[May 16, 2013]

Obtaining a Sufficient Budget is a Top Challenge Facing New Product Planning Teams

Surveyed new product planning executives rank obtaining sufficient budget as one of the top challenges facing their teams, according to a recent study from Cutting Edge Information.

The study, "Pharmaceutical New Product Planning: Building the Framework for Brand Commercialization," found that executives rank obtaining sufficient budgets at 3.69 out of 5, with 5 being extremely challenging. New product planning teams often face difficulties obtaining the necessary funds for their commercial activities, especially when beginning work early in a product's development. Whether this funding comes from a dedicated budget or from other departments varies among surveyed companies.

The study concluded that 69% of surveyed teams report receiving a dedicated budget. Nearly one quarter (23%) of these teams report receiving funds from other groups in addition to their dedicated budgets. Eight percent of surveyed companies do not have a dedicated new product plannin budget.

"New product development teams often have to manage funds from other groups to complete their tasks," said David Richardson (News - Alert), research manager at Cutting Edge Information. "The percentages of groups with dedicated new product planning budgets and those receiving additional contributions are steady across large, mid-sized and small companies."

"Pharmaceutical New Product Planning: Building the Framework for Brand Commercialization," (http://www.cuttingedgeinfo.com/research/portfolio-management/new-product-planning/) features detailed data on new product planning teams' early commercialization efforts including team structure and reporting lines, budgets and staffing-encompassing staff education levels, background and compensation metrics-and business development efforts. This study is designed to help pharmaceutical companies:

• Increase new product planning resources to support growing brand responsibilities as developing products move closer to launch.
• Communicate and work with clinical teams to insert commercially focused data collection into clinical trials.
• Facilitate easy transition of brand responsibility between teams by leveraging new product planning team members' expertise.
• Leverage new product planning teams' scientific and commercial expertise and unbiased perspectives to support business development groups.

For more information about new product planning benchmarking, contact Cassie Demeter at 919-403-6583.

[ Back To TMCnet.com's Homepage ]