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EF: What are the primary priorities, and what can we anticipate from Merck in the upcoming year of 2024?
MZR: Certainly, one of the most significant upcoming events is our celebration of 100 years in Spain. It is more than just acknowledging a century-long presence; it is about honoring our commitment to the Spanish healthcare system and society. This celebration embodies our ongoing dedication, considering our 355-year history—a testament to our forward-thinking approach. While marking this milestone with stakeholders and patients will be pivotal next year, let us delve into the business perspective.
We’ll be focused on preparing for the launch of a drug that addresses the unmet need in head and neck cancer treatment, an area lacking new treatments for two decades. Our phase two data indicates the potential to double overall survival rates in these patients, marking an incredibly exciting time as we gear up for their launch next year.
EF: Could you elaborate on the strategic significance that the Spanish market holds for Merck? Additionally, if you were to make a pitch to headquarters or other key stakeholders, how would you attract resources?
MZR: Spain holds immense significance for our operations at Merck. My primary goal here is to ensure this remains a vital hub for attracting and maintaining investments within our group. There are several compelling factors contributing to this attractiveness. Firstly, Spain boasts highly skilled investigators, not just in terms of individuals but also across hospitals and research centers. The collaborative networks established here foster an ideal environment for driving extensive research initiatives.
Another crucial aspect making Spain an appealing investment destination is our production sites. I have experienced the difference it makes to have or lack production facilities in a country. We currently operate three production sites in Spain, a clear demonstration of our commitment to the country. To illustrate the impact, all the growth hormone marketed by Merck in the world is produced in our biotechnological site in Tres Cantos (Madrid), as long as 75% of Merck's fertility hormone. This manufacturing presence signifies substantial investments, with €120 million injected in the past four years and an additional €30 million slated for the next three years. Moreover, the commercial footprint in Spain is noteworthy. Within Merck, Spain holds a pivotal position, ranking as the fourth country in sales volume in Europe and contributing to sustained business growth despite the challenges of the current landscape. The aim is to keep expanding our business operations here in Spain.
EF: What factors do you believe make Spain particularly attractive for production and exportation across diverse sectors such as pharmaceuticals, chemicals, and biotechnology?
MZR: Several factors contribute to our success, and it is essential to consider a range of elements. Firstly, the exceptional education level of our employees stands out as a primary factor. In Spain, we benefit from a substantial number of university-educated individuals. This rich talent pool allows us to readily access highly skilled professionals—engineers, biotechnologists, and more—who significantly contribute to our company and production sites.
Secondly, Spain functions as a technologically advanced society, displaying a remarkable ability to swiftly adopt and integrate modern technologies into our operations. Lastly, a critical aspect that sets us apart is our competitiveness in terms of cost.
EF: How does your organization utilize technology, particularly in AI, to improve its operational aspects?
MZR: Certainly, when discussing the pharmaceutical industry and technology, there exist two distinct levels to consider. The first level revolves around the impact of AI within the corporate sphere, particularly in the R&D centers of pharmaceutical companies. This aspect, primarily focused on drug development, might be better discussed with our R&D specialists, who can offer more insightful perspectives.
On another level, at the country or regional level, we observe AI's current and future influence, not necessarily in drug discovery or development. Instead, the emphasis is placed on leveraging technology to foster a more sustainable and efficient healthcare environment. For instance, initiatives like our collaboration with IBM and the Tecnun University of Navarra in creating a specialized training program on AI in healthcare have been instrumental. Regional governments in Spain actively employ this program to train healthcare professionals across various roles, including physicians, nurses, and hospital managers. The aim is to equip them with the knowledge to effectively utilize AI within their areas of responsibility, contributing to the healthcare system's efficiency and sustainability.
EF: How does your company strategize to attract and retain top-tier talent in Spain, especially given the competitive landscape and the evolving demands of the industry?
MZR: We strongly believe that talent is not restricted by age or gender. Our focus revolves around nurturing both young and senior talent within our organization. Currently, we are witnessing a scenario where individuals are retiring later while new generations continue to join, resulting in multiple generations working together concurrently. This diversity demands that we value the considerable expertise possessed by individuals around 55 years old, combining substantial talent with extensive experience. It is imperative not to overlook their contributions. Our approach involves understanding the needs and aspirations of the younger workforce and exploring what attracts them to our company. We are implementing measures to adapt to these needs, such as offering greater flexibility through home office policies. Simultaneously, we are dedicated to supporting our senior talents by addressing their specific requirements… and we have asked seniors in Spain about their requirements through the external survey “Young people, seniors and a Future to Write Together.” It is surprising that seniors consider technology more essential to doing their job well than young generations (59% vs. 48%), and they are expressing a need for additional training to adeptly embrace innovative technologies. Our goal is to provide tailored support to both generations, recognizing the unique strengths and needs of each.
EF: What elements or key points would you incorporate into a speech if you were to address your colleagues during the upcoming celebrations commemorating the hundred years of your company's achievement?
MZR: I will reinforce the core message I brought to Spain. Our primary goal remains to help create, prolong, and improve lives. That has been our focus, and it continues to be our mission. Additionally, we recognize the importance of sustaining the healthcare system while also understanding our responsibility to contribute to broader social challenges. As a company, we are like microcosms within society, and it is essential that we play a role in addressing issues like gender and generational inequalities. Our social commitment to Diversity, Equity, and Inclusion (DE&I) will remain at the heart of all our endeavors at Merck in 2024.
