genentech ppt

8/3/2019 Genentech Ppt

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CASE STUDY

Genentechs Work Culture and Practices

Prepared By:

Anamika Ray

Ankur Saini

Ankur Sharma

Neha Behnot

Harender SinghPrerit Sharma

Presented To:

Dr. Shalini Khandelwal


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INTRODUCTION

Founded in 1976 by Robert A. Swanson and Dr. Herbert W Boyer,considered as the founder of the Bio-technology Industry.

Headquartered in south San Francisco California U.S.

Employs more than 1,100 researchers and scientists.

Focuses its efforts on five disease categories: Oncology, Immunology,

Tissue Growth and Repair, Neuroscience and Infectious Disease.

Values are Integrity, Courage and Passion.

Genentech regularly receives awards and recognition for its overall

performance as a company, its management, its workplace culture, its

contributions to the community and its patient advocacy.


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ROBERT A. SWANSON &

DR. HERBERT W BOYER


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BACKGROUND

In mid 1970 Swanson approached Boyer to explore

the commercial potential of genetic engineering , this

led to the formation of GENENTECH.

The success of GENENTECH encouraged biotech

researchers to join commercial ventures.

In 1980 GENENTECH raised $35 million through

IPO.


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PROTROPIN growth hormone became the first

recombinant pharma product to be manufactured and

marketed by a biotech company.

In 1990 it completed a $2.1 billion merger with Roche

Holding Ltd.

In 2006 it announced Horizon 2010 a new corporate

growth strategy.

GENENTECHs revenue in the year 2008 was

$13,418 millions.


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ORGANIZATIONALORGANIZATIONAL

CULTURECULTURE


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Swanson wanted to create an

organization that the best scientists in

the US would want to join.

He realized that scientists and

researchers liked to have a certain

amount of freedom in their work.Therefore, he played an important role

in fostering elements like freedom for

employees, flexibility, and informality

in Genentech's culture...

Boyer strove to make an

employee friendly environment,

and a culture that resembled

the atmosphere in university

labs,

He encouraged researchers atthe co. to publish their research

discoveries in journals, to

establish reputation in scientific

circles

Robert A. Swanson

Herbert W. Boyer


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The culture at Genentech was informal in terms of dress code, titles and

the office space allocated to executives

Friday afternoon parties named Ho-Hoswere introduced in the early 80s

HO-Hos

Rare at biotech co.,

Contributed to establish as one

of the best work places in the

industry

Interaction sessions

Stress busters


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|DISCRETIONARY TIME}

Genentech provided its employees with opportunities to dedicate 25%

of their work time to work on projects of their choice.

75% assigned work 25% dream projects

Achieve Career goal

Work of interest

Motivated

Employees Organization

Significant work result benefits

No work undergo

Motivated employees


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Budget allocations with the involvement of the Researchers

Project Proposals

researchers

Research Review Committee

(RRC)

R&D budgets

Priority of the projects

Learning opportunities for administrative support staff

and employees - Administrative Professionals

Appreciation Day


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Employees professional growths

Surveys + training programs

Development courses for skill enhancement

Online courses were available to manage time

Special courses for employees identified for having leadership skills-

fastracking managers for success

Work in collaboration

Emphasized on its motto In Business for Life-to create

products that would make their patients live better. Thewalls of the office had pictures of patients treated with co.

products


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EMPLOYEEPRACTICES

Respect and fairness towardsall employees

Supported companionship amongst employees

Initiatives for Employee friendly environment

~Interactive lunch sessions with the senior management

~Celebrating together occasions

HRD introduced web casting within the co. This helped

connect the top management ,employees and staff together

Fun culture

working here has never been just a job because much emphasis is placed on how work

and personal commitments can coexist


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EMPLOYEE AWARDS & RECOGNITION


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Periodic recognition of employees for contribution to the

organization.

Cash bonuses called GenenChecks were also awarded

to teams or individuals.

Cash bonus was also paid on the referral program.

T-Shirts and anniversary recognition awards.

Upon every major achievement, the company held a large party.

The company provided Stock Purchase Plan.

Main focus was on science and research and to help

patients with medical needs.


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LEADERSHIP Levinson, who succeeded G. Kirk Raab, was more focused on management.

Sending of quarterly e-mails to employees providing them with various

information and asking for feedback.

Levinson used his finance and information technology skills brought the

company out from a bad phase.

Apart from Levinson, there were other top executives who were considered as

effective leaders.


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|DIVERSITYIN ACTION} PLAN

Formulation of Diversity in Action plan (DIA) in 2001 for

recruitment of diverse talent pool. Formation of Diversity NetworkAssociations for support and

networking activities.

Launching of Genentech Scholars Program for financially weak

students.

In January 2005, four employees were named as DiversityChampions.


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AT GENETECH


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Played role in creating informal culture

Rigorous recruitment procedure for scientists

No discrimination at workplace

Low yearly employee turnover rate(5%)

Positive impact of Orientation program

Informal meetings It encouraged its employees who had dropped out

college, to continue

and complete their studies


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Offered annual tuition reimbursement of up to

$10,000 It discovered and nurtured talent internally

(INTERNAL TRANFER PROGRAM)

Promotion rate grew from 12.3% in 2001 to more

than 16% in 2004

Genentech was largely

non-hierarchical.


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Genentech's employee benefits program wasconsidered to be the best in pharmaceutical

industry

Working part time-20 hours a week madeemployees eligible for the benefits offered to full

time employees

Employees received 12 paid holidays a year

Guaranteed Ride Home Program

EMPLOYEE BENEFITS


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Offered family and child care and working

mother assistance

It provided legal adoption assistance of upto $5000

Offer to choose 3 medical plans

Corporate bonus program It provided on-site personal banking

facilities on its campus


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GENENTECH CULTUREAT RISK ?


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Since 1990s Genentech had featured on the best employer list of many magzines

Fortune

Science

Working Mother

Essence

The company apart from this , Genentech also won many awards for its achievement andwork culture.

Since its inception company had been keen on recruiting the best academic minds , itwas one of the first companies for which academicians had adopted to work.

One of the main reasons why Genentech had been able to maintain its work culture wasof its relatively small size . According to some company executives , whatever has beenachieved in terms of employee commitment , satisfaction and loyalty over the years hadbeen possible because Genentech was not a very large company and most employees werelocated in the companys main campus

The total number of employees at Genentech exceeded 9000 in 2006 and it hadrecruited an average of 150 employees per month. It also anticipated a growth in staffing bymore than 15% by the end of 2006.

however, Genentech seemed well on its way to becoming a large company and a lot ofaspiring scientists were pursuing carriers in that field. And as Genentech grew and newemployees were recruited , there was the possibility that the company would lose someelements of its much admired culture.


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Trust and Respect

Scientific Leadership

Superior Products and Customer Focus

Exceptional People Frank Interviewer

Teamwork and Collaboration

Open, Direct Communication

Diversity

Informal, Enjoyable Environment

STRENGTHS


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Grooming scientist at Genentech.

9000 employees in 2006, but only 1000

number of sales force.

Genentechs Product marketed by Roche.

WEAKNESS


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Learning opportunity for administrationsupport staff.

Meeting of new recruits with top level

company executive. Scholarship program for employees.

OPPORTUNITIES


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Pessimistic view of researchers regardingjoining Genentech.

Growing number of competitors.

CEO Raab scandal. Government regulations

THREATS

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