The pharmaceutical industry has been focusing much of its energy on producing the next chartbusting drugs.
However, the industry is also facing challenges in terms of the changing regulations, increasing number of declines on drug approvals and the continuing need to develop high value biologics. Refocusing efforts is imperative.
There are existing processes, systems and practices that need to be immediately addressed. Key performance indicators (KPI) using BI tools help corporations identify areas that need continuous development and highlight successes already achieved. This helps pharmaceutical companies grasp their management operations better.
What is KPI?
Simply put, KPI is a measurement of something that is vital in a business’s operations. In the pharmaceutical industry, measurements on drug cost overall trend for a certain drug are examples of KPIs.
What KPIs to Include
Before using dashboard software to view KPIs, it is important that useful KPIs be identified first. Some KPIs are not useful to a certain organization, depending on the operations and the needs of that organization. It is therefore important to have long discussions first before operating a KPI dashboard. Discussions should tackle on:
- Assessing the organization’s strategies.
- Determining the business drives that have an impact on the execution of strategies.
- Identification of long-term and short-term goals.
Determining useful KPIs is one the most important tasks of managers. KPIs based on the organization’s objectives are essential components of an effective and helpful dashboard. What you will see on the dashboard will largely depend on how you specify your KPIs.