How to solve R&D productivity challenges


It's no secret that R&D and innovation teams are being squeezed harder. In 2017, R&D investments in the pharmaceutical space reached more than $70 billion and they will reach over $200 billion by 2024. Pharma is one of the two sectors that are heavily reinvesting its revenue in research and development (15% to 20% on average). Considering the cost associated to the development of a new drug and to bring it to market, the return on investment is declining sharply, according to a Deloitte 2018 report. And if we take a look to the expiration of drug patent, the revenues will cut. This makes the need to spend aggressively to enter highly competitive (and uncertain) markets.


As a result, organizations need to rethink their R&D business model to reduce costs and improve efficiency.
With that in mind, below we expose 6 tips to improve your R&D Strategy.


6 Ways to Improve R&D Strategy



1. Priority Management

One of the problems in R&D organizations is that priorities are not the same whether you ask researchers, marketers, or shareholders. So, before adopting a diversification strategy, or a consolidation strategy, companies should address the misalignment that may exist between departments and growth goals, like:  



  • Invest in developing the drug that shows the highest market potential.
  • Opt for the product least likely to fail in a clinical trial (especially in Phase III, the most expensive stage).
  • Enter a niche market with less competition and more attractive potentials for revenue.
  • Go global and penetrating emerging markets.


2. Process Management Optimization


Improving, standardizing, and automating processes result in higher overall R&D efficiency and also the entire organization, its supply chain, and its customers. This process optimization can lead to:



  • Eliminating manual tasks.
  • Minimizing redundancies.
  • Simplifying processes.
  • Ensuring compliance.
  • Decreasing the risk of human error.
  • Improving collaboration.



3. Quality Management



By putting quality systems and risk assessment center stage, companies are better positioned to design and develop a product of consistent quality while reducing costs associated with mitigating low-risk categories.



4. Use Big Data Strategies


Big data in life sciences data analytics has taken large precedence. Data in the healthcare space comes from a wide variety of sources, from R&D downstream to patients and their caregivers. This considerable volume of data that holds valuable insights can help in:



  • Fueling innovation with predictive modeling.
  • Enrolling trial patients with more precision.
  • Monitoring trials in real-time.
  • The increasing flow between R&D, physicians, CROs.



5. Data Integrity Strategy


In order to achieve data integrity, systems, and processes can be implemented, specifically via electronic audit trails building a strategy that can customize processes. Uses cases help define what data needs reviewing while visualization and mapping roles help determine how data should be reviewed.



6. New Strategic Alliances


We all know that inefficiencies are driving up R&D costs in all pharma and biotech companies, regardless of size.


There is, however, an opportunity to unify and conquer rather than divide and reign. It is demonstrate that collaboration is the most efficient and cost-effective path toward innovation by helping streamline processes and prevent companies from having to reinvent the wheel.


At we know that the success of an organization incubates at the research level and matures to fruition at the development stage. While many things can go wrong and incur unwelcome costs along the way, we also know from experience that action should be taken where there is room for improvement. Pharma and biotech companies can no longer ignore the need to reinvent R&D so they can innovate.  


With our expertise in R&D outsourcing, built both from experience and with experts on the matter, we can help you strengthen your competencies and improve your R&D.


Let us help you take your R&D power to the next level.


Contact our team for more information!

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