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Project portfolio planning in the pharmaceutical industry -- strategic objectives and quantitative optimization

2025/02/13 by Stig Johan Wiklund, Wiklund, Stig Johan, Magnus Ytterstad +3
Business, Management and Accounting · Decision Sciences · Engineering · #Business Strategies and Innovation #Operations Management Techniques #Technology Assessment and Management

paper · pdf · doi:10.48550/arxiv.2502.09527

Abstract

Many pharmaceutical companies face concerns with the maintenance of desired revenue levels. Sales forecasts for the current portfolio of products and projects may indicate a decline in revenue as the marketed products approach patent expiry. To counteract the potential downturn in revenue, and to establish revenue growth, an in-flow of new projects into the development phases is required. In this article, we devise an approach with which the in-flow of new projects could be optimized, while adhering to the objectives and constraints set on revenue targets, budget limitations and strategic considerations on the composition of the company's portfolio.

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