The pharmaceutical industry is in the middle of a fundamental transformation. In the aftermath of the Covid-19 pandemic, the industry is facing challenges with fluctuating market demands and changing consumer needs.
In the face of so many challenges, technology has shown to be crucial in keeping the pharma business resilient. Many digital solutions have been widely adopted to improve efficiency and streamline operations in the pharma and healthcare industry.
Two years into the pandemic, businesses must now decide how they are planning to leverage these emerging cutting-edge technologies to stay agile and best position themselves to thrive in the post-pandemic world.
There has been significant growth in the digital health market since 2010, and according to a Statista survey, around 74% of participants believe that the pandemic has considerably accelerated digital transformation in the pharma and healthcare industries. According to the latest ABI research report, the pharmaceutical industry is forecast to spend $4.5 billion on digital transformation alone by the year 2030.
As the statistics suggest, we’ll be witnessing an era of rapid digitization that could possibly alter the global industrial landscape for good.
Before we dive into the latest technologies and trends shaping the pharma industry, let us look at some major areas of improvement that make digital transformation in the pharma industry more critical than ever before-
- Improve drug research and development process
- Increase drug efficiency
- Reduce carbon footprint
- Better visibility into the supply chain
- A structured distribution model
- Improve patient care
We are certain that 2022 will see rapid advancement in AI, ML, Blockchain, and IoT as the world adjusts to life after Covid. This presents a prime opportunity for the pharma industry to capitalize on these emerging trends and leverage these technological changes for a brighter future ahead.
Let’s dive into the key trends and technologies shaping the future of the pharma industry in 2022 and beyond:
1. Artificial Intelligence & Computer Vision:
AI innovation in the pharma sector has observed a notable advancement in the past few years. The global AI in the pharma market is projected to grow from $934.56 million in 2021 to $1,236.09 million in 2022 at a compound annual growth rate (CAGR) of 32.3%.
AI has unimaginable potential, and within the next couple of years, it is likely to revolutionize every aspect of the pharmaceutical industry.
More and more pharma companies are implementing AI in their manufacturing processes for improved productivity, higher efficiency, and rapid production of life-saving drugs.
AI can be used to improve all facets of the manufacturing process, including method automation, design optimization, quality check, predictive maintenance, creating more affordable drugs and therapies, and reducing operational costs and pharmaceutical waste.
In addition, computer vision can be used to derive meaningful information from images, videos, and other visual inputs and improve quality control, packaging, drug traceability, and shipment tracking.
AI and computer vision offer a myriad of possibilities, bringing about a radical shift in the innovation paradigm of the pharmaceutical industry.
2. Big Data & Machine Learning (ML):
When it comes to the efficacy of ML, more data almost always renders better results, and the pharma industry is sitting on a data goldmine.
McKinsey estimates that big data and machine learning in pharma and healthcare could yield a value of up to $100B yearly, by optimizing decision making, improving the effectiveness of drug research and development, and building new tools for researchers, consumers, and regulators to meet the promise of delivering more individualized strategies.
The applications of ML in pharma and healthcare are the glimmers of an imaginable future in which synchronicity of data, analytics, and innovation is an everyday reality.
3. Internet of Things (IoT):
IoT is a game-changer for the pharmaceutical industry. Although it is still in its nascent stages of adoption, the use of machine-to-machine communication and smart devices has come at a time when the pharma sector is scuffling with declining R&D productivity and patent cliffs.
More and more companies are now leveraging the power of IoT to improve drug manufacturing, packaging, warehousing, and supply chain management.
Not only is IoT rapidly transforming the patient experience, but it is also revolutionizing other areas of the industry, such as R&D and the supply chain. IoT supervises various unit operations, monitors real-time data, improves product efficiency, provides better visibility into the supply chain, and enhances operational effectiveness.
Blockchain is all the rage in the world today. It is all over the news and has received praise for its dynamic nature and far-reaching applications. From financial services to the pharma market, its implications are known far and wide.
It is a booming technology that originated with the inception of Bitcoin and has gradually filtered into several other profitable markets.
In its simplest form, blockchain is software that provides a digital ledger system for records and log transactions by grouping them into chronologically-ordered blocks. These blocks are linked and secured using the latest cryptography technology.
Big Pharma companies are betting on the blockchain to provide a unified solution for secure and efficient management of pharma supply chains across the globe. Its uniquely distributed network would facilitate the development of comprehensive end-to-end supply chain management.
Blockchain promises several other benefits, such as quickly identifying bottlenecks and working on efficiently removing the same from the supply chain.
Now is the right time for the pharmaceutical industry to unleash the full potential of the blockchain to become more successful than ever before.
The pharmaceutical automation market is all set to reach $18.2 billion by 2029 at a CAGR of 12% from 2022 to 2029.
Automation is revolutionizing the pharma sector by improving commercial production and enabling real-time monitoring.
Automation improves the overall productivity of the manufacturing process by performing repetitive tasks. Increased automation can help the pharma industry in improving the usage of energy and raw materials, enhancing regulatory compliances, improving product quality and consistency, and promoting safety in the work environment.
These technologies are also highly accurate and eliminate the possibility of human errors while processing and packaging pharmaceutical products. Moreover, they also reduce the risk of contamination and biohazards to the factory workers.
All in all, automation is bridging the divide between equipment, operations, and individuals.
Pharma companies need to step up and leverage these next-gen technologies to streamline and enhance their manufacturing and business operations. They need to strive to meet the new industry standards and expectations in keeping their business efficient and agile.
How do we leverage these technologies to best position ourselves for the future?
The last two years, while heartbreaking in several ways, have also served as a catalyst for an era of rapid change across the world. We are looking at the biggest structural transformation we have witnessed in ages.
Businesses need to reinvent themselves to survive in this increasingly digitized and fast-paced environment and stand strong in the face of changing business dynamics over time.
While the struggle may be hard and enduring, with the right digital transformation partner in your corner, you can unleash the power of these state-of-the-art technologies to prepare yourselves to come out of this crisis stronger than ever.
With a vision to catalyze digital futures in operation-centric industries globally, we at Intech Systems are assisting SMBs and enterprises across the globe to benefit from these emerging technologies and best position themselves in this post-pandemic world.
With powerful Business Intelligence solutions using Power BI to AI capabilities with RPA (Robotic Process Automation) in Power Platform, we at Intech Systems are fast-tracking digital transformation for businesses.
Intech, a Microsoft-certified Gold Partner, is amongst the top Microsoft Dynamics partners in India today and is trusted by 200+ customers globally for its digital transformation solutions. With offices in India and the United States, Intech has over four decades of experience in delivering top-notch technology solutions for Microsoft Dynamics 365, F&O, Business Central, CRM, Power BI, Power Apps, Microsoft Azure Cloud, AI, loT, and other custom-developed applications. Our firm focuses on implementation, development, and support services for Microsoft Business Applications.
Contact us at firstname.lastname@example.org to start your digital transformation journey and get a headstart on the latest trends in the pharma and healthcare industry in 2022.