Emerging technology risk in life sciences
Emerging technology risk in life sciences
Insight

Emerging technology risk in life sciences

Technological developments are revolutionizing patient care, but also raising issues around trust, security, and confidentiality.

Turn risk factors into success factors

Emerging technologies such as the cloud, mobile apps, the internet of things, artificial intelligence, and blockchain are transforming nearly every sector. Life sciences is no exception.

While emerging technologies offer new sources of value and opportunity in life sciences, they also pose new risks.

Innovate with understanding

According to KPMG’s 2019 CEO Outlook,1 66% of Life Sciences CEOs believe that their organization is actively disrupting its own sector rather than waiting to be disrupted by competitors.

No organization wants to be a late follower and risk collapse, but being a market leader carries its own risks in an ever-more regulated, highly scrutinized market.

Organizations must protect their customers at the same time as they serve their customers through practicing good digital governance. The challenges of doing so in such a fast-moving market should not be underestimated.

While new technologies offer new sources of value, the associated risks are so significant they can offset any benefits if not properly managed. Healthcare is the #1 industry with the most data breaches which, on average, cost 2.5 times more than other industries.2 Even though 76% of Life Sciences companies acknowledge that the risk of becoming a victim of e-crime has increased, only about one in three has set up a cyber defense team to ward off attacks.3

The way that technological solutions are chosen and deployed can make the difference between competitive differentiation and market growth or monetary losses, write-downs, and reputational damage.

Emerging technologies help create new customer experiences but also generate new fears and uncertainties. Big data helps brands serve customers more personally, but people want control over how their information is used. A connected digital ecosystem offers more advanced, responsive, personalized care but also creates new points of failure for technology break-downs, cyber-attacks, and invasions of privacy.

How KPMG can help

When it comes to the application of emerging technologies, KPMG helps organizations balance innovation against the risks – in particular the risks of jeopardizing customer trust.

We do this by bringing powerful technological insights to the table but, more than that, we offer in-depth experience of risk, compliance, and control in the life sciences sector. We help ensure life sciences organizations remain resilient, protect customers, and promote accountability in their dealings with customers, patients, suppliers, and regulators.

By helping organizations identify and manage technology risks and embed technical trust throughout the innovation and product lifecycle, we also help them to grow and succeed.

 

Learn more by reading our latest thought leadership piece:

 
 
1 KPMG 2019 CEO Outlook Survey
An ethical compass in the automation age
3 KPMG Digitalization in life sciences (2018)

 

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