FEVER pitch

The Tamer Group is in the process of adopting international corporate governance standards that will help it play a role in realizing Vision 2030.

What are the main implications of the new model of care advanced by Vision 2030, and where should healthcare providers place their focus to align themselves with the government plan?

One of the main implications of Vision 2030 is the separation between the role of healthcare provider and regulator. The Ministry of Health is moving to become the regulator, with state-owned enterprises being the providers, once they are established. In this new care model, the government created an office whose job is to design, operate, and monitor this transformation. As such, the focus will be on prevention, primary healthcare services, and, of course, early detection of non-communicable diseases. In Saudi Arabia, 73% of deaths are from non-communicable diseases related to lifestyle and eating habits. The main NCD affecting the Saudi population is diabetes. About 30% of the population is affected by an eating disorder and lack of exercise, and other 15% is near borderline. Moreover, Saudi Arabia also has a high rate of cancer and cardiovascular diseases. These make up the biggest share in deaths. The focus should be on early detection through constant and regular diagnostics, and that should be available for everyone along with screening for lung, breast, and colon cancer.

As the private sector is expected to play a major role in the healthcare sector, what is the key to balance profitability and affordability?

Today, the CCHI does not offer diagnostic coverage, whereas in other countries they understand the importance of early detection to manage the disease and reduce the cost and its negative impact. The concept of prevention and mandatory public health insurance through CCHI should be advanced and implemented. If all Saudi patients are able to be monitored regularly, at times through self-screening, there will be a lot of prevention and unnecessary costs would be avoided, especially if these practices are covered by local insurances. Primary care centers see visits only rarely, and nobody has a home healthcare provider. Hospital services have become too expensive,

AI, the Internet of Things (IoT), and oriented applications will play a major role in both FMCG and healthcare because we need to have decisions based on information. Moreover, with the advent of digitalization, the importance of information and supply chain will grow even more. The healthcare industry is moving toward a corporate model based on profitability and sales. Still, the biggest numbers in the balance sheets and books are assets: inventories, materials, and goods. Managing these assets will see a steady optimization through the IoT, minimizing waste at the Ministry of Health. In this sense, we are already working with the ministry and NUPCO to manage their logistics services for a fee, reducing waste and improving utilization, efficiency, and safety.

Can you walk us through Tamer Group’s recent restructuring and its strategic priorities for the short-to-medium term?

Five years ago, Tamer Group separated its chairmanship from the CEO function, marking a new era in the family business, working with KPMG and Ernst & Young for a full year to adopt international corporate governance standards and create a holding company that owns all the affiliates. We will separate ownership from management, in order to continue our drive to expand regionally with our capabilities in manufacturing, healthcare, distribution, and aftersales service. Aside from vaccines and medicines with our Japanese partners, we seek to continue our efforts in medical equipment, pharmaceutical products and nutrition, beauty and wellness, as well as prestige products. The challenging following step, however, will be moving from B2B in business services and logistics to B2C mode, which means we have to build up scale at a very fast pace to meet consumer demands. ✖

I see the impact of the pharmaceutical pricing policy and the privatization of health services as the major market trends in Saudi Arabia. One of the key goals of Saudi Vision 2030 is to increase biopharmaceutical manufacturing capacity, expanding to advanced manufacturing and R&D. Pfizer has been a major contributor to the vision, manufacturing many of its medicines locally and adhering to the highest quality standards. Meanwhile, we are exploring the potential of future expansion if market dynamics and conditions allow. This investment is helping to meet Saudi Arabian patients’ health needs in many therapeutic areas. We currently employ Saudi talent at all levels. One of the basic and fundamental building blocks for the biopharmaceutical sector is the availability to marshal highly skilled and technically trained human capital. Hiring and training of Saudi nationals has been a cornerstone of Pfizer’s strategy in supporting Vision

DR. ALAA GAMAL