Improving the health of the drugs industry

By Liu Jie | China Daily | Updated: 2013-04-11 10:28

Lechleiter's task is not only to ensure Lilly maintains a top position in the industry but also to represent the industry in communications with the Chinese government on pricing policy formulation.

The chairman of the Pharmaceutical Research & Manufacturers of America visited Beijing last November to call for a fair and reasonable pricing system on innovative drugs under China's medical reform system.

The association represents R&D-oriented drugmakers and biotechnology companies in the United States. It says innovative drugs should be priced higher because it usually takes 10 to 15 years to develop a new medicine at a cost of $1.2 billion on average.

A McKinsey & Co report said despite the affordability of medicine being a government policy, enterprises still need to make a profit today to fund the necessary R&D for future medicines. To find a balance between the two is a challenge for the government decision-makers and the main businesses involved, it said.

"It is important that China should maintain a climate for innovation, for innovative medicines and innovative medical solutions that can be developed to improve the lives of people," said Lechleiter.

Scientific spirit

Lechleiter's devotion to innovation and his hardworking spirit may be attributed to his scientific background. Having earned a doctorate from Harvard University in the US, he joined Lilly in 1979 as a chemist and was put in a series of R&D management positions between 1982 and 1993. Even after being promoted to vice-president and then top leader of the company, Lechleiter says he still likes to visit laboratories.

"I think my background as a scientist is important in this industry in particular because it enables me to sort of understand the basic aspect of our business, which is R&D," the 60-year-old said, adding that his early-stage career as an engineer made him realize that in the pharmaceutical business, in order to get anything done, it requires excellent teamwork combined with consistency and diligence.