NOVO NORDISK CASE

Course: 360° COMMUNICATION

International Diploma in Marketing 2018-2

Participants

- Cruz Huamán, Julissa Katherine

- Arroyo Rivas, Diego Alonso
- Guinea Fernandez-Concha, Mauritius
- Bastidas Sucari, Rudy Viviana
- Tafur Gonzales, Piero Andre
- Rondan Escalante, Leonel Alberto
- Castañeda Vicente, Juan Manuel

August 31, 2018

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INDEX

1. Analyze the Novo Nordisk Case

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a) Identify the vision, mission, company values

2. Diagnose the problem situation and offer solutions 4

a) Determine the Problem Situation of the Case (Perform a Cause and Analysis Analysis)
Effect using Ishikawa diagram
b) Perform the SWOT and Cross-Force Analysis to assess the
ability of the company to address the solution to it (apply Pareto)
c) Prepare the Strategic and Operational Plan to face the problem situation

3. Prepare a 360º Communication Program for the company 9

a) Challenges
b) Hearings
c) Empathy Maps
d) Tailored message and appropriate channels
e) Metrics

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1. Analyze the Novo Nordisk Case

a) Identify Mission, Vision and values of the company.

- Mink: contribute significantly to scientific research and development

of new products with the aim of improving people's health.

- Mission: To be the world leaders in the healthcare sector, providing

innovative solutions for the treatment of diabetes and other serious
chronic diseases.

- Business values:
Socially responsible company that practices the triple bottom line
approach:
i. Social responsability,
ii. Environmental Responsibility
iii. Economic viability

2. Diagnose the problem situation and offer solutions

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a) Determine the Problem Situation of the Case (Perform a Cause and Effect
Analysis using the Ishikawa diagram).

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b) Perform the SWOT and Cross-Force Analysis to assess the company's
ability to address the solution (apply Pareto)
Strengths
F1: World leader in diabetes treatment with good
R&D team.
F2: Multinational company with great economic
backing.
F3: Good corporate image (triple bottom line
approach).
F4: Continuous innovation policy.
Opportunities
O1: Increase profitability through good reputation.
O2: Generation of new medical policies for the
well-being of society.
O3: Market need for new drugs.
O4: Digital media with greater reach.
O5: New technologies in the medical sector.
FO Strategy
Strategy 1 : Identify new business opportunities in
the pharmaceutical market (F1,O3).
Strategy 2 : Launch innovative drugs on the
market with transparent prior research (F2, F4,
O5).
Strategy 3 : Create a corporate image and
reputation area (F3, O1, O4).
FA Strategy
Strategy 4 : Implementation of a communication
plan that publicizes the triple bottom line
approach (F3, A1, A2).
Strategy 5 : Highlight the value of the brand in the
pharmaceutical sector (F1, F4, A4).
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Weaknesses
D1: Inconsistent relocation plan.
D2: Actions not aligned with the triple focus
plan.
D3: Posture of rejection of variations by
regulatory entities.
D4: They did not have a crisis communication
plan.
Threats
A1: Reputation of the pharmaceutical sector at
risk.
A2: Rigor of global health entities.
A3: Unstable health policies in underdeveloped
countries.
A4: Increase in competition.
DO Strategy
Strategy 6 : Invest in social campaigns that
benefit the countries where clinical trials are
carried out (D1, D2, O1, O2).
Strategy 7 : Generation of a communication
plan for crisis management (D4, O4, O5).
DA Strategy
Strategy 8 : Negotiate "win-win" agreements
between the company and regulatory entities
(D2, A1, A2, A3).
Strategy 9 : Strengthen relocation plan to
mitigate negative impacts (D1, D4, A2).
Strategy 10 : Align activities of the triple focus
plan (D2, A1).
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Conclusions:
Reviewing each of the strategies, it has been identified that strategies
E1, E3 and E4 are the most relevant, that is, they generate 80% of the
impact that we want to achieve as an organization.
The E1 will allow obtaining a greater competitive advantage over the
competition, since it is vital to be aligned with the needs of the market
and the consumer.
The E3 is important since it will strengthen the company in society and its
target audience with a good image and organizational reputation, which
will contribute to the profitability of the company.
The E4 allows us to show society that the company cares not only about
its profitability, but also about social and environmental well-being .
c) Prepare the Strategic and Operational Plan to face the problem
situation

ESTRATEGIAS ACCIONES
1. Investigación del mercado farmaceútico
Estrategia 1: Identificar nuevas oportunidades de negocio
2. Analisis de viabilidad economica
en el mercado farmacéutico (F1,O3).
3. Desarrollo de prototipo, prueba y lanzamiento
1. Definir objetivos y metas claros del área
Estrategia 3: Crear un área de imagen y reputación
2. Elaboración de Presupuesto para la creación del área
corporativa (F3, O1, O4).
3. Contratación de personal calificado
Estrategia 4: Implementación de un plan de comunicación 1. Identificar el publico objetivo
que de a conocer el enfoque de triple resultado (F3, A1, 2. Diseñar el plan de medios
A2). 3. Ejecución y medición del plan

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a. Strategy 1: Identify new business opportunities in the pharmaceutical

market (F1, O3).
To begin to identify business opportunities, we begin with exhaustive
market research of the pharmaceutical market, through which new
consumer trends, unsatisfied demand and the need for new products can
be identified. Having this prior information, we proceed to prepare the
financial analysis to determine the viability of the business. Finally, with
the support of the R&D area, we develop the prototype based on the
information obtained, the tests and/or trials are carried out, they are
approved and subsequently the market launch is carried out.
b. Strategy 3: Create a corporate image and reputation area (F3, O1, O4).
It is important to determine, in the first instance, the general and specific
objectives for the creation of the Corporate Image and Reputation area.
Once the scope has been defined, the budget for the creation and
operation of the area is evaluated. Finally, based on the budget range,
we begin with the recruitment and hiring of qualified personnel aligned
with our vision, mission, values and objectives.
c. Strategy 4: Implementation of a communication plan that publicizes the
triple bottom line approach (F3, A1, A2).
To prepare the Organizational Communication Plan, it is vital to identify
the audience you want to address. Then, we proceed to develop the
media plan, that is, through which channels what we want to
communicate should be transmitted, and finally we proceed to the
execution and measurement of the results through relevant KPIs.

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3. Prepare the corresponding 360º Communication Plan.

a) Challenges

i. Vision: Contribute significantly to scientific research and development of

new products.

ii. Mission: To be the global leaders in the healthcare sector, providing

innovative solutions for the treatment of diabetes and other serious
chronic diseases.

iii. Values: Socially responsible company that practices the triple bottom line
approach:
- Social responsability
- Environmental
- Economic viability

iv. Goals:
- Strategic:
i. Grow 3% in net profit versus the previous year.

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ii. Position ourselves as a socially responsible company in the

next 4 years.
iii. Reduce the impact of the carbon footprint by 25% in our
processes in the next 4 years.

- 360 Communication: Demonstrate to Stakeholders that we are a

pharmaceutical company with a positive image and reputation.

v. Brand positioning: Leaders in the Diabetes pharmaceutical market,

showing transparency and credibility.

vi. Target Audience: Pharmaceutical Distributors and Medical Centers that

treat patients with diabetes.

vii. PESTEL Analysis

Political Factors
Novo Nordisk, being a company that operates in many countries, must
analyze the different political environments and consequences that it
could experience in each of them, so it must take into account many
factors such as the level of government influence in the pharmaceutical
sector, regulation of prices and among others to drug manufacturers;
regulations on taxes, wages, wage obligations and health benefits.
Another issue to take into account, if it is not the most important, is the
political stability of the country where you are, the existing levels of
corruption, the centralization and bureaucracy of the institutions.

Economic factors
Within this sector we can determine two environments, within a micro
environment how competition laws affect and in a macro environment to

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take into account such as the interest rate, the exchange rate, inflation
rates, growth and development rates. economic.
We must also take into account government intervention in the free
market, the type of economic system they defend, salary costs,
assistance in depression events; and analyze the market itself taking into
account competitive advantages, level of education, level of
infrastructure; the institutions in charge of the stability of these rates and
the financial actors that incur them, such as banks.

Social factors
Identity and culture, the way a society shares itself, would always
influence the performance of the company within the sector, so it must
analyze different factors such as:
- Social Structure and its hierarchy
- Customs and gender roles
- Population Demographics
- Skills and attitudes of the population

Technological Factors
In this topic we see how technology itself is going to affect all sectors
quickly, so companies must face large and accelerated changes in their
production structure, sales, marketing and other operating strategies.
Therefore, the level of influence it has on, for example, the developments
and new products launched by the company and its competitors, the
effect of the innovation of certain products on supply and manufacturing
costs, a structural change in the production chain in order to optimize the
profitability of the company.

Ecological Factors

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The different markets always establish different protection mechanisms

both for the consumer themselves and for their environment that comply
with the standards of care for the environment and new factors caused
by human actions and globalization such as:
- Climate
- Climate change
- Environmental pollution
- “Eco-friendly” mentality
- Reduce, recycle and reuse

Legal Factors
As Novo Nordisk operates in different countries, the legal framework and
the position of institutions may vary in factors such as intellectual
property rights, antitrust laws on manufacturers of patient supplies, and
health and safety law.
This factor is also important for the correct development among
pharmaceutical actors since it ensures the correct compliance of the
signatures and/or contracts for the protection of the consumer as well.

b) Audience Determination

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a. External Environment

- Danish National Committee: It is the entity in charge of

regulating and enforcing that the testing processes for the
manufacture of pharmaceuticals meet the quality standards for
effectiveness and safety of said products.
- Media: The media can also be called pressure groups that are
there to highlight the mistakes made by the company.
- Competitors (Sonafi, Lilly): Companies in the pharmaceutical
sector dedicated to treating diabetes.
- Underdeveloped Countries: These are the countries where
pharmaceutical companies usually geographically locate their
testing or study fields.
- Diabetic Patients: Our target client who needs to consume the
medication for improvement.

b. Internal Environment

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- Shareholders: They are those who expect to receive a constant

and greater profit every time, very demanding as the case
comments.
- Employees: They make up the doctors, patients and other direct
actors who receive a benefit for their services.
- Managers: The companies in charge of making the company's
strategic and operational decisions in order to generate profits.

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c) Tailored Messages and Appropriate Channels

TARGET AUDIENCES
Specific Message Channels
We are leaders in the medical care market for diabetes and chronic diseases with more than 80
years of experience.
Operational message
We constantly train the Research and Development team.
- Improve the skills of the people involved in the area.
- Align training with corporate culture. TTL (Disseminate
at medical
- Measure results based on rigorous qualifications.
events, on our
social networks
Innovating is part of our policy, since we care about new customer needs. and mass media)
- Detect new consumer trends to take rapid actions for adaptability and differentiation in the
market.
Through the transparency of our processes and tests we can guarantee the quality of the
products we offer.
- Implement the preparation of reports by product categories.

SHAREHOLDERS
Specific Message Channels
Our investments in reinforcing the triple bottom line approach will give us a significant return
with positive effects on profitability in the short and medium term.
Operational message
We invest in good works of social impact in the countries where we operate. (Improvement of
infrastructure, education and food).
- Improve Life Quality.
- Development of transparency plans between the parties involved. Corporate social
We develop good resource management plans that manage to reduce the economic impact networks, group
(expenses) and the carbon footprint (environmental pollution). actions. (strategic
- Efficient energy use with monthly metrics. meetings)
- Optimize product packaging.
- Revaluation of waste.
Investment in innovation will allow us to find new sources of income (new products) to improve
the profitability and sustainability of the business.
- New formulas and products.
- Implementation of digital sales channels.

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MEDIA
Specific Message Channels

We will show the results of our medical trials where our good practices will be evidenced.
Operational message

Periodically prepare reports on the results of clinical trials available to stakeholders. TTL
- Reports with social and environmental impact indicators.
Develop digital platforms to place reports in an orderly manner.
- Improve web channels and social networks for interaction with the public.
- Spread advertising spots with stories of real cases on television media.

DANISH NATIONAL COMMITTEE

Specific Message Channels
We will comply with the corresponding ethical reports to demonstrate our transparency in our
processes. TTL (Disseminate
at medical events
Operational message and through our
social networks)
Reports with information on agreements and negotiations favorable to the parties involved

EMPLOYEES
Specific Message Channels
You will be responsible for ensuring that this company has the desired reputation, complying with
the regulations of the organizations and satisfying the needs of all our clients. TTL (Disseminate
Operational message through our
social networks)
Prepare audits where it is proven that the company's employees comply with all conditions.

DIRECTORS
Specific Message Channels
Strategies based on our strengths and market opportunities will make us the company in the
sector with the greatest profit focused on the triple result.
TTL (Disseminate
Operational message through our
The reports showing the fundamental KPIs must be disseminated to all staff. social networks)
Sending monthly newsletters showing the fundamental actions of the company which generate
value

COMPETITORS

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Specific Message Channels

We are an innovative company that will go beyond drugs, showing new lines of R&D.
TTL &ATL
Operational message (Disseminate
'Constantly innovate for better performance in our patients according to their requirements. launches of new
- Develop an improved formula and longer duration of long-acting insulin. lines through
-We will offer a more complete range of diabetes products from the pharmaceutical industry, social networks
different from the competition. and television
- 'We will develop "Leading the change." channels)
- Leading change for people living with diabetes and other serious chronic conditions.
- Rapid actions of adaptability and differentiation in the global competitive market.

UNDERDEVELOPED COUNTRIES
Specific Message Channels
We will comply with transparent quality control, respecting standards and procedures.

TTL&ATL
Operational message
(Effective
We will develop value strategy channels and transparent results.
Communication
-Achieve superior sustainable results, successful positioning at the business level.
Spreader through
-We will measure greater probabilities of success through the formulation of the legal parts.
the different
- Global business initiative.
media
- We will adopt legal communication in all the countries in which the company has a presence,
"television, radio
and we will transfer all years of R&D to the rest of the population
and social
- We will adjust our company with strict documentation, offering to better understand all
networks")
sufficient information for relationship management to the developed products.
- Implement large work teams, and guarantee quality
- Offer a large team of trained medical professionals.

COMPETITORS
Specific Message Channels

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We are an innovative company that will go beyond drugs, showing new lines of R&D.
TTL &ATL
Operational message (Disseminate
'Constantly innovate for better performance in our patients according to their requirements. launches of new
- Develop an improved formula and longer duration of long-acting insulin. lines through
-We will offer a more complete range of diabetes products from the pharmaceutical industry, social networks
different from the competition. and television
- 'We will develop "Leading the change." channels)
- Leading change for people living with diabetes and other serious chronic conditions.
- Rapid actions of adaptability and differentiation in the global competitive market.

d) Metrics

- Cost to impact 1000 times with our advertisement on a channel

with a lot of traffic, since the health issue is of global interest and
we can generate value and awareness from the positive
attributes of the brand.

- Corporate social network: In search of facilitating communication

at all business levels.
a. Adoption: That collaborators are users and interact.
b. Engagement: Topics related to the company.
c. Integrated value: Deliver business value.

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- Medical Events (KPI Results)

1. Physical Community
 Number of Attendance at events via Facebook
 Number of Event Attendees

2. ROI Conversion
 Event Cost VS. Sales obtained after the event

- Social Networks (Posts) (KPI Interaction and Reach)

3. Digital Community
 New followers (day, week, month)
4. Engagement
 Number of “Likes” on Facebook
 Facebook Post Comments
 Clicks on Content
 Visits to the website
 Newsletter Downloads

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- Mass Media (TV and Public Roads “Fences”) (Impact KPI)

5. Online - Offline
 Track the number of visits from specific URLs placed
in advertisements, whether on TV or in public

6. Visual Attention
 Effectiveness Ranking, through eyetracking software
for advertising pieces
 GRP (Gross Rating Point), coverage by number of
times the ad is broadcast (opportunity to see)

- Group actions (Impact KPI)

7. Community
 Number of volunteer projects in vulnerable cities
 Monthly Environmental Impact Reports

e) Should we give the interview?

By consensus, the group decided that the interview should be given for the
following reason:

The fact of not providing the interview leaves open the possibility of opinion
that unethical acts have been carried out; Consequently, our trust perceived
by the client would decrease along with our image and reputation. In the
interview we must make it clear that we are committed to providing the best
drug in a sustainable and environmentally friendly way to our clients. We are
aligning all our systems to have an approach with the populations that are
the objects of studies, complying with all the permits and requirements of
the case. Finally, mention that we are focused on continuing to grow with

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the triple bottom line and satisfy the needs of our clients, creating new drugs
and improving existing ones.

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