Upload
deborah-hopkins
View
217
Download
4
Embed Size (px)
Citation preview
Skills for Success in Business Development
Kauffman Campus Best Practices WorkshopPurdue University
Ted T. Ashburn, MD, PhDSenior DirectorCorporate Development Genzyme [email protected]
November 9, 2007
2© 2007 Genzyme Corporation. All rights reserved.
Outline
1. Current Trends
2. Genzyme
3. Business Development in Action
4. Key Skills for Success Business Development General
3© 2007 Genzyme Corporation. All rights reserved.
Outline
1. Current Trends
2. Genzyme
3. Business Development in Action
4. Key Skills for Success Business Development General
4© 2007 Genzyme Corporation. All rights reserved.
1. The Pharmaceutical Value Chain
Ashburn & Thor, Nature Reviews Drug Discovery, Aug, 2004, pg 673-683Gilbert, Henske & Singh, IN VIVO, Nov, 2003
• 10-17 years, $1.7 billion+ process• > 75 different disciplines• < 10% overall probability of success once a
candidate enters clinical trials!!!
Idea! Drug
• Testing starts at Phase I (Phase I/II for cancer)
• In vitro• Ex vivo• In vivo• In silico• High
throughput
• Bioavailability• Systemic
exposure
• Traditional Med. Chem.
• Rational drug design
TargetDiscovery
Discovery& Screening
LeadOptim. ADMET
ClinicalDevelop.
Regis-tration.
2-3 yr 0.5-1 yr 1-3 yr 1-2 yr 5-6 yr 1-2 yr
• U.S (FDA)• E.U. (EMEA)• Japan (MHLW)• Rest of World
• Expression analysis
• In vitro function• In vivo
validation• Bioinformatics
5© 2007 Genzyme Corporation. All rights reserved.
1. The Industry’s Productivity Gap
Ashburn & Thor, Nature Reviews Drug Discovery, Aug, 2004, pg 673-683
6© 2007 Genzyme Corporation. All rights reserved.
1. Possible Explanation for the Industry’s Productivity Gap
Chemical Starting Point
TargetValidation
DevelopmentComplexity
Drug
Disease
1940’s 1960’s 1990’s Today
TheFruit
IsGettingHigher!
Hypertension
adrenaline
propranolol
Med
Med
BacterialInfections
penicillin
penicillin
High
Low
Arthritis
celecoxib
Screening/RDD
Low
High
Alzheimer’s
N.A.
Screening/RDD
Very Low
Very High
7© 2007 Genzyme Corporation. All rights reserved.
1. Why Innovation in HealthCare Is Important
Adapted from: Christensen, Bohmer & Kenagy, Harvard Business Review, Sept-Oct, 2000
Time
Complexity of treatment
By Pass (Heart Surgeons)
Stents (Cardiologists)
Antihyperlipidemics(PCP’s & NP’s)
OTC Antihyperlipidemics?(Patients)
8© 2007 Genzyme Corporation. All rights reserved.
0
50
100
150
200
250
300
Sales >$500M in '01* Drugs Approved inthe '90's**
1. Where Does Innovation Come From?
** NIH Response to the Conference Report Request for a Plan to Ensure Taxpayers' Interests are Protected. NIH Response to the Conference Report Request for a Plan to Ensure Taxpayers' Interests are Protected. Department of HHS, NIH. July 2001. Available at: http://www.nih.gov/news/070101wyden.jsp. Department of HHS, NIH. July 2001. Available at: http://www.nih.gov/news/070101wyden.jsp.
**** Tufts UniversityTufts University
> 90% of all new
drugs are developed
by the Pharma Industry
0
50
100
150
200
250
300
Sales >$500M in '01* Drugs Approved inthe '90's**
IndustryGov./Acad./Non-Prof.
9© 2007 Genzyme Corporation. All rights reserved.
1. Dependency of revenues on externally sourced products
39%
41%
43%
45%
47%
49%
04 05 06f 07f 08f 09f 10f
Big Pharma
Mid Pharma
Source: Datamonitor; company-reported information
~½ of all innovation
comes from small companies
10© 2007 Genzyme Corporation. All rights reserved.
Outline
1. Current Trends
2. Genzyme
3. Business Development in Action
4. Key Skills for Success Business Development General
11© 2007 Genzyme Corporation. All rights reserved.
2. Our Global Corporation
>9,500 employees worldwide Helping patients in nearly 90 countries 17 manufacturing sites 9 genetic testing lab sites 14 marketed products 2006 revenue of $3.2 billion >70 locations in >30 countries
12© 2007 Genzyme Corporation. All rights reserved.
2. Our Revenue Growth
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07(E)
$
$ I
n M
illio
ns
13© 2007 Genzyme Corporation. All rights reserved.
2. Awards and Recognition
One of the “100 Best Companies to Work for” by FORTUNE
Named a top employer by Science
Rated one of the most generous in-kind givers by BusinessWeek
Named to the Dow Jones Sustainability
Genzyme Center recognized as one of the most environmentally responsible U.S. buildings
14© 2007 Genzyme Corporation. All rights reserved.
2. Our Major Marketed Products & Services
Thymoglobulin®
Hectorol®
Renal
Renagel®
Fabrazyme®
Genetic Diseases
Aldurazyme®
Cerezyme®
Oncology/ Endocrinology
Synvisc®
SepraTM Products
Orthopaedics/Biosurgery
Carticel®
MACI® Thyrogen®
Campath®
Clolar®
Transplant/ Immune Disease
Myozyme®
Genetic Testing
Reproductive
Oncology
Infectious Disease
Cardiovascular
Cardiovascular
Cholestagel
15© 2007 Genzyme Corporation. All rights reserved.
Outline
1. Current Trends
2. Genzyme
3. Business Development in Action
4. Key Skills for Success BD General
16© 2007 Genzyme Corporation. All rights reserved.
3. Summary: What is Business Development?
In larger companies– Licensing/Acquisitions Department – “Buying”
In smaller companies– “BD is the Marketing & Sales before there are
any products”– “Selling” (and sometimes buying)
Source: Jack Anthony, SVP, Business Development, Saegis Pharmaceuticals
17© 2007 Genzyme Corporation. All rights reserved.
3. Genzyme Strategy: Growth By Building Value
MaximizeShareholder
value
Organic growth / status quo
Optimize capitalstructure
Improve investorunderstanding
Large scale transaction/merger/ sale
Strategic transactions
Streamline portfolio
Add-on acquisitions
Licensing arrangementsjoint ventures
Goal: To Remain
A Growth Stock
Objective: 20%-25% E.P.S. Growth
CD is Here
18© 2007 Genzyme Corporation. All rights reserved.
3. An Integrated/Cross-Functional Approach
Corporate Developm
ent
Finance
Legal
Business Unit
19© 2007 Genzyme Corporation. All rights reserved.
3. Genzyme Deal Criteria
Significant Unmet Medical Need– Rare diseases– New Standard of Care
Risk-reduced Opportunities– Human POC or later– Clear Regulatory pathways
Focused Call Point(s)– Not PCP’s
Partnerships– Desire to work together to create value– Both Regional and worldwide
20© 2007 Genzyme Corporation. All rights reserved.
3. The “Kissing Lots Of Frogs” Problem
It takes 10-17 yrs & over $1.7 bn to develop a drug < 1 in 10 that begin human trials reach the market Late stage clinical trials are often delayed/stopped Hundreds of ongoing clinical trials targeting
hundreds of diseases > 1,500 private & public biotech companies (US) < 35% of approved products justify the cost of
development & launch 20% earnings growth promised to Wall Street
We Can’t Be Too “Picky” About Where
We Find Good Opportunities
21© 2007 Genzyme Corporation. All rights reserved.
3. A Transformation (One Step at a Time)
LSDs OrthopaedicsGeneticsDiagnostics
Genzyme pre-2000
Biomaterials
- 1999 Revenues: $750M
- Market Cap: $3.5B
Cerezyme®
Fabrazyme®
Aldurazyme®
Myozyme®
Niemann Pick
LSDs
Renagel ®
Renvela
Renal fibrosis
Tolevamer
Synvisc ®
Carticel ®
Synvisc II
Orthopaedics/Biomaterials
Thymoglobulin®/
Lymphoglobulin®
Mozobil
TGF antibodies
FC gamma receptor
Transplant &Immune Disease
Thyrogen®
CAMPATH®
CLOLAR®
ILX-651DENSPM liver
Oncology/Endocrinology
GeneticsDiagnostics
Renal
Genzyme 2007
GelTex
12/00
Biomatrix
12/00SangStat
9/03
Ilex
12/04
IMPATH
4/04
Hylastan
Cancer
Sepra
I2S (Asia)
Reproductive Hectorol ®
Bone Care
7/05
WYE/Synvisc
1/05
GelTex
12/00
Biomatrix
12/00SangStat
9/03
AnorMED
11/06
Ilex/Bio-envision
12/04
10/07
IMPATH
4/04
Bone Care
7/05
WYE/Synvisc
1/05
- 2006 Revenues: ~$3.2B
- Market Cap: $18B
CerezymeGabi/Epicel
CarticelPre-natal Sepra
22© 2007 Genzyme Corporation. All rights reserved.
Who are Business Development People?
“Top Notch Business Development People are People who have an irresistible urge to Make Things Happen”
Source: Jack Anthony, SVP, Business Development, Saegis Pharmaceuticals
23© 2007 Genzyme Corporation. All rights reserved.
3. BD Backgrounds at Genzyme
10 MBA’s (Wharton, Harvard, Kellogg) 4 PhD’s
– Harvard PhD (Biomedical engineering) with small cap biotech & start-up experience
– xScientist from Integrated Genetics– MIT trained chemist
3 xSales Reps (Lilly & BMS) 3 JD’s (Georgetown & Harvard) 2 xConsultants (Bain & McKinsey) 1 MPH (BU) & 1 MD (Missouri) 1 overly-trained individual
– Harvard/MIT trained MD/PhD with Big Rx, VC & start-up experience
Anyone can do this as
long as they are
exceptionally strong at…
24© 2007 Genzyme Corporation. All rights reserved.
4. Key Skills for Success: Business Development
Selling Ability Listener Organized/
Organizer Planner Presenter Cold Caller Articulate
Enthusiastic People Person Lucky Manager Science Friendly Reality Based Common Sense
Source: Jack Anthony, SVP, Business Development, Saegis Pharmaceuticals
25© 2007 Genzyme Corporation. All rights reserved.
4. Key Skills for Success: General
1. Find a Cause
2. Think BIG!
3. READ VORACIOUSLY!
4. Take care of yourself
5. Have a platform…
Skills for Success in Business Development
Kauffman Campus Best Practices WorkshopPurdue University
Ted T. Ashburn, MD, PhDSenior DirectorCorporate Development Genzyme [email protected]
November 9, 2007