strategic alliances client feedback program
TRANSCRIPT
Improving the Health of Critical Business
Relationships
Creating a Standard for Successful Strategic
Partnerships
Service Offering Review
March 2014
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The Avoca Group helps pharmaceutical and biotech companies, CROs, and other service providers build, measure, manage, and thereby improve critical business relationships.
● The Avoca Group has extensive experience in the area of strategic partnerships and alliances between sponsors and CROs. Avoca combines real world experience in clinical outsourcing, clinical research and the management of relationships in this industry with leading practices in change management to help companies successfully implement new partnering strategies.
● Avoca draws upon its 15 years of gathering data in the area of sponsor-CRO partnerships, utilizes this research as part of our consulting practice, and incorporates industry data into Avoca training programs. Avoca developed the Art and Science of Partnering™ framework, a best practice approach for managing strategic relationships in the pharmaceutical industry.
What We Do
The Avoca Group
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The Avoca Group
Client List
Pha
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Bio
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AstraZeneca Grünenthal
Boehringer-Ingelheim Johnson & Johnson
Bristol-Myers Squibb J&J Pharmaceutical Research Development Cadence
Celtic Pharma Millennium
Centocor Novo Nordisk
Cerexa Ortho Biotech
CJPCUS Ortho Clinical
Cordis Pfizer
CR Bard Purdue Pharma
Cubist Regeneron
Eisai Roche
Endo Pharmaceuticals Terumo
Ethicon The Medicines Company Ferring Pharmaceuticals
Serv
ice
Pro
vid
ers
Acurian Marken
Aptiv Solutions MedAvante
Beardsworth Medical Research Consultants BioClinica
Cardinal Health Metropolitan Research Associates
Clinical Financial Services PAREXEL
CRF Health PPD
ERT PRA International
ExecuPharm Premier Research
Greenphire Quest Diagnostics Clinical Trials
ICON Clinical Research Quintiles
Idis REGISTRAT-MAPI
INC Research ResearchPoint
Indegene Synarc
inVentiv Health Clinical Theorem
LabCorp TKL Research
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The Reality of Strategic Partnerships: 2012 Industry Survey Results
In 2012, Avoca conducted its annual industry survey with a focus on the reality of Strategic Partnerships. Among the key findings were the following: ● Forty-seven percent of the sponsor companies surveyed had strategic
partnerships with clinical service providers (currently, or in the past), and 67% of the service provider companies surveyed reported having strategic partnerships with sponsors.
● Twenty-two percent of sponsor companies reported having discontinued strategic relationships. Most commonly, these relationships were discontinued by sponsors because of poor quality of deliverables, followed by poor overall performance of the clinical service provider.
● Among sponsors, overall satisfaction with the work performed by strategic partners appeared to increase with the duration of the partnership; 86% of respondents reporting on strategic partnerships of three or more years were satisfied, compared to 67% of respondents evaluating strategic partnerships of less than three years in duration.
Avoca brings these research capabilities and perspectives to all of our consulting engagements.
Measuring the Health of Strategic Partnerships
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Critical Success Factors
Avoca believes the following components are necessary for successful implementation of a new standard for alliance management: ● Clear vision and goals for the establishment and management of alliances
● A comprehensive framework for the model, including a tailored approach for the governance and management of the strategic relationships
● Input from and engagement with key stakeholders
╸ It is Avoca’s philosophy that successful change comes only when stakeholders are supported in their interests to contribute to the change.
● Clarity and consistency in internal communications regarding the new alliance management model
● Documented, comprehensive, and standard approaches: establishing alliances, managing alliances, and ongoing measurement of alliances
╸ Should include a system for gathering Lessons Learned information and disseminating that information for the benefit of future projects with the same alliance partner and/or for ensuring the success of projects with future partners
● Alignment with and incorporation of other corporate initiatives and standards
● Senior level support
Measuring the Health of Strategic Partnerships
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Three Main Areas of Support
● Avoca Survey Research
╸ Partnership Health Assessment: Gathering of actionable data to drive strategy implementation
╸ Ongoing Feedback Programs to assess success during project execution
╸ Annual assessment to continue to monitor “pulse” of the partnership
● Avoca Consulting: Strategy Implementation and Change Management
╸ Assistance with engaging key stakeholders, including senior staff and clinical operations, from sponsor and partners to ensure acceptance and support of the outsourcing model
╸ Facilitation of “lessons learned” meetings or alliance partnership meetings
● Customized Training and Workshops
╸ Implementation of Avoca’s Art and Science of Partnering™ - Best practices in Managing Strategic Partnerships
Measuring the Health of Strategic Partnerships
Survey Research
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Objectives of a Partnership Assessment
● To gather quantitative and qualitative baseline data for alliance managers and senior staff from partner organizations to drive implementation of the desired outsourcing strategy
● To understand perceptions about the outsourcing model so that issues can be addressed proactively
● To identify needs for support from both sides of the partnership, including the potential need for tools and training on managing relationships in a strategic framework
● To engage staff from both partners throughout the process as part of strategy implementation
Improved Relationships = Improved Performance
Measuring the Health of Strategic Partnerships
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Creation of Survey Instruments
● Avoca works collaboratively to develop customized survey instruments for each partner
● The instrument collects a variety of information, including:
╸ Perceived opportunities and challenges associated with the current outsourcing model
╸ Overall perceptions about working with CRO/Sponsor partners in the existing or emerging outsourcing model
╸ Key Relationship Indicators (KRIs) to measure variables such as trust, innovation, proactivity, communication, etc.
╸ The components, tools and resources required by teams to effectively work together within the existing or emerging outsourcing model
Measuring the Health of Strategic Partnerships
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Approach
● Avoca develops a customized approach for the program during a kick-off meeting.
● Surveys are either administered via the web, conducted by experienced, industry-savvy Avoca telephone interviewers, or a hybrid approach is used.
● Names are not associated with results to encourage open and honest feedback from all parties.
● Findings and conclusions are delivered in customized reports with appropriate sub-analyses and reviewed with each partner company. Avoca utilizes a consultative approach to make recommendations based on our significant experience conducting partnership assessments and consulting to facilitate optimal strategic partnerships.
Measuring the Health of Strategic Partnerships
Sample Data
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38%
42%
29%
21%
29%
48%
36%
50%
50%
38%
10%
11%
11%
19%
17%
5%
10%
10%
10%
7% 10%
I will be comfortable accepting new responsibilities as part of moving to Sponsor’s new outsourcing model.
I am confident in my ability to successfully execute my new responsibilities under Sponsor’s new
outsourcing model.
I have confidence that CRO will be successful at meeting Sponsor’s expectations for deliverables under
the new strategic model.
I have confidence that CRO will exercise effective team leadership under the new strategic model.
I am confident that CRO’s senior management will support the new approach effectively.
Mean N
4.1 44
4.1 44
4.0 44
3.9 45
3.7 46
Transition to Strategic Partnering 5 = Strongly Agree, 1 = Strongly Disagree
Strongly Agree
Generally Agree
Neither Agree Nor Disagree
Generally Disagree
Strongly Disagree
SAMPLE DATA CRO Perspective: Transition to Strategic Partnering
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Yes 47%
No 44%
Don't Know 9%
N=125
Sponsors
Do you feel that you fully understand the differences between managing a strategic partner under the new
Strategic Partnering model and managing other outsourcing relationships (e.g. tactical outsourcing)?
CROs
Do you feel that you fully understand how working in a strategic relationship such as that with [Sponsor X] differs
from working in a more traditional (transactional) Sponsor-CRO relationship?
Yes 60%
No 17%
Don't Know 23%
N=112
SAMPLE DATA Sponsor vs. CRO Perceptions of Strategic Partnering
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Do you feel that you fully understand how working in a strategic relationship differs from working in a more traditional (transactional) Sponsor-CRO
relationship?
75%
71%
50%
50%
20%
14%
21%
60%
25%
14%
29%
50%
20%
0% 20% 40% 60% 80% 100%
Statistics
Project Management
Clinical Operations
Country Offices
Data Management
Yes No Don't know
N
24
35
42
40
35
SAMPLE DATA Sponsor: Differences between Strategic Partnering and Other Models
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Sponsor CRO Difference N= 145 166
I have confidence in CRO's ability to make appropriate operational decisions [without input from Sponsor] under the new strategic model. 3.1 4.2 1.1
Within Sponsor, roles and responsibilities for the management of CROs under Strategic Partnering are/appear to be clearly defined. 2.4 3.4 1.0
I have confidence that CRO will exercise effective team leadership under the new strategic model. 3.2 4.2 1.0
I have confidence that CRO will be successful at meeting Sponsor’s expectations for deliverables under the new strategic model. 3.3 4.3 1.0
For my areas of responsibility, I understand how CRO’s expectations of Sponsor will change under the new model. 3.0 3.8 0.8
I believe that we will need to improve the way we work with CROs in order to ensure success with the new outsourcing approach/I believe that Sponsor will need to change the way that it works with clinical service providers in order to ensure success with the new outsourcing approach.
3.2 3.9 0.7
Sponsor vs. CRO: Transition to Strategic Partnering (mean ratings)
SAMPLE DATA Sponsor vs. CRO: Transition to Strategic Partnering
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• “I feel that both my company and our preferred CROs are doing a good job of building towards the vision. We need to remember to step back and dedicate the resources to ensuring the relationships are heading in the right direction, which is difficult to do when we're all heads down getting drug development projects done.”
• “ This sponsor insists my company's team’s handle communication with the sites in the manner they see fit rather than allowing local teams to utilize their knowledge and experience to decide how best to communicate with their sites. This style of micromanagement has negatively affected site/Investigator relationships and also limited the operational team's ability to perform at their highest level of capability.”
• “It is much more difficult to meet the standards when all data is considered critical. I’d like to see the team be more proactive in managing projects, to anticipate risks, come up with contingency plans, and make recommendations based on our experience.”
• “We need more clearly defined expectations at study level and JOC/management
level. Teams are not organized and make changes during build process, causing delays that impact build time metrics.”
SAMPLE DATA Sponsor & CRO Verbatim Comments
Art & Science of Partnering™
Avoca Training
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The Avoca Model for Establishing Best Practices for Working Effectively in Strategic Partnerships
Analysis
Assessment
A Approach Action
The Art and Science of Partnering™
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The Art and Science of Partnering™
• Preparing for launch: defining needs and expectations based on Alliance charter
Analysis
• Creating a successful partnership: establishing a shared operating model Approach
• Managing and monitoring success Assessment
• Taking corrective measures and positive action to ensure project/partnership success
Action
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The Art and Science of Partnering™
Analysis Approach Assessment Action
Critical Thinking
Communication
Avoca’s methodology and instruction focuses on the two parallel dimensions of Communication and Critical Thinking Skills
Thank you
Contact Avoca at: (609) 252-9020
www.theavocagroup.com
179 Nassau Street Suite 3A
Princeton, NJ 08542