Breaking Down the Walls
Integrating clinical development with commercial operations
Many pharmaceutical companies are suffering from a crisis of collaboration. Over the past several years, lack of productive communication between leaders in Research, Clinical Development, and Sales and Marketing has in many cases led to wasted effort and short-sighted decision-making. In response, many pharmaceutical companies made sweeping structural changes, adopting Business Unit (BU) operating models designed to provide a clear line of sight to the customer and to speed innovation with improved collaboration and better “end to end” pipeline decision-making.
These dramatic changes have not yet delivered as planned. Too often, late-stage failures still occur because the right information from across the value chain didn't make it into the decision-making process. Were those changes to the operating model wrong? No. But most of the changes were merely structural. A culture developed in silos will not automatically transform just because the boundaries have been realigned. Significant changes to governance, incentives and accountability will be necessary to alter the behaviors that currently prevent effective collaboration. Tools and processes will be needed to truly integrate customer insight into R&D and to successfully compete commercially with a full range of capabilities that support product value propositions. These changes will not be easy, but they can be addressed through a series of targeted, short-term initiatives. Only with these elements in place can the long-term competitive benefits of new operating models be realized.