The future of the life sciences industries: Transformation amid rising risk
Deloitte Touche Tohmatsu & Economist Intelligence Unit announce survey results
For the last decade, life sciences companies have faced many challenges: expiry of patents, price competition from generic producers, a rising cost base, low productivity in research and development, ongoing talent shortages, and challenges to their corporate reputations, to name a few. In such a daunting environment, it is clear that companies may need to transform in order to remain high-value-added innovators—and avoid becoming lower-margin suppliers.
How they plan to do this is the focus of a new report on the future of the life sciences industries by Deloitte's Global Life Sciences and Health Care Industry Group, in collaboration with the Economist Intelligence Unit. The report identifies several areas where companies will need to transform, including: talent management, regulatory affairs, R&D, and sales/marketing/pricing. Some key findings from the report include:
- 76% of survey respondents felt that major changes would be needed in some or all parts of the organization in order to face future risks.
- 44% of executives feel that most discovery and early-stage research will take place outside of large life sciences companies in the next 10 years.
- Demonstrating product value early in the commercialization process (44%) – as well as working closely with patients, clinicians, and academics to engage regulators (43%) – were identified as the strategies most likely to help cultivate good relationships with regulators and reimbursement authorities, and speed up approval procedures