New CEO to announce outcome of new restructuring plan in Jan Feb, what's he going to say?
US side of things:
WILMINGTON, Del., Mar 18, 2013 (BUSINESS WIRE) -- AstraZeneca AZN -0.97% announced today that Gaithersburg, Md., will be one of three global research and development centers to improve pipeline productivity and to establish the company as a global leader in biopharmaceutical innovation. Additionally, US-based global marketing and specialty care commercial functions will be centered in Gaithersburg, currently the site of MedImmune's headquarters and the primary location for AstraZeneca's biologics activities.
The relocation of research and development, global marketing and specialty care positions from Wilmington will be carried out through 2015. The North America commercial headquarters, along with several corporate-based support functions, will remain in Wilmington.
The changes are part of AstraZeneca's announcement to invest in strategic research and development centers in Cambridge, UK; Gaithersburg, Md.; and Molndal, Sweden. The proposals are designed to co-locate teams to improve collaboration and put science and the patient at the heart of everything the company does. The changes will also simplify the company's global site footprint.
Pascal Soriot, Chief Executive Officer, AstraZeneca said: "The changes we are proposing represent an exciting and important opportunity to put science at the heart of everything we do because our long-term success depends on improving R&D productivity and achieving scientific leadership. This is a major investment in the future of this company that will accelerate innovation by improving collaboration, reducing complexity and speeding up decision-making. The strategic centers will also allow us to tap into important bioscience hotspots, providing more of our people with easy access to leading-edge academic and industry networks, scientific talent and valuable partnering opportunities."
The consolidation of AstraZeneca's global R&D footprint will have an impact on sites in the United States. About 1,200 positions will leave Wilmington, while there will be an increase of about 300 positions in Gaithersburg. The changes announced today will lead to an estimated overall reduction of about 650 positions in the US, while around 170 will relocate to other AstraZeneca sites in the US or overseas.
"I recognize that our plans will have a significant impact on many of our people and our stakeholders at the affected sites. We are fully committed to treating all our employees with respect and fairness as we navigate this important period of change," Pascal Soriot said.
AstraZeneca will provide an update on its business strategy and implementation plans at its Investor Day presentation on Thursday, March 21.
Thinking of all my former collegues who moved their familiies to the North West to work at AP when Charnwood shut. Unbelievable you are being put through this again. So sorry for you all.
Also to many folk at AP I had the pleasure of working with over the years, thinking of you.
If it is any compensation, there is a good life outside AZ, cut your losses and look forward to the future.
From the horses mouth
Alderley Park, Cheshire: Under the proposals, research and development work will no longer be carried out at the Alderley Park site which today houses around 2,900 employees. Approximately 1,600 roles will relocate from Alderley Park over the next three years, with a significant majority going to the new centre in Cambridge and the remainder to the company’s nearby Macclesfield facility or sites overseas. At least 700 non-R&D roles are expected to remain at the site. AstraZeneca is committed to exploring all options to ensure that Alderley Park has a successful future.
part of the news release
Alderley Park, Cheshire, UK: Under the proposals, research and development work will no longer be carried out at Alderley Park. Approximately 1,600 roles will relocate from Alderley Park, with the significant majority going to the new centre in Cambridge and the remainder to the company's nearby Macclesfield manufacturing facility or other AstraZeneca sites overseas. At least 700 non-R&D roles are expected to remain at Alderley Park. AstraZeneca is committed to exploring all options to ensure that Alderley Park has a successful future.
So what's left at AP ? Safety Assessment, Admin ?
Wonder if the R&D at Macc is staying?
Guessing Molndal survives courtesy of the fact that decision making abilities of seniors would look even worse if they were to shut down R & I there having only moved it there hook, line and sinker less than three years ago...
LONDON, March 18 (Reuters) - AstraZeneca is to cut around 1,600 jobs as it overhauls it research operations and consolidates drug development work in three major centres.
The move will see the end of drug research at the company's Alderley Park facility in northern England, for many years a hub of the group's R&D efforts, the drugmaker said on Monday.
New CEO Pascal Soriot, who will present his detailed strategy plans for the group to investors on March 21, said the programme would lead to $1.4 billion in one-time restructuring charges. Annualised benefits of the overhaul are expected to reach approximately $190 million by 2016.
"R&D to finish at Alderley Park. New UK HQ in Cambridge"
Thinking of all of my former colleagues that showed some loyalty to the company and moved their families North West and those that were already there. Look at this as an opportunity to do something else; find a positive in what might feel like the worst day ever.
No R&D at Alderley or NO Alderley ?
Looks like Respiratory is going to be a focus for AZ ! Shame they shut a site with the expertise !!!! Good news for all ex Charnwood Swedes.
Looks ike Respiratory is going to be a focus for AZ ! Shame they shut a site with the expertise !!!! Good news for all ex Charnwood Swedes.
Macc survives. Some staff from AP to be transferred there.
No cuts at all in Mölndal? Seriuosly?
What about Macc site?
amazing ! Zero productivity yet Molndal survives. Swedish mafia rules again.
What about Mölndal?
GMD out of Wilmington and moving to Gaithsburg. Mondal spared
R&D to finish at Alderley Park. New UK HQ in Cambridge
AP closing. New centre in Cambridge..
''Are the redundancy terms still the same as I know when they got rid of charnwood they were only guaranteeing they would stay the same until 2013.''
I have it on good authority the redundancy T&C's change this year. I left AZ voluntarily last year, one of my reasons was being told by a Vice President in R&D that the T&C's of redundancy were definitely going to change in 2013 (obviously for the worse) plus I was confident more redundancies would follow, admittedly I did not expect them so soon. Apparently 2013 is when the lucrative redundancy T&Cs put in place by Zeneca to ward off the hostile takeover bid by Hanson (in the early 90's) expire.
good luck for today all AZ employees
Are the redundancy terms still the same as I know when they got rid of charnwood they were only guaranteeing they would stay the same until 2013.
Good luck to everyone and although it might not feel like it at the time , it can be a good thing to he made redundant and move on to something else.
Good night Alpha Papa
I bet boston will be on the up after this.
You don't attract a top Merck guy without a grand expansion plan for Waltham
Mölndal doesn't need a big tent. Everyone fits into the canteen. Takes a bit of stress away, in truth
That won't seem so funny tomorrow.
... or with you!
"best return for sharholders" - fuck you- humanity will die with us!
AP would make a great NW centreparcs
I hope that Pascal's vision to achieve scientific leadership doesn't involve removing all the scientists. He has a tough job ahead of him. Essentially no strategy has been in place since the merger. We've just bumbled along with ever increasing waste and even more duplication with virtually no direction. Good luck fellow AZers.
AZ can't discover drugs. Even the ones they buy in are crap.
Once fostamatinib failed the mono therapy trial plus brillianta not gaining any traction in the US AZ's fate was sealed.
The humane thing to do is put it out of it's misery, break it up and get the best return for shareholders.
I may stand corrected tomorrow, but having a marquee is hardly an indicator of anything specific. That's just daft! It's just a way of doing an all staff meeting, with ALL staff from a particular site together. There's no sign of a marquee in Mölndal apparently, but that doesn't mean tomorrow isn't an all staff meeting for those guys or that they aren't at risk. They just have capacity in the restaurant/ conference centre to bring the entire site together at once.
As a current AZ employee of many years and one affected/ moved by previous announcements I'm not going to be naive about tomorrow; something has to change! They fired Brennan because previous changes weren't perceived (right or wrong) as enough to turn the company around. Soriot HAS to do something and for me past performance of any site is irrelevant. In spite of the fact that us employees are human beings we have to face facts, it is 2013 and this is simple economics! AZ is in a poor state for the future and if that's not dealt with then it is all over. If Soriot can find a strategy that mixes the science suitably with the economics then he has perhaps gone one step further than before.
Whatever the strategy is and whatever the personal impact on me and my colleagues I just hope that some years of certainty follow. From my level in the organization all I see is a group of talented people looking to do great science, to benefit our patients and to pay the bills at home. We would all no doubt benefit from better management and a performance culture that actually meant something; but who knows if any of that is on the cards for tomorrow...
Best wishes to all my colleagues (and potential critics), wherever you are.
Heard New Ops will be going.
What's New Ops? Different to old Ops?
Marque can only mean one thing - expect the axe to drop. Heard New Ops will be going. Reality is that AZ have nothing to replace products reaching patent expiry, and even if the next blockbuster was discovered tomorrow, and AZ could get it market quickly and efficiently - there has to be a first time(remember TRACKS???), it won't be generating revenue in time to save them. So, unless they can find the holy grail of a product in phase III just waiting to be acquired, that everyone else has missed - its hasta la vista AZ.
For all of those still at AZ - good luck - if you have the opportunity, take the money and run.
Pascal thinks AP least diverse of all sites
Astrazeneca are to make redundant all employees in both the AP and Macclesfield site, all low preformers will be replaced by small robots. All higher preformers will be replaced by bigger, stronger robots. This method has previously been used in South Korea and was very effective. Good luck. All changes are said to be made by 26th April.
"Mene thinks AP is full of moaners"
in AZ there's plenty to moan about - the culture is totally toxic.
Thank you Mene for this quick reply. Look forward to hearing from you tomorrow
Mene thinks AP is full of moaners.
regulatory is part of R&D.
Have Medi got meetings tomorrow or only AZ sites?
Yes, AP could close, but a long transition would be needed, there are other functions in addition to R&D on the site, regulatory for example.
Simple question, could AP be closed completely?
It looks like all sites have an SET led meeting scheduled sometime after the 9AM EST meeting. I don't understand why anyone would expect Pascal to do anything related to what the previous failed CEOs did? I don't believe he has any greater love for one site over another and that his decisions will be based on what he feels is best for AZ, NOT on what is best for himself or individual SET members. This could lead to some fairly dramatic changes. At this point, the SET members could be easily replaced by simply sending out an email and they know it!
"Not sure it will be a merger/acquisition announcement. It appears that it is the R&D sites which 'have the marquees' out. The commercial side of the organisation have no mandatory-attendance meetings in the diary for Thursday. There are Town Hall meetings later in the day where I imagine the announcements made in the morning will be passed on."
Marquee is up in Macclesfield also - a Development and Operations site. Ops and IS are in the marquee
"Not sure it will be a merger/acquisition announcement"
it won't be a merger/acquisition announcement. That kind of announcement has to be announced to the city/markets first and arranging simultaneous, global meetings would be too much of a prior warning. The Astra and Zeneca merger was (within Astra at least) announced internally only after we'd all seen and heard it in the press. And the news was released at 8.00am UK time, when the markets opened, which would've 3.00am in the US sites.
"A former colleague who is still at AP told me the announcements at Alderley Park would be 'followed by meetings with members of the executive team' . Ominous."
It's the same agenda in Mölndal. Oncology & CVGI up shit creek?
A former colleague who is still at AP told me the announcements at Alderley Park would be 'followed by meetings with members of the executive team' . Ominous.
Not sure it will be a merger/acquisition announcement. It appears that it is the R&D sites which 'have the marquees' out. The commercial side of the organisation have no mandatory-attendance meetings in the diary for Thursday. There are Town Hall meetings later in the day where I imagine the announcements made in the morning will be passed on.
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