Manufacturers of medicine and medical devices should waste no time in investing in compliance technology, according to Gartner’s Hype Cycle for Life Sciences, 2018 report. Gartner Hype Cycles provide a graphic representation of the maturity and adoption of technologies and applications, and how they are potentially relevant to solving real business problems and exploiting new opportunities.
More Legislation All the Time
From our perspective, one of the main reasons Hype Cycle is promoting compliance technology is the lightning-speed at which proliferation of local and global laws are being enacted. In 2010, the United States kicked off this legislative domino effect with the enactment of the Physician Payments Sunshine Act to track and report payments or transfers of value to doctors or training hospitals.
Europe followed suit with the EFPIA Disclosure code. In 2017, Mexico’s pharmaceutical industry also began tracking some expenses related to health care entity (HCE) engagements. Brazil, Argentina, and India are devising strategies for similar reporting, which is expected to come down the pipeline in the near future.
Must Have Compliance Technology
Clearly, life science organizations anticipate more governments will want to hold them accountable. As a result, there will be more laws to follow in the markets they conduct business. Therefore, investing in an intuitive, easy-to-use compliance system of record becomes imperative. Homegrown systems simply cannot keep up, according to the report.
“The applicability of these solutions is now global, but regulations for reporting gift or payment limitations vary by geography, which makes a single, flexible solution necessary,” according to the report. “The penalties and potential loss of public trust are significant for companies, so not having a robust, efficient, and accurate solution to track, report, and alert about spend creates major risk.”
What Technology Is Best?
In fact, the report mentions MediSpend by name. After all, the MediSpend Compliance Cloud is updated regularly to reflect changes in the legislative landscape. In addition, it can be optimized to meet your unique needs. Certainly, compliance technology of this sort is more affordable than constantly renovating an internal system.
“Since the focus is now global, solutions will be needed to track physician spending in a growing number of countries,” according to the report. “Therefore, we recommend that companies providing things of monetary value to physicians invest in this type of solution..”
Need to Move Swiftly
We feel that essentially the Hype Cycle report is a call to action. These increasingly enacted global laws are making it impossible for drug makers and medical device companies to ignore transparency solutions.
Of course, having such technology, along with a full-fledged compliance plan, helps increase transparency and demonstrate ethical behavior to the public. This is vital to building trust with the public. There’s no question, according to the report, that life science companies must consider compliance technology to minimize risk and thus increase value. And there’s no time to wait.
Gartner, Hype Cycle for Emerging Technologies, 2018, Mike Walker, 6 August 2018.