Challenge
For any life science supply chain leader it can be daunting to transition from clinical to commercial stage. There is so much to do and so little time, so where do we start?
Solution
As the old adage goes ”Throw a good person at a bad process, and the process will always prevail”. Great process creates great results, and lousy process creates – you guessed it – lousy results.
Here is a 7-step methodology to make it happen:
- Train/Hire capable people that will: Question the status quo, Collaborate with other departments, Leverage data to solve problems
- Redesign business processes to streamline who does what and when
- Accurate data is required to support these business processes
- Data-driven problem-solving to build “process muscle”
- Technology to support business processes
- Metrics that leverage technology and data to measure supply chain performance
- Lean out your supply chain to continuously improve process efficiency
Results
At an emerging medical device manufacturer, we gave employees basic six sigma training and formed cross functional teams to define key business processes. For example, the Planning team implemented a kanban system for selected raw materials and finished goods.
This redesigned process highlighted the importance of focusing on people and process first, since the data and technology requirements were much different than the previous process.
Once the new kanban process was stable, we selected a software solution to make it easier to manage, including a business intelligence tool to generate metrics. Finally, the team held kaizen events to reduce waste, with the following improvements: inventory turns: 30%, space utilization: 35%, labor efficiency: 28%.
