Read the Conversation
EF: In a special year celebrating Merck’s 100 anniversary in Brazil, what are your current priorities on the agenda?
JAC: One of the main focal points is Merck’s strategic entrance into the obesity market. In April, we launched a new product with unique features that address the complex issues of emotional and physiological hunger in obesity. We are also prioritizing access for Brazilian patients with multiple sclerosis (MS) to new treatment options with the potential to benefit those with high-activity disease.
As a future-orientated company, we are laying the foundation for upcoming innovations. This includes a breakthrough oncology product for non-small cell head and neck cancer and a new approach to MS treatment.
Meanwhile, our current portfolio has reached a significant milestone in Brazil, crossing 100 million sold packs of oral antidiabetic treatment, the number one selling drug in Brazil in units.
We have reinforced our leadership position in the fertility market, emphasizing innovation and services provided for patients and doctors, expanding our market share.
Oncology is our fastest-growing unit right now. -The company is in very good shape.
EF: As you expand production capacities, how do you foresee Merck Brazil's repositioning itself within the region?
JAC: Brazil represents 33% of our Healthcare business in the region, still with growth opportunities. The Brazilian market is special to Merck Healthcare, as we cover the whole business cycle – from R&D to production and selling.
Over the last three years, we have invested around R$ 180 million to enhance our manufacturing capacity. Within the next two to three years, we will add another R$ 100 million to the same manufacturing site to maintain our expansion course.
This specialized site in Brazil is a key hub for diabetes drug manufacturing. We are talking about an impressive scale of more than three billion tablets produced annually, equating to three packs per second, seven days a week, with minimal interruptions. This production capacity makes us a distinguished supplier in the region.
EF: Can you explain the functioning of the M lab ™ collaboration centers in Latin America and how Merck is driving local partnerships to enhance R&D?
JAC: Merck is a leading science and technology company in Healthcare, Life Science, and Electronics, with each area playing an essential role in the healthcare ecosystem. Healthcare falls under my responsibility as General Manager.
The M Lab™ Collaboration Center is a global network of collaborative laboratories from Merck's Life Science division, where customers can explore ideas and learn innovative techniques in analytical methods and production processes, working side by side with Merck experts to solve life science's most challenging problems together.
The first M Lab™ Collaboration Center in Latin America was inaugurated 2018 in Barueri, São Paulo. As one of 9 M Labs™ worldwide, the space serves as a hub for Latin America. In the laboratory complex, Life Science customers are invited to collaborate and explore in practice, alongside Merck scientists and specialists, challenging problems in accelerating development processes and production of new therapies.
EF: How is Merck strategically integrating digital transformation to enhance patient communication and expand accessibility?
JAC: Our team's goal is to comprehensively grasp each patient's journey within our various businesses. With the right data, we can determine the optimal approach and assess the feasibility of specific treatment steps in our diverse therapeutic areas, personalized for each patient. This approach fosters innovation in our everyday operations. We tailor strategies differently for broad products or therapeutic areas like diabetes and highly specific segments such as oncology.
Our team also introduces novel methods for engaging medical professionals, considering different patients' journeys and needs, and implementing innovative segmentation techniques, including disease awareness campaigns.
We have noted how elements of digitalization and a multichannel approach are becoming seamlessly integrated into each business case. The hybrid models are becoming the natural way of communication and are highly effective.
EF: What three key pillars are essential for establishing a sustainable healthcare system?
JAC: First and foremost, healthcare systems must be affordable to ensure widespread access and support for the population who need it. Secondly, respecting intellectual property is crucial, particularly when it comes to attracting more investments to the sector and the LATAM region. The third pillar is fostering an environment that drives innovation.
This responsibility is shared among various stakeholders, including the industry, government, public and private sectors, and medical societies. We need a collective commitment to work towards achieving these three objectives and advancing the healthcare system's maturity.
EF: Considering the ongoing government transition and the evolving discussions within Brazil's healthcare landscape involving various stakeholders, where do you see the priorities for collaboration?
JAC: The new government is committed to enhancing the national industry, evident in their support for tech transfer projects such as the PDP involving multiple companies. This favorable environment is beneficial for technological companies like ours. Merck, for instance, collaborates on a PDP initiative with the Brazilian government and is open to establishing more projects that can be mutually beneficial – and, more importantly, those that can benefit the Brazilian patients.
Secondly, a crucial focus is achieving general medicines coverage in the public system, reflected in budget improvements for Farmacia Popular. Transforming this into a state policy rather than just a governmental one would add long-term stability to the program.
The current dialog with the government drives healthcare growth and gives us optimism about advancing important healthcare projects in the coming months and years.
EF: What strategies and practices does Merck use to attract and retain top talent for your organization?
JAC: The enduring dedication of both the global team and our Brazil operations in building a top-talent company is significant. Investments in our pipeline and innovative values emphasize this commitment.
Talent attraction is vital. Modern generations seek experiences that transcend financial gains, aspiring to contribute to a meaningful cause. This philosophy resonates well with Merck's purpose-driven mission. Our focus on innovation and positively transforming patients' lives aligns perfectly with this approach, as patients remain at the heart of everything we do.
EF: In light of the celebrations marking 100 years of Merck's presence in Brazil, what final message would you like to send?
JAC: 2023 marks the 100-year of Merck in Brazil, a very special date that reflects our centenary commitment to the country, our employees, healthcare professionals, patients, the scientific community, and thousands of partners and clients in private and public sectors.
It is a great honor to be the President of Merck in Brazil in such a special moment. I am happy to celebrate this moment with all our employees and renew our commitment to Merck and Brazil.
The journey to 100 years is a testament to flexibility, resilience, teamwork, and robust organizational leadership. Our company is constantly enhancing its performance, challenging the status quo, and fostering the development of our dedicated team.
When it comes to our talents, the younger generation exemplifies this commitment by ensuring access to innovative technologies for all, including the less privileged. Merging their spirit with the traditional values of Merck forms a winning combination for success.
Resilience, vigilance, and attention to detail further strengthened our trajectory over the past century, recognized for greatly impacting the lives of Brazilian patients. The feeling of accomplishment and pride, together with our promising pipeline, precedes and accredits our ambition to continue thinking about building Merck Brazil for the next 100 years.