Reverse logistics in the pharmaceuticals industry: a systemic analysis

2014 ◽  
Vol 25 (2) ◽  
pp. 379-398 ◽  
Author(s):  
Sushmita A. Narayana ◽  
Arun A. Elias ◽  
Rupesh K. Pati

Purpose – The purpose of this paper is to present a systemic analysis of the complex interaction of factors affecting the reverse logistics (RL) processes in a pharmaceutical supply chain (PSC). Design/methodology/approach – This study uses a systems thinking approach. Initial problem structuring involved the analysis of behavior-over-time of main variables and incorporated stakeholder analysis. Further, a participative group model building process was used to develop a systems model. Findings – The model was analysed to identify a set of feedback loops operating in the system responsible for the complexities of the problem. To address this, the stakeholders identified three strategic interventions. The first intervention relates to returns avoidance by alleviating market flooding of medicines, second intervention aims at improving the infrastructure for quality and performance management and the third targets balanced risk sharing between the main stakeholders involved in the supply chain. The findings suggest strong linkage between RL network design and key activities in returns management. The study lays a platform for developing a simulation model. Research limitations/implications – Data collection was confined to stakeholders belonging to a PSC based in the South Indian state of Kerala and excluded the participation of doctors due to practical constraints. The application of systems thinking and modelling was limited to the qualitative phases of the methodology. Practical implications – The study illustrates a participative process capable of revealing the differing viewpoints of multiple stakeholders involved in a PSC. Originality/value – It provides a holistic approach based on the systems thinking and modelling methodology for analysing the complexities related to RL in the Indian pharmaceutical industry.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Arun A. Elias ◽  
Flavia Donadelli ◽  
Ely L. Paiva ◽  
Paulo Philipe Bacic Araujo

PurposeThe overall objective of this study is to holistically analyse the complexities involved in the adoption of sustainable wood supply chain in the Amazon and to develop strategic interventions to improve the system.Design/methodology/approachThis study uses the systems thinking and modelling framework that included problem structuring followed by the development of a systems model. Tumbira and Santa Helena do Inglês, two Amazonian communities, were used as a case. Data were collected by staying inside the Amazon, observing the community members and interacting with them during their activities, including logging inside the forest.FindingsA behaviour over time (BOT) graph developed as a part of problem structuring showed that deforestation of the Amazon is still increasing, despite the creation of protected areas and NGO activities in the region. Developing a sustainable wood supply chain is considered as one of the approaches for sustainable forestry in the Amazon, but its adoption is slow. The systems model captured the underlying structure of this system and explained this counterintuitive behaviour using eleven interacting feedback loops.Research limitations/implicationsThis study is confined to two Amazonian communities and recognises the limitations of generalisations.Practical implicationsThis paper illustrates the development of three strategic interventions to improve the adoption of sustainable wood supply chain in the Amazon.Originality/valueThis study highlights the real issues faced by real communities living in the Amazon for adopting sustainable supply chain management (SSCM) practices. It contributes to the literature on sustainable wood supply chain by systemically analysing the challenges in its adoption, not sufficiently discussed in the literature.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shweta Nanda ◽  
Saket Nanda

Purpose The purpose of this paper is to formulate strategic interventions that can contribute to adoption of blockchain in Asian health market. Design/methodology/approach A methodological framework based on the three qualitative phases of the systems thinking and modelling methodology, namely, problem structuring, causal loop modelling and developing strategic interventions were used. Data was collected using thirty interviews and secondary research. Findings The reference model developed in the study captured the system behavior, showing health market blockchain adoption increasing in other countries but struggling in Asia. The qualitative systems model developed explained this behavior by capturing the underlying system structure using six interconnected feedback loops. Three strategic interventions were formulated to change the system structure to improve its adoption. Research limitations/implications This study acknowledges its limitation that blockchain integration in health supply chain management (SCM) and adaptability to technological trends are just few elements that contributes to challenges in blockchain adoption in Asia Pacific health market . It also acknowledges the limited scale of this study using 30 interviews with a narrow set of stakeholders, limiting its generalisability. Practical implications Although the blockchain technology has medical data security benefits, its integration in health SCM could potentially improve cost of health service delivery to patient. Not only it prevents drug counterfeiting, it enhances patient’s safety by reducing the time it takes to alert the supply chain of a product recall from few days to few seconds. Social implications “Blockchain-as-a-Service” has wide applications in SCM, identity management, payments, smart contracts, governance risk and compliance management, with its market size expected to grow in future. This affordable solution opens up the roads for future empirical research for information systems academicians and information technology practitioners. Originality/value This research provides a holistic analysis of the challenges facing blockchain adoption in the health market for Asia. It offers a methodological approach based on systems thinking and modelling to improve its adoption.


2019 ◽  
Vol 31 (1) ◽  
pp. 124-144 ◽  
Author(s):  
Danielle Strong ◽  
Michael Kay ◽  
Thomas Wakefield ◽  
Issariya Sirichakwal ◽  
Brett Conner ◽  
...  

Purpose Although the adoption of metal additive manufacturing (AM) for production has continuously grown, in-house access to production grade metal AM systems for small and medium enterprises (SMEs) is a major challenge due to costs of acquiring metal AM systems, specifically powder bed fusion AM. On the other hand, AM technology in directed energy deposition (DED) has been evolving in both: processing capabilities and adaptable configuration for integration within existing traditional machines that are available in most SME manufacturing facilities, e.g. computer numerical control (CNC) machining centers. Integrating DED with conventional processes such as machining and grinding into Hybrid AM is well suited for remanufacturing of metal parts. The paper aims to discuss these issues. Design/methodology/approach Classical facility location models are employed to understand the effects of SMEs adopting DED systems to offer remanufacturing services. This study identifies strategically located counties in the USA to advance hybrid AM for reverse logistics using North American Industry Classification System (NAICS) data on geographical data, demand, fixed and transportation costs. A case study is also implemented to explore its implications on remanufacturing of high-value parts on the reverse logistics supply chain using an aerospace part and NAICS data on aircraft maintenance, repair and overhaul facilities. Findings The results identify the candidate counties, their allocations, allocated demand and total costs. Offering AM remanufacturing services to traditional manufacturers decreases costs for SMEs in the supply chain by minimizing expensive new part replacement. The hubs also benefit from hybrid AM to repair their own parts and tools. Originality/value This research provides a unique analysis on reverse logistics through hybrid AM focused on remanufacturing rather than manufacturing. Facility location using real data is used to obtain results and offers insights into integrating AM for often overlooked aspect of remanufacturing. The study shows that SMEs can participate in the evolving AM economy through remanufacturing services using significantly lower investment costs.


2019 ◽  
Vol 26 (4) ◽  
pp. 1027-1047
Author(s):  
Dominic Peltier-Rivest ◽  
Carl Pacini

Purpose This paper aims to analyze drug counterfeiting, explains its risk factors and operating and legal environments reviews recent legal cases and develops a multi-stakeholder prevention strategy that includes forensic accounting methods. Design/methodology/approach This is a theoretical study based on legal case studies and the best forensic accounting strategies. Findings Pharmaceutical drug counterfeiting is a fast-growing fraud that so far has attracted little attention from forensic accountants. A recent estimate projects that criminals collect around $75bn annually in illicit sales from counterfeit drugs (Bairu, 2015). Pharmaceutical counterfeiting also leads to the loss of lives when criminals use lethal chemicals in the manufacturing of fake medicines (Liang, 2006a; Brown, 2005). Because the detection of drug counterfeiting is extremely difficult after fake medicines have been ingested by patients, the strategy developed in this paper is based on early discovery by using reliable tracking technologies and inventory management controls in the supply chain, conducting effective regulatory and legitimate customs inspections, and increasing consumer awareness of basic forensic accounting tools. Research limitations/implications This paper extends previous research by integrating various factors into a single multi-stakeholder prevention framework. Practical implications The paper presents a synthesized, comprehensive view of the drug fraud epidemic and analyzes concrete steps that can be taken to protect the pharmaceutical supply chain to reduce the loss of lives and monetary injuries. Originality/value No previous research has analyzed this issue from a multi-stakeholder point of view and used forensic accounting tools to complement a prevention strategy. The drug counterfeiting prevention strategy developed in this paper addresses the supply side, the regulatory enforcement side and the demand side.


Author(s):  
Thanigavelan Jambulingam ◽  
Ravi Kathuria

Purpose The purpose of this study is to understand the antecedents that influence supply chain coordination in the pharmaceutical supply chain using the transaction cost analysis framework. Design/methodology/approach Data from 156 retail pharmacies on their relationship with the pharmaceutical wholesalers are used to test the hypotheses. Findings The findings of this paper show the importance of antecedents that are based on the transactional cost theory, such as asset specificity and environmental uncertainty. These antecedents impact the supply chain process coordination at different levels – transactional, operational and strategic. Research limitations/implications Future research may investigate additional antecedents using other theoretical lenses. Practical implications Pharmaceutical wholesalers are dependent on pharmaceutical manufacturers for the supply of products and face intense competition that results in lower profit margins. Given that the pharmaceutical industry is strictly regulated, the wholesaler facilitates regulatory compliance of the manufacturers in the distribution process by coordinating with them. But the wholesalers do also face a constant threat from the manufacturers, who could potentially bypass the wholesalers (disintermediation) and go directly to the pharmacies. To counterbalance the dependence, the wholesalers strive to achieve loyalty with the retail pharmacies. Through supply chain coordination, the wholesalers achieve efficiency in procurement for the pharmacies, thus reducing cost and improving their competitive advantage. Social implications Supply chain coordination in the pharmaceutical supply chain improves the safety and security of the pharmaceutical distribution system. Originality/value This paper contributes to the supply chain coordination stream of literature. To the best of the authors’ knowledge, this is the first study to develop the three levels of process coordination in the pharmaceutical supply chain context. This paper shows how process coordination can be achieved between the dyad without vertical integration.


2015 ◽  
Vol 38 (2) ◽  
pp. 166-194 ◽  
Author(s):  
Amulya Gurtu ◽  
Cory Searcy ◽  
M.Y. Jaber

Purpose The purpose of this paper is to analyze the keywords used in peer-reviewed literature on green supply chain management. Design/methodology/approach To determine the keywords that were used in this area, an analysis of 629 papers was conducted. The papers were identified through searches of 13 keywords on green supply chains. Trends in keyword usage were analyzed in detail focusing on examining variables such as the most frequently used journals/keywords, their frequencies, citation frequency and research contribution from different disciplines/countries. Findings A number of different terms have been used for research focused on the environmental impacts of supply chains, including green supply chains, sustainable supply chains, reverse logistics and closed-loop supply chains, among others. The analysis revealed that the intensity of research in this area has more than tripled in the past six years and that the most used keyword was “reverse logistics”. The use of the terms “green supply chains” and “sustainable supply chains” is increasing, and the use of “reverse logistics” is decreasing. Research limitations/implications The analysis is limited to 629 papers from the Scopus database during the period of 2007 and 2012. Originality/value The paper presents the first systematic analysis of keywords used in the literature on green supply chains. Given the broad array of terms used to refer to research in this area, this is a needed contribution. This work will help researchers in choosing keywords with high frequency and targeting journals for publishing their future work. The paper may also provide a basis for further work on developing consolidated definitions of terms focused on green supply chain management.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
David Gurr ◽  
Fiona Longmuir ◽  
Christopher Reed

PurposeThrough discussion of research about the leadership of two schools, this paper explores the complexity of school leadership and how various contextual elements interact with the work of principals in schools that are attempting to create inclusive, rich, worthwhile and unique schools. A systems thinking leadership and context model is developed to frame the exploration of the two cases, which, in turn, helps inform the veracity and development of the model.Design/methodology/approachThe research reported is broadly based on multiple-perspective case studies that have included individual and/or group interviews with school leaders, teachers, students, parents and/or school council members, observation and document analysis. The focus for this paper is on evidence from the cases that elucidate the model.FindingsA leadership and context view of schools helps to understand how school leaders work with, within and influence various contextual factors to develop schools that are both successful and unique. The cases demonstrated how individual leadership factors including career histories, personalities and values coalesced with school and broader community factors in reciprocal ways that resulted in school-specific improvements.Research limitations/implicationsThe research is limited by the nature of bounded, small number, qualitative case research. Nevertheless, the authors suggest that the school leadership and context systems model the authors presented captures much of the complexity of the successful leadership of these schools. The authors further suggest that this model provides a conceptual contribution to the study of successful school leadership that moves beyond more linear leadership views. Implications of this research and the conceptual contributions that the authors advance are that leadership and context should be considered in reciprocal and nuanced ways across a complex variety of contextual levels.Practical implicationsThese cases explore the growth and development of new school communities and capture the dynamic interactions between leadership and context within the complex arrangements of policy, system, history and community. The cases demonstrated how individual leadership factors, including career histories, personalities and values, coalesced with school and broader community factors in reciprocal ways that resulted in school-specific improvements. These findings and the system thinking leadership model help school leaders to consider their own work in developing successful and unique schools.Social implicationsSchool leadership is important for school success, and schools that meet student and community needs are important for society. The authors’ system thinking leadership model helps school leaders improve their practice in creating more interesting and successful schools that meet student and community needs.Originality/valueAt a time when international sharing of information and international testing of schools is pushing towards a uniformity of thinking about what good schools should be, the reality of leading schools is far different. This paper contributes to the knowledge about how school leaders navigate contextual complexities to create successful and unique schools that meet local needs.


2020 ◽  
Vol 58 (7) ◽  
pp. 1449-1474 ◽  
Author(s):  
Hamidreza Panjehfouladgaran ◽  
Stanley Frederick W.T. Lim

PurposeReverse logistics (RL), an inseparable aspect of supply chain management, returns used products to recovery processes with the aim of reducing waste generation. Enterprises, however, seem reluctant to apply RL due to various types of risks which are perceived as posing an economic threat to businesses. This paper draws on a synthesis of supply chain and risk management literature to identify and cluster RL risk factors and to recommend risk mitigation strategies for reducing the negative impact of risks on RL implementation.Design/methodology/approachThe authors identify and cluster risk factors in RL by using risk management theory. Experts in RL and supply chain risk management validated the risk factors via a questionnaire. An unsupervised data mining method, self-organising map, is utilised to cluster RL risk factors into homogeneous categories.FindingsA total of 41 risk factors in the context of RL were identified and clustered into three different groups: strategic, tactical and operational. Risk mitigation strategies are recommended to mitigate the RL risk factors by drawing on supply chain risk management approaches.Originality/valueThis paper studies risks in RL and recommends risk management strategies to control and mitigate risk factors to implement RL successfully.


Author(s):  
Saswati Tripathi ◽  
Krishnamachari Rangarajan ◽  
Bijoy Talukder

Purpose Pharmaceutical industry involves highly specialized business processes where strong research and development focus along with market differentiation and localization are the deciders of success. This has led to evolution of segments and complexities in supply chain. This paper aims to focus on segmental differences in supply chain performance of Indian Pharmaceutical firms. Design/methodology/approach This paper measures supply chain performance of select segmental players of the pharmaceutical industry using financial metrics and supply chain operations reference (SCOR) key performance indicators through a five-year timeline. The best performance results are compared across the segments to identify unique performance features, if any. The sample results are validated through hypothesis testing methodology. Findings This paper has evidenced that the innovators segment is performing better in cash-to-cash cycle time and supply chain working capital productivity, whereas generics segment is doing better in distribution cost efficiency and total cost to serve aspects. Research limitations/implications The paper is based on historical financial data of firms and measures the firm focused supply chain performance. The results may not be generalized in a global context but serve as a motivator for other researchers to take similar studies. The paper may further be analyzed with primary data of the firms to understand the segmental difference in customer focus supply chain performance measures. Practical implications This paper has brought out important segmental supply chain performance features of the Indian pharmaceutical firms and identified segment-specific problems by integrating SCOR KPIs and financial metrics. Originality/value This paper has integrated both SCOR KPIs and financial metrics to provide unique insights on segmental differences in the performance behavior of pharmaceutical supply chain.


2020 ◽  
Vol 10 (2) ◽  
pp. 125-168
Author(s):  
Hella Abidi ◽  
Sander de Leeuw ◽  
Wout Dullaert

PurposeWe examine how design and implementation practices for supply chain performance management that have proven successful in commercial organisations apply to humanitarian organisations (HOs) to guide the process of designing and implementing performance management in humanitarian organisations.Design/methodology/approachWe identify from the literature ten successful practices regarding the design and implementation of supply chain performance management in commercial businesses. We apply these, using action research over a four-year period, at Médecins sans Frontières (MSF) Belgium and draw conclusions from this.FindingsWe find that tools and techniques, such as workshops and technical sheets, are essential in designing and implementing supply chain performance measurement projects at HOs. Furthermore, making a link to an IT project is crucial when implementing performance measurement systems at HOs. Overall, our case study shows that performance management practices used in business can be applied and are relevant for humanitarian supply chains.Originality/valuePrevious research has argued that there are few empirical studies in the domain of performance management at humanitarian organisations. To the best of our knowledge, this paper is the first to provide a longitudinal understanding of the design and implementation of supply chain performance measurement at HOs.


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