Supply Chain Transparency

Abstract

This report deals with the consequences caused by market changes in the pharmaceutical industry and how these changes can be translated from threats to opportunities for a company situated in the middle of the supply chain network between manufacturers and retailers. In the pharmaceutical industry new business trends is foreseen to affect all levels of the supply chain. Each part of the supply chain has to react and adapt accordingly to the future business landscape to stay competitive. There are six main trends: - Growth in emerging markets - Increasing legal requirements - Price/cost pressures - Changes in distribution channels - Consolidation through M&A throughout the entire supply chain network - Change in product portfolio All the trends point towards an industry that should be clear to a greater extent than previously, to handle differentiated logistics through: - Greater transparency around current setup and costs - Targeted supply chain - Ensure that the supply chain and control model matches the requirement Nomeco is a company in the center of the pharmaceutical supply network, with customers at both ends – downstream and upstream. This position is an important part of the supply network, which makes it possible to generate and control high valuable information useful in an improved supply chain control model, where the unique flow of information can be shared with other stakeholders in the supply network. This has resulted in the project's problem definition: Improve transparency in the supply network that goes through Nomeco HealthCare Logistics, in order to comply with customer requirements and gain better internal control Based on the analysis the proposed solution takes into account: - Nomeco's desire to comply with customer requirements and willingness to complete transparency. - The manufacturers’ significant differences in relation to business types seen through; business processes, critical success factors, focus points, price of products, profit margin, inventory and product portfolio. The proposal is a differentiated information solution. It offers manufacturers’ transparency of the supply chain through key performance indicators consisting of business relevant information. At the same time the solution provides Nomeco with effective control and management tools that are designed for present and future success. The solution will appeal to the manufacturers and add further attractiveness for Nomeco as an important logistics service provider and partner in the future pharmaceutical supply network in bringing solutions to customers in an efficient and competitive way.