The pharmaceutical field is undergoing London International development consultancy a tremendous deal of transform. Companies for instance Pfizer and Lilly are struggling with considerable merchandise patent expirations. Furthermore, company pipelines are insufficient to replace the revenues shed to patent expirations. Finally, EU-based and US-based organizations and US are shifting their businesses in direction of higher-growth markets in China, India, along with other Emerging Marketplaces, building inner organizational turmoil of their house markets.
As many businesses know, it can be decreasingly possible to easily “research” your way away from these challenges. Part of the answer to those problems is acquiring and executing what we broadly refer to as being a Company Progress and Licensing tactic (BD&L). This approach 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 of your senior administration team. Larger companies will have a team of a dozen or more executives, directors, and managers responsible for sourcing, analyzing, and recommending business development opportunities. Even smaller corporations will have one or two individuals formally charged with the BD&L process.
So why should pharmaceutical corporations, even large ones with large BD&L teams, use consulting companies to assist them? We believe there are 3 causes why this is the case:
Progress of an Overarching Framework - Quite a few pharmaceutical and biotechnology providers should be applauded for having a strategic and focused BD&L framework. Several providers know exactly what they are looking for, i.e., asset type, stage of improvement, 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. A lot of searches are haphazard, where companies 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 corporation, its administration, 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 organizations 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 companies was to license drugs from Japanese corporations, because many innovative Japanese organizations lacked the global presence to develop and market their innovations outside their house country.