Rebuilding Pharma Image: A Laudable Mindset – Lacking In Many

The fierce debate on ethics and compliance related issues in the pharma marketing practices still reverberates, across the globe. One of its key fallout has been ever-increasing negative consumer perception about this sector, sparing a very few companies, if at all. As a result, many key communications of the individual players, including the industry associations specifically targeted to them, are becoming less and less credible, if not ineffective.

Which is why, though pharma as an industry is innovative in offering new medicines, consumers don’t perceive it so. Despite several drug players’ taking important steps towards stakeholder engagement, consumers don’t perceive so. The list goes on and on. I discussed on such consumer perception in my article of June 26, 2017. Hence, won’t further go into that subject, here.

General allegation on the pharma industry continues to remain unchanged, such as the drug industry tries to influence the medical profession, irrespective of whether they write prescription drugs for patients or are engaged in regulatory trial related activities aimed at product marketing.

Let me give an example to illustrate the later part of it, and in the Indian context. On April 26, 2017, it was reported that responding to a joint complaint filed by Mylan and Biocon in 2016, alleging that the Roche Group indulged in “abusive conduct”, the Competition Commission of India (CCI) gave directions for carrying out a detailed investigation on the subject. This probe was initiated to ascertain, whether Roche used its dominant position to maintain its monopoly over the breast cancer drug Trastuzumab, adversely impacting its access to many patients.

Such a scenario, though, undoubtedly disturbing, is very much avoidable. Thus, winning back the fading trust of the consumers in the industry, should be ticked as a top priority by the concerned parties.

In this article, I shall mostly focus on some recent developments related to ethics and compliance issues, mainly in pharma marketing, and with a small overlap on the regulatory and other areas, as and when required to drive home a point.

It shakes the trust base on the medical profession too:

This menace, as it were, though, more intense in India, is neither confined to its shores alone, nor just to the pharma industry, notwithstanding several constituents of big pharma have been implicated in mega bribery scandals in different countries. There doesn’t seem to be much doubt, either, that its impact has apparently shaken the very base of trust even on the medical profession, in general.

Not very long ago, Dr. Samiran Nundy, while holding the positions of Chairman, Department of Surgical Gastroenterology and Organ Transplantation at Sir Ganga Ram Hospital and Editor-in-Chief of the Journal of Current Medicine Research and Practice, reportedly exposed the widespread malpractices of the doctors in India who are taking cuts for referrals and prescribing unnecessary drugs, investigations and procedures for profit.

This practice continues even today, unabated. On June 18, 2017, it was widely reported in India that Maharashtra Government has decided to form a 3-member committee for suggesting effective ways to check the ‘cut practice’ of doctors. This decision followed a public awareness campaign on this subject, initiated by well-reputed late heart surgeon – Dr. Ramakanta Panda’s Asian Heart Institute, located in Mumbai. The hospital had put up a hoarding saying: ‘No commission. Only honest medical opinion’. The Indian Medical Association opposed the hoarding. But the hospital wrote to Maharashtra medical education minister seeking a legislation to fight this malpractice.

To contain this malady across India, for the sake of patients, Dr. Nundy had then suggested that to begin with, “The Medical Council of India (MCI), currently an exclusive club of doctors, has to be reconstituted. Half the members must be lay people like teachers, social workers and patient groups like the General Medical Council in Britain, where, if a doctor is found to be corrupt, he is booted out by the council.”

This subject continues to remain an open secret, just as pharma marketing malpractices, and remains mostly confined to the formation of various committees.

“Corruption ruins the doctor-patient relationship in India” – a reconfirmation:

“Corruption ruins the doctor-patient relationship in India” - highlighted an article published in the British Medical Journal (BMJ) on 08 May 2014. Its author – David Berger wrote, “Kickbacks and bribes oil every part of the country’s health care machinery and if India’s authorities cannot make improvements, international agencies should act.”

He reiterated, it’s a common complaint, both of the poor and the middle class, that they don’t trust their doctors from the core of hearts. They don’t consider them honest, and live in fear of having no other choice but to consult them, which results in high levels of doctor shopping. David Berger also deliberated on the widespread corruption in the pharmaceutical industry, with doctors bribed to make them prescribe specified drugs.

The article does not fail to mention that many Indian doctors do have huge expertise, are honorable and treat their patients well. However, as a group, doctors generally have a poor reputation.

Until the medical profession together with the pharma industry is prepared to tackle this malady head-on and acknowledge the corrosive effects of medical corruption, the doctor-patient relationship will continue to lie in tatters, the paper says.

Uniform code of ethical pharma marketing practices:

This brings us to the need of a uniform code of ethical pharma marketing practices. Such codes, regardless of whether voluntary or mandatory, are developed to ensure that pharma companies, either individually or collectively, indulge in ethical marketing practices, comply with all related rules and regulations, avoid predominantly self-serving goals and conflict interest with the medical profession, having an adverse impact on patients’ health interest.

This need was felt long ago. Accordingly, various pharma companies, including their trade associations, came up with their own versions of the same, for voluntary practice. As I wrote before, such codes of voluntary practice, mostly are not working. That hefty fines are being levied by the government agencies in various countries, that include who’s who of the drug industry around the world, with India being a major exception in this area, would vindicate the point.

Amid all these, probably a solitary global example of demonstrable success with the implementation of voluntary codes of ethical pharma marketing practices, framed by a trade association in a major western country of the world, now stands head and shoulders above others.

Standing head and shoulders above others:

On June 23, 2017, the international business daily – ‘Financial Times’ (FT), reported: “Drug maker Astellas sanctioned for ‘shocking’ patient safety failures”

Following ‘a series of shocking breaches of guidelines’ framed by ‘The Prescription Medicines Code of Practice Authority (PMCPA)’ – an integral part of the ‘Association of the British Pharmaceutical Industry (ABPI)’, publicly threatened the Japanese drug major – Astellas, for a permanent expulsion from the membership of the Association. However, PMCPA ultimately decided to limit the punishment to a 12-month suspension, after the company accepted its rulings and pledged to make the necessary changes. Nevertheless, Astellas could still be expelled, if PMCPA re-audit in October do not show any “significant progress” in the flagged areas – the report clarified.

Interestingly, just in June last year, ABPI had suspended Astellas for 12 months ‘because of breaches related to an advisory board meeting and deception, including providing false information to PMCPA’. The company had also failed to provide complete prescribing information for several medicines, as required by the code – another report highlights.

Astellas is one of the world’s top 20 pharmaceutical companies by revenue with a market capitalization of more than £20bn. In 2016 its operations in Europe, the Middle East and Africa generated revenues of €2.5bn –reports the FT.

What is PMCPA?

One may be interested to fathom how seriously the implementation of the uniform code of pharmaceutical marketing practice is taken in the United Kingdom (UK), and how transparent the system is.

The Prescription Medicines Code of Practice Authority (PMCPA) is the self-regulatory body which administers the Association of the British Pharmaceutical Industry’s (ABPI) Code of Practice for the Pharmaceutical Industry, independent of the ABPI. It is a not-for-profit body, which was established by the ABPI on 1 January 1993. In other words, the PMCPA is a division of the British pharma trade association – ABPI.

According to PMCPA website, it:

  • Operates the complaints procedure under which the materials and activities of pharmaceutical companies are considered in relation to the requirements of the Code.
  • Provides advice and guidance on the Code.
  • Provides training on the Code.
  • Arranges conciliation between pharmaceutical companies when requested to do so.
  • Scrutinizes samples of advertisements and meetings to check their compliance with the Code.

As I often quote: ‘proof of the pudding is in eating’, it may not be very difficult to ascertain, how a constructive collective mindset of those who are on the governing board of a pharma trade association, can help re-creating the right image for the pharma industry, in a meaningful way.

Advertisements and public reprimands for code violations:

The PMCPA apparently follows a system to advertise in the medical and pharmaceutical press brief details of all cases where companies are ruled in breach of the Code. The concerned companies are required to issue a corrective statement or are the subject of a public reprimand.

For the current year, the PMCPA website has featured the details of three ABPI members as on May 2017, namely, Gedeon Richter, Astellas, and Gedeon Richter, for breaching the ethical code of practices.

However, in 2016, as many as 15 ABPI members featured in this list of similar violations. These are:  Vifor Pharma, Celgene, Takeda, Pierre Fabre, Grünenthal Ltd, Boehringer Ingelheim Limited, Eli Lilly, AstraZeneca, Janssen-Cilag, Astellas, Stirling Anglian, Guerbet, Napp, Hospira, Genzyme, Bausch & Lomb and Merck Serono. It is worth noting that the names of some these major companies had appeared more than once, during that year.

I am quoting the names of those companies breaching the ABPI code, just to illustrate the level of transparency in this process. The details of previous years are available at the same website. As I said, this is probably a solitary example of demonstrable success with the implementation of voluntary practices of ethical pharma marketing codes, framed by any pharma trade association.

In conclusion:

Many international pharmaceutical trade associations, which are primarily the lobbying outfits, are known as the strong votaries of self-regulations of the uniform code of ethical pharma marketing practices, including in India. Some of them are also displaying these codes in their respective websites. However, regardless of all this, the ground reality is, the much-charted path of the well-hyped self-regulation by the industry to stop this malaise, is not working. ABPI’s case, I reckon, though laudable, may well be treated as an exception. 

In India, even the Government in power today knows it and publicly admitted the same. None other than the secretary of the Department of pharmaceuticals reportedly accepted this fact with the following words: “A voluntary code has been in place for the last few months. However, we found it very difficult to enforce it as a voluntary code. Hence, the government is planning to make it compulsory.”

Following this, as reported on March 15, 2016, in a written reply to the Lok Sabha, the Minister of State for Chemicals and Fertilizers, categorically said that the Government has decided to make the Uniform Code of Pharmaceutical Marketing Practice (UCPMP) mandatory to control unethical practices in the pharma industry.

The mindset that ABPI has demonstrated on voluntary implementation of their own version of UCPMP, is apparently lacking in India. Thus, to rebuild the pharma industry image in the country and winning back the trust of the society, the mandatory UCPMP with a robust enforcement machinery, I reckon, is necessary – without any further delay.

However, the sequence of events in the past on the same, trigger a critical doubt: Has the mandatory UCPMP slipped through the crack created by the self-serving interest of pharma lobbyists, including all those peripheral players whose business interests revolve round the current pharma marketing practices. Who knows?

Nonetheless, the bottom line remains: the mandatory UCPMP is yet to be enforced in India… if at all!

By: Tapan J. Ray

Disclaimer: The views/opinions expressed in this article are entirely my own, written in my individual and personal capacity. I do not represent any other person or organization for this opinion.

Ringside View Of A Key Pharma Job Missing ‘The X Factor’

Just the other day, a well known doctor and a long-time friend of mine invited me for a friendly chat over lunch, after a long while. I had no option really but to accept the invite, as the warmth of his voice was overflowing.

Though the eatery, based on the ambiance and the quality of food we like, was mutually decided in his previous call, I called him again to ask whether on the pre-fixed date, about an hour earlier to the scheduled time, I can meet him first in his clinic and from there we can go together for lunch.

With a slight pause, he said, ‘No problem…but I won’t be able to talk to you there much, as I need to see all those patients with pre-scheduled appointments.”

“That’s no issue. We’ll have enough time to chat while eating. But, would you see any Medical Representatives (MRs) during that time?” I asked.

“Though my hectic schedule and other commitments don’t allow me to meet with them as much as I used to earlier…  yes, still I do meet with a few of them only two days in a week,” he took a pause, possibly to refer to his calendar and said, “Tomorrow being one those day…yes… I will… but why are you asking that?”

“I would like to just observe the MRs, while they discuss their products with you”, I literally warmed up while replying to him

“But Tapan, I don’t talk much in these meetings”, he replied somewhat apprehensively.

“Don’t worry, I shall just sit there, incognito, taking a mental note of what’s happening around, nothing more, nothing less,” I closed the call, as he did not ask any further question.

The ‘D-Day’:

On the ‘D-Day’, I entered for the first time into his well equipped and squeaky-clean clinic and saw his secretary sitting outside his office. She buzzed him immediately, as I introduced myself to her. To my utter surprise, my doctor friend came out promptly, despite his jam-packed schedule. Greeting me with his both hands and usual warmth and laughter, he took me inside, as the waiting patients were probably wondering, who is this gate-crasher? Offering a chair to me, the doctor friend smiled and said, “I couldn’t make time to meet any MR today since morning, though have kept a couple of them waiting for you to arrive, as you had desired.”

“That was not really necessary,” I quipped, “but thanks so much, nonetheless.”

The ringside view:

In a little over an hour’s time, I observed with great interest four MRs interacting with their, quite expectedly, one of the very potential customers.

Three of them were about thirtyish or below and one middle aged gentleman. Two of them came with their respective superiors. Three were quite traditional in approach. One was armed with an iPad.

I got an overall impression that the MRs were more in a hurry to conclude the call as compared to my doctor friend. Most of the interactions were more of reminder types than full detailing of any product, though all four of them had some very specialized products. I was under the impression that, at least, in presence of the supervisors, in-clinic proceedings take place with far more detail.

My doctor friend seem to be rather impatient and not quite enthused with the ongoing proceedings, but I was curious, very curious, especially when the young MR took out his iPad. I expected to see something novel on the innovative application of technology in medical communication. Probably for that reason, I was disappointed, when the young man handled the gizmo rather clumsily and used it merely to highlight some recent references on his specialized product stored in the archive.

Young looking accompanying managers of the two MRs did not appear to be live-wires, either. The participation of one of them was restricted to just handing over some medicine samples to the doctor, which the MR was passing on to him from his bag and the other just requested for prescription support for a product, as he was getting up from his chair.

While I was engrossed in the ringside view and my related thoughts, my doctor friend seemingly woke up wearing a smile, as a middle-aged confidant looking MR entered into the room. That gentleman came alone. He started his interaction recalling some events related to a trip abroad, which his boss had briefed him and conveyed to my friend how positive was the audience feedback after his speech. Informing that after the event his company has analyzed the key questions raised on the concerned product, he sought permission of the doctor to discuss top three of those questions very briefly, and he did. The doctor shifted his position in the chair several times rather awkwardly; probably because he was being so frequently referred to by the MR with lavish eulogy and that too in my presence. Though the content of the MR’s talk was not anything earthshaking, the environment that he created putting my friend on the pedestal, albeit with plain flattery, appeared to be working. He used no detailing aids, neither did he give any gift, but applied just impromptu traditional salesmanship.

This was the last MR call for us. My friend looked at me and asked, “Liked?” looking at each other both of us laughed loudly. I then stopped to ask him, “Do you prescribe the products they thanked you for prescribing?”

I am not very sure about others, but the gentleman who came last? … Yes, I do prescribe at least two of his products,” my friend replied with a disarming smile as he was standing up, looking at his watch.

He then put his hand on my shoulder and with a mild squeeze said, “Let’s step out now, rest we shall catch up on the run.”

A quick analysis:

According to my assessment, barring the last MR, none of the other three calls appeared to have interested my friend in any way, as he kept referring to his calendar, diary and other things very often, while those MRs were talking.

No wonder, my friend could not even remember prescribing any of their products. This probably means, at least three out of the four calls, made by MRs of very well reputed companies, did not leave much impact, if at all. Interestingly, two out of the four calls were from the MNCs.

Is the professional standard of MRs declining in India?

As we know, pharma industry in India is highly fragmented, with over 10,000 companies in the organized sectors and around 60,000 brands. In an environment of cutthroat competition like this, pharma players are exploring all possible means to carve out for themselves a decent share of the respective product categories, incurring average sales and marketing expenditure of around 20 to 22 percent of the total sales.

Like many other countries of the world, in India too, MRs are the most important link between the medical profession and the pharma companies. Thus, the cost of MRs takes quite a significant chunk of total sales and marketing budget of the pharma companies. There remains a huge scope for improvement though, in the realm of per MR productivity, which varies widely between the companies. For example, according to a recent report, a Sun Pharma MR on an average generated around Rs 90 lakh of business in the full year ended on March 31 2014, as compared to Rs 55 lakh of Ranbaxy, during the same period.

According to a survey conducted among both specialists and General Practitioners (GP), published in Express Pharma some years ago, out of total 30 doctors interviewed, 23 reported that quality of medical representatives visiting them has deteriorated. Only three doctors reported that the quality has not really changed, while four reported quality has improved. It was claimed by the authors that this survey result is statistically significant both on ‘t test and z test’.

The study concluded that pharma companies are responsible for this decline, as majority of them are focusing just on the end results without bothering much about the means to the end. This indicates, disproportionately more weightage is being given on the total quantum of sales rather than its quality, during performance measurement.

My above personal experience on the subject, though very short, is not much different from the above survey results, either.

The tradition continues over decades:

It appeared to me, besides new application of state-of-art technology to modernize the communication process, to ensure rapid access to all related information and to improve efficiency of tech based command and control sales & marketing management systems; basically nothing noteworthy has changed, just yet.

Interestingly, many readily available third party training programs for the MRs in the peripheral areas are springing up in large numbers with fancy claims, leaving one of the most critical issues virtually unaddressed.

I shall try to deliberate on that area now, as I see it.

‘The X Factor’:

In my view, just as the doctors are well recognized professional experts in medical care for treating patients based on evidence based science, MRs are also, supposedly, experts and a valuable source of knowledge for the medicines that their respective companies deal with, but unfortunately not regarded that way in India, generally. This is predominantly because, the doctors have accreditation for their profession that is absolutely a pre-requisite for their medical care business. Whereas, MRs do not have any such accreditation, which could formally recognize them as professionals in the knowledge-based drug/medicine business and related areas. Thus, there is somewhere a basic disconnect between the professions of the doctors and the MRs.

‘The X Factor’, in my view, is the process that facilitates requisite professional connects between the doctors and MRs, cemented by mutual professional respect, sans any kind of vested interests or needs of allurements, generally speaking.

Only with ‘The X Factor’ induced professional connects, I reckon, MRs could establish themselves as high quality source of knowledge for the drugs and disease areas that they deal with, of course, backed by regular training to hone their knowledge and skills.

This ‘X Factor’ could well be embedded into the organizational sales/marketing systems by putting in place a formal process to recognize medical representation as a respected profession.

The process of accreditation:

A structured process for Accreditation of MRs, most desirably, by involving the Government, can help achieving this goal sooner. If the Government participation is not possible for various reasons, the accreditation to MRs should come from some highly credible source, as would be accepted by the medical profession.

The process of Accreditation of MRs involves, in brief, documentation of the candidate’s basic pharma related knowledge, comprehension ability and domain specific skill sets, together with the ability of successful application of all those, while interacting with the medical profession to achieve the business goals.

The key task in the process of Accreditation is to develop modern technology based self-learning programs for the MRs that would provide basic knowledge of anatomy, physiology, pathophysiology and pharmacology together with a range of common treatments. Overall knowledge of communication and selling skills would also form an integral part of this process.

The Accreditation would ensure that the MR aspirants attain reasonable high standards for the profession that they are aspiring for. Later on, the pharmaceutical companies, who would hire them, could mold and sharpen their knowledge and skills according to company specific requirements.

Accreditation of MRs would, therefore, be a formal way to ensure that requisite high standards of the MR profession are met. Consequently, while meeting accredited MRs, the doctors would also know that they are meeting well trained and groomed, competent and credible disease area specific drug consultants. This, in turn, would help establishing requisite professional connects between the two professions based on a bond of mutual trust and respect, resulting in a win-win outcome for both.

How would the doctors recognize accredited MRs?

On successful completion of the examination for Accreditation, the individual would earn the privilege of being called an ‘Accredited Medical Representative (AMR)’, and acquire the right to put ‘AMR’ symbol next to his or her name in the business card and to wear a nice looking ‘AMR Pin’, while meeting the doctors.

Nothing much visible in this direction:

That said, not much has been effectively done, as yet, either to arrest the declining image of the MRs in the eyes of the medical profession or to make the MR profession a respectable one, except giving some extrinsic fancy job titles to them, devoid of any intrinsic value.

I am aware of some highly credible organizations, which are capable enough to give a formal shape to ‘MR Accreditation Program’ in India.

Thus the following key question arises in search of ‘The X-Factor’:

Should MRs need to have Accreditation from a credible and recognized authority in India, formally recognizing them as ‘Drugs/Medicine professionals’ and adding significant value and greater respect to the profession that they belong to?

In an earlier blog post titled “A National Regulatory Standard is necessary for MRs of the Indian Pharmaceutical Industry”, I had flagged this issue, though on a different perspective

Epilogue:

Now I get back to where I started from, in this article:

In about an hour, we were done with the lunch. However, while my doctor friend and I were eating, in track two of my brain, all those that I mentioned above were flashing by, though not in an orderly manner.

While we were in the portico of the hotel requesting the doorman to page our drivers, I thanked my doctor friend for buying me a sumptuous lunch and casually commented, “You remember the last MR?… He seems to have been really flabbergasted by your awesome speech in their conference abroad. My compliments! You have always been an excellent speaker!”

“Well…”, he quipped somewhat embarrassingly.

“Why have you reduced the frequency of meeting with the MRs?” I was curious, as those calls were a great learning experience for me, after a long while.

“Time…that’s a great constraint for me. Moreover, these meetings are like going through just motions”, he replied, while looking for his car.

Our cars arrived.

Before, I got into my car, I turned back to ask again, “Did you enjoy your foreign sojourn as a speaker for that pharma company?”

By that time the doctor friend was already in his car. Before closing the door, he looked at me again, widely smiled…somewhat naughtily, lunged forward, lowered his voice and haltingly replied, “Well…You know that…Bye for now.”

By: Tapan J. Ray

Disclaimer: The views/opinions expressed in this article are entirely my own, written in my individual and personal capacity. I do not represent any other person or organization for this opinion.

MCI has been dissolved but the guidelines to doctors must remain, carefully sanitizing the ambiguities within the process

The recent developments within the MCI are indeed very disturbing and were definitely avoidable, if appropriate checks and balances were in place within the system. Even after the immediate ‘damage control measures’ by the Government, I reckon, the stigma on the credibility of MCI, may continue to haunt the institution, for a reasonably long time. The steps taken by the government, so far, are definitely necessary.

The new board appointed by the Ministry of Health, we expect, will work out an appropriate policy framework not only to restore the credibility of MCI, but also to put in place enough measures to prevent repetition of blatant misuse of power by the vested interests, in future.

The other side of it:

In today’s India, blatant commercialization of the noble healthcare services has reached its nadir, as it were, sacrificing the ethics and etiquettes both in medical and pharmaceutical marketing practices at the altar of unlimited greed. As a result of fast degradation of ethical standards and most of the noble values supposed to be deeply rooted in the healthcare space, the patients in general are losing faith and trust both on the medical profession and the pharmaceutical industry, by and large. Health related multifaceted compulsions do not allow them, either to avoid such a situation or even raise a strong voice of protest.

Growing discontentment – a stark reality:

Growing discontentment of the patients in the critical area of both private and public healthcare in the country, is being regularly and very rightly highlighted by the media to encourage or rather pressurize all concerned to arrest this moral and ethical decay and reverse the evil trend, without further delay, with some tangible regulatory measures.

It was a laudable move by the MCI, the current fiasco not withstanding:

In such a prevailing situation, recent steps taken by the ‘Medical Council of India (MCI)’ deserves kudos from all corners. It is now up to the medical profession to properly abide by the new regulations on their professional conduct, etiquette and ethics. The pharmaceutical industry of India should also be a party towards conformance of such regulations, may be albeit indirectly.

No room for ambiguity:

The amended MCI regulations, no doubt, are aimed at improving the ethical standards in the medical profession and are expected to achieve the desired objectives. However, in many places the guidelines lack absolute clarity.

Ambiguity, if any, in the MCI regulations, should be addressed through appropriate amendments, in case such action is considered necessary by the experts group and the Ministry of Health. Till then all concerned must ensure its strict compliance… for patients’ sake. The amended MCI regulations are only for the doctors and their professional bodies. Thus it is up to the practicing doctors to religiously follow these regulations without forgetting the ‘Hippocrates oath’ that they had taken while accepting their professional degree to serve the ailing patients.

If these regulations are implemented properly, the medical profession, I reckon, could win back their past glory and the trust of the patients, as their will be much lesser possibility for the patients to get financially squeezed by some unscrupulous elements in this predominantly noble profession.

A concern:

Although the new MCI regulations are steps in the right direction, the pharmaceutical industry, by and large, does have an apprehension that very important and informative ‘continuing medical education (CME)’, which in turn could help the patients immensely, may get adversely impacted with this new regulation; so are the areas involving medical/clinical research and trials.

What is happening in the global pharmaceutical industry?

Just like in India, a public debate has started since quite some time in the US, as well, on allegedly huge sum of money being paid by the pharmaceutical companies to the physicians on various items including free drug samples, professional advice, speaking in seminars, reimbursement of their traveling and entertainment expenses etc. All these, many believe, are done to adversely influence their rational prescription decisions for the patients.

USA:

In the USA ‘The Pharmaceutical Research and Manufacturers of America (PhRMA)’ has recently revised their code of marketing practices as follows:

• “Prohibits distribution of non-educational items (such as pens, mugs and other “reminder” objects typically adorned with a company or product logo) to healthcare providers and their staff. The Code acknowledges that such items, even though of minimal value, “may foster misperceptions that company interactions with healthcare professionals are not based on informing them about medical and scientific issues.”

• Prohibits company sales representatives from providing restaurant meals to healthcare professionals, but allows them to provide occasional meals in healthcare professionals’ offices in conjunction with informational presentations. The Code also reaffirms and strengthens previous statements that companies should not provide any entertainment or recreational benefits to healthcare professionals.

• Includes new provisions that require companies to ensure that their representatives are sufficiently trained about applicable laws, regulations and industry codes of practice – including this Code – that govern interactions with healthcare professionals. Companies are also asked to assess their representatives periodically and to take appropriate action if they fail to comply with relevant standards of conduct.

• Provides that each company will state its intentions to abide by the Code and that company CEOs and Compliance Officers will certify each year that they have processes in place to comply, a process patterned after the concept of Sarbanes-Oxley compliance mechanisms. Companies also are encouraged to get external verification periodically that they have processes in place to foster compliance with the Code. PhRMA will post on its Web site a list of all companies that announce their pledge to follow the Code, contact information for company compliance officers, and information about the companies’ annual certifications of compliance.

• Other additions to the Code include more detailed standards regarding the independence of continuing medical education (CME); principles on the responsible use of non-patient identified prescriber data; and additional guidance for speaking and consulting arrangements with healthcare professionals, including disclosure requirements for healthcare providers who are members of committees that set formularies or develop clinical practice guidelines and who also serve as speakers or consultants for a pharmaceutical company.

• Other changes to the Code include, PhRMA’s recent acceptance of the revised Physician Payments Sunshine Act in the Senate.”

Raging ongoing debate on the financial relationship between industry and the medical profession:

As the financial relationship between the pharmaceutical companies and the physicians are getting increasingly dragged into the public debate, it appears that there is a good possibility of making disclosure of all such payments made to the physicians by the pharmaceutical companies’, like the proposed Physician Payments Sunshine Act in the USA, mandatory in many other countries, probably even in India.

Exemplary voluntary measures taken by large global pharmaceutical majors:

Eli Lilly, the first pharmaceutical company to announce such disclosure voluntarily around September 2008, has already uploaded its physician payment details on its website. US pharmaceutical major Merck has also followed suit and so are Pfizer and GSK. However, the effective date of their first disclosure details is not yet known.

Meanwhile, Cleveland Clinic and the medical school of the University of Pennsylvania, US are also in the process of disclosing details of payments made by the Pharmaceutical companies to their research personnel and the physicians. Similarly in the U.K the Royal College of Physicians has been recently reported to have called for a ban on gifts to the physicians and support to medical training, by the pharmaceutical companies. Very recently the states like Minnesota, New York and New Jersey in the US disclosed their intent to bring in somewhat MCI like regulations for the practicing physicians of those states.

Transparency is the key for drug industry relationships – Australia sets another example:

The Australian Competition and Consumer Commission (ACCC) has decided to grant authorization for five years to Medicines Australia’s 16th edition of its Code of Conduct. The Code sets standards for the marketing and promotion of prescription pharmaceutical products in Australia.

The Code provides, among other things, a standard to address potential conflicts of interest from unrestricted relationships between pharmaceutical companies and healthcare professionals, which may harm consumers, for example through inappropriate prescribing by healthcare professionals.

The Code prohibits pharmaceutical companies from providing entertainment and extravagant hospitality to healthcare professionals, with the requirement that all benefits provided by companies successfully withstand public and professional scrutiny.

“The requirement for public disclosure was imposed by the ACCC as a condition of authorization of the previous version of Medicines Australia’s Code and was confirmed on appeal by the Australian Competition Tribunal.” Edition 16 of the Code fully incorporates the public reporting requirements.

Conclusion:

Currently in the US, both in Senate and the House of Congress two draft bills on ‘The Physician Payment Sunshine Act’ are pending. It appears quite likely that Obama Administration, with the help of this new law, will make the disclosure of payments to physicians by the pharmaceutical companies mandatory.

If President Obama’s administration takes such regulatory steps, will India prefer to remain much behind? The new amended MCI regulations together with such disclosure by the pharmaceutical companies, if and when it comes, could make the financial transactional relationship between the physicians and the pharmaceutical industry squeaky clean and totally transparent.

By Tapan Ray

Disclaimer: The views/opinions expressed in this article are entirely my own, written in my individual and personal capacity. I do not represent any other person or organization for this opinion.