Overcoming Challenges in Data Integration, Stake Holder Collaboration, Talent/Technology Investment to Operationalize Analytics in Pharma and Life Sciences.
The pharma and life sciences industry is faced with increasing regulatory oversight, decreasing Research & Development (R&D) productivity, challenges to growth and profitability, and the impact of digitization in the value chain. The regulatory changes led by the far-reaching Patient Protection and Affordable Care Act (PPACA) in the United States are forcing the pharma and life sciences industry to change its status quo. Besides the increasing cost of regulatory compliance, the industry is facing rising R&D costs, even though the health outcomes are deteriorating. Led by the regulatory changes, the customer demographics are also changing. The growth is being driven by emerging geographies of Asia Pacific (APAC) and Latin America (LATAM). As a result, the pharma and life sciences industry is compelled to focus on these relatively nascent and evolving markets. Concepts of cloud, mobility, and social media are enabling organizations to rationalize internal costs, facilitate integration of information and processes across departments, and focus on better profiling and targeting of clients and medical practitioners.
The industry is viewing the increased regulatory supervision as a burden. However, the regulatory requirements are putting in place a foundation for data requirements that can be used to drive pharma and life sciences analytics. Organizations can extract additional value in a challenging market, and create competitive differentiation by utilizing this opportunity.
Application of pharma and life sciences analytics ranges from basic reporting and internal dashboard creation to high-end predictive and prescriptive analytics. The key applications of analytics in pharma and life sciences include regulatory compliance reporting, marketing/sales support, and product/service enablement. The third-party analytics services market for healthcare is expected to increase by over five times its current size by 2020.
Today, however, the market is still in a fairly nascent stage and there are significant challenges, such as poor data integration, lack of investment in talent and technology, and limited stakeholder alignment, impacting this industry. However, the best practices are emerging to help overcome these challenges and push pharma and life sciences analytics further on the path of rapid growth.
- Pharma and life sciences industry challenges and opportunities, where analytics plays a role
- Range of analytics leveraged in pharma and life sciences industry and examples of how it creates value for the business
- Critical challenges and the emerging best practices in operationalizing analytics in the pharma and life sciences industry