Research On The Agile Capability Of China’s Private Pharmaceutical Enterprises

For the pharmaceutical industry,the direction of the government policy is constantly changing in China.Every year,a large number of new industrial policies were introduced,which can be labelled as "policy year".The renewal of national healthcare policy is frequent,especially with the continuous advancement of the new healthcare reform policy.The policy of consistency evaluation,two-vote system,medical separation,medical insurance price limit,and quantity procurement have brought the industry to face new opportunities and challenges.Based on the perspective of agile capabilities,this article takes HRS Pharmaceuticals as a case study object,analyzes the specific management measures implemented by the case enterprise in responding to policy changes,and extracts five capabilities of its response strategy.The findings,cognition,actions and systems transformation are the direction control,achievement path and value destination of the organization’s agility.Policy changes have led to a restructuring of the industry landscape,which is the driving force behind organizational agility.The organization identifies the changed policy through the recognition of senior managers,with quickly responding to the policy,as well as formulating an operation management plan that meets the policy’s adaptability.Afterwards,the organization extensively coordinates and integrates various resources,and reaches a consensus with employees to understand.With the same desire,organizations actively participate in practical activities in order to achieve the organization’s performance goals;in the ongoing process of management practices in the organization.Members of the organization constantly review individual and collective actions to identify the gap between practical behavior and organizational goals,so as to effectively adjust and modify actions until the organization’s management and performance goals to be achieved.This is the process of building the agility of organization.Institutionalization of the experience of achieving goals in management practice is the ultimate result of organizational agility,and this behavioral manifestation process is also the value of the organization to implement scientific and effective management behavior.The upgrading and optimization of the system,named the re-institutionalization,is a strong guarantee for the organization to continue maintaining its competitive advantage in the changing era of the external environment.In addition,based on case analysis,this paper builds a theoretical model of organizational agile capability process.It provides solutions as well as recommendations for Chinese pharmaceutical companies to cope with frequent change of macro policies.It also provides managerial implications and reference for other industry companies who are facing with greater influence stemming from national policies to improve agile capabilities and perform agile practices in management.Thereby to help companies to cultivate core competitive advantages based on agility in responding to frequent policy changes.