Page 14 - CIMA SCS Workbook November 2018 - Day 1 Suggested Solutions
P. 14
CIMA NOVEMBER 2018 – STRATEGIC CASE STUDY
EXERCISE 3
Risk analysis and mitigation
Risk Rank Mitigation
Doctors are often reluctant to
change their prescribing habits. H Novak invests heavily in ensuring that hospital doctors and
general practitioners are updated on its latest products. (per
risk report)
The licensing of pharmaceuticals
is constantly changing H Novak should maintain a cooperative relationship with the
licensing authorities.
Novak has a strong CSR policy which can help attract &
retain talent. They specifically mention employees within
Staff skill shortages H
their corporate values to emphasise their focus on this.
Good compensation and career progression will help.
Maintaining strong relationships with funding providers such
Financing risk M as Government and financial institutions, plus a good
reputation of success of previous drugs.
Rigorous testing of drugs for successful application and
potential side effects, regulatory approval and clear
Reputation risk H
communication with doctors/consumers about how to take
the drugs and any potential risks will help control this risk.
Novak is unable to control the economic environment or
government expenditure but a good reputation, quality
Government expenditure H drugs and a cooperative with the government and
regulatory authorities will help.
Continuous work on new opportunities and investment in
Competitive environment H research into new drugs will help make sure that Novak
stays competitive.
Internal policies and procedures with clear sanctions for
transgression will help avoid any Novak employees engaging
in any inappropriate behaviour. Cooperative relationships
Bribery M
with external bodies and the strong legal team should help
avoid any issues with external parties undertaking such
actions.
Juliane Horst and her team will be vital in making sure that
Litigation H
Novak are protected with appropriate patents and
54 KAPLAN PUBLISHING
