A Revolution in R&D
A Revolution in R&D
A Revolution in R&D
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52<br />
CASE STUDY: REDISCOVERING DISCOVERY RESEARCH<br />
In a global pharmaceutical company, the discovery<br />
division was slowly undergo<strong>in</strong>g a change of character,<br />
from a pre-genomics one of small, <strong>in</strong>dependent<br />
efforts to an up-to-date one of highly def<strong>in</strong>ed and<br />
sequenced processes. The company was anxious to<br />
speed up and optimize this <strong>in</strong>evitable transition. It<br />
had recently created several centers of excellence <strong>in</strong><br />
research, each conta<strong>in</strong><strong>in</strong>g a particular comb<strong>in</strong>ation<br />
of technologies, resources, and expertise, but these<br />
new group<strong>in</strong>gs rema<strong>in</strong>ed <strong>in</strong> need of improved<br />
process flow, both with<strong>in</strong> and between them.<br />
An “<strong>in</strong>dustrializ<strong>in</strong>g” approach was proposed: why<br />
not treat each center of excellence as a factory, and<br />
<strong>in</strong> that way reth<strong>in</strong>k or refashion the discovery program<br />
as a whole?<br />
A factory-based structure imposes a strict discipl<strong>in</strong>e.<br />
Typically, factories have clear, measurable objectives,<br />
with def<strong>in</strong>ed <strong>in</strong>puts and outputs, and specified<br />
resources and roles. Efficiency is closely regulated:<br />
<strong>in</strong>ternal processes and <strong>in</strong>terfaces are optimized for<br />
approaches will be available, and how effectively<br />
will they relieve the bottleneck? The head of development,<br />
for example, should already be contemplat<strong>in</strong>g<br />
the <strong>in</strong>evitable <strong>in</strong>crease <strong>in</strong> demand for cl<strong>in</strong>ical<br />
trial capacity and weigh<strong>in</strong>g the various options,<br />
such as pharmacogenetics, for meet<strong>in</strong>g it.<br />
Reta<strong>in</strong><strong>in</strong>g Balance:<br />
Capacity Plann<strong>in</strong>g and Management (CPM)<br />
After the <strong>in</strong>itial jolt of genomics, supply and demand<br />
should get back <strong>in</strong>to alignment, thanks to the comb<strong>in</strong>ed<br />
forces of resource reallocation and process<br />
redesign. But this restored balance is a precarious<br />
one, and needs careful and regular ma<strong>in</strong>tenance.<br />
That is where capacity plann<strong>in</strong>g and management,<br />
or CPM, can play an <strong>in</strong>valuable role. By enabl<strong>in</strong>g an<br />
organization to keep supply and demand aligned,<br />
CPM also enables it to make rational plans, l<strong>in</strong>ked to<br />
capacities and resources, and thereby to manage<br />
projects with optimal efficiency.<br />
scale, quality, and productivity; external <strong>in</strong>teractions<br />
are monitored regularly for compatibility and cost<br />
effectiveness.<br />
In keep<strong>in</strong>g with this ethos, the company set about<br />
def<strong>in</strong><strong>in</strong>g processes with<strong>in</strong> each potential factory as<br />
clearly as possible. The project team set targets for<br />
<strong>in</strong>puts, outputs, and quality standards; it identified<br />
activities that could be completed <strong>in</strong>side the factory,<br />
as dist<strong>in</strong>ct from those supplied as support from outside;<br />
and it itemized l<strong>in</strong>ks between factories themselves,<br />
between factory and nonfactory research,<br />
and between research units and units outside research<br />
and development.<br />
The result has been a subtly redesigned discovery<br />
division. Processes and functions are now clearly<br />
assigned to specific factories, expectations and<br />
achievements are more transparent than before, and<br />
the <strong>in</strong>teractions throughout discovery research are<br />
now easily tracked from factory to factory, with the<br />
map be<strong>in</strong>g constantly ref<strong>in</strong>ed.<br />
Though well established <strong>in</strong> high-profile corporations<br />
such as General Electric, Hewlett-Packard,<br />
and Cisco, CPM is conspicuously rare <strong>in</strong> biotech<br />
and pharmaceutical companies. For the genomics<br />
revolution to realize anyth<strong>in</strong>g like its full productivity<br />
potential, efficient CPM will be immensely beneficial<br />
if not imperative.<br />
Establish<strong>in</strong>g the New Organization and its<br />
Governance<br />
Implement<strong>in</strong>g the process changes just mentioned<br />
will entail a thorough review of a company’s exist<strong>in</strong>g<br />
hierarchies and procedures. For the process<br />
changes to yield optimal value, changes also need<br />
to be made <strong>in</strong> traditional decision-mak<strong>in</strong>g methods<br />
and <strong>in</strong> organizational structures.<br />
New L<strong>in</strong>kages and Interfaces<br />
To beg<strong>in</strong> with organizational changes. With the<br />
value cha<strong>in</strong> so much altered <strong>in</strong> appearance, and