Next week, June 5, 2014, we are excited to host a webcast on women in supply chain management.
We have a fantastic panel of accomplished female supply chain practitioners as well as industry expert Lora Cecere serving as the moderator. Register for the webcast to hear them discuss the thorny issues of mentoring, sponsorship, and quotas as mechanisms to get more women into supply chain, and the relative merits and drawbacks of these approaches.
Mentoring, Sponsorship, & Quotas: What are their relative merits in bringing more women into supply chain management?
Date: Thursday, June 5, 2014
Time: 2:00 PM to 3:00 PM ET
There is a consensus that since women constitute over half of the workforce but just 10% of top supply chain executive positions in Fortune Global 500 companies that something needs to be done to address this imbalance. While a great deal of attention gets placed on the ‘glass ceiling’ concept, there are a lot of women who face barriers and discrimination at mid and entry level positions too. There is a clear social responsibility need and this panel will focus on the practical advantages to having more women in supply chain including:
- Do women and men make decisions differently? If so, why does this matter to supply chain?
- Has supply chain become more relevant to women as a career option?
- What does a career path look like for women in supply chain?
Reserve your spot!
P A N E L I S T S :
Verda Blythe, Director, Grainger Center for Supply Chain Management, Wisconsin School of Business
Laura Dionne, Director, Worldwide Operations Planning, TriQuint
Elisabeth Kaszas, Director, Supply Chain, Amgen Inc.
Shellie Molina, VP, Global Supply Chain, First Solar
M O D E R A T O R :
Lora Cecere, Founder, Supply Chain Insights
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The emerging or intensifying industry dynamics that I discussed in an earlier blog post,, along with significant shifts in strategy, are having a direct and material impact on the way Life Sciences supply chains must operate. The compounded effect of a host of complexity drivers is creating the need for supply chain transformation. By satisfying the following seven supply chain processes in an integrated manner, Life Sciences teams will be better equipped for success in today’s new, complex world.
- Collaborative launch management – clinical, regulatory and commercial
- Jurisdictional control to respect regulatory needs during planning
- Consensus demand planning across affiliates and countries
- Risk evaluation and recovery to deal with shortages and FDA shutdowns
- Shortage analysis and reporting for FDASIA compliance
- Supply and capacity planning to balance demand across regions
- Expiry management to balance long supply lead times and shifting demand
Let’s take a look at each of these in more detail.
The effective launch of a new product is critically important in any industry, but it is of particular importance in the Life Sciences industry given the long time it takes to bring a new drug to market from discovery through clinical trials and commercialization, with regulatory oversight and conformance throughout the process. When the ‘long tail’ trend is coupled with shorter patent protection, the margin and market captured during the early launch period will be crucial to the recovery of the R&D investment, and thus the pressure to streamline and coordinate clinical trials and the regulatory process with the commercial launch has become intense.
Revenue Trends throughout the Product Life Cycle
In addition, mandates by regulatory bodies require jurisdictional control of demand satisfaction
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I’ve attended several Life Sciences events recently (including Biomanufacturing Summit) and it’s quite clear that these supply chain teams are working in a new, complex world. Not only do they need to meet diverse customer expectations, but they need to do so while coordinating an extended supply chain, in an environment that is constantly changing. Additionally, they’re faced with a set of five industry trends that are driving complexity even further.
1. Exceedingly Distinct Markets
Through accidents of history and industrial capabilities, the Life Sciences industry has developed to satisfy principally the diseases of the affluent West, such as cardiovascular disease, diabetes, respiratory disease, and obesity, while paying less attention to the diseases prevalent in the developing world, such as malnutrition, malaria, HIV/AIDS, and TB. This has led to a drug market segmented by geography and demographics, with companies in the emerging markets focused on satisfying the ‘local’ diseases. But in recent years, with the rapid expansion of the middle class in many emerging economies, many of the ‘Western’ diseases are increasing rapidly in the middle classes of the emerging markets – for example diabetes in India – stretching local healthcare provision while opening opportunities for expansion into these countries. While at the same time innovations by companies in emerging markets are challenging the market leadership of well-established Life Sciences companies in the West.
2. Increased Outsourcing
With tremendous opportunities for growth in emerging markets, many manufacturers have executed aggressive globalization and outsourcing strategies, while relying increasingly on Third Party Operators (TPOs) in India and China for Active Pharmaceutical Ingredient (API) supply and subcomponents, or even the manufacturing of complete devices. Coming along with these shifts is an increase in business complexity and supply chain risks given the varying regulations across global supply chains and longer and riskier supply chains.
3. New Regulations
With this rapid increase in the use of TPOs has come added risks to quality and of counterfeiting, leading the US Food and Drug Administration (FDA) to push for the passage of the Safety and Innovation Act (FDASIA), which focuses on the risks inherent in an increasingly global Life Sciences supply chain. Much of the public comment has been on the two user fee reauthorizations, as well as two new user fee programs, and the reauthorization for pediatric research. But buried deep in the text are provisions for supply chain validation – in both domestic and off-shore plants – and drug shortages that will have a profound impact on outsourced and global supply chains.
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We’re excited to be participating in LogiPharma Europe 2014 in Basel, Switzerland!
This year’s conference is focused on Supply Chain as a Customer Centric Function.
Join us for a roundtable discussion on April 8th on how to leverage the cloud to achieve true innovation in supply chain management. And, on April 9th, Trevor Miles is leading a session entitled Continuous S&OP – Breaking the Mold. In this session, he will discuss how business and technology has changed tremendously in the thirty years since S&OP was first defined, enabling much more proficient and integrated S&OP processes. Trevor will describe how companies are breaking the traditional S&OP mold from both a process and technology perspective.
During the conference follow hashtag #LogiPharma and stop by the Kinaxis booth #21 to meet with the team and learn more about how Kinaxis has helped life science companies adopt process improvements and technology targeted at removing business “silos,” improving collaboration, and achieving significant operations performance breakthroughs. Find out more about RapidResponse for life sciences at: http://kinax.is/pharm.
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With regards to the continuous efforts in pharmaceutical industry, we certainly see a great improvement in the US, California and how much the 632% increase in employment between years 2006 – 2011 has brought substantial growth to the sector.
Some of the main reasons of this improvement between R&D to prescription phases are due to the investments for enhanced technologies used in R&D, effective manufacturing techniques, and certainly the efforts towards a more efficient supply chain management. The latter one, supply chain management actually goes hand in hand with manufacturing, even though we don`t get to hear a lot about its importance.
I greatly enjoy following new trends and hearing about recent developments in industries. I was in San Diego at the Biomanufacturing Summit last week and had great conversations with people from different pharmaceutical companies, had the opportunity to view the industry trends, hear about some pain points, and even discovered beer making process as part of a facility tour (you wonder how this is related to pharmaceuticals? Well, after all, beer manufacturing is just another type of fermentation!).
It`s always amazing to see how manufacturing follows a common path among different industries. At the conference, I kept seeing in the workshops the terms lean, agile, kaizen, 6S, Toyota Production System. As much as these terms can be more applicable towards a manufacturing environment, I really liked to see that the pharmaceutical companies are trying to apply the best practices both from each other and from different environments. This can be limited to the manufacturing technologies today, but will certainly extend to other areas like supply chain. Having said that, referring to my previous statement about manufacturing being hand in hand with supply chain, some of the information – mostly where pain points are today – I captured from the conference below proves how valid this is:
- Cost and speed are still today`s challenge.
- Speed generally becomes an issue from development to the marketing of the product.
- Cost opportunity is very much volume driven, which is derived from an accurate estimate of demand forecast.
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I am fascinated by the changes happening in the pharmaceutical industry and spent the latter part of last week in San Diego at the 6th Biomanufacturing Summit getting some deep exposure to a sector that is growing very quickly. Very briefly and simplistically, traditionally medicines are largely broad spectrum and small molecules, meaning they treat a lot of symptoms/causes and that they are based upon chemical compounds. These drugs have been at the heart of the pharmaceutical industry as we know it.
Biologics have been around for some time, in fact ever since vaccines have been around, dating back to the late 1700s and made famous by Louis Pasteur. But they have not been at the core of the development of the pharmaceutical industry until fairly recently with Amgen’s formation in 1980. Since then many startups, such as Genetech and Genzyme, have entered the market and been gobbled up by the big boys such as Roche and Sanofi respectively. Other indications of the maturing of the industry are the passing of Amgen’s founder, George Rathman, in 2012, and the arrival of biosimilars, the generic version of biologics.
The manufacturing of the modern biologics is fascinating, and is often based upon the culture of cells in Chinese hamster ovaries. As you can imagine the science is amazing and the process is difficult to manage in terms of sterilization and yield. As a consequence a lot of the Biomanufacturing Summit was focused on the interface between Development – the people who focus on the science – and Tech Ops – the people who focus on the manufacturing. Supply Chain – the people who match demand and supply – is something of an afterthought, but growing in importance.
On the tech ops side there was a fascinating talk by Andy Skibo of MedImmune titled “Decision Making for Optimal Capacity Management” which focused on the difficulty of making long term capacity decision given all the uncertainties of drug efficacy and market demand. Despite the uncertainties, the biologics are still out performing small molecule drugs with the market share of biologics jumping to 24% by 2016. Perhaps more interesting, given the huge cost associated with drug development, is that biologics are more likely to be approved, by a lot. Let us look at the data in the bottom right of the diagram below from the perspective of how many drugs need to be at different stages of approval in order to have 1 drug approved.
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We’re ready for a full conference schedule this fall. And, tomorrow we are headed to Princeton, New Jersey for LogiPharma – held at the Westin Princeton, September 17 – 19, 2013.
On Tuesday morning, the day is started off with an executive panel discussion with our very own Trevor Miles, vice president of thought leadership. This hour long session entitled, “Time to Get off Excel and into the Cloud for Supply Network Planning” starts at 9:00am.
The panel brings together supply chain executives to discuss how Life Science companies are adopting process improvements and new technologies targeted at removing business “silos,” improving collaboration, and achieving significant operations performance breakthroughs. The following topics will be covered during this session…
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Today, we want to feature a case study of one of our pharmaceutical customer’s supply chain. We know Life Science companies are faced with fragmented demand chains with varying regulatory requirements as well as an aging product portfolio …leading to reduced margins. Increasingly, these bio-tech/pharmaceutical companies are turning to third party operators at all levels of the supply chain to reduce costs, satisfy local demand, and enhance capacity flexibility. Because of this, Life Sciences companies are adopting process improvements and new technologies targeted at removing business “silos,” improving collaboration, and increasing productivity.
We want to share the success of one global pharmaceutical customer and how they are facing these challenges head on and seeing breakthroughs in operations performance…
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