An investigation into the outsourcing of research and development in the pharmaceutical industry and its impact on conventional thinking about R&D organisation.
type: CreativeWork
description: The pharmaceutical industry is passing through a very challenging period in its evolution with the traditional approaches to pharmaceutical research and development constantly expanding. Successful pharmaceutical organisations have come to recognise the need to leverage resources, and as a consequence, they have come to increasingly rely on the wealth of expertise provided by specialist external sources. The concept of outsourcing or the practice of contracting to external organisations the services and tasks normally performed by internal departments has become increasingly common across the pharmaceutical sector. Essentially, the two fundamental drivers for the outsourcing of R&D in the pharmaceutical sector is the need to access sources of innovation in pharmaceutical research, and to reduce the excessive costs of conducting the many activities associated with R&D process. Yet despite its growing occurrence, the outsourcing phenomenon represents a radical departure from the previously held philosophy of many of the large pharmaceutical companies, which have traditionally concentrated on maintaining a lead in as many areas as possible. While most authors have identified the rationale for, advantages and disadvantages, and critical success factors required for implementing a successful outsourcing strategy, very few have studied the cause and effect of outsourcing on organisational processes. In terms of the pharmaceutical industry, no academic study pertaining to the impact of outsourcing on R&D organisation has yet been identified. Accordingly, the principle aim of this research is to examine the nature of outsourcing, its effect on managerial policies and implementation techniques, as well as to investigate the impact outsourcing has had on conventional thinking about R&D organisation within the pharmaceutical firm. The evidence that has emerged points to a number of strategic imperatives. Although it is clear that pharmaceutical firms have begun to appreciate t…
abstract: The pharmaceutical industry is passing through a very challenging period in its evolution with the traditional approaches to pharmaceutical research and development constantly expanding. Successful pharmaceutical organisations have come to recognise the need to leverage resources, and as a consequence, they have come to increasingly rely on the wealth of expertise provided by specialist external sources. The concept of outsourcing or the practice of contracting to external organisations the services and tasks normally performed by internal departments has become increasingly common across the pharmaceutical sector. Essentially, the two fundamental drivers for the outsourcing of R&D in the pharmaceutical sector is the need to access sources of innovation in pharmaceutical research, and to reduce the excessive costs of conducting the many activities associated with R&D process. Yet despite its growing occurrence, the outsourcing phenomenon represents a radical departure from the previously held philosophy of many of the large pharmaceutical companies, which have traditionally concentrated on maintaining a lead in as many areas as possible. While most authors have identified the rationale for, advantages and disadvantages, and critical success factors required for implementing a successful outsourcing strategy, very few have studied the cause and effect of outsourcing on organisational processes. In terms of the pharmaceutical industry, no academic study pertaining to the impact of outsourcing on R&D organisation has yet been identified. Accordingly, the principle aim of this research is to examine the nature of outsourcing, its effect on managerial policies and implementation techniques, as well as to investigate the impact outsourcing has had on conventional thinking about R&D organisation within the pharmaceutical firm. The evidence that has emerged points to a number of strategic imperatives. Although it is clear that pharmaceutical firms have begun to appreciate t…
author: Piachaud, Bianca Simone
language: en
keywords: Pharmaceutical R&D outsourcing, Strategic sourcing, Core competencies, Innovation management, R&D organisational change, Pharmaceutical industry strategy
date published: 2001
date modified: 2026-07-24T04:10:12Z
provider: Robert Gordon University
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: Robert Gordon University

PropertyValue
property ID: DOI
value: 10.48526/rgu-wt-2807529