Project portfolio management tools : the case of Lipha S.A

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Managing Director, Lipha S.A.

Christophe MIDLER

Centre for management research, École polytechnique

Seminar Management of Innovation | Wednesday March 17, 1999

In the pharmaceutical sector, huge amounts of money are devoted both to research, in order to discover which molecule is capable of treating a given pathology, and to development, in order to obtain a reliable medicine. This lengthy and potentially risky R&D process is conducted in a complex economic environment. Confronted with the imperatives of public health and safety, and the statutory controls and issues of economic development, pharmaceutical laboratories not only have to manage the projects involving medicines, but also the whole gamut of company projects. They have to answer questions as to how the projects should be chosen, what resources should be allocated and how these projects should be developed. Four years ago, Lipha equipped itself with project portfolio management tools in order to manage these activities bearing in mind the desired benefits and incurred risks. Today, Christophe Midler assesses this experience and examines the real impact of these tools.

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