The pharmaceutical field is undergoing London International development consulting an amazing offer of improve. Providers which include Pfizer and Lilly are experiencing significant solution patent expirations. As well as, organization pipelines are insufficient to replace the revenues lost to patent expirations. Lastly, EU-based and US-based firms and US are shifting their organizations towards higher-growth marketplaces in China, India, and other Emerging Marketplaces, developing internal organizational turmoil in their household marketplaces.
As lots of corporations know, it is actually decreasingly possible to easily “research” your way from these problems. Part of the answer to these problems is building and executing what we broadly make reference to as being a Company Growth and Licensing technique (BD&L). This method would include any and all options for seeking and financing external partnerships, licenses, mergers, and/or acquisitions.
Of course all multinational pharmaceutical and biotechnology corporations have an BD&L group, usually led by a member in the senior management team. Larger companies will have a team of a dozen or more executives, directors, and managers responsible for sourcing, analyzing, and recommending small business growth opportunities. Even smaller corporations will have one or two individuals formally charged with the BD&L process.
So why should pharmaceutical companies, even large ones with large BD&L teams, use consulting companies to assist them? We believe there are 3 reasons why this is the case:
Development of an Overarching Framework - Several pharmaceutical and biotechnology businesses should be applauded for having a strategic and focused BD&L framework. A lot of businesses know exactly what they are looking for, i.e., asset type, stage of progress, geography, offer structure, and so forth. A framework, even a simple one, makes it easier for the search team to identify and quickly eliminate opportunities that do not fit. This then enables the team to focus more time on those opportunities which might be a good fit. This results in better due diligence and faster offer making.
Unfortunately, there are several corporations which do not take a framework-driven approach. Lots of searches are haphazard, where organizations look for anything with a certain revenue potential, or anything that can be sold by their existing sales and marketing infrastructure. In our experience, any approach which aims to simply provide the sales organization with products to sell is unsustainable in the long run.
Savvy BD&L executives can leverage consultancies to help them develop this overarching framework, identifying the key variables which are important to the organization, its management, and its shareholders. Pharmaceutical management consultants can bring an objective perspective to an exercise which, if done properly, results in a roadmap that the BD&L team can then use to plan and execute a BD&L tactical plan.
Broaden Skill Set - We have noticed that a lot of smaller BD&L teams have strengths and skills in some areas, but not others. For example, some companies have BD&L teams led by scientists or clinicians or attorneys who lack the experience to quantitatively and financially assess opportunities. Using a consultancy can provide unbiased, rigorous quantitative analysis and financial modeling.
Extend Geographic Breadth and Depth - The traditional model for US and EU providers was to license drugs from Japanese firms, because numerous innovative Japanese companies lacked the global presence to develop and market their innovations outside their house country.