Medical device and pharmaceutical supply chains are traditionally linear, but several trends are making this model ineffective, according to DHL Consulting Americas' Associate Partner Joel Rambaldini and Project Manager Cesar Fernandez Giove.
Here are four trends affecting medical device and pharmaceutical supply chains:
1. A new kind of consumer. Consumers' changing needs and preferences, as well as an aging population, are directly affecting the supply chain. U.S. consumers are actively participating in their care, causing pharmaceutical and medical device companies to adopt more consumer-centric, personalized solutions, including e-commerce, home delivery and fast fulfillment.
2. Structural change in the industry. Increased federal and state scrutiny, continuing industry consolidation and a push toward value-based pricing are leading companies to develop more efficient, affordable supply chain processes.
3. Technological disruption. New technologies offer opportunities to expand services and improve operational efficiency. "Internet of things" capabilities, blockchain technology, data analytics and automation and robots will transform supply chain operations.
4. New model exploration. Pharmaceutical and medical device companies are looking to replace structured, linear supply chains with interconnected, networked pathways to remain competitive.