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    Home > Medical News > Medicines Company News > Well-known pharmaceutical company Novartis announced the abolition of employees

    Well-known pharmaceutical company Novartis announced the abolition of employees

    • Last Update: 2021-04-14
    • Source: Internet
    • Author: User
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    Medical News, April 1st, with volume procurement normalized, do we still need so many medical representatives?
     
    1.
    Well-known foreign companies, layoffs
     
    Recently, according to Reuters, Novartis plans to lay off 400 employees and shut down a gene therapy company that it opened in the United States only two years ago because Zolgensma's sales momentum stagnated last year.
     
    According to US media reports including the Denver Business Journal, Novartis closed its Longmont, Colorado plant after acquiring it from AstraZeneca in 2019.
    According to company data, Zolgensma is a one-time drug used to treat spinal muscular atrophy, with sales of US$254 million in the fourth quarter and approximately US$291 million in the third quarter.
     
    Personnel changes caused by poor product sales are common internationally.
    Domestically, it is no exception.
    In China, it is mainly manifested as changes in the sales team with volume procurement products: Recently, a number of foreign pharmaceutical companies have announced staff adjustments and layoffs, including the adjustment of the fourth batch of unsuccessful product sales market teams.
    , Intended to maintain the core mature market.
     
    To some extent, few foreign companies can fully embrace mass procurement.
    Therefore, if they abandon the centralized procurement market, they must re-adjust their future strategic development.
    The abolition of sales teams is just a microcosm of foreign companies under the centralized procurement policy.
     
      Senior medical representative Joe said to Cyberland: The current response strategy of foreign companies to centralized procurement is to abolish and reduce the size of the team that may purchase products in the future, outsourcing products that are not well done, merging between mature products, and focusing on the layout of innovative drugs.
    .
     
      "In fact, the innovative drugs of various foreign companies are already in the early stages of high-speed listing.
    " Joe frankly said.
     
      2.
    Three adjustments of foreign companies, personnel adjustments have become inevitable
     
      Zhao Jiazhen, director of the marketing department of Chongqing Duoputai Pharmaceutical Co.
    , Ltd.
    , told Cyberland: Many foreign companies are laying off employees, and the above-mentioned pharmaceutical companies are just one case-they are not only laying off employees, but also abandoning products.
    There are several main reasons: the advancement of consistency evaluation, the creation of a new competitive landscape for over-evaluated generic drugs, and the price reduction of mass purchases, the competitiveness of foreign pharmaceutical companies is not enough.
    In fact, their core competitiveness is the brand recognition of the product and the level of patients.
     
      He believes: The products of foreign pharmaceutical companies are mainly adjusted in three steps.
    First, it is the so-called "bad" products, which are mainly manifested in their relatively high competitiveness, with more generic drugs competing, and the market share of original research drugs is not high; and the impact of mass procurement is superimposed on enterprises.
    They may give up and choose to outsource, or find a suitable CSO to transfer the drug promotion rights to other companies.
    Following this, the product channels will change, and outsourcing companies will consider doing some articles on the grassroots third terminal or even the retail market.
    After all, the brand recognition of foreign companies is still relatively high.
     
      The second is mature products, which are products that the company has sold well before, such as some varieties of high blood pressure and diabetes-these varieties have patient awareness, and after years of construction of expert networks, patients and expert brands Awareness is relatively high.
    Even if foreign-funded pharmaceutical companies give up bulk purchases, they can also deploy self-funded markets, out-of-hospital markets, and retail markets.
     
      Often when patients are treated, they not only consider the price of the product, but also consider whether the product can solve their own disease and solve their own problems.
    Therefore, the core work of foreign companies lies in the empowerment of core experts and networks, and the education of patients.
     
      Zhao Jiazhen added: The third strategy of foreign pharmaceutical companies is to vigorously develop new specialty drugs and innovative drugs.
    Because the core competitiveness of foreign companies for many years is their new specialty drugs and innovative research and development capabilities.
     
      of course.
    Now some new specialty drugs and innovative drugs will not have a particularly large share of sales in hospitals at the beginning .
    However, it is worth noting that if there is a substantial increase in product sales, it may be subject to medical insurance requirements and control in the future.
     
      Therefore, since it is said to be new specialty drugs or innovative drugs, the prices of these drugs may inevitably be very high.
    In the future, these drugs will not necessarily follow the path of medical insurance.
    Pharmaceutical companies are thinking more about creating new medical opportunities and finding doctors’ pain points to solve problems.
    This kind of sales channel is firstly at the hospital's own expense, and secondly, DTP can be considered.
    Zhao Jiazhen thinks.
     
      The three strategic adjustments of foreign companies will inevitably bring about changes in the personnel of medical representatives, which ushered in an eternal topic: Will there still be so many medical representatives in the future?
     
      Nowadays , the hierarchical approach of national centralized procurement + provincial/interprovincial + municipal volume pharmnet.
    com.
    cn/news/yyzb/" target="_blank">procurement has become the consensus of the industry.
    Will there be more personnel changes in the future? In particular, the normalization of volume procurement means that there is less demand for the position of our pharmaceutical representative?
     
      Joe believes that in the future, medical representatives will need more skills.
    It is a bit like the Roche ecosystem.
    The marketing department, medical department, and sales department are required to be done by medical representatives.
    In short, it means more than one job.
    Therefore, it is inevitable to reduce the number of people.
      Medical News, April 1st, with volume procurement normalized, do we still need so many medical representatives?
     
      1.
    Well-known foreign companies, layoffs
     
      Recently, according to Reuters, Novartis plans to lay off 400 employees and shut down a gene therapy company that it opened in the United States only two years ago because Zolgensma's sales momentum stagnated last year.
     
      According to US media reports including the Denver Business Journal, Novartis closed its Longmont, Colorado plant after acquiring it from AstraZeneca in 2019.
    According to company data, Zolgensma is a one-time drug used to treat spinal muscular atrophy, with sales of US$254 million in the fourth quarter and approximately US$291 million in the third quarter.
     
      Personnel changes caused by poor product sales are common internationally.
    Domestically, it is no exception.
    In China, it is mainly manifested as changes in the sales team with volume procurement products: Recently, a number of foreign pharmaceutical companies have announced staff adjustments and layoffs, including the adjustment of the fourth batch of unsuccessful product sales market teams.
    , Intended to maintain the core mature market.
     
      To some extent, few foreign companies can fully embrace mass procurement.
    Therefore, if they abandon the centralized procurement market, they must re-adjust their future strategic development.
    The abolition of sales teams is just a microcosm of foreign companies under the centralized procurement policy.
     
      Senior medical representative Joe said to Cyberland: The current response strategy of foreign companies to centralized procurement is to abolish and reduce the size of the team that may purchase products in the future, outsourcing products that are not well done, merging between mature products, and focusing on the layout of innovative drugs.
    .
     
      "In fact, the innovative drugs of various foreign companies are already in the early stages of high-speed listing.
    " Joe frankly said.
     
      2.
    Three adjustments of foreign companies, personnel adjustments have become inevitable
     
      Zhao Jiazhen, director of the marketing department of Chongqing Duoputai Pharmaceutical Co.
    , Ltd.
    , told Cyberland: Many foreign companies are laying off employees, and the above-mentioned pharmaceutical companies are just one case-they are not only laying off employees, but also abandoning products.
    There are several main reasons: the advancement of consistency evaluation, the creation of a new competitive landscape for over-evaluated generic drugs, and the price reduction of mass purchases, the competitiveness of foreign pharmaceutical companies is not enough.
    In fact, their core competitiveness is the brand recognition of the product and the level of patients.
     
      He believes: The products of foreign pharmaceutical companies are mainly adjusted in three steps.
    First, it is the so-called "bad" products, which are mainly manifested in their relatively high competitiveness, with more generic drugs competing, and the market share of original research drugs is not high; and the impact of mass procurement is superimposed on enterprises.
    They may give up and choose to outsource, or find a suitable CSO to transfer the drug promotion rights to other companies.
    Following this, the product channels will change, and outsourcing companies will consider doing some articles on the grassroots third terminal or even the retail market.
    After all, the brand recognition of foreign companies is still relatively high.
     
      The second is mature products, which are products that the company has sold well before, such as some varieties of high blood pressure and diabetes-these varieties have patient awareness, and after years of construction of expert networks, patients and expert brands Awareness is relatively high.
    Even if foreign-funded pharmaceutical companies give up bulk purchases, they can also deploy self-funded markets, out-of-hospital markets, and retail markets.
     
      Often when patients are treated, they not only consider the price of the product, but also consider whether the product can solve their own disease and solve their own problems.
    Therefore, the core work of foreign companies lies in the empowerment of core experts and networks, and the education of patients.
     
      Zhao Jiazhen added: The third strategy of foreign pharmaceutical companies is to vigorously develop new specialty drugs and innovative drugs.
    Because the core competitiveness of foreign companies for many years is their new specialty drugs and innovative research and development capabilities.
     
      of course.
    Now some new specialty drugs and innovative drugs will not have a particularly large share of sales in hospitals at the beginning .
    However, it is worth noting that if there is a substantial increase in product sales, it may be subject to medical insurance requirements and control in the future.
     
      Therefore, since it is said to be new specialty drugs or innovative drugs, the prices of these drugs may inevitably be very high.
    In the future, these drugs will not necessarily follow the path of medical insurance.
    Pharmaceutical companies are thinking more about creating new medical opportunities and finding doctors’ pain points to solve problems.
    This kind of sales channel is firstly at the hospital's own expense, and secondly, DTP can be considered.
    Zhao Jiazhen thinks.
     
      The three strategic adjustments of foreign companies will inevitably bring about changes in the personnel of medical representatives, which ushered in an eternal topic: Will there still be so many medical representatives in the future?
     
      Nowadays , the hierarchical approach of national centralized procurement + provincial/interprovincial + municipal volume pharmnet.
    com.
    cn/news/yyzb/" target="_blank">procurement has become the consensus of the industry.
    Will there be more personnel changes in the future? In particular, the normalization of volume procurement means that there is less demand for the position of our pharmaceutical representative?
     
      Joe believes that in the future, medical representatives will need more skills.
    It is a bit like the Roche ecosystem.
    The marketing department, medical department, and sales department are required to be done by medical representatives.
    In short, it means more than one job.
    Therefore, it is inevitable to reduce the number of people.
      Medical News, April 1st, with volume procurement normalized, do we still need so many medical representatives?
     
      1.
    Well-known foreign companies, layoffs
      1.
    Well-known foreign companies, layoffs
     
      Recently, according to Reuters, Novartis plans to lay off 400 employees and shut down a gene therapy company that it opened in the United States only two years ago because Zolgensma's sales momentum stagnated last year.
     
      According to US media reports including the Denver Business Journal, Novartis closed its Longmont, Colorado plant after acquiring it from AstraZeneca in 2019.
    According to company data, Zolgensma is a one-time drug used to treat spinal muscular atrophy, with sales of US$254 million in the fourth quarter and approximately US$291 million in the third quarter.
     
      Personnel changes caused by poor product sales are common internationally.
    Domestically, it is no exception.
    In China, it is mainly manifested as changes in the sales team with volume procurement products: Recently, a number of foreign pharmaceutical companies have announced staff adjustments and layoffs, including the adjustment of the fourth batch of unsuccessful product sales market teams.
    , Intended to maintain the core mature market.
     
      To some extent, few foreign companies can fully embrace mass procurement.
    Therefore, if they abandon the centralized procurement market, they must re-adjust their future strategic development.
    The abolition of sales teams is just a microcosm of foreign companies under the centralized procurement policy.
     
      Senior medical representative Joe said to Cyberland: The current response strategy of foreign companies to centralized procurement is to abolish and reduce the size of the team that may purchase products in the future, outsourcing products that are not well done, merging between mature products, and focusing on the layout of innovative drugs.
    .
     
      "In fact, the innovative drugs of various foreign companies are already in the early stages of high-speed listing.
    " Joe frankly said.
     
      2.
    Three adjustments of foreign companies, personnel adjustments have become inevitable
     
      Zhao Jiazhen, director of the marketing department of Chongqing Duoputai Pharmaceutical Co.
    , Ltd.
    , told Cyberland: Many foreign companies are laying off employees, and the above-mentioned pharmaceutical companies are just one case-they are not only laying off employees, but also abandoning products.
    There are several main reasons: the advancement of consistency evaluation, the creation of a new competitive landscape for over-evaluated generic drugs, and the price reduction of mass purchases, the competitiveness of foreign pharmaceutical companies is not enough.
    In fact, their core competitiveness is the brand recognition of the product and the level of patients.
     
      He believes: The products of foreign pharmaceutical companies are mainly adjusted in three steps.
    First, it is the so-called "bad" products, which are mainly manifested in their relatively high competitiveness, with more generic drugs competing, and the market share of original research drugs is not high; and the impact of mass procurement is superimposed on enterprises.
    They may give up and choose to outsource, or find a suitable CSO to transfer the drug promotion rights to other companies.
    Following this, the product channels will change, and outsourcing companies will consider doing some articles on the grassroots third terminal or even the retail market.
    After all, the brand recognition of foreign companies is still relatively high.
    Enterprise enterprise enterprise medicine medicine medicine
     
      The second is mature products, which are products that the company has sold well before, such as some varieties of high blood pressure and diabetes-these varieties have patient awareness, and after years of construction of expert networks, patients and expert brands Awareness is relatively high.
    Even if foreign-funded pharmaceutical companies give up bulk purchases, they can also deploy self-funded markets, out-of-hospital markets, and retail markets.
     
      Often when patients are treated, they not only consider the price of the product, but also consider whether the product can solve their own disease and solve their own problems.
    Therefore, the core work of foreign companies lies in the empowerment of core experts and networks, and the education of patients.
     
      Zhao Jiazhen added: The third strategy of foreign pharmaceutical companies is to vigorously develop new specialty drugs and innovative drugs.
    Because the core competitiveness of foreign companies for many years is their new specialty drugs and innovative research and development capabilities.
     
      of course.
    Now some new specialty drugs and innovative drugs will not have a particularly large share of sales in hospitals at the beginning .
    However, it is worth noting that if there is a substantial increase in product sales, it may be subject to medical insurance requirements and control in the future.
    Hospital hospital hospital
     
      Therefore, since it is said to be new specialty drugs or innovative drugs, the prices of these drugs may inevitably be very high.
    In the future, these drugs will not necessarily follow the path of medical insurance.
    Pharmaceutical companies are thinking more about creating new medical opportunities and finding doctors’ pain points to solve problems.
    This kind of sales channel is firstly at the hospital's own expense, and secondly, DTP can be considered.
    Zhao Jiazhen thinks.
     
      The three strategic adjustments of foreign companies will inevitably bring about changes in the personnel of medical representatives, which ushered in an eternal topic: Will there still be so many medical representatives in the future?
    Medicine Medicine Medicine
     
      Nowadays , the hierarchical approach of national centralized procurement + provincial/interprovincial + municipal volume pharmnet.
    com.
    cn/news/yyzb/" target="_blank">procurement has become the consensus of the industry.
    Will there be more personnel changes in the future? In particular, the normalization of volume procurement means that there is less demand for the position of our pharmaceutical representative?
    pharmnet.
    com.
    cn/news/yyzb/" target="_blank">Procurementpharmnet.
    com.
    cn/news/yyzb/" target="_blank"> Procurement Procurement
     
      Joe believes that in the future, medical representatives will need more skills.
    It is a bit like the Roche ecosystem.
    The marketing department, medical department, and sales department are required to be done by medical representatives.
    In short, it means more than one job.
    Therefore, it is inevitable to reduce the number of people.
    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

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