Why Understanding Industry-Specific Culture Matters for Leaders in Life Sciences

American scientist Carl Sagan said, “Science is a way of thinking much more than it is a body of knowledge.” In life science, leadership is less about having concrete answers and more about guiding decisions under uncertainty.

Leadership is often perceived as something portable – a set of skills that can be lifted from one industry and applied neatly to another. In reality, this is only partly true. Although there are core leadership capabilities that matter everywhere, industry-specific culture shapes how leaders engage, how decisions are made, and what “good” performance really looks like.

Every sector carries its own cultural logic. Hospitality prizes immediacy and emotional intelligence. Technology rewards speed, experimentation, and tolerance for failure. Manufacturing values precision and process discipline. Financial services emphasize risk management and trust.

Life sciences sits at the crossroad of several worlds. It combines scientific rigor, stringent regulation, long development cycles, and intense ethical responsibility. Leaders are required to navigate all of these at once, and the combination creates a culture that is inherently unique.

Angela Westdorf, Managing Partner at Signium in Cologne, notes,

“Leaders who underestimate the cultural dynamics of the sector often struggle. This is not because they lack intelligence or skills, but because the rules of the environment are so different.”

3 Pillars that define the cultural core of life sciences

“At its heart, life sciences culture is shaped by three influencing principles,” says Westdorf. “The caveat is that every one of these pillars is non-negotiable.”

1. Patients come first

This is not merely a slogan. Decisions made inside life sciences organizations ultimately affect human lives in profound ways. That reality gives the industry its ethical gravity, and leaders are expected to understand this responsibility and treat it as a guiding compass, not an abstract value.

2. Science sets the pace

Research, clinical development, and evidence-based decision-making form the backbone of the life sciences sector. Although leaders do not need to be scientists themselves, they must respect the scientific process, understand uncertainty, and be able to engage with technical experts.

This includes accepting that outcomes may not always be accurately predicted in advance. Drug development unfolds over many years, with new data and technologies emerging at different stages. Making high-stakes decisions without complete certainty is a reality that shapes both the culture and the expectations placed on those in charge.

3. Commercial discipline remains essential

Life sciences businesses operate within limited patent windows, constrained budgets, and competitive markets. Leaders must prioritize goals, allocate resources carefully, and make difficult trade-offs. “Commercial thinking is not at odds with patient care,” adds Westdorf. “It’s what allows innovation to be sustained and delivered at scale. Without a viable business, treatments do not reach the people who need them.”

Where leadership is most tested: compliance versus momentum

In life sciences, stringent regulations exist for good reason: to protect patients, ensure quality, and maintain public trust. Yet, culturally, it creates persistent leadership tension. On one side sits caution, documentation, and risk avoidance. On the other sits urgency: the pressure to move programs forward, bring therapies to market, and respond to rapidly changing scientific and commercial conditions.

When regulation becomes a reason for inertia, innovation slows, and patients wait longer for solutions. When speed overrides discipline, quality and safety are put at risk. Global standards position leadership as accountable for building and maintaining effective quality systems. Quality culture is not something leaders can delegate. It’s shaped by the behaviors they reward, the questions they ask, and the trade-offs they make visible.

In practice, the strongest leaders create environments where teams raise risks early, debate evidence openly, and move forward decisively – without losing sight of compliance or ethics.

Why does this matter more now than ever before?

The life sciences sector is under growing pressure. A set of structural forces is reshaping how organizations operate — and, in turn, what leadership needs to look like. In this environment, cultural understanding becomes a practical leadership skill, not a soft one.

●     Capital pressure is tightening the margin for error

Patent expirations are reshaping portfolios, driving restructuring and consolidation, with many organizations turning to acquisitions and in-licensing to strengthen pipelines across pharmaceuticals and biotech. At the same time, funding has become harder to secure, pushing companies to focus on later-stage assets and clearer paths to value.

This environment leaves little room for slow decisions or unclear priorities. Leaders must guide teams through tough trade-offs while maintaining trust and focus, and these outcomes are strongly shaped by culture.

●     Global complexity is shaping how culture is lived day to day

Many life sciences organizations operate across diverse healthcare systems, regulatory frameworks, and cultural contexts.

“Cultural awareness is essential,” says Westdorf. “Values might be shared, but execution varies by market. Leaders are expected to align global standards with local realities, maintaining momentum without creating confusion or resistance.”

●     Technology is accelerating work, but not culture

The McKinsey 2026 Life Sciences Compendium notes that AI and advanced analytics can be powerful growth drivers – but only when paired with clear leadership and ways of working.

“In practice, technology speeds up what already exists,” says Westdorf. “In complex life sciences environments, it can improve performance in healthy cultures or deepen silos and mistrust where alignment is weak. Leadership determines the outcome, not technology.”

What effective life sciences leadership looks like

Leadership fit in life sciences is not defined by technical competence or past success alone. It’s demonstrated through a specific set of behaviors shaped by the ethical, scientific, and regulatory realities of the sector.

Effective life sciences leaders tend to:

• Use patient impact as a real decision filter, while respecting scientific evidence and process. They’re comfortable making decisions even when the data is still evolving.
• Balance discipline with agility, keeping work moving forward without creating confusion or unnecessary risk.
• Lead with humility, recognizing that success depends on deep expertise across R&D, medical, quality, manufacturing, regulatory, and commercial teams.
• Show genuine motivation, curiosity, and respect for the mission
• Demonstrate a willingness to adapt how they make decisions.

Westdorf explains: “In roles such as R&D, medical, and highly specialized commercial positions, prior industry experience is often essential. However, leaders from outside the industry can thrive in functions such as finance, procurement, or operations – but only if they understand and adapt to these cultural realities of life sciences.”

Culture as a performance condition

The life sciences sector is often viewed through a commercial lens, yet its purpose is fundamentally human. Every breakthrough, every delay, every decision ultimately touches people’s lives and wellbeing.

At Astellas Pharma Canada, leaders deliberately clarified a set of cultural principles, such as ambition, accountability, and teamwork, to guide how decisions were made and how teams worked together. Within less than a year, the organization recorded around 15% growth, becoming one of the strongest-performing affiliates in the global group. The result shows how clear leadership and cultural alignment can support both commercial strength and human purpose.

Westdorf concludes:

“The challenge for leaders is not choosing between ethics and economics, but balancing both. When leaders get that right, innovation serves its highest purpose, where commercial success improves human life, sustainably and at scale.”