As the Pharmaceutical industry directly affects the public’s health, governments impose stringent regulations on these companies. The healthcare policies are frequently reforming along with strict scrutiny by the regulatory bodies. This makes compliance more challenging and ultimately affects an organization’s contracts — the bedrock of all business relationships.
Contracts play an imperative role in all transactions — be it buying from suppliers, dealing with healthcare professionals or CROs for clinical studies, and engaging with wholesale and Pharmacy Benefit Managers on the sell-side.
Mismanaged contracts can be the biggest liabilities. To manage the growing complications, pharma companies would benefit from modern technologies that would streamline their contracting process and achieve operational efficiency. Thus, investing in advanced contract management systems is no more a nice-to-have but a critical requirement.
The pharmaceutical industry deals with several types of contracts, including quality agreements, licensing agreements, product supply agreements, R&D agreements, and technology contracts. It is becoming increasingly difficult to track hundreds and thousands of contracts across several departments of a pharma company. Ultimately, it is found that pharma companies undergo numerous contract challenges across R&D, sourcing, sales, and promotions departments. These challenges are eventually impeding the time to market new drugs, facing non-compliance risks, and reduced profits.
With proposed and developing laws like the Drug Take Back Act, CREATES Act, BLOCKING Act, etc. compliance, in general, becomes a greater challenge. Moreover, lack of automated tools leads to operational inefficiencies like missing expiration dates, sending wrong documents for review or approval, and so on.
Digital transformations can potentially revolutionize the way the pharma industry, operates, from the way trials are managed to medicine manufacturing, marketing, and delivery. For many pharma companies, moving to enterprise contract management is underway, and are looking at changing the way contracts are managed at every stage.
Having worked with Pharmaceutical companies, Zycus understands the changing needs of the industry and can assist them in the following ways:
Find out how to create a strong foundation for boosting enterprise-wide contract compliance