Press release, 14 February 2007

Strengthening the competitive advantage of Europe’s biomedical health care sector

Strengthening the competitiveness of Europe’s biomedical health care sector is vital if value-creating research, development and jobs are to remain in Europe, the European Foundation for the Improvement of Living and Working Conditions (Eurofound), the Dublin-based EU Agency, argues. In an effort to boost the competitive advantage of the sector in competition with those in the United States and Asia, Eurofound has contracted the Danish Technological Institute to map the current and future challenges the sector is facing, as well as finding ways how to address the lack of funding and the insufficient supply of qualified employees in Europe.

The 2163 European biotechnology companies employ over 96,500 people and generates over EUR 21.5 billion in revenue (2004). Compared to other industries, Europe’s biotechnology industry is small in numbers, but it is nonetheless vital when it comes to driving economic growth and innovation in other European industries such as the pharmaceutical industry, industrial production (washing powder etc.), agriculture, and food production.

‘European policy-makers, as well as business executives and employees in Europe’s biomedical health care sector, need a comprehensive understanding of change and the consequences of change on their sector, so that they can respond to an effective and proactive way,’ says Jorma Karppinen, Eurofound’s Director. ‘This study is aimed at ensuring that company strategies, competences of the employees, and the regulatory framework meet future challenges.’

The first step in the study is to map the trends and key drivers of change in the sector. Second, in order to illustrate the challenges facing different types of companies in the sector and the different paths taken by companies to ensure competitiveness and growth, the study will include four company portraits and two case studies of clusters. Based on the insights from the case studies, future scenarios will be developed, enabling legislators, employers and employees to reflect on their choice of strategies for the future.

‘In our experience, the combination of a concise mapping of a sector together with in-depth case studies and a set of thought-provoking scenarios offer an eminent starting point for strategic considerations and decisions within the companies and organisations within that sector,’ says project manager Tine Andersen from the Danish Technological Institute. ’Therefore, it is our hope that our results will be studied and discussed by stakeholders, legislators, and in the companies that we aim to portray.’

The project ends in September 2007. However, the mapping report will be available in March 2007, and the six case studies are conducted and published from March to May 2007. The scenarios will be available on the project’s website in August 2007.

Read more about the project.

For further information, contact
- Radoslaw Owczarzak, Research Manager at the European Foundation for the Improvement of Living and Working Conditions (Eurofound), on telephone: + 353-1-2043106 or email: row@eurofound.europa.eu
- Tine Andersen, Project Manager at the Danish Technological Institute, Centre for Policy and Business Analysis, on telephone: +45-7220-1446 or email: tine.andersen@teknologisk.dk

For further information, contact
- Måns Mårtensson, Press Officer, telephone (+353) 1 204 3124, mobile (+353) 876 593 507, or email mma@eurofound.europa.eu
- Henrik Noes Piester, Danish Technological Institute, telephone: +45-7220-2678, mobile: +45-2270-5836 or email: henrik.noes.piester@teknologisk.dk

Notes to the editor:
The European Foundation for the Improvement of Living and Working Conditions (Eurofound) is a tripartite EU body, whose role is to provide key actors in social policy making with findings, knowledge and advice drawn from comparative research. The Foundation was established by Council Regulation EEC No 1365/75 of 26 May 1975.

The European Monitoring Centre on Change (EMCC) is an information resource established to promote an understanding of how to anticipate and manage change. It was set up in 2001 within the European Foundation for the Improvement of Living and Working Conditions, with the full support of the European Parliament, the European Commission and the social partners.

The Danish Technological Institute is an independent, not-for-profit institution approved by the Danish authorities to provide approved technological services, such as consultancy, tests, certification, and training to businesses and the community. The Institute’s mission is to promote growth by improving interaction and encourage synergy between research, business, and the community.

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