**Global pharmaceutical sector**: Envirotainer COO Niklas Adamsson calls for shifting logistics from a commodity service to a strategic function, emphasising robust partnerships, workforce planning, and data-driven risk assessment to avoid crippling disruptions in future health and geopolitical crises.
Niklas Adamsson, the Chief Operating Officer at Envirotainer, emphasises the critical need for the pharmaceutical industry to strengthen its supply chain resilience by forming robust partnerships beyond its traditional confines. This assertion comes five years after the largest airlift of medicines in history, which was heavily prompted by the COVID-19 vaccine rollout, a monumental endeavour that exposed both the resilience and vulnerabilities of global supply chains.
The pandemic, often described as a Black Swan event—an unforeseen crisis with widespread ramifications—has led to a reevaluation of the industry’s preparedness for future disruptions. Adamsson highlights that while the lessons learned from this crisis are invaluable, the looming question remains: is the pharmaceutical sector better equipped for the next unpredictable event that may arise, be it another health crisis, geopolitical strife, or other unforeseen disruptions?
“The next major crisis will again test how well those lessons have been applied,” Adamsson noted, underscoring that the onus is on manufacturers to ensure effective readiness to mitigate potential fallout, which would ultimately impact patients.
He stresses that readiness extends beyond merely stockpiling supplies or tweaking production schedules. It fundamentally hinges on the strength of partnerships that facilitate the smooth flow of supply chains. Adamsson advocates for a shift in mindset within the industry, urging manufacturers to perceive logistics as a strategic function rather than a mere procurement challenge. Companies that foster long-term relationships with logistics providers, container suppliers, and airlines are likely to enhance their adaptability in times of crisis.
During the COVID-19 vaccine distribution, the urgency highlighted the necessity for temporary, high-volume supply chains, including emergency routes from China to South America. These networks were sometimes built on pre-existing partnerships, but many were initiated under immense pressure without established relationships, leaving some players at a considerable disadvantage. Adamsson asserts, “Logistics cannot be treated as a commodity service,” advocating for direct engagements with logistics professionals to secure the necessary capacity and flexibility when demand peaks.
Capacity limitations emerged as a significant challenge during the vaccine rollout, particularly as passenger aircraft, which usually handle substantial portions of air cargo, were grounded due to pandemic restrictions. This reduction in available freight space posed severe logistical hurdles. Previous demand reductions for other pharmaceuticals unexpectedly alleviated some of these pressures, but there is no assurance that future crises will provide similar relief.
Additionally, bottlenecks in packaging supplies raised concerns. As manufacturers pivoted from single-dose vials to multi-dose formats to circumvent shortages of essential materials, the ability to adapt was critical. Moving forward, the industry must also prepare for potential demands for single-dose formats, warranting immediate attention to the rapid scaling of packaging material production.
Another layer of unpredictability arises from workforce shortages, particularly in skilled roles such as pilots and warehouse personnel. The logistics sector continues to grapple with these challenges, emphasising the necessity for proactive workforce development to ensure readiness in critical moments.
Adamsson also points out that the current geopolitical tensions, trade limitations, and sudden surges in demand can be as disruptive as a pandemic. He advocates for a transition from reactive crisis management to proactive scenario planning. By establishing strategic partnerships and pre-agreed contracts that guarantee access to logistics resources, manufacturers could enhance their responsiveness during emergencies.
Future preparedness also calls for constructing multi-source supply chain networks that do not rely on a singular provider or regional source. The integration of real-time monitoring and risk assessment tools will enable manufacturers to anticipate potential disruptions from factors such as trade lane issues and peak congestion.
The necessity of leveraging data effectively is paramount. Adamsson asserts that trade lane risk assessments, predictive analytics, and artificial intelligence-driven forecasting will distinguish a resilient supply chain from one that falters under pressure. Close collaboration with logistics partners to integrate data-driven decision-making prior to crises is essential.
As the pharmaceutical industry readies itself for potential future crises, Adamsson highlights the importance of collaboration. The next significant upheaval will not only test manufacturing speed but also the strength of the partnerships that facilitate effective product movement. Success will derive from integrating logistics operational planning into long-term strategies, viewing it as essential to resilience rather than an ancillary concern.
In conclusion, all stakeholders must be engaged in the planning of pharmaceutical supply chains to ensure swift action when crises occur. As Adamsson articulates, “When the world needs vaccines, treatments, and life-saving medications, there is no room for hesitation. There is only time to act.”
Source: Noah Wire Services