Sustainability in the Global Pharmaceutical Industry 2011-201220 June 2012
This new report, 'Sustainability in the Global Pharmaceutical Industry 2011-2012: Market Trends and Opportunities, Forecast of Budgets and Profitability, Pharmaceutical Industry Procurement and Marketing Initiatives', is the result of an extensive survey drawn from ICD research's exclusive panel of leading pharmaceuticals industry companies.
Over 2011-2012, buyer sustainability management budgets in the global pharmaceutical industry are expected to rise by 7%. Moreover, a total of 40% of respondents from the global pharmaceutical industry stated that they anticipated an increase in sustainability budgets, of which 17% of respondents expect budgets to increase by more than 10%. This is believed to reflect the increasing need to adopt sustainability, comply with legislation and meet client demand. Over the same period, global respondents from supplier companies are expected to record an average increase of 6% in their sustainability budgets, which can be attributed to the increasing client demand, cost saving and the need to adopt green technologies.
Companies across the global pharmaceutical industry expect an increase in profitability following the adoption of sustainability practices. Of respondents from pharmaceutical manufacturer companies, 38% expect an increase in profitability, whereas the same is true of 37% of respondents from CRO and CMO companies. Similarly, 40% of respondents from drug manufacturing industry suppliers anticipate an increase in profitability during the same period.
The survey identifies that respondents expect this increase in profitability to be supported by cost savings, optimal resource utilization, increasing energy-efficiency and a focus on waste reduction. Moreover, companies are reducing their overheads and production costs through the optimal utilization of resources in production processes, which reduces the cost of goods and enables firms to contribute a larger proportion of expenditure towards research and development (R&D) activities, the upgrading and retrofitting of equipment, and capital improvements.
Sustainability in the Global Pharmaceutical Industry 2011-2012