Industry Challenges Facing Pharma and Life Sciences Companies
The pharma and life sciences industry is facing unprecedented challenges across all aspects of their organizations. These include target selection, drug discovery, clinical development, manufacturing, and supply chain planning. Pharmaceutical executives also face R&D productivity issues, payer pressure to demonstrate value, loss of patent protection and generic product competitive threats. Regulations and compliance are increasingly complex. Emerging markets are uncertain and, while there’s more value-based pricing, some drugs are still not covered by payer authorities or have strict access controls.
Clinical development carries risks that can lead to significant financial pressures and pipeline challenges. But at the same time, sophisticated analytics and technology as well as a marketplace suited for potential deals are leading to new drug development efficiencies and opportunities, opening doors and speeding up innovation.
As drug development advances new challenges emerge, particularly in the global manufacturing and supply chain. Pharma and life sciences organizations see to refine the balance across costs, service and risk to succeed. Should companies produce their own products or use contract manufacturers, what’s the best packaging or distribution model? How can they penetrate emerging markets and do they need a more tax efficient supply chain?
Successfully commercializing a drug is increasingly difficult; blockbuster drug models are rare and the way drugs are selected is rapidly evolving. Around the world government, payers and providers are limiting access to high cost drugs and imposing value-based pricing. The way health care is delivered, structured and paid for is changing fast and new entrants are attempting to seize on emerging opportunities. In the U.S. organized consumer groups are being created through Integrated Delivery Networks (IDN) and Accountable Care Organizations (ACO.)
The traditional sales rep detailing process is also undergoing significant changes as access to prescribers is reduced. Drug selection decisions are shifting to a centralized body. Technologies are being deployed to maintain stricter formulary controls and pharma companies are utilizing multi-channel marketing and digital initiatives to gain access to physicians in non-traditional ways.
Risk management is another important topic for pharma and life sciences companies, and these companies need a trusted advisor to help navigate their path forward. Fortunately MMA can help. MMA has significant expertise in risk management services for clients in the pharmaceutical, medical device and biotechnology industries. MMA helps companies leverage advancing technologies and excel in a complex risk and regulatory environment. No matter what the challenge, MMA is here to partner with you.
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