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GSK abandons speaker fees model

18 Dec 2013
GSK abandons speaker fees model

Company to roll out new sales force compensation programme, removing individual sales targets

GSK has set out plans to evolve the way it sells and markets its products to healthcare professionals to further align the company’s activities with the interests of patients.

During 2014, the company will implement a new compensation system which will apply to all GSK sales employees who work directly with prescribing healthcare professionals.

The company also intends to begin a consultative process towards stopping direct payments to healthcare professionals for speaking engagements and for attendance at medical conferences.

At the same time, the company will increase its focus on developing its multi-channel capability and alternative approaches to enable it to continue to provide appropriate information about its products and to support medical education for healthcare professionals.

The move comes in the wake of bribing issues highlighted earler in the year: Chinese police said the company had transferred 3 billion yuan to travel agencies and consultancies to help bribe doctors.


Sir Andrew Witty, CEO of GSK said: “We believe that it is imperative that we continue to actively challenge our business model at every level to ensure we are responding to the needs of patients and meeting the wider expectations of society. Over the past five years, this has seen us take significant steps to increase access to medicines in developing countries and to be more transparent with our clinical trial data. We’ve also made changes to how we work with healthcare professionals. Building on this, today we are outlining a further set of measures to modernise our relationship with healthcare professionals. These are designed to bring greater clarity and confidence that whenever we talk to a doctor, nurse or other prescriber, it is patients’ interests that always come first. We recognise that we have an important role to play in providing doctors with information about our medicines, but this must be done clearly, transparently and without any perception of conflict of interest.”


Global sales force compensation changes

The new compensation programme will have no individual sales targets. Instead, GSK’s sales professionals who work directly with prescribing healthcare professionals will be evaluated and rewarded for their technical knowledge, the quality of the service they deliver to support improved patient care and the overall performance of GSK’s business.

The aim is for this new compensation system to be in place in all of the countries GSK operates in by early 2015.These changes have been informed by a similar programme successfully introduced by GSK in the USA in 2011. The ‘Patient First’ programme bases compensation for sales professionals who work directly with prescribing healthcare professionals on a blend of qualitative measures and the overall performance of their business, rather than the number of prescriptions generated.

Experiences in the last two years suggest that this more patient-focused approach has significantly improved both customer interactions and satisfaction rates with GSK’s US pharmaceutical business.Payments to healthcare professionalsGSK also announced today the start of a two-year process during which it will make a number of changes to how it works with healthcare professionals.

GSK has an important role to play in supporting education for healthcare professionals and in providing accurate information about its medicines to help them make the best treatment decision for their patients, such as sharing new clinical data, details of label changes or safety updates. Recognising this, the company will direct additional focus and investment to:


Strengthen its own dedicated medical and scientific capability to appropriately lead engagement with healthcare professionals


Improve GSK’s multi-channel capability, including use of digital technologies, to ensure appropriate product and disease area information can be provided to healthcare professionals conveniently


Support fair, balanced and objective medical education for healthcare professionals through provision of independent educational grants.


At the same time, the company will move to end the practice of paying healthcare professionals to speak on its behalf, about its products or disease areas, to audiences who can prescribe or influence prescribing.

GSK will also stop providing financial support directly to individual healthcare professionals to attend medical conferences and instead will fund education for healthcare professionals through unsolicited, independent educational grant routes.

The company intends to work through the practical details of these changes with healthcare professionals, medical organisations and patient interest groups to define how they can be implemented effectively and in line with local laws and regulations.



Source: GSK