Boryung is setting compensation at its soon-to-be spun-off prescription drug sales division above parent-company levels, establishing an aggressive incentive framework where top-performing sales and marketing staff can earn over 100 million won annually. By carving out its commercial function into an independent subsidiary, the South Korean pharmaceutical company aims to transition away from a centralized corporate structure toward decision-making and resource-allocation systems tailored specifically for sales operations.
According to industry sources on Sept. 17, Boryung recently finalized plans to execute a physical split of its commercial division—comprising prescription drug (ETC) sales and marketing—to launch Boryung Pharma Solution (BPS) on Jan. 4 next year. The new entity will consolidate sales, marketing, business development, and distribution functions to support an expanding commercial portfolio that aims to add 26 in-house and 16 in-licensed products by 2030. Meanwhile, the parent company, Boryung, will retain research and development (R&D), manufacturing, production, and global business operations.
Aligning Compensation and Resources with Sales Performance
A primary driver behind the spin-off is the creation of human resources and compensation frameworks designed specifically for a dedicated sales force. Under Boryung's current structure, unifying sales alongside R&D, production, and administrative roles created inherent limitations in offering differentiated, sales-focused incentives or concentrating budgets where needed most.
“Once separated, decision-making efficiency improves to fit each distinct business area, allowing us to operate a far more aggressive compensation and motivation structure,” a Boryung official said. “When everything is tied into the same company, managing administrative roles alongside sales creates limits on resource allocation, so we pursued the split to achieve a high level of specialization.”
Under BPS, wage scales, working models, and performance bonuses will be designed independently to ensure overall compensation levels exceed those at the parent company. Internal guidance already confirms that sales and marketing staff ranking in the top 40% for performance will be eligible to receive more than 100 million won in total annual compensation including incentives, putting concrete numbers behind Boryung’s goal of offering industry-leading pay.
Ultimately, the physical split represents more than a routine organizational reshuffle. By granting BPS complete autonomy over product selection, personnel, budgeting, and merit-based pay, Boryung is equipping its commercial arm with standalone decision-making authority and direct accountability for market performance.
