Publications
Publications
- August 2023
- HBS Case Collection
Parexel (B): The Future of the CRO Industry
By: Regina E. Herzlinger and Ben Creo
Abstract
How should Parexel respond to the rapidly changing environment in clinical research, now that it is owned by a private equity firm and its founder is no longer with the firm?
Parexel, a major clinical research organization, has experienced substantial changes since the “A” case, “PAREXEL: International Corp.: Stages of Innovation” (HBS No. 314-056). Private equity has bought the firm and taken it private. The firm’s founder, Joe von Rickenbach, is no longer CEO. Major trends, such as the rise of artificial intelligence and the decentralization of clinical trials, among others, have the potential to upend, and even transform, the CRO industry. How likely are these trends to succeed and how should Parexel respond to them?
This case is a follow-up “B” case for use in courses on healthcare innovation alongside the “A” case.
Parexel, a major clinical research organization, has experienced substantial changes since the “A” case, “PAREXEL: International Corp.: Stages of Innovation” (HBS No. 314-056). Private equity has bought the firm and taken it private. The firm’s founder, Joe von Rickenbach, is no longer CEO. Major trends, such as the rise of artificial intelligence and the decentralization of clinical trials, among others, have the potential to upend, and even transform, the CRO industry. How likely are these trends to succeed and how should Parexel respond to them?
This case is a follow-up “B” case for use in courses on healthcare innovation alongside the “A” case.
Keywords
New Technology; Strategic Evolution; Innovation; Health Testing and Trials; Research and Development; Private Equity; Private Ownership; Organizational Change and Adaptation; Health Industry
Citation
Herzlinger, Regina E., and Ben Creo. "Parexel (B): The Future of the CRO Industry." Harvard Business School Supplement 324-006, August 2023.