Novartis Technical Operations (NTO) centrally manages our manufacturing operations across our Innovative Medicines and Sandoz Divisions, with a goal of further improving efficiency. NTO is expected to optimize capacity planning and adherence to quality standards, and to lower costs through simplification, standardization and external spend optimization. Centralization is also expected to improve our ability to develop next generation technologies, implement continuous manufacturing and share best practices across divisions. NTO includes approximately 25,200 full-time equivalent associates and 64 manufacturing sites across our Innovative Medicines and Sandoz Divisions.
NTO, in collaboration with our Quality unit, is a core enabler of the Novartis strategy through:
a flexible and agile manufacturing network that responds to business needs;
operational excellence that brings productivity;
supply chain excellence to drive customer service leadership;
best in class product and inventory costs to deliver more affordable medicines;
quality excellence to reach top tier reliability levels.
NTO in numbers
25,200 full-time equivalent associates located in more than 100 countries.
64 manufacturing sites in 26 countries, organized into seven technology platforms:
Solids – the Solids site network manages different production processes from granulation, compression, coating etc. for solid (tablets, capsules, powder) and semi-solid (ointments, gels, creams) medications;
Aseptics – the Aseptics platform manufactures aseptic products and supports the ophthalmic business as well as generics;
Anti-Infectives and Chemical Operations – the Anti-Infectives & Chemical Operations platform applies a range of manufacturing technologies from biological fermentation, chemical processing and manufacturing as well as supply of high quality active pharmaceutical ingredient (API). In addition, the network formulates and packages oral solid and sterile dosage forms of the Sandoz range of antibiotics;
Biotech Drug Substance – covers commercial drug substance manufacturing and supply of new biologics entities, biosimilars and radiopharmaceuticals (through Advanced Accelerator Applications) for our Innovative Medicines Division and biosimilars for our Sandoz Division;
Cell and Gene Therapy – the newly created platform is responsible for the manufacturing of groundbreaking cell and gene therapies, including Chimeric Antigen Receptor T Cells (CAR-T) therapy. This CAR_T therapy is tailored individually to and manufactured for, each patient via pioneering technology and sophisticated processes.
External Supply Operations – manages approximately 1,000 manufacturers worldwide. External Supply Operations is responsible for managing third party manufacturers for strategic raw materials, drug substances, drug products and finished products;
Local Market Manufacturing – focuses on manufacturing and supplying affordable medicines to patients and customers in their respective local countries.
The seven technology platforms are supported by global Manufacturing, Science and Technology, Engineering, Global Packaging and Supply Chain functions.
NTO supplies more than 150 countries.
This presentation contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, that can generally be identified by words such as “guidance,” “transformation,” “continued,” “potential”, “launches,” “on track” “launched,” “filed,” “launch,” “expected,” “to grow,” “will,” “enter,” “pipeline,” “commitment,” “well positioned,” “future,” “strategy,” “priorities,” “embrace,” “deliver,” “go big,” “build,” “allows,” “expect,” “to be completed,” “closing conditions,” “committed,” “continued,” “growth drivers,” “Priority Review Voucher,” “submissions,” “filings,” “to be presented,” “potentially,” “if approved,” “aims,” “outlook,” “unforeseen,” “forecast,” “may,” “would,” “continues,” “aiming,” “vision,” “priority review,” “PRIME designation,” “Sakigake designation,” “enrollment,” “planned,” “upcoming,” “Fast Track designation,” “Orphan designation,” “scheduled,” or similar expressions, or by express or implied discussions regarding potential new products, potential new indications for existing products, or regarding potential future revenues from any such products; or regarding the potential outcome, or financial or other impact on Novartis, of the spinoff of our Alcon Division, or of the proposed divestiture of certain portions of our Sandoz Division business in the US; or regarding the potential impact of the share buyback plan; or regarding potential future sales or earnings of the Group or any of its divisions or potential shareholder returns; or by discussions of strategy, plans, expectations or intentions. Such forward-looking statements are based on the current beliefs and expectations of management regarding future events, and are subject to significant known and unknown risks and uncertainties. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those set forth in the forward-looking statements. You should not place undue reliance on these statements. In particular, our expectations could be affected by, among other things: global trends toward healthcare cost containment, including ongoing government, payer and general public pricing and reimbursement pressures and requirements for increased pricing transparency; regulatory actions or delays or government regulation generally, including potential regulatory actions or delays with respect to the proposed transactions or the development of the products described in this presentation; the potential that the strategic benefits, synergies or opportunities expected from the Alcon and Sandoz transactions may not be realized or may be more difficult or take longer to realize than expected; the inherent uncertainties involved in predicting shareholder returns; the uncertainties inherent in the research and development of new healthcare products, including clinical trial results and additional analysis of existing clinical data; our ability to obtain or maintain proprietary intellectual property protection, including the ultimate extent of the impact on Novartis of the loss of patent protection and exclusivity on key products that commenced in prior years and will continue this year; safety, quality or manufacturing issues; uncertainties regarding actual or potential legal proceedings, including, among others, actual or potential litigation with respect to the proposed transactions, product liability litigation, litigation and investigations regarding sales and marketing practices, intellectual property disputes and government investigations generally; uncertainties involved in the development or adoption of potentially transformational technologies and business models; our performance on environmental, social and governance measures; general political, economic and trade conditions, including uncertainties regarding the effects of ongoing instability in various parts of the world; uncertainties regarding future global exchange rates; uncertainties regarding future demand for our products; uncertainties regarding potential significant breaches of data security or data privacy, or disruptions of our information technology systems; and other risks and factors referred to in Novartis AG’s current Form 20-F on file with the US Securities and Exchange Commission. Novartis is providing the information in this presentation as of this date and does not undertake any obligation to update any forward-looking statements as a result of new information, future events or otherwise.
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