Buckinghamshire Uni - BM627: Innovation Report and Analysis

This report provides an in-depth analysis of AstraZeneca's innovation strategies, focusing on its significant role in the pharmaceutical industry, including its response to the COVID-19 pandemic through the development of the Oxford-AstraZeneca vaccine. The report explores the company's history, highlighting the merger of Astra AB and Zeneca Group and its subsequent growth. It examines AstraZeneca's existing innovation performance, its capabilities, and its investment in research and development. The report also delves into the industry context, including the importance of innovation for growth and the company's use of the McKinsey 7S model for organizational effectiveness. Furthermore, it discusses AstraZeneca's collaborations, patent strategies, and its commitment to developing medicines for various diseases, including oncology, and the impact of the pharmaceutical industry in 2021. The report concludes by emphasizing the company's focus on continuous innovation and its contributions to the healthcare sector.

Managing innovation in
business

Executive summary
In this report discussed about the business innovation that is an important factor for the
company to get success and survive in the competitive market. The company like AstraZeneca is
the leading and the largest company of the pharmaceutical for the innovation in their industry.
With the regular and continuous innovation company will lead the success in the industry. The
different drugs of medicine are produce by the company to cure the patients from the disease and
give them the value to the life. This will help the company in their innovation and development.
The recent innovation of AstraZeneca is develop the vaccine to protect the people health from
the infection of Coronavirus. This will help the company to grow immensely in the industry and
recognize in the world by producing the oxford AstraZeneca vaccine. Both the company Astra
and Zeneca before the merger are known for their effective innovation and after their merger
both the company become one and use their effective innovation techniques with the use of open
innovation model achieve a lot of success and growth in the industry. In 2021 Pharmaceutical
industry leads the 3 position in the economy.

TABLE OF CONTENTS
Contents
INTRODUCTION...........................................................................................................................1
The organisation and industry overview..........................................................................................1
The organisation and its innovation history.................................................................................1
Organisation existing innovation performance and capabilities..................................................2
The Industry in 2021....................................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The business is to be innovative for the growth and for the effectiveness. Innovation in the
products or services of the company is always managed so that company effectiveness and
efficiency is to be maintained (Nieminen, 2020). Innovation can be termed as introducing the
new products or services. Innovation management is termed as manage activities for introducing
new product or service. The purpose of the report is to identify the innovation done by the
company in their operations and the structure of the report is discussed about organisation and its
innovation history, then the company existing innovation performance and the capabilities and
their industry in 2021.
The organisation and industry overview
The organisation and its innovation history
AstraZeneca is a multinational pharmaceutical company that is founded in 1999. Its
headquarters are in Cambridge, England and UK. AstraZeneca is a founded with the merger of
Swedish Astra AB and Zeneca group of British. After the merger company is world largest
pharmaceutical company and have significant growth in the industry with the innovation in the
field of pharmaceutical. After the merger company is involved in the operations having a lot of
innovation in its field. AstraZeneca has manufacturing facilities in over 19 different countries.
Company has over 9 different sites for the research and development and sales its products in
over 100 countries globally. With the merger company did lots of innovation in the field of
pharmaceutical and achieve the growth continuously. In 2002 drug named Iressa is approved by
the Japan for the disease called non- small cell lung cancer. This drug helps to get innovate in the
field and place the growth in the industry. Company focuses on the five main areas for the
innovation that involves cardiovascular, gastrointestinal, oncology, respiratory and anaesthesia.
Company also collaborate with the different companies for innovate in the vaccine maker
medlmmune.
In 2006 AstraZeneca acquires the Cambridge Antibody technology for the innovation in
global biologics. For the future innovation in the drug named Nexium by producing its generic
version AstraZeneca reached to the agreement with the Indian company called Ranbaxy in 2008
(Shah, and et.al., 2018). For the innovation in the different areas of the medical and make the
different drug to cure from the disease AstraZeneca did a lot of collaboration and agreement with
the different pharmaceutical companies. In 2007company did innovation in the novel antiviral
1

drug that includes different approaches for the disease called Hepatitis C and other one is
Respiratory Syncytial Virus (RSV). Company innovate in the research areas on the disease with
the infection and the bacteria with the one of its therapy areas. AstraZeneca after the merger both
individual companies are well known for their innovation and after this merger company place
the highest growth in the industry with their different innovation in the industry by providing
most suitable and best drug for the patients to cure the hazardous diseases (Nicholls, and et.al.,
2018). Company focuses on continuous development on their research and development area for
the innovation in their drugs that is more effective to the patients.
Lifecycle of AstraZeneca
Introduction
Company introduction is starting in the year 1999 with the merger of the company Astra and
Zeneca.
Growth
Company growth stage stated in the year 2002 with the drug named iressa.
Maturity
Maturity stages comers with the collaboration with Pfizer.
Decline
Company declining stage is still not arrived as it is at the maturity level and sustain in the
market with the innovation.
In 2013 company announces to corporate and restructuring in its research and development
activities. It also announces that company mainly focuses on the three therapeutic areas for the
research and innovation in the areas of respiratory inflammation, autoimmunity, disease of
cardiovascular and the metabolic and the oncology. In the 2014 company join with the Eli Lilly
in developing BACE inhibitor for the treatment of Alzheimer disease. In 2015 company did
various collaboration with the different companies for innovate the drugs of different disease like
Naloxegol for the treatment of Opioid induced constipation, gyrase inhibitor, non – hodgkin’s
lymphoma, myelodsplastic and myeloma. In 2020 company innovate the vaccine against the
virus called Coronavirus.
Organisation existing innovation performance and capabilities.
Multinational company like AstraZeneca has placed the growth with the different and
efficient innovation in the field of pharmaceutical in the industry. With the innovation in their
2

existing performance company is leading in the industry for the pharmaceutical company.
Company’s aim is to push up their boundaries in a way towards the science to deliver the best
medicines to cure from the disease. The company is regularly doing the innovation and updating
in the new products of medicines to cure the patients and changes their life with the medicines.
Recently the company launches the vaccine for the covid, and it is approved by the oxford. The
WHO recently in 2021 update regarding the use of the vaccine of the AstraZeneca is most
helpful the patients (Palmer, 2021). The new drugs of the AstraZeneca performed the strong
influences in London by falling in the patients suffering from the cholesterol. Company spend
six billion U.S. dollar in the research and development in 2020. Company profits in 2020 were $
26,617 million. Patent is given the right to the company for the production of the drug and the
AstraZeneca has various patent for their drugs.
Company recently also develop in the cancer drug in India. The capsule name Acalabrutinib
100 is launched by the company for the different types of the blood cancer and helps the patients
to cure from disease of blood cancer. The existing performance of the AstraZeneca is on the
growth where the different innovation and the effective innovation are done by the company for
the growth in the industry. The company is focussing on the oncology to provide the cure for the
cancer patients (Iacobucci, 2021). With the use of the science all the measures for the cancer are
understand by the company and also it all possible complexities, innovating the medicine for the
life changing treatment for the patients. The performance of the company is on the growth and
has innovated in the different areas for the effective medicines by having the efficient team of
research and development. With the use of the effective and the recent technology company is
producing and innovating their new and existing products.
The entire world is suffering from the most hazardous disease known as coronavirus and
every pharmaceutical company are engaged in innovate the vaccine to get safe from the virus,
and the company AstraZeneca get success in producing the vaccine against the virus and place
the name in the world of the company. This vaccine is approved by the WHO and also done
various testing before launching the vaccine and approved. For producing the vaccine
AstraZeneca did more than 60 tests for the safety and the quality control for every batches of
vaccine. The AstraZeneca is regularly innovating their products in the different fields especially
in oncology to cure the disease like cancer. The company’s capabilities for the innovating are
high with the development of the new products with the use of the recent and efficient
3

technologies. AstraZeneca produce their products with the use of latest technology for the
innovation of their products in a way that will help to improve their productivity and completed
their work in the minimum time.
The AstraZeneca uses the innovation model in their operations so that the operations are to
be efficient and the effective and have the growth of the company in the industry, with the
effective use of model. With the use of Mckinsey 7s model AstraZeneca did the innovation in the
company products. This model is set to achieve the goals with the interaction with the 7 s of the
model for the effectiveness in the organisation. The internal key elements are used by the
company for the effectiveness and innovation (Cox, Pinfield, and Rutter, 2019). The key
elements are-
Strategy
The effective strategy is to used by the company to achieve the competitive advantage
and get success in the market. The overall business strategy of the AstraZeneca is clearly defined
to the employees and the stakeholder so that the work is to be done effectively.
Structure
AstraZeneca has the flattered organisation hierarchy that helps the company by
supporting to the learning and progress in the organisation.
System
Company has well democrated system and with the innovation of the new product the
testing of the product is to be done several times to clearly understand the effectiveness.
Shared values
The core values for the company are to provide the best medicine for the patients that
create the values for them and change the life.
Style
Company uses the leadership style to engage and involve its employee in decision
making.
Staff
Staff of AstraZeneca is well trained and have deep knowledge in the pharmaceutical and
have different roles and positions.
Skill
4

The workforce of AstraZeneca are highly skilled and capability to work in the ever
growing and trending pharmaceutical company
The Industry in 2021.
Today pharmaceutical company is playing a significant role and have largest sector in the
industry is cover up by the pharmaceuticals. In UK pharmaceutical is the third largest industry.
This industry is in the central of the response due to the pandemic and also in central in the
economy for the recovery. This industry is in the growth process and has to send more on the
research and development for producing the medicines for the current virus and the fungus from
which patients are affected. To be in the growth and have to do the research and development by
the pharmaceutical most UK budget announces various important announcement. For the
research and development government relief from tax in this sector by aiming to keep the UK
research sector in the competitive location (Lawrence, and Kopcha, 2017). Deduction is given to
the companies for investing in the new plants and also investing in the machinery for assets. A
scheme is introduced for the highly innovative companies that are effectively working in the
innovation by working with the life sciences; aim to raise the fund to at least $20 million.
The Pharma and the life science sector of the UK is growing towards the success in the UK
economy and specially from the last year it is showing the strength for UK economy. UK is
being long in the innovation and development of the new drugs is expertise globally. The
pharmaceutical industry is the strength of UK economy. With the success of Oxford AstraZeneca
vaccine for Covid-19, country effectively researched and discover on the drug that helps to
benefits to benefit human health across the globe (Kalungia, and et.al., 2019). With the recent
development and research in the pharmaceutical sector the company is developing and building
the moments in the UK.
In 2021 the pharma sector entered with the high presence and funding from before. For the
success of Covid -19 treatments the industry have wider investors and also have public support
with the funding in the research and development of vaccine to safe the people from covid virus.
For the particular discovery of the drug and the development sector government introduced $22
billion for the study to test different vaccines combination effectiveness (Rahman. 2021). Also
announced for the pharmaceutical industry in UK of $5 million investments in the clinical scale
of mRNA manufacturing in UK to create the library of different vaccines that will help to work
against the disease called Covid -19 variants with the rapid response.
5

With the budget announcement in UK for the pharmaceutical industry to building and
encourages in the investment in to the pharmaceutical sector with the immense intellectual
property. With this in addition the extra $1.65 billion injections are ensured for the vaccination in
the England, this industry also welcomed the UK wide ‘future fund’ of worth $ 375 million. All
these will funds and the budget helps the pharmaceutical for their immense growth in the world
with the effective budget and research and development (Am Ende., 2019). The pharma
companies in the UK immensely growing and innovating in their areas for the growth globally
and experiment the different vaccine to protect from the covid to the people.
CONCLUSION
From this report it inferred that innovation is important for every business for their growth
and survival in the industry. The innovation is to be managed by the business for the effective
and efficient use of the innovation techniques. Company like AstraZeneca leading in the
pharmaceutical industry have significant growth in the industry with its innovation in their
products on the regular basis. This innovation leads the company to be the largest pharmaceutical
company in the world. With the innovation company produce the different medicines to cure the
patients from the diseases and give them the value to the life. In UK Company Pharmaceutical is
the third largest industry in the success and growth.
6

REFERENCES
Journals and books
Am Ende, M.T. ed., 2019. Chemical Engineering in the Pharmaceutical Industry: Drug Product
Design, Development, and Modeling. John Wiley & Sons.
Cox, A.M., Pinfield, S. and Rutter, S., 2019. Extending McKinsey’s 7S model to understand
strategic alignment in academic libraries. Library Management.
Iacobucci, G., 2021. Covid-19: Most UK adults had antibodies after one dose of AstraZeneca or
Pfizer vaccine, data suggest.
Kalungia, A., and et.al., 2019. UK and Zambian Pharmacists Working Together: Improving
Antimicrobial Stewardship and Pharmaceutical Education.
Lawrence, X.Y. and Kopcha, M., 2017. The future of pharmaceutical quality and the path to get
there. International journal of pharmaceutics. 528(1-2). pp.354-359.
Nicholls, S.J., and et.al., 2018. Assessment of omega‐3 carboxylic acids in statin‐treated patients
with high levels of triglycerides and low levels of high‐density lipoprotein cholesterol:
rationale and design of the STRENGTH trial. Clinical cardiology. 41(10). pp.1281-
1288.
Palmer, S.J., 2021. A review of evidence for thromboembolic events associated with Oxford-
AstraZeneca vaccination: risks, limitations and implications.
Rana, E.A., and et.al., 2021. Severity assessment of single dose Oxford–AstraZeneca vaccinated
individuals infected with SARS CoV-2 in the Southeast Bangladesh. medRxiv.
Shah, M.H., and et.al., 2018. NCCN guidelines insights: neuroendocrine and adrenal tumors,
version 2.2018. Journal of the National Comprehensive Cancer Network. 16(6).
pp.693-702.
Online references
Nieminen, J., 2020. What Is Innovation in Business and Why Is It So Important?. [Online].
Available through <https://www.viima.com/the-innovation-archive/innovation-in-
business>. [Accessed on 11 June, 2021].
Rahman. L., 2021. What the UK Budget means for the pharma sector: industry reaction.
[Online]. Available through < https://www.ddw-online.com/what-the-uk-budget-means-
for-the-pharma-sector-industry-reaction-10068-202103/>. [Accessed on 11 June, 2021].
7