Why have employees kept a belief in company culture despite major structural reforms to sales forces?

If you cast your mind back to the mid-1990s you’ll probably recall tapping along to a song sang on screen by a warthog and a meerkat in one of the most memorable scenes in The Lion King. The moral of hakuna matata was that regardless of your surroundings you have to make the best of them. The same could be said for key account managers working within in today’s medical sales sector.

There’s no getting away from the fact that the way pharmaceutical companies conduct internal operations has changed and continues to evolve. The same could be said of their philosophies. A few years ago – in an era of feet on the ground before the patent cliff – pharma companies could rightfully claim holy values, visions, beliefs and habits. However, after widespread job cuts where thousands of people have lost their jobs can the same still be said?

It seems the answer may be a resounding ‘yes’ – and that’s coming from employees! Respondents to the Pf Company Perception, Motivation and Satisfaction Survey again highlighted the importance of company culture after it was voted the fifth highest motivating factor for more than 1,200 people working in the medical sales industry. However, its fifth placed ranking shows there’s still room for improvement.

Employees working for contract sales organisations placed less emphasis on company culture than those employed on a permanent basis within the pharmaceutical industry. Interestingly, it was younger respondents who felt more motivated than older colleagues. Respondents aged less than 25 voted company culture as their main motivating factor whilst at work. But those aged 54 or over said it was only the seventh most important factor to them.

But what have the sweeping job cuts done to satisfaction levels? Overall, 59% of respondents claimed to be satisfied with their company culture with slightly more than a fifth (22%) claiming to have concerns. Women (61%) were slightly more satisfied then men (57%), with a higher proportion of males (26%) saying they were disillusioned with existing policies. Despite ranking company culture as only the seventh most motivating factor, those aged between 25 and 34 were the most satisfied of respondents with 68% saying they were happy. But those aged 54 and over said they were the least satisfied with 27% voicing their opposition.

Leading the way
The importance of company culture has long been recognised. It forms the environment in which people judge the appropriateness of their behaviour and their actions. A positive company culture – one which staff ‘buy in to’ – will influence how individuals work on a daily basis and reflects their motivation and performance.

As the pharmaceutical industry strives to be more transparent the emphasis placed on company culture has increased. The importance of leadership where company culture is concerned cannot be underestimated. The leadership structure of an organisation almost drip feeds the principles it wishes to be known for. However, overall success usually results from effective leadership, an engaged workforce and good lines of communication between the two.

Yet open conversations only play a minor part in establishing and developing company culture. There has to a commitment by managers and their own leaders to act in a way which they would expect from those at the lowest run of the ladder. Training and competence, compliance with procedures and organisational learning also make up essential values.

While it’s not easy to establish and maintain company principles it’s even more difficult to change and introduce new methods. A cultural change can take several years to introduce. Humans are creatures of habit and employees are no different. Teaching old dogs new tricks really is a time consuming process – regardless of how much investment there may be.

Choosing the one
The website learnmanagement2.com says there are four main types of company culture. The first, usually found within small or medium sized organisations is power culture. Here, control is a key element. Decisions within a business are usually centralised around one key individual. That person usually has control over decisions and the power to enforce them. This allows efficient decision making. However, this method does have its problems. A lack of consultation between other members of staff can lead to a feeling of being undervalued and a lack of motivation. A high turnover of staff is also associated with this type of company culture.

Then there’s role culture – possibly the most common and logical in organisations across the globe. Here, businesses are split into divisions or groups where individuals are assigned particular roles and responsibilities. This has the benefit of specialisation where bosses can rely on individual skill sets and employees to highlight their worth to a company through performance measures.  

Task culture sees a team-based approach assigned to a particular project. Popular in today’s business society, task culture offers benefits both to staff and their employers. Individuals feel motivated when tasks are completed or achieved and a sense of value after being selected for projects by senior management. NASA is one high-profile organisation which promotes task culture through its missions into space.

Finally, there’s personal culture. This is more commonly found in charities or non-profit organisations. In this instance a focus is placed on the organisation without any thought for personal progress or gain.

Changing principles
Research has shown that the most successful companies all have a strong culture – whatever it may be. The two are interlinked. But it’s not a question of luck either bringing the two together. The CIPD says that evidence has shown that organisational success is dependent on having the “right mix” of human resources in place. Also, there must be an ability, motivation and opportunity for staff to support cultural ideologies. Firstly, companies must recruit the correct people with the ability to understand and promote set values. Managers must then ensure that staff are effectively motivated in the workplace and to provide them with the right opportunities to use their skills in well-designed roles. 

It’s in the initial stages of recruitment where company culture CAN be defined and discussed between employees and their bosses. During induction days it’s rare for company culture to be discussed, let alone a handbook given out. However, during the interview process, bosses can get the chance to assess whether those sitting in front of them will be able to meet and enhance set beliefs.

So there you have it. If you want to improve your levels of company culture it’s important to find an organisation with the same philosophy as yourself. If you can find a company whose values match your own you’ll soon be tapping along again to hakuna matata – it’s a problem free philosophy!

Having the right balance where company culture is concerned is vital to a successful and growing organisation. Pf’s Iain Bate focuses on where companies often get it wrong.

Company culture is very much like gravity. You may not be able to see it, touch it, smell it or hear it, but, good or bad, it’s everywhere you turn in every organisation. But just what is it? And, more importantly, what makes the difference between a productive company culture and a damaging one?
In 1966, Marvin Bower from global management consulting firm, McKinsey & Company, described company culture as “how we do things around here”. Sure, it can seem to be as simple as that. But company culture is far more than preferences or working habits. It’s in the metaphorical bloodstream of a company. Or at least it should be. During induction days at a new job, company culture is very rarely mentioned. In fact, you may go throughout your whole working life in a job and it never be discussed. You may be given tips on sales techniques or how to walk in a single line to exit offices during a fire drill, but training on company culture is seldom given or heard of.

Gabrielle O’Donovan, a company culture expert who penned The Corporate Culture Handbook, said in an interview in 2007 that the role of company culture is to preserve the past via tradition while stimulating via innovation. However, if organisations are neglecting company culture and failing to express the principles from which they were founded upon, then how can they possibly move forward?

There are many facets of company culture. In fact, no two companies’ methodologies will be the same. These may include having a strong mission clarity, having committed and empowered employees, forging strong relationships between staff and highly effective leaders and a commitment to learning and development. Whilst there are many more to mention, if one element of these is badly wrong within an organisation it can affect ideologies towards company culture – especially from an employee’s point of view.

Each year, Pf’s Company Perception, Motivation and Satisfaction Survey gives those working within the medical sales industry the chance to vent their frustrations or express their gratification on the issues which matter the most to them. Participants are asked to outline what it is like working for their current employer and what they consider to be the most significant things that characterise their past twelve months in their job. Behind a shield of anonymity, respondents rarely pull any punches. And this year’s survey was no different. Pf took a look at some of the latest responses, and examine what they say about the key components of company culture. The following are real examples of feedback from the Pf Survey 2010/11. They outline some of the ‘deadly sins’ of company culture that, where they exist, can be very damaging.

1.  Job security
“It’s at an all-time low. My new manager is one of the most unprofessional, unethical and dishonest people I have ever come across with no integrity, drive or desire to assist in any way. I have been bullied and harassed; I’m demoralised with low self esteem.”

At a time of widespread industry job losses, one thing that employees value more than anything in the current market is security. Immediate managers and their seniors have an important role to play in ensuring a sense of security in the workplace. Dr Jill Miller and Rebecca Clarke, research advisers, CIPD, note that although job security may not seem an obvious or important factor in company culture, acknowledging and delivering this to employees not only eases any office-based worries but also creates loyalty and promotes retention – something which is important in an era when employees are less likely to have company affinity or search for a ‘job for life’. 

2. Leadership
“The Managing Director has been parachuted in and knows very little about the industry. He behaves like Napoleon and morale is at rock bottom. After 2009 being the best year ever, a 0% pay rise leaves everyone in the wrong frame of mind.”

As in any organisation, those at the top of the career ladder must lead by example. How are employees on the ground expected to promote a healthy and successful company culture if their superiors flaunt expected values? For example, the banking sector has again come in for wide-spread criticism recently for its bonus culture for senior leaders despite huge losses, whilst those working behind counters up and down the country still struggle to pay the bills. The same principles apply in any sector. If company culture is seen as the heartbeat of a company, then the brains – its leadership – must promote these elements and find ways of improving upon these at every opportunity.

3. Management
“The new line manager is not a great people person. He doesn’t answer his mobile and is slow returning calls. He also sends very blunt emails!”

The behaviour of line managers is equally important as those in senior positions. While staff on the ground may never even see or speak to a company chairman or a managing director, they are likely to have daily interaction with their boss. Dr Miller and Jill Clarke explain that managers throughout an organisation have a key role to play in “maintaining the company’s culture, role-modelling expected attitudes and behaviours”. As a result of the absence of training in expected values, many organisations find that articulation and communication of the expected values of the company, and how to maintain these, is a vital step in ensuring staff are aware of what is expected of them. Line managers are in the perfect position to do this on a daily basis.

4. Training
“My company is too self engrossed and not willing to develop talent. Instead it is more keen on supporting those who have worked for the company for longer despite knowing results are not being achieved. There’s no logic or rationale for recognising individuals. It is more likely to put people off trying to progress.”

At a time when pay rises are well below the rate of inflation – if you’re lucky to have one at all – and the fear of the axe looms large, training is seen as an avenue of progression. Sure you may not get paid for a promotion, but it looks good on your CV and new skills and qualifications can be gained in the process. But when training programmes are withdrawn or neglected by organisations there’s an immediate impact on the ground. These schemes offer a glimmer of light at the end of the tunnel. Without these in place, staying in the same role – or even company – for the next 12 months may seem a dark place to be.

5. Career development
“It’s difficult, as the company move the goal posts with reference to development.”

There’s nothing worse than being stuck in the same routine without a glimpse of career progression. But, as companies have tightened their belts, opportunities to work the way up the career ladder have decreased. The need to work longer has also seen positions which would’ve come available after retirement blocked by established colleagues. Dr Miller and Jill Clarke believe that a new approach is needed by organisations to increase the amount of opportunities open to staff. “Organisations need to think smarter about their approach to training and development, taking a strategic approach to ensure the development offered is closely aligned to the current and, most importantly, future needs of the business.”

6. Salary and bonus
“I love working for my company; there’s a great culture and the management are very approachable. However, there’s a lot of responsibility and the hours I commit cut into evenings and my personal life with a low salary.”

No-one likes to think they’re overworked and underpaid. But human nature suggests that many of us do. In last year’s Pf survey, the median salary of respondents was £46,000 – of which 46% were unsatisfied with. The Office of National Statistics published results in 2011 which revealed that median gross annual earnings for full-time employees was around £26,000 – considerably less than those working within the medical sales industry. However, where money is concerned, there’s never enough. With food, clothing and energy prices continuing to rise – coupled with low interest rates – every penny spent needs to be justified. So if companies are squeezed and cannot budget for pay increases, they need to consider other means of rewarding, recognising and, ultimately, motivating staff.

7.  Work-life balance
“It is competitive with a lack of regard for personal needs. There is a lack of recognition unless you are in the clique! Ideas and individuality are not respected. It’s very administration focused with more and more time being spent on the computer. We are expected to do the same daily job of seeing face to face customers contributing to a very one sided work-life balance.”

Despite being well paid compared to other professionals and the UK average, there’s no point earning thousands of pounds each year and not being able to enjoy it. The balance between time spent at work and with the family has been placed under the microscope recently when staff are expected to work longer hours without any reward. Employers have a responsibility to improve work-life balance. Full time employees in the UK now average 42.7 hours a week at work. It’s arguably more for those travelling up and down the country visiting clients. But a refreshed and happy worker is a productive one. While employers may be happy to drain every last ounce of energy from their staff, in the long run it’s doing them no good. Danish workers, who only work 39.1 hours a week, are unsurprisingly more productive than UK counterparts. It’s no surprise.

Culture change
So how can companies address issues with job security, leadership and management, training, career development, work-life balance and issues with remuneration? In its report, Developing organisation culture, the CIPD advises companies to plan any attempted switch in values. A clear, public plan of action should be devised that communicates the need for new working measures and thinking, and outlines how the new approach complements the overall vision of the organisation.

Next, employees should be engaged for their opinions with managers also encouraged to play an active part in discussions. Senior leaders and managers on the ground need to ‘buy-in’ to any new measures and be seen to be transparent in their approach.

The report says it’s also important to identify and develop the necessary skills and behaviours required from staff to incorporate any new elements set to be introduced. If resources are tight, companies are encouraged to be creative to develop staff capabilities.

Finally, it’s important to measure and assess the impact of the new culture change. Without having staff onside and willing to help introduce change, any attempts will be futile. Staff need to buy into a vision they really see and hear the next time they look around the office.

Finding the best employer is like playing the dating game. No-one wants to be married to their job, but tying the knot with an employer is an important commitment. The strongest relationships can last a lifetime, while playing the field may not look quite so good on your CV. So what is it that attracts us to our employers? Do we marry for money, or is long-term fulfillment enough? And is a good sense of humour essential? Pf’s Emma Campbell-Kelly outlines some of the key criteria in identifying ‘The One’.

The summer months, particularly the holiday season, are often the time when most of us pause and reflect on where we are in life. That two-week break in the Maldives, or even just the back garden, can invariably provide the catalyst for some killer questions: Am I in the right job? Does my employer appreciate me? Do I appreciate my employer? Is it time for me to move on? For many, this period of reflection provides little more than confirmation that they are happy where they are. In the current climate, where job security is king and fear of moving jobs has bred a ‘better the devil you know’ approach, many workers are staying put rather than risking change. But for some, a ‘grass is always greener’ philosophy drives them towards the pursuit of new employment. But what do you look for in a new employer? What defines the perfect job and, indeed, an employer of choice? Where do you begin in the pursuit of professional happiness?

Searching for a new job can be a daunting endeavour. Whether it’s your decision to enter the vacancy abyss or not, the task can be arduous and time-consuming. Slim pickings are expected in such a precarious economic climate, but there’s still a world of decisions to make: location, role, salary and even whether you are looking in the right industry are all key considerations.

The experience is similar to becoming newly single, in the market for a new partner. Job sites and recruitment companies could be metaphors for dating agencies in this case, or a friend who’s trying to set you up, or a speed dating session.

And you must select employers from this pool of availability in a similar way to how you would approach someone to ask them out. Like a relationship, a job is an investment, and will define you for the period you choose to stay committed to it. You want the whole package: ‘The One’. It will stay on your record, your personal history, or rather your CV. No pressure then.

What do you look for? Materialistic features (financial details) are number one priority for most. Your interest in a job or person is sparked by judging at face value. It’s not necessarily shallow, because what else can you base your judgement on in the first instance? Being objective with your search is key to obtaining a job that will tick all the boxes for you.

So once you’ve landed your first ‘date’ with the desired employer, aka job interview, first impressions are too important to disregard. You dress to impress, revise your CV, and prepare answers to every question under the sun. Both parties want to impress, without coming across as too keen. But at the end of the day, you want this job, you wouldn’t have applied otherwise. And the employer wants the best they can get (which is you, obviously). After all, as Ray Kroc, founder of McDonald’s, said: “You’re only as good as the people you hire.” So it’s potentially a win-win situation, as long as you both get what you want.

Job satisfaction has always come top of surveys questioning motivation at work. Until now. It seems that such an insecure and volatile economy is making us tighten our belts (as if they weren’t tight enough already). Living costs are continuing to rise, a unanimous, desperate ‘Yes please’ is given in response to money. The prospect of a double-dip recession has hit us while we’re down, just as we were getting our hopes up.

With this in mind, it’s no surprise when perusing the Chartered Institute of Personnel and Development’s (CIPD) recent quarterly Employee Outlook survey. The review showed that increased salary and benefit packages have overtaken job satisfaction as the number one reason why employees are looking to change jobs.

Out of 2,000 questioned employees, 54% rated higher salary and benefits as their top reason for wanting to change jobs, while 42% said that job satisfaction drove their career move choices. This is a sharp reversal compared to last year’s 61% voting job satisfaction over 48% monetary reasons to look for alternative employment. A shocking revelation from the survey showed that almost a fifth (18%) of employees completely run out of money before they’re paid, either always or most of the time. So the financial pressure is on, it seems.

But are finances what get us out of bed in the morning? We recall how the carrot beat the stick regarding the donkey’s motivation. But what does the carrot mean to you?

Is it salary, benefits, a fancy company car? For some people, especially those who are struggling financially at the moment, the answer would be a giant nod of the head. But what about the 42% who voted job satisfaction as their motivation to work hard?

For this group, an employer’s treatment of its workers and management skills really makes a difference. It’s the little things that contribute to their career happiness. A friend you can confide in, belief in your product, respect for your manager; the buzz of adrenaline when you know you’ve done a good job.

Company culture has always been a vital aspect of work life. Your co-workers are with you for a significant portion of the day, so team dynamics are important. Henry Ford of Ford Motor Company had the right thinking: “Our employees are like extended members of our family.” The company should run like a well-oiled machine at all levels, complementing and developing each other’s roles and responsibilities. Confidence and trust glue the team together and make everyday errands pass by effortlessly.

There’s no doubt about it, your happiness at a company is largely directed by what you do for at least 40 hours a week. And let’s face it – your working life is a long one, so it’s best to do something you enjoy. It’s been proven time after time that you’re more likely to work harder if you’re passionate about your job. Happy people are more energetic, proactive, creative and optimistic, and quicker to learn. In which case it’s in your employer’s interest to make you happy.

This is largely down to how you’re managed. Management and guidance at work largely affect your work ethic and the company’s dynamics. “Management is nothing more than motivating other people,” stated Lee Iacocca, Chairman for Chrysler Motors. Management is a crucial role to play, because your workforce implicitly relies on your motivation to work. Donald Trump once said, “Good people = good management and good management = good people.”

Money can only promise a limited amount of will-power from an individual; pride in their work will give them the edge and a hunger for success. Belief in your product, trust, loyalty and commitment to the employer are also invaluable attributes for an employee to embody, and are recognised by good employers. As Mary Kay Ash, Head of Mary Kay cosmetics, stated: “People are definitely a company’s greatest asset. A company is only as good as the people it keeps.”

So perhaps, most of all, we just need to feel loved. Being treated well, as in a committed relationship, ensures that we’re in it for the long haul.

In July, the Office for National Statistics (ONS) published a report on what makes Brits happy. Not money, as it turns out. Health, family and friends topped the list when around 34,000 people were asked “What is wellbeing?” and “What in life matters to you?”

The survey was commissioned by David Cameron to help him develop future policies, but ironically critics have since complained that the £2 million to conduct the survey was a waste of money as the results are quite obvious. We’re never happy, are we?

But at the end of the day, as much as money is a necessity to live, happiness in yourself and at work increases quality of life, and helps boost your company at the same time. A happy workforce is a productive workforce after all.

From an employer, you want to be pushed to your full potential, appreciated for your effort, made responsible for important decisions, making you believe in your product and employer.

Working life is most enjoyable if you’re lucky enough to be in the position of not worrying about money. To have an enthralling occupation puts a spring in your step.

And as much as looking for a new job can be tiresome and sometimes feels like a dead end, just remember, it’s all in aid of finding ‘The One’, your soulmate that offers the whole package: an invigorating role with great prospects. And if the money’s good at the same time, all the better. So make it a good one with good people.

The Pf Company Perception, Motivation and Satisfaction Survey gives respondents from the medical sales sector the opportunity to have their say on their roles from behind an anonymous shied.

The survey continues to benchmark opinion as it moves into its 11^th year and explores the things which matter the most to respondents from a variety of roles.

Despite a challenging and changing marketplace in the last twelve months, motivation and satisfaction factors have not changed as much as would be expected. In fact, only one of the top ten motivation factors changed when compared to the results from the 2010 survey. Salary, job security, manager relationship, work-life balance and company culture again topped the motivation charts with autonomy and personal development the only two factors to swap places.

The biggest change was found in satisfaction factors – where belief in present products again came out on top. Company culture – which for so long was a regularly voted within the top five – fell to eighth position as staff vented their frustration at widespread job losses and changing working environments. Although employees did voice their satisfaction where job security was concerned in the last twelve months after the factor increased by three places in the standings.

The survey is conducted annually by Health Sector Publishing, publishers of Pharmaceutical Field, since 2002. It provides a temperature check of sales executives’ remuneration, motivation, satisfaction, perception and recruitment. It is managed by Dr Brad Payne of Conker Statistics – a Fellow of the Royal Statistics Society – and collects responses anonymously. The latest results were gathered in early 2012, but relate to 2011. 

As the pharma industry is experiencing dramatic upheaval, we look at how medium-sized companies are adapting to meet the needs of their customers more effectively. This month, we speak to members of the sales force to find out how working for a smaller company makes a difference to them.

In last month’s article, we looked at how medium-sized companies are reconfiguring their sales models to fall in line with changes in the NHS. We saw that the lack of ‘red tape’ and agility of smaller companies means they are able to respond quickly to their customers’ needs and be ‘agents of change’, rather than constantly striving to keep up with developments in the market.

This month, we find out how these new structures and ways of working are making a difference to sales executives and account managers out in the field. We spoke to sales professionals working for SMEs about their current role, how it is changing to meet market needs and the differences with previous roles they have held within the industry.

Less is more

It seems to be the cultural implications of working for a smaller company that make the most noticeable difference to salespeople. Everyone we spoke to said that in moving from a large pharma corporation to their current company they were instantly struck with how few people there were in comparison and how they were introduced to everybody by name.

Trudi Knight, Area Sales Manager with Napp, likens the difference to the impersonality of big city life compared to village familiarity: “I feel that working for Big Pharma is like shopping in Oxford Street in London, whereas working for a smaller company is more like going into your local village where everyone knows who you are. It’s easy to get lost in a large company.”

Simply because there are fewer people, many of our interviewees said that they felt part of the company much more quickly and also have a greater appreciation for the business as a whole. “At Napp, we know what everyone else is doing and people from all areas of the business come to the annual conference, even from the factory where the medicines are made,” Trudi adds. “Meeting everyone in this way makes you realise that the sales force is only one small cog in the machinery of the company as a whole.”

Smaller numbers also bring other benefits such as a shorter chain to management, so decisions can be made much more quickly and the opportunities for development are more transparent, more individual ownership for your achievements and targeted and personalised training.

Executive Representative Ann Murphy says that it was the training course that really impressed her when she first joined Lundbeck. “There were a much smaller number of people on the course,” she explains, “so I was able to ask questions and get much more individual support from the trainer.”

A little ‘umph’

The new sales force structures in medium pharmaceutical companies mean that sales professionals are more involved with working with PCTs and the wider NHS, and this means a wider range of customers with differing needs. In this kind of environment it is important that sales executives are able to use their initiative in how they deal with their customers and respond to their changing needs, providing solutions and new ways of working.

Ann Murphy explains why this makes such a difference to her at Lundbeck: “I now have much more accountability than I had when I worked for a large company, where there can often be several people working on the same patch. Now I have complete responsibility for sales in West Sussex and I find that much more motivating.”

For Eisai Hospital Business Manager Hilary Fletcher, moving to a smaller company allowed her to spread her wings: “I feel that I have been given a voice and a chance to make a difference,” she says. “I am a true specialist in my therapy area of dementia and I have further job satisfaction in knowing that what I do has a positive impact on patients’ lives.”

Pf research has shown, however, that greater autonomy in your daily role also means you are more accountable for the activity on your territory and that can mean hard work. An anonymous author once wrote that ‘the difference between try and triumph is a little umph’ and this is particularly true in medium-sized pharma companies.

“I find that I am a lot busier since I moved to Napp,” says Trudi Knight. “Less bureaucracy means that I am personally responsible for a lot more, but as a result I find I am more committed to the outcome and feel more rewarded when a project or meeting is a success.” “As a representative or manager within a mid-size organisation, you know and feel that you are in control of your own destiny,” Hilary adds.

Keeping it simple

For salespeople to have this autonomy – to be able to innovate and respond to their customers – it is also essential that the company is able to adapt quickly and that decision-making processes are kept to a minimum. This was another striking difference our interviewees noticed between working for a larger and a smaller company.

“What makes a huge difference is that when I need something I am able to speak directly to the person within the company who will be carrying out the action there and then,” explains Merck Serono Key Account Manager Ivan Rickard. “In Big Pharma you would have to first approach your line manager, who would then speak to someone above them, and your request could go through seven different people before it reached the relevant person. At Merck Serono, the action is carried out immediately. I know ‘joinedup working’ is a popular phrase in pharma at the moment, but I really feel that we are all working together.”

This streamlined approach also means that management are not so far removed from the people at the heart of pharmaceuticals – the patients that are benefitting from life-saving and enhancing treatments. NHS Liaison Manager James Foulger, also from Merck Serono, explains: “Too many processes result in too much ‘box ticking’ that suits the organisation but not the customer. Big companies can loose touch with the individual’s needs and hence the customer’s and, more importantly, the patient-focus, which is so critical, whereas medium pharma can remain fully focused on what really matters.”

Step into the spotlight

Whilst the industry as a whole is experiencing dramatic upheaval, SMEs are evolving to better fi t their environment and emerge successful, and these changes are continuing to benefit the sales force. Our research with executives working in mediumsized pharma companies has indicated that it is these companies that are attracting pharma’s most talented sales professionals.

Ivan Rickard describes how he didn’t initially believe a friend of his that had joined a medium-sized organisation that the “honeymoon never ends,” but having worked for Merck Serono for two years, he admits he was right: “I’m doing a similar job, but in such a refreshing way that I’m seeing it almost through different eyes,” he explains. “I certainly don’t feel like I’ve been here for two years. Everyday feels like the first day.”

It seems that when it comes to your employer, company size really does make a significant impact on job satisfaction in pharmaceutical sales. In a smaller company, not only is it is easier to get to know your colleagues, work as part of a team and be recognised for your achievements, but the agility of a smaller sized company also provides greater focus, autonomy, quick decision making and the ability to adapt more quickly to the needs of the customer. It is no surprise then that experienced representatives and account managers who want to be challenged, to fully capitilise on their initiative and skills and receive the rewards for their hard work are increasingly looking to mediumsized organisations for enhanced and more satisfying working environments.

The phrase ‘adapt or die’ has never been truer for the pharmaceutical industry than it is today. But which companies are able to meet the challenges of the increasingly complex NHS market?

The espionage world of characters like James Bond might seem pretty far removed from the day-to-day life of the medical sales executive – except perhaps for the important role of cars and technology. However, the new NHS landscape means that it is more important than ever that both pharma companies and individual sales people can be ‘agents of change’ in responding and adapting to their customers, who are in turn having to evolve to survive in their changing work environment.

“It is this close dialogue and the ability to listen and respond to their customers that enables mediumsized companies to be ‘agents of change’”

Like Bond’s ‘licence to kill’, it is essential that those working out in the field have a licence to adapt, having the autonomy and responsibility for their sales to work flexibly with different key contacts. More complex local health systems with a variety of influencers mean that the standard GP detail will no longer have the necessary impact. It is those companies that take the initiative to adapt to the new market and are agile enough to respond quickly that will succeed in this new environment.

This article – the first of a series of three – will look at the ways medium-sized pharmaceutical companies are changing how they work to meet the demands of the new NHS. The following two articles will introduce some of the sales executives working for these companies and find out how these new working models are making a difference to them.

Shaken, not stirred

We spoke to managers from the HR and Personnel Departments of several medium-sized pharma companies to find out how they are meeting the challenges of the modern NHS and working to identify the new key players. Interestingly, each company we contacted had recently adapted their sales model to better meet the needs of their customers. To cite two examples, Napp and Lundbeck have both restructured their sales regions to match the boundaries of SHAs, aligning their efforts with the structure of the NHS. Many companies have also introduced new teams or restructured current ones to target the new key customers. Napp has introduced new roles into its Commercial Team, to create NHS specialists who work specifically with PCTs to remove blocks to prescribing.

Another company, which has been aligned to the NHS structure for some time is Merck Serono, one of the UK’s fastest growing pharma companies. Merck Serono has recently taken additional steps to further focus its customer facing efforts into various specialist teams who either focus on specific key therapy areas and/or work with all relevant influencers and decision makers, in both clinical and nonclinical roles within hospitals, PCTs and SHAs. This has also led to the creation of a new NHS Liaison Team. “We have to be flexible and ensure that we are communicating with all the relevant NHS personnel, and providing them with information and services that meet their specific needs,” says Dr Jim ‘UXB’ Golby, HR Manager at Merck Serono. “The one-message-fits-all attitude won’t work anymore. A deeper knowledge of the therapy area is needed along with a full understanding of individual customers’ challenges and requirements.”

We asked why it is particularly medium-sized companies that have been able to respond to the market in these ways: “In a medium-sized company there is a shorter chain between those in the field and the top-level management, which means decisions can be made quickly,” says Julie ‘Armed and Dangerous’ Worth, who works in Personnel for Napp.

License to kill

One thing that all these restructures have in common is that they are empowering sales teams to take the initiative in managing their territory or therapy area. As part of these new business models, the individual sales executive has greater autonomy in how they interact with their customers.

HR Manager Carol ‘Lethal Weapon’ Angell explains how this works at Lundbeck: “Our three values are that we encourage our salespeople to be imaginative, passionate and responsible and these underpin everything we do. All our salespeople have full responsibility for their territory, who they will approach and how they will do this, provided that they are within guidelines. Our key account executives can investigate and establish new business opportunities and take them forward, able to penetrate at all levels of the NHS organisation.”

Sales executives are able to be ‘agents of change’ in dealing with customers flexibly depending on their individual requirements, and the shorter chain within medium pharma means that whenever approval is needed for an activity, the company is able to provide a quick response. Eisai’s Amanda ‘Nuclear Device’ Russell develops this idea: “Our representatives have easy access to head office personnel, so any proposed initiatives can be quickly evaluated, approved and, if needed, be linked with our national strategy. A combination of high company expectations, clear marketing strategies and internal compliance empower the sales force in formulating local initiatives to meet overall business objectives.”

The smaller size of these companies and their policy of empowering the sales force result in a high level of recognition for the individual. Full responsibility for their own territory or market area means that the achievements of sales executives are apparent to everyone in the company, even to director-level. This recognition generates rewards in terms of remuneration for excellent performance, but also leads to increased development opportunities, a topic we will discuss in a later article.

The world is not enough

If we believe what we hear through the media, the future of the pharmaceutical industry is an uncertain one. The headline news is that the major pharmaceutical corporations’ pipelines are becoming blocked and their overreliance on blockbuster products that are facing patient-expiry have left their balance sheets in turmoil.

The outlook from the perspective of a medium-sized company, however, seems to be more rosy. Even a company like Eisai, which has only had a sales force in the UK since 1997, is expecting sales exceeding £70 million this year. The combination of a smaller UK operation that is nimble enough to respond to changes in the market and the support of a large global parent-company seems to give medium pharma the edge during these difficult times.

Each of the companies we spoke to has a positive pipeline of medicines, some of which are expected to launch within the next one or two years. One example is Lundbeck, which launched Circadin for sleep difficulties just last month and currently has five products in Phase III development, three in Phase II and four in Phase I.

Other companies are branching out into pastures new: “We are releasing a new product in pain relief early next year and have up to seven launches planned for the near future,” explains Julie Worth. “However, the real challenge will come in about eighteen months, when we are planning to move outside our comfort zone and launch a product in the respiratory field. One of our company aims is to continue to make Napp a great place to work, so as we grow and move forward we will not lose sight of this.”

Whereas other companies are boosting their chances of positive appraisals for future launches, such as Merck Serono’s new Health and Clinical Excellence Department, which was created to ensure that the company’s submissions to NICE are of the highest quality and exceed the necessary requirements.

This close dialogue and the ability to listen and respond to their customers enables medium-sized companies to be ‘agents of change’ and survive the twists and turns of the NHS market.

However, the real source of the success of medium pharma, is that they have not lost touch with the real focus of pharmaceuticals – the patient. As Dr Jim Golby concludes, “Not only do we need to adapt to the market, but we also need to make sure that all our realignments are always geared towards providing the maximum possible benefits to our patients.”

Culture . . . Does it make a difference? Is the culture of your company unique? Are you amongst the best and are you recognised for it? THIS MONTH sees the final article of the series exploring the world of small to medium sized pharma companies and how different they are from the giants. The culture or ethos of small to medium sized companies appears to have a huge impact on the level of job satisfaction and recognition among their sales people.

How does a smaller company manage to recognise their successful people so effectively? Some common characteristics within small to medium sized companies enable them to see, recognise and reward quickly and effectively, which in turn gives a real motivational boost to sales people.

• Freedom to STAND OUT and be an individual
• FAST TRACK - personalised promotional opportunities
• BROAD commercial experience and personal access to senior management
• Autonomy and responsibility to really manage your OWN territory
• Opportunity to be RECOGNISED and REWARDED for your successes (£££ and Promotions)

Sharon King, Business Manager LEO Pharma, joining 2 years ago from Pharmaceutical giant GSK, and having worked for the original “Welcome Foundation” experienced the metamorphosis of a small company turning into a large one. She describes “having been there for the transition of going from a smaller company, then evolving to a larger company can be overwhelming. You start to ask yourself questions about your place within the organisation. Where do I fit? How small am I really in this now huge company? Being a manager in a smaller company means you have direct input into strategy, marketing, and can pick up the phone and speak to a director, if you need to. This gives a much greater awareness of the customer needs and allows us to react quickly to customer needs as they change. In a smaller company we do react more swiftly and efficiently, because there is less red tape.”

Komal Rafique, GP representative LEO Pharma, spoke at length about the recognition she received as a rookie rep, and continues to receive after three years in the industry. “My manager is always encouraging us to know everyone in the office and see our names on the website for successes we have achieved. I was nominated as The Most Successful New-comer last year. I felt so valued by the company. I received a Highly Commendable rating awarded on stage at conference. I have been nominated this year for Young Sales Professional 2004 which highlights all my hard work and achievements throughout the year. The LEO culture is unique and I love it!! I have always been impressed that everyone knows everyone, including senior managers, a real intimacy, like a family relationship.”

Glyn Sheriston, Key Account Executive, LEO Pharma, joined 6 months ago and already feels like he knows everyone and everyone knows him. “I was impressed from the beginning and I had other job offers, but LEO was the one I really wanted because everyone I talked to had positive things to say. I feel really lucky to have got the job. Especially, after hearing how many of the sales people had been there for over 25 years. They must be doing something right. There is a large canteen in Head Office and there is an unwritten rule that all staff must leave their desk to eat in the canteen and mingle with everybody. All the staff top to bottom comply, different divisions and departments attend and everyone takes time to get to know each other. After only 6 months, I feel I know everyone in the office. I am not sure what it is about the culture but something makes it a great company to work for. It is the most enjoyable place I have worked so far in my career.” It appears there is a vast difference in culture of small to medium companies and this is further supported by the outcome data in the 2003 Company Perception Survey. The results of the survey showed that nearly twice as many people in small to medium sized companies had a greater job satisfaction in relation to the recognition they received for the job they do.

Why would you make the change from a larger company to a smaller company?

Steve Smith, Primary Account Manager, Schering tells Pf why he made the change. “I felt inspired and motivated to do my part . . . to be responsible for my own business and within a culture that is friendly and supportive, while remaining acutely focused on the business.” Umbereen Mirza, Medical Representative, Solvay, has worked for both small and large companies and is very clear why she prefers a smaller company. “The main benefit of working for a smaller company is the culture. You feel more valued and are not just a number. Your efforts are recognised which means you get noticed by those at the top much quicker”

What would you find different in working in a small to medium sized company?

Gillan Mumford, Medical Rep, Napp Pharmaceuticals, tells us what she finds different. “I feel rewarded everyday. I felt lucky to have this job. I rate my job satisfaction 10 out 10.”

Keith Burston, Hospital Representative, Napp explains what he finds different from his 22 years at GSK compared to his 2 years with Napp. “The whole ethos is totally different. It has amazed me because I am advancing within Napp when I thought I would be going back, but the reality is, I am going forward. The difference in culture has re-energised me.”

How would you describe your level of job satisfaction and personal development?

Stuart Ellison, Business Manager, Merck, described what he felt about his job satisfaction and personal development. “You need drive, enthusiasm for responsibility, and to genuinely care about the business. This absolute reliance on reps who have this self-starting, responsible attitude means that a lot of representatives work their way up through the ranks of a small to medium sized company relatively quickly . . . This involves taking a lot of personal responsibility, but the benefits are real! The focus on the individual‚s performance and success means that personalised career paths and individual recognition, are a very big part of the company culture.”

Sharon King, Business Manager LEO, elaborates on personal development within LEO as compared to a larger company. “Your own job remit is bigger, so you have integrated development within your role. In a large company you are given materials and told what to do with them, in contrast, in a smaller company you can work together to create something along with Marketing and Medical that really meets the needs of your customers. If you want to you can. . .” A move to a small to medium sized company means a move to an environment rich in autonomy, independence, and individual recognition. Indeed it is a unique culture that results in a high level of job satisfaction. It appears after all the exploration and examination that size indeed does matter in the Pharmaceutical Industry, except Bigger is NOT always better. The representatives from each of the 5 companies we have featured here, Solvay, LEO, Merck, Schering Health Care, and Napp would challenge you, their fellow sales people, to ask yourselves some tough questions. Are you getting what you want from your sales career? Are you recognised for your successes? Is it time to take the blinkers off and contemplate a move back to the real world of sales?

WHY DID YOU join the industry and become a sales person? Was it to sell through managing your own territory and influencing prescribers, or to simply deliver a list of inflexible key messages with little opportunity to display your initiative? In the past 10 years there has been a huge shift from small, family owned, product linked representatives, to large, matrix managed, faceless entities. A large company 10 years ago had 400 representatives, now you would expect 1000 or more in the UK alone. This begs the question; How can a sales representative drive their business and remain accountable for sales outcomes with large team of people selling the same product to the same customers? This can be a very disheartening prospect for a medical representative who hopes to get noticed and further their career. This isn’t the only option though. Working for smaller to medium sized companies can be very different, and in comparison very personally rewarding. The characteristics of successful people in small and medium companies such as LEO, Merck, Napp, Schering Health Care and Solvay are not dissimilar to those in large companies. Successful people exhibit behaviours such as:

• Desire for success
• Goal orientation
• Taking responsibility
• Enjoy influencing people
• Accountability for action
• Wanting to be the best
• Entrepreneurial spirit

All of these behaviours support, foster, and nurture high levels of accountability, autonomy, and independence which appear to motivate and reward individuals in small to medium sized companies. These characteristics mean that successful people are automatically more suited to working in a smaller company because their high levels of accountability are more easily noticed and therefore rewarded. The differences felt by representatives working in the smaller sector are that they retain individualism, are more easily recognised by customers and can readily measure their success through their own individual sales figures. To further investigate this we asked representatives from small to medium sized companies about their thoughts on accountability and autonomy.

Keith Burston worked for Pharmaceutical giant, now GSK (Glaxo Smith Kline) for 22 years and left to join small to medium size company, Napp Pharma. He had this to tell us about accountability and autonomy. “Napp is interested in delivering the bottom line and providing you with the support and flexibility to do that. You can decide which GP’s to see and who is going to drive your business and that provides the scope to go after the real business. It feels good to have the ability to run your territories like your own franchise and ultimately if the business doesn’t come in, you’re accountable, and there is no one to blame. You have to conscientious, and at the end of the day… autonomy and accountability come with responsibility. It has been amazing to me the change in me and my business. This ability to run my own business has re-energised me and the change has been the best decision for me and my career.” Foster and supporting high levels of independence and autonomy can impact on all areas of a Medical Representatives career, including their own development and career progression. Career development pathways have been described as highly focused, well-defined, and fast moving in a small and medium size companies. Career progression also appears more rapid for those successful people demonstrating a desire for success and outstanding sale performance.

David Southern, Marketing Manager Napp Pharmaceuticals, began as representative in the field for 18 months, then spent six months as a Health Service Manager, and presently works in head office as a marketing manager. He told us: “Everyone knows everyone in a small company from marketing to production. This can be a real advantage when looking at career opportunities and development. Progression can be very fast and seems to be moving and developing continuously. My career has been driven by the interests I have, not a set path, and I am encouraged to experience opportunities along the way. I have the opportunity in a small company to experience and am involved in every area of the business, internal and external. It provides me with a through understanding of the whole business, not just marketing.”

David Southern carries on explain how autonomy can impact and change the business. “In smaller companies there is a tight relationship to the business or emotional attachment to the business, you are not just a number, you are a person and there is no anonymity whatsoever. However, it provides a great challenge and much broader working experience in all areas of the business.”

Steve Smith Primary Care Account Manager at Schering Health Care had this to say about his level of autonomy, “We are masters of our own trade, following our ideas and running a territory as our own business. Our thought processes become clear as we plan meticulously, and we are allowed to take time to concentrate and fine tune the details leading to high success. We have the luxury to cherry pick who we want to work with to drive our business. This is a small organisation so there is no room for error. We cannot afford mistakes.” These behaviours that characterise successful people are the same, regardless of the size of company, but the question remains . . . will they be recognised and highlighted in a large matrix managed entity? Steve joined the industry 6 years ago from 10 years in grocery retailing and finds he gets more recognition for his work. “I am lucky in that I can speak to the directors about a project and feel confident approaching them. You can expect a quick turn around on approval for projects. It is a great feeling that within a small organisation, you can speak to the decision makers just by picking up the phone and speaking to them directly. It feels good to have the CEO give you a pat on the back and tell you to your face that was a job well done.”

Keith Burston, Napp Pharmaceutical, comments having worked for GSK twenty- plus years and now Napp for two and half. “You have the choice, you can be a big fish in a small pond or small fish in a big pond. I know where I am the happiest and feel I get the recognition for hard work and sales success.” It would seem then, that autonomy and accountability are very much alive and kicking in small to medium sized companies, and seem to be the main contributor to the overall job satisfaction for the representatives we spoke to. The only variable that remains to be investigated is company culture. How does company culture motivate people? How do the representatives feel within that company culture? Does the company culture truly encourage and reward success, in conjunction with a healthy work/life balance?

Culture will be the topic in next month’s final article in the series. We will to looking in depth, at company culture, and the differences in culture amongst 5 small to medium sized companies.

Leading the Way Small to Medium Pharma

. . . those who worked in small to medium sized organisations had 27% greater levels of satisfaction.

This month sees the first of three articles in Pf to explore the world of the small to medium sized pharmaceutical company. We will be looking at the benefits, or otherwise, experienced by representatives working for these companies, as well as the commercial and financial implications. We will also investigate what it takes to work in the small to medium sized pharma sector. The Reality is Better than the Perception!

When it comes to working for a pharmaceutical company, does size really matter? Are the perceived benefits of working for a large company actually borne out by the day to day reality? To answer these questions, we turned to a recent Pf industry wide survey. In the 2003 Company Perception, Motivation and Satisfaction Survey, readers were asked to rate companies according to their desirability to work for (not including their own). The results for small to medium companies were interesting: Out of the Top 10 Most Desirable Organisations to Work For, as voted by 2000 readers of Pf, only two were from the small to medium sized sector. But, when asked how satisfied employees are with their employer, those who worked in small to edium sized organisations had 27% greater levels of satisfaction. In addition to this, Merck- a medium sized pharma company- was rated as one of the Financial Times 50 Best places to Work in the UK. This is particularly relevant, because the FTs results are based on employees’ views rather than external opinions. This would suggest that those individuals working for smaller companies find them highly desirable to work for – but that to the wider industry this is something of a well kept secret. This prompted us to do a little investigating into what it is that makes working for a smaller company so attractive once you are actually there. Of course the term ‘small to medium’ is rather a relative term. These companies are by no means ‘small fry’ in the world of business. Such companies include the likes of LEO, Merck, Napp, Schering Health Care, and Solvay, whose field forces number around 100 each, and whose turnovers can be as high as £72 million each. However, we suspected that there is probably a big difference in the working lives of those employed in this sector, as compared to those working for the bigger pharmaceutical companies. We asked sales professionals from Merck and Solvay for their opinions.

Stuart Ellison Smith, Business Manager at Merck, explains what it takes to succeed in this sector, and the type of people who thrive in it: “In this sector fieldforces tend to be smaller, so as a representative on territory you tend to be much more visible, and this only works for you if what you are doing on a day to day basis is impressive! In a large organisation, with ten of you on a territory you can ‘plod along’ if you choose to, but in a smaller company this is simply not an option. You need drive, an enthusiasm for responsibility, and to care genuinely about the business. This absolute reliance on representatives who have this self starting, responsible attitude, means that a lot of representatives find that they work their way up through the ranks of a small to medium sized company relatively quickly. This is because their efforts really stand out on territory, and their successes are easily identified and attributable. Of course there is a flip side to this, which is that if you prefer working as part of a large team, or to be measured on activity rather than sales, then this may not be the sector for you. The key to being a successful sales person in a small to medium sized pharmaceutical company is definitely to thrive on accountability and autonomy. This involves taking on a lot of personal responsibility, but the benefits are very real. The focus on the individual’s performance and success means that personalised career paths and individual recognition, are a very big part of the company culture.” Umbereen Mirza, a medical representative in Birmingham, left Solvay to work for a much larger pharmaceutical company, but returned to Solvay a few months ago. For her, the benefits of working for a smaller company are very clear. She told us: “Because I am the only rep on territory, whatever goes on, I am responsible for it! If I don’t go out to work – I don’t get any bonus! Its also really great not having to worry about having to stick to strict zones while on territory – I am free from the constant pressure of having to make sure I am not working the same area as other team members on any particular day. The main benefit of working for a smaller company though is the culture. You definitely feel more valued and not just a number. At Solvay head office everyone is known by their first names, which is very different to any head office I’ve been to before. Your efforts are also very readily recognised through the network of management and senior

“You definitely feel more valued and not just a number.”

management via emails, phone calls etc. It means that being noticed by those at the top is a much quicker process.” It would seem then, that the main differences in working for a small to medium sized pharmaceutical company, are the autonomy and accountability you are afforded, and also the culture of individuality you find yourself in. These are factors that influence every day of your working life. Do these benefits really outweigh those of having a heavyweight organisation behind you? In the next two editions of Pf we will be looking at these issues in greater detail.