Innovation in the pharmaceutical industry:a study of the effects of regulation on the U.K. pharmaceutical industry

A history of government drug regulation and the relationship between the pharmaceutical companies in the U.K. and the licensing authority is outlined. Phases of regulatory stringency are identified with the formation of the Committees on Safety of Drugs and Medicines viewed as watersheds. A study of the impact of government regulation on industrial R&D activities focuses on the effects on the rate and direction of new product innovation. A literature review examines the decline in new chemical entity innovation. Regulations are cited as a major but not singular cause of the decline. Previous research attempting to determine the causes of such a decline on an empirical basis is given and the methodological problems associated with such research are identified. The U.K. owned sector of the British pharmaceutical industry is selected for a study employing a bottom-up approach allowing disaggregation of data. A historical background to the industry is provided, with each company analysed or a case study basis. Variations between companies regarding the policies adopted for R&D are emphasised. The process of drug innovation is described in order to determine possible indicators of the rate and direction of inventive and innovative activity. All possible indicators are considered and their suitability assessed. R&D expenditure data for the period 1960-1983 is subsequently presented as an input indicator. Intermediate output indicators are treated in a similar way and patent data are identified as a readily-available and useful source. The advantages and disadvantages of using such data are considered. Using interview material, patenting policies for most of the U.K. companies are described providing a background for a patent-based study. Sources of patent data are examined with an emphasis on computerised systems. A number of searches using a variety of sources are presented. Patent family size is examined as a possible indicator of an invention's relative importance. The patenting activity of the companies over the period 1960-1983 is given and the variation between companies is noted. The relationship between patent data and other indicators used is analysed using statistical methods resulting in an apparent lack of correlation. An alternative approach taking into account variations in company policy and phases in research activity indicates a stronger relationship between patenting activity, R&D Expenditure and NCE output over the period. The relationship is not apparent at an aggregated company level. Some evidence is presented for a relationship between phases of regulatory stringency, inventive and innovative activity but the importance of other factors is emphasised.

Technological diversification and new innovators in European regions:evidence from patent data

This paper assesses the impact of regional technological diversification on the emergence of new innovators across EU regions. Integrating analyses from regional economics, economic geography and technological change literatures, we explore the role that the regional embeddedness of actors characterised by diverse technological competencies may have in fostering novel and sustained interactions leading to new technological combinations. In particular, we test whether greater technological diversification improve regional ‘combinatorial’ opportunities leading to the emergence of new innovators. The analysis is based on panel data obtained merging regional economic data from Eurostat and patent data from the CRIOS-PATSTAT database over the period 1997–2006, covering 178 regions across 10 EU Countries. Accounting for different measures of economic and innovative activity at the NUTS2 level, our findings suggest that the regional co-location of diverse technological competencies contributes to the entry of new innovators, thereby shaping technological change and industry dynamics. Thus, this paper brings to the fore a better understanding of the relationship between regional diversity and technological change.

Development and licensing of bio-pharmaceuticals

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Technological innovation in electronic inventory solutions:an analysis of patent data

The purpose of this paper is to investigate the technological development of electronic inventory solutions from perspective of patent analysis. We first applied the international patent classification to classify the top categories of data processing technologies and their corresponding top patenting countries. Then we identified the core technologies by the calculation of patent citation strength and standard deviation criterion for each patent. To eliminate those core innovations having no reference relationships with the other core patents, relevance strengths between core technologies were evaluated also. Our findings provide market intelligence not only for the research and development community, but for the decision making of advanced inventory solutions.

Driving licensing renewal policy using neural network-based probabilistic decision support system

This paper investigates neural network-based probabilistic decision support system to assess drivers' knowledge for the objective of developing a renewal policy of driving licences. The probabilistic model correlates drivers' demographic data to their results in a simulated written driving exam (SWDE). The probabilistic decision support system classifies drivers' into two groups of passing and failing a SWDE. Knowledge assessment of drivers within a probabilistic framework allows quantifying and incorporating uncertainty information into the decision-making system. The results obtained in a Jordanian case study indicate that the performance of the probabilistic decision support systems is more reliable than conventional deterministic decision support systems. Implications of the proposed probabilistic decision support systems on the renewing of the driving licences decision and the possibility of including extra assessment methods are discussed.