One-on-one briefing sessions with doctors are not allowed

by MSD Korea

Promoted to be banned from May, employees oppose "excessive measures beyond fair competition rules"

"It doesn't meet global standards" vs. "No consideration for the domestic environment"

It is expected that MSD Korea will in principle ban one-on-one product presentations for individual doctors from May.

 

Business restrictions are much stronger than the industry's 'fair competition rules'.

 

According to the pharmaceutical industry on the 7th, MSD Korea announced plans to improve CP to its employees on the 5th.

 

From May, it will prohibit one-on-one product presentations between doctors and sales staff.

 

This is a measure according to the global headquarters' criticism that the cost used for one-on-one product presentations is excessive and the cost-effectiveness is low.

 

MSD Korea emphasized that one-on-one product presentations are not allowed in principle, but they gathered the opinions of each sales team, saying that special exceptions can be considered.

 

The company will review the opinions gathered by mid-April and finalize the new regulations, and it is expected to take effect from May.

 

However, employees point out that the company's claim that one-on-one product presentations are not allowed in principle does not comply with not only the Pharmaceutical Affairs Act but also the industry's voluntary fair competition regulations.

 

Under the current the pharmaceutical affairs law, food and beverages can be provided within ₩100,000 at product presentations.

 

In addition, in Article 10 of the 'Fair Competition Regulations and Detailed Operation Standards for Pharmaceutical Transactions' published by the KRPIA, which MSD Korea belongs to, in the case of a product briefing session that explains its own medicines by visiting individual nursing institutions, member companies provide food and beverage and A small amount of promotional materials can be provided with the company name or product name entered, and in this case, it must be ₩100,000 per day for food and beverages (limited to 4 times a month) and less than ₩10,000 for promotional materials.' The '2021 CP Guidebook' published by the KRPIA on the 1st also contained the same content.

 

Multinational and domestic pharmaceutical companies are conducting one-on-one product presentations within the limit of ₩100,000 per person for food and beverage in accordance with these CP regulations.

 

The CP regulation of MSD Korea follows Article 10 of the KRPIA regulation, and the explanation for one-to-one product-related explanation (PRE) is also clearly stated.

 

'One-on-one PRE is not included in small meetings (product presentations for 2 to 25 people), but must comply with the KRPIA rules.' Considering that the average cost per person for a one-on-one product presentation at MSD Korea is about ₩60,000, the evidence that the cost is excessive is insufficient.

 

Some employees criticized the company's decision as a one-sided measure that did not take into account the business environment.

 

The competition situation with other pharmaceutical companies and the sales target suggested by the company remain unchanged.

 

However, it is argued that limiting meetings, which are allowed by other pharmaceutical companies, is overpressing the business environment.

 

One MSD Korea employee said, "It is also said that the regulations will be strengthened in the so-called Simple PRE, in which an employee eats light meals of less than ₩10,000, such as coffee or sandwiches, with a doctor." He said, "There is a lot of anxiety that the company is in the process of changing its business to online rather than offline and further reducing the organization drastically." In response, MSD Korea said, "MSD always prioritizes transparent and legitimate business execution based on high ethical standards.

 

Current issues are closely monitored internally and externally, this is a part of reflecting them in internal regulations, and there is no clear decision yet."