68% of Medical Affairs Departments Now Have Stand-Alone Budgets, Study Finds

RESEARCH TRIANGLE PARK, NC--(Marketwire - April 15, 2008) - According to a study by pharmaceutical business intelligence leader Cutting Edge Information, the share of medical affairs groups with stand-alone budgets is on the rise. The study, available at www.PharmaMedicalAffairs.com, finds that 68% of medical affairs departments now own department-specific budgets, whereas a similar study conducted in 2005 concluded that only 55% of medical affairs groups benefited from a wholly dedicated budget.

According to the study, many companies' medical affairs departments have recently centralized their medical affairs departments. Pharmaceutical companies -- especially those that operate on a global scale -- recognize the value of centralizing medical affairs. As a result, medical affairs groups are taking on more strategic roles within their companies, and these structural changes have rippled out to affect medical affairs budgets.

In addition, many companies have cut ties between their medical affairs and marketing departments in response to compliance concerns. In the past medical affairs teams often shared resources with other functions such as marketing, but the firewalls that companies have placed between marketing and medical affairs often call for separate budgets.

"Medical affairs departments are becoming more independent, both structurally and in terms of resources," says Elio Evangelista, research team leader at Cutting Edge Information. "This trend is evident both in terms of structure and in terms of resources."

"Medical Affairs: Delivering Strategic Value" (http://www.PharmaMedicalAffairs.com), was designed to explore pharmaceutical companies' medical affairs structures, resources and strategies. Based on in-depth surveys and interviews with industry executives, the report provides several best practices, which detail how leading companies adapt and thrive commercially while still remaining compliant. The study offers strategies for how medical affairs teams can improve internal communication and coordination, as well as negotiate effectively for additional resources.

Download a free summary of "Medical Affairs: Delivering Strategic Value" or purchase the report at: http://www.cuttingedgeinfo.com/pharmamedicalaffairs/PH112_Download.asp#body.

Contact Information: CONTACT: Elio Evangelista 919-433-0214