BUS5SMM: CSL Management Analysis

This report provides a detailed management analysis of CSL Limited, a leading global biotechnology company. It examines CSL's strategic planning process, including its mission, vision, goals, and planning approach, highlighting the integration of sustainability and corporate social responsibility. The report also analyzes CSL's human resource management strategies, leadership roles (specifically focusing on the CEO's transformational leadership style), value chain and technology analysis (including the use of ERP systems), and proposes three major future strategies for the company. The analysis concludes with key findings and recommendations, emphasizing the importance of responsible business practices and diversification into new areas of research and development. The report is well-structured, including an executive summary, introduction, background information on CSL, and a detailed examination of various aspects of its management practices. It also includes a comprehensive list of references.

Management
BUS5SMM-Management Assignment-
Assessment 3: Management Analysis of
CSL
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Contents
Executive Summary:..................................................................................................................3
Introduction:...............................................................................................................................3
Background Information of CSL:..............................................................................................4
Planning Process:.......................................................................................................................6
Human Resource Management:...............................................................................................10
Leadership Roles:.....................................................................................................................11
Value Chain & Technology Analysis:.....................................................................................12
3 Major Future Strategies:........................................................................................................13
Conclusions & Recommendations:..........................................................................................13
References:...............................................................................................................................15
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Executive Summary:
This analysis report reflects the various strategic decision-making processes undertaken at by
the CSL management in order to ensure growth and sustainability of the business process
within the domain of Australia and also across the global supply chains of the organization.
The insights related to the company, its several products and services, the management
planning process like vision, mission and goals have been reflected through this report. It also
entails the other significant management strategies related to the of the human resources,
leadership roles in management, value chain and technology analysis and the three of the
major future strategies to be undertaken in order to cope up with the changed demands of the
clients in the dynamic business environment. Finally, the report concludes with the key points
from the management analysis of CSL and offering the plausible recommendations to
undertake the required strategic changes in order to enhance the growth and profitability
across its domestic and global supply chain.
Introduction:
The success of an organization in the domestic and international markets rests on the
effectiveness of the management strategic decision-making that involves in-depth analysis of
the various factors impacting the business some of them are internal while the rest are
external (Raišienė, 2014). The management plays a key part in this respect in order to ensure
that the business objectives and goals are met across the entire supply chain of the
organization. The supply chain of an organization is the basic framework that needs to be
evaluated from time to time by the management in order to identify the current level of
performance across all the elements in the supply chain management (Hood, N.D.). In respect
of CSL which is one of the global giants in its domain of business, the role of the
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management becomes pivotal in ensuring that the group is able to grow and sustain in the
long run.
The report reflects the ways in which the management of CSL has been instrumental in the
success of the company in the domestic market of Australia and also across the different
countries in which the firm has its dedicated supply chain (Mellat-Parast, 2013). The CSL
group is considered to be a pioneer in the department of producing bio-therapeutic products
for the benefit of human kind. It has invented various drugs and vaccines for the mankind to
alleviate the risks of fatalities occurring from some of the fatal and life-threatening diseases
the cure for which has not yet been discovered by any competing pharmaceutical
organizations. Therefore, the main factor behind the extreme success and achievement of the
organization across the global supply chain has been a strong vision and mission of the
management that is effectively supported by relevant strategic decision-making processes
those ultimately culminate into the achievement of the organizational objectives (Li, 2014).
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Organization Chart of CSL
Background Information of CSL:
CSL Limited is recognized as one of the leading organizations dealing in specialty
biotechnological products and services and serving across the globe. IT is a public
organization and is traded in the Australian Stock Exchange. The industry that it is a part of is
the Biotechnology Industry that is engaged in undertaking various research and
developmental initiatives and experiments in the domain of generating bio-therapeutic drugs
for curing critical illnesses in humans to ensure longevity of the humans and achieve the
global sustainability of the human race by inventing cures for some of the most life-
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threatening ailments (CSL AU, 2017). CSL was founded in the year 1916 as a Federal
Government Department of Australia. However, it was privatised in the year 1994. The
success of the company can be attributed to one of the great leaders in the management.
CSL Global Presence
Mr Paul Perreault, the current CEO of the firm. The firm deals in various types of
biotechnological products such as various critical life-saving vaccines, blood plasma and
several categories of medical and laboratory products. The organization has earned revenue
of around USD$6.9 billion in the year 2016, while the net income of the organization in the
same period amounted to around USD$ 1,769 million. The headquarters of the group is in
Parkville, Victoria.
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CSL and its Subsidiaries
The subsidiary CSL Behring has its headquarters at King of Prussia in the US. Its
manufacturing operations are undertaken at Bern in Switzerland, Marburg in Germany and
Kankakee in US. The other subsidiary known as Seqirus is headquartered at Maidenhead and
its production facilities are located at Parkville in Victoria, Holly Springs in the US and
Liverpool in UK. The organization has more than 17,000 employees engaged in various
domains of work across more than 30 nations (CSL AU, 2017).
CSL workforce strength and annual revenue for 2016
Planning Process:
Mission:
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The mission of CSL is to offer breakthrough in medical services to humanity theorugh
undertaking continuous research and development to offer best cures to the most critical
human ailments to achieve longevity and sustainability of the mankind.
Vision:
The vision of the organization is reflected in its values and ethics which entail the following:
 Focus on the Patients- the vision is to deliver on the promises to the patients.
 Undertaking Innovation- the innovative thinking processes are to be incorporated
into plausible solutions to the patients.
 Integrity of Approach- the management believes in the theory of walking the talk that
is to lead by examples.
 Achieving Collaborations- the essence of collaboration lies in growing stronger with
one another to serve the community.
 Attaining enhanced performances- the results of the operations are to be proud of
and this drives the organization in offering superior services in future that is
considered to be a continuous process (CSL AU, 2017).
Goals:
The goals for CSL are to become the market leader in the biotechnological products and bio-
therapeutic manufactures. The company is the leader in this sector in Australia and it is also
considered as a highly reputed unit across the countries where it has its supply chains. The
other prime objectives of the group consist of the invention of drugs and vaccines for many
other complex human diseases which are either incurable or difficult to cure today. The firm
also endeavours to offer the medical products at affordable prices such that they can be
afforded by the majority of the people all around the world. The essence of all its production
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and service processes is to deliver beneficence to the community and society by remaining a
socially responsible firm that seeks to achieve sustainability of the human race by eradicating
or fighting many of the life-threatening diseases in human beings.
Planning Approach:
The approach to the planning strategies by the CSL management is undertaken through the
implementation of the Modern and Innovative Planning methods. CSL is an organization that
believes in continuous development and improvement and therefore all its plans are focused
on the future trends and demands of the market and the clients. The management of CSL is
composed of many efficient leaders at the helm of the organization those are stalwarts in their
respective domains and they are always on the lookout of new ideas and strategies which will
help the firm to manufacture the biotechnological products based on the needs of the
community which are dynamic in nature.
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Basic Objectives of Planning
The planning approach that is undertaken by the management consists of some basic steps
involved in a strategic planning process those are enumerated as follows:
Preparation- This is the first phase which consists of undertaking of three steps before
developing the strategic planning. These are Visioning, Assessment and Developing and
Implementing.
Planning- This stage is composed of setting the priorities on the basis of the needs, resources
and strengths of the enterprise.
Implementation- In this stage the proposed plan is implemented in reality as per the
scheduled strategies. The monitoring, evaluation and collecting feedbacks on the performance
are of prime importance.
Review- Finally, the review stage consists of the restart of the entire cycle once again in a
way that the plan is in the process of continuous updating (MUSKIE SCHOOL OF PUBLIC
SERVICE, 2016).
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Stages of Strategic Planning
Incorporation of sustainability in decision-making:
Corporate Social Responsibility and Sustainability Reporting
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Sustainability has been at the prime focus for the CSL management. The aspects of the CSR
and sustainability are the responsibilities of the Global Corporate Responsibility Steering
Committee which conducts the materiality assessment. CSL’s business has identified 15
crucial factors of sustainability in respect of the organization and its stakeholders. The above
circles represent the impact of the stakeholders on the value chain of CSL. To ensure that the
community can achieve a sustainable living, the organization ensures that its production and
testing facilities do not emit any harmful substances beyond the permissible limits that could
pollute the environment. The Management undertakes responsible Environmental Reporting
like publish of the emission levels of the various greenhouse gases by the organization in the
year that is disclosed in its annual reports (CPA Australia, 2016). The management also
conducts Environmental Impact Assessments (EIAs) at periodic intervals in its operations or
whenever it undertakes a new project. Therefore, serving the society and community by
remaining accountable and open is one of the winning strategies of the organization.
Human Resource Management:
The HR strategy is one of the key functions for an organization that consist of the
development of various policies in respect of the recruitment, staffing, training,
compensating, rewarding, appraising, tending to employee grievances, etc. (Banach, 2017).
CSL has an effective HR department that takes care of the employees in a multicultural
setting by ensuring equitable and anti-discriminatory policies for all the employees. The HR
undertakes Polycentric Staffing policy by which the offices of CSL in international locations
have management personnel belonging to the respective host countries (What is human
resource, 2015). This is a testimony to acceptance of multi-culture by the management of
CSL. The HR undertakes the services of the reputed manpower suppliers in order to offer
some of the most talented, skilful and knowledgeable candidates. The HR focuses on
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selecting the right candidates for the right job and therefore it has given the duty of initial
screening to the manpower consulting firms. They do the initial screening and then send
candidates for interview with CSL. This saves time and money for CSL.
Leadership Roles:
Leadership instances in CSL management are numerous. The CEO of the organization, Paul
Perreault is a dynamic leader. He has been the brainchild behind all the major strategic
decisions of the organization. He is known to exercise Transformational Leadership in the
management (Duggan, 2017). He is a visionary and has determination and perseverance to
chase and achieve a goal that has been set by him. He has great personality and
communication skills those motivates the followers. He is considered to lead by examples
and known to take the entire workforce ahead with him in the path of holistic achievement.
He is an empathetic leader and considerate of other’s needs and demands. Once he is aware
of an issue within the management, he will immediately undertake enquiry into the subject
and try to get down to the root of the problem and initiate a quick resolution. This has
resulted in minimum of conflicting situations within the organizational setup. The level of
motivation of the employees is also high and they are extremely productive.
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Value Chain & Technology Analysis:
CSL Value Chain
The Value Chain for SCL consists of the various phases of production and services such as
the Early Stage of the Research and Collaborations undertaken, Product Development and
conducting Clinical Trials, Sourcing, Manufacturing & Distribution and Sales, Marketing &
Patient Support. In order to provide the best possible products and services to the clients,
CSL has implemented some of the most effective systems to take care of the entire supply
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chain process (Mellat-Parast, 2013). It has installed the Enterprise Resource Planning or ERP
software which has the responsibility of running the entire functions and processes in its
value chain (Krigsman, 2012). The ERP implementation has been instrumental in ensuring
that all the operations management and supply chain functions are undertaken on time and
with the desired outcomes
3 Major Future Strategies:
Based on the management analysis of SCL, the three major strategies to be adopted in future
re enumerated as follows:
 Undertaking more Research & Development Partnerships with several academic
organizations and other firms in the Asia-Pacific region that needs the more advanced
treatments and drugs as compared to the much advanced western countries like
Europe and the US
 Focus more on the development of new products, life cycle management and ensuring
the safety of the exclusive and wide portfolio of the products. CSL should research
and invest more on the medicines based on protein that is invaluable in curing various
serious human ailments.
 There is need for further development and research in the domain of drugs made from
plasma and other conventional sources of biology and also the use of the recombinant
biotechnology. The organization should undertake more licensing partnerships in
various parts of the world in order to develop innovative products and technologies
(CSL AU, 2017).
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Conclusions & Recommendations:
Concluding this management analysis report on CSL the key outcomes can be
comprehended. CSL is one of the leading bio-therapeutic and biotechnological drugs and
vaccine manufacturers in the world. The company is engaged in the production of various
medicines and vaccinations manufactured from blood plasma and proteins those are
extremely useful for curing life-threatening diseases in humans. The company has its base in
Australia and from there it has spread its global supply chain across Asia, North America,
South America, Europe, Russia, Australia and New Zealand and Middle East. The company
is able to achieve the growth and success owing to its prudent management strategies
courtesy of inspirational leadership at the apex management of the organization. One of the
key reasons of success for the organization has been its extremely efficient global logistics
and supply chain management. The players in the global supply chains are extremely
dedicated towards their jobs and this is one of the major reasons of success for the enterprise.
All the key departments of the organization play very crucial parts in ensuring that the
organization is able to undertake ethical business practices. The management portrays the
corporate social responsibilities and sustainability strategies through the accurate and timely
disclosure of the various reports like the Annual Reports every year-end, in order to be
transparent and accountable to the stakeholders of the organization. The management imparts
special focus on the sustainability of the organization and community and therefore across its
entire value chain in all the countries, the management has considered all the major decisions
keeping in mind the impacts of such strategies on the environment and the community. The
management of CSL believes in making profits only through responsible and sustainable
services and under no circumstances has it been involved in any ethical dilemmas that has
resulted in any unsolicited action taken by the management.
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The major recommendations for CSL will be to try and diversify into other forms of life
saving medicines and vaccines other than those made from the blood plasma and proteins.
Perhaps, it could focus on the medicinal plants from which it can also produce various kinds
of drugs and medicines for various complicated diseases. The clinical tests on such drugs
need different facilities and the management should invest behind building new
infrastructures and facilities for conducting the experiments with the medicinal plants and
leaves. This could open up new avenues for CSL if the results are successful.
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Banach, A. (2017) How to Create a Human Resource Department Annual Strategic Plan,
[Online], Available: http://smallbusiness.chron.com/create-human-resource-department-
annual-strategic-plan-44536.html.
CPA Australia (2016) CARBON REPORTING REGULATORY AND VOLUNTARY
DISCLOSURES, [Online], Available:
https://www.cpaaustralia.com.au/~/media/corporate/allfiles/document/professional-
resources/sustainability/carbon-reporting-regulatory-and-voluntary-disclosures.pdf?la=en.
CSL AU (2017) About Us, [Online], Available: http://www.csl.com.au/about.
CSL AU (2017) Business Development, [Online], Available: http://www.csl.com.au/business-
development.
CSL AU (2017) CSL Limited: Our Corporate Responsibility 2016, [Online], Available:
http://www.csl.com.au/docs/213/485/CR%20Infographic%202016_Final,0.pdf.
CSL AU (2017) Values & Ethics, [Online], Available: http://www.csl.com.au/about/values-
ethics.htm.
Duggan, T. (2017) Negatives of Transformational Leadership, [Online], Available:
http://smallbusiness.chron.com/negatives-transformational-leadership-10533.html.
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Leadership and Change Management, p. N.A.
Krigsman, M. (2012) ERP implementation benchmark: Comparing SAP, Oracle, and
Microsoft, [Online], Available: http://www.zdnet.com/article/erp-implementation-
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Li, X. (2014) 'Operations Management of Logistics and Supply Chain: Issues and Directions',
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perspective', International Journal of Quality & Reliability Management, Vol. 30 Iss 5, pp.
511-529.
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What is human resource (2015) International Recruitment -Ethnocentric approach-
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