Staffan Schüberg, ESTEVE CEO: “One of the most important things in a strategy is deciding what not to do”
“One of the most important things in a strategy is deciding what not to do.” With these words, the ESTEVE CEO, Staffan Schüberg, summed up at the latest Esade Matins the key points of the transformation undertaken by his pharma company since 2018: streamline its structure, focus resources on strategic business areas, and increase its competitive edge in order to pave the way for long-term, sustainable growth.
In the course of his talk, Schüberg explained how his company had begun a profound overhaul of its strategy eight years earlier. Although ESTEVE had a robust track record, a forceful corporate culture, and shareholders with a clear, long-term outlook, the company also had to address challenges stemming from its fragmented structure, multiple business areas and lack of strategic focus.
As he said, the aim was to build a platform that would enable ESTEVE to achieve sustainable growth in the coming decades without losing sight of its purpose. “If you want a company to still be around a hundred years from now, you must manage the risks carefully, but,” he pointed out, “you must also come to terms with the risks that let you make a real impact on society.”
From diversification to strategic focus
During his talk, Schüberg examined some of the decisions that had marked this transformation, including the sale of businesses deemed to be non-strategic; the reorganization of the company; and the drafting of a well-defined roadmap for the two areas that now constitute the core of ESTEVE: Pharma and CDMO (Contract Development and Manufacturing Organization).
In the field of pharma, the company bolstered its commitment to highly specialized medicines; grew its portfolio by means of strategic acquisitions; and gradually strengthened its international presence. At the same time, the CDMO business consolidated its position as an outstanding partner in the development and manufacturing of active ingredients for third parties, whilst incorporating new technological capabilities and increasing its industrial capacity.
In Schüberg’s opinion, overhauling a company depends less on designing complex strategies than on implementing strategies strictly and remaining focused on one’s priorities. In this respect, he also highlighted ESTEVE’s growing globalization, with an increasingly important presence in the United States and operations already spanning more than 60 countries.
The importance of corporate culture
The CEO also identified corporate culture as one of the main drivers of a company’s transformation. “It doesn’t matter what the CEO thinks; the important thing is what the organization thinks,” he said, asserting that people’s commitment is a crucial asset when dealing with the challenges of the future.
Schüberg wound up by declaring that ESTEVE now has a solid basis for entering a new growth stage and reiterated the goal that has guided the company’s transformation in recent years, “We want to build a company that will still be important in a hundred years’ time.”
Esade Matins, organized by Esade Alumni and sponsored by CriteriaCaixa, are a benchmark meeting point where business leaders can share their experience, strategic challenges and visions for the future. In this session, Staffan Schüberg was accompanied by Manel Peiró, director of the Institute for Healthcare Management at Esade, and Patricia Valentí, director of Esade Alumni.