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The Latest In Breast Cancer Research And Treatment

Influential Innovators

The leaders (and products) embracing the future

TOP 10

LEADINGN WOMEN I RE A HEALTHC

Special Report

Marken: Delivering Solutions For The Life Sciences Industry Worldwide


EDITOR’S COMMENT

Be bold in your pursuits T H E F A L L S E A S O N I S back in full swing and

this month’s issue is filled with industry leaders that are shaping the industry to provide higher technology medical devices and drive quality patient care throughout every region of the globe. Our cover this month features Marken, a life sciences supply chain provider that is bridging the distance between patients and essential resources. In an exclusive interview with the company’s head executives, we unraveled how one company supports over 49,000 investigator sites in more than 150 countries, while globally transporting temperature-sensitive and lifesaving pharmaceuticals, clinical trial supplies, and specimen collections. As the healthcare industry continues to advance its technological efforts, we profiled three Canadian companies that are embracing the future of health tech in “The most influential innovators of 2015 (and their products).” I would also like to mention October is National Breast Cancer Awareness Month. In light of this, we discuss the latest in breast cancer research and treatment.

Stephanie C. Ocano Senior Editor stephanie.ocano@healthcareglobal.com

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CONTENTS

6

Features

TECHNOLOGY The latest in breast cancer research and treatment

14

LEADERSHIP The Most Influential Innovators Of 2015 (and their products)

20 TOP 10 Women In Healthcare

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October 2015


32 Marken

Company Profiles

48

Kley Hertz

USA 32 Marken

BRASIL 48 Kley Hertz 60 Hospital Alem達o Osvaldo Cruz 72 ABRAFARMA

AMERICA LATINA 80 Belleza Express

60

Hospital Alem達o Osvaldo Cruz

72

ABRAFARMA

80 Belleza Express


TECHNOLOGY

The latest in breast cancer research and treatment Research into the causes, prevention and treatment of breast cancer continues to be done in many medical centers throughout the world. W r i t t e n b y: S T E P H A N I E C . O C A N O


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TECHNOLOGY IN the United States, breast cancer is the most common non-skin cancer and the second leading cause of cancerrelated death in women, according to the National Cancer Institute. From a global perspective, the World Cancer Research Fund International has found that breast cancer is the most common cancer in women worldwide, with nearly 1.7 million new cases diagnosed in 2012 alone. Research into the causes, prevention and treatment of breast cancer continues to be done in medical centers around the world, and studies continue to uncover lifestyle factors

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October 2015

and habits that alter breast cancer risk. As an active area of research, there is more hope for better diagnosing breast cancer thanks to new technologies. “The fact that you cannot argue with is that breast cancer mortality has declined by 24 percent in the past 10 years—and a lot of that is due to early detection,” Carol Lee, MD, chairwoman of the Commission on Breast Imaging for the American College of Radiology and professor of diagnostic radiology at Yale University School of Medicine, states on WebMD. The National Institute of Environmental Health Sciences (NIEHS) is currently


B R E A S T C A N C E R R E S E A R C H A N D T R E AT M E N T

funding a large, long-term study to help find the causes of breast cancer. Dubbed The Sister Study, it has enrolled 50,000 women who have sisters with breast cancer and will follow them for at least 10 years and collect information on their genes, lifestyle and environmental factors that may attribute to causing breast cancer. The following are the latest breast cancer topics being researched, according to the American Cancer Society: Chemoprevention The retinoid fenretinide is being studied as a way to reduce the risk of breast cancer. Related to vitamin A, this drug reduced breast cancer risk as much as tamoxifen.

“Vitamin D deficiency has been attributed to cancer returning to a patient.”

Additional drugs, such as aromatase inhibitors, are also being studied to reduce the risk of breast cancer. Ductal carcinoma in situ (DCIS) In some women, DCIS can result in invasive breast cancer, along with other forms of cancer. DCIS is relative to each patient as DCIS cells may never invade and remain localized within the ducts, resulting in a case that is not life-threatening. Research being done with DCIS is being conducted to determine the odds that a woman’s DCIS will become invasive and ways to help with these challenges. Some of these methods are based on routinely available clinical information about the patient and her DCIS, whereas others also include information about changes in the tumor’s genes. The test Oncotype Dx DCIS Score can be used to predict a woman’s chance of DCIS returning or a new cancer developing in the same breast if she does not receive radiation treatment. According to the American Cancer Society, however, the test has not been studied well enough to predict how much someone would benefit from radiation after surgery for DCIS. 9


TECHNOLOGY Circulating tumor cells Researchers have found that in many women with breast cancer, cells break away from the tumor and enter the blood. These circulating tumor cells can be detected with sensitive lab tests. While these tests may be able to predict which patients may go on to have their cancer return, it isn’t clear that the use of these tests will help patients live longer. Scintimammography (molecular breast imaging) New imaging methods are being studied for evaluating abnormalities. In scintimammography, a slightly radioactive tracer called technetium sestamibi is injected into a vein. The tracer attaches to breast cancer cells and is detected by a camera.

“New imaging methods are being studied for evaluating abnormalities.” 10

October 2015

Some radiologists believe it may be helpful in looking at suspicious areas found by regular mammograms, but the exact role remains unclear. Current research is aimed at improving the technology and evaluating its use in specific situations such as in the dense breasts of younger women. Some early studies have suggested that it may be almost as accurate as more expensive MRI scans. Vitamin D A recent study found that women with early-stage breast cancer who were vitamin D deficient were more likely to have their cancer recur in a distant part of the body and had a poorer outlook. More research is being done to confirm this finding, however, and it is not yet clear if taking vitamin D supplements would be helpful. New chemotherapy drugs A drug class called PARP inhibitors has been developed that targets cancers caused by BRCA mutations. This class of drugs has shown promise in clinical trials treating breast, ovarian and prostate cancers that had spread and were resistant to other treatments. Further studies are


B R E A S T C A N C E R R E S E A R C H A N D T R E AT M E N T

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TECHNOLOGY

“New forms of chemoprevention are being studied to avoid chemotherapy.” being done to see if this drug can help patients without BRCA mutations. Bisphosphonates Bisphosphonates are drugs that are used to help strengthen and reduce the risk of fractures in bones that have been weakened by metastatic breast 12

October 2015

cancer. Examples include pamidronate (Aredia) and zoledronic acid (Zometa). Some studies have suggested that zoledronic acid may help other systemic therapies, like hormone treatment and chemo, work better. In one study of women being treated with chemo before surgery, tumors


M O S T P R O G R E S S I V E H E A LT H T E C H I N N O V AT I O N S

in the women getting zoledronic acid with chemo shrank more than those in the women treated with chemo alone, according to the American Cancer Society. Oncoplastic surgery Breast-conserving surgery (lumpectomy or partial mastectomy) can often be used for early-stage breast cancers. But in some women, it can result in breasts of different sizes and/or shapes. For larger tumors, it

might not even be possible, and a mastectomy might be needed instead. Some doctors address this problem by combining cancer surgery and plastic surgery techniques, known as oncoplastic surgery. This typically involves reshaping the breast at the time of the initial surgery, and may mean operating on the other breast as well to make them more symmetrical. This approach is still fairly new, and not all doctors are comfortable with it, the society states. 13


The Most Influential Innov Of 2015 (and their products) Wr i t ten by: C UTTE R S LAG LE E di te d by: STE PH A N I E C . O C A N O


vators

LEADERSHIP

To those that embrace the future, here are the leading healthcare technologies to look forward to. 15


LEADERSHIP INNOVATION IS DEFINED as, “Making changes in something established, especially by introducing new methods, ideas or products,” which is exactly what VitalSines, InteraXon and Figure 1 are doing, and continue to do, with their products. With new startups and fortune 500 companies alike engaging in modern health technologies, the industry is rapidly changing. These Canadian innovators are leading the way for modern advancements in 2016 and beyond. VitalSines, Inc. | iheart Easily found on the company’s website is the following: “VitalSines develops technology that turns biological data into actionable

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October 2015

information anyone can use to manage their health or performance.” It sounds extremely important, but what are we actually discussing? VitalSines’ first product was the iheart. The iheart is a health and wellness gadget and app that can effortlessly measure the user’s pulse for 30 seconds; afterwards, immediate results are produced and display your physical age—how old you are on the inside. Users can then choose to change their lifestyles, being more mindful of their diets and incorporating exercise into their daily routines. If these positive lifestyle choices are made, on top of regular testing with iheart, users can watch themselves gain years as they improve their health. Regarding the development and future of iheart, Dr. Jess Goodman, president and founder of VitalSines, has stated, “VitalSines is committed to helping Canadians live long and healthy lives. The VitalSines team has developed a small and inexpensive optical pulse sensor that opens a new window onto human physiology, and reveals life as never seen before. Our goal is to give people an ability to monitor health and recognize benefit from healthy lifestyle choices.


T H E M O S T I N F L U E N T I A L I N N O V AT O R S O F 2 0 1 5

“VitalSines is committed to helping Canadians live long and healthy lives” – Dr. Jess Goodman, president and founder of VitalSines

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LEADERSHIP

“Figure 1 opportunely allows doctors the ability to share and discuss diverse medical conditions with the aid of photographs that can be accessed via a smartphone” – Dr. Joshua Landy

“VitalSines sees Canada, with its history of healthcare innovation, as a natural leader in development of personal health monitoring solutions. We intend to create a ‘made in Canada’ personal health monitoring industry on worn sensors streaming a comprehensive picture of life to the Cloud.” InteraXon | Muse InteraXon is known for developing engaging experiences by utilizing brain-sensing technology to live 18

October 2015

free from physical, emotional and mental obstacles in order to get more out of every moment. “At InteraXon, our mission is to enable you to live a happier, healthier and more connected life through innovative brainwave technologies,” said Ariel Garten, co-founder and CEO. The company has been able to accomplish this mission with its flagship product, Muse. Muse is a brain-sensing headband and app that allows the act of meditation to become


T H E M O S T I N F L U E N T I A L I N N O V AT O R S O F 2 0 1 5

easier to practice. Specifically, Muse has been designed to help build a better mind through the benefits of mediation and promote brain health. Muse provides real-time audio feedback on a person’s meditative state, motivating users to build a practice that will improve their daily life. “This year, we established the InteraXon Advisory Board, with Patrick and Amy Kennedy as board members,” added Garten. “The board will provide leadership, guidance and expertise on trends and issues within the brain health and technology industry and will also act as a leading voice for the company’s interaction with the research, clinical, wellness and performance communities.” Figure 1 You’re most likely familiar with the social media platform Instagram. In a sense, Figure 1 is quite similar to Instagram, except its target audience is doctors and others in the medical field rather than the public interface. Allowing doctors around the world to upload anonymous photos of their most compelling cases with the intent of trading information and advice, the application is available

in more than 100 countries. Developed by Dr. Joshua Landy, a practicing intensive care physician at Scarborough Hospital in Toronto, Figure 1 opportunely gives doctors the ability to share and discuss diverse medical conditions via a smartphone. Back in October of last year, Landy spoke with IBTimes UK and said the following regarding the innovative app: “This was something that came to me, as a combination of my clinical work as well as my research work. I see a lot of complex cases that are best shared with other healthcare professionals, but the pain of not having a proper system to share images or discuss cases is an obstacle.” Now, professionals in the healthcare industry, as well as medical students, have the opportunity to contribute to any case that has been uploaded to Figure 1. In short, Landy has successfully combined textbooks with the digital world, creating change in the medical field. Looking at the innovative developments VitalSines, InteraXon and Figure 1 have made, it’s rather clear that change is occurring within the industry; and with change, comes the possibility for greatness. 19


TTOO P P 11 00

Women In Healthcare Progress in recent years in minimizing the gender gap has led to an increase in the number of women in the healthcare C-suite. The following honorees have served as leaders of health organizations, shown the ability to effect change and demonstrated a willingness to share expertise. They are not ranked and appear in alphabetical order. Written by: Stephanie C. Ocano


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TOP 10

MARY BRAINERD Prior to joining HealthPartners in 1992, Brainerd held senior level positions with Blue Cross and Blue Shield of Minnesota, including senior vice president and chief marketing officer. She was also senior vice president and chief executive officer of Blue Plus. Brainerd is one of the founding CEOs of the Itasca Project, a group of 40 government, civic and business leaders addressing the issues that impact long-term economic growth, including jobs, education, transportation and economic disparities. She also serves on the boards of Minnesota Life/Securian, Minnesota Council of Health Plans, The St. Paul Foundation, Minneapolis Federal Reserve and SurModics. Brainerd did her undergraduate work at the University of Minnesota and earned her MBA from the University of St. Thomas.

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T O P 1 0 W O M E N I N H E A LT H C A R E

DR. CHRISTINE CASSEL Christine K. Cassel, MD, president and chief executive officer of the National Quality Forum, is a leading expert in geriatric medicine, medical ethics and quality of care. Previously, Dr. Cassel served as president and chief executive officer of the American Board of Internal Medicine (ABIM) and the ABIM Foundation. Cassel was the first female president of the American College of Physicians and the first female dean of Oregon Health & Sciences University. She also sits on the President’s Council of Advisors on Science and Technology. Cassel was a founding member of the Commonwealth Fund’s Commission on a High Performance Health System and served on the Institute of Medicine’s Committee on Comparative Effectiveness Research. Recipient of numerous international awards and honorary degrees, Dr. Cassel is an Honorary Fellow of the Royal Colleges of Medicine of the U.K. and Canada, the European Federation of Internal Medicine, and is a Master of the American College of Physicians.

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TOP 10

DR. SUSAN DESMOND-HELLMANN Dr. Sue Desmond-Hellmann, chief executive officer, leads the Bill and Melinda Gates Foundation’s efforts to promote equity for all people around the world. She sets strategic priorities, monitors results and facilitates relationships with key partners. Prior to joining the foundation in 2014, she was chancellor of the University at San Francisco (UCSF), responsible for all aspects of the professional and graduate schools, medical center and research programs. She previously served as president of product development for biotech firm Genentech. Desmond-Hellmann completed her undergraduate education and medical studies at the University of Nevada, Reno, followed by clinical training at UCSF, where she served as associate adjunct professor of epidemiology and biostatistics. She is board-certified in internal medicine and medical oncology and holds a master’s degree in public health from the University of California, Berkeley. 24

October 2015


T O P 1 0 W O M E N I N H E A LT H C A R E

DR. KAREN DESALVO Dr. Karen DeSalvo is the acting assistant secretary for health in the U.S. Department of Health and Human Services. Dr. DeSalvo also remains in her role as the national coordinator for health information technology, where she continues to set high level policy and the strategic direction of the office, including efforts related to interoperability. Before joining the U.S. Department of Health and Human Services, she was health commissioner for the City of New Orleans, and senior health policy advisor to New Orleans Mayor Mitchell Landrieu from 2011-2014.  Dr. DeSalvo earned her medical doctorate and master’s in Public Health from Tulane University, and Master’s in Clinical Epidemiology from Harvard School of Public Health. She has an honorary doctorate from her alumnus institution, Suffolk University.

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TOP 10

DR. TEJAL GANDHI Tejal K. Gandhi, MD, MPH, CPPS, is president and chief executive officer of the National Patient Safety Foundation, the NPSF Lucian Leape Institute, and the Certification Board for Professionals in Patient Safety. Dr. Gandhi was formerly the executive director of quality and safety at Brigham and Women’s Hospital, and chief quality and safety officer at Partners Healthcare. Dr. Gandhi’s research interests focus on patient safety and reducing error using information systems. In 2009, she received the John M. Eisenberg Patient Safety and Quality Award for her contributions to understanding the epidemiology and possible prevention strategies for medical errors in the outpatient setting. Dr. Gandhi is a board certified internist and associate professor of medicine at Harvard Medical School, and she is a Certified Professional in Patient Safety. She received her MD and MPH from Harvard Medical School and the Harvard School of Public Health, and trained at Duke University Medical Center. Her undergraduate training at Cornell University was in biochemistry. 26

October 2015


T O P 1 0 W O M E N I N H E A LT H C A R E

SISTER CAROL KEEHAN Sister Carol Keehan, DC, is the ninth president and chief executive officer of the Catholic Health Association of the United States (CHA). She assumed her duties as of Oct. 10, 2005, and is responsible for all association operations, both at its St. Louis and Washington, D.C., offices. She joined the Daughters of Charity Health System as a nurse in 1965. By the early 1980s, Keehan had worked her way up to vice president for nursing, ambulatory care and education and training at Providence Hospital in Washington, D.C. From 1989 to 2004 she was president and CEO of that same facility. She has been a major advocate of the Affordable Care Act and its gains in access to healthcare services for the uninsured.

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TOP 10

DR. RISA LAVIZZO-MOUREY Risa Lavizzo-Mourey, MD, MBA, is president and chief executive officer of the Robert Wood Johnson Foundation, a position she has held since 2003. A specialist in geriatrics, Lavizzo-Mourey came to the Foundation from the University of Pennsylvania, where she served as the Sylvan Eisman Professor of Medicine and Health Care Systems. She also directed Penn’s Institute on Aging and was chief of geriatric medicine at the University of Pennsylvania’s School of Medicine. Lavizzo-Mourey did her undergraduate work at the University of Washington and the State University of New York at Stony Brook and earned her medical degree from Harvard Medical School. LavizzoMourey completed her residency in internal medicine at Brigham and Women’s Hospital in Boston and was a Robert Wood Johnson Clinical Scholar at the University of Pennsylvania. She trained in geriatrics at Penn and then earned an MBA from the Wharton School.

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T O P 1 0 W O M E N I N H E A LT H C A R E

DR. ELIZABETH NABEL Elizabeth Nabel, MD, has served as president of Harvard-affiliated Brigham and Women’s Health Care (BWHC) since 2010. A cardiologist and distinguished biomedical researcher, Nabel is professor of medicine at Harvard Medical School. Building on her lifelong commitment to improving health through science, in 2015 Nabel was appointed chief health and medical advisor to the National Football League. In this newly created advisory role, Nabel provides strategic input to the NFL’s medical, health and scientific efforts; participates as an ex-officio member on each of the NFL’s medical advisory committees; and identifies areas for the NFL to enhance player safety, care and treatment. A native of St. Paul, Minnesota, Nabel attended Weill Cornell Medical College and completed her internal medicine and cardiology training at Brigham and Women’s Hospital. 29


TOP 10

DR. LYNN SIMON Simon became Community Health Systems’ president of clinical services and chief quality officer last year after the Franklin, Tenn.-based company’s merger with Health Management Associates, which made it the largest chain by hospital count. Before joining CHS in 2010, Simon was a full-time practicing neurologist in Louisville, Kentucky and served as vice president of medical affairs at Jewish Hospital and senior vice president and chief medical officer of Jewish Hospital and St. Mary’s HealthCare after the organization’s merger.  Simon earned a master’s degree in Business Administration from Bellarmine University in Louisville and her medical degree from the University of Louisville. She completed a medical internship at Rush-Presbyterian-St. Luke’s Hospital in Chicago, Illinois, and a neurology residency at Stanford University in Palo Alto, California, serving as chief resident in her final year.

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T O P 1 0 W O M E N I N H E A LT H C A R E

DR. PENNY WHEELER Penny Wheeler, MD, is the president and chief executive officer of Allina Health. Prior to her appointment on Jan. 1, 2015, she served as the chief clinical officer of Allina Health, responsible for leading the organization’s quality and value agenda. In addition to her current role, Dr. Wheeler chairs the Minnesota Community Measurement board, a regional health quality collaborative, and is on the board of Portico Healthnet, an organization dedicated to helping uninsured Minnesotans receive affordable health coverage and care. Her educational background includes an undergraduate degree with honors from the University of Minnesota, and a doctorate of medicine degree from the University of Minnesota Medical School.

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Mar

Delivering solutions industry w

Supporting over 49,000 investigator sites in more than 15 temperature-sensitive and life-saving pharmaceutic

Written by: Stephanie C. Ocano


rken

for the life sciences worldwide

150 countries, Marken globally transports and distributes cals, clinical trial supplies, and specimen collections

o

Produced by: Jason Wright 33


MARKEN

Marken

T

o remain a world leader in supply chain logistics for 35 years, it takes determination, experience, the right team, and continuous innovation, all of which Marken has no shortage. By integrating depot and logistics services into solutions that extend the reach of clinical trials to even the most remote regions of the world, Marken has bridged the distance between the patient and the essential resources of life science companies. “Over the last four years, we have continually remained ahead of our competition,� said Wes Wheeler, 34

October 2015

CEO of Marken, citing technology, investments and personalized services as the driving factors during a recent interview. Having been in the business of operating facilities and companies for over 35 years, Wheeler knows more than just a thing or two about successfully running an organization. With GlaxoSmithKline and Exxon Mobile on his impressive resume, Wheeler was initially attracted to join Marken because of its positive reputation, global positioning and efforts for expansion. These were also influencing factors for Ariette van Strien to join


USA

Bio System Boxes

Marken, CCO, and Dan Bell, VP for Regulatory Compliance and Technical Affairs. “The initial attraction was the potential, and the continued attraction is the success that we have,” said van Strien, whose primary responsibility is to drive Marken forward with the right clients. “Marken is the best company around for specialized logistics, and I wanted to work for the company at the top of the list and apply my own knowledge,” said Bell. All three executives take pride in working for a specialized logistics and supply chain provider that is solely dedicated to pharma and the life sciences industry. Identifying themselves as a vital link to transport pharmaceuticals to patients, Marken as an organization plays an important role within the clinical research industry for supply

“We don’t just speak logistics, we speak pharma; we are not just transportation people, we are pharma people” – Wes Wheeler, CEO

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Global Temperature-Controlled Packaging Solutions

imperium

pallet Shipper solutions Imperium™ Elite ● 144 hour 2-8˚C universal design ● Advanced phase change materials for robust thermal protection ● Vacuum-Insulated panels for maximum performance duration

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Europe Office Inmark Europe BV Lissenveld 49 4941 VL Raamsdonksveer Netherlands Tel: +31 (0)162 748 100 InmarkEU@InmarkPackaging.com

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MARKEN chain services related to drug development and disease control. With over 50,000 temperaturecontrolled shipments each month, and a staff of 600+ individuals across the globe, how does one company answer the needs of a global population while consistently advancing amidst a hypercompetitive market? Step 1: Pursue innovation Marken constantly reviews technology and new services to ensure they are meeting the needs of clients and the industry trends.. Marken consistently and

SUPPLIER PROFILE

USA

constantly evaluates the technology of the market’s packaging solutions. As a global provider, entering geographic locations with high or inconsistent temperature ranges can pose a threat to the quality and efficacy of materials being shipped. It’s important to seek out packaging solutions that offer longer duration of temperature stability as well as higher payload capacity. In order to maintain the stability of drugs, blood samples and other biologic materials, thermo-isolating materials are integrated into specialty outer packaging so that clients can rest assured knowing

INMARK PACKAGING

Inmark Packaging was incorporated in 1975 with a focus in the distribution of glass, plastic and metal containers for various industries, including: food, beverage, cosmetic, chemical and coatings. In the ensuing four decades, while our original focus remains a core aspect of our business, we have expanded greatly to meet evolving needs in the marketplace. Currently operating out of six (6) locations in the United States, one (1) location in Singapore and one (1) location in the United Kingdom, Inmark has distribution across North America, Asia, United Kingdom and South America.

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MARKEN their materials will sustain their temperatures for longer periods of time without interruption. “More efficient insulating materials used in thermal packaging also allows for a higher payload by placing more product in less boxes. This can maintain or reduce shipping costs,” said Bell. Significant investments have also been made to internal IT systems. With two main software platforms— Marken Solo and Marken Maestro— managing the inventory of drugs and tracking shipments is truly state of the art. “Managing shipments from start

USA

to finish is critical, not just to us but to our clients as well,” added Bell. “Today’s technology includes integration of remote GPS devices into the IT systems.” Bell explains that Marken incorporates GPS tracking systems to remotely monitor not just the location of a shipment, but the environmental factors such as temperature, humidity, pressure, shock, and vibration as well. “We are constantly looking for what’s going to make our clients’ lives easier, giving them the assurance that their shipments are being handled in an appropriate

SUPPLIER PROFILE

AMERICAN AEROGEL

More Than a Cool Box. A Partner. American Aerogel provides life science companies with high quality insulated packaging solutions for the protection of temperature sensitive payloads. Since the beginning, we set out to revolutionize temperature sensitive shipping with our high performance products. In addition to a standard product range, we have a team of dedicated engineers ready to solve your most difficult shipping challenges by designing, building and qualifying custom solutions for your specific needs. Our customers have been consistently amazed at how well our products protect their contents from unpredictable, harsh, and seasonal ambient conditions – a track record we are proud of. Website: www.americanaerogel.com w w w. m a r k e n . c o m

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C O M PA N Y N A M E

Marken’s kit production service is a turnkey solution allowing your biological samples to be processed with the speed, service and quality your clinical trial demands.

“[Finding a solution] has become a part of our DNA” – Ariette van Strien, CCO

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October 2015

manner,” said Bell. “In the case of software, Marken and our clients have complete visibility both in real time and in terms of metrics,” he added. “Both of our systems allow us to extract data and make quicker, more meaningful decisions about our operations.” While the pharmaceutical industry in general is behind in integrating the latest technology trends, Marken separates itself from competition by maintaining the leadership role in driving the


SECTOR

industry forward to offer the best services possible. “We want to make sure that Marken remains ahead of the curve, and using technology allows us to make smart decisions and deliver the best value,� concluded Bell. Marken is a leader in direct to patient shipments for the pharmaceutical industry so that shipments can be handled without compromising a clinical trial protocol. Patient recruitment and retention are two of the biggest challenges, but bringing the

Ariette Van Strien

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Reusable thermal packaging solutions protecting your products and patients Next Generation VIP Thermal Packaging •

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MARKEN

USA

trial to the patient’s home increases willingness to participate and may provide better retention and compliance. “Marken will continue to grow, adapt, and evolve our Direct to Patient services for the industry. Client feedback indicates that the patient-centric focus is on a fast pace of growth. In fact, Marken was recently granted permission by the government to deliver the first direct to patient shipment of clinical drug product in Korea. This precedent-setting shipment has allowed several patients in South Korea to continue receiving their clinical trial drugs during the outbreak of Middle East Respiratory System (MERS),” Van Strien said

Dan Bell

Step 2: Operate with excellence

SUPPLIER PROFILE

VA-Q-TEC AG

va-Q-tec AG is a global high-tech company operating in the field of thermal insulation. The company’s mission is “Creating energy efficiency for a clean environment”.

Located in Germany, UK, USA, Korea and Latin America they serve global customers in the pharmaceutical, logistics, construction, automotive and home appliance industries. For 15 years, va-Q-tec has been the global leader in providing innovative next generation insulating solutions. The company focuses on energy efficiency, space reduction, and environmentally friendly vacuum insulation panels solutions. va-Q-tec also manufacturers high-performance thermal packaging, passive airfreight containers, sophisticated phase change materials. Website: www.va-q-tec.com w w w. m a r k e n . c o m

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a strong case for rethinking your cold chain strategy

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Reusable and single-use cold chain shipping containers each offer compelling value propositions. For most companies, an optimized supply chain requires strategic use of both options. Pelican BioThermal offers the most comprehensive range of both single-use and reusable temperature-controlled shippers from 2L to 96L (pallet shipper). Just as important, our cold chain consultants can help you develop an optimized strategy that results in the lowest total cost of ownership — and the best product quality outcomes. We’ve got every cold chain challenge covered.

To learn more about our newest products and services, call 877.537.9800 to speak with one of our knowledgeable Sales Team Members, or go to: www.pelicanbiothermal.com

The Global Name in Cold Chain


MARKEN Marken has its own operational excellence program that is based on LEAN and Six Sigma principles. Towards the end of 2014, key charters, quality control issues and interactions between global functions were evaluated to determine what could be improved. The result was the creation of a welldefined program that could monitor and measure targeted areas on specific accounts. “I believe in the principles of applying very stringent tools on how you measure your business, how you can streamline activities by leaning them out and reducing the number of steps,” Wheeler said. “We are applying that in a very rigorous way here that extends all the way into new IT systems and how we can reduce certain staff and steps by integrating systems across the company. There are multiple projects and Dan [Bell] is at the center of that, measuring them every month.” “The industry itself has done a very good job of identifying what key performance indicators should be,” explained Bell, “but I believe we lead in developing those.”

USA

In addition to looking internally, Marken has also developed a key account management program to build client satisfaction. “We meet with [our clients] on a very regular basis in order to understand the strategy they need, align our goals and develop services,” said Van Strien. “We make it easy for our clients to work with us.” Maintaining the quality of staff and recruiting fast enough to support the company’s growth has been a challenge for Marken—but not one that couldn’t be overcome. After almost doubling their staff from 375 employees four years ago to 600 employees now, Marken realized there are key valuable attributes shared amongst their employees. “We realized that there was a willingness to create and a drive to take ownership,” explained van Strien. “Those are the kind of people we are attracting and who are very successful within our company. When it comes down to it, we are the ones who will be called for any of the complicated supply chain challenges that happen every day w w w. m a r k e n . c o m

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MARKEN

throughout the world, so we need to attract a very specific mindset of strong, creative employees worldwide, and I think we do it really well.”

despite airline closures, Marken has always found a solution for success. “We remember that there’s always a patient behind each shipment, and you become very creative not to give up and to find the best solution,” van Step 3: Continue to Surpass and Strien said. Improve “It’s become a part of our DNA,” Marken ensures the delivery of she added. “We have always been shipments on time thanks to the extremely good at that and it’s our company’s knowledge of life passion to make sure everything is science, regulatory experience, a done on time.” global depot network, and at times, just sheer determination of its Step 4: Plan for future growth employees. Wheeler, van Strien, Bell and the From traversing through an entire team at Marken have spent earthquake in Chile to delivering the past four years building a medicine to a sick child in Australia strong foundation for success. 46

October 2015


USA

Company Information INDUSTRY

Logistics and Supply Chain HEADQUARTERS

4307 Emperor Blvd, Suite 210 Durham, NC United States 27703

Now, as Wheeler puts it, the company is ready to “make a lot of noise.” As the supply chain industry continues to evolve, becoming more direct-to-patient, Marken will be there to set the standards of excellence. With 10 established depots worldwide and plans to expand portfolio services, is there really anything this company can’t do? “We have the edge on technology, the knowhow, the service and have global and regional agreements with almost all of the key players on the clinical side,” said Wheeler. “We don’t just speak logistics, we speak pharma; we are not just transportation people, we are pharma people. We are 100 percent dedicated to this industry.” “We’ll continue to make a lot of progress over the next 12 months,” he concluded.

FOUNDED

1980 EMPLOYEES

600

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Kley Hertz:

OVER 68 YEARS DEDICATED TO HE Written by: Flรกvia Brancato | Produced by: Karla Sohn


EALTH 49


KLEY HERTZ

W

ith a mission to offer differentiated and reliable health and wellbeing solutions, Kley Hertz is among the top 10 largest Over The Counter—OTC—drug companies in the domestic market, operating in the herbal supplements, cosmetics, skin care products and prescription medication segments. Its portfolio encompasses 60 brands, and through a modern industrial unit in Porto Alegre, Rio Grande do Sul state, along with the Cotia Distribution Center, São Paulo state and Contagem, Minas Gerais state, the company is responsible for over 24 million unit in sales per year. Complying with the international quality standards of medicine production and counting on the support of its network of distributors and representatives, Kley Hertz is present in about 55,000 retail outlets throughout Brazil, and employs approximately 700 people.

Headquarters - Porto Alegre factory

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October 2015


MEDICAMENTOS ISENTOS DE PRESCRIÇÃO MÉDICA

Packaging Machine

Businesses “More than 90 percent of our profit comes from medicines and products that do not require a doctor’s prescription,” said the president of Kley Hertz, Arthur Leite Hertz. The company holds the Certificate of Good Manufacturing Practices (GMP), also known as GMP (Good Manufacturing Practice), ranking third among national OTC industries. Still according to Hertz, the company has expanded its portfolio by launching 39 new products in the past two years. “Of the dozens of brands produced by Kley Hertz, 17 of them are positioned in the top three of their categories and we have a very promising pipeline for the coming years,” he says. w w w. k l e y h e r t z . c o m . b r

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SUPPLIER PROFILE

TROCA GROUP TRANSPORT AND LOGISTICS Troca Group has over 20 years of experience in freight transport, mainly carrying medication, cosmetics, inputs and correlated items. Besides specifcally trained professionals, the group has all the freight and environmental permits necessary to transport special cargoes like those from the pharmaceutics and cosmetics industries. It is also active in other areas, like the food and footwear industries. Employees: 327 Established: September 13, 1994 Website: www.grupotroca.com.br


BRAZIL

Challenging the industry To maintain the financial health serving the growing needs of investment in technology and development, Hertz explains that the company adheres to a strict policy of cost control without sacrificing growth and quality. “Commercially speaking, as learned from the past, the trend is to keep growing and we must be oriented to take advantage of it. According to projections of the largest audit market, we have projected a doubledigit average growth for the sector that should make Brazil advance in the world ranking of the pharmaceutical market.” The increase in regulatory and technical barriers were also cited by the president as factors that challenge the company with higher costs, need for investments and consequently, loss of productivity. Market expansion As a consolidated commercial operation model, the company is focused on sales growth through market expansion and performance by increasing its portfolio. “Over the past eight years, our revenue growth was above average in relation to the market’s based on our commercial expansion and portfolio increase,” says Hertz. The company’s investment focus in recent years has been turned to the development, technology and production areas, which also updated the SAP versions used since 2005, and the implementation of the MES system—

Quality control

“For 2015, Kley Hertz intends to expand investments with funds financed through Finep, with projection of USD $10 million investment over the next three years” – President of Kley Hertz, Arthur Leite Hertz

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Carton Packaging Machine

Manufacturing Execution System—manufacture of tools Lean and PMS. Hertz also announced what is in store for the coming years. “Last year, direct spending on R&D added to US$1.4 million and, for 2015, Kley Hertz intends to expand investments with funds financed through Finep, and with a projected US$10 million investment over the next three years.” Management strategies Through a dedicated team of representatives aimed at bridging the gap between industry and the pharmacy, more than 30,000 establishments are visited monthly throughout Brazil. As for manufacturing, Kley Hertz uses a job management methodology with daily follow-ups of results in every production line. Since 2014, this 56

October 2015


BRAZIL

control has been done online, in real time, through the implementation of the MES system. On the other hand, the manufacturing tools are focused on increasing the productivity and reducing time waste. In addition, as a means of development and engagement of the operating staff, improvement groups use the Kaizen methodology for problem solving or process improvements. Always meeting the legal requirements of good pharmaceutical manufacturing practice, the quality assurance department manages the continuous quality system by using management tools, conducting internal and external audits, training and retraining. Professional development “We believe that people are our differential,” said Hertz. “Retaining our talent has been the focus of the company as we understand that they are the propellers of our growth.” The benefits include PPLR, training as LDP— Leadership Development Program, corporate

Analytical Methodology Development

Denture Adhesive Creams

“We believe that people are our differential. Retaining our talent has been the focus of the company for understanding that they are the propellers of our growth” – President of Kley Hertz, Arthur Leite Hertz

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KLEY HERTZ

Production area

education program, a 360 evaluation program for all company managers, an individual development plan, scholarships and above all, an opportunity for growth within the company. Proof of this is the company’s recent awards. Since 2011 Kley Hertz, has been among the Best Companies for Working Rio Grande do Sul. In 2013 and 2014, it was among the Best of Health at the national level, as well as being named ‘Top Human Being’ in 2012, 2013 and 2014. “We believe that the sum of all programs associated with values such as development and a good organizational environment are our main 58

October 2015


BRAZIL

Company Information NAME

Kley Hertz S.A. Ind. e Com. INDUSTRY

Pharmaceutical HEADQUARTERS

Porto Alegre, RS - Brazil E S TA B L I S H E D

1947 PRODUCTS / SERVICES

Medications; Health Products, Cosmetics and Supplements MANAGEMENT

attraction and talent retention factors,” Hertz says. And finally, Hertz shows that all this care, coupled with a differentiated service, are all key to success. “Our solid growth trajectory, written with clear goals, organization, robust processes and superior customer service is what gives us the quality of our products and market recognition.”

President Director: Arthur Hertz Executive Director: Isabel Hertz Executive Director: Geraldo Hertz

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ONE HOSPITALS

The hospital i


Hospital Alemรฃo Oswaldo Cruz:

E OF THE LARGEST S IN LATIN AMERICA

is a benchmark in high complexity services through strong investments in technology, expansion of specialty centers and professional training Written by: Flรกvia Brancato | Produced by: Karla Sohn 61


H O S P I TA L A L E M Ăƒ O O S WA L D O C R U Z

F

Credit Lalo de Almeida

ounded on September 26, 1897, Hospital AlemĂŁo Oswaldo Cruz continues to make history by sticking to its acquired know-how and yet still focusing on modern advancements. It offers its customers one of the best medical assistance services in the country with excellence, high standards, precision and quality. Considered one of the largest hospital centers in Latin America, Hospital AlemĂŁo Oswaldo Cruz is a benchmark in high complexity services, focused on oncology, cardiology, neurology, orthopedics and digestive diseases. In addition to investing heavily in scientific development, teaching and research, the organization concentrates its efforts on comprehensive, excellent care, individualized for the patient.

Facade

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Surgery Center

Growth and Modernization “With a development based on its three pillars of activity—private health, education and research and social responsibility—in addition to the steady investments in technology and a strong expansion of its healthcare production, the perspective is of an upward movement in the coming years,” said Paulo Vasconcellos Bastian, executive superintendent of the Hospital Alemão Oswaldo Cruz. An example of continued growth is the inauguration of the modern Surgical Center Hospital. Located on the second floor of the new tower E, opened in December 2012, the center

Credit Lalo de Almeida

S

“To gain new spaces in the market, we have expanded the new reference centers by investing in the latest generation equipment, in a larger physical space, and in our employees’ training” – Paulo Vasconcellos Bastian, executive superintendent of the Hospital Alemão Oswaldo Cruz

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H O S P I TA L A L E M Ã O O S WA L D O C R U Z has nine modern operating rooms equipped with the latest technology, including 3D technology, the first of its kind in Latin America. Another outstanding innovation is the Picture Archiving Communication System (PACS), which enables medical staff to pull images obtained via testing in the diagnostic center of the hospital and view them on any monitor in the hospital.

Credit Lalo de Almeida

Investment in Medical Specialties Centers Focusing on complex medical specialties, the hospital expanded its business in 2014 in strategic areas. “To gain new spaces in the market, we have expanded the new reference centers by investing in the latest generation equipment, in a larger physical space, and in our employees’ training,” said Bastian. “Over the past four years, we invested more than USD 88 million. In 2015, the budget is USD 17.6 million,” said the superintendent.

Radiotherapy 64

Agosto 2015


BRAZIL

To support all of this development, the hospital has a strategic plan for the next five years, primarily focused on centers of reference specialties. The hospital opened both the new Obesity and Diabetes Center and a new ICU in 2014. An expansion of the Cardiology Center, as well as the new Oncology Center, is scheduled to open later this year. For 2016, patients can look forward to the launch the new Neurology Center. Bastian announced plans in other directions as well. “We plan to expand the area of education and research, increase the partnership with the government’s Ministry of Health, and investment in at the modernization of equipment and facilities.” Structure and technology Occupying an area of over 96,000 square meters, the complex has 327 hospital beds, 21 operating rooms, 44 ICU beds, and a 24-hour emergency room. It also offers one of the most qualified and renowned medical staffs in the country, ensuring that patients have access to the highest

“Over the past four years, we invested more than USD 88 million. In 2015, the budget is USD 17.6 million”

Key People

Paulo Vaconcellos Bastian Executive Superintendent Marcelo Lacerda Chairman of the Board Edgar Garbage Vice President of the Board Fátima Silvana Furtado Gerolin Assistant Superintendent Mauro Medeiros Borges Medical Superintendent Cleusa Enck Human Development and Institutional Superintendent Jefferson Gomes Fernandes Education and Science Superintendent

– Paulo Vasconcellos Bastian, executive superintendent of the Hospital Alemão Oswaldo Cruz

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Flexibility Solidity Evolution Solution You can count on Ortocir

C

M

Y

CM

MY

CY

CMY

K

More than 50 years dedicated to keeping client satisfaction. Leader on the segment of prosthesis and orthopedic implants, Ortocir is always ready to meet each client's needs with commitment and speed. Being the exclusive representative of big international brands in Brazil, we have a wide range of high level products in stock. Our aim is the constant search for innovation to further improve the quality of life of the patients. www.ortocir.com.br S達o Paulo: 11 3674.6786


BRAZIL

Credit Lalo de Almeida

quality standards and safety in care. The hospital is certified by the Joint Commission International (JCI), the world’s leading agency of health accreditation. When it comes to technology, Bastian pointed out major acquisitions. “The Intrabeam—used in the treatment of early breast tumors—utilizes a technology that is used in intraoperative radiation therapy, and consists of a single dose of radiation during surgery. This prevents unnecessary radiation exposure and limits the treatment the exact location where the primary tumor was present. We are the only hospital in the southeast region to operate with this technology.” Another important achievement is the most advanced neuronavigation model available in the state of São Paulo: the neuronavigator Curve. With 26-inch touch-sensitive monitors, the device enables the visualization of

Intrabeam Surgery Center

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PET-CT Credit Lalo de Almeida


BRAZIL

the area to be operated from different angles, contributing to quick and safe brain and back surgeries. “We also acquired the microscope OPMI Pentero with Flow 800, which is the only one with tools able to identify accurately the rate of intraoperative blood flows,” added Bastian.

Credit Lalo de Almeida

Services and unique programs Recently, the hospital launched a unique service for patients: the premium service. Created based on luxury hospital hospitality concepts, the goal is to alleviate public concerns during their stay in the hospital. In addition a high-caliber medical staff, the hospital also offers a qualified concierge service. With modern and cozy architecture, 20 premium rooms are automated, allowing the patient to control the room’s furnishings such

Premium service

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H O S P I TA L A L E M Ã O O S WA L D O C R U Z

“These actions, combined with a clinical and clinical staff of excellence, will make the hospital a benchmark for health institutions and medical service users in Brazil” – Paulo Vasconcellos Bastian, executive superintendent of the Hospital Alemão Oswaldo Cruz

ICU do

as bed positions and angles, lighting, blinds, air conditioning and TV via remote control. Conscientious care extends to staff, as well. The Wellness Program was created based on concepts of Health Improvement Program of Stanford University School of Medicine. In order to encourage employee health, the program offers lectures, workshops, singing lessons, plus a fitness facility, and specialized services for stress management and to quit smoking. Training, maintenance and development is performed through the hospital’s Institute of Education and Health Sciences. The Hospital Alemão Oswaldo Cruz counts on a technical school health education, comprised of courses in nursing and elder care, sciences for health. This also includes undergraduate degrees in hospital management and graduate in the 70

October 2015


Credit Lalo de Almeida

BRAZIL

Company Information NAME

Hospital Alemão Oswaldo Cruz INDUSTRY

Private Healthcare HEADQUARTERS

São Paulo, SP - Brazil E S TA B L I S H E D

1897 EMPLOYEES

2,246

octors

ANNUAL REVENUE

medical, nursing, physiotherapy and psychology. Through educational support, employees can earn scholarships of up to 80 percent and grants for higher education courses of up to 60 percent. “These actions, combined with a clinical and clinical staff of excellence, will make the hospital a benchmark for health institutions and medical service users in Brazil,” Bastian said. “With the possibility foreign investments in healthcare, we will see a growth scenario. The challenge will be to keep growing while maintaining quality. “

USD $140 million

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Abrafarma:

Brazilian Association of Pharmacies and Drugstores Written by: ABRAFARMA | Produced by: Karla Sohn


73


A B R A FA R M A

E

stablished in 1991, from 6 networks of São Paulo drugstores seeking own sectoral representation, the association was born and works for the betterment of the large national retail pharmacy, serving institutional, legal and politically with public, government and suppliers. Big Pharma networks associated with Abrafarma have around 5,713 stores spread across the country. Despite being limited to 7.9% of the universe of 71 000 existing pharmacies in Brazil represent 44.5% of drug sales in the country. In 2014, he was responsible for the sale of more than 3.1 billion units (volume), an increase of 8.1% over the previous year. The strength of networks is also translated by 812,679,750 tax receipts issued in a year. It’s as if the entire Brazilian population had passed four times in these pharmacies. Over the past 20 years, networks associated with the entity have

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maintained annual growth averages above two digits. According to the latest balance sheet sales compiled and validated by the FIA - Foundation Institute of Administration from USP (Universidade de S達o Paulo), the major networks recorded revenues of R $ 32.39 billion in 2014, representing an increase of 12.81 % compared to the same period last year. Since 2010, this amount increased by 90.34%, or about R $ 15.37 billion. Although the sale of drugs remains as the main business networks with 66% of sales, marketing of non-prescription drugs (such as toiletries, cosmetics, perfume, shampoo, tampons, sweeteners, hair dye, condoms , sunscreens and convenience) grow year after year. In 2014, the total volume of sales accounted for by channel was 34%, corresponding to R$10.7 billion - a figure 14.69% higher than in 2013. Since the comparative marketing of drugs had increased by about 12%. w w w. a b r a f a r m a . c o m . b r

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A B R A FA R M A

“Today’s consumer seeks closeness, comfort and variety of items in the same space. He leaves home to buy a product already intending to also lead a toothpaste, sunscreen or an anti-aging cream” – CEO of Abrafarma, Sergio Mena Barreto

For the CEO of Abrafarma Sergio Mena Barreto, the good performance of the network reinforces a new consumer trend: more mature and demanding. “Today’s consumer seeks closeness, comfort and variety of items in the same space. He leaves home to buy a product already intending to also lead a toothpaste, sunscreen or an anti-aging cream,” he says. 76

October 2015


FA R M Ă C I A S E D R O G A R I A S

In the world This exceptional result recorded by the association helps to position Brazil in sixth place in the ranking of the top 20 global markets, second only to the United States, China, Japan, Germany and France. For 2018, the projection is that the country arrive in fourth place.

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A B R A FA R M A

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Outubro 2015


PHARMACIES AND DRUGSTORES

Mobilization More than defend the interests of the associated networks, Abrafarma agenda your agenda according to the wishes and needs of the consumer. The organization claims the presence of the pharmacist at the drugstore, transformation of pharmaceutical duty scales in mandatory minimum ranges and the specific zoning for pharmacies, introduced since laws and municipal ordinances. Moreover, the struggle for expansion of the sales mix, now limited to medicines, perfumes and toiletries. In the latter regard, in 2014, the industry received a major achievement after the Federal Supreme Court (STF) enact constitutional and definitely permit the sale of convenience products, provided by state laws. Thus, the pharmacy does not focus its activities in only medicines and cosmetics, but a wide range of products for immediate use by the population, such as cookies, soft drinks, products for breakfast and others whose release was open to question by agencies such as the National Health Surveillance Agency (Anvisa). “This is a historic decision and accentuates the trend in Brazil, following the model already adopted in developed countries, which emphasizes not only health, but also consumer welfare,” said Barreto.

Company Information INDUSTRY

Pharmaceutical HEADQUARTERS

São Paulo - SP - Brazil E S TA B L I S H E D

1991 NUMBER OF MEMBERS

28 pharmacy chains MANAGEMENT

Chairman of the board: Álvaro José da Silveira Executive chairman: Sérgio Mena Barreto

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L AT I N A M E R I C A

BellezaExpress: Growing as a Colombian brand Entrepreneurial example in the competitive market of cosmetics and personal hygiene products

Written by: Mateo Rafael Tablado, Associate Editor Interview by: Rebecca Castrejotn, Editor Produced by: Lucy Verde, Director of Projects for WDM Group-LATAM Interviewee: Juan Ramon Guzman, General Manager for Belleza Express S.A.


BELLEZA EXPRESS S.A.

B

elleza Express is a company dedicated to the distribution and retail of various personal care brands. Founded in 1990, since then it has experienced a gradual growth and sustainable development through achievements and expansion activities within the sector. In the 1990s, the company obtained exclusive rights to distribute specific brands in Colombia. And by the year 2000, Belleza Express grew towards their own portfolio, producing health, beauty and personal care products and using every possible commercialization channel, including department stores, chains and drugstores. The company works within five product lines:

Stay-Off, leading repellent in Colombia

· Infant / Child · Pharmaceutical · Bath / Body · Capillary · Accessories Regional commerce Among Belleza Express leading brands (whether by acquisition or own) are Arrurrú, Aromasense, Menticol and Stay Of repellents. The company also has licenses for the distribution of global brands, such as Disney, Hello Kitty and Adidas, among others.

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L AT I N A M E R I C A

Belleza Express began to export since 2003, starting with Ecuador. Currently its products reach 15 countries, including Mexico, Peru, Chile, Costa Rica, etc. Additionally, the company averages more than US$30 million a year in revenue from its plant of 16,400 square meters in Cali, Colombia.

Key People

Materialized view To understand the large-scale development of Belleza Express, we need to know important details about its founder and CEO, Juan Ramon Guzman. Guzman comes from a family of seven children and grew inspired by the entrepreneurship of his parents. His father was engaged in farming his own land, and his mother sold cosmetics, to this extent, becoming an entrepreneur was something

Juan Ramon Guzman General Manager for Belleza Express Guzman is an Industrial Engineer from Louisiana State University (LSU). After graduating he returned to Colombia to work in the production area as VP Assistant of Varela SA in 1984. He then moved to the commercial management post of the company. During his time in Varela he managed and created a new business unit called Colombiana de Quimicos, becoming its general manager by 1989. After being acquired by Stepan in 1991, they renamed the enterprise as Stepan Colombiana de Quimicos. In 1993 he quit, and one year later created his own company: Belleza Express.

Production plant w w w. b e l l e z a e x p re s s . c o m . c o

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BELLEZA EXPRESS S.A.

Belleza Express employees

that ran in his veins. Guzman recalls how his mother urged him to pursue higher education abroad, acquiring international experience while Colombia suffered its bloodiest and most difficult years due to the revolutionary guerrillas and drug trafficking. However, he opted for his country, and returned with new opportunities by opening his own business.

BIOHERBAL, Natural shampoo

Today, Guzman devotes 10 percent of his time to social and sustainable activities, such as looking after his plants and horses, and engaging with organizations in social causes that can provide political and economic improvements to the country. His work experience landed him executive

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L AT I N A M E R I C A

Innovation and development

positions in pioneering companies, such as Varela SA, from which derived Colombiana de Quimicos after a joint venture with Stepan Colombiana de Químicos, becoming General Manager of this affiliate. All these steps were necessary for Guzman’s independence, and for him to create his own company, in partnership with his cousin Jorge Bermudez. From distributors to brand builders SunPro, maximum

Belleza Express started operations in 1990, in a small warehouse in the city of Cali, Colombia; with the distribution of brands such as Avigal Henna and Freeman Beauty.

protection for your skin

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Belleza Express employees

Factors such as global trade and international flows, led them to rely not only in the distribution of third party products, but also in the production of new brands. On the eve of an economic crisis in Colombia, Belleza Express capitalized on the opportunity to acquire a production company 86

October 2015


and the established baby brand “Arrurrú”, which allowed them to enter new outlets. By 1999, 90 percent of the beauty brands handled by Belleza Express were imported, and by the end of 2000, the company transformed the business concept with the creation of several w w w. b e l l e z a e x p re s s . c o m . c o

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BELLEZA EXPRESS S.A.

“We are making significant investments and seeking agility and competitiveness through cost reduction and more efficient processes” – Juan Ramon Guzman, General Manager for Belleza Express

brands, reaching a reported growth of 50 percent and reducing costs and imports overall.

Arrurrú, one of their most representative brands

“By manufacturing our own products, we ensure quality and flexibility,” said Guzman. Today, through great teamwork on the part of highly committed and focused employees, Belleza Express has achieved a leading position with several of its own brands, such as Arrurrú, Aromasense, Menticol, Sun Pro, BIOHERBAL and Stay-Off; and with products that have been recognized for its protection, comfort, unique user experience and superior value. Innovation that stands out Belleza Express drives with innovation, as this is their main differentiator in the market. During the development of new formulas, the producer


L AT I N A M E R I C A

works closely with customers, performing different studies to meet the real needs of the public. “We seek funding for future additions, this is an ongoing project,” said the general manager. Growth opportunities Export management is highly strategic; it varies depending on the economic condition of each country where they operate, such as currencies. Sometimes fluctuations have led them to modify its presence in some markets, and sometimes political and social variations are the main factor of their departure, recalling their former production in Venezuela. Today, the global exchange rate allows Belleza Express to export more product abroad by locating suitable local distributors, in addition to identify opportunities through acquisitions. “We are totally focused on Colombia, but we see exports as an additional opportunity,” said Guzman. Future growth and work environment In the near future, Belleza Express seeks to become Colombia’s favorite brand, an innovative producer and highly valued company by its clients and employees, transcending as one of the best places to work. w w w. b e l l e z a e x p re s s . c o m . c o

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BELLEZA EXPRESS S.A. By 2020, Belleza Express is looking to triple sales in respect of 2013, which requires an annual growth of 20 percent.

Belleza Express warehouse

Guzman acknowledged that anything that has been built through the years would not have been possible without their most valuable asset, its people, and for that reason has strengthened the business strategy with several human resource programs that seek not only the welfare of its employees, but also of their families.


L AT I N A M E R I C A

These wellness programs provide counseling in a confidential and professional manner, educational benefits and the availability to finance a home.

Company Information NAME

Belleza Express S.A.

“We are constantly evaluating new platforms within the countries where we have presence” – Juan Ramon Guzman, General Manager for Belleza Express

INDUSTRY

Processing, distribution and commercialization of health, beauty and personal care products HEADQUARTERS

Cali, Departamento del Valle del Cauca, Colombia FOUNDED

1990 EMPLOYEES

1,020 REVENUE

US $94 million WEBSITE

www.bellezaexpress.com.co

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Profile for Healthcare Global

Healthcare Global - October 2015  

Healthcare Global - October 2015