Press Release

Taking “Closed Loop” to the Next Level: Re-Imagining Sales and Managed Markets as an Interactive System

TGaS^® Advisors Finds Managed Markets “Most Important Focus” For Senior Operations Execs

East Norriton, Penn., April 28, 2009 – Sales resources focus heavily on physicians, but the real influencers are third-party payers, who impact 95% of prescriptions. Top pharmaceutical organization executives recognize the imperative for change, while also acknowledging that deeply ingrained patterns of doing business work against it. Senior operations executives from 28 leading pharmaceutical and biotech companies clearly identified Managed Markets as the most important focus for the industry this year, even ahead of the Field Force, in the TGaS^® Advisors 2009 Annual State of Commercial Operations Benchmark. Participants also identified increased Managed Markets skills as the most important areas for both Field Force and Product Marketing areas. Yet when asked to rate the degree of integration among the Field Force, Marketing and Managed Markets sectors, these executives ranked the industry at only 56 on a scale of 1 to 100.

Managed Markets accounts for just 5% of total brand spend in a typical marketing budget, according to the TGaS Advisors Future of Managed Markets 2009 Benchmark. Similarly, 10% of the average operations budget goes for Managed Markets support, compared to 51% for sales operations. “The disconnect is clear,” said Brian Bamberger, Vice President, Management Advisor for the benchmarking and advisory services firm’s Managed Markets Practice. “The challenge is how to manage it.”

Responding to these concerns, Bamberger calls for a “Closed Loop Managed Markets System” to bridge the chasm. A holistic, interactive system that integrates Sales, Marketing and Managed Markets, Closed Loop Managed Markets would break down traditional silos and encourage communication in real time with constant updates. Bamberger articulated his vision in a recent White Paper, “Prescription for Success: Re-Imagining Sales & Managed Markets as a ‘Closed Loop’ System,” published by TGaS Advisors. The firm, serving commercial organizations in the pharmaceutical and biotech industry, conducts benchmarks to gather data on “how other pharmaceutical companies do ‘it’^®”and helps clients identify strategic solutions on a collaborative basis.

Bamberger has thought about how to solve this issue throughout his 20-year career in Managed Markets. Although some companies have instituted different aspects of this approach, a Closed Loop Managed Markets System is still an ideal, according to Bamberger, who defines it as a “rational, integrated system with technologies, data, analytics, services and support, an ‘expert system’ if you will, that brings together the combined wisdom of the organization, finds insights and makes them usable across the Sales, Marketing and Managed Markets continuum.” This unified vision, he predicted, would result in “a consistent message to the field and mutual support for sales incentives and controls for Sales Reps and Account Managers.”

About TGaS^® Advisors LLC

TGaS Advisors, ranked ninth among health-related companies by the Inc. 500, is the leader in benchmarking and advisory services to the pharmaceutical and biopharmaceutical industry. The TGaS Advisors roster includes nine of the top 10 and the majority of the top 50 pharmaceutical companies with operations in the U.S. market. The firm’s benchmarking and advisory services suite of solutions, PharmaStance^®, provides clients with a way to measure where they stand with respect to their organizations and answers the question, “How do other pharmaceutical companies do ‘it’?”^® TGaS Advisors is based in East Norriton, Pennsylvania.

Other 2009:

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