Successfully reported this slideshow.
What

Big Hospitals
Want

Big Pharma
to Realize

EXCLUSIVE

REPORT
At about US$300 billion a year, the global pharmaceuticals
industry wields a huge amount of influence in the
healthcare se...
“

Pharma companies can be
more proactive in terms of
promoting patient safety. A
good starting point is
package design th...
“

Western pharma
companies need to stop
charging first world price
for developing countries.
By sheer number of
patients ...
Upcoming SlideShare
Loading in …5
×

What Big Hospitals Want Big Pharma to Realize

535 views

Published on

Published in: Business, Health & Medicine
  • Be the first to comment

  • Be the first to like this

What Big Hospitals Want Big Pharma to Realize

  1. 1. What Big Hospitals Want Big Pharma to Realize EXCLUSIVE REPORT
  2. 2. At about US$300 billion a year, the global pharmaceuticals industry wields a huge amount of influence in the healthcare sector. Along with medical institutions and hospitals, big pharma is a dominant force that could make a big difference. In a recent finding by IMS Health, global medicine spending will pass the $1 Trillion mark in 2014. It was further revealed that: “in absolute terms, global spending on prescription medicines will increase by $205-$235Bn in the five years to 2017, reaching over $1 trillion. The level of increase is comparable to the $234Bn by which spending increased in the previous five year period.” “ There is a role and responsibility for pharma companies to become partners in the efforts to improve hospitals and healthcare delivery. This must be approached in a very cautious manner to ensure that the inherent conflicts are managed properly. ” Steven Thompson, CEO Johns Hopkins Medicine International Despite the optimism, it is interesting to note that in the developed world, the picture is more complicated than a simple growth story. According to Gerald Clarke, in a recent article published on Pharma IQ, “factors increasing spending on pharmaceuticals include the appearance of new drugs for various diseases such as cancer and an increasingly aging population.” The United States’ Affordable Care Act could potentially also increase pharma spending as previously uninsured people gain coverage. However some of this trend is counteracted by blockbusters dropping off patent, causing many to move to cheaper generics. Additionally, the global financial crisis has caused many governments to look for areas to cut spending and many of them are looking towards their medicines spend. “China, more than any other country, will be a main driver of growth with a CAGR of 14-17% until 2017. The country aims to have total healthcare coverage of its 1.35 billion population by the year 2020 which could mean over $180 billion in growth over the 4 year period. In countries such as China, it is likely to be the increased take-up of generic medicines which will drive growth,” notes Mr. Clarke. What Big Hospitals Want Big Pharma to Realize
  3. 3. “ Pharma companies can be more proactive in terms of promoting patient safety. A good starting point is package design that can reduce medication errors. ” Dr. Krit Pongpirul Quality Advisor Bumrungrad International Hospital Putting market demands aside, the world’s top hospitals believe that pharmaceutical companies can also expand their role beyond their current status to help improve patient safety and hospital efficiency. According to Mr. Steven Thompson, CEO of Johns Hopkins Medicine International, the No. 1 hospital in the world (based on annual U.S. News & World Report Best Hospitals rankings), “there is a role and responsibility for pharma companies to become partners in the efforts to improve hospitals and healthcare delivery. This must be approached in a very cautious manner to ensure that the inherent conflicts are managed properly. There is significant knowledge and ability in these organizations that can create mutually beneficial improvements to patient outcomes and health status.” Dr. Krit Pongpirul, Quality Advisor at Bumrungrad International Hospital, Thailand’s best-known facility for hospital tourism agrees: “Pharma companies can be more proactive in terms of promoting patient safety. A good starting point is package design that can reduce medication errors.” What Big Hospitals Want Big Pharma to Realize
  4. 4. “ Western pharma companies need to stop charging first world price for developing countries. By sheer number of patients alone, they will still make the same amount of profit. Right now, they only reach those who can afford it. ” Michael Wong, CEO Pantai Hospital While pharma companies have traditionally been productbased, Mr. Mark Cheong, Cluster Manager of University of Melaya Specialist Centre believes they could potentially shift “to providing comprehensive solutions and services related to a particular therapeutic area.” He further adds: “We’re seeing diagnostic companies and dialysate-producing companies head towards that direction and becoming the subject matter experts in managing patients in their respective therapeutic areas. Pharma companies could possibly add value to hospitals and other healthcare organizations by collaborating and providing expertise in setting up healthcare services centred on their pharmaceutical product. The combination of expertise and knowledge could result in higher standards of care, more judicious and effective use of pharmaceuticals and better outcomes for patients.” A rather sensible approach was offered by Mr. Michael Wong, CEO of Pantai Hospital: “Western pharma companies need to stop charging first world price for developing countries. By sheer number of patients alone, they will still make the same amount of profit. Right now, they only reach those who can afford it.” Learn more about Improving Efficiencies, Minimizing Wastage and Managing Costs while Improving Patient Safety and Healthcare Outcomes at the 3rd Annual Hospital Efficiency & Quality Asia Summit 2014. To find out more, visit www.hospitalefficiencyquality-asia.com Disclaimer: Please note that we do all we can to ensure accuracy and timeliness of the information presented herein but errors may still understandably occur in some cases. If you believe that a serious inaccuracy has been made please let us know. This article is provided for information purposes only. IQPC accepts no responsibility whatsoever for any direct or indirect losses arising from the use of this report or its contents. Reference: Pharma IQ: Global Medicine Spending to Pass $1 Trillion in 2014 - http://www.pharma-iq.com/market-access/articles/global-medicine-spending-to-pass-1-trillion-in-201/

×