Pharmaceutical company performance improves when innovation and execution align
East Norriton, Penn., March 1, 2016. A study measuring the impact of pharmaceutical commercial operations on company performance finds that strategic investment in commercial innovation linked with an aligned and responsive culture of execution can produce positive results. The study, "What Makes More Better? An Exploratory Study on the Effects of Firm-Level Commercial Operations Attributes on Pharmaceutical Business Performance," appears in the current issue of the Journal of Medical Marketing.
Authored by George A. Chressanthis, Ph.D., Professor of Healthcare Management and Marketing, Fox School of Business and Management, Temple University, the independent study was funded through an unrestricted grant from TGaS Advisors, a benchmarking and advisory services firm for pharmaceutical operations. Eric M. Eisenstein, Ph.D., also at Fox, and Patrick A. Barbro, Ph.D., Rohrer School of Business, Rowan University, are co-authors.
Chressanthis says that today's pharmaceutical environment requires companies to think holistically from the earliest stages of clinical development about the value-based assessment of new drugs. The researcher concludes that "strategic investments in commercial operations can help companies bring drugs to market faster while clearly demonstrating value important to key stakeholders." Chressanthis compares the underlying culture required for this to a "fertile field" where innovation coupled with execution lays the foundation, noting they operate synergistically to affect business performance. "Companies that are commercially innovative but do not have the ability to execute strategic policies will not be effective. Likewise, companies that are commercially aligned but without innovative business strategies to execute will also not be effective," he says.
The study draws on TGaS Advisors' proprietary commercial operations dataset using anonymized data from 26 large, medium and specialty pharmaceutical companies and interviews with TGaS operations professionals. Findings and recommendations were developed independently of TGaS.
TGaS President Gary McWalters commented, "We commissioned this study as an investment in our commercial operations partners. It provides independent confirmation of what we've learned from more than a decade of engagement on the operational side and makes the case for strategic investment in innovation linked to execution."
According to Chressanthis, this is the first such independent research study on the effects of qualitative and quantitative measures of commercial operations on business performance. "The depth and breadth of the TGaS database, together with their qualitative insights, made the study possible," he says.
About TGaS® Advisors
TGaS Advisors is the leading benchmarking and advisory services firm for commercial organizations in the life sciences industry. With a roster of top 50, emerging and precommercial life sciences companies, TGaS provides robust comparative intelligence and collaborative network membership services. The team includes more than 50 experienced professionals, most with senior-level experience in the life sciences and related industries. To learn more, visit http://www.tgas.com.
About the Journal of Medical Marketing
The Journal of Medical Marketing is an international journal for academics and healthcare executives in a marketing or strategic management role in the pharmaceutical, medical device or diagnostic sectors of the global medical industry. The Journal is positioned to help facilitate communication and cooperation between researchers, healthcare professionals and marketers across both academic and industrial spheres. Every quarter, the Journal publishes a wide range of peer-reviewed papers, including empirical research articles, case studies and professional perspectives of importance and practical relevance to medical marketers. The Journal encourages authors to submit work related to analysis of existing practice and application of new technologies for competitive advantage. mmj.sagepub.com