Ethics of Offshoring

Ethics of Offshoring: Novo Nordisk and Clinical Trials in Emerging Economies

Question 1: Considering both economic and ethical aspects, is it appropriate for companies like Novo Nordisk to conduct clinical trials in, for example, India? What exactly are the principles that should guide such a decision?

1. Ethical aspect.

Nordisk’s implementation of clinical trials in India is appropriate. The appropriateness is expressed through the following guidelines:

i) The trials of Novo Nordisk comply seriously with medical ethics (Hippocrates’s oath).

a) Patient have to be agreed on their own consent

b) Privacy of patient should be respected

c) The products shall be tested by ethics review board and health authorities

ii) Novo Nordisk has followed all the guidelines and global recommendations from specialised agencies and has adopted its policies on clinical trials, accordingly:

a) Comply with Helsinki Declaration of the World Medical Association

b) Country should have a proper internal organisation and legal environment

c) Products will be in mass production and controlled based on international and local law.

iii) Scientific Ethics

a) Study should use valid measurement and statistical techniques

b) Samples should be sufficiently large and unbiased

c) Test of efficacy of the products at different locations

2. Economic aspects.

a) Main social responsibility is to make profits so as to satisfy shareholders

b) Engage in CSR as it may reduce their burden in public point of view. They will be benefited in the long run.

c) Location advantage where they can get skilled labour at cheaper cost with availability of suitable patient and good infrastructure. Developing countries like India is highly efficient as these testing take years.

Question 2: If trials are conducted in an emerging economy, how should they be managed, and by which standards should apply?

Trials should comply with the Hippocrates’ oath.

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