AstraZeneca, the Anglo-Swedish pharmaceutical group wants to cut cost disparately. A lot of their patents are set to expire within five years. It has earlier made an announcement that it will cut 7,600 jobs to enliven bottom line. The group has decided to outsource all (officially 'some') its drug manufacturing in the next ten years.
The report has come out in The Times of London. David Smith, vice president of AstraZeneca was quoted as saying that the group would concentrate on pure research development and marketing. Manufacturing is not an area where AstraZeneca will concentrate and it seems by outsourcing drug making they will be able to save million dollars. In the future, more high end drug making manufacturing may also go outsourcing way along with other logistics activities.
FT reports
The company is likely to grow the value of annual contracts in China from $10m to about $100m (£50m) over the next three years, with a similar boost in India, executives said.
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Interesting to see the drug giant also jump the bandwagon
Posted by: Mohan | September 23, 2007 6:39 PM | Permalink to Comment