Abstract

Purpose – The paper aims at proposing an information technology framework for demand management within a dyad on the supply chain pharmaceutical industry. Design/methodology/approach - The paper adopts the exploratory study as research method, involving a producer of generic drugs and its main distributor. Data was collected by semi-structured interviews. Findings – In pharmaceutical supply chain, sharing information boosted by information technology translates into greater flexibility and reliability, lower costs, obtained through more reliable forecasting, and lower inventory requirements. Research limitations/implications – Because of the chosen research approach, results may be restricted to these specific dyadic processes. Further application of the proposed IT framework have to be tested. Practical implications – The paper identifies demand management strategic and operational processes that can reach a better performance by using the proposed framework. Originality/value – This paper covers a field that is not widely researched that is IT solution application into pharmaceutical demand management processes, and related performance improvements.

Highlights

  • H illetofth (2009) states that, in the beginning of globalization, companies could develop economies of scale for the production and distribution of large volumes of goods, reducing costs, increasing competition

  • 6 CONCLUSIONS In this work, the concept of SUPPLY CHAIN (SC) proposed by Lambert, Cooper, and Pagh (1998) was adopted, which focuses on a specific company and comprises all the organizations with whom this company has direct and indirect relations

  • This work focused on the model of demand management by Croxton et al (2008), particularizing it to the producer-distributor dyad in the pharmaceutical chain

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Summary

Introduction

H illetofth (2009) states that, in the beginning of globalization, companies could develop economies of scale for the production and distribution of large volumes of goods, reducing costs, increasing competition. Such competition points towards the establishment of structures that allow value addition processes and customer retention, namely, supply chains (LAMBERT; COOPER, 2000; RAINBIRD, 2004; CHRISTOPHER, 2011). This paper discusses the roles of and presents a set of tools for information technology (IT), organized into a proposed framework, and applied to demand management within supply chains. It considers the producer-distributor dyad, represented respectively by a drug manufacturer and its largest distributor within the pharmaceutical industry, focusing on the generic drugs into Brazilian market

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