Novartis Indonesia
Commit to increase accessibility of innovative medicine to more Indonesian
Dr Luthfi Mardiansyah
CPO Head & Country President
Novartis Group Indonesia
Bandung, 9 December 2012
Novartis Group : Basel - Switzerland
Win through Science-based innovation, in high growth segments of health care
Environment
Patient needs
Novartis
Pharmaceuticals
Innovative
medicines
Eye care
(Alcon)
Prevention
Full range
of healthcare
options
Generics
(Sandoz)
Affordable
options
Consumer Health
(OTC, Animal Health)
Self-care
Vaccines and
Diagnostics
2
We have a broad healthcare portfolio
Focus to meets the varied and often complex needs of patients
2010 net sales by segment
Pharmaceuticals
Innovative patent-protected
medicines
Alcon
Global leader in eye care
with surgical, ophthalmology
and vision care
V&D
Consumer
Health
Sandoz
Sandoz
Alcon, Inc.1
Pharmaceuticals
Strong, trustworthy brands
for knowledgeable
Consumer Health consumers: OTC (Over-theCounter), Animal Health
Vaccines and
Diagnostics
1
Since August 25, 2010 consolidation
3 | Novartis Indonesia - ITB
Affordable, high-quality
generic medicines and biosimilars
Vaccines and diagnostic
tools to protect against lifethreatening diseases
Our focus is on patients
Our purpose is to care and cure.
We provide medicines to treat and prevent diseases,
ease suffering and improve quality of life.
4 | Novartis Indonesia - ITB
Fortune – World’s Most Admired Companies 2012
Novartis in top three positions over 8 years
The 10 most admired pharmaceutical companies
2004
2005
2006
2007
2008
2009
2010
2011
2012
#1
J&J
J&J
J&J
Novartis
J&J
J&J
Abbott
Novartis
Novartis
#2
Pfizer
Novartis
Novartis
J&J
Novartis
Novartis
J&J
Merck
Abbott
#3
Eli Lilly
Eli Lilly
Abbott
Roche
Merck
Abbott
Novartis
J&J
Bristol-MS
#4
Merck
Abbott
Amgen
Eli Lilly
Abbott
Merck
Roche
Abbott
Merck
#5
Novartis
Pfizer
GSK
GSK
Eli Lilly
GSK
GSK
Amgen
J&J
#6
GSK
GSK
Eli Lilly
Amgen
GSK
Amgen
AstraZ
GSK
Roche
#7
Abbott
Amgen
Roche
Abbott
Roche
AstraZ
Amgen
Roche
GSK
#8
AstraZ
Roche
AstraZ
Wyeth
Amgen
Eli Lilly
Merck
Pfizer
Amgen
#9
Roche
AstraZ
Wyeth
SanofiA
Wyeth
Wyeth
Bayer
AstraZ
Pfizer
Wyeth
Pfizer
AstraZ
AstraZ
Boe.Ing
Bristol-M S
Eli Lilly
Boe.Ing
#10 Aventis
Pharmaceutical Sales and Market Share Worldwide
Novartis AG is projected to lead the global market in 2016-2018
2011 R&D Spending of Top20 Companies
Novartis No.2 accross the industries and No.1 in Pharma
Rank
R&D spending
Company
2011,
USD billion
Change
from 2010
As a % of
sales
Headquarters
Location
2011
2010
1
6
Toyota
9.9
16.5%
4.2% Japan
2
3
Novartis
9.6
5.5%
16.4% Europe
Healthcare
3
1
Roche Holding
9.4
-2.1%
19.6% Europe
Healthcare
4
2
Pfizer
9.1
-3.2%
13.5% North America
Healthcare
5
4
Microsoft
9.0
3.4%
12.9% North America
Software and Internet
6
7
Samsung
9.0
13.9%
7
5
Merck
8.5
-1,2%
17.6% North America
Healthcare
8
11
Intel
8.4
27.3%
15.5% North America
Computing and Electronics
9
9
General Motors
8.1
15.7%
5.4% North America
10
8
Nokia
7.8
0%
14.5% Europe
11
14
Volkswagen
7.7
26.2%
3.5% Europe
12
10
Johnson & Johnson
7.5
10.3%
11.6% North America
Healthcare
13
16
Sanofi
6.7
15.5%
14.4% Europe
Healthcare
14
12
Panasonic
6.6
6.5%
6.6% Japan
Computing and Electronics
15
17
Honda
6.6
15.8%
6.5% Japan
Auto
16
13
GlaxoSmithKline
6.3
3.3%
14.3% Europe
17
15
IBM
6.3
5.0%
5.9% North America
Computing and Electronics
18
19
Cisco Systems
5.8
9.4%
13.5% North America
Computing and Electronics
19
26
Daimler
5.8
26.1%
3.9% Europe
20
18
AstraZeneca
5.5
3.8%
16.4% Europe
153.6
Avg. 9.9%
TOPdata,
20 TOTAL
Source: Bloomberg
Booz & Company
Source: 2012 Booz & Company Inc.
6.0% Asia
Avg. 8.3%
Industry
Auto
Computing and Electronics
Auto
Computing and Electronics
Auto
Healthcare
Auto
Healthcare
Our Commitment to R&D
Novartis has continuously moved up in R&D investment ranking
Ranking by R&D spend
Novartis
Headquarters:
Industry:
Switzerland
Health
R&D Spend:
Revenue:
2011
USD
USD
9.6 bn
58.6 bn
1
Microsoft
Ford
Toyota
Toyota
Toyota
Roche
Roche
Toyota
2
Pfizer
Pfizer
Pfizer
General Motors
Nokia
Microsoft
Pfizer
Novartis
Novartis
3
Ford
Toyota
Ford
Pfizer
Roche
Nokia
Novartis
Roche
4
Daimler
Daimler
J&J
Nokia
Microsoft
Toyota
Microsoft
Pfizer
5
Toyota
General Motors
Daimler
J&J
General Motors
Pfizer
Merck
Microsoft
6
General Motors
Siemens
General Motors
Ford
Pfizer
Novartis
Toyota
Samsung
7
Siemens
J&J
Microsoft
Microsoft
J&J
J&J
Samsung
Merck
8
Matsushita
Microsoft
GlaxoSmithKline
Roche
Ford
Sanofi-Aventis
Nokia
Intel
9
IBM
IBM
Siemens
Samsung
Novartis
10
J&J
GlaxoSmithKline
IBM
GlaxoSmithKline
Sanofi-Aventis
11
GlaxoSmithKline
Samsung
Samsung
Novartis
12
Intel
Intel
Intel
Sanofi-Aventis
Samsung
13
Volkswagen
Volkswagen
Sanofi-Aventis
IBM
14
Sony
Sanofi-Aventis
Novartis
15
Nokia
Matsushita
16
Honda
17
GlaxoSmithKline General Motors
J&J
Nokia
Intel
Volkswagen
IBM
Panasonic
J&J
IBM
Intel
GlaxoSmithKline
Sanofi-Aventis
Intel
Intel
Merck
Volkswagen
Panasonic
Volkswagen
AstraZeneca
Siemens
Volkswagen
IBM
Honda
Novartis
Roche
Honda
Honda
Siemens
Sanofi-Aventis
GlaxoSmithKline
Samsung
Nokia
Matsushita
Merck
Volkswagen
Cisco
Honda
IBM
18
Novartis
Sony
Nokia
Matsushita
AstraZeneca
Panasonic
AstraZeneca
Cisco
19
Roche
Roche
Merck
Volkswagen
Cisco
Honda
Cisco
Daimler
20
Merck
Honda
Honda
Sony
Panasonic
Ford
Siemens
AstraZeneca
2004
2005
2006
2007
2008
2009
2010
2011
Source: 2012 Booz & Company Inc.
Samsung
General Motors
GlaxoSmithKline General Motors
The Research and Development Process
Take an averages of 10-15 years in developing a new medicines
More than 3,000 Medicines were in
Development in 2011
Pharmaceutical Market in Indonesia
Pharmaceutical Market Overview
Pharmaceutical business is a dynamic industry – huge potential
Double Digit Growth
•
•
•
Indonesia’s pharmaceutical market was valued at around USD
5,1bn in 2012 with double digit growth . Increased by 12% from
2011 USD 20/Capita
The increase was driven by Ethical business with 59% market
share. This increase driven by generic entry after patent expiry of
some molecules
By 2019, prescription medicines are forecasted to reach almost
USD6.12bn
Universal Coverage 2014
•
•
•
•
•
After delaying about 2 years, the draft Law on Social Security
Administering Bodies (BPJS) agreed in 2011
PT. ASKES will be prepared to transform into BPJS by 2014.
BPJS is a non-profit public institution who is directly reporting to
President
Government is pushing the implementation of SJSN (63%
coverage in 2014, 100% in 2019)
JAMKESMAS will start to manage under ASKES in 2013
Premium for poor people and informal sector Rp 22,201 while
for formal sector will be 5% person
12 | Novartis Indonesia - ITB
Pharmaceutical Market Overview
Opportunities vs Challenges
• UHC implementation  large potential market
Opportunities
• Positive GDP growth
• Double digit growth and outlook remain positive
• Increase disease knowledge among Indonesian
• Better healthcare infrastructure across the nation
• Healthcare spending is low (<5% of GDP)
Challenges
• Over regulated industry
• Regulation from different ministries are noncomplementary each other
• Limited capabilities in drug production
• R&D is not fully developed  lack of incentives
• Drug perceives as the most expensive health
expenditure
13 | Company Presentation | Corporate Communications | February 2009 | Business Use Only | Business Use Only
Overcoming challenges in the market
How Pharmaceutical Industry contribute in shaping the environment
Actively take part in capacity building for all stakeholder involving in
the UHC
Provide solution to increase affordability and accessibility
toward innovative medicine to more Indonesian
Regular lobbying through Industry Association to ensure the
regulation draft incorporate industry interest
Proactively take part in disease education campaign to more
Indonesian
14 | Company Presentation | Corporate Communications | February 2009 | Business Use Only | Business Use Only
NOVARTIS INDONESIA - Highest Growth MNC
Rank #3 in 2011 – YTD Oct 2012
Pharmaceutical-Rx Market 2011 (IDR Bio)
SANOFI
1,051
PFIZER
858
NOVARTIS PH
691
BAYER
579
GLAXOSMITHKLINE
542
OTSUKA
447
ASTRAZENECA
379
12.6%
-9.7%
26.1%
10.6%
15.1%
5.1%
6.8%
MERCK
338
12.2%
MSD GROUP
332
4.7%
ROCHE
Source: IPMG
Growth
306
- 5.4%
How Novartis Helps Patients’ Access to Innovative Drugs?
WHO Framework on The Access to Medication
Rational Selection
and use
Sustainable
financing
Access
Affordable price
Reliable health and
supply system
Novartis focus on Accessibility and Affordability
Accessibility
 Patients access program for CML patients through
GIPAP & NOA program
 Treatment accessibility for patients with LEPRA –
cooperation with WHO in some centers such as
SINTANALA hospital
 Education and compliance program with cost sharing
for DEMENTIA patients
Affordability
 Novartis product is available in government
insurance, ASKES and JAMKESMAS
18 | Novartis Indonesia - ITB
Disclaimer: All the information presented is for healthcare practitioner purposes only.
NITD-Hasanuddin Clinical Research Initiatives
Helping to Fight the Tropical Disease
Novartis Institute for Tropical Diseases
inaugurates new clinical research initiatives in
Indonesia called the NITD – Hasanuddin
University Clinical Research Initiates (NHCRI)
• The institute to study dengue fever, tuberculosis
and malaria
• Partnership with Hassanudin University will
expand NITD’s research capabilities and
expertise
• Alliance will drive clinical research to explore
novel approaches for the treatment of dengue
fever, tuberculosis and malaria
• New laboratories in Makassar will conduct
patients studies in epidemiology, diagnostics,
biomarker technologies and novel drug
candidates
19 | Novartis Indonesia - ITB
SEHATi Bersama, Sehatkan Indonesia!
Enlarge its organization, increase its contribution to Indonesia
SEHATi BERSAMA actualizes in 3 sub program:
SEHATi Berbakti:
SEHATi Bersinergi
SEHATi Berkinerja:
 Our commitment which
 Actualizes in a form of
 Actualize by delivering
realized through its
dedication for more than
30 years in providing
innovative treatment
for Indonesian
 In 2011, Novartis
launches new innovative
treatment for Diabetes,
Osteoporosis, Malaria,
COPD and wet AMD
20 | Novartis Indonesia - ITB
spirit to synergize with
all stakeholders through
several initiative:
• Clinical trial phase 3
& 4 in Indonesia to
discover new treatment.
This initiative provides
opportunity for
knowledge transfer
• Partnerships with
related stakeholders to
improve access and
affordability to the
innovative treatments
excellent performance
to achieve positive
growth in Indonesia
(No.1 by 2016)
 Provide more career
opportunities for
talented Indonesian
 Provides human
resource development
in pharmaceuticals and
biotechnology industries
Thank you
Background
dr. Luthfi Mardiansyah
•
•
Chairman – International Pharmaceutical Manufacturers Group (2009-present)
Vice Chairman – EuroCham (2011-present)
Professional experiences:
• President Director PT Novartis Indonesia, 2011 - current
• President Director PT Pfizer Indonesia, 2008-2010
• Sales Director PT Pfizer Indonesia, 2007-2008
• General Manager Capsugel China, 2002-2007
• General Manager Capsugel Indonesia, 1997-2001
• GM In’t Division Indofood, 1994-1997
Educational background:
• Medical Dept. Trisakti University, Jakarta, 1987
• LPPM Jakarta – 1989
• Michigan Business School – 2001
• Macquarie Graduate School of Management - 2003
22 | Company Presentation | Corporate Communications | Dec 2012 | Business Use Only | Business Use Only