Key Strategic Priorities for Pharma CEOs

Fulfilling pharmaceutical opportunities in the 21st century

Most CEOs of large pharmaceutical companies recognize that executing business as usual is not going to be sufficient as their business world has become more competitive, unpredictable and risky. 

Faster technological change, greater competition, the over-regulation of markets, longer time frame to develop a drug, lack of top quality scientists, and the changing demographics of the work-force are among the many factors that have contributed to this shift. The net result is that doing what was done yesterday, or doing it 5% better, is no longer a formula for future success.

So, how should the CEOs of large pharmaceutical companies go about making the necessary changes happen and what are their strategic priorities to capitalize the opportunities in the 21st century (see Figure above)?

The pharmaceutical industry is one of the most profitable of all industries and making cultural changes in these highly profitable companies, where “superior” feeling exists in most corners of the organization, make CEOs job increasingly tough.

But, smart CEOs know that past and current profitability of their companies provide no guarantee to future profitability and success. 

Leading cultural change is the ultimate test since no business survives over the long term if it can’t reinvent itself. Reinvention is not changing what is, but creating what isn't. But, human nature being what it is, fundamental culture change is frequently resisted mightily by the people it most affects - those in the trenches of the business.

(Abstract from the source: “ Opportunities for pharmaceutical companies in the 21 st century ” by Sukhendu Pal, Managing Partner, Centrix │CENTRIX – Thinking business technology │ Confidential © Centrix 2008)