How The Biotech Industry Can Get its Mojo Back

Like other industries, biotech has taken its share of hits over the last few years. Unlike other industries, however, some of the problems that afflict the biotech industry are structural.  While macroeconomics play a large role in the health of biotech, there are things that the industry can do to improve its standing.  Here are some suggestions:

1)      Embrace the Overhaul of the US Patent System – The switch from a “first to invent system” to a “first to file” system will speed up patent reviews, not to mention costly litigation.

2)      Allow Scientists Responsible for Discovery to Have More Say In Commercialization – This is a topic I addressed recently on this blog, but it needs to be restated.  Currently, technology transfer departments have a big say in how technology discovered in their institution is commercialized. Unfortunately, many administrators within these departments often have goals that may run counter to the goals of discovering scientists. Plus, many administrators lack the business skill set to maximize commercial viability.

3)      FDA Reform – Products should be tested for safety first and foremost. Testing for efficacy, however, slows the process down considerably and opens up too many gray areas, leading to delaying products coming to market and driving up legal costs. Let the patients and medical professional decide what products they should use to treat a particular condition.

4)      Attract More Entrepreneurs and Skilled Business People to the Industry – Many biotech companies are run by people who are primarily scientists, followed by attorneys and financial accountants. Of course, this makes sense – the scientific, legal, and financial complexities of the field demand it.  The downside is that too many biotech companies lack skilled business professionals to help leverage their technologies more effectively. Steve Jobs is an example of someone who wasn’t trained as an engineer or designer, but he was a marketing genius in the truest sense. His vision and entreprenuerial zeal drove technological breakthroughs. Biotechs led by entrepreneurs can move mountains.

These are just a few examples of how the industry can tweak its way of doing things, allowing for more products making it to market.  If you have any comments, let me know!