The global
pharmaceutical logistics market involves a very complex operational process, which
is essential as pharmaceuticals are an integral part of the health care
industry. A pharmaceutical logistics chain is not like other regular logistics
chains in terms of type of products, complexity, and cost. Availability and
accessibility of pharmaceuticals are of importance for both companies as well
as governments. There is no other product apart from pharmaceuticals that has
as high a risk of contamination, sterilization, or instability of ingredients.
The stability of packages in transportation from factory to consumer is an
important factor in pharmaceutical logistics. This process needs to be
maintained and monitored well.
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Improper distribution of drugs affects customer
satisfaction, company reputation, and company profit. It can also disturb and
produce a negative effect on public health, thereby hampering the medication
processes of patients. There is an increase in inspections and scrutiny from
the FDA, the DEA, and other global regulatory bodies. Pharmaceutical logistics
chains continually face the challenges of streamlining operations in
maintaining the highest levels of regulatory observance.
The temperature in the vehicles used for
transportation is controlled, for cold chain products as well as ambience.
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In pharmaceutical logistics, products are tracked
with GPS, along with remote temperature monitoring in accordance with GDP
guidelines, ensuring safe transportation and delivery of the products. For
narcotics and pharmaceutical products, additional measures to ensure safe
delivery are observed. For different types of pharmaceuticals, different
delivery patterns deployed. There are specific issues in pharmaceutical supply
chains, including stringent reimbursement, regulations, direct sell models,
pricing applied by government agencies, third-party logistics, product
diversity, shipment of R&D products for clinical studies, difficulty in
forecasting a product’s lifecycle, and counterfeit products.
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In 2012, in Lesotho the data used for making
decisions in logistics chain management was very poor due to untimely and low
submission rates, inaccuracy, and a lack of standardized, user-friendly data
collections tools. This caused stock-outs of HIV related commodities and other
medicines. The handling of sensitive active ingredients and dangerous goods is
highly regulated. The rules are related to storage and transport. The
maintenance of a flow of material is controlled within the company, and it is
the responsibility of the company. However, inbound and outbound transport is
often taken care of by service providers. The digitization and improvement of
logistics chains leads to many new avenues in its management and
distribution. GMP confirms the products are of the highest quality before
leaving the company and entering the logistics chain. GDP is concerned with the
maintenance of the products’ integrity and the logistics chain even though the
GDP may vary by region, giving a chance for the process to grow in complexity.
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The global pharmaceutical logistics market can be
segmented based on product, transport, application, mode of transportation, and
region. Based on product, the global pharmaceutical logistics market can be
classified into generic drugs and branded drugs. In terms of transport, the
global pharmaceutical logistics market can be segmented into cold chain
transport and non-cold chain transport. Based on application, the global
pharmaceutical logistics market can be classified into bio pharma, chemical
pharma, and specialized pharma. In terms of mode of transportation, the global
pharmaceutical logistics market can be categorized into air shipping, sea
shipping, road shipping, and rail shipping. Based on region, the global
pharmaceutical logistics market can be segmented into North America, South
America, Europe, Asia Pacific, and Middle East & Africa.
Prominent players operating in the global
pharmaceutical logistics market are Longistics, Kuehne + Nagel, Genco,
Arich Enterprise Co., Ltd, DB Schenker, DSV, DHL, Mainfreight Ltd, Bio
Pharma Logistics Kerry Logistics Network Limited, Zuellig Pharma Asia Pacific
Ltd, , Thermotraffic, DKSH, Bestchain Healthtaiwan, Movianto, and FedEx amongst
others.
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