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Cipla’s journey to driverless forecasting

After it transformed forecasting, pharmaceutical supplier Cipla Medpro South cut inventory levels 25% and stock-outs to less than 1%. But it almost didn’t happen. The initial challenge was gathering up the courage to change.

By ·

In the business of supplying life-saving medicines, nothing matters more than getting the right items to the right places on schedule. When that doesn’t happen, poor forecasting and stock-outs are often the crux of the problem.

But the pharmaceutical supply chain is a little more complicated than managing just those planning variables at Cipla Medpro South Africa, where I am the director of supply chain operations.

We are constantly confronted with product limitations ranging from temperature control requirements to expiration dates. Both create their own supply chain challenges in Africa. And then there are the seemingly endless regulations from international and local agencies. These include standards from the World Health Organization and the South African Medicines Control Council, not to mention many local pharmaceutical and manufacturing standards.

We also have to factor in very long lead times for imported products and demand spikes from government contract tenders. And on the delivery side, we are faced with immense logistical difficulties that range from unpaved roads to armed bandits.

This complete article is available to subscribers only. Log in now for full access or start your PLUS+ subscription for instant access.

By ·

In the business of supplying life-saving medicines, nothing matters more than getting the right items to the right places on schedule. When that doesn’t happen, poor forecasting and stock-outs are often the crux of the problem.

But the pharmaceutical supply chain is a little more complicated than managing just those planning variables at Cipla Medpro South Africa, where I am the director of supply chain operations.

We are constantly confronted with product limitations ranging from temperature control requirements to expiration dates. Both create their own supply chain challenges in Africa. And then there are the seemingly endless regulations from international and local agencies. These include standards from the World Health Organization and the South African Medicines Control Council, not to mention many local pharmaceutical and manufacturing standards.

We also have to factor in very long lead times for imported products and demand spikes from government contract tenders. And on the delivery side, we are faced with immense logistical difficulties that range from unpaved roads to armed bandits.

 


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Article Topics

Forecasting · Pharma · All Topics
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