Useful Advices - Business

Corporate pipelines tend to be political tools and are rarely a true reflection of what’s happening within the sales function. Most often, they are used to show management what management wants to see.

Word comes down from manag

According to USFDA, a combination product is one composed of any combination of a drug and device; biological product and device; drug and biological product

ement that “there is not enough in the pipeline”, so the sales reps begin to populate the pipeline with data — any data — to show they’re working on something. This keeps management off their backs for a little while longer but i

; or drug, device, and biological product and fixed dose combination would include two or more combinations of drug.

Examples of combination products may in

f a large deal is put into the pipeline this then gets focus and attention because the big guns want to know that it's being managed properly. This leads to more pressure.

This management pressure is the reason many big deals do

lude drug-coated devices, drugs packaged with delivery devices in medical kits, and drugs and devices packaged separately but intended to be used together.

n’t appear in the pipeline until the very last moment – when the sales rep is sure that it has a good chance of closing. The technical term for this is ‘sandbagging’, which also happens when a rep has already made his number for

here is enormous increase in the number of combination products entering the market in the recent years. Combination products have proven advantages but fixe

the sales period but wants a good start to the next. This is often an indication that the company’s commission plan has not been well developed because accelerators should be sufficient to ensure that the extra commission made

d dose combinations are still in the process of convincing regulatory authority on their advantages over the single ingredient formulations.

Combination pro

on exceeded targets is motivation enough to disclose all closed deals.

Other deals seem to come out of nowhere. The customer has not kept the rep informed or the decision has been made at HQ and the division has been told to buy

ucts have become life saving products for the pharmaceutical companies who doesn’t have many innovative molecules in their product pipeline and have been inc

. They place the order without the sales rep having to do any selling. The technical term for this is a ‘bluebird’.

It’s no wonder that the sales manger has to spend time looking at the forecast and interpreting it based on his

easingly used in the product life cycle management. Even the companies having product patents are trying to extend their product life cycle through the combi

xperience and knowledge of his sales team and their territory. He needs to know how his team is going to make their number but also wants to keep his job. Bad news, therefore, is only ever delivered upwards when necessary—at the

nation products and maximize the revenues. But the companies involved in this practice are overlooking that they are burdening the patients both economically

end of a sales period or when a large deal is lost. Of course, if the lost deal was a sandbag then even that doesn’t need to be reported!

If both the sales rep and the sales manager knew at the beginning of the period that the t

and physically. They need to rightly judge the benefits of the combination products and they have to even look at the risks involved when combining the produ

arget was not going to be met they could do something to make up the shortfall. It's unlikely that every sales rep within a team will make or exceed their target every period. The important thing is that the group number is made.

ts. Some of the combination products were well accepted by physicians while others suffered. Companies involved in development of combination products are fi

If the group number is made, the pressure is less: it’s only when that number is not made that pressure mounts.

This works all the way up the chain. If the organization makes its number then everyone is happy. If the number isn

ding difficulty in defining their combination products and facing various challenges from selecting a combination to marketing it.

Following aspects would a

’t made then the pressure starts to bear on the area that had the shortfall.

Sales professionals need tools to help them to do their job. Unfortunately, the tools supplied by an organization are often for the benefit of the orga

dd to the challenges in developing combination products:

Which markets to tap where the combination products can do fairly well?
Which combination prod

nization itself and not to the individual’s advantage. Even then, the tools are rarely fit for purpose.

For instance, the pipeline is used as a management tool to make sure there are enough deals in the right places to meet targ

cts are meaningful and rational?
Which therapeutic categories to select?
Which Combinations can address unmet needs of the patients?
Do combin

ets. In other words, it becomes a reporting tool. These reporting tools are often misguided in their approach to the problem.

A pipeline’s primary purpose is to show you are in control. It gives you the ability to predict the ou

tions increase the patient compliance?
What would be the developing cost?
How to tackle the risks encountered during combination product developmen

come, even if that outcome actually falls short of your sales target. Prediction is only successful when it’s accurate. If you say you’re going to come out at 100% and you come out at 110% that’s not good. It may be good in reven

t?

As combination products don't fit into the traditional categories of drugs, medical devices, or biological products, the USFDA is in the process of devel

ue terms but it’s not an accurate prediction.

If you say you’re going to come out at 100% and you come out at 90% that’s good in neither prediction nor revenue terms. If you can predict accurately, it gives your organization the

ping new procedures for reviewing their safety, efficacy and quality.

Professional from academic institutions, pharmaceutical industries, health care indust

chance to make up shortfalls from somewhere else or cover shortfalls elsewhere in the team.

At the beginning of any period you need to be able to show how you’re going to make your number. You need to be able to identify deals,

y and representatives from various regulatory agencies are working out to design the regulatory requirements for manufacture and sale of combination products

define their current status, and state when they’ll close. If you run your pipeline correctly you’ll also be able to put your effort into the most important deals.

The most important deals are not necessarily t

.

As there is an increasing trend of the combination products companies manufacturing such products should be able to tackle the problems involved in the de

he ones with the largest value. The most important deals are the ones that will be closing. You also want to make sure that your pipeline only contains deals you know you can win. Working on deals that you know y

elopment. They need to be wiser in analyzing the market trends and the regulatory requirements.

Companies that provide selfless information through particip

ou are going to lose is a waste of energy. The majority of corporate pipelines give no indication to their sales reps or their managers where the effort should go, which is why large deals are always considered the most important

tion in industry events and feedback to regulatory authorities would be able to face the challenges and will be successful in developing combination products

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