The pharmaceutical supply chain will undergo changes in the year 2014. New US government regulations, pressures to be more lean and an increase in outsourcing relationships will bring new challenges to the supply chain in the health care and pharmaceutical industry.
PwC’s Health Research Institute Identifies the Top 10 Health Industry Issues for 2014, outsourcing will impact supply chains moving forward.
PwC’s Health Research Institute published content on their website which discusses the pharmaceutical supply chain and how security is changing to start combating counterfeit drugs. A new federal law – the Drug Quality and Security Act – is aimed at eliminating counterfeit medications in the drug supply chain.
Key Trends in the Pharmaceutical Supply Chain
Omer Abdullah, Managing Director, The Smart Cube, Inc identifies four trends that will directly influence pharmaceutical supply chains in 2013-2014: 1. Pharmaceutical companies have been increasingly focusing on aligning research and development capabilities to cater to the escalating demand for drugs globally. 2. With the rapidly volatile economic environment globally, pharmaceutical companies have increasingly started focusing on amplifying their go-to market capabilities as well. 3. Pharmaceutical players have downsized their sales forces and started adopting digital marketing techniques on account of expiration of patents and time constraints involved in drug approvals. 4. Pharmaceutical companies have been increasingly focusing on integrating and aligning key supply chain parameters, such as capacity, inventory levels, and lead times, with market demand.
2014 Trends In Strategic Outsourcing – Changes In Partner Selection
Kate Hammeke, director of marketing intelligence at Nice Insight discuses the 2014 results from Nice Insight’s annual pharmaceutical and biotechnology outsourcing survey. It showed there will be an increase in outsourcing expenditure. Forty-seven percent of survey respondents stated they will spend between $10M and $50M on outsourced projects in 2014.