PROFILE
and R & D to cold chain distribution , medical device logistics , and final-mile delivery to patients .”
Triple challenge Allison points towards three major obstacles facing supply chains in the health industry at the moment . The first is what he describes as a near-constant downward pressure on costs from an operational and regulatory perspective . Second is rising expectations of patients , fuelled by a greater understanding of medical issues and what can be offered – quality must rise while prices must fall .
It is the third challenge that Allison believes ties the rest together , chiefly how digitisation can help companies address the first two challenges . He cites two examples to underline his point made from the outset : “ In two other sectors – the technology sector and the automotive sector – the inbound supply chain uses vendormanaged inventory solutions , and has been for a long time . Although a common solution in these sectors , the vendor-managed inventory has hardly been developed in life sciences and healthcare at all . By the way , this represents a big opportunity for life sciences and healthcare companies to reduce costs .
“ My second example of digital lag is the near-absence of customer-driven supply chains . Inventory in a hospital is often controlled by surgeons with the tendency to order stock ‘ just-incase ’ rather than ‘ just-in-time ’. This type of system simply isn ’ t efficient ; it can meet patient needs , yet modern supply chain techniques are proven to optimise inventory processes while
12 August 2017