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Digitalization enhancement in the pharmaceutical supply network using a supply chain risk management approach.

ABSTRACT: One major issue in pharmaceutical supply chain management is the supply shortage, and determining the root causes of medicine shortages necessitates an in-depth investigation. The concept of risk management is proposed in this study to identify significant risk factors in the pharmaceutical supply chain. Fuzzy failure mode and effect analysis and data envelopment analysis were used to evaluate the risks of the pharmaceutical supply chain. Based on a case study on the Malaysian pharmaceutical supply chain, it reveals that the pharmacy node is the riskiest link. The unavailability of medicine due to unexpected demand, as well as the scarcity of specialty or substitute drugs, pose the most significant risk factors. These risks could be mitigated by digital technology. We propose an appropriate digital technology platform consisting of big data analytics and blockchain technologies to undertake these challenges of supply shortage. By addressing risk factors through the implementation of a digitalized supply chain, organizations can fortify their supply networks, fostering resilience and efficiency, and thereby playing a pivotal role in advancing the Pharma 4.0 era.

SUBMITTER: Wong WP

PROVIDER: S-EPMC10721629 | biostudies-literature | 2023 Dec

REPOSITORIES: biostudies-literature

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Digitalization enhancement in the pharmaceutical supply network using a supply chain risk management approach.

Wong Wai Peng WP Saw Pui San PS Jomthanachai Suriyan S Wang Leong Seng LS Ong Huey Fang HF Lim Chee Peng CP

Scientific reports 20231215 1

One major issue in pharmaceutical supply chain management is the supply shortage, and determining the root causes of medicine shortages necessitates an in-depth investigation. The concept of risk management is proposed in this study to identify significant risk factors in the pharmaceutical supply chain. Fuzzy failure mode and effect analysis and data envelopment analysis were used to evaluate the risks of the pharmaceutical supply chain. Based on a case study on the Malaysian pharmaceutical sup ...[more]

PMID: 38097696

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Project description:In this paper, we study the topological properties of the global supply chain network in terms of its degree distribution, clustering coefficient, degree-degree correlation, bow-tie structure, and community structure to test the efficient supply chain propositions proposed by E. J.S. Hearnshaw et al. The global supply chain data in the year 2017 are constructed by collecting various company data from the web site of Standard & Poor's Capital IQ platform. The in- and out-degree distributions are characterized by a power law of the form of γin = 2.42 and γout = 2.11. The clustering coefficient decays [Formula: see text] with an exponent βk = 0.46. The nodal degree-degree correlations 〈knn(k)〉 indicates the absence of assortativity. The bow-tie structure of giant weakly connected component (GWCC) reveals that the OUT component is the largest and consists 41.1% of all firms. The giant strong connected component (GSCC) is comprised of 16.4% of all firms. We observe that upstream or downstream firms are located a few steps away from the GSCC. Furthermore, we uncover the community structures of the network and characterize them according to their location and industry classification. We observe that the largest community consists of the consumer discretionary sector based mainly in the United States (US). These firms belong to the OUT component in the bow-tie structure of the global supply chain network. Finally, we confirm the validity of Hearnshaw et al.'s efficient supply chain propositions, namely Proposition S1 (short path length), Proposition S2 (power-law degree distribution), Proposition S3 (high clustering coefficient), Proposition S4 ("fit-gets-richer" growth mechanism), Proposition S5 (truncation of power-law degree distribution), and Proposition S7 (community structure with overlapping boundaries) regarding the global supply chain network. While the original propositions S1 just mentioned a short path length, we found the short path from the GSCC to IN and OUT by analyzing the bow-tie structure. Therefore, the short path length in the bow-tie structure is a conceptual addition to the original propositions of Hearnshaw.

Project description:Purpose In the context of the food industry, this research investigates the impact of green supply chain management (GSCM) on environmental health. This helps the practitioners and policy makers in mitigation of the supply chain (SC) risks and enhance the environmental health level. Design/methodology/approach The study's model was structured using GSC risk factors of green purchasing, environmental cooperation, reverse logistics, eco design, internal environmental management, and investment recovery. A questionnaire-based survey was used to examine the proposed model; 102 data from the senior managers of food firms in Lebanon were collected. Using SPSS and AMOS statistical software, an exploratory factor analysis (EFA), a confirmatory factor analysis (CFA), and multiple regressions have been applied. Findings The outcome of structural equation modeling (SEM) revealed that four of six GSC risk factors were significantly related to environmental health. The study findings can be applied to the external level through many green practices in cooperation with suppliers and customers like the collaboration with them on environmentally friendly design, purchasing, production, packaging and using less energy. This can increase the level of environmental health by decreasing the impact of SCM risks. Regarding the internal level, many procedures and decisions may lead to an environmentally friendly ambience in the firms like the commitment of GSCM practices from the management and the implementation of internal eco-performance evaluation system. This may enhance the environmental health provisions by setting up an action plan to mitigate the GSC risk and address the sustainable health objectives. Originality The paper's distinctiveness comes from the fact that it fills a gap in the literature regarding the few numbers of studies that treat the green supply chain management GSCM as mitigation solution for the risks of SCM. In addition, there were no studies explain the relationship between GSCM and environmental health; this will be the first time the assess the impacts of GSCM practices on environmental health in the food industry.

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Digitalization enhancement in the pharmaceutical supply network using a supply chain risk management approach.

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Digitalization enhancement in the pharmaceutical supply network using a supply chain risk management approach.

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