Is Your Life Sciences Organization Ready for the MDM Revolution?

Transcription

1 Is Your Life Sciences Organization Ready for the MDM Revolution? Faisal Zaidi and Raj Jayashankar June 4, 2015 This presentation is solely for the use of client personnel. No part of it may be circulated, quoted or reproduced for distribution outside of the client organization without prior written approval of ZS Associates. Evanston

2 About Our Presenters Faisal Zaidi is a Principal in the ZS Princeton office and currently leads our MDM practice at ZS Associates. He has been helping life sciences companies for the last 17 years and specializes in master data management, business Intelligence, data warehousing and commercial analytics. Faisal has helped numerous clients in various geographies ranging from North America, EMEA and Asia Pacific. Raj Jayashankar is a Principal in the ZS Boston office and currently leads our ops/tech practice within the medical products and services industry. Raj has extensive experience in commercial operations, information management and analytics. He has worked on large transformational projects in the areas of business model innovation, business operations, change management and commercial analytics ZS Associates CONFIDENTIAL 2

3 Why Does Master Data Management Matter? 2015 ZS Associates CONFIDENTIAL 3

4 What Does Your MDM Solution Look Like? 2015 ZS Associates CONFIDENTIAL 4

5 What Do We Mean by MDM? Creation of consolidated customer records (accounts & physicians customer master) with proper affiliation and hierarchies. Other domain masters to include: product, payer/plan and alignment. Client Data Market Share Key MDM Activities Sales Planning 3rd Party Data Sources Data Profiling Data Quality Management Sales & Marketing Effectiveness Data Stewardship & Governance Industry Insights Dashboard Analytics Advanced Analytics 2015 ZS Associates CONFIDENTIAL 5

6 What Are Life Science Companies Saying? We talk a lot about selling to the C-suite, but rarely go there. VP of Sales Monitoring the Sunshine Act compliance is extraordinarily challenging. Compliance My key account team spends too much time on IDNs and GPOs that don t drive compliance. District Manager We invest in CRM and ipads, but where s the ROI? Finance and IT We have account-level data, but the sales force thinks it s unreliable. Commercial Operations We need a 360-degree view of the customer to better prepare campaigns. VP of Marketing The fundamental source of failure or limited success is often poor master data management ZS Associates CONFIDENTIAL 6

7 Data Challenges Are Plentiful and Sometimes Debilitating Explosion of data combined with increasing quality and compliance requirements Rigid platforms lack the flexibility needed to quickly and easily scale Quality of customer data is inconsistent Historically high cost for implementation and operations 2015 ZS Associates CONFIDENTIAL 7

8 A Modern MDM Solution 2015 ZS Associates CONFIDENTIAL 8

9 The Healthcare Space = A Complicated Data Maze Retail, Hospital, Transplant and Oncology Multifaceted Healthcare Ecosystem Payers IDNs GPOs Classes Network Definition An entity that is one system, institution and/or unit together with non-ownership relationships such as affiliation, association, group purchasing Multisite MD Groups Plans PBMs Hospital Systems Transplant Centers System An entity that holds more than one institution or unit with legal ownership relationship Institution An entity that is a physical structure with a unique public street address and provides healthcare services to patients MD Group Practices (LUGPA, etc.) Prescribers (PCPs, UROs, OBGs, etc.) Clinics and Medical Groups Nurses Social Workers Outpatient Clinics Pharmacies Infusion Suites Surgeons Practice Managers Oncologists Unit An entity that is physically within a building and characterized by a distinct medical functionality. May or may not be owned by the institution within the building (if one exists). As an organization expands its portfolio and customer information, a unified view is vital ZS Associates CONFIDENTIAL 9

10 Key Trends We Are Observing Industry-specific solutions designed for industry issues (HCO/HCP master, oncology, med device) Technology and data advancements like cloud solutions, crowd sourcing, graphical interfaces, social media Key roles & services to be filled with right expertise, such as the chief data officer and MDM as a service concept 2015 ZS Associates CONFIDENTIAL 10

11 A Well-Functioning and Integrated Solution Sales Team Interactions 2 1 Practitioners or Accounts and Payers Customer Hub Key Commercial Processes Alignment Call Planning Incentives Analytics Samples Compliance 2015 ZS Associates CONFIDENTIAL 11

12 What Does It Take to Succeed in the Digital Age? From Data Management That Leverages traditional consolidated data warehouses Uses complex and stringent business rules within an IT driven model Employs dimensional data by business applications to Information Management That Provides a holistic strategy Enables guardrails for business users or data stewards Leverages cloud-based data management and enrichment Leads to higher-quality and richer data sets 2015 ZS Associates CONFIDENTIAL 12

13 Future Strategic Planning Assumptions By 2017, 50% of information governance initiatives will incorporate the concept of information advocacy, to ensure they are value driven. Data stewards and data custodians will become active proponents of information assets management. 25% of large enterprises will have a digital ethics code of conduct to avoid the abuse of information and ensure consumer value. Source : Gartner - Predicts 2015: Information Governance and MDM Will Be Foundational to Improving Digital Culture 2015 ZS Associates CONFIDENTIAL 13

14 Future Strategic Planning Assumptions By 2018, 40% of CRM and ERP customers will demand solutions that embed master data management capabilities. With increasing awareness of information as an asset, CRM and ERP users will stress preferred configuration, highlighting gaps in legacy systems leading to dedicated MDM solutions. Regulatory disclosures that are related to a failure in the organizational information risk-control environment will see a rise of 50%. 90% of information governance programs based on "citizen stewards" will fail to meet their declared objectives. Source : Gartner - Predicts 2015: Information Governance and MDM Will Be Foundational to Improving Digital Culture 2015 ZS Associates CONFIDENTIAL 14

15 A Future MDM Solution 2015 ZS Associates CONFIDENTIAL 15

16 What Is an Effective MDM Strategy? Go further than simple data quality management to encompass: 2015 ZS Associates CONFIDENTIAL 16

17 Insightful, User-Friendly, Efficient and Agile (MDM) Capability Client Situation Currently uses an on-premise MDM platform that is not as extensible with limited matching capabilities. Limited agility Limited account or affiliation management capabilities Limited matching and merging capabilities Key Objectives Best-in-class customer master data management services Data stewardship services, with enhanced user experience Minimal disruption to business during transition and reduction of MDM operational cost Support for agility and flexibility 2015 ZS Associates CONFIDENTIAL 17

18 How Have Clients Transformed With a Holistic MDM Solution? Key Account Management Support Intuitive and accurate key account management, enabling account-based selling Support KAM reporting Sales Reporting Consolidated master data for downstream systems Eliminate data redundancies, duplicates Incentive Compensation Better location management to drive accurate IC calculation Account Potential or Targeting Consolidated customer master list with relationships and hierarchies for accurate attributes required for target lists for field Whitespace or Gap Analysis Members of contracted GPO or IDN who are not purchasing Identify addressable market and white space opportunities Purchasing Influence Mapping Identify the buying decision makers Report on sales through hospital versus IDN or GPO contract 2015 ZS Associates CONFIDENTIAL 18

19 Questions? Thank you! Faisal Zaidi Principal ZS Associates Raj Jayashankar Principal ZS Associates ZS Associates ZS Associates CONFIDENTIAL 19