Slide 1 : GNIIT Student Business Intelligence in Pharmaceutical industry Made by 2009 ISAS N.Manoraj & Thambi Durai
Slide 2 : Contents
Introduction
The Pharmaceutical Business
The Business Defined
The Information Challenge
The Enterprise Data Warehouse
Pharmaceutical Analysis
Market analysis (Based on country )
Finance
R&D
Manufacturing
Marketing
Sales & Distribution
Slide 3 : The Business Defined
Similar to other industries, the following displays the business flow for a
typical pharmaceutical company. Manufacturing finance R&D sales Contracting/legal Marketing Distribution Pharmaceutical operation Business analysis
Slide 4 : The Information Challenge
The challenge with integrating data across business components is that most information systems are built around the day-to-day operational needs of the business unit. In order to satisfy the corporate-wide information integration requirements, enterprise business intelligence (BI) systems must be developed and deployed.
Such systems help companies with:
Business Intelligence - Understand the needs of the business
Business Management - Manage internal operations based on those needs
Business Operations - Run the business based on management directives
Slide 5 : Data warehouse and data marts Operational data stores Customer Retention Customer Acquisition Business function Business process Business enablers The Enterprise Data Warehouse
Slide 6 : Pharmaceutical Analysis Like other industries, the pharmaceutical data warehouse provides insight that drives new customers, helps
retain current ones, streamlines operations, reduces costs, and helps management to achieve their targets. IMS weekly report Samples inventory IMS weekly report Hospital data SAP inventory ERP financial data R&D info Forecasting (Manuf,Budget,Outlook) IMS data of global and other market IMS weekly report Manufacturing info.. Plan information Retail data EDW/ODS
Slide 7 : Market analysis (Based on country) Challenge: There is a need to analyze the statistical
information of a market, in order to know their
strength and weakness.
The statistical information can be obtained from
various sources, but to analyze the huge statistical
data is a time consuming period and an iterative process. So what is the other way?
The following chart contains statistical data which can be used to analyze…
Slide 8 : Solution: By using statistical analysis tools we can analyze huge volume data in a short period of time.
Slide 9 : By using data like healthcare expenditure,
average life span, per capita income, also their area wise population we can do analysis
Slide 10 : Finance Pharmaceutical finance departments are responsible for a complex business model. In addition to unexacting stock market metrics, finance organizations must manage agreements with a variety of buyers ranging from direct customers (for over-the-counter products), distributors, hospitals/managed care organizations, prescribers (for sample products), and pharmacies.
Some of the key finance analysis challenges are broken out below.
Budgeting/Forecasting
Merger & Acquisition Analysis
Pricing
KPI Reporting
Slide 11 : Budgeting/Forecasting
Challenge: What costs should be cut? What would the impact be?
What is our budget versus actual?
What is the historical market trend? Will we hit our target?
Solution: By extracting information from forecasting and finance
systems and integrating it with manufacturing, market research,
and sales data, accurate values can be derived for budget,
manufacturing, and outlook. Merger & Acquisition Analysis
Challenge: Pharmaceutical companies often merge even where
a wide overlap in product lines and operation functions exists.
Heavy analysis is needed before committing to a merger or acquisition
Slide 12 : Solution: With analytic insight into product performance, doctor segmentation, competitor information, and product synergies, many more informed decisions could be made with respect to possible mergers and acquisitions
Pricing
Challenge: Price sensitivity is not only a sensitive political issue but also difficult to measure.
Solution: An integrated EDW allows analysts to measure the impact that pricing has on consumption and prescriber/user acceptance. Key sales and prescriber information may be consolidated with price information to measure elasticity.
Slide 13 :
Slide 14 : KPI Reporting
Challenge: Consistency and accuracy is paramount when
reporting key performance indicators to the business.
What is the overall state of the company? Are we on target
versus our plan? What is the state of our financial ratios?
Who are slow payers? What debts are due soon? What does
my cash flow look like? What are my inventory levels?
Solution: Everyone in the organization should receive the same
numbers for the same KPIs. Financial KPI reporting may integrate
information from a wide breadth of systems but are often primarily
driven from the ERP system.
Slide 15 : R&D
R&D is the lifeblood of modern pharmaceuticals Some of the key R&D analysis challenges are broken out below.
Market Research
Testing & Clinical Trial Analysis
Molecule Database Market Research Challenge: Ideally, decisions that drive a product’s commercial
potential are made long before that drug enters the market.
What markets should we be getting into? What is the upside
potential of a drug? What drugs should be further segmented
by form or strength? Who are my primary competitors?
Why do customers change drugs? What are the insurance and
managed care organizations saying about my and other drugs?
Slide 16 : Solution: By establishing an integrated repository of analog
Drugs, insurance and managed care purchase trends, and competitive
intelligence market analysts can better work with upper management
and R&D to drive the company’s overall product strategy and focus. Testing & Clinical Trial Analysis
Challenge: Pharmaceutical companies are challenged with keeping
abreast of progress in various clinical trials and the FDA approval
process.
Solution: By consolidating clinical trial information into a
single information store, an organization is empowered to investigate
and report on a variety of metrics. Outcomes of groups of similarly
afflicted patients treated with different drug regimens can be
compared to determine which treatments statistically work better.
Slide 17 : Molecule Database
Challenge: Keeping track of thousands of molecules that have
been developed and all of their characteristics is a daunting task, especially when you have development facilities scattered across the globe.
Solution: Maintaining a database of these molecules can allow
R&D executives and scientists the ability to search for certain characteristics and adverse interactions among them.
Slide 18 : Manufacturing
Manufacturing is a logistically challenging and cost-intensive
component of the business. Three key areas of manufacturing
are imperative; regulatory compliance, cost control, and satisfying
market demand. Manufacturing analysis challenges are ..
Production Analysis
Inventory Tracking
Regulatory Compliance (Am I within CGMP regulations) Production Analysis
Challenge: Producing the correct amount of product to
satisfy market demand can be a daunting task, particularly
when considering seasonal products. What will my demand
be? Will my product inventory adequately supply the demand?
Will delivery devices and packaging be delivered on time?
What are my manufacturing costs and how can I control them?
Slide 19 : Solution: Through an integrated EDW, analysts can analyze historical information and detect seasonal trends, enabling them to predict future demand and ensure that the proper inventory is available.
Inventory Tracking
Challenge: The more money a company has tied up in inventory, the less they have available for other investment. How can a company minimize its inventory while keeping up with demand?
Solution: The EDW can integrate data to determine optimal inventory levels across all product lines. This may use historical values for similar products and prediction factors from market research data.
Slide 20 : Supply Chain Analysis
Challenge: In today’s world of Just In Time (JIT) manufacturing,
knowing when you need to order raw materials for production can
mean the difference between manufacturing delays and excess
material buildup
Solution: Data from ERP, supply chain software, etc. can be used
in business intelligence applications to efficiently manage both
raw materials and packaging material purchasing to eliminate
inventory buildup, waste, and ensure on-time delivery of supplies.
Slide 21 : Vendor Performance
Challenge: Which vendors are more efficient than others?
Who gets me their shipments on time and who is always late?
What are we paying for raw materials among various vendors?
Can cost efficiencies be achieved?
Marketing
Pharmaceutical companies must target product end-users, prescribers, hospitals, and distribution channels. Furthermore, Federal law restricts the amount of information that they can track and use for specific customers.
Slide 22 : Campaign Analysis
Challenge: Because it is difficult to directly track customer behavior in an environment where customer privacy is protected, campaign performance often goes unmeasured. Solution: Through an EDW approach, it is possible to assimilate demographic, campaign and sales performance information to obtain high-level campaign analysis.
Slide 23 : Sales & Distribution
Many pharmaceutical sales reps provide information to physicians
and potential prescribers by discussing product characteristics
and benefits. The goal of these sales representatives is to influence
prescribing habits that may indirectly result in the sale of a product
at the pharmacy.
Some of the key sales analysis challenges are broken out below.
Sales Force Analysis and Compensation
Challenge: Tied closely with finance data, sales performance
ultimately drives sales compensation. It is often difficult to
integrate finance and sales information.
Solution: By creating a cross-reference key between financial
Indicators and purchased sales performance information at the
territory or sales representative level
Slide 24 : Sales Force Support
Challenge: In the pharmaceutical industry, information is
critical to the success of the sales presentation process.
They need to know current business conditions (e.g., new drug
launches), internal measurements (e.g., percent to quota),
external measurements (e.g., percent of market), and why changes
have occurred. Business-to-Business
Challenge: Pharmaceutical companies that use
Business-to-Business systems for customers to
place orders often experience difficulty both
analyzing usage and acceptance of such systems
as well as the resulting order information.
Slide 25 : Thanking YOU Finally
Here is some pharma……. company and some BI vendors …….
Slide 26 :