up with new ideas that make their products better for their patients. “In partnership with the medical community, we bring to bear scientific excellence and rigor to deliver leading products that improve patient outcomes Customer Focus – Every action we take is with an eye on the “Three P’s”: The patients who benefit from our products, the physicians who trust our products and the payers who recognize the value of our products. Impact – We make an impact – going the extra distance to get the very best results, applying the highest standards to all that we do.
People + Passion – We succeed primarily through our people, whose talent brings quality to our work and whose passion brings commitment – not just from processes and structures alone. Collaboration – We are committed to sharing our knowledge and collaborating as a team to reach common goals. We promote and encourage different personal and cultural perspectives that drive new thinking. Innovation – We are uncomfortable with the status quo. We adapt, we improve, we have the courage to thoughtfully take risks as a team and seize new opportunities – for the company and ourselves.
Integrity – We get results the right way, without cutting corners. We are transparent, clear and respectful in our dealings with customers, co-workers and partners” (Allergan 2012) SUCCESS OF ALLERGAN 7 Evaluate how each category of stakeholder impact the overall success of this corporation. Stakeholders “Today, we have approximately 10,500 highly dedicated and talented employees, global marketing and sales capabilities.
With a presence in more than 100 countries, a rich and ever-evolving portfolio of pharmaceuticals, biologics, medical devices and over-the-counter consumer products, and state-of-the-art resources in R&D, manufacturing and safety surveillance that help millions of patients see more clearly, move more freely and express themselves more fully. (The World of Allergan) Allergan capital market shareholders have major suppliers like Bank of America, Merril Lynch, and Wells Fargo. The product market stakeholders are the customers that Allergan meets the needs of when others cannot meet it.
Their supplies are R&D who staffing demands has grown since being outside the US has grown by 20 percent in the last couple of years. Based off the company wanting the best product for the best prices for the good and services they provide. This also keeps the customer and the stakeholder happy. Organizational Stakeholders; they also support local market development by temporarily having their employees in start-up markets and soon move to a more advanced one. The executive leadership committees reward their employees with a Hidden Gem Award, quarterly. This award program recognizes and rewards employees who embody Allergan’s spirit of innovation and serve as an example and inspiration to their fellow colleagues”. They also reward those who are contributing to the business. (Allergan 2012) SUCCESS OF ALLERGON 8 Reference (2009). Allergan Inc. Innovative Sourcing for an Innovative Company, Clarkson Consulting. www. allerganviews. co Pyott, David. (2012) Allergan Performance Report