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Fort Aguada; 16th-century Portuguese fort


1   Challenge: Make High Quality Medicines Affordable

    Ajaz S. Hussain, Ph.D., Chief Scientific Officer

    Ajaz S. Hussain, Ph.D.                             4/10/2013
My personal point of view
2




                                                 Assistant Professor            Associate Professor                Deputy Director
    B.Pharm.           Ph.D. Interdisciplinary
                                                    of Pharmacy              of Pharmaceutics (tenured)   Office of Pharmaceutical Science




                                           CSO                         CSO                                    VP Biopharmaceuticals


     Ajaz S. Hussain, Ph.D.                                                             4/10/2013
Returning to Pharma, added appreciation for…
3



                       After several years of
                       thinking about how to
                       achieve tobacco harm
                              reduction

       Predictors of human
       behavior? Decision-                      Ajaz S. Hussain. SWISS PHARMA 34 (2012) Nr. 6.
      making in the presence                    The notion ‘by design’, in the phrase ‘Quality by
             of risk?                           Design’, conveys an intention to deliver a product
                                                or service with a pre-defined ‘quality’ so as to
                                                satisfy intended customers.
                       Behavioral economics
                                                                                 Why econometrics?

    Ajaz S. Hussain, Ph.D.                                           4/10/2013
Outline
4



                                  • Reflecting back to articulation of ‘Vision 2020’ >>> ICH Desired State
               Background         • Focus was on chemometrics and pharmacometrics

           Topics selected for    • Manufacturer “acceptability” increasingly an important driver
            discussion & why?     • Making quality affordable

      A high level over view of   • Maintain high quality - At high rate of capacity utilization
       my learning: How to …      • QbD for complex products - Under high level of uncertainty

                                  • Comparable quality (pharmacovigilance) and
     What should we measure?      • Metrics to measure performance of an organization


                 Summary          • And closing thoughts


    Ajaz S. Hussain, Ph.D.                                               4/10/2013
In 2000 @ FDA – anticipation of changes
    needed by 2020
5




                                                                            PAT Initiative è
                                                                            Pharmaceutical Quality for
                                                                            21st Centuryè ICH Initiative
                                                                            Real-time and remote inspection was
                                                                            deemed “too radical” (in 2000)
             www.fda.gov/ohrms/dockets/ac/01/slides/3804s1_02_hussain.ppt



    Ajaz S. Hussain, Ph.D.                                                      4/10/2013
A simple idea - improved understanding is
    needed for risk management
6



          “I can see clearly now” -                                                                                                         First
                                                                                                                                            Principles
                Vision 2020




                                                                                          Knowledge based decisions
                                                                                                                                            Why?




          Perspectives on Regulation: Law,                                                                                    MECHANISTIC        Desired State




                                                          Need for regulatory oversight
    ¤                                                                                                                         KNOWLEDGE
          Discretion, and Bureaucratic                                                                                           How?

          Behavior (Kagan and Scholz, May 1980)
                                                                                                                        “CAUSAL" KNOWLEDGE
          n ‘Good citizens’ Vs. {‘political                                                                              What “Causes” What?
             citizens, ‘incompetent’, and/or
             ‘amoral’}                                                                                                CORRELATIVE KNOWLEDGE                      Current State
                                                                                                                      What Is Correlated to What?
    ¨     For FDA to be risk-based it needs
          scientific data & information,                                                                              DESCRIPTIVE KNOWLEDGE:
          capability, ..                                                                                                         What?


        http://www.fda.gov/ohrms/dockets/ac/04/briefing/2004-4052B1_09_Hussain-Arden-UK-Presentation.ppt
    Ajaz S. Hussain, Ph.D.                                                                                                      4/10/2013
21st Century Opportunities
7


    ¨   “Pharmaceutical (development and)
        manufacturing is evolving from an
        art form to one that is now science
        and engineering based”.
    ¨   “Effectively using this knowledge in
        regulatory decisions in establishing
        specifications and evaluating
        manufacturing processes can
        substantially improve the efficiency
        of both manufacturing and
        regulatory processes.”

                        www.fda.gov/ohrms/dockets/ac/04/.../2004-4052S1_01_Hussain.ppt

    Ajaz S. Hussain, Ph.D.                                                       4/10/2013
Two topics, established fundamentals, a way
    forward…let me know if you agree, if not, why?
8



                             Manufacturer “acceptability” increasingly an
                             important driver
                             • Who makes the medicines I take?


                             Pride of workmanship is key to delivering
                             manufacturers’ acceptability
                             • I make the medicines you take


                             Making quality affordable
                             • A system which encourages design thinking and continually
                               reduces process entropy

    Ajaz S. Hussain, Ph.D.                                              4/10/2013
Example: Pride of workmanship
9




                          • “These disciplined                              • “The dabbawalas are                                       • “There are many small




                                                                                                           Interdependence and trust:
          Management:




                                                              Motivation:
    Discipline and Time




                            workers work                                      highly motivated                                            groups and each
                            perpetually and                                   individuals. Their job is                                   group has to be
                            effectively in a city                             very important. It is a                                     responsible for itself
                            that movement is                                  very big deal in India                                      and for every other
                            difficult due to the                              if a customer does not                                      group. So there is a
                            extremely high number                             receive his box on time                                     high interdependence.
                            of residents. They have                           or even receives a                                          If one team is not
                            received World record                             wrong box.”                                                 working well then the
                            in best time                                                                                                  whole procedure is at
                            management.”                                                                                                  risk.”


       Ajaz S. Hussain, Ph.D.              http://www.strategicmanagement-sixsigma.com/2011/06/mumbai-    4/10/2013
                                           dabbawalas.html
Example: Pride of workmanship (cont.)
10




                             • “They are very close to                           • “Three months is the                               • “A group consists of
     Close to the customer




                                                                                                              Small Group Formation
                                                                 Training time
                               the customer. They try                              training time and a                                  few people with a
                               to satisfy the need of                              practice test in order                               supervisor. The team
                               every customer by                                   somebody to be a                                     members share the
                               taking and delivering                               dabbawala. In                                        revenue. Trust and
                               on time with no                                     contrast big companies                               respect are the raw
                               mistake.”                                           like Mc Donald’s spend                               materials that describe
                                                                                   less than one day to                                 a group.”
                                                                                   train their employees.”




                                              http://www.strategicmanagement-sixsigma.com/2011/06/mumbai-
           Ajaz S. Hussain, Ph.D.             dabbawalas.html                                                4/10/2013
Why is this talk relevant to IPA members?
11




        Increasing generic       Beyond the traditional                               Beyond the current
     competition has been an     oral dosage forms the    Global consensus - the     ‘patent cliff’ generic
         important policy        generic drug approval     generic model is not     companies are looking
     consideration for several     model faces many           applicable for           towards complex
              years                    challenges         biotechnology products   generics, biosimilars and
                                                                                         NCE products




     Ajaz S. Hussain, Ph.D.                                                4/10/2013
12
            Who makes the medicines I take?
            Manufacturer “acceptability” increasingly an important driver




 Ajaz S. Hussain, Ph.D.                                   4/10/2013
Today’s challenges
13



                              Increasing complexity and uncertainty
                              • Complex products (e.g., MDI/DPIs, biosimilars)
                              • Evolving regulatory pathways; hence uncertainty
                              • Local to global markets; reducing variability




                              Erosion of public trust
                              • Shortage of injectable products
                              • Falsified and substandard drugs
                              • Other factors


     Ajaz S. Hussain, Ph.D.                                       4/10/2013
Public trust is the bed-rock of our industry
14



     ¨   Perceptions do matter!




            JAMA, March 5, 2008—Vol 299, No. 9
                                                 http://management.fortune.cnn.com/tag/generic-drugs/
     Ajaz S. Hussain, Ph.D.                                                4/10/2013
Continual effort needed to counteract forces that
     erode public trust
15




     Ajaz S. Hussain, Ph.D.            4/10/2013
Shortage of injectable products in the US
16




                              • “Cancer drug shortages cause treatment, research
          Previous week         problems” (http://www.oncologynurseadvisor.com/cancer-drug-shortages-cause-
                               treatment-research-problems/article/287359/)
              news            • “Drug shortages spur debate over role of compounding
                                pharmacies” (https://home.modernhealthcare.com)




                              • “Drug shortages at all-time high” (CNN; June
                                2011)
          News in 2011        • “New effort to reduce drug shortages a small
                                step” (Business Week; October 2011)

     Ajaz S. Hussain, Ph.D.                                             4/10/2013
Today’s challenges.. Not different from challenge
     a decade ago.... Different companies
17



     ¨   Reflecting back to 2000
          ¤   How is the situation
              different today?
               n   Then few generic injectable drugs;
                   current injectable shortage
                   predominantly generic manufacturers

     ¨   Reflecting back to early
         1990’s
          ¤   We were getting beyond
              the ‘generic drug scandal’

     Ajaz S. Hussain, Ph.D.                              4/10/2013
Several efforts to understand & correct….
18




                                                                                        Economic
                         • “The rapid increase in volume                                   and                • “Drug shortages in the
                                                                                      technologic               US point to a need to
       Economic            and scope … high rate of                                                             differentiate
      analysis of          capacity utilization in the                                al drivers of             manufacturers by
                           [generic] industry. At these                                  generic
      the causes           high levels … difficult to
                                                                                                                reliability.”
        of drug            maintain manufacturing quality                                 sterile             • “FDA could support the
                           levels and any disruptions to                               injectable               buyers and payers in their
      shortages                                                                                                 purchase and
         (ASPE Issue       supply – through, for example,                                  drug
      Briefing October     quality problems …..– can                                                            reimbursement decisions
            2011)          lead to cascading and                                       shortages                by providing them with
                           persistent shortages.”                                     (J. Woodcock and
                                                                                                                meaningful
                           [emphasis added]                                             M. Wosinska             manufacturing quality
                                                                                          (2013))               metrics.”
                         http://aspe.hhs.gov/sp/reports/2011/drugshortages/ib.shtml                      http://www.nature.com/clpt/journal/v93/n2/abs/clpt2012220a.html



     Ajaz S. Hussain, Ph.D.                                                                              4/10/2013
Global product safety and quality
19




                                               “…prepared for a
                                               regulatory environment
                                               in which product safety
                                               and quality know no
                                               borders”


     http://www.fda.gov/downloads/
     aboutfda/centersoffices/oc/glob
     alproductpathway/ucm259845.p
     df



         Ajaz S. Hussain, Ph.D.          4/10/2013
Asian middle class: A dominant market by 2020
20




                                                                                              Indian               • 55 billion USD
                                                                                                                     by 2020 (base
                                                                                             Pharma                  case)


                                                                                                                   • Acceptability
                                                                                             Growth                • Accessibility
                                                                                                                   • Affordability
                                                                                             drivers               • Epidemiological
                                                                                                                     factors

                                                                          http://online.wsj.com/public/resources/documents/McKinseyPharma
     http://www.jana.com/blog/the-battle-for-the-emerging-middle-class/   2020ExecutiveSummary.pdf

            Ajaz S. Hussain, Ph.D.                                                          4/10/2013
Manufacturer “acceptability”…..
21




      Historically, in the    “Patients are not                            (The Asian middle
       Asian context –        consumers” – but         Increasingly a         class) more
       “Traditional vs.        this distinction is     concern – “not     conscious on where
      Western” medicine             eroding          manufactured here”       a product is
                                                                             manufactured




     Ajaz S. Hussain, Ph.D.                                        4/10/2013
Key points: Established and emerging need to..
22




                              • Maintain high quality
          Build/maintain        • At high rate of capacity utilization
            public trust      • QbD for complex products
                                • Under high level of uncertainty


         Differentiate
                              • Product safety and quality know no borders
        manufactures by       • Utilize meaningful manufacturing quality metrics
          reliability
     Ajaz S. Hussain, Ph.D.                               4/10/2013
23
            At high rate of capacity utilization
            Maintain high quality




 Ajaz S. Hussain, Ph.D.                   4/10/2013
Top FDA 483 citations in 2012 (Drugs)… no
     significant change in this list since…
24



     The responsibilities and procedures applicable to the quality control unit are not [in writing] [fully followed].                169
     There is a failure to thoroughly review [any unexplained discrepancy] [the failure of a batch or any of its components to        119
     meet any of its specifications] whether or not the batch has been already distributed.
     There are no written procedures for production and process controls designed to assure that the drug products have the           116
     identity, strength, quality, and purity they purport or are represented to possess.
     Laboratory controls do not include the establishment of scientifically sound and appropriate [specifications] [standards]        115
     [sampling plans] [test procedures] designed to assure that [components] [drug product containers] [closures] [in-process
     materials] [labeling] [drug products] conform to appropriate standards of identity, strength, quality and purity.
     Control procedures are not established which [monitor the output] [validate the performance] of those manufacturing              89
     processes that may be responsible for causing variability in the characteristics of in-process material and the drug product.
     Written procedures are not [established] [followed] for the cleaning and maintenance of equipment, including utensils, used      73
     in the manufacture, processing, packing or holding of a drug product.
     Routine [calibration] [inspection] [checking] of [automatic] [mechanical] [electronic] equipment is not performed according to   69
     a written program designed to assure proper performance.
     Employees are not given training in [the particular operations they perform as part of their function] [current good             65
     manufacturing practices] [written procedures required by current good manufacturing practice regulations].
                                  http://www.fda.gov/ICECI/EnforcementActions/ucm250729.htm
     Ajaz S. Hussain, Ph.D.                                                                         4/10/2013
Econometrics: Important questions
25




                                 • How widespread are deviations from SOP?
                                 • What factors impact process entropy?
                                 • How effective are FDA inspections to decrease process entropy?
       For example: Modeling     • Does offshore production pose an added quality risk relative to
         of the relationship       domestic production? If so, what factors influence the quality
       between regulators and      risk?
       the firms they regulate   • To what extent regulators utilize previously secured information
                                   in guiding regulatory (inspection) decisions?
                                 • What is the impact of regulator experience and training (along
                                   with a host of other controls) on regulatory outcomes?



     Ajaz S. Hussain, Ph.D.                                        4/10/2013
Relevant econometric analyses
26




     Decay, Shock, and Renewal: Operational Routines and Process Entropy in the
     Pharmaceutical Industry

                              Quality risk in offshore manufacturing: Evidence from the
        Gopesh Anand,         pharmaceutical industry
         John Gray, and
          Enno Siemsen.
          Organization
                               John Gray, Aleda
                                                    Regulator heterogeneity and endogenous efforts to close the
        Science. Vol. 23,                           information asymmetry gap: evidence from FDA regulation
             No. 6,            Roth, and Michael
           November–            Leiblein. Journal
        December 2012,           of Operations
                                Management 29        Jeffrey Macher, John Mayo, and Jack Nickerson. Journal of Law and
        pp. 1700–1716                                       Economics. Vol. 54, No. 1 (February 2011), pp. 25-54
                               (2011) 737–752




     Ajaz S. Hussain, Ph.D.                                                            4/10/2013
27
            Under high level of uncertainty
            Achieve QbD for complex products




 Ajaz S. Hussain, Ph.D.                   4/10/2013
A key difference between FDA & EMA
28




     Ajaz S. Hussain, Ph.D.        4/10/2013
Complex generics and biosimilars
29



                                                           FDA cGMP                                           Review NDA,
                              Manufacturing                                        Development
                                                           Inspections                                        BLA, or ANDA
                                                                                    QbD approach to
                                                                                                                Multi-disciplinary;
                                                         Considered high risk –      development of
     Complexity               Increases system wide
                                                           team inspections       analytics, product and
                                                                                                               ensure appropriate
                                                                                                              weighting of evidence
                                                                                         process
                                                                                       Evidence of
                               Validation, state of
                                                            483-to-WL-to-            pharmaceutical            Review evaluation
     Uncertainty                control & rate of
                                                             Enforcemnt           equivalence, similarity,      criteria evolving
                                     entropy
                                                                                  and interchangeability
                              More critical to control       Frequency of                                     Expected - different
                                                                                  Controlled within lot-lot
      Variability              quality of materials       inspections & focus
                                                                                    variability of RLD
                                                                                                              review disciplines &
                              used and final product            areas                                               culture



     Ajaz S. Hussain, Ph.D.                                                                   4/10/2013
Woodcock: ‘Paradigm Shift’ in Reviews
30




              “…companies intending to                                              “..the amount of clinical
             market Biosimilars must come                                         evidence required by FDA
               to FDA with an extensive                                          will be related to the amount
              characterization package,                                          and the quality of analytical
               comparing theirs with the                                          and functional information
                  reference product.”                                               that is available on any
                                                                                      biosimilar product…”

     Ajaz S. Hussain, Ph.D.   DIA/FDA Biosimilars Conference 12 September 2012     4/10/2013
Quality of development and regulatory
                communication
31




                                                                          Regulators
     Industry




                    Design          Understanding       Continuous –                   Recognize             Level of       Risk-based
                                                         real time                     knowledge          understanding

                                                           People,                           Prior          Experimental
                    Product &            Acceptable       materials,                     knowledge –         evidence in     QMS track
                     process             variability     machines and                  similar products     development       record
                                                         environment                                           reports

                                                                                        Link between          Material
                 Specifications &        Causal links    Monitoring &                  quality, safety        attributes     Acceptable
                    controls                             control system                   & efficacy          critical to    variability
                                                                                                               quality


                   Product use       Failure modes         Process                      Intended use        Failure modes     Process
                   information        & likelihood        capability                                         & likelihood    capability



                Ajaz S. Hussain, Ph.D.                                                                    4/10/2013
‘Transdisciplinary’ & ‘Design Thinking’
32




     Transdiciplianry                               Design Thinking



                     Analytics,
                    mechanisms                                                                         Not
                    and clinical                              Target       Ability to      Multi-    a Thing,
                    indications                    ‘Quality   Product      measure      functional     But
                                   ‘Interchange-      by      Profile        and          review     a Way
                                        able’       Design’     and         explain        and        (MIT Sloan
                                                                                                     Management
                                    designation                QTPP                     challenge    Review, July
                                                                                                       2, 2009)
                     ‘Package
                      Insert’ &
                     marketing
                     messages

     Ajaz S. Hussain, Ph.D.                                             4/10/2013
QbD Approach: Targeted development
33




                      Sandoz: Thomas Stangler | EAPB SIG Regulatory Aspects for Biopharmaceuticals | October 4th, 2010

     Ajaz S. Hussain, Ph.D.                                                                          4/10/2013
Organizing for success
34




                                           Early investment in analytics and
                                           understanding variability in RLD
                 • Inadequate focus on
                   TPP, QTPP (analytics)
       Common      & market research
                                           TPP & QTPP in the context of residual
        pitfalls • Functional check-box    uncertainty
         and     • Cut-paste approach      Review/challenge culture and decision
      symptoms to clinical trials          ‘gates’
                 • Rush to clinical        Design of clinical trials to address scientific
                                           and clinical (market) uncertainty


     Ajaz S. Hussain, Ph.D.                                4/10/2013
35
            Differentiate manufactures by reliability
            Product safety and quality know no borders
            Utilize meaningful manufacturing quality metrics




 Ajaz S. Hussain, Ph.D.                            4/10/2013
Product safety and quality know no borders
36




     ¨   Quality system that can convincingly demonstrate delivery of
         comparable quality & pharmacovigilance
                    TIME
                                                     TIME
                                                                            2       COST
                                                     1
                                                               Scientific
                                                             evidence for
                           Select 2?                          risk-based
                           Optimize                             quality
                            three?                                              3
                                              RISK       4
                                       COST                           QUALITY
          QUALITY
     Ajaz S. Hussain, Ph.D.                              4/10/2013
Cost, Quality & Risk: Unproductive time
37


                                    Product & process quality                                Regulatory compliance
           COS
                                Activity - Costs                Risk                  Activity - Cost                      Risk
     External failure   Complaint investigations,         To patient,       483s, WL, seizure,. …..                To patients,
                        impact and RC-investigations,     reputation and    Recall activities                      reputation and
                        CAPA                              business                                                 business
     Internal failure   Down-time, impact & RC-           To business and   OOS investigation report, change -     Inability to improve
                        investigations, CAPA              quality system    regulatory supplements for review      or risk to patients?
     Prevention         Improve design of product         “Corrective       Change control and regulatory          CQAs? controls?,
                        and/or process; Quality System,   actions” not      supplements                            representative
                        Training,…                        continual         Validation & batch records             batches?
                                                          improvement       SOP development/training               Focus on
                                                                                                                   documentation &
     Appraisal          Testing and inspection for        CQAs?,            Batch records, review
                                                                                                                   inadequate system
                        incoming materials and products   representative    QC release. Document review , audits
                                                                                                                   understanding
                                                          samples?,….

       Ajaz S. Hussain, Ph.D.                                                               4/10/2013
Making high quality affordable
38




                      Consumers,                                             Optimal
                      prescribers    Manufactures          Drivers            “driver
                      and payers                                            behaviors”?

                                                        Time to market
                                     Market access
                                                             ROI
                         Access to
                      products and   Right First Time
                       information

                                       Reputation         Reliability


     Ajaz S. Hussain, Ph.D.                                              4/10/2013
Making high quality affordable
39




                                         Purpose                                Process                                People
     Consumers                           Confidence & satisfaction

     Regulators                          Optimal [Benefit/Risk]                                                        Professional satisfaction
                                         Evidence                                              Rp                      & financial security
     Manufacturers                       Deliver products &                                                            Professional satisfaction
                                         generate profit                                      Mp                       & financial rewards



                               Right first time and on-time
                               (identify and eliminate regulatory disharmony in multiple regions that hinders this goal)


      Ajaz S. Hussain, Ph.D.                                                                              4/10/2013
If you don’t measure something, you can’t
     understand it
40




                              “Measurement is the first step that leads to
                                control and eventually to improvement.


                               If you can’t measure something, you can’t
                              understand it. If you can’t understand it, you
                                              can’t control it.


                                If you can’t control it, you can’t improve
                                           it.” ― H. James Harrington

     Ajaz S. Hussain, Ph.D.                                    4/10/2013
High reliability organization – per Deming
41




                      Org. is a                                       Reduce
                     system that                  Knowledge         variability;
                      interacts    Appreciation     about            statistical
                         with      for a system    variation          process
                     environment                                       control


                        Theory,                                        Mgmt.
                        predict,    Theory of     Psychology          ‘culture’
                      feedback –   Knowledge      of people        influence the
                       a way to                                     system and
                         learn                                        outcome


     Ajaz S. Hussain, Ph.D.                                    4/10/2013
What to measure?
42




                              • The Malcom Baldrige National Quality
          There are major       Award (USA)
          awards such as      • Deming Prize (Japan)



            Which provide     • Alignment and/or relevance to regulatory
                                ‘right first time and on-time’ (review and
           relevant metrics     inspection) need to be factored in

     Ajaz S. Hussain, Ph.D.                          4/10/2013
Summary
43




         Topics selected for   • Manufacturer “acceptability” increasingly an important driver
          discussion & why?    • Making quality affordable



      A high level over view
                               • Maintain high quality - At high rate of capacity utilization
       of my learning: How     • QbD for complex products - Under high level of uncertainty
               to …
                               • Ability to provide evidence of comparable global quality
           What should we        (pharmacovigilance) and
             measure?          • Performance metrics per recognized awards – linked to ‘right first time and
                                 on time’ (for a high regulatory standard; review & inspection)

     Ajaz S. Hussain, Ph.D.                                           4/10/2013
“The essence of communication is intention”
                                                                                                             Werner Erhard
44




     ¨    The notion ‘by design’, in
         the phrase ‘Quality by
         Design’, conveys an
         intention to deliver a
         product or service with a
         pre-defined ‘quality’ so as
         to satisfy intended
         customers.
          ¤   Ajaz S. Hussain. SWISS PHARMA 34 (2012) Nr. 6

                                                              http://www.fda.gov/ohrms/dockets/ac/04/briefing/2004-4052B1_09_Hussain-Arden-UK-Presentation.ppt

     Ajaz S. Hussain, Ph.D.                                                                                  4/10/2013
A quality revolution in India…..
45




     Deming Prize winners                           Deming Grand Prize (previously
     •Since 2000, organizations based in India      Japan Quality Medal): 2012
      have received 19 prizes while                 •Tata Steel Limited (India)               What steps a Pharma company
      organizations based in all other countries    •Rane (Madras) Ltd. (India)               take to achieve this by 2020?
      combined have received 21 (Thailand 10,
      Japan 7, USA 1, Singapore 1, China 1 and      •Lucas-TV Ltd. (India)
      Taiwan 1)




     Ajaz S. Hussain, Ph.D.      http://blog.deming.org/2012/10/2012-deming-prize-winners/   4/10/2013

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Making High Quality Affordable

  • 1. Fort Aguada; 16th-century Portuguese fort 1 Challenge: Make High Quality Medicines Affordable Ajaz S. Hussain, Ph.D., Chief Scientific Officer Ajaz S. Hussain, Ph.D. 4/10/2013
  • 2. My personal point of view 2 Assistant Professor Associate Professor Deputy Director B.Pharm. Ph.D. Interdisciplinary of Pharmacy of Pharmaceutics (tenured) Office of Pharmaceutical Science CSO CSO VP Biopharmaceuticals Ajaz S. Hussain, Ph.D. 4/10/2013
  • 3. Returning to Pharma, added appreciation for… 3 After several years of thinking about how to achieve tobacco harm reduction Predictors of human behavior? Decision- Ajaz S. Hussain. SWISS PHARMA 34 (2012) Nr. 6. making in the presence The notion ‘by design’, in the phrase ‘Quality by of risk? Design’, conveys an intention to deliver a product or service with a pre-defined ‘quality’ so as to satisfy intended customers. Behavioral economics Why econometrics? Ajaz S. Hussain, Ph.D. 4/10/2013
  • 4. Outline 4 • Reflecting back to articulation of ‘Vision 2020’ >>> ICH Desired State Background • Focus was on chemometrics and pharmacometrics Topics selected for • Manufacturer “acceptability” increasingly an important driver discussion & why? • Making quality affordable A high level over view of • Maintain high quality - At high rate of capacity utilization my learning: How to … • QbD for complex products - Under high level of uncertainty • Comparable quality (pharmacovigilance) and What should we measure? • Metrics to measure performance of an organization Summary • And closing thoughts Ajaz S. Hussain, Ph.D. 4/10/2013
  • 5. In 2000 @ FDA – anticipation of changes needed by 2020 5 PAT Initiative è Pharmaceutical Quality for 21st Centuryè ICH Initiative Real-time and remote inspection was deemed “too radical” (in 2000) www.fda.gov/ohrms/dockets/ac/01/slides/3804s1_02_hussain.ppt Ajaz S. Hussain, Ph.D. 4/10/2013
  • 6. A simple idea - improved understanding is needed for risk management 6 “I can see clearly now” - First Principles Vision 2020 Knowledge based decisions Why? Perspectives on Regulation: Law, MECHANISTIC Desired State Need for regulatory oversight ¤ KNOWLEDGE Discretion, and Bureaucratic How? Behavior (Kagan and Scholz, May 1980) “CAUSAL" KNOWLEDGE n ‘Good citizens’ Vs. {‘political What “Causes” What? citizens, ‘incompetent’, and/or ‘amoral’} CORRELATIVE KNOWLEDGE Current State What Is Correlated to What? ¨ For FDA to be risk-based it needs scientific data & information, DESCRIPTIVE KNOWLEDGE: capability, .. What? http://www.fda.gov/ohrms/dockets/ac/04/briefing/2004-4052B1_09_Hussain-Arden-UK-Presentation.ppt Ajaz S. Hussain, Ph.D. 4/10/2013
  • 7. 21st Century Opportunities 7 ¨ “Pharmaceutical (development and) manufacturing is evolving from an art form to one that is now science and engineering based”. ¨ “Effectively using this knowledge in regulatory decisions in establishing specifications and evaluating manufacturing processes can substantially improve the efficiency of both manufacturing and regulatory processes.” www.fda.gov/ohrms/dockets/ac/04/.../2004-4052S1_01_Hussain.ppt Ajaz S. Hussain, Ph.D. 4/10/2013
  • 8. Two topics, established fundamentals, a way forward…let me know if you agree, if not, why? 8 Manufacturer “acceptability” increasingly an important driver • Who makes the medicines I take? Pride of workmanship is key to delivering manufacturers’ acceptability • I make the medicines you take Making quality affordable • A system which encourages design thinking and continually reduces process entropy Ajaz S. Hussain, Ph.D. 4/10/2013
  • 9. Example: Pride of workmanship 9 • “These disciplined • “The dabbawalas are • “There are many small Interdependence and trust: Management: Motivation: Discipline and Time workers work highly motivated groups and each perpetually and individuals. Their job is group has to be effectively in a city very important. It is a responsible for itself that movement is very big deal in India and for every other difficult due to the if a customer does not group. So there is a extremely high number receive his box on time high interdependence. of residents. They have or even receives a If one team is not received World record wrong box.” working well then the in best time whole procedure is at management.” risk.” Ajaz S. Hussain, Ph.D. http://www.strategicmanagement-sixsigma.com/2011/06/mumbai- 4/10/2013 dabbawalas.html
  • 10. Example: Pride of workmanship (cont.) 10 • “They are very close to • “Three months is the • “A group consists of Close to the customer Small Group Formation Training time the customer. They try training time and a few people with a to satisfy the need of practice test in order supervisor. The team every customer by somebody to be a members share the taking and delivering dabbawala. In revenue. Trust and on time with no contrast big companies respect are the raw mistake.” like Mc Donald’s spend materials that describe less than one day to a group.” train their employees.” http://www.strategicmanagement-sixsigma.com/2011/06/mumbai- Ajaz S. Hussain, Ph.D. dabbawalas.html 4/10/2013
  • 11. Why is this talk relevant to IPA members? 11 Increasing generic Beyond the traditional Beyond the current competition has been an oral dosage forms the Global consensus - the ‘patent cliff’ generic important policy generic drug approval generic model is not companies are looking consideration for several model faces many applicable for towards complex years challenges biotechnology products generics, biosimilars and NCE products Ajaz S. Hussain, Ph.D. 4/10/2013
  • 12. 12 Who makes the medicines I take? Manufacturer “acceptability” increasingly an important driver Ajaz S. Hussain, Ph.D. 4/10/2013
  • 13. Today’s challenges 13 Increasing complexity and uncertainty • Complex products (e.g., MDI/DPIs, biosimilars) • Evolving regulatory pathways; hence uncertainty • Local to global markets; reducing variability Erosion of public trust • Shortage of injectable products • Falsified and substandard drugs • Other factors Ajaz S. Hussain, Ph.D. 4/10/2013
  • 14. Public trust is the bed-rock of our industry 14 ¨ Perceptions do matter! JAMA, March 5, 2008—Vol 299, No. 9 http://management.fortune.cnn.com/tag/generic-drugs/ Ajaz S. Hussain, Ph.D. 4/10/2013
  • 15. Continual effort needed to counteract forces that erode public trust 15 Ajaz S. Hussain, Ph.D. 4/10/2013
  • 16. Shortage of injectable products in the US 16 • “Cancer drug shortages cause treatment, research Previous week problems” (http://www.oncologynurseadvisor.com/cancer-drug-shortages-cause- treatment-research-problems/article/287359/) news • “Drug shortages spur debate over role of compounding pharmacies” (https://home.modernhealthcare.com) • “Drug shortages at all-time high” (CNN; June 2011) News in 2011 • “New effort to reduce drug shortages a small step” (Business Week; October 2011) Ajaz S. Hussain, Ph.D. 4/10/2013
  • 17. Today’s challenges.. Not different from challenge a decade ago.... Different companies 17 ¨ Reflecting back to 2000 ¤ How is the situation different today? n Then few generic injectable drugs; current injectable shortage predominantly generic manufacturers ¨ Reflecting back to early 1990’s ¤ We were getting beyond the ‘generic drug scandal’ Ajaz S. Hussain, Ph.D. 4/10/2013
  • 18. Several efforts to understand & correct…. 18 Economic • “The rapid increase in volume and • “Drug shortages in the technologic US point to a need to Economic and scope … high rate of differentiate analysis of capacity utilization in the al drivers of manufacturers by [generic] industry. At these generic the causes high levels … difficult to reliability.” of drug maintain manufacturing quality sterile • “FDA could support the levels and any disruptions to injectable buyers and payers in their shortages purchase and (ASPE Issue supply – through, for example, drug Briefing October quality problems …..– can reimbursement decisions 2011) lead to cascading and shortages by providing them with persistent shortages.” (J. Woodcock and meaningful [emphasis added] M. Wosinska manufacturing quality (2013)) metrics.” http://aspe.hhs.gov/sp/reports/2011/drugshortages/ib.shtml http://www.nature.com/clpt/journal/v93/n2/abs/clpt2012220a.html Ajaz S. Hussain, Ph.D. 4/10/2013
  • 19. Global product safety and quality 19 “…prepared for a regulatory environment in which product safety and quality know no borders” http://www.fda.gov/downloads/ aboutfda/centersoffices/oc/glob alproductpathway/ucm259845.p df Ajaz S. Hussain, Ph.D. 4/10/2013
  • 20. Asian middle class: A dominant market by 2020 20 Indian • 55 billion USD by 2020 (base Pharma case) • Acceptability Growth • Accessibility • Affordability drivers • Epidemiological factors http://online.wsj.com/public/resources/documents/McKinseyPharma http://www.jana.com/blog/the-battle-for-the-emerging-middle-class/ 2020ExecutiveSummary.pdf Ajaz S. Hussain, Ph.D. 4/10/2013
  • 21. Manufacturer “acceptability”….. 21 Historically, in the “Patients are not (The Asian middle Asian context – consumers” – but Increasingly a class) more “Traditional vs. this distinction is concern – “not conscious on where Western” medicine eroding manufactured here” a product is manufactured Ajaz S. Hussain, Ph.D. 4/10/2013
  • 22. Key points: Established and emerging need to.. 22 • Maintain high quality Build/maintain • At high rate of capacity utilization public trust • QbD for complex products • Under high level of uncertainty Differentiate • Product safety and quality know no borders manufactures by • Utilize meaningful manufacturing quality metrics reliability Ajaz S. Hussain, Ph.D. 4/10/2013
  • 23. 23 At high rate of capacity utilization Maintain high quality Ajaz S. Hussain, Ph.D. 4/10/2013
  • 24. Top FDA 483 citations in 2012 (Drugs)… no significant change in this list since… 24 The responsibilities and procedures applicable to the quality control unit are not [in writing] [fully followed]. 169 There is a failure to thoroughly review [any unexplained discrepancy] [the failure of a batch or any of its components to 119 meet any of its specifications] whether or not the batch has been already distributed. There are no written procedures for production and process controls designed to assure that the drug products have the 116 identity, strength, quality, and purity they purport or are represented to possess. Laboratory controls do not include the establishment of scientifically sound and appropriate [specifications] [standards] 115 [sampling plans] [test procedures] designed to assure that [components] [drug product containers] [closures] [in-process materials] [labeling] [drug products] conform to appropriate standards of identity, strength, quality and purity. Control procedures are not established which [monitor the output] [validate the performance] of those manufacturing 89 processes that may be responsible for causing variability in the characteristics of in-process material and the drug product. Written procedures are not [established] [followed] for the cleaning and maintenance of equipment, including utensils, used 73 in the manufacture, processing, packing or holding of a drug product. Routine [calibration] [inspection] [checking] of [automatic] [mechanical] [electronic] equipment is not performed according to 69 a written program designed to assure proper performance. Employees are not given training in [the particular operations they perform as part of their function] [current good 65 manufacturing practices] [written procedures required by current good manufacturing practice regulations]. http://www.fda.gov/ICECI/EnforcementActions/ucm250729.htm Ajaz S. Hussain, Ph.D. 4/10/2013
  • 25. Econometrics: Important questions 25 • How widespread are deviations from SOP? • What factors impact process entropy? • How effective are FDA inspections to decrease process entropy? For example: Modeling • Does offshore production pose an added quality risk relative to of the relationship domestic production? If so, what factors influence the quality between regulators and risk? the firms they regulate • To what extent regulators utilize previously secured information in guiding regulatory (inspection) decisions? • What is the impact of regulator experience and training (along with a host of other controls) on regulatory outcomes? Ajaz S. Hussain, Ph.D. 4/10/2013
  • 26. Relevant econometric analyses 26 Decay, Shock, and Renewal: Operational Routines and Process Entropy in the Pharmaceutical Industry Quality risk in offshore manufacturing: Evidence from the Gopesh Anand, pharmaceutical industry John Gray, and Enno Siemsen. Organization John Gray, Aleda Regulator heterogeneity and endogenous efforts to close the Science. Vol. 23, information asymmetry gap: evidence from FDA regulation No. 6, Roth, and Michael November– Leiblein. Journal December 2012, of Operations Management 29 Jeffrey Macher, John Mayo, and Jack Nickerson. Journal of Law and pp. 1700–1716 Economics. Vol. 54, No. 1 (February 2011), pp. 25-54 (2011) 737–752 Ajaz S. Hussain, Ph.D. 4/10/2013
  • 27. 27 Under high level of uncertainty Achieve QbD for complex products Ajaz S. Hussain, Ph.D. 4/10/2013
  • 28. A key difference between FDA & EMA 28 Ajaz S. Hussain, Ph.D. 4/10/2013
  • 29. Complex generics and biosimilars 29 FDA cGMP Review NDA, Manufacturing Development Inspections BLA, or ANDA QbD approach to Multi-disciplinary; Considered high risk – development of Complexity Increases system wide team inspections analytics, product and ensure appropriate weighting of evidence process Evidence of Validation, state of 483-to-WL-to- pharmaceutical Review evaluation Uncertainty control & rate of Enforcemnt equivalence, similarity, criteria evolving entropy and interchangeability More critical to control Frequency of Expected - different Controlled within lot-lot Variability quality of materials inspections & focus variability of RLD review disciplines & used and final product areas culture Ajaz S. Hussain, Ph.D. 4/10/2013
  • 30. Woodcock: ‘Paradigm Shift’ in Reviews 30 “…companies intending to “..the amount of clinical market Biosimilars must come evidence required by FDA to FDA with an extensive will be related to the amount characterization package, and the quality of analytical comparing theirs with the and functional information reference product.” that is available on any biosimilar product…” Ajaz S. Hussain, Ph.D. DIA/FDA Biosimilars Conference 12 September 2012 4/10/2013
  • 31. Quality of development and regulatory communication 31 Regulators Industry Design Understanding Continuous – Recognize Level of Risk-based real time knowledge understanding People, Prior Experimental Product & Acceptable materials, knowledge – evidence in QMS track process variability machines and similar products development record environment reports Link between Material Specifications & Causal links Monitoring & quality, safety attributes Acceptable controls control system & efficacy critical to variability quality Product use Failure modes Process Intended use Failure modes Process information & likelihood capability & likelihood capability Ajaz S. Hussain, Ph.D. 4/10/2013
  • 32. ‘Transdisciplinary’ & ‘Design Thinking’ 32 Transdiciplianry Design Thinking Analytics, mechanisms Not and clinical Target Ability to Multi- a Thing, indications ‘Quality Product measure functional But ‘Interchange- by Profile and review a Way able’ Design’ and explain and (MIT Sloan Management designation QTPP challenge Review, July 2, 2009) ‘Package Insert’ & marketing messages Ajaz S. Hussain, Ph.D. 4/10/2013
  • 33. QbD Approach: Targeted development 33 Sandoz: Thomas Stangler | EAPB SIG Regulatory Aspects for Biopharmaceuticals | October 4th, 2010 Ajaz S. Hussain, Ph.D. 4/10/2013
  • 34. Organizing for success 34 Early investment in analytics and understanding variability in RLD • Inadequate focus on TPP, QTPP (analytics) Common & market research TPP & QTPP in the context of residual pitfalls • Functional check-box uncertainty and • Cut-paste approach Review/challenge culture and decision symptoms to clinical trials ‘gates’ • Rush to clinical Design of clinical trials to address scientific and clinical (market) uncertainty Ajaz S. Hussain, Ph.D. 4/10/2013
  • 35. 35 Differentiate manufactures by reliability Product safety and quality know no borders Utilize meaningful manufacturing quality metrics Ajaz S. Hussain, Ph.D. 4/10/2013
  • 36. Product safety and quality know no borders 36 ¨ Quality system that can convincingly demonstrate delivery of comparable quality & pharmacovigilance TIME TIME 2 COST 1 Scientific evidence for Select 2? risk-based Optimize quality three? 3 RISK 4 COST QUALITY QUALITY Ajaz S. Hussain, Ph.D. 4/10/2013
  • 37. Cost, Quality & Risk: Unproductive time 37 Product & process quality Regulatory compliance COS Activity - Costs Risk Activity - Cost Risk External failure Complaint investigations, To patient, 483s, WL, seizure,. ….. To patients, impact and RC-investigations, reputation and Recall activities reputation and CAPA business business Internal failure Down-time, impact & RC- To business and OOS investigation report, change - Inability to improve investigations, CAPA quality system regulatory supplements for review or risk to patients? Prevention Improve design of product “Corrective Change control and regulatory CQAs? controls?, and/or process; Quality System, actions” not supplements representative Training,… continual Validation & batch records batches? improvement SOP development/training Focus on documentation & Appraisal Testing and inspection for CQAs?, Batch records, review inadequate system incoming materials and products representative QC release. Document review , audits understanding samples?,…. Ajaz S. Hussain, Ph.D. 4/10/2013
  • 38. Making high quality affordable 38 Consumers, Optimal prescribers Manufactures Drivers “driver and payers behaviors”? Time to market Market access ROI Access to products and Right First Time information Reputation Reliability Ajaz S. Hussain, Ph.D. 4/10/2013
  • 39. Making high quality affordable 39 Purpose Process People Consumers Confidence & satisfaction Regulators Optimal [Benefit/Risk] Professional satisfaction Evidence Rp & financial security Manufacturers Deliver products & Professional satisfaction generate profit Mp & financial rewards Right first time and on-time (identify and eliminate regulatory disharmony in multiple regions that hinders this goal) Ajaz S. Hussain, Ph.D. 4/10/2013
  • 40. If you don’t measure something, you can’t understand it 40 “Measurement is the first step that leads to control and eventually to improvement. If you can’t measure something, you can’t understand it. If you can’t understand it, you can’t control it. If you can’t control it, you can’t improve it.” ― H. James Harrington Ajaz S. Hussain, Ph.D. 4/10/2013
  • 41. High reliability organization – per Deming 41 Org. is a Reduce system that Knowledge variability; interacts Appreciation about statistical with for a system variation process environment control Theory, Mgmt. predict, Theory of Psychology ‘culture’ feedback – Knowledge of people influence the a way to system and learn outcome Ajaz S. Hussain, Ph.D. 4/10/2013
  • 42. What to measure? 42 • The Malcom Baldrige National Quality There are major Award (USA) awards such as • Deming Prize (Japan) Which provide • Alignment and/or relevance to regulatory ‘right first time and on-time’ (review and relevant metrics inspection) need to be factored in Ajaz S. Hussain, Ph.D. 4/10/2013
  • 43. Summary 43 Topics selected for • Manufacturer “acceptability” increasingly an important driver discussion & why? • Making quality affordable A high level over view • Maintain high quality - At high rate of capacity utilization of my learning: How • QbD for complex products - Under high level of uncertainty to … • Ability to provide evidence of comparable global quality What should we (pharmacovigilance) and measure? • Performance metrics per recognized awards – linked to ‘right first time and on time’ (for a high regulatory standard; review & inspection) Ajaz S. Hussain, Ph.D. 4/10/2013
  • 44. “The essence of communication is intention” Werner Erhard 44 ¨ The notion ‘by design’, in the phrase ‘Quality by Design’, conveys an intention to deliver a product or service with a pre-defined ‘quality’ so as to satisfy intended customers. ¤ Ajaz S. Hussain. SWISS PHARMA 34 (2012) Nr. 6 http://www.fda.gov/ohrms/dockets/ac/04/briefing/2004-4052B1_09_Hussain-Arden-UK-Presentation.ppt Ajaz S. Hussain, Ph.D. 4/10/2013
  • 45. A quality revolution in India….. 45 Deming Prize winners Deming Grand Prize (previously •Since 2000, organizations based in India Japan Quality Medal): 2012 have received 19 prizes while •Tata Steel Limited (India) What steps a Pharma company organizations based in all other countries •Rane (Madras) Ltd. (India) take to achieve this by 2020? combined have received 21 (Thailand 10, Japan 7, USA 1, Singapore 1, China 1 and •Lucas-TV Ltd. (India) Taiwan 1) Ajaz S. Hussain, Ph.D. http://blog.deming.org/2012/10/2012-deming-prize-winners/ 4/10/2013