Pharmaceutical Alliance Management (PH119)
- Published 2008
- 86 Pages
- 150+ Metrics
- Charts and Diagrams
-
Drive revenue through alliance success
Nearly half of today's top-selling drugs were the result of partnerships. Companies across the industry annually spend hundreds of millions of dollars to utilize other firms' discovery, development and marketing capabilities in their quests for the next blockbusters.
This pressure to maintain strong portfolios underscores the importance of alliance management. Alliance management is a crucial step in the deal-making process. But it is here that many deals fall apart. At this stage, the burden rests on alliance management personnel to keep things running smoothly. Ensuring a thriving collaboration is a daunting responsibility requiring many parts — ample organizational support, efficient project coordination, and constant, open communication.
Companies that excel in alliance management position themselves to win new deals. Those organizations that show a penchant for successful collaborations will attract other companies looking for strong allies — in the process filling critical portfolio holes and penetrating exciting new markets.
Pharmaceutical Alliance Management focuses on overcoming post-deal management challenges. Findings and interviews with pharma and biotech industry leaders provide proven, successful approaches for pharma partnership success. The report instructs alliance managers on how to:
- Develop a robust alliance management strategy
- Gain key stakeholders' support and organizational resources
- Cultivate deeply rooted partner relationships
- Identify and eliminate problem areas
- Monitor alliance health
- Attain partner-of-choice status
-
Companies Included in Pharmaceutical Alliance Management Research
- Abbott Labs
- Ablynx
- ADVENTRX Pharmaceuticals
- Allergan
- Altus
- Amgen
- Amylin
- AstraZeneca
- Bayer Schering
- Biogen Idec
- Boehringer-Ingelheim
- Bristol-Myers Squibb
- Caprion Proteomics
- Celgene
- Cancer Research Technology
- Compugen
- CytRx
- DSM
- Eisai
- Eli Lilly
- Epix
- Eurand
- Genentech
- GlaxoSmithKline
- Implicit Bioscience
- Janssen-Cilag
- King Pharmaceuticals
- Lexicon
- MedImmune
- Merck & Co.
- Merck Serono
- Nerviano Medical Sciences
- Neurochem
- Neurogen
- Novartis
- Novo Nordisk
- NPS
- Onyx
- Pfizer
- Primus
- Procter & Gamble
- Purdue Pharma
- Roche
- Sanofi-Aventis
- Solvay
- Valeant Canada
- Vifor
-
Pharmaceutical Alliance Management Metrics
Pharmaceutical Alliance Management contains structure, resource, and process data collected from more than 50 companies. Metrics include the following:
- Resource support for alliance management groups
- Prevalence of dedicated alliance management functions, by company size
- Levels of historical deal satisfaction
- Underlying reasons for unsuccessful deals
- Key deal challenges
- Inbound deals: functions involved in post-deal day-to-day activities
- Outbound deals: functions involved in post-deal day-to-day activities
- Use of alliance health surveys
- Tools of the alliance health department
- Surveyed companies' communication models
- Steps to partner-of-choice status
-
Pharmaceutical Alliance Management Report Sample
The following excerpt is taken from Chapter 1, "Alliance Management." The full report examines deal maintenance and deal satisfaction in detail.
Signaling Internal Commitment to Partner Asset
The single most important factor in maintaining partner satisfaction in any alliance, according to surveyed companies, is valuing the collaborative asset as much as internally developed products and technologies. Companies with reputations as partners of choice communicate their equivalent valuation in soft measures to partners and in hard measures to the rest of the world.
Pharmaceutical companies conduct partnerships to reach beyond what they can do for themselves; treating partners and their assets with respect follows directly from this
strategic decision.Company P's alliance managers are building a culture that treats alliances as strong strategy components rather than business sidelines. This strategy involves the following points:
Build the Culture:
The alliance department or group must start building a culture in which partner products are treated as well as the company's own. Company representatives must be trustworthy and straightforward in dealing with partners.
Encourage Respectful Behavior in Pharma Partnerships:
Alliance managers set the relationship's tone and ensure that other alliance team members adhere to it by treating partners as equals inside the pharma partnership, attending key meetings, keeping commitments, and meeting deadlines.
Communicate About Partner Internally:
Company P's alliance managers construct a cohesive model of the partner's business and present it to every internal team that deals with the alliance, including senior management. These presentations include information on the partner's business model, key issues, pipeline...
The following excerpt is taken from Chapter 2, "Alliance Health and Conflict Resolution."
Alliance Health Surveys
The most common measurement tool is the alliance health survey, which is administered at standard times during an alliance's lifecycle. Alliance health surveys aid companies in measuring the true progression of collaborative efforts and, more importantly, in determining how internal and external stakeholders view their alliances. The survey results also accomplish the following:
- Ensure that both companies are on the same page regarding standards, milestones and strategy
- Provide analysis of the effectiveness of the communication between the two companies
- Quantify the level of trust each company has for the other
- Coordinate strategy to either maintain the current good relations or to bring the alliance up to that level.
The survey may take significant effort to create, but once created, it only needs to be slightly adjusted for future deals. For teams seeking outside help, alliance management vendors supply survey templates and customized support.
Many companies, however, neglect to establish even this most popular and simple method of measuring an alliance's health. As seen in Figure 2.1 [Data figures appear in full report], only 31% of surveyed companies actually make use of alliance health surveys. This is because formal alliance health measurements are generally a product of formal alliance management departments (see Figure 2.2).
Back to Top
