To date, and perhaps surprisingly, the idea of using data strategically remains somewhat novel in some organizations. However, the reality of "big data" and "big data analytics" (which is "the process of examining big data to uncover hidden patterns, unknown correlations, and other useful information that can be used to make better decisions") is quickly changing this situation. Indeed, some suggest that, today, an organization wishing to be innovative will, at a minimum, commit to quickly learning how to comprehensively use big data analytics (BDA) across all customer channels (mobile, Web, e-mail and physical stores) as well as throughout its supply chain.

This is the situation for large pharmaceutical companies (these firms are often called "big pharma") in that many are considering the possibility of developing a core competence in terms of BDA. But why are these firms evaluating this possibility? There are several reasons. In addition to the vast increases in the amounts of data that must be studied and interpreted for competitive purposes, "health care reform and the changing landscape of health care delivery" systems throughout the world are influencing these firms to think about developing BDA as a core competence.

Many benefits can accrue to big pharma firms capable of forming BDA as a core competence. For example, having BDA as a core competence is expected to help a firm quickly identify trial candidates and accelerate their recruitment, develop improved inclusion and exclusion criteria to use in clinical trials, and uncover unintended uses and indications for products. In terms of customer functionality, superior products can be provided at a faster pace as a foundation for helping patient's live better and healthy lives.

Big pharma firms could try to develop BDA as a core competence themselves or collaborate with companies specializing in helping others do so. Currently, venture capitalists are funding an increasing number of entrepreneurial start-ups that specialize in the data analytics field .Regardless of the approach used, changes to an organization's culture often are required if the BDA process is to be appropriately supported.

Capabilities are the foundation for developing core competencies. There are several capabilities big pharma companies could form and emphasize in order for BDA to be a core competence. Supportive architecture, the proper mix of data scientists, and "technology that integrates and manages new types and sources of data flexible and scalable while maintaining the highest standards of data governance, data quality, and data security" are examples of capabilities that big pharma firms may seek to possess if they wish to develop BDA as a core competence

As with most companies, big pharma firms may encounter difficulty in the short run when seeking to develop BDA as a core competence. A recent survey suggests that insufficient skills by senior-level managers to permit a full operational understanding of the BDA process, the difficulty associated with determining the data that are the most strategically relevant, and inability to consistently and quickly gain access to completeand fully accurate data are challenges requiring attention. Of course, not all big pharma firms will be successful in their effort to develop the BDA process as a core competence.

Questions:

i) Discuss the importance of Core Competence in the Pharmaceutical industry today.

ii) How can the Pharmaceutical industry develop Core Competence using Big Data analysis?