Reducing the cost of friction: the need to keep talking

Brendan BarnesWarsaw, 5 December 2007Dialogue-Innovation-FutureEFPIA CEE meeting May 2007

Different roles • Common

– Treatments for patient

• Differences– Industry – to make profit by delivering medicines and

innovation– Governments – to provide high quality health care and

manage budgets

= Different roles – but still a relationship

Need to work together• Dialogue is always useful• Healthcare is one of the areas where dialogue is

most important• The challenges that you face are the mirror image

of the ones we face• The costs of failure are real

– Time spent on arguing, appeals, political fights…– Lack of stability in policy– Rules are circumvented (loop-holes) or broken– Political interventions– Excessive lobbying activities

What is the dialogue about

Innovation

Cycle

Healthcare

provision

funding

Long-term relationship based on legitimate expectations

What is dialogue not about ?• Corruption• Weakening Government• Easy wins• Window-dressing

Golden rules

• Know the people (RESPECT)• Understand their mandate, needs and

long-term goals (ACCEPT)• Negotiate (MEET) often• Act in a predictable way (irrational

behaviour is destructive)

Experience at both European and national levels, proves that the pharmaceutical industry is constructively contributing to healthcare policy and legislation debates.

Dialogue at national level • UK: sophisticated systems put in place over a

number of years through continuous dialogue. • Belgium: Pharma.be participates in

reimbursement commission • France: innovation scale and criteria • Sweden

............Applied to pricing and reimbursement

Advice to governments/payers• Make sure industry understands your needs and

goals• Take the time to explain, consult and listen• Accept comments from industry on policy and

individual cases• Transparency in documentation and process

What are the benefits ?• Optimise Poland’s place in the innovation system• Sustainable framework for policy (and business)• Ability to discuss conflicts early• Ability to identify areas of mutual benefit

Even if you are ”top dog”, it is worth getting it right