The oldest pharmaceutical and chemical company in the world, Merck was founded in 1668. Still run as a business partnership with the shareholder community of 100 family members, Merck was criticized for complexity in the functioning of its 70 divisions and international growth added cost to the corporation[1]. Due to complex management structures that caused a drain on the company’s financial resources, Merck decided to streamline its governance structures and incorporate itself as an Association limited by shares, floating 25% of its capital in stock exchange.
The case studies the Merck Family, their involvement in business, the various practices they have established for a smooth running. While the company has launched its “Fit for 2018” campaign to streamline processes and improve productivity and profitability, the company faces a number of challenges in execution.