From Lab to C-Suite, Then Turning Around a Startup, ft. George Scangos (Biogen)
Aug 7, 2024
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George Scangos, a former lab researcher turned CEO of Biogen, shares his remarkable journey from academic roots to biotech leadership. He discusses the art of decisive leadership, emphasizing the importance of embracing failure in cultivating a thriving culture. Scangos also highlights the challenges of transforming Biogen during a crucial period and the need for authenticity in leadership. He reflects on the complexities of navigating crises in pharma and the vital role of transparency and accountability.
George Scangos' transition from lab researcher to CEO of Biogen illustrates the importance of leveraging scientific expertise in business leadership.
His emphasis on transparency and a supportive culture during challenges exemplifies effective communication as a key strategy for organizational resilience.
Deep dives
George Skangos' Journey to Biogen
George Skangos transitioned from an academic research background to CEO of Biogen, initially driven by his fascination with genetics sparked during his college studies. His early career included a postdoctoral stint at Yale and teaching at Johns Hopkins, until he joined Molecular Therapeutics, which led to valuable experience in pharmaceutical business. Skangos' unique combination of scientific expertise and interpersonal skills positioned him well for business discussions, where he gradually learned the intricacies of running a biotech company. His eventual leadership role at Biogen came at a challenging time, with the company needing direction to regain its status in the biotech industry after a stagnation in drug development.
Revitalizing Biogen: Focus and Efficiency
Upon taking the helm at Biogen in 2010, Skangos recognized that the company was spreading itself too thin across various research areas without clear focus. To address this, he made strategic decisions to streamline operations, such as shutting down unproductive research sites and discontinuing less promising programs. By refocusing the company's efforts on its core mission of developing innovative treatments, Skangos aimed to capitalize on Biogen's historical strengths in biotechnology. This overhaul laid the groundwork for Biogen to become more efficient and ultimately successful in getting new drugs approved.
Navigating Challenges and Investor Pressure
During Skangos' leadership, Biogen faced a significant obstacle with the introduction of Tecfidera, a new drug that initially performed well but later encountered safety concerns associated with serious side effects. Such challenges resulted in skyrocketing stock price volatility and heightened scrutiny from investors and the board, testing Skangos' leadership under pressure. He emphasized the importance of transparency and communication, proactively updating stakeholders rather than resorting to defensive tactics, which reassured both the board and the company's employees. Skangos used this difficult period to strengthen the company’s culture and resilience, encouraging a focus on long-term goals despite short-term obstacles.
Transitioning Leadership: A Strategic Decision
After steering Biogen through turbulent times and achieving significant growth, Skangos made the strategic decision to step down in 2016, timing his departure to ensure a smooth transition for the company. His exit was motivated by personal reasons, as he sought to return to San Francisco where his family resided, while also recognizing the need for fresh leadership. In reflecting on his journey, Skangos acknowledged that his path to leadership was shaped by a combination of innate skills and the experiences he accumulated over time. Following his departure, he continued to contribute to the biotech field by leading another company, Veer Biotechnology, focusing on chronic infectious diseases.
For George Scangos, the art of decisive leadership is part of his biology, you could say. Scangos is a former lab researcher who rose to the top of the biotech world. Transitioning from a biology researcher at Yale to a pharmaceutical executive, his journey is a testament to the power of interpersonal skills and strategic thinking. As the CEO of Biogen, he transformed the company's performance, leading it to become one of the top performers in the S&P 500 within his first year. In this 2019 conversation, Scangos unveils his approach to tough decision-making and the culture-shaping strategies that drive success. Chief among those strategies: creating space for people to feel comfortable to fail.
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