What is Pharmaceuticals?
Pharmaceutical companies handle the research, development, manufacturing, marketing and distribution of pharmaceutical drugs to healthcare service providers (physicians, pharmacies, hospitals, etc.) and consumers. Pharmaceutical products must go through extensive research and testing (i.e., research & development, clinical trials), as well as follow regulations and obtain approval from government authorities such as the Food and Drug Administration (FDA), before full-scale market release. Once pharmaceutical products have been approved for large-scale distribution, Pharmaceutical companies scale-up manufacturing processes and align themselves with intermediaries to market and sell the drug through various channels (direct-to-consumer, or through distribution channels such as pharmacies and hospitals).
R&D Expense per New Drug Developed
The total expense incurred by a Pharmaceutical company's Research & Development (R&D) Department divided by the number of new drugs developed over the same period of time. R&D expense includ...
KPI Type : Cost
Formula : R&D Expense Incurred / Number of New Drugs Developed
KPI Benchmark Range : $61M-$7,578M
A typical pharmaceutical company is composed of several common sub-functions, or teams, that work together to research (typically involves numerous lengthy phases of clinical trials, drug approval and post-approval monitoring), manufacture and distribute pharmaceutical drugs to healthcare service providers (physicians, pharmacies, hospitals, etc.) and consumers. Pharmaceutical employees, furthermore, are responsible for managing all information related to the products they produce (proper labeling, education, etc.) as well as providing PAPS initiatives to eligible customers. Browse our Pharmaceutical organization chart page to learn about the roles and responsibilities of each major function. Then, download our org chart template (PDF, Visio, PPT) to further understand the pharmaceutical organizational structure, and support improvement efforts within pharmaceutical operations.
Check out our pharmaceutical best practices page to view selected descriptions of work methods that have been proven to produce better results (as compared to other, similar methods). Want more? Download our Pharmaceuticals best practices guide, which provides a healthy selection of valuable best practices that can be incorporated to improve pharmaceutical operations. There might not be only one "best" way to perform every task. However, there is always a "better" way.