Mission Statement, Vision, & Core Values (2024) of AmerisourceBergen Corporation (ABC).

An Overview of AmerisourceBergen Corporation (ABC)

General Summary of AmerisourceBergen Corporation (ABC)

AmerisourceBergen Corporation (ABC) was formed in 2001 through the merger of Amerisource Health Corporation and Bergen Brunswig Corporation. The company is a leading global pharmaceutical sourcing and distribution services company, providing a range of services to healthcare providers, pharmaceutical manufacturers, and other healthcare stakeholders. Its core offerings include pharmaceutical distribution, specialty distribution, and other healthcare services.

As of 2024, AmerisourceBergen reported total sales of approximately $214.9 billion for the nine months ended June 30, reflecting a year-over-year increase of 11.2%. The company operates through two main segments: U.S. Healthcare Solutions and International Healthcare Solutions. The U.S. Healthcare Solutions segment includes human health and animal health products, while the International segment provides services to various markets, including Europe and Canada.

Company's Financial Performance in the Latest Financial Reports

In the latest financial reporting period, which ended on June 30, 2024, AmerisourceBergen achieved a record-breaking revenue of $74.2 billion for the three months ended June 30, 2024, representing a 10.9% increase compared to the same period in 2023. For the nine months ended June 30, 2024, the revenue reached $214.9 billion, an increase of $21.7 billion or 11.2% from the prior year.

The significant growth in revenue was driven primarily by the U.S. Healthcare Solutions segment, which grew by $20.8 billion or 12.1%, attributed to increased sales of products, including those related to diabetes and weight loss, as well as COVID-19 vaccines. The International Healthcare Solutions segment also showed resilience, with a 4.0% increase in revenue for the nine-month period.

Introduction to AmerisourceBergen as a Leader in the Industry

AmerisourceBergen is recognized as one of the largest pharmaceutical distributors in the United States and a key player in the global healthcare market. The company’s extensive network and innovative solutions have positioned it as a leader among pharmaceutical distributors. Its ability to adapt to market trends, such as the rising demand for specialty pharmaceuticals and healthcare services, underpins its success. AmerisourceBergen's commitment to enhancing patient care through efficient distribution and innovative healthcare solutions makes it a vital partner in the healthcare ecosystem.

Mission Statement of AmerisourceBergen Corporation (ABC)

Mission Statement of AmerisourceBergen Corporation (ABC)

AmerisourceBergen Corporation's mission statement encapsulates its purpose and guiding principles, focusing on connecting the healthcare supply chain to enhance patient care. The company emphasizes its commitment to delivering high-quality products and services, fostering partnerships, and driving innovation in healthcare.

Core Component 1: Delivering High-Quality Products and Services

AmerisourceBergen is dedicated to providing reliable access to pharmaceutical products and services that enhance patient outcomes. The company reported revenue of $74.2 billion for the three months ended June 30, 2024, reflecting a 10.9% increase compared to the prior year quarter. This growth is attributed to increased sales across various segments, particularly in the U.S. Healthcare Solutions, which grew by 12.2% or $7.3 billion during the same period.

Core Component 2: Fostering Partnerships

Partnerships are central to AmerisourceBergen's strategy. The company collaborates with healthcare providers, manufacturers, and other stakeholders to ensure efficient distribution and access to medications. During the nine months ended June 30, 2024, AmerisourceBergen's revenue from agreements with Walgreens Boots Alliance (WBA) was $55.7 billion, showcasing the significance of strategic partnerships in driving business performance.

Core Component 3: Driving Innovation in Healthcare

Innovation is a key driver for AmerisourceBergen as it seeks to improve healthcare delivery. The company is investing approximately $500 million in capital expenditures for fiscal 2024, focusing on technology initiatives aimed at enhancing operational efficiency. This commitment to innovation is reflected in the 6.1% increase in distribution, selling, and administrative expenses, which support revenue growth and operational improvements.

AmerisourceBergen's mission statement is a reflection of its core components that guide the company's operations and strategic direction. These principles not only define the company's role in the healthcare ecosystem but also demonstrate its commitment to improving patient care through quality, partnership, and innovation.

Vision Statement of AmerisourceBergen Corporation (ABC)

Vision Statement Overview

The vision statement of AmerisourceBergen Corporation (ABC) emphasizes its commitment to providing innovative solutions and services that enhance the healthcare supply chain. It aims to improve patient care through effective distribution and support for healthcare providers.

Commitment to Healthcare Innovation

As of 2024, AmerisourceBergen envisions itself as a leader in healthcare innovation. The company aims to leverage technology and data analytics to enhance operational efficiencies and improve service delivery.

• Investment in technology initiatives: Approximately $500 million is expected for capital expenditures in fiscal 2024, focusing on technology improvements within the supply chain.
• Revenue growth driven by innovative solutions: The U.S. Healthcare Solutions segment reported a revenue increase of $20.8 billion, or 12.1%, attributed to advancements in product offerings.

Enhancing Patient Care

AmerisourceBergen's vision includes a strong focus on enhancing patient care through reliable distribution channels and comprehensive support services.

• Revenue from U.S. Healthcare Solutions reached $189.7 billion for the nine months ended June 30, 2024.
• Specialty product sales, including COVID-19 vaccines and diabetes treatments, contributed significantly to revenue growth.

Global Reach and Local Impact

The company aims to expand its global presence while making a local impact in the healthcare market. This dual focus allows AmerisourceBergen to cater to diverse healthcare needs across regions.

• International Healthcare Solutions segment contributed $21.2 billion in revenue for the nine months ended June 30, 2024.
• Alliance Healthcare, part of the international segment, reported steady growth, enhancing distribution capabilities across Europe.

Operational Excellence

Operational excellence is a pillar of AmerisourceBergen's vision, ensuring that it provides consistent and high-quality service to its partners and clients.

• Operating income for the U.S. Healthcare Solutions segment increased to $2.2 billion for the nine months ended June 30, 2024.
• Efficiency improvements have been realized, as evidenced by a decline in distribution and administrative expenses as a percentage of revenue, which stood at 1.94%.

Collaboration and Partnerships

AmerisourceBergen recognizes the importance of collaboration with healthcare providers, pharmaceutical manufacturers, and other stakeholders to achieve its vision.

• Strategic partnerships enhance the distribution network and improve access to medications.
• Collaboration with Walgreens Boots Alliance has resulted in significant revenue contributions, amounting to $55.7 billion in the nine months ended June 30, 2024.

Commitment to Sustainability

As part of its vision, AmerisourceBergen is committed to sustainability practices that minimize environmental impact while promoting health and wellness.

• Investments in green technologies and sustainable practices are part of the company's operational strategy.
• Company initiatives aim to reduce carbon footprint and enhance supply chain sustainability.

Core Values of AmerisourceBergen Corporation (ABC)

Integrity

Integrity is a core value at AmerisourceBergen Corporation (ABC) that emphasizes ethical behavior and accountability in all business dealings. This value is crucial as it builds trust with customers, partners, and stakeholders.

In 2024, AmerisourceBergen demonstrated its commitment to integrity through various initiatives, including comprehensive training programs for employees on ethical practices and compliance. The company has implemented a robust compliance framework that ensures adherence to legal and regulatory standards, particularly in the pharmaceutical distribution sector.

For instance, AmerisourceBergen's compliance program includes regular audits and assessments to identify and mitigate risks, ensuring that ethical standards are maintained throughout its operations. The company reported a commitment of approximately $5.1 billion for opioid-related litigation as part of its ongoing efforts to address past issues and uphold its ethical responsibilities.

Collaboration

Collaboration is essential for AmerisourceBergen, fostering teamwork and partnerships both internally and externally. This value enhances operational efficiency and leads to better service delivery.

In 2024, AmerisourceBergen showcased collaboration through its partnerships with healthcare providers and manufacturers. The company reported revenues of $55.7 billion from agreements with Walgreens Boots Alliance (WBA) during the nine months ended June 30, 2024. These collaborative efforts have enabled the company to streamline supply chains and improve the distribution of pharmaceuticals.

Moreover, AmerisourceBergen has invested in technology platforms that facilitate better communication and coordination among stakeholders, ensuring that all parties are aligned in their goals and objectives.

Excellence

Excellence drives AmerisourceBergen's pursuit of quality and performance across its operations. This value is vital for maintaining industry leadership and ensuring customer satisfaction.

In 2024, AmerisourceBergen reported a 12.4% increase in revenue from its U.S. Healthcare Solutions segment, amounting to $65.8 billion for the three months ended June 30, 2024. This growth reflects the company's commitment to excellence in service delivery and operational efficiency.

Additionally, AmerisourceBergen has been focusing on continuous improvement initiatives, including the adoption of advanced analytics to optimize logistics and inventory management, further enhancing its operational excellence.

Innovation

Innovation is a cornerstone of AmerisourceBergen's strategy, driving the development of new solutions that meet the evolving needs of the healthcare industry. This value is critical for staying competitive in a rapidly changing market.

In 2024, the company invested approximately $500 million in capital expenditures aimed at technology initiatives, including advancements in supply chain management and customer engagement platforms. These investments are expected to enhance service delivery and operational capabilities, positioning AmerisourceBergen as a leader in healthcare distribution.

Furthermore, AmerisourceBergen's focus on innovative partnerships has led to the acquisition of PharmaLex, expanding its capabilities in regulatory and compliance services, which is crucial for navigating the complexities of the pharmaceutical landscape.

Commitment to Community

AmerisourceBergen's commitment to community reflects its dedication to making a positive impact on the healthcare landscape and society as a whole. This value reinforces the company's responsibility to support public health initiatives.

In 2024, AmerisourceBergen continued its philanthropic efforts, contributing to various health and wellness programs. The company has allocated funds toward initiatives addressing health disparities and enhancing access to medications for underserved populations.

Additionally, the company actively engages in community service programs, encouraging employees to participate in local health initiatives, which fosters a culture of giving back and reinforces its commitment to community well-being.