SOURCE: Diaceutics

Diaceutics

April 06, 2011 10:49 ET

Diaceutics Report Identifies Future Pharmaceutical Leaders in Personalized Medicine

Nearly Half of Phase 3 Therapies Might Benefit From Personalized Medicine Strategy

WASHINGTON, DC--(Marketwire - April 6, 2011) -  A new report from Diaceutics (www.diaceutics.com) for the first time analyzes which pharmaceutical companies are best prepared to capitalize on new discoveries in genetic biomarkers and translate them into personalized medicine.

Diaceutics found that fully 46% of phase 3 therapies in the pharmaceutical pipelines might benefit from a personalized medicine strategy. The report, "Pharma Readiness for Personalized Medicine," looks at how traditional drug development has changed since the advent of personalized medicine, as well as the ways that leading pharmaceutical companies have adapted.

The report includes a comprehensive review of ten leading pharmaceutical companies with at least one targeted therapy on the market, and ranked them according to their potential to capitalize on opportunities in personalized medicine. Amgen, AstraZeneca, Bristol-Myers Squibb, Eli Lilly and Company, GlaxoSmithKline, Merck & Co., Novartis, Pfizer, Roche Holding AG, and Sanofi-Aventis were analyzed and classified as Disruptors, Breakaways, or Followers. The ranking of these companies reflects the broad range of current industry responses to the personalized medicine opportunity.

"Most pharmaceutical companies say they are ready for personalized medicine, and their development pipelines are filling up with personalized medicine opportunities but they may not fully understand the commercial ramifications of this technological shift," said Peter Keeling, chief executive officer of Diaceutics. "We believe that the standard definition of personalized medicine used in the industry is narrow, and in fact any therapy that will directly benefit from a new or re-shaped diagnostic approach should be considered personalized medicine."

The analysis found that in contrast to the belief held by many pharmaceutical companies that personalized medicine will create smaller markets or less revenue, about half of the companies assessed in the report have a personalized therapy currently on the market that is near or above blockbuster-level sales of $1 billion.

Only 2 companies, Roche and Novartis, were ranked as Disruptors, able to competitively reshape therapy areas via personalized medicine. They are poised to become leaders in the field, according to Diaceutics analysis. "Either of these companies has the capacity to upset normal competitive dynamics in a specific therapy area by shaping payers', regulators' and physicians' expectations of value," said Keeling.

The second tier firms -- AstraZeneca, Eli Lilly, Bristol-Myers Squibb and Pfizer -- are Breakaway companies, based on carefully selected, proactive investments each has made that positions them to migrate their operating models and corporate structure in order to successfully commercialize targeted therapies. "These Breakaways are likely to accelerate their activities and to improve their commercial infrastructure for targeted therapies over the next 24 to 36 months," Keeling said. "Whether they attain Disruptor status will depend on whether board migrates to a future culture and infrastructure based predominantly in personalized medicine."

The 4 remaining companies were rated as Followers: GlaxoSmithKline, Sanofi-Aventis, Amgen and Merck. "Followers are most likely to respond to the actions of other companies. They have few commercial successes in this space and thus little commercial experience. These companies are more likely to strive to maintain their existing business models, rather than adapt them for personalized medicine," Keeling said.

Methodology
The 3-part process included a detailed review of each company based on publicly available information, interviews with industry leaders, and an evaluation and company ranking derived from Diaceutics' analysis of the data available on the ten companies. Company analysis included a review of corporate structure and leadership, R&D structure, phase 3 pipeline, management and marketing of existing therapies, and business deals and strategic partnerships. To analyze the phase 3 pipelines, Diaceutics used its proprietary "Options for Test index" (OFTi)™ tool to analyze each company's personalized medicine potential.

Copies of the full report are available from Arrowhead Publishers for $3,500. To order, email buymyreport@arrowhead.com or call 1-888-333-4444. The executive summary of the report is free for members of the press.

Diaceutics is an international change management and consulting firm specializing in personalized medicine. Diaceutics mission is to build bridges between pharmaceutical and diagnostic companies and to provide pharmaceutical industry leaders with the foundation and operational structure necessary to effectively develop and commercialize targeted therapies that better meet patients' needs and improve return on investment. For more information, visit www.diaceutics.com.

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