Lilly CEO on expansion: ‘The currency is speed’
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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowThe CEO of Indianapolis-based Eli Lilly and Co. says the increased investment in its future manufacturing operations in Boone County is all about speed.
The drugmaker announced at last month’s Global Economic Summit it was investing an additional $5.3 billion in its location at the LEAP Innovation and Research District, bringing the total investment to $9 billion.
Dave Ricks said the proximity to its existing research and development and other manufacturing activities, plus the state’s renewed embrace of large-scale projects were key decisions in making the investment.
“The currency is speed,” Ricks told Inside INdiana Business Host Gerry Dick. “We’ve made some useful products, particularly Mounjaro and Zepbound, and we are unable to meet global demand right now. We’ve not launched in many markets. We’ve got restrictions on some doses in the U.S. We’re in a race to meet patient needs and alleviate the suffering they have, and so we need to work with people who can get things done quickly.”
Ricks noted while work at the LEAP site near Lebanon is still ongoing, expanding Lilly’s footprint there was an easy option. He said conversations with the state on the expansion only started in February.
The overall investment in Boone County is also expected to create a total of 900 new jobs.
Ricks said key partnerships with higher education institutions will be crucial to address the workforce situation at the district.
“[The Indiana Economic Development Corp.], Lilly and Purdue are teaming up to have a training facility for biotechnology right there at the LEAP district nearby our site,” he said. “So people can learn a new trade, whether you want to move from one type of manufacturing to biotechnology.”
He also noted the partners are planning to build out part of Purdue’s pharmaceutical engineering program at the district to give students hands-on experience.
Ricks said Lilly’s growth is serving as a key driver in Indiana’s momentum in the life sciences and hard-tech areas. He said the state is already making headway in semiconductors and green energy, and he believes biotechnology and making medicine should be the third pillar.
Indiana also has an opportunity, Ricks said, to respond to pressure to move supply chains closer to home.
“The U.S. is the biggest market for pharmaceuticals. There’s a lot of jump balls in the air right now and Indiana could go grab them and recruit other companies to make medicine here in the state as well. And these will, I think, upgrade the lives of many Hoosier families because these are great paying jobs, good work, and what better way to spend your career then making a product that helps people get better?”
Editor’s Note: A previous version of this story incorrectly stated that Lilly’s newest investment was $5.3 million.