Corporate Strategies For CSL - A Global Biotechnology Company

Question:

How Do Application of Corporate Strategies?

CSL was founded in 1916 in Australia is a global biotechnology company. The company is dedicated in research, development, and manufacturing of medical products. Commonwealth serum laboratories are company held by the government. They are famous in the world for manufacturing vaccines, antivenom and blood plasma derivatives through medical investigation. The company has employed 16,000 employees in more than 30 countries. The medical facilities are located in Australia, Germany, Switzerland, U.K, and U.S.A(About CSL, 2017).

The mission of the company is to ensure safety, quality to its customers through extensive research and development. CSL has a primary focus to protect the health of the people and save them against dangerous disease.  They have grown into a leader by providing therapies to the patients around the world. They aim for generating difference by saving the lives. They have a dedicated staff that is carrying out their duty in a responsible manner(Governance, 2017). CSL is time after time achieving their goals by keeping them simple and measurable.  CSL has a direct goal to make certain safety measures regarding the patients. They have achieved with their realistic approach under the given time period. They are popular for providing niche services in a biotechnology industry. Their global presence has helped them to achieve the prerequisite mission. They are consistently expanding their business which is held for their success(Code of Responsible Business Practice. 2017).

CSL has a mission on meeting the needs of customers by consistent inventions in the field of biotechnology. The company is driven by ethic and honesty to follow its mission to ensure health care and research. For this purpose the company has collaborated with other biotech giants to provide better health facilities. Moreover they have a superior quality performance in the field of biotechnology that has helped them to focus on maintaining value and principles. The intrinsic mission of the company is to emphasize on the ethics and morals.  The Ethics and morals imbibed in the organization will ensure sustainability. CSL has a clear focus on the ethics and values that they want to achieve within the given time frame.  The company is consistently dedicated in achieving remarkable growth. It is working for the welfare of the society to bring changes in the medicine industry(Business Development. 2017; Eden and Ackermann, 2013).

In the recent years the company has faced criticism due to changes taking place in the business industry. CSL is a pioneer of Biotechnology products. The company is dedicated in research, development, and manufacturing of medical products. Commonwealth serum laboratories are company held by the government. But in the recent time there have been issues in the organization due to huge competition in the industry. It is facing tremendous competition from the local and international brand. There has been series of criticism due to current business practices.

Firstly, there is a necessity to notice inefficiency in the overall business operations due to diseconomies of scale. This has relatively caused a pressure over the company. The biotechnology industry requires lot of investments. In such a competitive atmosphere it has become evident for the company to ensure regular availability of funds. This will ensure better economy at work. This is important for the organization to deploy the resources in an effective manner. On a long run it is evident that the company will require huge investment in the field of research and development. It is necessary for the organization to develop effective opportunities in order to attain desired results(Smyth,2015; Hill, Jones and Schilling,2014).

Mission and Values

There are complaints regarding the unethical practice in the field. It is however causing a negative impression on the stakeholders. Experiments on animals are one of the negative parts of research made by the company. The company has to ensure efficiency through ethical practice. In order to sustain in the market ethical practice is one of the important part. The company has faced criticism in the recent years due to unethical practice. Various animal safety organizations has charged complain against unethical practice at CSL. They need to deploy effective practice so as to gain an efficient value in the market. Ethical practice holds the core value for the organization. They however need to ensure safety and protection of animals (CSL LIMITED. Our Corporate Responsibility. 2016).

Criticism to the company image causes a negative impact on the long run. In order to attain positive results it is necessary for the organization to deploy ethical values at work. This will ensure high productivity. Environment sustainability is the core value of the organization. CSL has a primary focus to protect the health of the people and save them against dangerous disease. They need to focus on attaining efficiency through dedicated services(Corporate Responsibility, 2017).

There is a high competition in the industry. There is a lot of growing competition from the existing market players. This has however created lot of pressure over the company. Major competitor is Life Therapeutics, Peptech and Pharmasynth.

The bargaining power of supply is low.  The research and development is expensive for the company. It is therefore creating low bargaining power in the hands of the suppliers.

Te bargaining power of consumer is low. The medicine and vaccines are highly priced. This is evident that the organization to invest in an effective manner on the research and development. This will help the company in achieving sustainable objectives.

No, there is no substitute for the vaccines and medicines manufactured by them. The vaccines and medicines do not hold any substitute looking at the current market situation.

Threat of new entrant is moderate in nature. The new off shoring process is causing an extreme pressure on the company. In such a situation the company needs to adopt competitive market strategy to compete against the local players.

CSL is primarily focusing on conducting ethical business practices by making regular contribution in the social, economic and environmental development. The Sustainable environment is given priority while delivering its services. The overall purpose is to ensure implementation of CSR practices. This will efficiently help in managing functions by benefitting the interest of stakeholders. The key areas include research and development through conducting consistent relationship.  CSL has ensured high standards at work by incorporating best CSR practices in their work- culture.  The CSR Practices include supply of medicines and other products to its customers in an ethical manner(Grant, 2016). They have a goal of distributing the financial success with their shareholders. The management has ensured that the research and technology is not imposing any kind of harm to the environment. CSL is committed to meet the terms with the help of regulations in their code of conduct. It is moreover important for the organization to ensure efficient research practice through efficient participants. In addition to this the organization is properly monitoring the efficiency at workplace. Special concern is given to animals while carrying experiments. This is important for the organization in ensuring CSR and efficient governance practices(Ryan,2016).

Challenges Faced

The company has understood the importance of Engaging stakeholder’s interest by managing base of the corporate responsibility. CSL has the key responsibility to safeguard the interest of stakeholders that include patients, workers, shareholders, regulators, government healthcare professional, plasma donor, academic staff and associates.  This can only be ensured through better services to the patients, health care services, and active teamwork. The company believes in ensuring dissimilar methods that depend upon current issues. These issues include special attention for the well-being of the company(Hollensen, 2015).

The organization is a public sector unit and working efficiently under the supervision of the commonwealth government. CSL has a direct goal to make certain safety measures regarding the patients. They have achieved with their realistic approach under the given time period. The main priority of the company is to promote the idea of health living and sustainable living. This can only be attained through efficient implementation of policies.

It is recommended that the company need to realize the opportunity developing in the international market. This will allow the company in attaining sustainable results. Huge investment is required for the company in order to attain interest from the international organization. The company can collaborate with the in international investors. This will allow them to expand business in an effective manner. In order to ensure consistency the company should adopt ethical practices. These ethical practices will ensure worldwide approach. For this purpose the company has collaborated with other biotech giants to provide better health facilities. The management needs to ensure that the research and technology is not imposing any kind of harm to the environment. It is highly important for the brand to deploy effective practice so as to gain an efficient value in the market.( E. Dobbs, 2014; Rothaermel, 2015).

Conclusion

 To conclude it is evident for the business organization like CSL to use the marketing and business strategies in an efficient manner. . CSL is time after time achieving their goals by keeping them simple and measurable.  CSL has a direct goal to make certain safety measures regarding the patients. The report provides information regarding the threats and opportunities in the market. They are facing competition from the international market as well. In such a competitive atmosphere it is necessary to deploy services by engaging investors in a productive manner. The company has faced criticism in the recent years due to unethical practice. The report provides recommendations to the company for implying the strategies in an effective way.

References

About CSL, 2017. Online. Available at : https://www.csl.com.au/about Accessed on: 8 May 2017

Better use of skills, better outcomes: Australian case studies.2012.  Online. Available at :  https://docs.education.gov.au/system/files/doc/other/better-use-of-skills-case-study-booklet-8-may-2012.pdf Accessed on: 8 May 2017

Business Development. 2017. Online. Available at :  https://www.csl.com.au/business-development Accessed on: 8 May 2017

Code of Responsible Business Practice. 2017. Online. Available at :  https://www.csl.com.au/about/code-of-responsible-business-practice.htm Accessed on: 8 May 2017

Corporate Responsibility, 2017. Online. Available at :   https://www.csl.com.au/corporate-responsibility.htm Accessed on: 8 May 2017

CSL LIMITED. Our Corporate Responsibility. 2016. Online. Available at :  https://static.globalreporting.org/report-pdfs/2015/1efe4eb58e9a2bb9066177bac8d4658d.pdf Accessed on: 8 May 2017

2014. Dobbs, M., 2014. Guidelines for applying Porter's five forces framework: a set of industry analysis templates. Competitiveness Review, 24(1), pp.32-45.

Eden, C. and Ackermann, F., 2013. Making strategy: The journey of strategic management. Sage.

Governance, 2017. Online. Available at : https://www.csl.com.au/about/governance.htm Accessed on: 8 May 2017

Grant, R.M., 2016. Contemporary strategy analysis: Text and cases edition. John Wiley & Sons.

Hill, C.W., Jones, G.R. and Schilling, M.A., 2014. Strategic management: theory: an integrated approach. Cengage Learning.

Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.

Lomeusz,S.2016. Behind the market’s CSL surprise.Online. Available at: https://www.theaustralian.com.au/business/opinion/stephen-bartholomeusz/behind-the-markets-csl-surprise/news-story/5ac5afb6e3e9797450dd04161731c8d1 Accessed on: 8 May 2017

Rothaermel, F.T., 2015. Strategic management. New York, NY: McGraw-Hill.

Ryan, D., 2016. Understanding digital marketing: marketing strategies for engaging the digital generation. Kogan Page Publishers.

Smyth, J.2015. Online. Australia’s CSL warns of biotech bubble. Available at :  https://www.cnbc.com/2015/08/10/australias-csl-warns-of-biotech-bubble.html Accessed on: 8 May 2017