Combating Counterfeit Medicines in Pharma

This assignment delves into the critical issue of counterfeit medicines within the pharmaceutical industry. It examines various strategies employed by pharmaceutical companies to mitigate this threat, focusing on brand protection measures and ensuring patient safety. The document highlights the significance of transparency, traceability, and robust supply chain management in combating counterfeiting.

Global Logistics and supply Chain management of Pharmaceutical companies
[Document subtitle]
[DATE]
[Company name]
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Contents
Introduction......................................................................................................................................2
Strategies used for success...............................................................................................................2
Competitive advantage....................................................................................................................4
Strategies followed for competitive advantage................................................................................5
Suitability in unsuccessful companies.............................................................................................8
Sustainability in Roche....................................................................................................................9
Recommendation...........................................................................................................................10
Conclusion.....................................................................................................................................11
References......................................................................................................................................12
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Introduction
The report discusses the strategies followed by pharmaceutical companies to be successful in its
sector. As it is a very critical sector therefore each phase of the supply chain has to be
responsibly undertaken. The example, undertaken is of Roche Company, which is a successful
pharmaceutical company and the various logistic management strategies of the company is
studied. The report discusses the deficiencies that are incurred during the manufacturing and
distribution of the pharmaceutical products and if these deficiencies are avoided, then any
unsuccessful company can take a turn towards being a successful company. The various reasons
of the success of good supply chain management are discussed via the example discussed below:
Successful Pharmaceuticals companies like Roche make effective strategies to reduce counterfeit
medicines in comparison to unsuccessful pharma companies.
Strategies used for success
Few of these strategies are as shown below:
 Logistics
Medicines which have suffered unlawful events are imported as finished products with more
safety and automated lines. The products are transferred through manufacturers who are the
product owners to distributors through safe inventory system. Managers order and make invoices
on behalf of manufacturers and collects payments too. Logistic operators are responsible for
packing, picking and transporting material safe handedly to the warehouse. The whole process if
analyzed for better results and output (Grimald, 2012).
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 Drug Regulatory Measures
Unsuccessful companies’ hampers drug regulatory measures like they don’t hire qualified staff
and machinery, there is poor coordination in systems, weak supply chain and lack of proper
monitoring. However, successful companies, have structured drug regulatory measures. There is
proper implementation of systems and stakeholders are also interviewed in a structured manner.
Successful pharmaceutical companies implement better communication, collect feedbacks from
customers and other complaints and prepare successful supply chain and logistic strategies to
protect drug counterfeit. Few regulatory measures which successful companies’ practice are
fragmenting drug regulatory responsibility for better implementation of tasks. These companies
manage their shortcoming in a better way and their supply chain is always audited at each and
every step to avoid counterfeit medicines. Unsuccessful companies are ineffective due to
corruption, weak communication system, and poor coordination, lack of finance and shortage of
effective human resource personnel.
 On site Quality Surveillance and Inspection Systems
Successful companies focus on efficient and cost effective ways for surveillance and inspection
of large samples of drugs in the company. Pilot Project in Tanzania used a thin layer
chromatography to test in their drug quality. This pilot project helped to improve the testing
capacity and improve the quality of medicines; this technique was cheap and required simple
training. Many batches have been tested with this technique with the aim to improve quality of
the final medicines produced. Hence, successful companies like this follow a inspection system
in order to check their drug quality before it is finally prepared. This includes very less costs, but
provides greater benefits (Fadlallah, et al., 2016).
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Similarly, there are several factors that have to be taken care of while working in a
pharmaceutical sector. It is a very critical business as it involves the life and death of the
patients. There are various factors and concerns that have been listed, which needs to be
addressed if a company seeks to be a successful company in a pharmaceutical supply chain.
There is no proper or insufficient temperature management of storehouse and also the means of
transportation of products of both cold chain and room temperature products. The packaging and
the means of transportation also do not get approved properly and remain in that state for the
whole duration of the delivery time
The training of staff in GDP (Good distribution Practice) is very crucial to maintain the standards
and composition of the ingredients of the product. In the absence of which, various unauthorized
activities take place; while distribution of the product that should be dealt with stringently. Also
in terms of employment, the role and the specific tasks of the staff are not defined and thereby
the work does not take place in compliance with the license conditions
Competitive advantage
The distribution of the pharmaceutical products accounts to be a very essential activity of the
integrated supply chain management of the pharmaceutical products. There are numerous
number of agencies that are involved in the handling, storing and distributing the pharmaceutical
products. The competitive advantage and success will be for those companies which take
ownership of all the phases that are involved in the distribution process and the entire supply
chain. Another important point for having a competitive edge is that it is important that storing of
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the drug products is as per required conditions of the temperature, humidity and the light which
would result in better identity, strength, quality and purity of the pharmaceutical products.
Finally, for the success of the industry as a whole it is very important that the whole sellers
comply with the principles of good distribution practices. The main focus should be on the
quality. The quality system should be adequate. Every activity needs to be controlled even the
drivers should be trained properly as it is analyzed that the drivers those are responsible for the
pharmaceutical products are not trained properly. Therefore, the risk and due diligence should be
properly carried out in every minor activity also of the supply chain (Trapsida & Desta, 2017).
Strategies followed for competitive advantage
Public Awareness: A successful pharmaceutical company will always work to increase public
awareness and educate their target audience unlike an unsuccessful company which is least
bothered about it. Public awareness camp was organized on counterfeit medicines by Mali and
Mauritania to influence students and check the efficiency of their camp. Students could recall
that there is need for reducing the dangers in medicine by seeing posters and they were
convinced that there is better need to have control on drug outlets. Through this study, it was
found that these campaigns will show better results and can make a company more successful
when better channels will be used like that of media channels, distribution of posters in public
places and proper communication of the message to the target audience. Online customers can
also be targeted to increase their knowledge about counterfeit medicines (Muthoni, 2014).
Companies which organize these kinds of surveys and public awareness campaigns, sets a
positive image in front of their customers. This strategy will help to portray itself positively in
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from of its customers and finally help them increase their profits in the long run. Also, this will
bring competitive advantage to a pharmaceutical company to survive in the long run.
Step by step segregation of tasks: Many other effective strategies have been followed in
various countries. Some of them includes, firstly, division of responsibilities which will help to
reduce duplication of work and wastage, the tasks can be implemented judiciously. Secondly,
Implementation of tasks under full coordination and delegating tasks for better accountability.
Thirdly, Allocating right resources to the right function (Fadlallah, et al., 2016). Fourthly,
checking the authenticity of the drug, from where it came and who manufactured it, fifthly, to
check and inspect the documents guidelines and points are being fulfilled. Sixthly, to make sure
that human resource personnel are being available. Seventh, ensuring the financial mechanism is
being checked and lastly maintain balance among all drug regulatory functions.
Rules and regulations: It is important for a successful pharmaceutical company to follow all
rules and laws related to counterfeit medicines. Few companies in Nigeria do not have laws
governing to sale, distribution, import or export to control the illegal system in the society.
Hence, even if a country does not follow such rules, it is important that companies themselves
become liable and provide quality products to the society (Ingelheim, 2017).
Sync between the processes: To ensure success in a pharmaceutical company it is imperative
that the people those are involved in each stage and in each process of the supply chain work in
sync with each other to make sure that supply chain integrity and compliance is addressed. It is
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also analyzed that the failures are due to human errors. A large number of reported defective
medicines are not due to failure of technology, but due to human error (LaTorre-Snyder, 2016).
Counterfeit alertness is very essential to provide quality products, proper measures and adequate
methods should be taken while delivering the products. There is an increase in the growth of
counterfeiting all over the world, in the developed countries, it accounts for 1%, whereas in case
of developing countries it is around 10%. The main reason is that the customers or the patients
take a short cut and order medicines over the internet. There are various cases of selling
counterfeiting medicines over the internet and that is why now certain steps are taken to make
aware the masses convince them to use a real prescription while taking medicines, failing to do
so, can result in very serious consequences like death. It is very essential to establish control,
review genuine and actual risks in multifaceted supply chains. It is also imperative to understand
that what is the starting point and what is the ending point of every individual responsibility.
Good practices ascertain that the quality of the medicines is maintained. The temperatures of the
environment also play a crucial role in this industry, thereby due care has to be taken to ascertain
that under what weather conditions which medicines have to be stored and transported. A major
challenge is that that when the temperatures of the environment rises, then the goods have to be
very carefully transported while maintaining the required temperature. To ensure success in a
pharmaceutical company it is imperative that the people those are involved in each stage and in
each process of the supply chain work in sync with each other to make sure that supply chain
integrity and compliance is addressed. It is also analyzed that the failures are due to human
errors. A large number of reported defective medicines are not due to failure of technology, but
due to human error
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Suitability in unsuccessful companies
Roche is a leading company in the healthcare industry and is successful as it follows all national
and government rules and provides original treatment to the patients. They are involved with the
government to make better laws and rules for reducing counterfeit medicine. Roche’s medicines
are available only through prescription and their staff is well trained to meet all requirements of
the government. Contrary, illegal pharmacies which sell counterfeit medicine bring harm to
customers and society. Hence, Roche recommends purchasing medicine from authorized dealers
only. Roche supports the government policies and provide authorized and reliable medicines.
Latest technologies have been employed for better and faster results. Therefore, the unsuccessful
companies too can work on the same pattern (F. Hoffmann-La Roche Ltd, 2017).
The need of the hour is that in order to be competitive it is important to optimize the
pharmaceutical supply chain and delivering it in accordance to the safety of the patient. All the
stakeholders like the suppliers, manufacturers, distributors and partners who transport and
allocate products to the customers must make sure that the best product quality is delivered by
the distribution network by following the GDP approach. It is very important to keep and
maintain the standards as the products are transported both locally and globally. Now a day in
order to be successful; education, training and constructing awareness is the need of the hour to
maintain and regularly improve quality and supply chain standards. Working exclusive of supply
chain integrity and authenticity will fail to deliver safety to the patient (Dylst & Vulto, 2013).
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Sustainability in Roche
A pharmaceutical company impacts numerous lives around the globe by researching on various
medicines and lifesaving products. Hence, it is essential for them to operate sustainability in the
form of quality and safe products. They also need to simultaneously work on improved and
creative therapies to meet medical emergencies. A pharmaceutical company needs to act
responsibly in their code of conduct and thinking to provide significant value to the customers
(Singal, 2017).
Roche company is committed to sustainability. Roche works on bringing efficiency and
continuous improvement in their systems and tasks of reducing counterfeit medicines. The
resources and raw material are being carefully analyzed and it is also being taken care that
resources are environmentally friendly with minimum wastage. Roche continues to work for
minimum wastage and checking the raw material at each step to avoid counterfeit medicines.
This will provide safe medicines to the people and will bring trust among people in society.
The evaluation of environment and safe medicines is being done by collecting, aggregating the
data from Roche website and their client’s feedback. A key indicator of their performance
includes: use of sustainable energy, maintaining eco-balance, safe health of their clients, training
their employees, audit research and benchmarking performances for better results.
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Recommendation
Always checking the authenticity of the drug, from where it came and who manufactured it.
Then to check and inspect the documents, guidelines and points are being fulfilled.
To make sure that human resource personnel are being available.
Ensuring the financial mechanism are being checked and lastly maintain balance among all drug
regulatory functions.
In order to be competitive it is important to optimize the pharmaceutical supply chain and
delivering it in accordance to the safety of the patient.
It is very important to keep and maintain the standards as the products are transported both
locally and globally.
In order to be successful; education, training and constructing awareness is the need of the hour
to maintain and regularly improve quality and supply chain standards.
The competitive advantage and success will be for those companies which take ownership of all
the phases that are involved in the distribution process and the entire supply chain.
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Conclusion
The reason why some companies become unsuccessful in the pharmaceutical sector are that
these companies do not pay enough heed to drug regulatory measures as these companies do not
hire qualified staff and machinery; there is poor coordination in systems, weak supply chain and
lack of proper monitoring. Whereas, the successful companies, follow structured drug regulatory
measures and also hire trained employees. There is proper implementation of systems.
Successful pharmaceutical companies implement better communication, collect feedbacks from
customers and other complaints and prepare successful supply chain and logistic strategies to
protect drug counterfeit. These companies manage their shortcoming in a better way and their
supply chain is always audited at each and every step to avoid counterfeit medicines.
Unsuccessful companies are also ineffective due to corrupt; there is a weak communication
system, and poor coordination between different phases of the supply chain, lack of finance and
shortage of effective human resource personnel. The competitive advantage and success will be
for those companies which take ownership of all the phases that are involved in the distribution
process and the entire supply chain. Online customers can also be targeted to increase their
knowledge about counterfeit medicines. This strategy will help to portray itself positively in
from of its customers and finally help them increase their profits in the long run. Also, this will
bring competitive advantage to a pharmaceutical company to survive in the long run.
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References
Dylst, P. & Vulto, A., 2013. Generic medicines: solutions for a sustainable drug market?. PMC
journal, 11(5), pp. 437-43.
F. Hoffmann-La Roche Ltd, 2017. Fighting counterfeit products. [Online]
Available at: http://www.roche.com/sustainability/what_we_do/for_patients/fighting-counterfeit-
products.htm
Fadlallah, R., Annan, F. & Azzam, H., 2016. Strategies and Systems-Level Interventions to
Combat or Prevent Drug Counterfeiting: A Systematic Review of Evidence Beyond
Effectiveness. PMC journal, 30(5), p. 263–276.
Fadlallah, R., El-Jardali , F., Annan, F. & Azzam, H., 2016. Strategies and Systems-Level
Interventions to Combat or Prevent Drug Counterfeiting: A Systematic Review of Evidence
Beyond Effectiveness. Pharmaceutical Medicine journal, October, 30(5), p. 263–276.
Grimald, P., 2012. Roche Argentina: Fighting counterfeit medicines using a traceability system
based on GS1 Standards: Healthcare Reference Book, Available at:
https://www.gs1.org.ar/documentos/casos%20de%20exito/Caso_Roche.pdf
Ingelheim, B., 2017. Dangers of counterfeit medicines, Available at: https://www.boehringer-
ingelheim.com/sustainability/anti-counterfeiting/dangers-counterfeit-medicines
LaTorre-Snyder, M., 2016. Keeping Counterfeit Medicines Out of the Supply Chain, Available
at: https://www.pharmpro.com/article/2016/01/keeping-counterfeit-medicines-out-supply-chain
Muthoni, J., 2014. Anti-Counterfeiting Strategies Adopted By Pharmaceutical Manufacturing
Firms In Kenya And Organizational Performance, Available at:
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http://erepository.uonbi.ac.ke/bitstream/handle/11295/76838/Marete_Anti-counterfeiting
%20Strategies%20Adopted%20by%20Pharmaceutical%20Manufacturing%20Firms%20in
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Singal, R., 2017. Understanding the aims of sustainability and transformation plans (STPs) and
what they mean for pharmacy, Available at:
http://www.pharmaceutical-journal.com/learning/learning-article/understanding-the-aims-of-
sustainability-and-transformation-plans-stps-and-what-they-mean-for-pharmacy/
20202233.article
Trapsida, J. & Desta, A., 2017. Preventing and controlling substandard and counterfeit medical
products in the WHO African region, Available at:
https://www.aho.afro.who.int/en/ahm/issue/15/reports/preventing-and-controlling-substandard-
and-counterfeit-medical-products-who
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