Study: Pharma Compliance Budgets down in 2012
New benchmarking data reveal that medical device companies' compliance team budgets dropped by an average 24 percent in 2012, said Cutting Edge Information.
According to a release, pharmaceutical compliance team budgets remained relatively flat between 2010 and this year, according to a new study by the benchmarking firm.
Between 2010 and 2011, Medical device companies' compliance budgets had ballooned past the levels spent at even some of the largest drug makers, the study shows. But persistent resource challenges among both drug and device manufacturers have caused regulatory compliance team budgets to trend downward, on the whole.
"In an industry characterized by a conservative approach to risk- taking, it would stand to argue that compliance teams are precisely where resources should be added, not removed," said Ryan McGuire, research team leader at Cutting Edge Information. "Instead, it's rare that compliance teams are able to convince upper management that they require additional resources to be able to support development in key therapeutic areas."
Cutting Edge Information's study, "Pharmaceutical Compliance Best Practices: Ensuring Quality through Documentation, Training and Auditing," found that compliance budgets closely match the team's assigned scope and oversight. However, larger companies with bigger overall staffs manage greater risk as each new employee represents the potential for protocol violations, for SOP non-adherence, or for off-label conversations with physicians. Additionally, the study found that Top 20 pharmaceutical companies' compliance teams outspend the rest of the Top 50 category by 371 percent.
Source: Cutting Edge Information via Proquest Information and Learning Co.