Three Explanations Why Pharmaceutical Providers Need to have Specialty Management Consulting Corporations

The pharmaceutical sector is undergoing an amazing deal London International development consultancy alter. Businesses such as Pfizer and Lilly are going through significant solution patent expirations. As well as, corporation pipelines are inadequate to interchange the revenues shed to patent expirations. Finally, EU-based and US-based organizations and US are shifting their companies in direction of higher-growth markets in China, India, and other Rising Markets, producing inner organizational turmoil inside their dwelling marketplaces.

As quite a few providers notice, it is decreasingly feasible to simply "research" your way away from these troubles. Part of the solution to these troubles is building and executing what we broadly confer with for a Company Growth 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 firms have an BD&L group, usually led by a member of 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 firms 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 firms to assist them? We believe there are a few factors why this is the case:

Enhancement of an Overarching Framework - A lot of pharmaceutical and biotechnology businesses should be applauded for having a strategic and focused BD&L framework. Several corporations know exactly what they are looking for, i.e., asset type, stage of growth, 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 numerous companies which do not take a framework-driven approach. Many 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 business, its management, and its shareholders. Pharmaceutical administration 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 lots of smaller BD&L teams have strengths and skills in some areas, but not others. For example, some firms 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 corporations was to license drugs from Japanese companies, because quite a few innovative Japanese corporations lacked the global presence to develop and market their innovations outside their home country.

Today, this is no longer the case. Several Japanese corporations, for example Takeda and Eisai, have successfully established a exploration and commercial presence in the US and EU. Businesses like this no longer will need Western pharmaceutical companies to commercialize their internally-developed innovations. So Western pharmaceutical businesses are now traveling to and meeting with organizations in China, India, and Eastern Europe...anywhere where a new innovation or opportunity may exist. For larger, global BD&L teams this is less of an issue. IN fact, the largest firms typically have regionally focused BD&L executives who focus on identifying opportunities from their local marketplaces for their local or even global markets. But what in the smaller organizations which may lack this geographic infrastructure?

This is precisely where consultants, especially boutique, highly focused consultancies, can play a critical role in sourcing and identifying opportunities that fit the strategic and financial objectives of your corporation. A consulting firm can act as being a de facto seeker and "shopper" of opportunity. Consultants can be utilized to focus on particular geographic areas for specific ideas.