This document discusses supply chain management in the pharmaceutical industry. It covers topics like the supply chain cycle, push vs pull models, key drivers like production, inventory, location and transportation. Other topics discussed include responsiveness vs efficiency, designing distribution networks, inventory management elements, types of inventories and nature of inventories. Inventory costs involving carrying, ordering and shortage costs are also summarized. The document appears to be from a group of industrial engineers providing information on optimizing pharmaceutical supply chains.

1. CIECREATIVE INDUSTRIAL ENGINEERS

2. MarinaAdel Fahim
Nafisa LashinAbbas
Abdelrahman Khaled Mohamed
MohamedAhmed MohamedAfify
Ahmed Mohamed ElSayedAbou Abdo
CIECREATIVE INDUSTRIAL
ENGINEERS

3. The Pharmaceutical
Supply Chain
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4. Cycle view of supply ch
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Patient
Pharmacy
Distributor
Manufacturing
Supplier

5. Push Vs Pull
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Push Model:
Pull Model:

6. Five Supply Chain Drivers
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7. Five Supply Chain Drivers in
Pharmacy
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Production
•manufacturing
•supplier
Inventory
•Row material
•Finish product
Location
•inventories
Transportation
•From
inventories to
pharmacy
Infarmation
•Patient
•Demand

8. Responsiveness Vs Efficiency
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What should you use in pharmacy
Responsiveness OR Efficiency?

9. Designing Distribution
Networks
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Manufacturing ManufacturingManufacturing
Distributor Distributor
Pharmacy
PatientPatient PatientPatient
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Product flow
Information flow

10. INVENTORY MANAGEMENT
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11. Outline
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Elements of InventoryManagement
Inventory and Supply Chain Management
Inventory Control Systems
Economic Order Quantity Models
Reorder Point
Classification of Inventories: ABC, VED

12. CIE
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13. Types ofInventories
 Raw materials
 Purchased parts and supplies
 Finished Goods
 Work-in-process (partially completed products )
 Items being transported
 Tools and equipment
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14. Nature of Inventories
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Raw Materials – Basic inputs
that are converted into
finished product through the
manufacturing process.

15. Finished Goods – Completely
manufactured products
ready for sale. Nature of Inventories
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16. Inventory and Supply
Chain Management
• Bullwhip effect: i) demand information
is distorted as it moves away from the
end-use customer(forecast). ii) higher
safety stock inventories are stored to
compensate.
• Seasonal or cyclical demand: for an
example antiulcer drugs in Ramadan
• Take advantage of price discounts
• WIP inventories: goods in process, or in-
process inventory are a company's
partially finished goods waiting for
completion and eventual sale or the value
of theseitems.
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17. Inventory Costs
• Carrying cost: cost of holding an item in
inventory.
• Ordering cost: cost of replenishing
inventory.
• Shortage cost: temporary or permanent loss of
sales when demand cannot be met.
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18. THANK
YOU
CIEC R E A T I V E
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