Business Model Innovation in the Pharmaceutical Industry: The Supporting Role of Organizational Design

Klement Ahrensbach Rasmussen, Nicolai J. Foss

    Research output: Working paperResearch

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    Based on interviews in LEO Pharma, UCB Pharma and Novo Nordisk, we document how deep-seated changes in the pharmaceutical industry related to increasing demands from payers, the strengthening of the role of patients, changing legal demands, and declining technological opportunity, drive a process of experimenting with business model. We distinguish between three ideal types, namely a traditionalist model (exemplified by Novo Nordisk), the full-blown service-oriented model (UCB Pharma) and the in-between model (LEO Pharma). We describe the changes to the organizational design and management processes that accompany the ongoing process of changing business models in these firms.
    Original languageEnglish
    Place of PublicationFrederiksberg
    PublisherInstitut for Strategic Management and Globalization
    Number of pages31
    ISBN (Print)9788791815966
    Publication statusPublished - Feb 2014
    SeriesSMG Working Paper


    • The pharmaceutical industry
    • Business model innovation
    • Organizational design

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