Will Pharma Talent Help Transform CROs Into CSOs?

By Ed Miseta, Chief Editor, Clinical Leader

It's no secret that Big Pharma is shedding scientific talent. Large layoffs, which have traditionally involved management, sales, and marketing personnel, are increasingly affecting scientists and researchers as well. "This scientific talent has to end up somewhere, and more and more they seem to be migrating to smaller biotech companies and CROs," says Emily Hickey, DVM, Ph.D. and VP for In Vivo Discovery at Charles River. "As Big Pharma continues to shrink, they will rely even more on those two segments. Biotech firms will assist them with target discovery while CROs will assist with efficiently interrogating such targets, be it through chemistry or in vitro and in vivo studies. With more scientific talent in those areas, it can be a win/win situation."

Hickey has first-hand experience with this trend. She herself worked for a top 10 Big Pharma company prior to migrating to the CRO side of the house. In her previous position she was part of a team that evaluated CROs, deciding which ones had the best qualifications and would be the best fit with her company. Working in this capacity, and dealing with all of the challenges that came with it, gave her a lot of the experience she now uses to ensure her company can best meet the needs of pharma clients. As other scientists from Big Pharma make that same transition, both pharma and CROs stand to benefit.

Emily Hickey, DVM, Ph.D. and VP for In Vivo Discovery, Charles River

With this model biotech companies will take a bigger role in the discovery process. Once they take the discovery of a molecule to a certain point, and prove its potential whilst removing some risk, pharma will be able to jump in, take it internal and continue to develop it. Key talent from large pharma are a critical component of this process, bridging the speed and drive of a biotech with the knowledge of hurdles big Pharma faces.

"This situation is exemplified in our recent acquisition of Argenta and Biofocus in the U.K.," she says. "When these pharma scientists come into some of the smaller and mid-sized CROs, the strength they bring increases the scientific acumen of the company. The CRO is able to develop what we call integrated drug discovery, which is similar to how program teams work in pharma.”

According to Hickey, these teams will sit down together, and share in the decision making process as it relates to compound synthesis, target discovery, ensure they are hitting the target, then go into in vitro, in vivo, and eventually to a toxicology study. "It not only takes risk away from pharma, it allows for a reduction in infrastructure,” she says. “They can now rely on the CRO to ‘extend their bench’ and complete such studies with the same quality of service and expertise as if they were doing the work themselves. This will be a very interesting platform to watch."

Drill Down For Talent In Your Partners

With more talented scientists ending up in CROs, will this change how many sponsors select their partners? Hickey thinks so. "It is something that we definitely highlight," she says. "When we speak with clients, we will take the time to explain the scientific depth we bring, including the number of PhDs, DVMs, and MDs we have on board, as well as the breadth of productivity by these scientists. Whether it is in production or our services department, we think it is a good indicator of the science and expertise that we bring to the table."

Other background information Charles River likes to supply to clients includes how much content employees have published and where it was published, noting whether it was a small, lesser-known journal versus a publication such as Nature or Science. This is also something the company looks for when it hires new employees. Hickey also believes it is a good idea for sponsors to request similar background details, such as a CV, on employees who might be working on their project, particularly the lead scientist representing at the table. This provides a good understanding of personnel, where they came from, how they had been trained, and what experience they bring.

"I believe that information can be incredibly valuable in helping sponsors decide whether or not to go with a certain CRO," she says. "I know that some companies are already doing this. There are many that don't, but I feel this trend will continue because having that understanding of a partner's scientific acumen can be critical."

Hickey also believes the trend of pharma divesting some of its top talent will continue, simply because of the way companies are reshaping themselves. As a result they will continue to look to smaller companies and CROs to provide the discovery and expertise they need. The CROs that will survive and grow will be the ones taking in that talent and providing more valuable offerings to clients.