Keynote address at the 2012 European SFE conference in Vienna organized by GLC.

1. SFE future

5. The best way to predict your future is to create it!
Abraham Lincoln
http://www.quoteworld.org/quotes/10258
The best way to predict the future is to create it.
Peter Drucker
http://www.brainyquote.com/quotes/quotes/p/peterdruck131600.html#27SQyUYXTt86Asis.99

8. From HERO to ZERO in 15 years…
Success is not the art of selling products.
Success is about providing a company’s customer base value satisfaction.
http://www.forbes.com/sites/avidan/2012/01/23/kodak-failed-by-asking-the-wrong-marketing-question/
http://www.bloomberg.com/news/2011-09-30/kodak-said-to-weigh-bankruptcy-filing.html

10. Challenges
• The three biggest issues facing the pharma
industry presently are
– reputation and perception of the industry,
– continued pricing pressures and access, and
– impending volume of brand patents that will go
generic.
• And they won’t be going anywhere soon

11. The Economic Policy Committee and the European
Commission issued a report in 2006 estimating the
working age population in the EU will decrease by 48
million, a 16% reduction, between 2010 and 2050, while
the elderly population will increase by 58 million, a gain
of 77%. http://en.wikipedia.org/wiki/Ageing_of_Europe
U nited K ingdom
Av e ra ge e x pe nditure pe r he a d e x pre s s e d a s a s ha re of GDP pe r c a pita
20
Franc e
G erm any
Be
Au
lg
s tr
iu
ia
m
15 Finland
S pain
Sweden
N etherlands
Italy
Spain
(%)
U nited K ingdom
10
+ Wear-out D enm ark
France
S pain
defects
5
Franc e
A
us
tr i
a
0
0-4 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85-89 90-94 95+
Economic Policy Committee (2001)
Ag e g ro u p s
“Budgetary challenges posed by ageing populations”

12. Traditional Push model Customer driven model
CUSTOMER
MESSAGE Word
of
Mouth
CHANNEL
P C ?
CUSTOMER

13. All of us, who care
about the industry!
can deliver
•unique information assets
•time-tested analytics
•actionable market insight
•direct to the sales force
•sales management
•any time, all the time
In order to
•maximise the efficiency
•of territory planning
•and rep interactions
via mobile and tablet

14. The model of saturating the market with sales people
to drive top line growth has found its ceiling.
One fairly recent study (NEJM, August 2007)
estimates that, between 1996 and 2005, total
real spending on pharmaceutical promotions
rose from $11.4bn to $29.9bn in the United
States. Another study (PLoS Med, January
2008) suggests that the true figure is closer to
$57.5bn in real terms.

15. It’s not about the
It’s about the

16. http://www.learn.eaglesflight.com/blog/bid/133096/The-Mechanics-of-Training-Relevance-in-the-Workplace

17. http://www.publicisconsultants-pr.com/engagement-capabilities/amazing-relevance.html

18. Defining trends
• Pricing pressures
– Volumetric and share growth objectives -> profitability objectives
• Regulation increasing -> diligence on promotional efforts.
• Specialty focus -> emphasis on differentiating
• Pharmacoeconomic value is a necessity not a luxury.
• Consolidation in the generic industry -> generic pricing
• Educating -> health and economic impact of pharmaceuticals.
• Sales forces agile and flexible to support life cycles of portfolios.
• Focus on pricing and rationalizing healthcare
• Commoditization of ethical pharmaceuticals.
• Focus on doing fewer things very well.
“A” plan + “C” execution = “C” plan.
Prioritize initiatives/tactics using ROI potential and quantitative
metric results to accurately assess next steps and ROI.

19. • A customer-centric approach is a strong value driver. We
have moved away from this during the blockbuster era and focused
more resources and attention on reach and frequency. Reps will
need to be more knowledgeable on not only the products/portfolios
they represent, but also the entire landscape (managed
care, procedures, reimbursement, patient education) of the diseases
and treatments that their customer deal with on a daily basis.
• Sales forces have to possess near peer product and disease
state knowledge.
– new hiring profile for most large-scale sales organizations.
– Requires training to prepare sales forces to be more credible and
conversant on their products and marketplaces.
– Sales forces need to be better versed in health care economics
– Reps are going to need knowledgea on business facets of the
healthcare providers they call on to be effective and valued.

25. 10 Steps To a higher level of SFE
One of the surest ways to achieve business goals is to
increase salespeople’s effectiveness. Organizations have
numerous opportunities for putting this into practice:
Productivity
Speed
Automation
Data
BI
Forecasting
ROI(I)
Adoption
Planning
Value
What do these best practices have in common?
CRM software
http://blogs.innoveer.com/2011/05/19/solution-discovery-sales-force-effectiveness/

28. bg.linkedin.com/in/simidchiev
simidbg
simidchiev
alex@simidchiev.net

29. Responsibility towards patients and customers
Now and in the future…