What role does business intelligence play in the pharma sector?
Source: Prasanth Aby Thomas, Consultant Editor
Business intelligence (BI) solutions are becoming more and more popular in several industries as companies continuously explore strategies to get ahead of the competition. In the pharmaceutical business, there are two separate challenges. One is research and development of new drugs and the other ensuring breakthroughs are made before the competition. Read more about such challenges here
Data from ResearchandMarkets suggest that global healthcare
BI market accounted for US$3.8 billion in 2017 and is expected to reach $15.9 billion by 2026 growing at a CAGR of 17.4 percent. Cost concerns and data-driven medical decisions are some of the factors driving this growth.
According to ChristianSteven, a BI firm that provides solutions to the pharmaceutical industry, there are four different areas where the technology is put in use in this field. In a recent post, the company elaborated on these areas and how they contribute to the manufacturers.
Monitoring huge amounts of data generated across a company’s vast network is important to their business operations. This data should also be turned into actionable information that can be used to help improve business. Sources of information that needs to be tracked in this way also include supply networks, production levels, and product qualities. Besides this, costs, employee productivity, operational efficiency, etc., should also be tracked to ensure resources are used effectively.
“Increased challenges in the pharmaceutical industry dictate that pharmaceutical companies stay ahead of the competition,” notes ChristianSteven. “Business intelligence provides pharmaceutical companies with in-depth analytical reports, graphics dashboards, and unlimited user access. With all this information integrated from multiple sources, they can operate more efficiently, optimize their competitive edge, and increase revenue.”
Clinical data analysis
Bringing products to the market at the fastest pace possible while maintaining costs at the lowest possible rate is one of the major challenges for pharmaceutical companies. Management of clinical data becomes critical here, as they are at the core of the product that these companies deliver. Results of clinical trials and tests, for instance, need to be constantly monitored and data generated from them should be put to proper use.
“Business intelligence software has the analytical capabilities to track all of this information, identify the most efficient practices, and enhance resource distribution,” ChristianSteven points out. “Furthermore, by gathering data from multiple sources, business intelligence enables pharmaceutical companies to identify trends and inconsistencies as well as scrutinize risks during product development and launch.”
Every year, pharmaceutical companies across the globe spent exorbitant sums for marketing. Naturally, they need to know how much of this money is actually leading to sales. Tracking sales performance and consumer behavior is essential to improve marketing strategies including better distribution of budget.
“Using relevant KPIs such as customer segmentation, campaign analysis, and market share analysis, business intelligence allows companies to identify the products that are the most profitable, monitor consumer behavior pertaining to prescription renewals and product purchases, chart the success of marketing campaigns, and analyze profitability by product, customer, demographics, and other factors,” says ChristianSteven.
At the end of the day, the performance of every business comes down to how well it is able to manage the money it has, and it makes. Financial data is an integral part of any commercial enterprise and closely monitoring it to know where the money goes and what results they bring in is inevitable.
BI solutions help pharmaceutical companies monitor their financial transactions and predict requirements and issues well in advance. Such a proactive approach will help the company avoid or remain prepared for any untoward situations. BI solutions are also capable of producing quarterly, annual, and other financial reports that are mandatory.