Biotechnology is a booming industry that solves problems in a wide range of industries from agriculture to medicine. It makes use of techniques for genetic engineering to make or enhance existing organisms. Its most visible use cases are pharmaceuticals, vaccines and molecular diagnostic tests but it also enables alternative meat products by isolating human cells for tissue growth and crop genes that are edited. The process of bringing new drugs can be time-consuming and expensive, and most drug development projects fail. This makes the biotech sector a risky investment for investors, and the media tends to focus on biotech’s high rate of failure and lengthy lead times for development.
The pipeline of a biotech company is one of the most crucial factors for any investor. A biotech company should have a strong clinical trials program that can meet its short-term financial requirements. Clinical trials are expensive, and the process takes years to be completed. Therefore, a successful biotech should have several drugs in Phase 2 or later, and at the very least, a portion of those in Phase 3 and beyond.
As R&D companies prepare to launch products that are based on their culture, their perspective will shift in order to bring value to patients. This shift will result in new tradeoffs and decisions that require careful consideration of investment, organizational building, capabilities, and cultural aspects. Successful biotechs will find ways to clearly communicate and transfer these goals across their entire organizations while ensuring that they remain connected to their R&D-driven research. This will ensure that the correct goals drive commercial success, while supporting continued innovation.
