Determining and communicating the economic value of a product is one of the major strategic imperatives for the pharmaceutical industry today. As bodies such as the UK National Institute for Health and Clinical Excellence (NICE), the German Institute for Quality and Efficiency in Health Care (IQWiG) and the U.S. Agency for Healthcare Research and Quality (AHRQ) move toward comparative effectiveness approaches and value-based pricing, being able to identify a product's sources of value and protecting them over time is key to commercial success.

More than a commercialization method, Monitor’s Comparative Clinical and Economic Value (CCEV™) approach leads to understanding the economic value of an asset in development, and the actual drivers of value within a disease area. The CCEV™ approach can have a fundamental impact on strategic choices—from research and development through to loss of patent exclusivity.

In this article, Monitor’s Ashley Woolmore, Mike Standing and James Wells lay out this tested approach to responding to the value challenge. CCEV™ is a new economic framework for end-to-end management for pharmaceutical companies—one that starts in the R&D phase and delivers value to payors, patients and shareholders in today’s health care system.

ASHLEY WOOLMORE, a Principal in Monitor’s Paris office, has more than 10 years of experience working in the health care, pharmaceuticals, biotechnology and medical devices industries. His experience has ranged from the evaluation of clinical services provision and strategy in health care for government policymakers, strategy development and review for new pharmaceutical brands and medical devices manufacturers, and the development of market access strategy for pharmaceuticals. Prior to joining Monitor, he worked in various senior roles within the United Kingdom’s National Health Service. He obtained his doctorate in clinical psychology from Oxford, and his MBA from HEC, Paris. He can be reached via e-mail at Ashley_Woolmore AT Monitor DOT com.

MIKE STANDING, a Senior Partner based in Monitor’s London office, leads the firm’s practice in Europe. For the past 20 years, he has worked with the senior executive teams of leading pharmaceutical and medical devices companies on commercial transformation programs. Mike is a graduate of Durham and Cambridge Universities and a board member of the UK’s Global Medical Excellence Cluster (GMEC). He can be reached via e-mail at Mike_Standing AT Monitor DOT com.

JAMES WELLS, a Senior Project Manager based in Monitor’s London office, has focused on client advisory projects in the life sciences area since joining Monitor in 2005. He has been very closely involved in the delivery of CCEV™ projects for major clients in Europe, the U.S. and Asia and is driving the continuous innovation of this approach. James holds a BSc in Biology from the University of Bristol, U.K.  He can be reached via e-mail at James_Wells AT Monitor DOT com.