Crisis Management & Business Continuity Excellence: Supply Chain Operations and Creating a Business Resiliency Framework for Biopharma Manufacturing

STUDY OVERVIEW

Pharmaceutical and Medical Device companies devote significant resources to ensuring that their products continuously meet quality standards and regulations. Many companies are trying to safeguard their supply chain and optimize Business Continuity preparations after observing the implications of several recent disasters. Consequently, key performance metrics around supply chain operations, sole-source suppliers, and future trends in contingency planning can help biopharmaceutical manufacturing leaders prioritize business objectives and responsibilities that will be most beneficial to growth and sustainability.

Best Practices, LLC conducted this study to assess how world-class companies optimize their Business Continuity preparations as well as how these organizations respond when faced with major disasters or operating disruptions. More specifically, the research is designed to help participating companies develop an evidence-based understanding of how other companies plan, prevent, prepare and respond to threats to their supply chains and operations.

The study includes two segments: a pharmaceutical/medical device segment and a total benchmark class segment.

KEY TOPICS

• Securing Your Supply Chain to Safeguard Customers and the Company
• Working with Sole-Source or Strategic Suppliers
• Performance Metrics
• Creating a Business Resiliency Framework: The Next Generation
• Current Trends and Future Directions For Contingency Planning
• Lessons Learned: Key Opportunities To Support Continuous Business Continuity Improvement

• Most effective approaches to help build a diverse supplier group to ensure supply chain resilience
• Percentage of critical supplies, parts and raw materials that are single-sourced
• Risk-mitigation actions taken to limit the risk associated with using a single source provider for critical supplies
• Percentage of suppliers that hold some pre-determined level of inventory
• Number of months of inventory reserves required for various vendors to maintain
• Types of audits and analysis conducted to assess the suppliers' sustainability
• Frequency in which critical suppliers are audited
• Metrics used to track and manage system failures or major risks
• Current level of performance for practice drills and/or actual emergency events
• Changes in contingency planning activities over the past three years
• Anticipated changes in contingency activities over the next three years
• Key lessons learned around excellent preparation for emergency response in operations

• Maintain Large Groups of Suppliers in Key Regions to Avoid Costly Shortages and Bad Press: Nearly all companies seek to maintain at least two suppliers in all critical supply areas. Over half of companies also require suppliers have facilities in different regions to further hedge against disruption risk.

• More Than 50% of Companies Give Themselves Mediocre Scores for Fast Emergency Response: Fire, evacuation, return-to-production and communication response times receive low marks by many.