Sensing great profits to be made from the growing biotech market, Monsanto made two strategic decisions: first, to enter the field by hiring one of the leaders of the science to head up the team; second, to expand market base by adding Searle. The issue is how to blend differing technologies and philosophies into one synergistic vision.
1. Monsanto could simply absorb Searle and let that company operate and add to the balance sheet.
2. Monsanto could assign its biotech division to Searle and let the two develop into an R & D/Marketing unit.
3. The company could create a strategic vision that saw both Searle and its own Biotech division as the new wave.
By far, the best alternative to follow is 3, since this is the best way to get the maximum mileage out of the scientists at both operations. The relation between biotech and pharmaceuticals looks different to management groups. One side (the financial side) sees a greatly increased balance sheet while the other (the scientific side) sees the opportunity for funding that could support important health research.
It is essential to give this new unit a vision for biotechnological development that can create science for profit. This will present a challenge and it will require a unique head, one who has excellent communications skills to both inspire the team, but to keep the non-scientific members of the management team and the board properly informed so decisions can be made. A pressure and threats chart accompanies this memo.
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