Deloitte's latest report: the R & D return of large pharmaceutical companies is only 1.2%. How can we improve R & D productivity?

Recently, Deloitte released an analysis report called "2019 global life science outlook" In this report, Deloitte analyzed and predicted the development and trend of global biomedicine, medical devices and life sciences in the future Today, let's share some of the highlights of this report with our readers According to Deloitte's forecast, the global consumption of medical health shows a rapid upward trend It is expected to grow at a CAGR of 5.4% per year in 2018-2022, far higher than the growth rate of 2.9% in 2013-2017 It will exceed $10 trillion in 2022 The rapid growth of health care consumption is due to the continuous improvement of human life expectancy and the increase of non infectious diseases such as cancer, heart disease and diabetes Photo source: reference [2] between 2018 and 2024, the CAGR of global drug sales will be 6.5% The main factors driving this growth are the generation of innovative therapies that can treat critical unmet medical needs, and new drug pricing policies around the world to improve the access of drugs However, according to Deloitte's calculation, the returns of 12 large biomedical companies through drug R & D innovation fell to the lowest level in the past nine years, only 1.9% in 2018, far lower than 10.1% in 2010 The cost of driving a drug to market reached a record $2168 million in 2018 In comparison, small specialty drug development companies outperform large pharmaceutical companies, with their 2018 drug development returns expected to reach 9.3% These small companies play an important role in developing new drugs and promoting innovation Photo source: reference [2] biotechnology products, orphan drugs and car-t therapy will be the areas with outstanding growth in the next few years Among them, the market share of orphan drugs is expected to double in 2024, accounting for 20% of the total market share of prescription drugs It is worth noting that the growth rate of gene and cell therapy in the new generation will continue to accelerate The car-t therapy market is expected to grow at an annual growth rate of 51% in 2018-2030 The research and development of cell and gene therapy is particularly rapid in the United States and China, and there are hundreds of clinical trials in progress China and the United States are leading in the development of cell therapy (photo source: reference [3]) governments around the world are looking for ways to improve drug access so that patients can use affordable good drugs and new drugs In this policy environment, the pipeline of drug research and development of generic drugs and biological similar drugs may be further expanded The U.S FDA has launched a number of measures to promote the development of generic and biological analogues Thanks to the development of medical health analysis technology, artificial intelligence (AI) and blockchain technology, the global individualized therapy market is expected to grow by 11% CAGR in 2017-2024 In 2019, the shift to value-based individualized healthcare requires new platforms to help bring the latest breakthrough targeted therapies to patients FDA plans to set up a new 52 person office of drug evaluation science to improve the review process of new drugs, and develop standardized regulations for the use of personalized medicine, digital data and patient reports In 2019, the strategic focus of seeking external innovation and achieving R & D cooperation, the biomedical field is facing the urgent strategic needs of seeking external innovation Looking for the next generation of innovative therapies in an environment of declining R & D returns means that working with external partners will be one of the key sources of innovation for pharmaceutical companies 2019 could be the start of a new era of collaboration, especially for companies that want to take the lead in next-generation therapies In 2018, according to Deloitte statistics, 93% of the cooperation was conducted in the way of acquiring the rights and interests of product research and development Deloitte expects more cooperation this year to focus on improving the core competitiveness of pharmaceutical companies Pharmaceutical companies need to strengthen their drug R & D pipeline through M&A, obtaining R & D license and strategic cooperation The difference this year is that these collaborations can be more complex and produce innovative structures of cooperation Pharmaceutical companies' adjustments to their drug portfolios will focus on specific core therapies or strengths, so there may be a lot of collaboration around pharmaceutical companies cutting back on non core research projects and products With the digital transformation of every corner in the field of medicine, the new members of the biomedical ecosystem, a new generation of start-ups and technology giants enter the field of biomedical, they will break the status quo in the field of medicine At present, more than 250 start-ups are building gene therapy based on the needs of patients These start-ups have very different cultures in innovation and Life Sciences, and they may prefer to merge with each other to form a new type of company In the era of digital economy, many small companies usually have only one drug R & D project, but they have stronger ability to push the drug under development to the stage of new drug market Although these small companies have limited infrastructure, they can compete with large pharmaceutical companies At the same time, six of the top 10 high-tech companies have entered the field of health care and life sciences Using a deep understanding of consumers, they are developing medical level diagnosis and treatment technologies In 2018, the FDA's decision to approve Apple's apple watch for electrocardiograms shows that regulators are also ready to support these technology companies in entering the healthcare sector According to the latest survey, more than 80% of medical device R & D leaders plan to cooperate with companies or organizations other than medical devices, including technology and medical health companies It is no doubt that expanding the rich digital technology of Internet cooperation ecosystem has helped to establish a rich Internet cooperation ecosystem This ecosystem provides excellent space for value creation, competitive advantage and learning speed However, large-scale interconnected systems also have the risk of being invaded by third parties Data partners, Internet of things (IOT) and medical Internet of things (iomt) companies have been reminding the pharmaceutical sector of potential network risks This requires leaders to establish corresponding management mechanism and cooperate with companies with corresponding risk characteristics The digitalization of medical health improves patients' expectations at the same time, which requires life science leaders to have a deep understanding of patients' experience and expectations when designing the value chain The new trend in the field of outsourcing service large pharmaceutical companies are changing from the traditional outsourcing cooperation mode to the outsourcing mode based on strategy and cooperation relationship This will stimulate biopharmaceutics and data-driven clinical innovation, and enhance product manufacturing capabilities In the future, we will see more companies using outsourcing services to gain expertise, especially in cognitive automation, AI and cloud computing The outsourcing of biomedical companies may promote the growth of the industry The trend of strategic partnership between pharmaceutical companies and academia and cros shows that pharmaceutical companies focus on enhancing R & D capacity through this means Strategic long-term partnerships are essential for pharmaceutical companies to help streamline supply chains and better manage capacity gaps due to the transfer to biologics and personalized medicine, thereby improving product time to market The new direction of external cooperation (photo source: reference [2]) changes the way patients, medical staff and innovators interact by building new partnerships to bring innovation to healthcare digitalization A patient-centered future has begun to emerge In 2019, the way of collaboration will be the key for pharmaceutical companies to interact with patients and regulators, and promote the progress of drug development and medical Internet of things In terms of interaction with patients, patients are becoming partners in designing healthcare experiences In terms of interaction with regulators, pharmaceutical companies are changing their views on regulators and improving their skills for effective cooperation with regulators In drug development, the use of master protocol in clinical trials may play a key role in reducing the risk of R & D projects, improving the quality of evidence and improving the efficiency of R & D Compared with traditional clinical trials, it can not only shorten the recruitment time of patients, but also reduce the cost of clinical trials Impact of master protocols on clinical trials (photo source: reference [2]) revolutionary technologies in the field of life sciences in the era of industry 4.0, the physical, digital and biological worlds will be integrated Forward looking pharmaceutical companies are moving beyond pilot projects to focus on how to use innovative technologies to deliver value Some of the following technologies will drive the digital innovation of life science: artificial intelligence (AI): AI is beginning to be applied to the field of life science to help the intelligent use of data It could revolutionize diagnosis, treatment planning, patient monitoring, and drug development Medical Internet of things (iomt): more and more networked medical devices, together with systems and software supporting medical level data and data exchange, constitute the medical Internet of things Networked medical devices are currently a focus of development Sensors can innovate the way of diagnosis and patients receiving treatment and monitoring Software as a-a-medical-device (samd): software is changing the working mode of clinicians, the mode of consumer management of personal health, and the mode of communication between patients and doctors Shamd is a kind of software that can provide one or more medical functions, which are usually embedded in hardware Some SaMD algorithms have outperformed some doctors in diagnosis Blockchain: blockchain is becoming a powerful solution for simple data collection and secure data sharing in an automated and error free way DIY diagnosis and virtual care: tools to help patients receive care at home can also help make diagnosis faster, and provide 24-hour health consultation and monitoring DIY diagnostic tests that allow patients to do their own can help consumers in low-income or remote areas decide whether their problems need to go to the hospital Related news link: the new path of Chinese pharmaceutical enterprises (medicine magic cube) http://med.sina.com/article'detail'103'2'61217.html