Eisai inks Japan's first major India data deal

Japan's Eisai has inked a deal with Accenture to have it provide it with global clinical data management services from India, and becomes the first big Japanese pharma firm to take such a step.

Eisai has enlisted Accenture to perform the data collection, processing, preparation for analysis, and archiving of the clinical trial data from its studies conducted in over Japan, the US and Europe.

Eventually Eisai said it also intends to expand the outsourcing agreement to include electronic data capture (EDC), so as to "improve the efficiency and timeliness of data collection and reporting", although it did not allude as to when this will occur.

No monetary or other terms of the deal were disclosed but Eisai said in a statement that "the agreement will enhance its capabilities in global clinical research and development, reduces operational costs, and shortens the development timelines".

Neither Eisai or Accenture were available to comment prior to the time of publishing.

The move by Eisai is significant as it is the first time a major Japanese pharmaceutical company has outsourced clinical data management services to India, which is well renowned for its business process outsourcing (BPO) industry.

Japan's pharmaceutical industry has been somewhat slow off the mark when it comes to outsourcing compared with the US, and to a lesser degree, Europe, where a popular business strategy is to use offshore locations such as India as a low-cost hub to conduct "non-core" functions such as manufacturing and clinical trials.

However, in recent times, Japanese firms are increasingly warming to the idea of the idea and are beginning to outsource various business functions or set up infrastructure and take advantage of the cost and time advantages that certain budding global locations can offer this expensive industry.

Eisai is one of these firms and has recently implemented a "transformation strategy" that will see it transfer some of its primary operational functions to areas with "quality technology and high cost effectiveness".

As a part of this, Eisai already established a manufacturing and research subsidiary in India in December 2007.

The deal with Accenture is the latest part of this plan.

Some of Eisai's rivals have also had similar ideas.

In January, Japan's number two pharma firm elected to set up significant operations in India - the first Japanese pharma company planning to plant itself in the country on such a scale.

The $8bn Daiichi Sankyo Company is establishing a subsidiary in India called Daiichi Sankyo India Pharm, which will eventually conduct manufacturing of drug products and formulations, primarily in the areas of cardiology and diabetes, for the domestic market.

The project will initially comprise an investment of around $6.4m and the company also holds plans to set up an R&D operation at a future date.

Until the new manufacturing unit is up and running, Daiichi Sankyo indicated it would be utilising the services of local contract manufacturers.