Fierce Biotech and In the Pipeline blog report that in an effort to boost innovation, save costs and in general realize more R&D success - GSK has broken its R&D up into more discrete units. These group called - Discovery Performance Units (DPUs) - go so far as to have their own names and logos with their own strategic plans. All in an effort to help GSK shave 20% from R&D operating costs and focus its research efforts.
The DPUs were formed in 2008 in an attempt to emulate small biotechs within the boundaries of a huge company. They are operating off 3 year plans. If a DPU is successful in delivering its plan, there is a pool of bonus money available for its deliverers. If it fails, firing could be the reward. GSK is also looking to boost its outside collaborations to infuse more innovation.
Seems straightforward enough - let's see if it works.
Posted by Bruce Lehr July 2nd 2010.