U.S. based Pfizer leads Pharmaceuticals & Healthcare sector

March 5, 2002 - Pfizer topped charts for the Pharmaceuticals & Healthcare sector in a global study released today. The Competitive Fitness of Global Firms ranks top North American and European firms across eight business sectors using a composite rating termed Overall Market Effectiveness Capability (OMEC). The study is conducted at INSEAD business school in France and published by Pearson Education.

About 1,225 executives employed in 55 different countries contributed to the 2002 study. Firm OMEC results range from a low of 46 to a high of 82. Only 86 firms, out of the 326 covered, achieved a rating over the World Class level with enough data points. The eight sectors covered were: Automobiles & Automotive, Computers & Electronics, Consumer Goods, Engineering & Machinery, Finance & Insurance, Pharmaceuticals & Healthcare, Process Industries, and Services.

In terms of OMEC, the Pharmaceuticals & Healthcare sector increased one point in 2002 over 2001. The sector remains above the World Class level of 65.

Pfizer lead the sector with an OMEC of 79, placing it in the category of 'Best' firms within the study. Other firms that achieved a World Class rating or higher are shown in the table.

OMEC is based on 12 capabilities that comprise the fundamental capabilities of a firm and hence, its competitive fitness. Those capabilities are: Mission & Vision, Customer Orientation, Corporate Culture, Organization & Systems, Planning & Intelligence, Human Resources, Technical Resources, Innovation, Market Strategy, Marketing Operations, International, and Performance.

While Pfizer is clearly a top performer in this sector, other firms demonstrated specific capabilities in some areas. AstraZeneca and Eli Lilly rated high on International & Human Resources, Fresenius in Customer Orientation, and Lundbeck (H.) in the Performance capability

The sector achieved a 6-point improvement on the E-Business capability over 2001 to an average of 53. This is below the average overall E-Business rating for 2002 of 56. E-Business is the newest measure of corporate competitive fitness that even the top global firms are grappling with.

About The Competitive Fitness of Global Firms Report
This report publishes results of an annual study conducted by Professor Jean-Claude Larreche, at INSEAD business school. The study ranks top North American and European firms based on fundamental business capabilities based on a survey of top managers from those firms. The capabilities measured are: Mission & Vision, Customer Orientation, Corporate Culture, Organization & Systems, Planning & Intelligence, Human Resources, Technical Resources, Innovation, Market Strategy, Marketing Operations, International, Performance and E-Business. Out of the 326 firms covered, a total of 86 firms achieved above a World-Class rating for 2002 with BMW, Nokia, and Pfizer ranking as the "best". For more information and results of the study, visit: www.corvaltec.com.