Pharmaceutical product serialisation legislation is being developed and approved across the world to ensure patient safety and prevent fraud. Meeting the legislation across the supply chain is a complex and very costly undertaking. Failure to comply with these legislative requirements will mean that pharmaceutical companies will not be able to sell products in the affected markets.
Serialisation legislation requires product packs and, depending on the legislation, shippers to be uniquely identified with serial numbers. Information about the product, its serialisation, its status and in some cases its movement in the supply chain are then exchanged between supply chain participants and/or authorities.
Whilst some pharmaceutical companies understand this legislation and have a clear strategy and programme of capability implementation under way, others do not.
Having successfully dealt with legislative drivers, many companies are now realising the secondary benefits serialisation has brought to their supply chain.
It is highly likely that one or more parts of your organisation are already working on this issue, perhaps in a coordinated way, perhaps not. Initially, we would recommend continuing this work until the appropriate course of action has been decided.
However, companies are faced with several specific issues when managing serialisation related legislation, including:
As a first step we would recommend a small and focussed piece of work which has the following objectives:
From here, a programme of activity can be managed by the governance team to effectively manage the legislative risk.
Cross-functional governance is critical
Given the cross-functional and cross-organisational nature of the impact of serialisation legislation, coupled with the significant product supply risk it presents, many organisations establish a cross-functional governance to ensure that:
Whilst the initial objective of many organisations will be to meet the requirement of the new legislation, there are also opportunities which will result from this. From a commercial perspective, for example, serialisation and product coding can be used to provide additional services to patients by linking information and services to the coding on the pack through such things as cell phones. This provides opportunities to improve patient safety, through the likes of improving adherence, increasing the knowledge about patient and product use and improving supply chain visibility, leading to improved customer service efficiencies.