Introduction (Toni Wilson – Chair, SLA CI Division)
In this post from another of our Competitive Intelligence Division experts, we focus on a specific industry application for CI. It describes how industries – in this case, the pharmaceutical industry – are continually changing and the important of adapting our CI processes to those changes in order to become and remain future ready.
by Claudia Clayton, Virginia Chapter, Business & Finance, Competitive Intelligence, Legal, and Pharmaceutical & Health Technology Divisions
Last week, I attended the Pharma CI Conference in Parsippany, NJ, expecting to hear a lot about tools of the pharmaceutical CI trade. Instead, all of the keynote sessions focused on the changes in the healthcare industry and how these would impact the way that pharmaceutical companies develop products going forward. In the end, I learned far more about the focus on outcomes in the healthcare industry and why pharma companies should be more aware of these both in and outside of the US.
One of the most interesting presentations was made by a senior executive with Ernst and Young, on Pharma 3.0. Pharma 1.0 was basically the era where pharma companies focused on blockbuster drugs, e.g. those drugs that dominate a category. Pharma 2.0 was the era of diversification, where companies that specialized in cancer drugs expanded into cholesterol medications or expanded geographically. Now we are in the Pharma 3.0 era, where drugs must begin to mirror – at least in part – the outcomes-based focus of the healthcare industry. (To find the report, go to this link or Google Pharma 3.0 + Ernst and Young .)
Here are just a few of the key thoughts in the report, which I believe apply to SLA members and those information pros that engage in or support competitive intelligence:
- Connecting information and developing insights: Companies now need to connect information across disparate sources, to involve IT management in strategy development, and to remove information silos.
- Build and operate multiple, simultaneous business models: Diverse customers and markets call for diverse business models, done in a systematic and scalable way.
- Collaborate in new ways and with new partners: The report calls for “radical collaboration” with very different partners, using customers and other stakeholders as “co-creators” and attracting non-traditional partners.
- It’s not about you: Ernst and Young tells companies they must stop pitching and start engaging – based on emerging communities and enhanced desire for personal value.
- Disrupting the value network: Incentives, metrics and standards in pharma need to be tailored to health outcomes. Although this relates specifically to the pharma industry, the principal applies to any industry that is impacted by others in our increasingly connected world.
So, if you are looking for insights, trying to provide relevant value to your clients, and interested in taking advantage of industry or product disruption rather than being negatively impacted by it, read this report. Then spend some time thinking about how to bring your programs into a 3.0 world.
Claudia Clayton is Managing Director of ViewPoint, a strategy, consulting and research firm established in 1993. She leads the competitive intelligence activities of ViewPoint on behalf of major US corporations in multiple industries. Claudia is a committed and hard-working volunteer, primarily serving the members of SLA’s CI Division and the Strategic and Competitive Intelligence Professionals (SCIP). She won SCIP’s Catalyst Award in 2007 in recognition of her commitment to the CI profession. Claudia was the CI Division’s 2011 Conference Chair and currently serves as the CID’s Membership Chair as well.