Imported Intelligence

Many expatriate professionals are at senior positions in pharma companies and allied industries in India. Sachin Jagdale writes about this growing trend

In terms of volume Indian pharma industry is today the third largest in the world. Many factors might have contributed to this extraordinary achievement, not the least the global ambitions of Indian pharma industry backed by changes at the operational and management levels. One such prominent change is the increasing number of expatriate professionals at senior positions in domestic pharma company. This trend is already visible in other industries and the pharma and allied industries is slowly and steadily catching up.

Why expatriates?

The skill and talent of Indian professionals is always widely discussed and for the most part, acknowledged, so when we have our very own skilled workforce why do we need to recruit from other shores? Ajit Singh, Chairman, ACG Worldwide, opines, "There is indeed a trend and this is because it is sometimes a challenge to find a candidate highly skilled or with a specialized knowledge base with experience in the latest global developments in that field within India. Not very long ago, Tata Motors had sent a hiring team to Detroit to recruit automotive designers and engineers who have had experience in working with global automotive giants like GM or Ford."

Singh has an in-house example to put forth. When ACG Worldwide ventured into the highly specialized area of blister packing films, there was practically no know-how available on the technology within India. ACG hired Dr Pepper, a polymer scientist to take up this challenge and ACG Pharmapack, the barrier packaging company became India's leading company, pioneering the launch of PVdC laminated barrier packaging films in India. Now this division is headed by a technocrat Michael Franklin who has the much needed technical know how about the highly specialized range of products and a global perspective of the barrier packaging films business.

Likewise, John C Gebler, Director, Mass Spectrometry business Development, Waters, India, is a highly experienced individual in his field. He carries with him many years of global experience. He says, "Please be aware that my experience is rather narrow to academics and biotech/pharma companies. Even there, it is limited to the scientists. With that, I do observe that many Indian companies want to have a global impact (world wide market). Many companies lack the knowledge on how to do this. Much of their experience is within India." Gebler points out that the Indian and global markets are different and experience is also the key determining factor. "The markets outside India, especially to the Western world are very different. For example, I have visited a number of companies that want to develop generic (biosimilar) versions of biotherapeutics. Most of the companies in India have very little experience on how to bring these generics to the Western world market. The regulatory requirements are dynamic and difficult to understand. They will only be successful if they plan to place outsiders on the ground in India. When companies do this, they need to have a plan in place that trains the India work force and moves towards having ownership," adds Gebler.

Sanjeev Saxena, Chairman and CEO, Actis Biologics, echoes Gebler’s views. According to Saxena, the trend to recruit foreign CEOs, MDs, Directors and Departmental.Heads arises out of need. There is little or of no experience on many points like dealing with regulatory and market issues in the western world and Japan which comprises of 90 percent of the world market, doing new and innovative drug development, or of sales of Indian pharma products in this market. Similarly, there is little or no experience in quality standards, manufacturing and new drug discovery for this important market .

"With Indian pharma companies going global, this trend is going to increase. However, you must note that 'expatriates' need not always be 'foreign nationals'. They are many-a-times, NRIs who are seeking to come back to India," says Singh. As the Western economy continues to be sluggish, the booming opportunities 'back home' suddenly seem more interesting and the reverse brain drain could continue. Saxena could very well an example of this trend as he has come back to India after a very successful stint in the US.

The key to the globe?

"My Indian colleagues provide valuable feedback on unique market needs. My Western colleagues bring valuable training. Since I am on the ground in India, I offer a bridge for this transfer of information. There is no way e-mails, video conferences, or short visits will substitute for living and working in India. The work is hard at times but it has been a great opportunity to learn" - John C Gebler Director Mass Spectrometry Business Development, Waters, India

"I am not in agreement that an expatriate at the helm eases entry into global markets. It may give us that feeling or sense but it's not true" - Sanjeev Saxena Chairman and CEO Actis Biologics

"A professional from Europe or the US has a better understanding of the regulatory scenario there" - Ajit Singh Chairman ACG Worldwide

With the Indian pharma industry desperate to leave its foot prints in the global market, an expat at the senior level becomes an obvious effort to give a global face to the company. Moreover, such professionals can percolate their global experience down the organization that will in turn reflect in the quality of the end product. But do these developments make any difference to the foray into global markets? "Yes, this definitely helps especially in markets where the person hails from. A professional from Europe or the US has a better understanding of the regulatory scenario there," says Singh.

However, on the other hand Saxena doesn't think so. He opines, "I am not in agreement that an expatriate at the helm eases entry into global markets. It may give us that feeling or sense but it's not true. What's important is knowledge of the markets, quality standards, regulatory standards and understanding of cultural issues which your customer faces, which will help you make decisions which can positively impact the launch of products in this market segment."

A two way learning experience

Experience is not the only thing that expatriates will offer. As informed by Saxena, the exposure to numerous new papers, articles, seminars, conferences on innovation, drug development, scale up and manufacturing plus the regulatory and quality issues, puts such professionals ahead of their Indian counterparts. This edge will, however, even out once Indian professionals are trained to handle these issues.

Gebbler's approach to his role echoes this sentiment. As he explains, "I have viewed my role as a consultant. The objective is for me to train our local staff. I feel it is very important that the Indian employees take ownership. Short visits of one-four weeks are not enough for an expatriate employee to understand the culture and dynamics of India. At least for me, it is very different from the US. Since Waters is a global company, the experience for us is two-way."

He adds, "My Indian colleagues provide valuable feedback on unique market needs. My Western colleagues bring valuable training. Since I am on the ground in India, I offer a bridge for this transfer of information. There is no way e-mails, video conferences, or short visits will substitute for living and working in India. The work is hard at times but it has been a great opportunity to learn."

Alind Sharma, Senior VP-HR, Glenmark Pharmaceuticals, says, "I personally feel that in the pharma context, most foreigners (including those of Indian origin) are in the R&D space. The single largest reason for hiring foreigners (in whichever function of R&D) is to bridge the experience / skill gap. There are certain areas (like in vivo biology, Drug Metabolism and Pharmacokinetics (DMPK), marketing in advanced markets) where Indian professionals do not have experience. As Glenmark is focused on drug discovery where the skill sets required are very different then R&D for branded generics, foreigners are able to bridge the skill and experience gap in drug discovery."

Trend will be more visible

This trickle looks like just the beginning of a wave. The future will see many expatriates enjoying top positions in Indian pharma companies, as a stint in a leading developing super economy like India is seen as a hands-on training for much bigger responsibilities.

Even Gebler is of the opinion that with the world getting smaller everyday and flow of people and information, it has to become more visible. "At times I expect it to be more two-way. Also, as the skill level increases in India, the country is well positioned to be a major economic player," asserts Gebler.

Saxena takes the discussion forward. While highlighting the crucial issue of family run businesses dominating the Indian pharma landscape, Saxena said that there is a shift from this approach. "The newer generation realizes that making a global success of a company is done by creating more shareholder value, with or without them at the helm. To this new generation, success is determined by financial rewards and hence they are willing to step down from key positions and bring strong professionals with relevant experience in the global market where they want to compete. So while, in the short term, I see this trend increasing, however, as the training is important and Indian professionals do get trained in international marketing, this trend will change," says Saxena

Interesting interactions

It is always interesting to know how the initial interaction between Indian employers and expatriates take place. How do they get in touch with each other? According to Saxena it's mostly the Indian companies who reach out first to these professionals.

Gebler analyses the situation. He says, "I know several people who are working overseas from the US. All of them were asked by their company to do so. However, most at some point expressed a desire to take an overseas appointment. For us as a family, we always wanted the opportunity to live overseas. We were very open on where. This led to our coming to India. Most families we know love the experience. It does take a unique person (and family) to do this. Most of my US colleagues would not do it, no matter where the job would be."

According to Singh, a network is developed over a period of time as the team members, senior managers and directors travel globally. The company gets known also through its training initiatives. The Scitech Center, a technology research center regularly invites scientists and designers as trainees to India. They also organize training programs and lectures on the latest advances in the field of pharmaceutical technology. Through these lectures, many experts get consulting opportunities from Indian pharma companies.

Culture shock

More than landing a job with any overseas company what's more challenging is getting used to rules and traditions of the new country. There is a tremendous difference between culture, work environment and day to day events in India and in Europe. As many expatriates in India are from US and European countries, it is crucial to talk about the adjustment problems that these professionals do face. At the ACG Worldwide the group is headed by American and European qualified directors and they form a great interface between such expatriates and the country and the company.

Gebler hails from US so moving to India was a big challenge for the family. "The culture is very different. This took some adjustment. Even allowing someone to drive the car, clean our home, and cook has been an adjustment. Americans are very independent. We are not used to having someone do everything. We worry that our children will forget how to clean the bathroom when we move home to Massachusetts. However, even when someone moves from one city to another in the same country, it is an adjustment. It takes time. We enjoy the mild climate in Bangalore," informs Gebler. Though Gebler and his family did miss the cold and snow for Christmas they had a "blast" with crackers during Diwali. They have loved visiting all over India. Gebler adds, "There is no other place I know where one can observe the drama of daily life unfold in vivid detail on the sidewalks and street." According to Sharma the most important issues for foreigners coming to stay in India are to do with lifestyle issues like schooling, traffic, housing, safety, etc. Language is not an issue at all. Gebler gets humorous when he talks about one thing that he would like to change about India. He says, "Bring my bed from the US to India. The beds in India are too hard." For Saxena improvement in the infrastructure and traffic is necessary but at the same time he never forgets to mention his fascination towards the people and their warmth and hospitality.

sachin.jagdale@expressindia.com