Redefining Innovation : Embracing the 80-80 Rule to Ignite Growth in the Biopharmaceutical Industry

"Most people marvel at the level of innovation demonstrated by the biopharmaceutical industry in bringing new products to the market especially in the past 20 years. However, there is a crisis looming in the industry that should be a concern to all of us who take for granted the constant pace at which new treatments, and increasingly cures, have emerged from the laboratories of current sector incumbents. In the book, we examine the evolution of the biopharmaceutical industry to understand how it became what we term a "unicorn industry" with a unique, US-centered business model that has led to multiple blockbuster products (aka, unicorns) year after year. We explore how past success has created perceived barriers to innovation diversification beyond the chemical or biological-based biopharmaceutical product, and highlight the warning signs of the industrys decline. We define a potential pathway for transforming the industrys business model by broadening the definition, sources, and enablers of innovation beyond the traditional biopharmaceutical product. We introduce and advocate for the 80-80 Rule - "Being 80% confident that you will only be 80% right the first time should feel normal." The 80-80 Rule is a theme that emphasizes speed and willingness to embrace uncertainty and overcome internal barriers to change. It sets the standard for redefining innovation as a platform to reignite growth of the biopharmaceutical industry."--Provided by publisher Cover 1 Half Title 2 Title Page 4 Copyright Page 5 Contents 6 Reviews 10 Setting the Context 14 Foreword 16 Preface 22 Acknowledgments 32 The 80-80 Rule 36 Section I: Redefining Innovation 40 1. Rise of a Unicorn Industry 42 Unintended Consequences of Disconnected Choices 43 The Western Biopharmaceutical Industry Takes Shape 45 The Golden Era 51 A “Unicorn Industry” Is in Place 58 A Perspective on Global Differences in Reimbursement of Biopharmaceuticals 64 Endnotes 65 2. The Unicorn Industry Loses Its Wings 68 Limited White Spaces for Traditional Product-Focused Innovation 73 Therapies versus Cures 74 Outcome and Value versus Safety and Efficacy 75 Transition from Old to New Technology 76 Commoditization 78 Consumerism 81 New Disruptors 83 Evolution of the Regulatory Framework as a Source of Disruption 85 An Industry Perspective 90 The Future? 93 Endnotes 96 3. An Experiment in Challenging the Status Quo 98 Challenging the Status Quo 99 Innovation Is Not a Choice 102 Endnotes 106 4. Innovation Redefined 108 Redefining Innovation 111 Drive the Core, but Know It Is a Short-Term Game 115 Invest in Adjacent; It Is Easier to Execute 120 Experiment with Breakthrough to Define New Futures 133 Beyond Healthcare 135 Endnotes 137 5. Next-Generation Unicorn Industry 140 Endnotes 148 Section II: Igniting Growth 150 6. Applying “The 80-80 Rule” 152 7. Setting Up for Success 156 Leadership Foresight and Courage to Invest 156 A New Breed of Leaders 159 Teaming the Right Talent 163 Reflections on the Experiment in Challenging the Status Quo 170 Endnote 171 8. Finding White Spaces 172 Embrace the Need, Money Will Follow 174 Outside In First, Inside Out Next 179 Endnotes 184 9. Developing New Ventures 186 Design for the End User, but Consider the Ecosystem 188 Keep It Modular 189 Keep It Simple 190 10. Becoming Adept at Partnering 198 Partnerships That Span Development and Commercialization 202 Making Partnerships Work 205 11. Afterword 208 Authors 216 Index 220 Embracing the 80-80 Rule to Ignite Growth in the Biopharmaceutical Industry The 80-80 Rule sets the standard for redefining innovation as a platform to reignite the growth engines of the biopharmaceutical industry, which should become the new normal.