In the last Miebach Pharma Study from 2016, none of the participants commented on the digital challenges and the profound changes brought about by digitalization. In 2020, the topic of digital disruption is the focus of decision-makers in the pharma supply chain sector. Digitalization has already become very real in pharma supply chains. 540 experts from Europe, the Middle East, the Asia-Pacific region, the USA, Canada and Latin America took part in the survey.

Digital transformation is a management task

Around 60% of participants consider digital transformation to be a top management priority, and 80% expect to realize the benefits of digital initiatives within the next five years. The most important short-term measures cited in the study are collaboration with partners in the supply chain, big data/machine learning, robotics and automation.

The key challenges for the pharma supply chain are not only driven by digital developments - the pressure to reduce costs in the supply chain is growing and is recognized by the study participants as the most important challenge. In addition to the clear focus on cost reduction, however, some of the most important drivers have not changed significantly over the last eight years (Miebach Pharma Studies 2012, 2016, 2020) and have always been in the range of 80 - 95% of responses; these are end-to-end supply chain visibility, improving forecast accuracy and optimizing the supply chain network.

Other topics have decreased significantly in terms of mentions during this period, which is mainly due to the successful implementation of track and trace and protective measures against counterfeit medicines, particularly through the implementation of serialization requirements.

Influence of new technologies

New technologies have a strong influence on the transformation process of supply chains. Pharmaceutical and life science companies want to implement the following technologies in the short term: Real-time process monitoring, Manufacturing Execution Systems (MES), Robotics & Automation, Predictive Maintenance and Big Data. However, many companies still lack the user-friendly tools and full management support to fully exploit the potential of these technologies.

"End-to-end supply chain visibility is seen by everyone as the ultimate goal of a mature and efficient supply chain. Digital transformation will certainly help with this, but before that, all parties involved need to be fully integrated. The ability to track components and products from manufacturer to destination is probably one of the most desired outcomes of digital transformation" - says Martin Eckert, Head of Global Pharma & Life Sciences, Miebach Consulting.

The complete results report of the Miebach Pharma Supply Chain Study 2020 can be requested from Ralf Hoffmann Miebach Consulting (e-mail: [email protected]).