A global, publicly traded pharmaceutical company, known for its cutting-edge research and manufacturing of life-saving drugs, was in the final stages of securing FDA approval for a COVID-19 vaccine. With the vaccine’s potential to address global health needs, the company was planning to expand its market reach to multiple countries. To support this effort, the company recognized the need for a robust Commercial/Marketing team that could manage international sales, marketing, and distribution.
Challenge:
As the company prepared to launch its vaccine on a global scale, new roles were created within the Commercial and Marketing division to lead the international expansion. These positions were crucial to the company’s ability to enter new markets and execute its strategic vision. However, there was uncertainty regarding how to structure compensation for these newly created roles. The company needed to ensure that its compensation strategy was competitive in the global market while also aligning with the organization’s broader goals.
The primary challenge was designing an equitable and attractive pay structure for these roles in diverse markets around the world. The company needed to:
Define the new roles, responsibilities, and levels of leadership required.
Establish a pay strategy that would be both competitive and in line with the company’s global objectives.
Implement incentive programs that would motivate the newly created team to perform at their best while supporting the company’s long-term goals.
Solution:
NBBS was brought in to develop a comprehensive compensation strategy that would address the company’s needs across different global markets. The approach involved several key steps:
Compensation Strategy & Pay Philosophy: The first order of business was a comprehensive compensation strategy and pay philosophy that not only outlined the company’s approach to compensation for the newly created roles but also established principles for future compensation decisions across the organization. This strategy ensured that the company could maintain pay equity, attract and retain top talent, and motivate employees to contribute to the company’s success in global markets.
Role Definition & Job Analysis:We worked closely with the company’s leadership team to gather detailed job descriptions for each of the new roles within the Commercial/Marketing group. By collaborating with internal stakeholders, they were able to define the key responsibilities, expectations, and qualifications for each role. This process helped clarify the scope and hierarchy of the positions within the company’s organizational structure.
Benchmarking Against Market Data: To ensure that the company’s pay structure was competitive, NBBS benchmarked the newly defined roles against relevant market data surveys. This included analyzing compensation practices within the pharmaceutical and healthcare industries, particularly for roles tied to vaccine sales, marketing, and international business development. By comparing the company’s compensation offerings with industry standards, they were able to assess where the company stood in terms of pay competitiveness.
Pay Structure Design: Based on the job analysis and market benchmarking, we developed a competitive pay structure that was aligned with the company's global objectives. The pay structure took into account regional market differences, ensuring that the company could attract top talent in various countries while maintaining consistency across roles and regions.
Incentive Program Design: We designed incentive programs tailored to the specific challenges and opportunities presented by the vaccine’s international launch. These programs were designed to drive performance and align with the company’s long-term strategy. Incentives were linked to achieving key milestones in the global expansion, such as successful market entry, regulatory approvals, and sales targets.
Result:
The compensation strategy developed by NBBS helped the pharmaceutical company create a competitive and aligned global pay structure that supported its strategic objectives. Ultimately, the company was able to launch its COVID-19 vaccine successfully in multiple international markets, supported by a strong, motivated team backed by a compensation structure that aligned with both market realities and the company’s strategic vision.