Alliance Life Sciences Formalizes Software Organization, Launches Separate Division

SOMERSET, N.J. / LONDON – October 27, 2014 – Alliance Life Sciences Consulting Group (ALSCG), a leading global life sciences consultancy and technology provider, announces the launch of a separate division focused on life sciences price optimization software and the appointment of Mark Costa as senior vice president of Products to lead and drive the strategic and operational direction of this new software product division.

Costa brings over 20 years of software sales and management experience primarily in life sciences to this division, created as a separate group from the Company’s service offerings in order to provide more effective product development and better alignment with market needs.

Alan Crowther, CEO, ALSCG, says, “Costa has relationships with many of the top 25 pharmaceutical companies, and comes on board at an exciting time for our organization as we experience the growth of this newly created division. We built this separate software division to support an appropriate structure for growth and to allow the right partner ecosystem to evolve around the product. Costa is absolutely the right person to accomplish these objectives, while delivering great customer satisfaction.”

Coming most recently from Revitas, a global life sciences revenue management software company, Mr. Costa is an expert in complex enterprise solution lifecycles and customer adoption of new technologies within the global revenue management segment of the life sciences industry. As founder of multiple information technology businesses, Costa has the experience to direct entrepreneurial and high performance organizations and teams, propelling them to meet and exceed goals and generate the customer satisfaction necessary to sustain high year-over-year revenue growth.

Costa says, “It is exciting, and an honor, to be part of the ALSCG organization. The new structure will help to deliver more value to our customers and partners. I’m looking forward to driving our software business, focused on our customers’ business and their success.”

 

Insight. Innovation. Impact. Integrity.

During the first quarter of 2014, Alliance began our journey to develop a new message that would embody our company as a whole.  Our clients and internal team provided feedback that shaped a new prospective leading to the launch of our re-branding.  Through all of our development activities, one theme prevailed, the importance of our customers.  The ultimate outcome being, that it’s not about what we do but who we do it for and how they benefit.

Keeping both the feedback and the end goals of our customers in mind we developed our new tagline Insight. Innovation. Impact. Integrity. Through this process, we found that it’s not our knowledge, solutions, and proprietary tools that our company thrives on. It’s the team of passionate people.

Who better to ask what the new Alliance brand means then those people themselves? Check out their responses at the link below.

https://www.youtube.com/watch?v=qvIyErRkDII&list=UUiPA3dAD-HVHSyfsVgQ5mmg

To celebrate the re-birth of our brand, we held a “brand day” party on September 26th, 2014, which luckily for us, and our executive team whom were elected to take the ALS Ice Bucket challenge, ended up being a warm Indian summer day.  Equipped with a Taco truck and various team building activities the day left our team with high moral and many laughs to take with us.

taco truck

 

Alliance’s V.P.Global Client Development Jon Kizner and Executive V.P, Global Sales and Marketing Jeff Erb order lunch!

ring toss

 

CFO Jason Watters playing Ring Toss to raise money for ALS.

ice bucket challenge

CEO Alan Crowther takes the ALS Ice Bucket Challenge.

 

Alliance Life Sciences Launches New Brand and Website Brings Focus to Customer Centric Impact

SOMERSET, N.J. / LONDON – September 29, 2014 – Alliance Life Sciences Consulting Group (ALSCG), a leading global life sciences consultancy and technology provider, announces the re-launch of its brand and website at http://www.alscg.com.

After a thorough review of its brand positioning and their client’s motivations for engagement, the company debuts it’s new positioning through the tagline: “Insight. Innovation. Impact. Integrity.”

ALSCG is a global innovator that delivers peace of mind and unlocks business value with unique solutions to complex commercial problems. The company combines proprietary technology and consulting to maximize product portfolio value through strategy, insights, technology and customer engagement.

“Our customers think of ALSCG as the definitive go-to resource, helping them to rethink contracting, sales and marketing, pricing and market access operations to meet emerging stakeholder requirements and expectations,” says Alan Crowther, CEO of ALSCG. “We are strategically aligned with our customers to unlock business value with unique solutions to these problems.”

After conducting research utilizing an agency, Alliance‘s new brand direction closely portrays a bold and innovative approach to solving challenges within life sciences, while providing messaging that align with its customer’s motivational drivers.

Through its three practice areas that focus on revenue management through a product’s lifecycle, Alliance creates meaningful and compelling value, with global projects that have included:

  • Pricing study delivered in Switzerland
  • Global pricing system delivered in Germany
  • Health economic study for a “Top 5″ pharma company in Taiwan
  • Animal health website delivered in Chile
  • Emerging market entrance pricing strategy in India
  • Revenue contract management system delivered in the USA

Gross-To-Net Survey Uncovers Challenges in Industry Maturity

Financial accruals have become a major headache for corporate finance teams in the Life Sciences industry as they are increasingly difficult to manage, and can lead to major business issues if calculated incorrectly. These accruals are an important part of compliance with Generally Accepted Accounting Principles (GAAP). Funds are set aside to cover the financial obligations associated with sales, from promotional programs, rebates and discounts. The data associated with these programs, must be gathered and then amounts to set aside must be determined based on past and future projections.  Often times, the data for each type of program is captured in different places within an organization making it hard to manage.

Any calculation errors can have a significant impact. If the accrual percentage is too high for rebates and promotions, funds are essentially being taken away from other areas of the business, such as research and product development, which can help grow revenue. But if enough isn’t reserved, manufacturers could find themselves in a cash crunch, and money will need to be borrowed to cover obligations. If the amounts get to be too large, it can also be considered a “material impact” item for earnings reports.

Alliance conducted a survey in which various Pharmaceutical companies were asked four questions to gain a deeper understanding of the majority in their Gross-To-Net processes.  After reviewing the results, few organizations have fully automated Gross-To-Net solutions which can be leveraged for strategic pricing and trend analysis.  Organizations focus the bulk of their time on aggregating data to provide basic forecast and accrual information, restraining their ability to use this data for strategic analysis around pricing and other areas.

While automation of the fundamental processes is still in its infancy, the primary goal by those pursuing it, is the reduction of cycle time. But accuracy must not be sacrificed for speed, meaning any automated solutions must maintain or improve forecast and accrual accuracy.  Currently, companies are focusing on improving the underlying models, which proves to be an important step on the path to automation. Leading companies are recognizing the strategic value of this data and making the investment in its strategic use, even in the absence of automated solutions. The key objectives found in this survey are depicted in the image below.

image 1

Beyond the need for automation, the number one priority is to assess the readiness and rationale for automation in analytical capabilities. This acts as the key driver for generating business insights in the following areas:

  • Revenue growth through WAC price optimization
  • Impact of contracting especially price protections on the net revenue
  • Insights of contracting strategy on Medicaid & PHS liabilities
  • Insights from deep dive diagnostics

Following this as second priority is the desire to get full time employees focused on deriving business insights from the data, rather than spending all their time crunching it. Many organizations are spending more time and money on the mechanics of the accruals – the number crunching – than on understanding what the data is telling them. They’re missing an opportunity to analyze the accruals to see what promotions and programs are really driving the business, helping them expand market share and drive revenue.

 

 

Financial Accruals – The Case for Automating the Process

By: Jim Burke, SVP, Contracting & Pricing Solutions

Financial accruals have become a major headache for corporate finance teams in the Life Sciences industry as they are increasingly difficult to manage, and can lead to major business issues if calculated incorrectly.

The problem is that most companies don’t have an automated way of pulling all the data together, and calculating the appropriate accrual rate. Manufacturers do the calculations manually or in an offline tool.  Depending on the company and the kinds of promotional programs they offer, calculations can range from the complex to the extremely complex.

Any calculation errors can have a significant impact. If the accrual percentage is too high for rebates and promotions, funds are essentially being taken away from other areas of the business, such as research and product development, which can help grow revenue.  But if enough isn’t reserved, manufacturers could find themselves in a cash crunch, and money will need to be borrowed to cover obligations. If the amounts get to be too large, it can also be considered a “material impact” item for earnings reports.

There’s another aspect that companies are missing. Many organizations are spending more time and money on the mechanics of the accruals – the number crunching – than on understanding what the data is telling them. They’re missing an opportunity to analyze the accruals to see what promotions and programs are really driving the business, helping them expand market share and drive revenue.

To learn more about automating the process, key considerations, and recommendations, download our white paper on this topic.