As a part of the global acquisition of the pharmaceutical company Ratiopharm by Teva, Teva Canada was responsible for integrating and rationalizing Ratiopharm products, processes, premises, people and technology with Teva Canada. The goal of the acquisition was to build a new and stronger Teva Canada, incorporating best practices from both organizations into the new entity.
Our team was retained to conduct an independent review of this integration at the conclusion of Day 100. At that time, a majority of deliverables for the integration were considered to be completed with some key deliverables remaining over the following months. The integration was a large and complex initiative involving all functional areas of the two organizations.
The initiative would position Teva Canada as the second largest manufacturer of generic drugs in Canada. The review, commissioned by the Chief integration Officer was a strong indication of the importance of this initiative and the criticality of success. The timing of the review was designed to adjust course, if required, for the remainder of the integration effort. There was also recognition there may be key lessons learned for application now and in future endeavours at Teva Canada.
By and large, the initiative appeared to have been extremely successful. It would require a significant depth of analysis to:
a) Identify the key reasons why the integration was successful
b) Identify areas that were less successful, and analyze the causes
c) Ensure sustainability of early successes
The review would need to incorporate information and opinions of a broad base of stakeholders from all levels of the organization as well as perspectives from Teva Canada, Teva US and Teva Global and key individuals no longer with the organization. Any recommendations provided would need to be specific, practical and address immediate needs as well as medium and long-term changes to practices and approaches.
A team of two senior consultants were engaged in this assignment. Our team uses a standard best practice approach adjusted to reflect the uniqueness of each client’s circumstances. Extensive experience in conducting initiative reviews and mergers and acquisitions allowed us to customize a version of our standard Health Check practices.
Three sources of information used during the discovery phase were artifacts, an online survey and one on one interviews with key leaders of the integration. The artifacts review consisted of examining a large number of sample documentation related to various communications and selected project management documents.
Interviews were conducted with key leadership participants from both organizations at the national and international level as well as current and past employees. An anonymous online survey was conducted to capture information and insights from a broader audience from Teva and ex-Ratiopharm employees, both those directly and indirectly involved in the integration effort.
Throughout the analysis process, our best practices for mergers and acquisitions were referenced. This analysis identified several aspects of the integration that had worked well and why. Similar due diligence was undertaken to identify areas of improvement with underlying causes. For each improvement area recommendations were developed for immediate, medium (for this initiative) and longer-term (for future initiatives) application.
A comprehensive report was prepared and an executive presentation was given to allow for clarification and address any questions.