Opportunities: Advancing the Pharmaceutical Industry

Through Mobile Technologies

An ArcStream Solutions White Paper

 

This paper briefly explores why mobile solutions are sweeping the pharmaceutical industry. It gives a high-level overview of some exciting mobile opportunities, and invites you to consider how you might leverage these and similar opportunities in your own organization today.

The pharmaceutical and biotech industries are enjoying a time of tremendous opportunity. Phenomenal strides have been made in producing more effective drugs and treatments to improve the quality and length of human life. An aging population and growing demand for life-enhancing drugs promise an even healthier future.

Technology is responsible for where pharmaceutical and biotech companies are today, and offers even greater opportunities going forward. Already a vital enabler of research, technology is also essential to other functions from clinical trials to commercialization. New technologies, especially mobile solutions, that streamline these processes, speed time-to-market and empower sales forces, are rapidly being deployed. Mobile technologies offer perhaps the greatest benefits, as they are uniquely suited to the types of distributed work involved in research, clinical trials, physician detailing, patient monitoring and even internal business operations.

Balancing these tremendous opportunities are challenges. No doubt, pharmaceutical companies have their work cut out for them. But help, in the form of powerful mobile applications, is on the way.

  • On the marketing front, competition has become more aggressive, with pharmaceutical companies spending $15 billion in 2000 to market products.1 Capturing and protecting market share is essential to recoup rising R&D costs, yet windows of exclusivity are shrinking, and gaining mind share is an uphill battle as hordes of competitors vie for the limited attention of physicians and other influencers.

How can mobile technologies help sales and marketing efforts? Mobile solutions such as e-detailing provide welcome tools to reach information-saturated constituents. Sales representatives equipped with complete marketing information on handheld devices are increasing the effectiveness of detail visits. Pharmaceutical companies are able to contact physicians directly by sending information to their wireless devices.

  • On the financial front, Wall Street is demanding ever-higher returns and full pipelines of promising drugs. Consequently, pharmaceutical companies are in a dollar-intensive race to discover more blockbuster drugs and bring them to market even faster. In 2000 alone, pharmaceutical companies spent $54 billion on research,2 with some directing 20% of revenues to the effort.3 Drug development costs have soared to an average of $900 million per new drug,4 and development times, from synthesis to approval, are at an all-time high of 15 years.4

How can mobile technologies help the development process? Pharmaceutical companies are turning to mobile applications to make the R&D process more efficient and cost-effective, and speed drugs to market. In the research phase, mobile applications are hastening data collection and integration, providing a faster path to trials. In the clinical phase, mobile applications are enabling more timely collection and analysis of data, reducing protocol violations and assisting investigators in administering trials.

  • On the regulatory front, pharmaceutical companies must cope with growing scrutiny from government bodies and a complex regulatory regime, while simultaneously running a profitable business. Despite recently enacted regulations, such as 21 CFR Part 11, blessing electronic data capture, compliance remains burdensome. Evolving guidelines for record keeping, patient confidentiality and laboratory operations demand painstaking attention to detail. The consequences of unintentional non-compliance are delays, which translate into lost opportunities.

How can mobile technologies help with compliance? Judicious use of mobile applications in the development process can dramatically improve compliance levels. Researchers, physicians and other personnel can access guidelines, protocols, training materials and forms from handheld devices, helping them avoid violations and observe full compliance.

Fortunately, the climate couldn't be better to move ahead on mobile initiatives. Powerful yet inexpensive hardware, sophisticated software, robust infrastructures and tighter security are enabling pharmaceutical companies to apply mobile technologies in innovative ways. In fact, mobile applications are permeating the larger healthcare industry. E-prescription applications allow physicians to transmit prescriptions electronically to pharmacies and review related drug information. E-laboratory applications let doctors order clinical tests and view results. E-practice applications allow medical professionals to capture charges, submit claims, and review formularies. E-diaries allow clinical trial patients to record and transmit study information remotely.

A World of Opportunities

When it comes to mobile applications, the opportunities are endless. E-prescriptions, e-practice and e-diaries are but a few examples. Let's take a look at some of the other opportunities that you should consider.

Opportunity One: Drug Discovery

From initial synthesis to the submission of new drug applications (NDAs), pharmaceutical companies conduct significant amounts of expensive research to win approval for new drugs. Mobile applications promise to streamline R&D processes, reduce reliance on paperwork, improve the accuracy of data, and save time and costs. The result is a faster path to NDA submission and clinical trials. Here are some ways that mobile solutions are enabling R&D processes.

Issues

Mobile Improvements

Business Benefits

Research laboratories and facilities are geographically distributed, making data collection and integration burdensome

Mobile applications allow independent researchers and facilities to communicate, and enable synching and transmission of data to a central repository in a timely manner

Reduced reliance on paperwork and manual data entry

Increased efficiency

Lower operating costs

Less opportunity for human error, inaccuracy, missing data

Voluminous data resides in conflicting formats -- researchers' handwritten notes and outputs from laboratory instruments -- and must be integrated and put into electronic format, often manually

Mobile devices such as IBM's TransNote ThinkPad laptop allow researchers to record and submit notes in a common, electronic format, enabling automatic and quick integration

Timely and automatic data collection

Earlier availability of data

Faster path to NDA submission and clinical trials

The integrity and security of physical environments must be ensured

Using chips, locator devices and wireless networks, laboratories can track and monitor sensitive equipment and assets

Avoid compromised data, breaches in research environment

Increase reliability of data

Avoid costly re-works and delays

Mobile laboratory "assets" -- equipment, animals, chemicals, etc. -- require tracking and monitoring

Mobile applications can monitor laboratory assets, and also assist in tracking and finding assets that are moved among physical locations

Locate assets

Protect investments

Reduce theft, loss and damage

Comply with regulations

 

Opportunity Two: Drug Development

The most time-consuming stage of bringing a new drug to market is the development phase (clinical trials in phases I through IV). Two factors make clinical trials particularly amenable to mobile solutions. First, a clinical trial is inherently distributed, involving multiple sites and players that are on the move. Second, trial investigators must perform a variety of administrative tasks, all in strict compliance with protocol and guidelines that aren't always easily accessible. Mobile technologies can improve the development process by enabling communication, and more timely information sharing among parties; by increasing the effectiveness of trial site administration; by aiding cost control efforts; and by accelerating time to market. Here are some ways that mobile solutions are enabling the drug development process.

Issues

Mobile Improvements

Business Benefits

Mobility of parties makes it difficult to communicate, share current information in a timely manner, collect data and schedule meetings and training

Mobile applications allow parties to communicate at will, synch and transmit data and documentation (CRFs, drug logs, etc.), share notes and calendars, and schedule appointments

Improved communications

Earlier and more timely sharing of information

More effective trial site administration, accounting, site closure and audits

Better cost control

Trial monitors and investigators must understand and observe a plethora of strict rules for trial management and compliance with regulations

Mobile applications can provide monitors and investigators with to-do lists and other guides to trial rules and management, and automate the production of audit trails through data and time stamping to comply with regulations

Better trial management

Improved compliance

Better cost control

Investigators must perform a variety of tracking tasks and fill out paperwork for patient screening and enrollment, drug usage, budgets, supplies, CRFs, adverse events, biological samples, etc.

Mobile applications can assist investigators in performing all tracking tasks by creating forms for patient screening and enrollment, drug regimens and ordering supplies, etc.; and by printing labels and handling information for biological samples

Fewer exclusions and invalidations

Fewer protocol violations

Increased compliance

Better cost control

Timely collection, analysis and validation of patient clinical data is difficult due to unautomated data capture methods. Accuracy and reliability of data is suspect, inconsistencies are prevalent, and data collection and transmission occurs irregularly

Mobile applications prompt patients to record required clinical data and information in prescribed, common, electronic formats. Enables quick, timely and easy transmission of data to central repository for analysis, reaction and trial adjustment. Fulfills regulatory compliance.

More efficient data collection

Improved data accuracy and quality

Accelerated time to market

Essential to train investigators in conducting and administering trials, completing CRFs, and avoiding protocol violations, but scheduling time is difficult, and lengthy documents preclude easy reading, retention and reference

Store a variety of trial documents (protocols and potential violations, clinical practice tutorials, rules for sample handling, inclusion/exclusion criteria, annotated CRF templates) on investigators' mobile devices for easy reference

Better trial management

More accurate administrative records

Improved regulatory compliance

Fewer protocol violations

Better cost control

Quicker report generation

Accelerated time to market

 

Opportunity Three: Commercialization

In the highly competitive pharmaceutical industry, capturing and protecting market share is a costly necessity. Complicating this task is the complexity of the information that must be conveyed, and the variety of constituents (consumers, physicians, insurers, pharmacies, etc.) that must be reached. With major markets saturated with sales representatives, the number of effective detail visits is dropping dramatically.5

Mobile technologies, specifically electronic detailing, are allowing pharmaceutical companies to develop more cost-effective marketing and communication channels. They enable rich information sharing with customers and prospects; make detail visits more effective; limit the need for follow-on visits; and reduce administrative overhead. Mobile applications are enabling commercialization efforts in these ways:

Issues

Mobile Improvements

Business Benefits

Major markets saturated with sales reps; physicians overloaded with information; duration of effective details shrinking

Use mobile applications to perform e-detailing. Reach physicians through emails, online advertisements and other electronic information sent directly to handheld devices

Ability to share rich information

Greater number of effective details

More cost-effective details

Gain greater mind share and market share

Reach physicians in remote areas

Ability to convey complex, accurate and complete drug information in short windows of time

Arm sales reps with mobile devices containing complete, up-to-date marketing information; synch information on periodic basis

Ability to convey rich information

More productive detail visits

Limit need for follow-on detail visits

Promote and leverage adoption of handheld devices in physician community

Sponsor (to some extent) the supply of mobile applications and devices to physicians in exchange for increased access, content posting, etc.

Develop more cost-effective marketing and communication channels

Completing administrative tasks in a timely manner from the field

Outfit sales reps with mobile applications to perform administrative chores such as expense reporting, drug sample logs, etc.

Reduce administrative overhead

Better cost control

 

Opportunity Four: Patient Compliance and Utilization

Getting patients to take the medications prescribed by their physicians, at the proper dosage and for the specified period of time, is a tough challenge for doctors, insurers and pharmaceutical companies. From a health perspective, patients compromise their treatment when they fail to follow their drug regimens. From a financial perspective, pharmaceutical companies are losing revenues in situations where they have already won the sale. Mobile applications that can help boost compliance levels and increase utilization are advantageous for all parties. Moreover, wireless devices provide a cost-effective way to monitor and communicate with patients, particularly in remote areas.

Issues

Mobile Improvements

Business Benefits

Drug and treatment effectiveness are compromised when patients fail to comply with drug regimens

Physician mobile applications can track and show prescription histories, including whether a patient filled a new prescription and/or obtained a refill on time.

Raise compliance rates

Increase drug utilization

Promote drug effectiveness

Maximize revenues

Revenues fail to reach anticipated levels when patients under-utilize prescribed drugs

Mobile applications like those cited above, plus other innovations -- smart chips embedded in prescription containers; email alerts for drug expirations, renewals; wireless messages prompting patients to take drugs

Raise compliance rates

Increase drug utilization

Promote drug effectiveness

Maximize revenues

Opportunity Five: Internal Operations

Just like companies in other industries, pharmaceutical and biotech companies can benefit by applying mobile applications to a variety of internal functions, and using them to complement existing intranets, executive dashboards, email systems and other employee-facing applications. Examples include mobile applications that can facilitate:

  • Scheduling and dispatching maintenance crews within facilities
  • Short message transmission for quick communication
  • Retrieval of company-specific information such as telephone directories, benefits policies, etc.
  • Expediting approvals, authorizations, and other notifications tied to the purchasing function
  • Asset tracking in warehouses, distribution centers, shipping, etc.

 

Why Start Now?

Why start investigating mobile applications now? For three good reasons: healthcare professionals everywhere, and your competitors, are turning to them; the regulatory environment is accommodating them; and technology is enabling them.

Your Constituents and Your Competitors

From e-prescription, e-laboratory, e-practice and e-diary applications, mobile solutions are becoming the norm. Even physicians-to-be are graduating from medical school more technically savvy and wireless addicted than their predecessors. Just consider Harvard Medical School (HMS). To enhance student learning and improve access to information, HMS developed a mobile solution, the MyCourses ™ Mobile Platform, which provides the faculty with more accurate data for monitoring and evaluating students' progress throughout their medical school program, and gives students access to course calendars, class notes and syllabi. New physicians, like these HMS graduates, will have no aversion to using mobile applications, and will likely demand them as part of their jobs.

Not only are physicians jumping on the mobile bandwagon, pharmacies, insurers and even your competitors are taking the plunge too. SmithKlineBeecham was an early sponsor of electronic patient diaries. Eli Lilly is experimenting with the use of handheld devices by physicians. Johnson & Johnson is partnering with private handheld companies. Aventis launched a web site accessible by WAP (wireless application protocol) devices. Pfizer, IBM and Microsoft are starting a company to market wireless software and services for physicians including e-practice and e-prescription applications. Tufts Health Plan in Massachusetts is outfitting its physicians with handheld devices and e-prescription applications.

The Regulatory Environment

Operating within a highly regulated industry, pharmaceutical companies are rightfully cautious when it comes to pushing the envelope with new technologies. When it comes to mobile applications, however, they need no longer be timid. The Federal Drug Administration (FDA) has effectively blessed electronic data capture (EDC) with the promulgation of 21 CFR Part 11. These regulations give the pharmaceutical and biotech industries the guidance to move forward with new technologies and to embrace electronic forms of data capture, signatures, auditing and archival. Imminent Guidance for Industry documents on these regulations is intended to give the industry even more comfort, and allow widespread adoption of various forms of EDC.

Enabling Technologies

Enabling technologies for wireless and mobile solutions have hit prime time. What's more, they are safe and reliable, and capable of supporting the unique regulatory needs of the pharmaceutical industry. Just as mainframe and server-based applications can be designed to fully support compliance, so too can mobile applications. Mobile applications have the ability to reproduce consistent results on demand, can generate time stamps and other audit trails, and are amenable to current validation and archival methods.

  • Security is better than ever. A variety of techniques, from encryption to firewalls to virtual private networks, make it virtually impossible to compromise mobile solutions. These same security measures are being used to great success right now by the financial services industry, an industry with heightened security and confidentiality requirements similar to the pharmaceutical industry.
  • Wireless infrastructures are more robust. National carriers and regional operators have now created an extensive wired and wireless network, providing virtually nationwide coverage. Evolving wireless capabilities and broadband services promise ever more powerful mobile applications.
  • Technology platforms are stable, reliable and affordable. Increased standardization makes it cost-effective to develop and deploy mobile applications, and aids adoption rates among the extended community of healthcare professionals from physicians to patients to insurers.
  • Wireless devices are becoming more ubiquitous, powerful and affordable than ever. From Palm devices to Pocket PCs, there are many options to satisfy the unique requirements of researchers, sales representatives, physicians and patients.

 

In Conclusion

Mobile solutions are fast becoming mainstream throughout the healthcare industry. From medical students to physicians and pharmacists, mobile solutions are appearing everywhere. This acceptance is hardly surprising given the overwhelming opportunities to gain breakthrough improvements from mobile applications. For pharmaceutical companies, mobile applications can increase the effectiveness of detail visits, improve the efficiency of the R&D process, speed clinical trials and streamline internal operations. Whether you need to increase your market share, shorten your discovery and development cycles, speed time to market for new drugs, or outflank your competitors, a mobile solution can help you achieve your goals. The time is ideal to consider how you can exploit mobile technologies to maximize your competitive advantage. Why not start an evaluation today?

 

Footnotes:

  1. Estimate from "The Cure is in Hand," WR Hambrecht+Co, October 2000.
  2. Parexel Sourcebook, 2000.
  3. "The Pharma Apps Prescription," Forrester Research, February 2001.
  4. Tufts Center for the Study of Drug Development and Boston Consulting Group.
  5. "The Cure is in Hand," WR Hambrecht+Co, October 2000.

 

Copyright 2001 ArcStream Solutions.  All rights reserved.  For more information on ArcStream Solutions, visit www.arcstreamsolutions.com.  To download a pdf version of this white paper, visit www.arcstreamsolutions.com/resources/whitepapers.asp