Your Shipment Has Been Delayed

The tragic effects of Superstorm Sandy will be with many people for a long time.  I’m fortunate that all of my friends on the east coast are ok, although many remain without power. There are so many difficult issues relating to this storm and the cold supply chain is one that may slip under the radar of most people…but not under the radar of supply chain professionals.

Andrea Charles of Pharma-IQ (part of IQPC) recently wrote an article that asked about supply chains being ready for natural disasters.  She raises the impact of tsunamis, hurricanes and earthquakes (not to mention blizzards, power outages, or other issues) on the pharmaceutical cold chain. She also speaks to the need to ensure that important medications are available to those affected by a disaster. I won’t debate here about whether climate change is real or not because, whether it is or isn’t, if you’re shipping high value, temperature-sensitive pharmaceutical or food items and your shipment is delayed due to an unpredictable storm or disaster, you’re at risk.

Now What Do You Do?

Andrea quotes Dave Alberts, Director at Crimson & Co. who says: Unfortunately, there is no way in which to fully prepare for such natural disasters as they are unexpected. However, the frequency at which these occur validate that contingency plans must be put in place wherever possible and organizations must attempt to protect product supply through efficient, planned out strategies and best practices. Research into the affects is a good start and companies participating in this are clearly at the forefront of successful and adaptive supply chains.”

Alberts talks about the need for adaptive supply chains.  I agree.  But what makes a supply chain adaptable is intelligence – knowing the condition of your product on-demand as it travels from the manufacturer to its destination.  If your product is stuck at an airport due to cancelled or delayed flights or if a ship can’t dock or a truck can’t get through, you need to know if its temperature is still in range so that you can rechill or reroute as necessary.  You want to be able to do this autonomously and without searching out and opening individual packages.  With so much unpredictability, you can’t account for every conceivable variable but you can build in the ability to proactively manage your supply chain so you can respond in a timely manner when a disaster strikes and help minimize losses.  Wireless temperature monitors that provide actionable data on-demand can help.

Kevin Payne

Senior Director of Marketing

Cold Chain ≠ Arrested Development

Netflix gave me an idea when they announced they were resurrecting one of my favorite TV shows.  As I had the pleasure of speaking at an Expeditors International seminar last week about temperature monitoring in the health care cold chain, I decided to tie the theme of my presentation to the soon to be continuing perils of the Bluth Family so well chronicled in the show “Arrested Development”.  The foundation for my presentation was that the cold chain of tomorrow is a very different one from today.  There are a number of changes that are dramatically impacting the industry including:

  • The increasing number of off-patent drugs
  • Increase in the volume and value of biologics
  • The shift to using 3PLs
  • Increasing climate instability making summer/winter packaging riskier
  • The disappearance of wide body aircraft on domestic flights limiting use of active refrigerated containers
  • ePedigree, serialization and inference
  • RFID proven safe for biologics

The impact of these changes will require healthcare manufacturers (both for biologics and even medical equipment) to rethink their cold chains. Even when routes are validated and procedures are in place, what can you do to ensure that temperature sensitive products are safe for use when delivered?  To quote a famous American president:

Trust but Verify

Yes.  Trust but verify.  It’s one thing to trust your supply chain but it’s equally critical to verify that the products have been properly handled as they move from manufacturer to the customer.  ISO Class 3 RFID provides this capability.  Because it can be read through containers without opening or unpacking (helping to document authenticity) and provides a complete temperature and way point history, Class 3 RFID tags (like XC3 Technology) make it easier to implement a solution that helps manufacturers and 3PLs to manage – not just monitor – their cold chains.

The health care and pharma cold chain should utilize new technologies to address new cold chain dynamics.  Doing so will prevent “Arrested Development” for the cold chain and, to quote one of the show’s characters, prevent you from “making a huge mistake”.

To view the presentation on SlideShare, please click here.
Kevin Payne

Senior Director of Marketing