Shionogi's Strength

Shionogi is constantly working on drug discovery with a particular focus on proprietary new drugs. Whereas the original pipeline ratio at most pharmaceutical companies is said to be 20–30%, we aspire to a ratio of 50–70%. At the end of March 2020, our original pipeline ratio was 67%. As a drug discovery-based pharmaceutical company, we take pride in this high ratio as we think it is indicative of our strength in in-house drug discovery

Proprietary compounds originated in-house as a percentage of the whole development pipeline

(includes results of joint research with partners and development candidates)

Shionogi’s strength in research stems from our highly efficient SAR (Structure activity relationship) engine for small-molecule drug discovery. The source of our competitiveness lies in the technological prowess of our teams in medicinal chemistry, pharmacology, and safety and pharmacokinetics, as well as our experience in problem-solving via collaboration between the three teams. Through strong teamwork, we have been able to speedily and efficiently move through the SAR cycle. As a result, during the previous SGS2020 Medium-Term Business Plan, we launched five products originated in-house onto global markets, including the anti-HIV agent Tivicay (launched 2014) and the influenza drug Xofluza (launched 2018).

We are enhancing our existing strengths in small-molecule drug discovery and also working on a wide range of therapeutic approaches (modalities) to meet the broad range of patient and societal needs. We aim to increase our drug discovery success rate by using the best drug discovery approach for each target therapeutic area. That means trying medium-sized molecules such as peptides and nucleic acids, as well as antibodies. We are building new strengths from the base provided by this SAR engine for small-molecule drug discovery. 

With our in-depth understanding of disease and of patient and societal perspectives, the value that Shionogi can offer is not limited to pharmacotherapy. Shionogi is taking a broad view across a whole range of healthcare solutions and is working diligently to create new platforms to deliver new options, such as preventive vaccines and a digital treatment app.

Ultimately, Shionogi aims to turn strong relationships of trust into business dealings that are satisfactory on both sides, allowing the development of mutually beneficial business conditions. Rather than just battling to profit the Company, Shionogi looks for win-win contracts, taking one step back so that agreed terms also benefit the other party. This different negotiating perspective sets us apart and is the backbone of Shionogi today. What benefits both parties may change as the operating environment evolves, so Shionogi works to deepen partner relationships further even after contracts are signed, keeping abreast of the situation at partner companies and responding flexibly even to changes in contract terms. These positive collaborations have allowed the Company to achieve sustained growth. 

Rapid advances in information technology are driving significant changes in how healthcare is provided. For example, the foundations are being laid for the delivery of personalized treatment through aggregation and analysis of big data on individual patient health profiles. New systems are also being worked out to allow patients to receive medical examinations and guidance on drug compliance without having to visit a medical facility and for pharmaceuticals to be delivered directly to the patient’s home. Shionogi is responding to these changes and working to build healthcare platforms, creating value with partners that have complementary capabilities and aligned visions for the future of healthcare, as part of the Company’s goal of developing HaaS to shape the future of healthcare. 

Shionogi has conducted research and development in infectious diseases for over 60 years, bringing a huge number of drugs for infectious diseases to market along the way. Drawing on compound libraries and other resources developed through many years of research, Shionogi has built a solid platform in infectious diseases drug discovery and has been able to generate a series of products and drug candidates in this field. As more and more pharmaceutical companies withdraw from R&D in the poorly profitable field of infectious disease, Shionogi has continued to invest. In the Antimicrobial Resistance Benchmark 2020 survey, Shionogi was recognized as having the highest annual ratio of R&D investment for anti-bacterial and anti-fungal agents of any of the companies surveyed (based on annual investment as a proportion of net sales).

Shionogi is involved in a wide range of initiatives that go beyond the scope of R&D into therapeutic agents, including disease awareness programs, prevention, diagnostics, and methods to prevent conditions becoming serious. As well as progressing these initiatives to provide total care for infectious diseases, Shionogi is taking a global leadership role to manage the threat of infectious diseases, including efforts to ensure stable supplies and appropriate use of anti-infectives.

Shionogi's aim is to succeed against global competition by cultivating strong individuals to build our organization, based on the policy that people are the source of competitiveness for human resource development.

We have identified the “values” and “capabilities” necessary to achieve the vision set forth in STS2030 and redefined the “Shionogi Way,” the global human resource vision that we are seeking. To provide new value to society, we are working on a corporate culture that develops a challenger mindset and on measures for employee capability development.

Shionogi is positioning the promotion of diversity & inclusion (D&I) as an important personnel strategy for the entire group. Naturally diverse, each person has different characteristics and values. New value is created by combining these different characteristics and values toward a common purpose. Shionogi has in place a Diversity Council, which consists of members from each organization, Group companies, and human resources departments, and is working to promote D&I.