Management and Company Structure Audited


Lonza’s organizational structure enables a dedicated approach to our target markets and allows us to serve our customers’ needs in the most efficient way possible. In the first half of 2017, Lonza operated with two segments - Pharma&Biotech and Specialty Ingredients. When Capsugel was acquired on 5 July 2017, it remained a separate operational segment for the balance of the year.

Leadership  

The core competencies that span Lonza’s segments are advanced manufacturing and quality-control systems, superior regulatory expertise, in-depth market knowledge, sales, marketing and business development, as well as extensive technical customer-support and R&D capabilities.

In 2017 Lonza participated in the following segments1 :

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Based on the integration of Capsugel and for further aligning our segments for growth, from 1 January 2018 Lonza has been participating in a new internal organizational structure.

Pharma&Biotech2

 

Specialty Ingredients3  

Operational Units

 

Operational Units are divided into four: Pharma&Biotech Operations, Research & Development, along with Specialty Ingredients Operations and Research & Technology. After closing of the Capsugel acquisition on 5 July 2017, Capsugel remained an independent operational unit within the Lonza structure to prepare functional and business integration. From 1 January 2018, Capsugel has been fully integrated within the Lonza Operational Units mentioned above.

Corporate Functions

 

The Corporate Functions include Human Resources, Finance & Controlling, IT, Corporate Development, Engineering, Legal / Ethics & Compliance/ IP, Procurement, Quality, Corporate Communications and Investor Relations and Environment, Health and Safety. These internal service providers set targets, provide guidelines and enforce standards. Also, they have the clear goal of fulfilling the global governance role for all parts of the company.

Global Business Service Organization

 

Our Global Business Service Organization (GBSO) supports our market activities, segments, operational units and Corporate Functions. The GBSO focuses on standardization and automation of processes to drive productivity. Service delivery is being centralized in Manchester (UK) to support EMEA markets and in San Jose (CR) for the Americas. By establishing standardized and harmonized solutions that enable the implementation of innovations at pace and scale, the GBSO is helping to facilitate Lonza’s profitable growth. Key focus areas are on the critical business support functions.

Holding Company and Listed Companies

 

Lonza Group Ltd, with the registered office in Basel (CH), is the ultimate parent company of the Lonza Group. Except for Lonza Group Ltd, no company belonging to the Lonza Group is listed. Please refer to the Shares and Participation Certificates section for information on the listed shares, the stock exchanges on which Lonza Group Ltd is listed and the market capitalization.

Principal Subsidiaries and Joint Ventures

 

The principal subsidiaries and joint ventures of the Lonza Group are shown in Note 33: Principal Subsidiaries and Joint Ventures.