Eli Lilly and Company Harvard Case Solution & Analysis

Innovation without walls alliance management at Eli Lilly and company


The owner of the company, Eli Lilly was experienced in the field of medicine and thus formed a company and named it as Eli Lilly and company. He was a pharmacist and a union officer who initiated his company in Indiana. The basic aim of Lilly was to produce high-quality drugs and medicines to the world. After the death of colonel, his son and his grandsons took the charge of business and became the company’s president. The grandson of Lilly contributed a lot for the success of the company specifically in the installation of modern equipment as well as biomedical research.

The research done by the grandson paid off well, and the company became one of the most influential and largest companies in the pharmaceutical sector. The company was engaged in offering various pharmaceutical drugs in almost all the areas related to therapeutic. Elli Lilly is known to be a leading distributor & manufacturer of therapies in pharmacy specifically in cardiovascular disease, cancer, central nervous system, infectious diseases and endocrine system disorders. One of the most famous drug of the company was Prozac that was an antidepressant drug. Other successful drugs that contribute to company’s major revenue included Evista, Humalog, Darvocet, Gemzar and Zyprexa.

Problem statement:

The issue was faced by the executive director of the company and particularly about Office of Alliance Management (OAM) at Lilly. The president of Lilly asked him to look into the corporate strategy of the company and review the overall OAM strategy. Moreover, the executive director of the company needs to work with Corporate Strategy and Business Development (CSBD) to analyze whether they should stick with the existing strategy that is maintaining the status quo or bring some radical changes in it to make it more attractive and profitable. Particularly, the director needs to analyze how to sustain leadership in its overall alliance strategy.


Alliance management at Lilly and the practices followed:

The basic rationale of Lilly to make a procedure about the alliance management of the company is to identify the best practices and approaches used by the company and thus mandatory for maintaining good relationships in corporate-alliance business. A major part of the alliance management is based on strong communication and responsibilities centers. With the help of these factors, management of the company makes sure that the corporate alliance relationship can be maintained on proper basis.

Communication enhancement:

Individuals or companies when make alliance with each other, it is the primary task for both the parties to increase the level of communication for better alignment and alliance. By increasing the element of communication, members of both parties will come to know each other and make themselves comfortable. Moreover, communication would help teams to decrease the overall gap so that the alliance teams could serve each other in a better way and could share their resources.

In addition to this, management at Lilly believes that the communication is necessary to make concrete and strong relationships with alliance. To make that concept implemented, the teams at Lilly make sure that there has to be at least minimum level of direct face to face meetings according to the urgency and requirement of the group. Meetings help both the team to share their resources in the best possible way.

Moreover, the management at Lilly believes that one can guarantee success in any process or alliance if the element of communication exists there.

Responsibility Centers:

The responsibility centers of the company is based on alliance manager, alliance leader and alliance champion. All these parties help the teams in making alliances successful. Alliance champions are mostly the board and executives of the company that is engaged in providing high sight, guidance and support to the teams. On the other hand, alliance leaders are the ones that are mostly project and technical manager and are engaged in maintaining daily relationships of the team members to make the operations runs smoothly. Lastly, there are alliance managers that are the main representatives of OAM and thus act as the main integrator to make sure that the relationship between the internal and external party is running properly.

The procedure:

The alliance management procedure at Lilly is based on three broad steps that help the company in managing the alliances properly on a local and international basis as well. These steps are based on finding, getting and then creating value from it........................

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If this agreement is intended to be used in conjunction with "Hybritech, Incorporated ()"; half the class is working on the case, and the other half from the other. Lilly is considering buying Hybritech, but future flows of genetic engineering of money are difficult to predict and value. Both companies want to merge, but the cases that provide essentially the same information in all other respects, offer widely divergent projected cash flows. "Hybritech, Incorporated (B)" case following the case of the payment structure of the acquisition. "Hide
by Robert F. Bruner, Casey Opitz C. Source: Darden School of Business 17 pages. Publication Date: September 1, 1990. Prod. #: UV0069-PDF-ENG

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