The pharmaceutical industry today is in a state of flux as it tries to maintain a delicate balance between the need for novel blockbuster drugs and the need for improved operational efficiencies in an increasingly competitive market space.
As healthcare is becoming increasingly democratized, patients are emerging as key decision makers—digitally enabled by the entry of non-traditional tech companies such as Apple, Facebook, and Google—pushing pharmaceutical companies to go beyond-the-pill. However, in the midst of this chaos, there are pioneering companies offering solutions that apply cutting-edge technologies to build digital convergence across the pharmaceutical value chain.
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Disruptive innovations driving growth within the pharmaceuticals industry include:
- Application of AI and big-data analytics, by companies such as Benevolent AI and Exscientia, to crunch through structured and unstructured data is expected to improve drug discovery success rates.
- Virtualization of clinical trials, by Science 37 and Transparency Life Science, by using cloud and mobile-based models transforming trials methodologies and reducing timelines and errors.
- Application of IoT models and blockchain-based methodologies in operations and supply chains will reduce inefficiencies and improve functional visibility, as provided by Elemental Machines and iSolve.
- Novel e-commerce, digitally-enabled pharmacies such as PillPack, and distribution models will reduce costs and improve access to novel treatments;
- Improved patient connect using AI-enabled patient focused mobile apps as well as use of big-data analytics to improve patient care and drug adherence as provided by companies such as Proteus Digital Health and uMotif
- Using mergers and acquisitions (M&A) to build life science digital capabilities, for example, Roche’s acquisition of Flatiron.
“We expect digitalization to continue driving the evolution across the pharmaceutical value chain,” said Goswami. “To avail themselves of the opportunities for growth, vendors will need to rely on strategic commercial engagements and R&D alliances, along with developing proprietary and patented technology as per patient needs.” Digital Transformation In Pharmaceuticals Industry, 2018, Companies-To-Action, is part of Frost & Sullivan’s Transformational Health Growth Partnership Service program.