This year’s LogiMed conference yielded some great insights, providing a deep dive into the evolving strategies of pharmaceutical companies aiming to modernize their supply chains. The insights from our conversations at the conference closely mirrored the technology investment priorities we've consistently seen in our discussions with leading HLS organizations.
In this blog, we'll explore the increased complexity facing companies in the industry, the strategic investments being made to overcome them, and how Shipium's platform can serve as a catalyst for positive change.
HLS Companies are Faced With Increasing Supply Chain Complexities
The life sciences industry is grappling with a number of factors that are reshaping supply chains:
- New Innovations: The ever-expanding portfolio of specialty and personalized therapies necessitates new and specialized ways of handling, storage, and shipping (e.g. DTC or same day) given unique temperature, time, and security requirements.
- New Constraints: Shipping products can frequently require adhering to strict regulatory requirements, including specialized packaging, cold chain maintenance, proof-of-delivery, special handling guidelines, and tight delivery windows.
- New Models: There is a greater need to respond to unforeseen disruptions like supply shortages or regulatory changes, and the ability to model the impact of these changes on revenue, cost, and operations is crucial.
- Less Resources: Cost-cutting pressures are forcing organizations to achieve more with fewer resources, demanding greater efficiency and automation across the supply chain.
- Legacy Systems with no AI or ML: Disconnected and dated legacy systems create significant integration and data management challenges that limit the use and effectiveness of AI / ML.
Complexities are Driving Investments in New Capabilities
When it comes to dealing with the complexities above, HLS leaders are investing in the following areas:
- Data Leverage: organizing and connecting data from disparate systems unlocks the ability to drive automation across the supply chain (inside the enterprise and with outside trading partners). This automation makes AI / ML easier to scale in ways that unlock meaningful value.
- Inventory: Additionally, there’s a focus on transitioning to cloud-based systems of record and more sophisticated inventory management solutions to achieve real-time visibility and control over inventory levels and locations.
- Optimization: Companies are investing in supply chain orchestration tools to control operations end-to-end, optimize workflows (ex. carrier and service selection), and improve decision-making.
- Efficiency: Strategies include partnering with 3PLs who can support HLS shipping requirements and optimizing warehousing operations to improve throughput, reduce costs, and ensure on-time deliveries.
- Logistics: Includes investments in temperature-controlled logistics, specialized packaging, and multi-carrier solutions to ensure the safe, timely, and cost-effective delivery of products to customers / patients.
- Visibility: Implementing track-and-trace systems, serialization, and IoT/RFID technologies to achieve supply chain transparency.
How Shipium Can Support HLS Supply Chain Technology Initiatives
Shipium offers a suite of solutions that can help organizations address the unique needs of the life sciences industry:
- Multicarrier Optimization: Shipium’s Carrier Selection product enables the selection of the optimal carrier, service, and delivery method for diverse shipment types, balancing speed, cost, and compliance requirements for parcel, courier, LTL carriers.
- Packing Station Transformation: Shipium offers solutions that help to automate packing processes by streamline steps, minimizing manual decisions, and enhancing efficiency and accuracy as a result.
- Exact Delivery Dates (EDDs): Shipium’s Delivery Promise API provides precise EDDs at critical points in the order, purchase, and delivery process, which is crucial for time-sensitive pharmaceutical deliveries and customer satisfaction.
- Fulfillment Optimization: Shipium’s Fulfillment Engine selects the most efficient shipping origin based on cost, availability, proximity, and speed, optimizing the entire fulfillment process.
- Streamlined Invoice Management: Shipium’s Billing and Invoice Management Solution automates the identification of billing discrepancies for rapid reconciliation, reducing administrative overhead.
- Tracking/Visibility: Shipium Track-and-Trace offers real-time shipment tracking and visibility, keeping service teams and customers informed of delivery progress.
- Data Management/API Integration: Shipium’s API-based SaaS solution simplifies integration and data management, reducing the burden on IT resources and setting the foundation for the use of advanced analytics and machine learning.
- Simulation & Analytics: Related to the above, Shipium’s Analytics Suite and Simulation tools enable the generation of operational insights and ability to run “what-if” scenarios — for example, what would the impact be on performance and cost if we used Carrier B rather than Carrier A from origin Site C to execute shipments?
Wrapping Up
The HLS industry is navigating an increasingly complex supply chain landscape, characterized by rapid innovation, regulatory demands, and rising cost pressures. Shipium's platform empowers HLS companies to streamline supply chain operations, enhance visibility, and optimize delivery performance through an integrated, self-service, data and ML-powered solution.
If your strategy aligns with the supply chain investment areas discussed above, reach out to our team here to discuss your use case and see how Shipium can help.
Anurag Allena
Anurag Allena
