Retrospective Facilitator Gathering

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3_motives_why_pharmaceutical_companies_will_need_specialty_administration_consulting_corporations

The pharmaceutical market is going through International development consultants a huge deal of change. Providers for instance Pfizer and Lilly are struggling with significant item patent expirations. Plus, enterprise pipelines are insufficient to replace the revenues misplaced to patent expirations. Lastly, EU-based and US-based providers and US are shifting their companies in the direction of higher-growth marketplaces in China, India, along with other Emerging Marketplaces, producing inner organizational turmoil inside their property markets.

As a lot of organizations notice, it truly is decreasingly feasible to simply “research” your way from these complications. A part of the answer to these difficulties is creating and executing what we broadly check with as being a Enterprise Progress and Licensing technique (BD&L). This technique 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 from the senior management team. Larger firms will have a team of a dozen or more executives, directors, and managers responsible for sourcing, analyzing, and recommending organization improvement opportunities. Even smaller companies will have one or two individuals formally charged with the BD&L process.

So why should pharmaceutical businesses, even large ones with large BD&L teams, use consulting corporations to assist them? We believe there are a few good reasons why this is the case:

Growth of an Overarching Framework - Several pharmaceutical and biotechnology corporations should be applauded for having a strategic and focused BD&L framework. Many providers know exactly what they are looking for, i.e., asset type, stage of enhancement, geography, deal 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 numerous firms which do not take a framework-driven approach. A lot of searches are haphazard, where firms 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 easily 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 firm, 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 several smaller BD&L teams have strengths and skills in some areas, but not others. For example, some corporations 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 firms was to license drugs from Japanese corporations, because quite a few innovative Japanese corporations lacked the global presence to develop and market their innovations outside their residence country.

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