Patient-Focused Network Integration in BioPharma: Strategic Imperatives for the Years Ahead

191 Pages·2013·4.28 MB·English

by  Robert B Handfield

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BioPharma: Strategic Imperatives for the Years Ahead explores patient-
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Strategic Imperatives for the Years Ahead
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K15373 a
ISBN: 978-1-4665-5546-4
Rob Handfield, PhD
90000
www.crcpress.com
9 781466 555464
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K15373 cvr mech.indd 1 5/13/13 10:52 AM

Patient-Focused
Network
Integration
in BioPharma
Strategic Imperatives for the Years Ahead

Patient-Focused
Network
Integration
in BioPharma
Strategic Imperatives for the Years Ahead
Rob Handfield, PhD
CRC Press
Taylor & Francis Group
6000 Broken Sound Parkway NW, Suite 300
Boca Raton, FL 33487-2742
© 2013 by Taylor & Francis Group, LLC
CRC Press is an imprint of Taylor & Francis Group, an Informa business
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Version Date: 20130429
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Contents
Preface ....................................................................................................ix
Acknowledgments .................................................................................xi
About the Author. ...............................................................................xiii
Chapter 1 Patient-Focused Network Integration in
the Life Sciences .................................................................1
Introduction: An Industry in Flux ............................................2
A Multiagent Simulation View .............................................3
A Blueprint for the Future .....................................................5
Growing Adoption of Price Restrictions by
Regulators and Governments ...........................................5
Declining Research and Development
(R&D) Productivity ...........................................................7
Emphasis on Pay for Performance
and Personalized Medicine ..............................................8
Fragmentation of Mass Markets ....................................11
Emergence of Biotech and Biologics .............................11
Biosimilars versus Interchangeable Biologics ..............15
More Restrictive Regulations .........................................16
Increasing Use of Pervasive Monitoring .......................16
Changing Roles of Primary and Secondary Care .......17
Opportunities ........................................................................18
Overview of the Book ..............................................................20
Contents ................................................................................20
Summary ....................................................................................23
Customer Intimacy ...............................................................23
Partnerships with Other Players.........................................24
Cross-Functional Channel Design .....................................24
Chapter 2 An Evolutionary View of Healthcare Network
Integration ........................................................................25
Core Elements for Network Integration ................................30
© 2010 Taylor & Francis Group, LLC v
vi  •  Contents
What Is a Maturity Model? .....................................................30
Governance: Healthcare ...........................................................36
Network Culture ........................................................................37
Performance Analytics ............................................................40
Patient and Disease Management ..........................................42
Administering and Deploying Technologies
and Therapies ............................................................................43
The Case of Orphan Diseases ..................................................45
Comparative Cost-Effectiveness Models ...............................48
Talent and Competency Development ...................................50
The Impetus for Change ...........................................................51
Chapter 3 Healthcare Reform and the Provider
Challenges Ahead .............................................................53
Outlook for Healthcare Providers ..........................................54
Challenges on the Horizon for Biopharmaceutical
Companies in the Hospital Provider Environment ..............57
Personalized Medicine and Pay for Performance ............57
Reimbursement Models .......................................................57
Pay for Performance ........................................................58
Step Edit Therapy .............................................................58
Price Capping ...................................................................59
Outcome-Based Pricing ..................................................59
Accountable Care Organizations ..................................60
Regulatory Forecast for Healthcare Reform ..........................61
Evidence-Based Medicine (EBM):
The Foundation for Pay for Performance ..........................62
Accountable Care Organizations (ACOs) .........................67
Healthcare Supply Chain Maturity ...................................68
Where Are Providers on the Maturity Curve?
The Broken Venn Relationship ...........................................69
Physician View .................................................................71
Hospital Operations ........................................................72
Supply Chain Managers ..................................................73
Suppliers ............................................................................74
Lessons Learned and Future Directions ................................75
Integrated Distribution Network: Joint Replacement
Case Study ..................................................................................77
© 2010 Taylor & Francis Group, LLC
Contents  •  vii
Chapter 4 Supply Chain Network Analytics for the Healthcare
Industry Assessing Best of Breed ....................................83
Introduction ...............................................................................83
Methodology .............................................................................84
Assessing the Spend Management Landscape ................86
Defining Components of Supply Chain Spend
Analytics ................................................................................89
Data Cleansing .................................................................91
Contract Management ....................................................98
Spend Analytics .............................................................101
Technology ......................................................................106
Service/Customer Responsiveness ...............................109
Aggregate Score across Categories ..............................111
Conclusion ................................................................................113
Appendix: Supplier Score Card Key .....................................116
Chapter 5 Electronic Collaboration in Life Sciences Supply
Networks .........................................................................121
Introduction .............................................................................121
Methodology for the Study ...................................................123
Biopharmaceutical Ecosystem .........................................124
What Is the State of Electronic Collaboration
in Biopharma? ....................................................................128
Dearth of Forecasting and Planning Capabilities .....132
Information Gaps in Current Electronic
Collaboration .................................................................134
Performance Metrics That Drive Collaboration:
What to Measure? How Often? ....................................138
Cost of Poor Visibility to Biopharma ..........................140
Characteristics of a Collaborative Supply Network .......143
Chapter 6 Maturing the Clinical Trial Supply Chain ...................145
Finding: Trial Complexity Is Increasing ..............................145
Finding: Multiple Perceptions Exist in Clinical Teams .........146
Concept of SCM Maturity ......................................................149
Clinical Trials Supply Chain Core Processes .................149
© 2010 Taylor & Francis Group, LLC
viii  •  Contents
Results ..................................................................................151
Overall Maturity ............................................................151
Plan: Clinical Supply Chain Planning .............................153
Forecast Accuracy ..........................................................153
Lack of Metrics ...............................................................156
Lack of Standard Processes ..........................................157
Source: Relationship Management with Key
Clinical Suppliers ................................................................158
Make: Management of Clinical Contract
Manufacturers (API, Fill and Finish, Label and Pack) .....160
Deliver: Clinical Logistics and Global Distribution ......164
Conclusions and Recommendations ....................................167
Chapter 7 Blueprint for the Future .................................................171
© 2010 Taylor & Francis Group, LLC