Sumitomo Dainippon Pharma Annual Report 2017

Aiming to Build a Highly Efficient Sales OrganizationFollowing the dissolution of our region-based sub-division structure and downsizing of the number of branches in April 2016, early retirements in December 2016 brought our employee numbers down and our sales offices nationwide shrank from 152 to 131 locations. While continuing to increase the authority of each branch and sales office, we have aimed for an efficient sales structure that enables a flexible response to changing local healthcare.Fiscal 2017 Business Plan and OutlookWith the anticipated launch of generic drugs for AVAPRO® in December 2017, we forecast its sales to fall. In the schizophrenia area, we forecast the severe market environment to continue due to the impact of the government’s rule on reducing polymedication, and we expect this to blunt the growth of LONASEN®.At the same time, the number of patients being prescribed TRERIEF® has been steadily increasing and we aim for it to be ranked number one in fiscal 2017 in patient prescriptions as an adjunctive drug in the treatment of Parkinson’s disease. We are contributing to healthcare with CNS MRs who provide high quality information, as well as dialogue and problem solution suggestions for healthcare professionals.Additionally, with regard to METGLUCO®, which requires on-going information on proper usage, we have contracted some tasks related to promotions at health insurance pharmacies to DS Pharma Promo Co., Ltd., founded as a group company in December 2016, and are ensuring effective handling of business.Through these initiatives, we are working to expand sales of promoted products.Basic ApproachActivities in MarketingActivities in MarketingCSRCSRSumitomo Dainippon Pharma defines CSR management as the practice of implementing our Corporate Mission: “To broadly contribute to society through value creation based on innovative research and development activities for the betterment of healthcare and fuller lives of people worldwide.” Our aim is to provide high value added products to meet medical needs and to improve QOL for patients. In the Sales & Marketing Division, we formulate and promote DSP Ambition as a vision (Conduct Guidelines) in order to achieve “marketing from the patient’s point of view that is appreciated by customers.”Pursuing Fair Promotion ActivitiesIn view of the JPMA Promotion Code for Prescription Drugs, Sumitomo Dainippon Pharma has formulated the DSP Promotion Code for Prescription Drugs to specify the standards of conduct that MRs have to comply with when promoting ethical drugs with the aim of engaging in fair promotion activities.Moreover, the Fair Trade Council of the Ethical Pharmaceutical Drugs Marketing Industry has specified the Fair Competition Code Concerning Restriction on Premium Offers in Ethical Drugs Marketing Industry. In light of the relevant legislation and these voluntary standards, Sumitomo Dainippon Pharma has formulated the DSP-GPP (Good Promotion Practice) with the objective of engaging in fair and transparent marketing activities.In fiscal 2016, we provided monthly training for MRs in those rules such as the Promotion Code, Fair Competition Code and the DSP-GPP, and the points to consider for the product explanation sessions, research sessions and lectures.promote the value of these two pharmaceuticals by providing very specialized information. With REPLAGAL® as well, 20 dedicated MRs have been newly added and posted at each branch.36Sumitomo Dainippon Pharma Co., Ltd. Annual Report 2017

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