The digital transformation of biopharmaceutical manufacturing is continuing at a rapid pace as companies attempt to mine the sources of data available. Innovations include predictive analytics, big data analytics, and creating the digital plant. Digital transformation offers a mechanism to revise its business model, to improve production processes, to design new drugs faster by using artificial intelligence to screen compounds and to increase responsiveness to customers. Furthermore, the volume of data processed by pharmaceutical firms shows no sign of slowing down. This means pharmaceutical companies must act quickly in terms of building core internal digital capabilities and moving beyond their traditional IT functions to all areas of the business.
In a seminal work published by McKinsey & Company – The Granularity of Growth, a detailed study of the performance of the 100 largest US corporations over the two most recent business cycles – a key finding emerged: top-line growth is vital for survival.
To dig a bit deeper, the study found that a company whose revenue increased slower than the growth of U.S. GDP was five times more likely to falter in the next cycle than a company that expanded more rapidly. Companies have a “Growth Imperative,” which is to either “grow or go,” the authors concluded; in other words, companies must grow faster than their peers or else be left behind.
According to a report by the Advisory Council on Artificial Intelligence of Canada, this country is home to more than eight hundred artificial intelligence (AI) companies, and the number of AI startups is growing by about 28% each year.
This is due to quite favorable conditions, that Canada offers to local and foreign AI-focused talent and organizations. Not only the country is a strong global leader in artificial intelligence research, with some of the most cited academics working here (Yoshua Bengio and Geoffrey Hinton -- pioneers of modern AI), but also the government is quite active in pushing Pan-Canadian Artificial Intelligence Strategy, aiming at supporting AI research and talent attraction and retention in Canada.
Over the past decade, pull incentives as a solution to the broken antibiotic market have been proposed to entice companies into antibiotic research and development. These incentives would essentially provide a market, and therefore a return on investment for pharmaceutical companies. Almost all of today’s inadequate antibiotic pipeline is provided by biotech and small pharma. All are threatened with loss of investor interest because of the failed marketplace and many are experiencing difficulty in raising funds either from public or private markets. One alternative to providing money to the “evil” pharmaceutical industry via a substantial pull incentive is to create publicly funded non-profit organizations or public-private ventures that would essentially replace the industry in antibiotic research, development and commercialization. Two proponents of this approach are Lord Jim O’Neill (of the O’Neill Commission or Antimicrobial Resistance Review fame) and Ramanan Laxminarayan of the Center for Disease Dynamics, Economics and Policy and of GARDP. Both, clearly, are key thought leaders in the area.