Transcript Japan ppt - Brian Tempest

Partners in Globalisation
UK Trade & Investment
British Business Group in Mumbai & Pune
Dr. Brian W Tempest
Chief Mentor & Executive Vice Chairman of the Board
Ranbaxy Laboratories Limited, Delhi, India
Ranbaxy Case Study
Mumbai – Thursday 27th September 2007
DR. BRIAN W. TEMPEST CSci, CChem, MRSC, BSc, PhD
Brian Tempest has worked in the pharma industry for the last 36 years. During this
time he has worked for several pharma majors, including Glaxo, Beecham &
Searle, around the world and joined Ranbaxy 12 years ago. During this period
Ranbaxy has transformed from a small company focused on the India domestic
market, to a top 10 global generic company. Dr. Tempest has lived in New Delhi,
India for the last 8 years, and has been President, Managing Director & Chief
Executive Officer and Chief Mentor & Executive Vice Chairman of the Board. Dr.
Tempest retires from Ranbaxy in December 2007 having reached 60.
Dr. Tempest is one of a few westerners to have held a leadership position in an
Indian blue chip MNC, and has an unusual insight into India.
Dr Tempest is also a Honorary Professor of the Management School at Lancaster
University, UK, and he sits on the Editorial Board of the Journal of Generic
Medicines and the Advisory Board of the India Fund held by JM Financial
Investment Managers Ltd n Mumbai.
[email protected] / [email protected]
Mobile +91-98100-91192 / Tel:+44 1753 864 616
Asia’s Share of the World GDP (at PPP in %)
Year
1870
1913
China
India
Japan
Rest of Asia
17%
12%
2%
7%
9%
8%
3%
5%
Total Asia
38%
25%
1950
5%
4%
3%
7%
19%
Source – WEF
- was 59% in 1820 with India 16%, China 33%
1973
2001
5%
3%
8%
9%
12%
5%
7%
13%
25%
37%
Asia on the Rise
Source – FT
A race to prosperity
The Productivity Advantage
India
1 chemist
70 hours/week
$ 800 monthly
a usa Pharma view
Better education x 1.3
Longer working time x 1.3
Lower cost x 20
USA
1 chemist
50 hours/week
$ 12,000 monthly
Sources: IPHMR Conferences, New Delhi August 2004
The Education Advantage
The Education Advantage
Engineers/Science graduates p.a – India 0.7m, China 0.5m, EU 0.5m, USA 0.4m, Japan 0.3m
The Pharma Plants Advantage
Active Pharmaceuticals Facility, Mohali
Dosage Forms Facility, Paonta Sahib
Generics – API’s
USA DMF filings by India
2004
2005
2006
India
187
252
357
China
48
87
128
% Share of USA DMF filings
2004
2005
2006
Q1’07
India
27%
37%
44%
48%
China
9%
10%
14%
17%
Source: US FDA / J P Morgan, 6th August 2006
Source: US FDA / J P Morgan, 2 May 2007
Source: US FDA, Credit Suisse
Generics - ANDAs
ANDA Filings in USA by Indian Companies
300
250
250
200
144
150
100
46
50
64
24
0
2002
2003
2004
2005
2006
- One in every four ANDAs filed by Indian Companies in top
USA FDA filers
Source: KPMG
- No Chinese generic company has yet filed a USA FDA ANDA
but expected in 2008
Patient Recruitment
The Pharma Clinical Advantage
Cost Advantage
China
India
Cost
Patients/site
16
500
40
250
Based on USA at 100 Index
Source: BCG report ‘Looking Forward 2006’
Country
USA
India
Sites
22
8
Subject
626
896
Source: Andy Lee Pfizer Global, head clinical study and
data management. Business India, August 13, 2006
Patients
-
Naïve untreated patients
HIV
50m
Diabetes
32m
HT
5m
Medical Tourism
Cardiac Surgery
$000s
USA
Singapore
Thailand
India
30
20
14
5-7
Source: Business world, 18th Dec’2006
“………..The Country’s World Class skills in Chemistry & IT and it’s large treatment naive
patient population provides added allure”
Boston Consultancy Group
Harnessing the power of India 2006
Ranbaxy Today
Worldwide Presence

Amongst the top 10 Global Gx companies
Ground
presence in 49 countries,
products sold in > 125

International business ~ 80% of sales
Ranked
Global Sales
$ 1340*
$ 972
# 1 in the Indian Pharma industry

Manufacturing locations in 9 countries

> 11,000 employees, 51 nationalities

Strong Generics & Innovative research
capabilities
$ 553
* Unaudited
2001
2003
2006
Research & Development

Dedicated facilities for Gx & Rx research
R&D I

R&D II
Over 1400 people, ~ 300 Doctorates
R&D III

R&D IV
Strong IP & Global Regulatory expertise
$ 85 Mn
2006
R&D spend
6.5% - 7% sales
2006 Sales by Geography
API
8%
Africa
7%
Europe & CIS
25%
Americas
33%
Asia
27%
$ 1.34b
The Role of the UK
1990

Only Trading companies
in:
Nigeria
Malaysia
Thailand
1995

First Trading company in
the West:
UK
Today




Worldwide President office
European Regional Director
office
UK domestic operation
Sales in 125 countries
Perceptions of India
“The Indian System looks ramshackle
and improvised. But at its best it is
capable of brilliance”
“When we say the Silicon Valley is
built on ICs we don’t mean integrated
circuits – we mean Indians & Chinese”
“The UK needs to wake up to what
India is becoming”
Source: DEMOS report – January 2007
Thank You