Next-Generation HR: Bayer's HR Transformation
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Next-Generation HR: Bayer's HR Transformation

January 19, 2021 | Brief

Bayer AG launched a new human resources operating model in 2020 as part of a wider business transformation of the German-owned life sciences company. 

With over 100,000 employees in nearly 400 companies in 87 countries, “Bayer 2022” mandates every part of the business to accelerate profitable growth through innovation, portfolio management, and operational efficiencies. The goal is to achieve €2.6 billion in cost savings by 2022 and to invest over €30 billion in Bayer’s future, with more than two-thirds of that channeled into research and development. To help the business divisions achieve accelerated growth, each of Bayer’s “enabling” functions, which include HR, have been tasked with creating an organization and infrastructure that delivers effective support at a sustainable level of investment.

The HR function, consisting of more than 2,000 people world-wide, recognized that it needed to work in new ways to support the three business divisions: pharmaceuticals, crop science and consumer health. These divisions operate in very different industries and competitive contexts, with people strategies needing to take account of different skills sets and organizational capabilities, M&A activity, workforce composition, talent profiles, etc.

Elke Bartl, head of project “HR Next,” describes the challenge for HR: “We want to put business strategy at the heart of HR activity. This is a big challenge in a divisional structure with already lean centralized functions. We want to serve the specific needs of our business divisions without reinventing multiple ways of doing things across Bayer. In the past, we focused on developing global solutions and our intention was to provide best-in-class HR excellence, which tended to fit the needs of our divisions to va

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AUTHOR

MarionDevine

Principal Researcher, Human Capital, Europe
The Conference Board


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