Saturday, August 1, 2020

Transportation and Logistics Challenges faced in the Pharmaceutical Industry




Hello Readers, This is Muhammad Jassim from Amrita School of Business Coimbaotore. Welcome to my First Blog on Supply Chain and I have planned to write one block a week so this is to my beginning of Blogging, Hope you find it interesting and insightful. This week blog is all about Logistics Challenges faced in Pharmaceutical industry.

The pharmaceutical industry relies heavily on cold-chain storage capacity in trucks to transport vaccine-related goods. Moreover, freight options have been significantly limited as limitations on transport, shortages of jobs, lack of drivers and freight prices have risen.

Adapting logistics and distribution strategies requires operating clockwise, since a large number of raw materials for pharmaceuticals and products used in biotechnology require distribution under different conditions and many drugs have short lifespans.

These difficulties are similar to the others that occurred before COVID. Those include high fuel costs, regulatory uncertainties, and ageing transport infrastructure. The pharmaceutical supply chain was also highly fractured. Most organizations lack the IT infrastructure required to exchange and manage real-time data or track and interrupt suppliers.

The globe is looking for long-term answers. The widespread introduction of Transport Management Systems (TMS) would play a key role in making life-saving medicines more usable and affordable. In addition, TMS will increase the margins for shippers by reducing the net cost of landed goods by as much as 30%.





5 comments:

  1. This comment has been removed by the author.

    ReplyDelete
  2. Transport Management systems are indeed required for all players in Logistics. UPS managed to saved costs on fuel just by turning right and implemented it in their direction algorithm. Google Maps has implemented a smart of way of detecting traffic jams and providing alternative routes. It really helped me when I was in Ooty and Google told me to follow a different route than the standard. We realized why after we saw the traffic from a height. A lot of innovation is indeed to come in the area of effective transportation. Infrastructure in India is developing at a steady level to improve the development on transport management systems.

    ReplyDelete
    Replies
    1. ...and last time I got lost in a drive, I ended up in the middle of nowhere! I did not know the way out and neither did Google map. Old fashion help - roll down your window & ask for local help! #aliceinwonderland

      Delete
    2. haha .. well that is there too but.. but we can agree that its accuracy is improving as the years roll by and technology advances !

      Delete
  3. What do you think is the major hurdle in adopting a TMS? Expecting to see a more detailed post on TMS in your next piece.

    ReplyDelete

Supply Chain Dominance of China

Supply Chain Dominance of China A “Made in China” label has always been problematic in the U.S. In the early years of globalization, compani...