P ROGRAM
O N THE
P HARMACEUTICAL
I NDUSTRY
MIT Sloan School of Management
Cambridge, Massachusetts
 

The Future of The Pharmaceutical Industry

What are the implications for your organization of these revolutionary innovations in pharmaceutical technology? How will they impact your efforts to reduce costs and increase profitability, develop new chemistries and promising new drug targets, make better pre-clinical decisions and better manage your R&D portfolio? What key changes will you begin to see as you move into the 21st century?

These are the issues which we will address in "The Future of the Pharmaceutical Industry," a one-and-a-half day briefing for senior corporate and technical executives on growth, change and opportunity in the pharmaceutical/biotechnology industry, to be held December 13-14, 1999, in Cambridge Massachusetts. Please accept my invitation to participate.

Led by distinguished faculty of MIT scientists, engineers and researchers, we well as noted industry experts, the program will focus on how technology is driving change in four areas:

        1.  Drug discovery

        2.  Drug development

        3.  Drug manufacturing, and

        4.  Drug evaluation

You will learn about miniaturized drug diagnosis and delivery systems, visualization tools which allow fast measurement at low concentrations, measurement technologies for facilitating the development of novel drugs, developing manufacturing strategies that will sustain you over the next decade, new quantitative techniques for evaluating product success in the marketplace, and more.

I urge you to review the enclosed prospectus, then to contact Alison Dibner, program coordinator, at (781) 239-1111 to reserve your place at the program. We look forward to seeing you in Cambridge in December.

Sincerely,

Stan N. Finkelstein, M.D.
Co-Director, Program on the Pharmaceutical Industry

On the State of the Industry

In 1991, an ambitious project was undertaken at MIT to create an interactive research center to explore the factors that drive, constrain, and enhance the performance and competitiveness of the pharmaceutical/biotechnology industry. By assembling a high-quality, multi-disciplinary MIT faculty representing chemistry, life sciences, engineering, economics, and management sciences, the MIT Program on the Pharmaceutical Industry (POPI) was able to initiate some 20 successful research projects that examine crucial strategic areas facing drug and biotechnology companies today, including:

• R&D productivity
• drug development
• technology transfer
• investment in pharmaceutical and biotech R&D
• project management
• outcomes research
• pharmaceutical manufacturing
• the economics of new drug markets, and
• management of the marketplace.

Led by faculty of senior academic and industry researchers, the program includes four panels designed to preview the impacts of emerging technological innovations on the pharmaceutical and biotechnology industry now and into the first decade of the 21st century, and to provide insights from MIT and industry experts on the implications for pharmaceutical business.

Who Should Attend

This program has been designed for senior executives in organizations affiliated with the pharmaceutical/biotechnology industry, including Chief Executive Officers; Presidents; Board Chairmen and Board Members; Executive Vice Presidents; Vice Presidents of Sales and Marketing, Manufacturing, Research and Development, Technology, Finance, and Operations; Corporate Counsel; Strategic Planners, and other executives involved with scientific, technical or management issues critical to the long-term health of the industry.

At This Program You Will Learn ...

... about evolving enabling technologies and the impacts they will have as drivers of change in the pharmaceutical and biotech industries, in areas including:

Drug Discovery

• Work being done to develop new chemistries to interrupt protein-protein interactions - and possibly create the next taxol-like drug.
• Rapid screening imaging techniques and microscopes for rapid drug screening in live cells.
• Measuring brain responses to sensory input.
• Hardware and software development for imaging and microarray scanning.

• Microfabrication and closed feedback loops in diagnostics and therapeutics, plus the use of micro robots to sense abnormal tissue and deliver drugs.
• Measurement technologies for speeding-up pre-clinical trials.
• New measurement technologies for facilitating the development of novel drugs.

• The impact on competitiveness of new innovations in manufacturing technology.
• Consolidation and outsourcing in manufacturing strategy.
• Performance metrics in assessing manufacturing performance.

• An innovative framework for making important R&D portfolio capital investment decisions.
• How advertising and scientific rivalries shape product market competition.
• The impact of health on work productivity and the economic cost benefits that can be attributed to using certain medical treatments.
• Future directions in the pharmaceutical/biotech industry.

I. Innovations in Pharmaceutical Technology: An Introduction

This program has been designed to help you reach outside the box and anticipate the innovations, discoveries and key changes you will begin to see as you and your organization move into the 21st century, particularly in product identification, metrics and enabling technologies. A look at the crosscutting themes which run through the program, and the implications for senior corporate and R&D management.

In this segment, you will learn about developments such as new miniaturization measurement techniques and powerful new visualization tools for use in the drug discovery process, along with promising new drug targets and technologies relevant to cancer.

1. An Emerging Revolution in Genomics? Unraveling Protein-Protein Interactions

Work currently underway in chemical genetics and reverse genetics aimed at unraveling networks of protein-protein interactions and involving small molecules interfering with cellular processes. How advances in genomics and proteomics will facilitate the screening of libraries of small molecules against large collections of target proteins. New chemistries designed to disrupt protein-protein interaction.

2. Measurement Techniques & Procedures for Neurobiology, Memory and Learning

How is experience represented and stored in the brain? What ongoing research at MIT has discovered about how memories of places and events are encoded across networks of cells within the brain, and how specific cellular mechanisms regulate neural function to produce learning and memory at the behavioral level.

3. Imaging for Drug Discovery

Until now, whole-cell imaging technology has not been available to couple the study of protein and cell movement to drug discovery. How a new rapid screening device under development at MIT will enable you to measure fast, and at low concentrations, the tracking of drug movement into the nucleus of the cell and the biological response in another part of the cell.

4. Hardware & Software for Imaging and Scanning

Hardware and software opportunities in live-cell, multidimensional and multiple wavelength high resolution imaging, including emerging developments in precise control of all aspects of acquisition and presentation of fluorescent biological specimen data.

The strategic implications of emerging innovations in microfabrication and a new paradigm in drug development and how drugs are going to be supplied. What you should know about the technology of closed loop devices, wherein the same device of technology provides not only diagnostics but guides therapy and delivery of therapeutics.

1. Diagnostics and Drug Delivery in the 21st Century

In this presentation, you'll learn about a different approach to drug delivery that utilizes a new technology developed at MIT for introducing into the human body micro robots that will have sensing for diagnostics. These robots are designed to discharge drug "bullets" into abnormal cells or tissues. What the implications are for a new paradigm in drug development and delivery - closed feedback loops between diagnostics and therapeutics - will be very closely linked in devices and technology.

2. Speeding Up Pre-Clinical Trials

One key to lowering the cost of drug development and lengthy clinical studies is to make better go/no-go decisions early on in the process. In this segment, you will learn about new measurement technologies that allow decision making to facilitate the further development of a new drug. How these new technologies can help you to make important pre-clinical decisions in determining the characteristics of new drugs.

3. New Measurement Technologies in Human Trials

An overview of novel measurement technologies that can applied to making important decisions once drugs are being tested in vivo (e.g. using position emission tomography to define dose in terms of receptor occupancy rather than blood level in psychotropic drug development, and in accessing subtle cancer effects; using MR spectroscopy to measure the profusion of certain drugs in muscle metabolism tests; assessing tissue profusion in real time using ultrasound -- a technique developed at MIT that, applied to the kidney and liver, will guide intensive care kinds of drugs).

With R&D costs rising and pricing pressure on drug pricing increasing, many pharmaceutical companies are turning to drug manufacturing as a way to reduce costs and increase profitability. In this session, we will explore the potential for cost reduction in manufacturing in areas including process improvement by technology change, consolidation and outsourcing to capture economy of scale and scope and continuous learning.

1. Manufacturing Strategy in Consolidation of the Pharmaceutical Industry

In an environment of consolidation, marked by the merger of global pharmaceutical companies, the acquisition of small biotechnology companies and changing trade barriers, there is a need to rethink global manufacturing strategies. As you develop a strategy that will sustain you over the next decade, how do you account for the changing mix of products, technology innovation, opportunities for outsourcing and regulatory changes?

2. Profiting from Innovation in Pharmaceutical Manufacturing

How do you develop an organizational structure that will allow you to manage for innovation in pharmaceutical manufacturing? How do you design metrics to help you assess the impact of change? How do you use measures of improvement to quantify the profit potential from innovation?

3. Microreaction Technology for Pharmaceutical Manufacturing

Miniaturization techniques are revolutionizing the drug discovery process through implementing faster, smaller integrated analytical and synthesis tools. Development of microchemical systems for pharmaceutical manufacturing offers additional opportunities for increased throughput, reduced costs, safer environmentally-benign processing and integration of monitoring and control. In this session, we will discuss design fabrication and application issues in the development of microchemical systems for typical unit operations in pharmaceutical manufacturing.

Companies need to be making such decisions as how to allocate their R&D spending, how to allocate marketing funds across different forms of promotion and how to evaluate the outcomes associated with the uses of their products. What new quantitative approaches and techniques are available to address these decisions?

1. Evaluation of Alternative R&D Portfolio Management Strategies

How can pharmaceutical executives trying to evaluate future market conditions make better decisions about whether to invest in the development and production of a new drug? What you should know about a creative framework for managing the R&D portfolio that factors real-world uncertainties into your go/no-go decisions.

2. New Quantitative Techniques for Evaluating Product Success in the Marketplace

Results of an MIT study showing how different sources of information in prescription drug markets influence the diffusion of pharmaceutical innovation. What researchers found, using a novel index of clinical research output, about the impact of scientific evidence on pharmaceutical sales. What is the relationship between clinical outputs and marketing success?

3. New Approaches to Evaluating the Effectiveness of Pharmaceuticals: The Impact of Health on Work in Diseases Ranging from Nasal Allergies & Asthma to Anxiety

What MIT research shows about the largely overlooked but substantial indirect economic impact of loss of work productivity due to illness and the use of certain medical treatments. How general links among illness, treatment and work productivity relate to pharmaceutical evaluation and marketing.

A panel of distinguished experts explores key changes that lie ahead for pharmaceutical and biotechnology companies.

Program Faculty

Pierre Azoulay, Program on the Pharmaceutical Industry, Massachusetts Institute of Technology

Iain Cockburn, Professor, Boston University School of Management and member of the National Bureau of Economic Research

Charles L. Cooney, Professor, Chemical and Biochemical Engineering; Executive Office Department of Chemical Engineering; and Co-Director, Program on the Pharmaceutical Industry, Massachusetts Institute of Technology

Stan N. Finkelstein, M.D., Co-Director, Program on the Pharmaceutical Industry and Senior Research Scientist, Sloan School of Management, Massachusetts Institute of Technology

Dr. Chris Hitchcock, Director, Preclinical Drug Development, Pfizer Central Research, England

Ian Hunter, Professor of Mechanical Engineering and Professor of Bioengineering, Massachusetts Institute of Technology

Klavs F. Jensen, Professor of Materials Science and Engineering and Lammot du Pont Professor of Chemical Engineering, Department of Chemical Engineering, Massachusetts Institute of Technology

Robert S. Pindyck, Mitsubishi Bank Professor of Economics and Finance, Sloan School of Management, Massachusetts Institute of Technology

Dr. G. K. Raju, Program on the Pharmaceutical Industry, Massachusetts Institute of Technology

Robert H. Rubin, M.D., Osborne Professor of Health Sciences and Technology and Director, Center for Experimental Pharmacology and Therapeutics, Harvard-MIT Division of Health Sciences and Technology; and Professor of Medicine and Chief of Surgical and Transplant Infectious Disease, Department of Medicine, Massachusetts General Hospital

Anthony J. Sinskey, Professor of Microbiology, Department of Biology, Massachusetts Institute of Technology

Peter K. Sorger, Howard and Linda Stern Career Development Associate Professor of Biology, Department of Biology, Massachusetts Institute of Technology

Matthew A. Wilson, Robert A. Swanson Assistant Professor of Biology, Department of Biology, Massachusetts Institute of Technology
 

About the MIT Program on the Pharmaceutical Industry

The MIT Program on the Pharmaceutical Industry (POPI) is a unique university-industry-government partnership based at MIT's Sloan School of Management. It was founded in 1991 to both perform multidisciplinary research into the factors that drive, constrain and enhance the performance and competitiveness of the pharmaceutical/biotechnology industry, and to educate future scientific and management leaders for the industry and for those organizations that supply it, regulate it or use its products. Among its research and educational accomplishments, which involve more than 30 faculty from throughout the MIT community, POPI continues to track ongoing work in areas including drug development, pharmaceutical manufacturing, and the pharmaceutical marketplace.
 

To Register:

Please complete and return this entire page to Alison Dibner, Center for Management Research (conference administration office), 55 William Street, Wellesley, MA 02181, or call Ms. Dibner at (781) 239-1111. You may also fax this page to (781) 239-1546. Confirmation of receipt will be made by mail.

The registration fee is $1,250. It includes luncheons, reception, and complete program materials. It does not include hotel accommodations.

Accommodations: We have reserved a block of rooms at a hotel convenient to the program site. Information on how you may arrange for accommodations will be sent to you approximately 8 weeks prior to the session.

Certificates: Certificates of Participation will be awarded to all those attending the Program.

Attendance Limitations: Attendance will be reserved on a first-come, first-served basis. If a session is canceled, MIT's liability is limited to the registration fee.

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Return this form to Ms. Alison Dibner, Center for Management Research, 55 William Street, Wellesley MA 02181, or Tel. (781) 239-1111; Fax: (781) 239-1546

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[MIT Sloan School of Management]