The global pharmaceutical industry faces a monumental challenge: delivering life-saving medicines and biopharmaceuticals efficiently while ensuring their safety and integrity.
“Pharma logistics is not just about moving products; it’s about saving lives. Every delay, every misstep can have a real human cost,” Mike Gilbert, Global Sales Director Healthcare at GEODIS began. With biopharmaceuticals and other highly sensitive drugs now forming the backbone of modern healthcare, he emphasised the critical role logistics plays in ensuring patients receive the right medicine at the right time.
“The biopharma industry loses approximately $35 billion annually due to failures in temperature-controlled logistics,” he revealed, referencing a 2019 IQVIA report. This staggering figure underscores the necessity for robust systems to manage these supply chains.
From regulatory compliance, such as adherence to Good Distribution Practice (GDP), to the need for real-time visibility, the pharma supply chain requires precise and meticulous management. Gilbert noted that only 50 percent of logistics providers feel adequately prepared for a quality audit, signalling the industry’s urgent need to adapt.
Challenges in the chain
Temperature control remains a cornerstone of pharma logistics. Strict cold-chain logistics, with temperature ranges as narrow as 2°C to 8°C, are critical for maintaining product integrity. “Mishandling at any point can degrade the product, leading to financial losses and, worse, patient risks,” Gilbert explained.
Other pressing challenges include handling delays at customs and warehousing, which can jeopardise time-sensitive shipments. Visibility and transparency across the supply chain are equally critical, as Gilbert pointed out: “Without real-time monitoring, stakeholders are left guessing, which can lead to disastrous outcomes.”
“The pharma supply chain must be resilient, transparent, and sustainable. By embracing technology and fostering collaboration, we can ensure that patients receive the care they need, no matter the challenges,” Gilbert continued.
“Logistics is the invisible hand that ensures medicine reaches those who need it most. It’s our responsibility to make that process flawless,” he summarised.
Optimised solutions
To address these challenges, Gilbert advocated for a combination of infrastructure, technology, and collaboration. Specialised warehouses, cross-dock facilities, and innovative refrigerated units are pivotal in maintaining product stability. “We’ve invested in thermal blankets and advanced container management systems to ensure that even the most sensitive products are protected,” he shared.
Training and expertise are equally essential. “You need personnel who understand the nuances of handling pharmaceutical products. A misstep in training can lead to catastrophic results,” Gilbert emphasised.
Technology is revolutionising the pharma supply chain. IoT-enabled sensors, GPS tracking, and blockchain-based systems are enhancing transparency and ensuring end-to-end product integrity. “Digital transformation is not a buzzword; it’s a necessity for optimising visibility and building trust,” Gilbert stated.
Collaboration also plays a vital role. Partnerships between freight forwarders, handlers, and pharmaceutical companies can streamline operations and reduce risks. Gilbert highlighted GEODIS’s efforts in fostering such collaborations: “Working together, we can create a more resilient supply chain that benefits everyone.”
In an era where sustainability is paramount, the pharma logistics sector is not exempt from adopting green practices. GEODIS has initiated several green logistics programs, focusing on reducing carbon emissions and waste. “Our goal is to deliver not just efficiently but responsibly. Sustainability must be embedded in every step of the supply chain,” Gilbert asserted.
Innovation in packaging and automation is another focus area. Smart packaging solutions that provide real-time temperature monitoring and automated systems powered by AI are driving efficiency while reducing risks. “Automation allows us to predict issues before they occur, ensuring uninterrupted operations,” Gilbert explained.