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Merck 1

In: Business and Management

Submitted By joshbonds
Words 1148
Pages 5
Josue Vazquez
University of Phoenix
Management - MGT/ 521
Dr. Hector Torres Perez
February 19, 2014


The history of Merck Company as one of the first pharmaceutical in the world dates all the way back to 1668 when Friedrich Jacob Merck acquired the Angel Pharmacy, which became the heart of Merck and is still owned by the Merck family today. In 1891 Merck in Germany became Merck KGAA or "German Merck" and a United States subsidiary called Merck & Co., Inc. was established in New Jersey. As a consequence of World War I, Merck lost its subsidiaries abroad in 1917, including its American subsidiary Merck & Co., which then became an independent U.S. company. But with the merger with Sharp &Dohme Inc. in 1953 Merck become the largest pharmaceutical producer in the United States. In 1987 Merck was named America’s most admired and most innovative company. In 2006 their vaccine against the Human Papiloma virus, Gardasil was approved by the FDA and is currently they only method of treatment against the HPV virus against the strands that can cause cervical cancer in women. They have also been responsible for the development of vaccines against measles and rubella virus.
Merck Company employs an approximate of 51,000 employees in over 120 countries all over the world and owns 31 factories worldwide. It actively participates in charitable organizations, which since 1957 has disbursed more than $480 million to diverse non-profit organizations to programs linked to education.
It is currently one of seven of the world’s largest pharmaceutical companies in profits.
Merck has five important areas and they are: 1. Alliances 2. Vaccines 3. Animal Health 4. Consumer Care 5. Pharmaceuticals

The CEO of the company is Kenneth C. Frazier. Kenneth Frazier was elected for the position on January 1, 2011, but he works for the company since 1992. Kenneth was the person to defended the company against the litigation about the anti inflammatory Vioxx. Kenneth is the first African American in lead a worldwide pharmaceutical. Other important position is the Executive Vice President and the company selected a Peter N. Kellogg since August 2007.

Management According to Staton (2009) in an article for Fierce Pharma, after Merck merged with Schering-Plough the management line up as been divided in five divisions. Each department will report directly to the CEO. Two of these departments will operate as business units separated from the other three departments. These two departments that will operate separately will be Animal health and Consumer Health. The five divisions are: 1. Global Human Health: Stephen Tuleja 2. Animal Health: Raul E. Kohan, former Schering-Plough executive 3. Consumer Healthcare: Stanly Barshay 4. Research: Peter S. Kim 5. Manufacturing: Willie A. Desse

The Mission and Vision
The Mission of Merck Company is to discover and develop new medicines for the benefit of the hospitals and their patients. The vision is to be the first pharmaceutical in the world to create innovative products and innovative drugs for the benefit of the health of patients and also contributes with animal health. The company aspires in the future to develop the company as the best health care in the world.

Strategic Plan
The Strategic plan of the company is execute the plan to optimize the business including the development of new products and new drugs for the patients. The purpose is developing the company in key markets around the world to build new opportunities and capabilities to obtain success in these keys emerging markets. In addition, open and extend opportunities in animal health and consumer care business and also manage the costs to invest in smart opportunities to increase the shareholder return. Current Organization
The company of Merck is organized like a multidivisional structure .Merck is organized between products and geographic markets. This type of structure is the best for Merck over the others because the amount of employees it has. With close to 90,000 people working for the company and multiple divisions within the company this structure provides the best functionality. According to Billie Nordmeyer, Demand media 2014 A multidivisional organizational structure aligns a company according to individual divisions, which are based on geographic locations, products or services.
Merck is a innovative , global health care leader that is committed to improving health to all around the world . The product offers different categories and includes the heart , infectious diseases , respiratory , sun care and the womens health . The company devotes to extends the time and the energy to increases the access to the medicines and the vaccines into different programs so they can donate and delivers the product to the people who needs them . In addition Mercks wants to use the good resources like the global reach , the financial strength and also the scientific excellence to help the world and improve the health and improves the lives all around the world . According to the Mission of the company its working because the company have a enduring focus and innovation and sound science to work and delivers vaccines , medications and medical products and animal heath products that can help to millions around the world .

Reccomendations Merck company have a strong commitment with the people helpings and contributes with products . In my point of view Mercks is develop the companies and keep growing in key markets . Merck is constructive and very helpful the company is extending right now .The company gives flexibility , benefits and good place to work which is very important for the employees . The company is very solid because is one of the most largest pharmaceuticals in the world and its helping to improves the health with good products to the patients and also is delivering this products to key markets to grow and keep growing and success in the market . The company have a strong future and they have good strategic ideas to keep growing in the market and the most important help millions of people with good products for the health .

Merck Company in the future with the development and the improvement of new drugs and products in the market is going to change the world. The purpose of the company is grow in key markets to build capabilities to succeed in emerging markets. The company expands geographically and reduces the expenses last year and it’s confident because is taking the right steps and good decisions. They have an effective strategically and operational plan to keep success in the world and also the multidivisional structure from Merck its very effectively .

Staton, T. (2009, August 31). Merck fixes on new structure, management. Fierce Pharma. Recovered from
Billie NordMeyer (2014) What is a Multidivisional Structure Recovered from

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