Digital strategies in pharmaceutical industry

DIGITAL STRATEGIESIN PHARMACEUTICAL INDUSTRY

BY: Meghavi Mehta- 03

INTRODUCTION• The Digital Technology has been

evolved in pharmaceutical industry in less than a decade.

• The companies have invested in e-business structures but none of them have transformed completely into a virtual or e-driven company.

• Digital innovations & e-business in the pharmaceutical industry will help in managing, planning, developing & implementing the e-strategies to the same.

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PURPOSE OF STUDY

1. To understand about the e-business.

2. To know why a Pharmaceutical Industry should invest in digital technologies.

3. To learn about implementation of Digitalization over Traditional Method.

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RESEARCH & DEVELOPMENT

DIGITAL STRATEGIES IN

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E- R&D

Personalized medicine

E-Clinical Trials

Research &

Development

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R & D• Today, cost of drug development is

over USD 1.5 billion compared to that of in 1970’s that is USD 135 million.

• There is almost a 10 fold increase in the cost because of various economic, technical & regulatory challenges faced by the drugs in pipeline.

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E - R&D• As genomics has advanced, more & more

companies are dependent on the IT solutions for processing, storing, and analyzing massive amounts of data.

• Biochip- It is a silicon chip containing millions of artificial gene fragments bonded to its surface & allows rapid genetic profiling on analysis.

• Biochip used to isolate genes that are active in a diseased gene.

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E - R&D Continued..

• A study by Boston Consulting Group predicts that the cost of R & D may increase in initial stage but eventually the cost will reduce & so will the time to develop the drug. They estimated that it will save $300million & 2 years per drug as a result of combined biotechnology & digital technologies.

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Personalized Medicines

• Its fundamental principle is to develop “the right drug for the right person at the right dose”.

• GSK is already developing genetic tests that will identify people likely to suffer adverse reactions to their drugs, and AstraZeneca is collaborating with the genetic analysis company Orchid Biosciences to create more personalized drugs.

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E-Clinical Trials

• Clinical trials aim to establish the safety and efficacy of a new drug in humans.

• Pharmaceutical companies have begun to use web for the recruitment of patients also manage patient information & identify risk factors.

• Electronic Data Capture (EDC) is the collection of clinical trial data from most of the sites & it is prime application of Internet usage.

• Companies have also reported decrease in time of development by 40% with the usage of the e-clinical trial system.

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MANUFACTURE & SUPPLY CHAIN

DIGITAL STRATEGIES IN

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ERP

R(x)eal Time

Manufacture & Supply Chain

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Manufacture & Supply Chain

• The biomedical products need excellent safety profile, thus pharmaceutical manufacturing & supply chain unit is highly regulated.

• As we enter the age of personalized medicine, companies will have to manufacture small batches of customized medicine & one of the requirements of it would be a highly flexible manufacturing plant unit.

• Supply chains are becoming transparent through the usage of tools such as supply chain management software and digital marketplaces.

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ERP-Enterprise Resource Planning

• Its purpose is to facilitate the flow of information between all business functions inside the boundaries of the organization & manage the connections to outside stakeholders.

• ERP has many benefits, to mention few – reduction of overall inventory by almost 30%, reduction of product delivery time, reduction in no. of employees or human resource required, reduction of time of payment, increased profitability & reducing the risk of losing sensitive data. 14

R(x)eal Time

• IT solution to speed up transactions across the manufacturing component of the pharmaceutical value chain.

• Its pharmacy data service, R(x)eal Time, is updated online every ten minutes, and annual aggregated data from almost one billion filled prescriptions is used to provide custom reports revealing prescription drug use trends.

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MARKETING & SALESDIGITAL STRATEGIES IN

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E-Detailing

E-CRM

Marketing

& Sales

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Marketing & Sales

• Over the past 20 years, creating a demand for a new drug has been a function of sales force where the company uses them to influence physicians, pharmacy stores & hospitals to prescribe the drug.

• The attractiveness of digital technologies in pharmaceutical sales and marketing does not only relate to the cost-saving virtues, but more importantly to a range of opportunities that the Internet especially presents. 18

E-Detailing

• The term ‘detailing’ is generally used to describe the sales representative drug promotion process.

• E-detailing is best defines as digitally enabled interaction channels between the pharmaceutical companies & doctors.

• E-detailing consists of different interaction levels ranging from simple web-based for promotional material; to virtual e-detailing where sales representatives are available for discussion via the Internet or telephone; to video detailing, where physicians interact with sales representatives in real time.

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E-Customer relationship

management• Customer Relationship Management

(CRM) is a model for managing company’s current & future customers.

• E-CRM systems can improve the organization’s ability to promote its brands, run Web-based promotional campaigns, track and convert leads into sales & understand its customer base.

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HEALTH SERVICE DELIVERY

DIGITAL STRATEGIES IN

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E-Prescribing

E-Pharmacy

E-Disease Management

Strategy

Telemedicine

Health Service Delivery

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Health Service Delivery

• As the complexities of the formulation will increase & cost containment becomes a concern, physicians will be dependent more on the prescription guidelines, & products would need support services for a complete solution.

• This support services would be provided through digital technologies such as e-prescribing, telemedicine and medical record management.

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E-Prescribing & E-Pharmacies

• E-prescribing is the paperless management of the prescription process where a physician enters the medication name, dosage and patient instruction using a PC and this information is automatically transferred to the pharmacist.

• E-pharmacies take electronic orders (e-prescriptions directly from physicians or transmitted via the patient) and deliver the drug to the patient or provider.

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E-Disease Management

Strategy• Disease management is an ongoing

management over ‘disease lifestyle’ of chronic diseases as asthma, diabetes & hypertension.

• The goal of e-disease management is to offer continual rather than episodic care, thereby maximizing the quality of life and, through monitoring, prevention and early intervention, minimizing healthcare expenditure.

• The best-known example is the public–private collaboration between Florida’s Agency for Health Care Administration (FAHCA) and Pfizer.

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Telemedicine

• Telemedicine is the provision of health services and the exchange of health information over barriers such as distance and time.

• The ability to monitor, diagnose, inform and treat remotely can save lives and may, in certain cases, reduce the cost of treatment and improve the quality of care.

• MyDoc.com, an Indianapolis-based subsidiary of Roche Diagnostics, is offering 24-hour online diagnosis and treatment from a physician in 15–20 minutes.

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A doctor using technology to demonstrate a stroke telemedicine technology.

Conclusion

• The future success of ‘e-pharma’ is based on effective use of digital technologies. And it is believed that Internet will move into mainstream pharmaceutical operations.

• The modest goal of integrating digital technology into the pharmaceutical industry is well on the road to attainment; the next step is realizing the full potential of digital strategies.

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RECOMMENDATIONS

• Companies must focus on promoting creativity & flexibility in the working process & the environment.

• As e-pharmaceuticals often require the integration of the work flow of many departments, the structure of IT management within organizations needs to be adapted.

• The companies should employ cross-functional team approach, bringing together scientists, supply chain experts, marketers and IT professionals to create new solutions at each stage of the value chain.

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REFRENCES• WEBSITES 

http://www.ifpma.org/fileadmin/content/Publication/2013/IFPMA_Facts_And_Figures_2012_LowResSinglePage.pdf - Figure 1 – Accessed on 12/3/14 -3:25 PM

• http://basecase.com/articles/e-detailing-in-pharmaceuticals/ - Accessed on 30/3/14 – 5:00 PM

• http://www.tapanray.in/e-detailing-the-future-of-pharmaceutical-sales/ - Accessed on 30/3/14 – 5:30PM

• http://home.earthlink.net/~johnkirkley/sitebuildercontent/sitebuilderfiles/mindspanecrm.pdf - Accessed on 25/3/14 – 9:30 PM

• http://web.efzg.hr/dok/INF/Spremic/ERP-PLIVA-Case-Study-FINAL.pdf - Accessed on 26/3/14 – 11:15 PM

 • BOOK Digital Strategies in Pharmaceutical Industry – Leonard

Lerer & Mike Piper, Palgrave Macmillan

THANK YOU!!!

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