Subject category:
Production and Operations Management
Published by:
WHU - Otto Beisheim School of Management
Length: 22 pages
Data source: Field research
Abstract
The case study takes place at the Mexican operation of Merck KGaA, a large, global acting, pharmaceutical company. It addresses the cultural and strategic issues of optimising the supply chain in the Mexican pharmaceutical industry. The story evolves around Adalberto Maldonado, Director of the Pharma Sales and Marketing department. The Mexican market shows critical variations that need to be understood in order to manage effectively, particularly the sourcing markets and client structures within supply chain management. Managing between German guidelines and corporate culture on the one side, and the Mexican working environment on the other, is a clear challenge to be faced. Breaking through inefficient market structures is another. Intermingled within the whole issue are Merck¦s strategies of transfer pricing, that can have large bottom line impacts on the Mexican performance.
About
Abstract
The case study takes place at the Mexican operation of Merck KGaA, a large, global acting, pharmaceutical company. It addresses the cultural and strategic issues of optimising the supply chain in the Mexican pharmaceutical industry. The story evolves around Adalberto Maldonado, Director of the Pharma Sales and Marketing department. The Mexican market shows critical variations that need to be understood in order to manage effectively, particularly the sourcing markets and client structures within supply chain management. Managing between German guidelines and corporate culture on the one side, and the Mexican working environment on the other, is a clear challenge to be faced. Breaking through inefficient market structures is another. Intermingled within the whole issue are Merck¦s strategies of transfer pricing, that can have large bottom line impacts on the Mexican performance.

