Our Strategy

Our Strategy

OUR STRATEGY

Focusing on four strategic drivers

Growth

Growth

We aim to continuously improve the commercial performance of our marketed products to maximize revenue growth and cash flow.

Progress in 2017
  • Increased Product sales to $14.4 billion, while executing 50 launches globally
  • Received approval for, and launched, MYDAYIS in the U.S. (for patients 13 years and older with ADHD)
  • Entered into licensing agreements with Novimmune SA, Parion Sciences, Inc., and Rani Therapeutics, LLC
  • Launched into new indications, regions, or patient populations with ADYNOVATE, NATPARA, VYVANSE, CINRYZE and INTUNIV
  • Continued expansion of Cambridge, MA, operations as a rare disease innovation hub, and continued development of manufacturing plant near Covington, GA
Priorities for 2018
  • Expand therapeutic area leadership by continuing to drive commercial execution, increase our global footprint, and broaden our portfolio of best-in-class products
  • Focus on new product launches, including continued uptake of MYDAYIS and geographical expansion to build global brands across franchises
  • Bring manufacturing plant near Covington, GA, online to expand plasma production capabilities
  • Execute our late-stage clinical development pipeline to support future growth
  • Expand business through lifecycle management, including innovation in devices
Key Performance Indicators
  • Product sales, Non GAAP free cash flow
Innovation

Innovation

We build our pipeline through R&D and business development with a focus on innovation and value for patients.

Progress in 2017
  • Executed on our pipeline of 40 clinical development programs, completing nine Phase 3 studies and securing 126 global product approvals
  • Received two U.S. FDA Fast Track Designations for SHP607 (U.S.; chronic lung disease in extremely premature infants) and recombinant ADAMTS13/SHP655 (U.S.; congenital thrombotic thrombocytopenic purpura)
  • Granted two U.S. FDA Orphan Drug Designations for SHP654 (U.S.; hemophilia A) and anti-MAdCAM antibody SHP647 (U.S.; pediatric ulcerative colitis) and one U.S. FDA Breakthrough Therapy Designation for maribavir/SHP620 (U.S.; cytomegalovirus infection and disease in transplant patients)
  • Strengthened Ophthalmics pipeline with in-licensing of SHP659, a Phase 2 asset for DED, from Parion Sciences, Inc.
  • Expanded antibody research by licensing preclinical bi-specific antibody for hemophilia A from Novimmune SA
Priorities for 2018
  • Execute on the regulatory review process for SHP643 (U.S.; HAE) and other key program filings
  • Advance our late-stage clinical development portfolio in rare diseases as well as SHP680 and BUCCOLAM to support growth of both the Rare Disease and Neuroscience divisions
  • Supplement our early-stage pipeline through in-licensing or product acquisitions and invest in key research capabilities to support sustained innovation and growth
  • Continue to deepen our expertise in immunology and strengthen our antibody development capabilities
  • Pursue advances in medical devices to enhance marketed and pipeline products
Key Performance Indicators
  • Number of programs in clinical development pipeline
Efficiency

Efficiency

We operate a lean and agile integrated organization and reinvest for growth.

Progress in 2017
  • Completed manufacturing network optimization program; anticipate cumulative savings of $2 billion through 2027
  • Exceeded internal goals and external benchmarks for synergies from the integration of Baxalta
  • Achieved 2017 target Non GAAP Net debt to EBITDA ratio of <3x
  • Announced divestment of MRT platform to Translate Bio (formerly known as RANA Therapeutics) as part of effort to streamline portfolio investments
Priorities for 2018
  • Maintain capital allocation discipline and reduce leverage 
  • Establish and begin operating as two divisions: Rare Disease division and Neuroscience division
  • Continue to capture synergies and maintain a lean general and administrative (G&A) model
  • Continue streamlining manufacturing network following the roadmap set out in our network study
  • Evaluate options to further optimize the portfolio
Key Performance Indicators
  • Non GAAP EBITDA margin, Non GAAP adjusted ROIC, Non GAAP Net debt / Non GAAP EBITDA ratio
People

People

We foster a high-performance, patient-focused culture where we attract, retain, and develop the best talent.

Progress in 2017
  • Solidified presence in prime locations and consolidated into hubs, such as an Innovation Hub in Cambridge, MA, to attract the best talent and foster a high-performance culture
  • Served our patients and communities through events such as Shire’s Global Day of Service, where more than 7,300 Shire employees volunteered over 29,000 hours in 300 locations around the world
Priorities for 2018
  • Continue to support and enhance a results-oriented culture with a focus on action and strong commitment to patients
  • Develop and retain the best talent by accelerating the development of all employees at Shire, and enhancing employee engagement
Key Performance Indicators
  • Number of employees, demographic composition, and geographic distribution of employees

See the Responsibility section for additional details on employee diversity at Shire.


Our business model

In August 2017, Shire announced that it was conducting a strategic review of its neuroscience business. Following the first stage of this review, the Board concluded that the neuroscience business warranted additional focus and investment and that there was a strong business rationale for creating two distinct business divisions within Shire: a Rare Disease division and a Neuroscience division. Each division will benefit from sharper management focus, greater strategic clarity, and an increased ability to deploy resources to key growth priorities. This divisional structure will be an important first step in enabling Shire to maximize mid- to long-term product sales, cash generation, and innovation for both businesses. The second stage of the review will include continuing to evaluate all strategic alternatives for the Neuroscience division, including the merits of an independent listing. Shire will give an update on the second stage of the review in the second half of 2018.

A rapidly changing environment

The resources we employ

  • Era of unprecedented innovation
  • Shifting demographics
  • Rising expectations and competition
  • Evolving customer landscape
  • Political and regulatory volatility
  • Increasingly targeted business models
  • Focus on high impact therapies for high-need patients
  • Talented employees and Shire culture
  • Strong collaborations and partnerships
  • Financial capital
  • Plant and equipment
  • Intellectual property
  • Suppliers

 

What makes us different
As the global leader in rare diseases with a thriving neuroscience business, Shire is a champion for those patients most in need, and is well positioned to address market trends through:

  • Our long-term vision and commitment to rare diseases
  • Our relentless focus on patients
  • Our commitment to internal and external innovation
  • Our strong brands and franchises that enable leadership

 

How we create value

Rare Disease division
Global biotech leader in rare diseases

Neuroscience division
Established market leader in neuropsychiatry
2017 revenue

Commercial model
  • Personalized, high-touch model
  • Small field forces focused on centers of excellence
  • Global focus with direct commercial presence in 60+ countries
  • Strong relationships with patient groups and key opinion leaders
  • Broad-based promotion, including direct-to-consumer
  • Larger sales forces covering primary care and specialists
  • Focused on U.S. and key international markets
  • Specialized expertise in market development and market access
  • Close relationships with key opinion leaders and providers
R&D
  • Emphasis on first-in-class, breakthrough innovations, especially biologics
  • Healthy innovation pipeline with more than 35 clinical programs
  • Preferred partner for rare disease drug development, with multiple successful external collaborations
  • R&D strategy focused on differentiated treatment options to meet diverse patient needs; emphasis on small molecules and lifecycle management
  • Several programs under development for new indications, such as SHP680, and geographic expansion of existing brands, such as BUCCOLAM in the U.S.
Operations
  • Global manufacturing footprint across 14 sites with a focus on biologics
  • Infrastructure includes plasma donation centers, a plasma processing and fractionation network, and antibody development facilities
  • Lean manufacturing model extensively levering contract manufacturing partnerships

 

Creating value for all our stakeholders

High patient impact
By focusing on diseases and patient populations with high unmet need, Shire strives to achieve the greatest positive impact among the patients who need it the most.
Sustained growth
By bringing our capabilities and expertise to underserved patient communities, we deliver sustained value for patients, employees, partners, and shareholders on a global scale.
High societal value
Working alongside partners, doctors, advocates, governments, and payers, Shire achieves meaningful outcomes that help ease the long-term burden of rare diseases and specialized conditions.


By following this link you will be leaving a Shire controlled website for a third party website. Please note that Shire is not responsible or liable for any third party website and the website may not be appropriate for all audiences.

By following this link you will be leaving the global Shire.com website for another Shire website. Please note that this website may not be appropriate for all audiences.

RETURN CONTINUE
Powered by Sitecore