Eagle Pharmaceutical Case Summary

603 Words2 Pages

Eagle Pharmaceutical turned their act around in the prescription drug manufacturing game by implementing one simple management tactic. This strategy involves Hal Brenner, the vice president of the company, restructuring the mentality of the workers. A typical business is run using a team type strategy. This means that each employee is taught in an environment where the employees work as a group and form a teammate like bond with one another. Brenner, on the other hand, believes that each employee should be motivated externally. Brenner decides the best way to do this would be to implement a new rewards based system. He sets goals for individual employees, and together by completing these goals, they act as a team. He has helped Eagle Pharmaceuticals …show more content…

Eagle had been experimenting with reward based management styles in different areas of their company before the big change. They include various employee benefit packages such as a super bowl club which allows the top 20 goal achievers go on an all-expenses paid for trip to the Caribbean. The shift helped motivate employees towards their own goals because they were able to benefit from their hard work. One may think that this system may fail because of the prize system. Some co-workers may try to play the system and hurt others instead of working hard themselves in order to win the prize. In Brenner’s plan, Brenner avoids this problem by ranking the top 20 salesman in terms of goal achievement instead of comparing them to each other. These constant rewards help motivate the employees and essentially get them moving in one direction. They all help each other so they can focus on becoming the best branch and winning free vacation time or other employee benefits. Another idea Brenner had to keep the company moving back in the right direction was the inclusion of the Skype conference calls. The top salesman, along with all of his other prizes, would win an opportunity to talk to all four district managers about their success. Ideas would be able to flow through the company quickly and new ideas would constantly be implemented into the company which would help them keep up with the always changing and unpredictable business

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