Professional Documents
Culture Documents
7197 Finance Accounting
7197 Finance Accounting
7197 Finance Accounting
Abbott Laboratories is a multinational healthcare company with a rich history dating back to
1888. Headquartered in Chicago, Illinois, Abbott is known for its wide range of medical
products, including pharmaceuticals, medical devices, diagnostics, and nutritional products. The
company's mission is to help people live healthier lives through the development of innovative
healthcare solutions. Abbott's diverse portfolio includes products such as nutritional formulas for
infants, diagnostic tests for various medical conditions, cardiovascular devices, diabetes care
products, and a range of pharmaceuticals. They are a global leader in areas like diagnostics,
diabetes management, and nutrition. With a commitment to research and development, Abbott
has played a significant role in advancing healthcare worldwide. The company operates in more
than 160 countries, serving patients and healthcare professionals with a focus on improving
health outcomes and enhancing the quality of life for individuals of all ages.
In 1888, physician and drug store proprietor Dr. Wallace C. Abbott began producing accurate,
scientifically formulated medications with the goal of providing more effective therapies to
patients and the physicians providing their care.
Under the pioneering leadership of Dr. Abbott, our company was among the founders of the
scientific practice of pharmacy, expanding its business to meet rising global health needs by
championing new areas of medical research. By continually entering new areas—both scientific
and geographic—we’ve established a now long-standing tradition of helping people live
healthier lives around the world.
In 1888 at the age of 30, Wallace Abbott (1857–1921), an 1885 graduate of the University of
Michigan, founded the Abbott Alkaloidal Company in Ravenswood, Chicago. At the time, he
was a practising physician and owned a drug store. His innovation was formulating the active
part of alkaloid medicinal plants morphine, quinine, strychnine and codeine as tiny “dosimetry
granules”, producing more consistent and effective dosages for patients than the liquid
preparations previously used, which deteriorated over time. In 1922, the company moved from
Ravenswood to North Chicago, Illinois.
ABBOTT INDIA LIMITED:
Since 1910, Abbott has been dedicated to helping people in India live healthier lives
through a diverse range of science-based nutritional products, diagnostic tools, branded generic
pharmaceuticals, and diabetes and vascular devices.
Headquartered in Mumbai, Abbott India Limited, a publicly listed company and a subsidiary of
Abbott Laboratories, takes pride in offering high-quality trusted medicines in multiple
therapeutic categories such as women's health, gastroenterology, cardiology, metabolic disorders
and primary care. One of India's fastest-growing pharmaceutical companies, Abbott India
Limited is part of Abbott's global pharmaceutical business in India. We have expertise across
product development, manufacturing, sales and customer service and are dedicated to providing
high-quality, reliable products with the expert clinical support our customers need. Abbott India
Limited believes in providing quality healthcare through a mix of global and local products for
people in India.
Mission:
"Helping people live their best and healthiest lives."
At Abbott, we’re committed to helping you live your best possible life through the power of
health. For more than 125 years, we’ve brought new products and technologies to the world -- in
nutrition, diagnostics, medical devices and branded generic pharmaceuticals -- that create more
possibilities for more people at all stages of life. Today, 74,000 of us are working to help people
live not just longer, but better, in the more than 150 countries we serve.
This mission statement underscores Abbott's unwavering commitment to improving the health
and well-being of individuals worldwide. Abbott strives to achieve this mission by developing
and providing innovative healthcare products and services that contribute to better healthcare
outcomes, greater quality of life, and improved overall health for people of all ages and
backgrounds. Whether through pharmaceuticals, diagnostics, nutrition products, or medical
devices, Abbott's mission remains centered on enhancing and extending lives through its
contributions to the field of healthcare.
Abbott's mission is not just a statement but a driving force that shapes its core values, business
strategies, and everyday operations. Let's delve deeper into what this mission signifies and how
Abbott Laboratories actively fulfills it:
1. Advancing Healthcare Innovation: At the heart of Abbott's mission is an unwavering
dedication to innovation. The company continuously strives to develop cutting-edge solutions
and technologies that address some of the most pressing healthcare challenges. This commitment
to innovation has resulted in breakthrough pharmaceuticals, diagnostic tools, medical devices,
and nutritional products that have transformed the way healthcare is delivered and experienced.
2. Improving Quality of Life: Abbott's mission is fundamentally about improving the quality of
life for individuals of all ages. Through its extensive portfolio of products and services, Abbott
touches every stage of life, from infant nutrition to advanced cardiac care. Whether it's ensuring
proper nutrition for newborns, providing life-saving medications, or offering innovative medical
devices, Abbott aims to enhance the overall well-being of people and enable them to lead
healthier, fuller lives.
3. Global Impact: Abbott's mission is not limited by geographical borders. Operating in more
than 160 countries, Abbott's products and services reach millions of individuals worldwide. This
global reach allows the company to make a meaningful impact on diverse populations,
addressing unique healthcare needs and disparities around the world.
4. Commitment to Patients: Central to Abbott's mission is a deep commitment to patients. The
company prioritizes patient-centricity in its research, product development, and healthcare
solutions. Abbott's diagnostic tests aid in timely and accurate diagnoses, while its
pharmaceuticals and medical devices contribute to improved patient outcomes and treatment
options.
5. Corporate Responsibility: Abbott understands that its mission extends beyond business
success. The company embraces corporate responsibility and sustainability as integral
components of its mission. Initiatives like the Abbott Fund focus on providing healthcare
services, education, and access to medical care in underserved communities. Additionally, Abbott
is dedicated to reducing its environmental footprint and promoting sustainable practices.
6. Continuous Progress: Abbott views its mission as a continuous journey. The company
remains committed to evolving and adapting to the ever-changing landscape of healthcare. It
actively collaborates with healthcare professionals, research institutions, and partners to drive
progress and innovation in healthcare.
In summary, Abbott Laboratories' mission, "Helping people live their best and healthiest lives,"
embodies its purpose, values, and actions. Through relentless innovation, a global presence,
patient-centered approaches, corporate responsibility, and a commitment to improving lives,
Abbott demonstrates its dedication to advancing healthcare and making a positive difference in
the world. As the healthcare industry continues to evolve, Abbott's mission remains a steadfast
guiding principle that shapes its future endeavors and contributions to the well-being of
individuals and communities worldwide.
VISION:
Abbott Laboratories' vision is to lead in shaping the future of healthcare. They aspire to be
a premier global healthcare company by advancing science, developing cutting-edge
technologies, and delivering innovative solutions that enhance health and well-being. Abbott is
committed to improving lives through a diverse portfolio of healthcare products and services,
ranging from diagnostics and medical devices to nutrition and pharmaceuticals. Their vision
centers on driving positive health outcomes, improving access to care, and addressing emerging
healthcare challenges, ultimately making a lasting impact on individuals and communities
worldwide.
Abbott Laboratories, a global healthcare company, is driven by a clear and aspirational vision
statement:
"To be the most admired company in healthcare."
Abbott's vision reflects its ambition to not only be a leader in the healthcare industry but
also to set the standard for excellence and innovation, earning admiration from customers,
employees, partners, and stakeholders alike. Let's explore what this vision signifies and how
Abbott strives to achieve it:
1. Industry Leadership: Abbott aspires to be at the forefront of the healthcare sector. This
means setting trends, pioneering breakthroughs, and continuously pushing the boundaries of
what is possible in healthcare. By being a leader, Abbott aims to shape the future of healthcare
for the better.
2. Admiration: Abbott seeks to earn admiration from various stakeholders, including patients,
healthcare professionals, investors, and the broader community. This admiration is not solely
based on financial success but also on the company's contributions to improving healthcare, its
ethical practices, and its commitment to corporate social responsibility.
3. Innovation: A fundamental part of Abbott's vision is a dedication to innovation. The company
aims to be admired for its ability to develop and provide cutting-edge healthcare solutions. This
commitment to innovation leads to the creation of products and services that address unmet
medical needs and drive positive change.
4. Impactful Healthcare: Abbott's vision underscores its commitment to making a meaningful
impact on healthcare outcomes. By being admired in healthcare, the company strives to enhance
the quality of patient care, improve health outcomes, and contribute to the well-being of
individuals and communities.
5. Ethical Practices: Achieving admiration also entails upholding the highest standards of ethics
and integrity. Abbott aims to be a company that not only delivers exceptional healthcare
solutions but does so with a strong sense of responsibility and ethics.
6. Stakeholder Satisfaction: Abbott recognizes that its vision extends beyond financial success
to include the satisfaction of all stakeholders. This encompasses meeting the needs and
expectations of customers, employees, shareholders, and the broader community.
OBJECTIVES:
Abbott Laboratories, as a global healthcare company, sets various objectives to guide its
operations and strategies. These objectives align with its mission and vision and encompass a
wide range of areas within the healthcare industry. Additionally, Abbott emphasizes corporate
responsibility, including environmental sustainability and community engagement. They work
towards reducing their environmental footprint and making a positive impact on the communities
they serve. In summary, Abbott's objectives revolve around advancing healthcare, ensuring
financial success, and promoting social and environmental responsibility.
Here are some key objectives of Abbott Laboratories:
1. Innovation and Research: Abbott is dedicated to advancing healthcare through continuous
innovation and research. One of its primary objectives is to develop and introduce
groundbreaking products and technologies that address unmet medical needs. This includes
pharmaceuticals, diagnostic tests, medical devices, and nutritional products.
2. Patient-Centric Focus: Abbott places a strong emphasis on patient-centricity. One of its
central objectives is to improve patient outcomes and enhance the quality of life for individuals
across the globe. This involves developing products and services that prioritize patient needs and
preferences.
3. Global Reach and Expansion: Abbott aims to expand its global presence and reach more
individuals in diverse markets. Expanding into emerging markets and strengthening its foothold
in established ones is a key objective. This includes ensuring that its products are accessible to
people in different regions.
4. Financial Performance: As a publicly traded company, Abbott has financial objectives to
deliver sustainable growth and profitability to its shareholders. These financial goals support its
ability to invest in research, development, and innovation.
5. Operational Excellence: Abbott seeks to achieve operational excellence across its various
business segments. This includes optimizing manufacturing processes, supply chain
management, and cost efficiencies while maintaining the highest standards of quality.
6. Sustainability and Corporate Responsibility: Abbott is committed to responsible business
practices and sustainability. This includes objectives related to reducing its environmental
impact, conserving natural resources, and contributing positively to the communities it serves.
7. Quality and Regulatory Compliance: Ensuring the highest levels of quality and compliance
with regulatory standards is a paramount objective for Abbott. This applies to all aspects of its
operations, from manufacturing to product safety and data integrity.
8. Partnerships and Collaborations: Abbott collaborates with healthcare professionals,
research institutions, and other industry stakeholders to drive innovation and improve healthcare.
Building and maintaining effective partnerships is an ongoing objective.
9. Market Leadership: Abbott aims to maintain and strengthen its leadership positions in key
market segments. Whether in pharmaceuticals, diagnostics, nutrition, or medical devices, the
company strives to be a leader in delivering healthcare solutions.
10. Employee Development and Well-being: Abbott values its employees and has objectives
related to their development, safety, and well-being. Nurturing a diverse and inclusive workforce
is a priority.
White Belt
This is the simplest stage, where:
Any newcomer can join.
People work with teams on problem-solving projects.
The participant is required to understand the basic Six Sigma concepts.
Yellow Belt
Here, the participant:
Takes part as a project team member.
Reviews process improvements.
Gains understanding of the various methodologies, and DMAIC.
Green level
This level of expertise requires the following criteria:
Minimum of three years of full-time employment.
Understand the tools and methodologies used for problem-solving.
Hands-on experience on projects involving some level of business transformation.
Guidance for Black Belt projects in data collection and analysis.
Lead Green Belt projects or teams.
Black Level
This level includes the following:
Minimum of three years of full-time employment.
Work experience in a core knowledge area.
Proof of completion of a minimum of two Six Sigma projects.
Demonstration of expertise at applying multivariate metrics to diverse business change settings.
Leading diverse teams in problem-solving projects. Training and coaching project teams.
Master Black Belt
To reach this level, a candidate must:
Be in possession of a Black Belt certification.
Have a minimum of five years of full-time employment, or Proof of completion of a minimum of
10 Six Sigma projects.
A proven work portfolio, with individual specific requirements, as given here, for instance.
Have coached and trained Green Belts and Black Belts.
Develop key metrics and strategies.
Have worked as an organization's Six Sigma technologist and internal business transformation
advisor.
Abbott, a global healthcare company, has successfully employed the Six Sigma
methodology to improve various aspects of its business operations. By leveraging this data-
driven approach, Abbott has achieved significant advancements in efficiency, quality, and
customer satisfaction.
Stakeholders Impacted:
Customers: For customers relying on Abbott’s medical devices, the rising defects jeopardized
their trust in the company’s ability to deliver safe and reliable products. The potential health risks
and inconvenience caused by defective devices left customers dissatisfied and undermined
Abbott’s reputation.
Employees: The manufacturing team responsible for producing the devices experienced
dwindling morale as defects continued to escalate. The hardworking individuals who took pride
in their craftsmanship felt disheartened and demotivated as their efforts did not yield the
expected outcomes. Employee morale suffered, leading to decreased productivity and heightened
frustration.
Shareholders: Abbott’s shareholders were gravely concerned about the financial implications of
the defect crisis. Product recalls, increased customer complaints, and potential litigation posed a
threat to the company’s profitability and shareholder value. The problem demanded a swift and
effective resolution to restore investor confidence.
Positive Outcomes:
The implementation of Six Sigma at Abbott yielded remarkable outcomes. Defect rates
significantly declined, enhancing product quality and reliability. The manufacturing processes
were streamlined, resulting in improved efficiency and reduced waste. Customer satisfaction
began to rebound, strengthening.
Implementing the Six Sigma process at Abbott was not without its challenges and learning
experiences. As with any major organizational transformation, the company encountered a few
speed bumps along the way. However, these obstacles did not deter Abbott from its commitment
to achieving excellence and overcoming the identified problem.
Initial Challenges:
Change Resistance: Implementing a new methodology like Six Sigma required a significant
cultural shift within the organization. Some employees were initially resistant to change,
apprehensive about the new processes, and skeptical about its potential benefits. Overcoming this
resistance and gaining buy-in from all levels of the organization required effective change
management strategies, open communication, and leadership support.
Process Complexity: Abbott’s manufacturing processes were intricate and multifaceted, making
it challenging to identify and address the root causes of defects. The complexity of the processes
required an in-depth analysis and collaboration across various departments, which demanded
time and resources.
Optimizing Implementation
While Six Sigma provided the framework for process improvement, Abbott also focused on
finding the most efficient and cost-effective ways to implement the methodology.
Cross-functional Collaboration: Abbott recognized the importance of involving cross-
functional teams in the implementation process. By engaging employees from various
departments, including manufacturing, quality assurance, supply chain, and customer service,
Abbott ensured a comprehensive and holistic approach to problem-solving. This collaboration
enabled the identification of interdependencies and the implementation of integrated solutions.
Process Standardization: As Abbott progressed with Six Sigma, the company realized the
significance of process standardization for consistent and reliable results. Standard operating
procedures were developed and implemented, ensuring that best practices were followed across
all manufacturing facilities. This standardization simplified the implementation process, reduced
variation, and improved overall efficiency.
SUGGESTION:
Weakness is the internal factor that affect the growth of Abbott Laboratories, thus it needs to take
care of these areas in its firm and act accordingly to prevent such events. Following are some of the
weaknesses that Abbott Laboratories has to face:
1. Low reach in global market: Items recorded on the site might be accessible just in specific nations.
Thus restricts its reach in the countries which want access to their products.
2. High obligation: The obligation segment in the fiscal summary is exceptionally high. Thus it might
make a boundary to the monetary adaptabilities.
3. Low R&D expenses: After the year 2010, it has diminished its financial plan on innovative work
fundamentally. It might result in a debilitating R&D division as R&D is essential to bring up new things in
the business. This can impact the business negatively.
4. Market Capital/Share: portion of the overall industry of Abbott Laboratories is at a declining stage. Till
2011, it was the sixth biggest drug organization in the business with 76B in market capitalization.
CONCLUSION:
The lesson learned from this experience is that the structured approach of Six Sigma,
with its emphasis on data-driven decision-making, collaboration, and continuous improvement,
can be a powerful tool for organizations to address complex business problems effectively.
Abbott’s successful application of Six Sigma demonstrates the value it brings in terms of quality
enhancement, customer satisfaction, operational efficiency, and employee engagement. By
embracing this methodology, organizations can position themselves for sustained success in
today’s competitive business landscape.
★REFERENCE:
1. https://www.abbott.com
2.https://en.m.wikipedia.org/wiki/Abbott_Laboratories
3.https://www.comparably.com/companies/abbott/mission
4.https://www.simplilearn.com/what-is-six-sigma-a-complete-overview-article
5.https://www.isixsigma.com/dictionary/how-abbott-utilizes-six-sigma-methodology-to-enhance-
business-processes/