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DEMYSTIFYING PHARMA
PROCUREMENT
INTRODUCTIONS
STRATEGIC SOURCING AND PROCUREMENT – BIG PHARMA
OLIVER FERNANDEZ, STRATEGIC SOURCING NOVARTIS
STRATEGIC SOURCING AND PROCUREMENT – SMALL BIOTECH
STEPHANY LAPIERRE, FOUNDER AND CEO MATCHBOOK| TEALBOOK
NAVIGATING THE RFP PROCESS
OLIVER AND STEPHANY
DISCUSSION AND Q&A
AGENDA
INTRODUCTIONS
OLIVER FERMANDEZ, STRATEGIC
SOURCING NOVARTIS
STEPHANY LAPIERRE, FOUNDER AND CEO
MATCHBOOK & tealbook®
INTRODUCTIONS
STEPHANY LAPIERRE, FOUNDER AND CEO
MATCHBOOK & tealbook®
Launched matchbook in 2008
Managed 400+ RFPs for 40+ Pharma and Biotech companies
Inspired by matchbook, launched tealbook in 2014
tealbook is licensed by 14 biotech companies and generated over
$30 million in revenue for its supplier members
INTRODUCTIONS
OLIVER FERMANDEZ, STRATEGIC
SOURCING NOVARTIS
Joined Novartis in 2012
Partners with the business stakeholders, global, regional
and country Procurement teams to develop the cross-
divisional procurement strategy for the Agencies, Media,
and Print categories
15+ years sourcing experience
MBA Cornell University ‘14
PROCUREMENT PERCEPTIONS
AGENCIES
Procurement is a bottleneck
Procurement only cares about savings
Procurement is bonused based on savings targets
INTERNAL PARTNERS
Procurement is a road block
Procurement doesn’t understand my business
Procurement is not a decision maker
Procurement seek to influence/change my budget
PROCUREMENT IN
BIG PHARMA
GOALS
Compliance
Supplier performance management
Leverage synergies to reduce costs
Increase Cash Flow
Stakeholder satisfaction
PROCUREMENT IN
BIG PHARMA
VALUE
Supplier partnerships / SLAs
Budget Optimization / ‘Bang for the buck’
Operational Efficiency
Industry Benchmarks
PROCUREMENT IN
BIG PHARMA
METRICS
Savings / Total Cost of Ownership (TCO)
Cost Avoidance
Spend under contract
Supplier Performance and Innovation
PROCUREMENT IN
SMALL BIOTECH
GOALS
Build and support a strategic sustainable supplier
network
PROCUREMENT IN
SMALL BIOTECH
VALUE
Keep lean teams productive and focused
Identify the strongest partners
Mitigating risks
Stretch funding dollars
PROCUREMENT IN
SMALL BIOTECH
METRICS
Strategic spend
Innovative supplier base
Successful launch
SUCCESSFULLY NAVIGATING THE RFPPROCESS
COST OF RFPs
AGENCIES - $35,000 to $100,000/RFP
Business Development
Market Research
Strategy
Creative
Expertise
Time
Travel
Loss of time for other clients and opportunities
CLIENTS - $20,000 to $60,000/RFP
Research
Intelligence
Time
Resource
CLIENT SIDE
TIP #1 ALIGN YOUR TEAM
TIP #2 DEFINE KEY CRITERIA AND SUCCESS FACTORS
TIP #3 PROVIDE A COMPREHENSIVE BRIEF AND DIRECTION
TIP #4 ALLOW FOR QUESTIONS
TIP #5 VET AND NARROW DOWN
TIP #6 CLEAR AGENDA AND EXPECTATIONS
TIP #7 PROVIDE FEEDBACK
PROCUREMENT SIDE
TIP #1 COMPLIANCE
TIP #2 CLARITY
TIP #3 CONSISTENCY
TIP #4 CONTRIBUTION AND COLLABORATION
TIP #5 COMMUNICATION
AGENCY SIDE
TIP #1 CHOOSE CAREFULLY
TIP #2 FOCUS ON KEY CRITERIA
TIP #3 DO YOUR HOMEWORK AND ASK QUESTIONS
TIP #4 SELECT YOUR TEAM
TIP #5 USE (DON’T SHOW) KNOWLEDGE TO PRESENT STRATEGY
TIP #6 DO AN ICEBREAKER
TIP #7 ASK QUESTIONS/LISTEN
TIP #8 CLOSE/FOLLOW UP
The OPMA Breakfast Series - April 14th

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The OPMA Breakfast Series - April 14th

  • 2. INTRODUCTIONS STRATEGIC SOURCING AND PROCUREMENT – BIG PHARMA OLIVER FERNANDEZ, STRATEGIC SOURCING NOVARTIS STRATEGIC SOURCING AND PROCUREMENT – SMALL BIOTECH STEPHANY LAPIERRE, FOUNDER AND CEO MATCHBOOK| TEALBOOK NAVIGATING THE RFP PROCESS OLIVER AND STEPHANY DISCUSSION AND Q&A AGENDA
  • 3. INTRODUCTIONS OLIVER FERMANDEZ, STRATEGIC SOURCING NOVARTIS STEPHANY LAPIERRE, FOUNDER AND CEO MATCHBOOK & tealbook®
  • 4. INTRODUCTIONS STEPHANY LAPIERRE, FOUNDER AND CEO MATCHBOOK & tealbook® Launched matchbook in 2008 Managed 400+ RFPs for 40+ Pharma and Biotech companies Inspired by matchbook, launched tealbook in 2014 tealbook is licensed by 14 biotech companies and generated over $30 million in revenue for its supplier members
  • 5. INTRODUCTIONS OLIVER FERMANDEZ, STRATEGIC SOURCING NOVARTIS Joined Novartis in 2012 Partners with the business stakeholders, global, regional and country Procurement teams to develop the cross- divisional procurement strategy for the Agencies, Media, and Print categories 15+ years sourcing experience MBA Cornell University ‘14
  • 6.
  • 7. PROCUREMENT PERCEPTIONS AGENCIES Procurement is a bottleneck Procurement only cares about savings Procurement is bonused based on savings targets INTERNAL PARTNERS Procurement is a road block Procurement doesn’t understand my business Procurement is not a decision maker Procurement seek to influence/change my budget
  • 8. PROCUREMENT IN BIG PHARMA GOALS Compliance Supplier performance management Leverage synergies to reduce costs Increase Cash Flow Stakeholder satisfaction
  • 9. PROCUREMENT IN BIG PHARMA VALUE Supplier partnerships / SLAs Budget Optimization / ‘Bang for the buck’ Operational Efficiency Industry Benchmarks
  • 10. PROCUREMENT IN BIG PHARMA METRICS Savings / Total Cost of Ownership (TCO) Cost Avoidance Spend under contract Supplier Performance and Innovation
  • 11. PROCUREMENT IN SMALL BIOTECH GOALS Build and support a strategic sustainable supplier network
  • 12. PROCUREMENT IN SMALL BIOTECH VALUE Keep lean teams productive and focused Identify the strongest partners Mitigating risks Stretch funding dollars
  • 13. PROCUREMENT IN SMALL BIOTECH METRICS Strategic spend Innovative supplier base Successful launch
  • 15.
  • 16. COST OF RFPs AGENCIES - $35,000 to $100,000/RFP Business Development Market Research Strategy Creative Expertise Time Travel Loss of time for other clients and opportunities CLIENTS - $20,000 to $60,000/RFP Research Intelligence Time Resource
  • 17. CLIENT SIDE TIP #1 ALIGN YOUR TEAM TIP #2 DEFINE KEY CRITERIA AND SUCCESS FACTORS TIP #3 PROVIDE A COMPREHENSIVE BRIEF AND DIRECTION TIP #4 ALLOW FOR QUESTIONS TIP #5 VET AND NARROW DOWN TIP #6 CLEAR AGENDA AND EXPECTATIONS TIP #7 PROVIDE FEEDBACK
  • 18. PROCUREMENT SIDE TIP #1 COMPLIANCE TIP #2 CLARITY TIP #3 CONSISTENCY TIP #4 CONTRIBUTION AND COLLABORATION TIP #5 COMMUNICATION
  • 19. AGENCY SIDE TIP #1 CHOOSE CAREFULLY TIP #2 FOCUS ON KEY CRITERIA TIP #3 DO YOUR HOMEWORK AND ASK QUESTIONS TIP #4 SELECT YOUR TEAM TIP #5 USE (DON’T SHOW) KNOWLEDGE TO PRESENT STRATEGY TIP #6 DO AN ICEBREAKER TIP #7 ASK QUESTIONS/LISTEN TIP #8 CLOSE/FOLLOW UP