The healthcare industry is incredibly diverse, covering everything from pharmaceuticals and hospitals to medical devices and agricultural bioscience. Each sector serves unique needs and fulfills a specific purpose. Some healthcare organizations work on curative and preventative medications, investing large sums of capital into the research and development (R&D) of vaccines, antivirals, and antibiotics. Others focus more on services, like rehabilitation or palliative care, where professional support and medical devices are used to either get patients back to normal – or ease them through the end-of-life process. Regardless of the organization’s specific goal, every healthcare business suffers from the same underlying issue: profitability.
Poor Profitability Hinders Market Entry
The healthcare industry is in the business of lengthening lifespans and making patients more comfortable and functional. To keep people alive and healthy, it takes a lot of time, skill, and money to analyze chemical compounds, study behavioral patterns, and examine treatment success rates.
Profitability is impacted by three major areas:
- R&D – The R&D pipeline begins with basic research. As discoveries are made, new medicines are moved through pre-clinical and clinical trials. They must then secure approval from the US Food and Drug Administration (FDA) to reach the market and turn a profit. It takes ten to fifteen years to go through the R&D pipeline, with only 12% of medicines actually earning FDA approval at the end of the lengthy process. The average amount spent on each drug during those years is $2.6 billion.
- Sales, General, and Administrative Expenses (SG&A) – Healthcare companies must spend a great deal of time and capital marketing their products and services to recoup R&D costs – especially when it comes to pharmaceuticals. Also included in the SG&A category are expenses like rent, utilities, and legal fees.
- Regulatory Compliance – Healthcare companies are subject to countless regulations in regards to R&D, patient care, and product safety. As new regulations seem to hit the market practically every day, companies not only have to maintain current compliance requirements, but they also have to carefully watch what new security or data demands will be imposed upon them next. This due diligence may seem expensive, but the fines for being found noncompliant are far more costly.
The Innovation Fixation
At Projility, our healthcare clients are always moving forward. The desire for constant innovation is strong because obtaining some type of competitive advantage can equal decreased costs and increased revenues. If a client can be the first to get a drug or medical device through FDA approval and to the marketplace, the chances of their entire company staying in business are much greater.
Innovation can include:
Projility Offers Cutting-Edge Management, Prioritization, and Balance
Everything is a project, even in the complex world of healthcare. From the R&D of a new vaccine to a more durable design for a dialysis machine, the heart of any organization is made up of a multitude of projects. Projility brings insight into those projects to the table with our cross-industry knowledge. We don’t just understand how to help healthcare organizations become more profitable; we pull wisdom from other industries to enable our clients to achieve their goals faster and more efficiently.
Our Project Portfolio Management (PPM) services elicit the best execution strategies for Microsoft Project Server and Project Online implementations. Through our proprietary Hammerhead technology, we augment PPM with a dynamic business intelligence tool. Hammerhead delivers pre-configured dashboards, robust analytics, and audience-appropriate reporting capabilities to clients looking to increase profitability through improved resource utilization.
Projility’s PPM with Hammerhead provides:
An Expert Solution to Achieve Effective Change
As much as healthcare organizations must cut costs to improve profitability, they must also drive revenue via innovation and growth. Microsoft offers advanced project management capabilities to support these missions with Project Server and Project Online. With the right execution strategy and support, these tools can transform an organization from the ground up.
Our Hammerhead software delivers on-demand, flexible dashboards to every key player and team member. The reporting framework allows for wise decision-making, with operations clearly defined and visible throughout the organization. And with PPM aligned and prioritized according to business objectives, organizations can focus on driving innovation – instead of worrying about it.
Projility provides expert solutions for effective change. We offer enterprise portfolio and project management solutions based on Microsoft Project Server and Project Online, with tailored dashboard reporting, analytics, and decision-making tools via our Hammerhead technology. Projility also implements professional services automation systems established on Microsoft Dynamics CRM Project Service, and presents cloud-based strategies, migrations, and hosting solutions through Microsoft Azure. Contact us for more information.