pre-clinical trials of the new drug on cells/tissues/live animals
to test for toxicity, dosage and efficacy
clinical trials/test on healthy volunteers and patients at very low doses
so that you can monitor for side effects
only then do trials to find optimum dosage and test for efficacy
double blind trial/ use of placebo
which does not contain new drug
random allocation of patients to groups
so no one knows who has placebo/ new drug