As we all know, the music industry has undergone significant changes over the years. CDs have disappeared, and MP3 files, iPods, mobile phones, and streaming music have emerged. This is a classic example of digital disruption that many industries have faced, such as taxis with Uber, hotels with Airbnb, and automakers and rental car companies with ZipCar. The music industry tried to solve the problem by taking legal action against every pirate or potential pirate on the internet. While they managed to shut down Napster and similar services, the problem persisted as people continued to share music "illegally" online. Looking back, this approach appears to have been poorly thought out and ill-fated.

This highlights the importance of a systematic approach to complex problem-solving. The first step is defining the problem accurately. As Charles Kettering, the famed inventor and head of research for GM, said, "a problem well-stated is half-solved." Consumers wanted convenience, variety, portability, and value, all of which became possible with the internet's arrival. Apple recognized this and launched iTunes, allowing consumers to purchase songs for just ¢99 and fully integrated with the famed iPod, making it super-easy for consumers to buy and take music on-the-go. Essentially, they eliminated many of the barriers to acquiring digital music that the music industry was trying to keep in place. Later came Pandora, Soundcloud, Spotify, Rhapsody, Google Play Music, Amazon Music, and others with streaming services, and the rest is history.

What if the music industry had focussed on what their customers really wanted? How might they have approached this problem differently?

Key Insights for the BioPharma Industry

From this, we can glean some key insights that we can apply to the biopharmaceuticals industry:

1. Digital disruption is a reality that many industries face, and the pharmaceutical industry is not exempt from this trend.
2. Instead of taking legal action against every "pirate" or potential "pirate" (in the case of the music industry), the pharmaceutical industry could benefit from a more systematic approach to complex problem-solving.
3. Defining the problem accurately is half the solution, as Charles Kettering said. In the case of the pharmaceutical industry, a clear understanding of what patients really need and want could guide the development of new drugs and therapies.
4. Consumers/patients are looking for convenience, value, and personalized experiences, and technology can help meet these expectations. For example, telemedicine, wearables, and mobile apps can enhance patient engagement and satisfaction.
5. Collaboration and partnerships with digital startups and other industries (e.g., tech, AI, biotech) can help the pharmaceutical industry stay innovative and competitive. As in the music industry, disruption can also bring opportunities.

If you would like to learn more about how Axioma Strategy can help your organization, please contact us at inquiries@axiomagroupinc.com.