The life sciences industry is evolving rapidly, driven by huge R&D investment and advancements in biotech.
The sector is poised for explosive growth, with biotechnology alone projected to reach $727.1 billion by 2025*. However, rising costs, complex supply chains and strict regulations are hindering companies’ ability to innovate at pace. In this high-stakes environment, businesses that can accelerate time to market and drive revenue faster are set to capitalise on future opportunities.
*Gitnux
Expanding market
Companies must adapt fast as life sciences and related sectors experience unprecedented growth.
Global life sciences sector market value in 2023
The challenges ahead
As companies navigate the evolving landscape, they face significant challenges. Tackling them head-on is essential for maintaining profitability and seizing new opportunities in a dynamic market.
- Investment in R&D
Companies are facing pressure to invest in R&D to stay profitable. They must innovate quickly amid economic and environmental instability, and shifting consumer behaviour. - Disrupted supply chains
Financial and geopolitical shocks have exposed supply chain weaknesses, delaying product delivery and impacting revenue. - Squeezed profits
Rising development and production costs, coupled with patent expirations, are squeezing profits. - Stringent regulations
Ever-evolving compulsory regulations and silos between engineering and IT can hinder digital adoption and innovation.
Transform to grow
Life sciences companies are reinventing to stay ahead. By focussing on sustainability, regulatory excellence and specialised skills – empowered by digital tools and AI – they’re not just optimising efficiency – they’re speeding up product launches and increasing revenue. This transformation is key to thriving in a competitive landscape.
- Fuel growth through R&D
Build an innovation pipeline that fuels growth by focusing on data-driven R&D strategies. With impending patent expirations, R&D innovation is crucial for discovering new revenue streams. - Be Agile to stay ahead
Get to market more quickly by adopting Agile supply chain models. This approach helps businesses respond to changing customer demands, helping them bring products to market ahead of their competitors. - Diversify to protect profits
Combat the squeeze on profits by diversifying revenue streams. Mergers and acquisitions (M&A) are being used strategically to diversify portfolios and drive growth, as highlighted by recent big pharma deal-making. - Streamline compliance for faster entry
Minimise the risks in an ever-changing regulatory landscape by optimising your validation processes. Streamlining compliance is essential for faster market entry and protecting revenue while meeting safety and quality standards. - Digitise to optimise
Innovate at pace by embracing digital transformation. By optimising R&D, manufacturing, and distribution through advanced tools like Generative AI, companies can reduce time to market and enhance revenue.
“The McKinsey Global Institute (MGI) has estimated that [Generative AI] could generate $60 billion to $110 billion a year in economic value for the pharma and medical-product industries.” McKinsey, Generative AI in the pharmaceutical industry, 2024 - Cut emissions and costs
Meet the demand for sustainable solutions and save money. By cutting emissions with cost-effective measures, you can reduce operational expenses by about 30%, proving sustainability can also drive revenue by lowering operational costs.
Your trusted innovation partner
In today’s fast-paced life sciences landscape, reducing time to market and boosting revenue are critical for success. Expleo’s deep industry knowledge and cross-sector expertise empower companies to streamline their processes and accelerate innovation.
By partnering with Expleo, you’ll not only bring products to market faster but also gain a competitive edge in an increasingly complex and regulated environment. Our tailored solutions ensure you can quickly adapt to industry demands, driving sustained growth and long-term profitability.
