Bayer drives expansion of its plant in Mexico, strengthening its commitment to innovation and self-management

Bayer has announced an investment of 1,100 million pesos in the expansion of its plant in Lerma, State of Mexico. This investment will allow a significant increase in the production of liquids to supply the markets of Latin America and North America. The expansion will generate 100 permanent direct jobs and 350 temporary jobs, consolidating Mexico's role as a strategic center for Bayer. However, this expansion not only responds to growing demand, but develops in a context of key organizational transformation for the company: the implementation of its new operating model, "Dynamic Shared Ownership" (DSO).

(Arturo Sánchez, president of Bayer Consumer Health for Latin America)

A pivotal moment for Bayer: new leadership and a transformative operating model

The plant expansion takes place under the leadership of Arturo Sánchez, the first Mexican to assume the presidency of the Consumer Health division for Latin America and Asia-Pacific. With this responsibility, Sánchez has driven a bidirectional exchange strategy, leveraging successful practices from markets like Asia. An example is the sale of Aspirin in unit presentations, a practice that has had great acceptance and is being studied for implementation in other countries. This intercultural approach reflects the importance of learning from global markets while implementing internal improvements.

To accompany this expansion, the "Dynamic Shared Ownership" (DSO) model focuses on reducing hierarchies, eliminating bureaucracy, and strengthening team self-management capacity. This change not only seeks to streamline Bayer's operations, but proposes a work structure in which teams have greater autonomy in decision-making, which is key to adapting to the pace of a constantly changing market. In the case of the Lerma plant, this model will enable flexible and agile management, ideal for facing production and distribution challenges.

Eight trends guiding organizational transformation at Bayer

In this context of expansion and change, Bayer has identified eight key trends that align with its vision for a more autonomous and innovative organization:

1. Autonomy and Purpose: Empowering self-managed teams that operate with a clear sense of purpose improves engagement and efficiency.
2. Reduction of Hierarchies: Eliminating intermediate management structures facilitates decision-making, reducing timelines and improving agility.
3. Radical Transparency: Open and accessible communication at all levels generates trust and a sense of belonging among employees.
4. Project-Based Work: Structuring work around short-term projects allows teams to focus on clear objectives, especially in expansions like Lerma's.
5. Schedule and Location Flexibility: Adopting flexible work practices optimizes employee well-being and productivity.
6. Constant Feedback: Continuous feedback allows teams to improve and adapt in an agile and constant manner.
7. Customer and Community Orientation: Keeping in mind that the ultimate purpose is to improve the lives of consumers helps teams focus on the quality and impact of their work.
8. Culture of Innovation and Experimentation: The freedom to try new ideas fosters innovation, an essential factor in a sector as competitive as pharmaceuticals.

Lerma: a production and innovation center for the Americas

With these principles in mind, the expansion of the Lerma plant seeks to position it as a center of excellence at the global level in the production of liquids, including over-the-counter medications such as Aspirin and Alka-Seltzer, which are exported to the United States, Canada, and other Latin American countries. The integration of self-management practices in this expansion will contribute to more agile and efficient production, adapted to global demand.

Bayer is betting on Mexico as a strategic hub in its global production network, not only for its geographical proximity to the United States and other key markets, but also for the talent and innovation that the country offers. Through the DSO model and the leadership of Arturo Sánchez, the Lerma plant is preparing to play a central role in Bayer's vision toward a future of growth and resilience, based on innovation and self-management.

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