Helping you map the right way forward

Pharmaceutical companies are facing great changes to the industry — emerging science, new products and services, shifting demographics, evolving regulations, transforming business models and increased stakeholder expectations.

Ernst & Young’s Global Pharmaceutical Center brings together our worldwide team of professionals to help you achieve your potential — a team with deep experience in providing assurance, tax, transaction and advisory services to pharmaceutical companies around the globe. It’s a team that works to anticipate market trends and their implications. So you get practical advice on the right way forward for your organization.

We also publish a series of industry reports and articles that provide points of view on critical issues and topics. Our thought leadership helps you navigate the shifting global landscape and grow your business — the business of improving people's health.

Whether it’s forming the right alliances, improving operations, enhancing your reputation or gaining insights into the market, we can give you a clear perspective on how to drive value in today’s complex, competitive and risk-driven environment.

Read our local pages or visit our Global Pharmaceutical site to learn about the Center and for industry insights that cover the global market.

Progressions 2008

The critical role of the finance function in driving the business transformation that is now at the forefront of C-suite and boardroom discussions. "Progressions: transforming finance for peak performance: part I" focuses on finance transformation in the pharmaceutical sector. Read excerpts of some of the articles by Ernst & Young professionals:

• An Ernst & Young survey of pharmaceutical executives: the pharmaceutical CFO's expanding agenda (pdf, 294K) by David Womelsdorf.
• IFRS adoption in the US: what pharmaceutical companies need to know (pdf, 309K) by Cynthia Orr.
• Making the most of a marketing investment (pdf, 394K)
by David Baron and David Podwalski.
• Striving for peak performance: pharmaceutical supply chain management (pdf, 132K) by Kai Gindner and Jamie Critelli.
• An Ernst & Young survey: pharmaceutical finance in India (pdf, 295K) by Murali Nair and Rajiv Pillai.

Contact your local Ernst & Young professional for a full copy of the report.

Accounting convergence: implications for life sciences companies

US regulators seem to be moving in the direction of accounting convergence and the adoption of globally recognized accounting standards (pdf, 356K) for US public companies. Read insights on the key issues and differences between the International Financial Reporting Standards (IFRS) proposed for adoption, and US GAAP. Although there are numerous differences, we focus on those that are most relevant to the pharmaceutical, biotechnology, medical device industries.

Compliance with the deficit reduction act

Changes to the calculation of Average Manufacturer Price and Best Price could alter the rebate liabilities that biotechnology and pharmaceutical companies with significant US operations owe US state governments under the Medicaid Drug Rebate Program. See this "Prescriptions" for critical questions to ask in preparation for compliance and implementation of the Deficit Reduction Act (pdf, 79K) final rule.

Thinking of going public?

Make sure you’re ready. Panelists at the recent Thought Center Webcast "Preparing Your Organization for an IPO" discussed leading practices for strengthening financial operations, managing regulatory requirements, communicating with analysts and investors, and more. If you missed the webcast, watch the archive in video format, as well as future webcasts on IPO readiness leading up to the Ernst & Young IPO Transformation CEO Retreat.

R&D prepayment accounting guidelines

Pharmaceutical companies following US GAAP should now defer and capitalize non-refundable, advance research and development (R&D) payments until goods are delivered or services performed. Download this “Prescriptions” article for a summary of guidelines issued by the FASB Emerging Issues Task Force regarding accounting for advance payments for goods or services (pdf, 55K) to be used in future R&D. We also comment on implications.

2007-2008 Global Transfer Pricing Survey

Multinational enterprises continue to place more importance on transfer pricing than any other tax issue, and are also concerned about managing their financial state risks posed by transfer pricing. Read current analyses on the burning transfer pricing issues in the "2007-2008 Global Transfer Pricing Survey", which is based on interviews with 850 MNEs from 24 countries and contains country- and industry-specific insights.

Compliance, drug safety, supply chain performance, and more

The Global Pharmaceutical Center invites you to learn more about issues the pharmaceutical industry is facing by listening to our podcast series. Each podcast focuses on a topic from “Progressions 2007” such as product safety, compliance, harnessing valuable data analysis, and improving supply chain performance by partnering with Customs to stop counterfeit products.