"A few years back we deiced to separate our innovative business to create a company called Sparc and that company has 3 products undergoing clinical trials in the US. Hopefully in next 2-3 years we should have our own products registered in the US and in a way it would help me personally validate my conviction that it is possible to bring innovative and differentiated products which meet the unmet patient needs at costs which are affordable to people and one need not spend $2.5 billion in research to develop a product," he said while delivering his valedictory address at the Indian Management Conclave held here at the Indian School of Business (ISB).
Sparc was listed on Indian stock exchanges way back in 2007 and its share price on Bombay Stock Exchange stood at Rs 405.85, up by Rs 4.55 over the previous day's close on Thursday.
Explaining the audience about how he had built the company around values that went beyond the financial benefits, Shanghvi said he had learnt how important to build loyalties with employees, people, customers and shareholders early on. He also said he hires people for what they are capable of and be able to constantly experiment and take risks to face bigger challenges similar to what they have post Sun-Ranbaxy merger.
While the industry faces a 30 per cent attrition among medical reps, Sun has only 6-7 per cent attrition, he said while highlighting the importance of continuity in maintaining relationship with customers.
Pointing out at one of the weaknesses pertaining to employee loyalties, Shanghvi in a lighter vein said pharmaceutical companies in Hyderabad are can not protect their process confidentiality. " (But ) we have more than 50 products where we are the only company other than the innovator company who makes them," he said.
Criticising the recent controversy arising out of the Food Safety and Standards Authority of India (FSSAI) regulations, the Sun Pharma managing director said the authorities had created unnecessary controversy through arbitrary interpretation of the rules.
For India to become global in areas of food processing, what is required was a clearly defined regulatory framework which helps industry and not take investments away from business and industry by creating unnecessary controversies, he said
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