Havana Atm


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Health Care as a human right. Presented to the Global Forum for Health Research

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  • So this is a nice vision….but is it easy to define the policy and programmes Pharmaceutical companies need to implement?So far, there was no common view / standard on this topic and the Index team was facing many challenges:Then refer to the text in the boxes…
  • Presenting best practices and benchmarking companies both stimulate companies to improve their policies and programmesBest practice: because you can see that something actually works…we have had companies asking us whether we actually know of good examples of tiered pricing and they are seriously interesting in learning from othersBenchmark is a very successful model to stimulate the complete list of companies: number 1 scoring company will want to stay number 1, lowest scoring company will want to perform much better
  • I do not want to go into to much of detail as I could talk about this for hours , but this slide shows the criteria and the weighting of each criteriaImportant for you to know is that we aim to create a programme that on a sustainable way increases Access to Medicine, so this is also why in 2008 we rated Drug Donations and Philantrophy relatively low
  • In Summary ourObjectiveThe objective of the Index is to increase and improve the access to medicine programmes of the Pharmaceutical Industry in developing countriesWe do this via defining what the Industry should do in this area, by gathering information and measure them against this defined programme and by publishing a report and rankingOn this slide you see the outcome of our first Index published in 2008
  • You / Investors are essential as pharmaceutical companies are very dependent on you, so your influence and support stimulates the Pharma companies to pick up their rolePharma Industry: of course they have to be involved as they have to chance themselves….without them it won’t workNGOs are an important stakeholder group as they are very active on the groundGovernment negotiates with pharma companies and knows what is needed in their countriesIntergovernmental organisations like WHO overlook all the countries so have a very broad view and knowledgeAcademica and Experts have a lot of knowledge and insight in effectiveness on certain programmes / policiesAnd very important group are the patients and health practitioners who receive the drugs
  • To date there is a full team working on the Index and I would like to highlight Wim LeereveldHe started this initiative in 2004 and thanks to his persistence, his great talent to involve the right people the Index is what it is to day.RiskMetrics is our main supplier, they have a lot of field knowledge and therefore play an important role in the design of the metrics and methodology and their team of analysist perform the analysis of the companies that are covered by the Index
  • Butwhatreally had a major impact on the Index and acceleratedeverything was the factthat Bill Gates referred to the Index in anarticlehewroteonCreateCapitalism in Time MagazineHe refers to the Index as a greatexample of how society canstimulatecorporations to taketheirresponsibility and to leverageinvestments.So, actually, The Bill and Melinda Gates foundation approached the Founder, Wim Leereveld, to askhim to fund the index to ensurethiswouldnotbe a one of initiative
  • Mary Robinson, the former President of Ireland (from 1990-1997)She has been named by US President Barack Obama as one of the recipients of the 2009 Presidential Medal of Freedom. The Medal of Freedom is the highest US civilian honor, awarded to "individuals who make an especially meritorious contribution to the security or national interests of the United States, world peace, cultural or other significant public or private endeavors.“I think her quote speaks for it self and the fact she endorses the Index is of course of great value to us
  • The Access to Medicine Index is a foundation so a not for profit organization totally reliant on funding from its partnersWe are very happy that in the early days Dutch NGOs took the initiative and had the courage to support us, without them we would have never gotten so far
  • We have designed a new structure of the Index to allow to migrate in time to more focus on the ground performance without changing the complete structure.Also, we will introduce an Innovation Pillar as we think it is important to stimulate new innovative ways to bring medicine to developing countries. Companies do not yet know the impact on their business model by doing so….so still should be rewarded
  • Havana Atm

    1. 1. Havana, Global Forum for Health Research <br />Wim Leereveld<br />19 november 2009<br />
    2. 2. 2 .000.000.000 people<br />
    3. 3. 2<br />
    4. 4. 3<br />What is the Pharmaceutical <br />Industry currently doing?<br />What should they be doing ?<br />Good guys or <br />bad guys? <br />Who knows the answers?<br />Who are they? <br />The role of <br />the Pharmaceutical <br />Industry<br />Together with all stakeholders we aim to define the role of the Industry<br />
    5. 5. The principle of the Index is based on Measurement, Transparency and Benchmarking<br />Measurement: “What gets measured get’s managed”<br /><ul><li>The criteria on which the companies are rated will have an impact on the Pharmaceutical Industry’s role and priorities within access to medicine</li></ul>Transparency<br /><ul><li>Recognize and reward Pharmaceutical Companies for good behaviour
    6. 6. Analyze and learn from and show best practices</li></ul>Benchmark<br /><ul><li> Comparing peers to peers, adheres to the competitive nature of the pharmaceutical industry</li></ul>4<br />
    7. 7. The Index 2008 methodology consisted of 8 criteria each covering many indicators<br />Other philanthropic programmes e.g.: # of hospitals built or supported<br />E.g.: compliance with WHO’s Guidelines for Drug Donations<br />E.g.: policy and level of disclosure and monitoring<br />E.g.: Pricing mechanism policies and their scope, pricing levels, pricing reviews<br />E.g.: active advocacy towards better access to medicine<br />E.g.: technology transfer agreements with local companies <br />E.g.: partnerships and investment in R&D into treatments for neglected diseases<br />E.g.: voluntary licensing agreements and respect for TRIPS agreements<br />5<br />Note: This weighting was applied to Originator Companies, Generic Companies had a different weighting<br />
    8. 8. 6<br />Highest scoring company in Index 2008: GlaxoSmithKline PLC<br />Lowest scoring company in Index 2008: Schering-Plough Corp.<br />
    9. 9. So who are all these stakeholders that are involved in defining what Pharmaceutical companies’ role should be <br />7<br />Pharmaceutical Industry<br />Investors<br />NGO’s<br />Government<br />Patients / Healthcare Practitioners <br />Access to Medicine Index<br />Academia<br />Multilateral Organizations<br />Experts<br />
    10. 10. Executive Review Commission guided by Stakeholder Roundtables<br />Stakeholder Engagement Process<br /><ul><li>An online survey
    11. 11. Stakeholder roundtables
    12. 12. Workshop in Index Countries
    13. 13. Consultation with an Expert Review Committee
    14. 14. Department For International Development (UK)
    15. 15. Standard & Poor’s
    16. 16. Oxfam Great Britain
    17. 17. Global Business Coalition on HIV/AIDS
    18. 18. AIDeS
    19. 19. Henderson Global Investors
    20. 20. Interfaith Centre for Corporate Responsibility
    21. 21. Bill and Melinda Gates Foundation
    22. 22. World Health Organisation
    23. 23. SustainAbility
    24. 24. the George Institute of for International Health
    25. 25. Anil Soni – Clinton Foundation
    26. 26. Queen Mary, University of London</li></li></ul><li>The Index aims to adds value to each stakeholder group<br />Examples of benefits of the Index <br />Our objective<br /><ul><li>The Index sets a strategic direction for their access to medicine programmes</li></ul>The Industry<br />Increase of <br />access to medicine programmes <br />of the <br />pharmaceutical <br />industry <br />9<br /><ul><li>More ESG consciousness and good management are important criteria</li></ul>Investors<br /><ul><li>Use of the Index as objective data source in negotiations with pharmaceutical companies</li></ul>Government<br /><ul><li>We help them to get the issue on the table </li></ul>NGOs<br />
    27. 27. 10<br />The data gathering process is done by the RiskMetricsGroup<br />Team is headed by <br />Afshin Mehrpouya<br />
    28. 28. CompanyReport Cards<br />
    29. 29. The first Index publication received global media coverage<br />12<br />
    30. 30.
    31. 31. UN Commissioner Champions Index<br />Mary Robinson, UN High Commissionerfor Human Rightsfrom 1997 to 2002.<br />“I&apos;ve been impressed by the ATM Index. It presents well-balanced stakeholder views on good practices for the pharmaceutical industry and it provides clear standards against which the performance of individual companies can be judged.”<br />
    32. 32. UN Guidelines<br />
    33. 33. Funding partners of the Index<br />16<br />
    34. 34. We have designed a matrix structure so that we can gradually increase the weighting of on the ground performance<br />17<br />2008 Index<br />2009/2010 Index<br />The Index is an evolving tool which adapts to the changing <br />global healthcare priorities.<br />ATM Management<br />30%<br />30%<br />30%<br />10%<br />Public Policy Influence & Advocacy<br />R&D<br />Patents &Licensing<br />Equitable Pricing<br />Capacity<br />Donations<br />Philanthropy<br />