Table 2

Summary of Dutch PSC characteristics

Vulnerability or riskMWPH
(i) Manufacturing and SC processes
  • a.

    Single sourcing of raw materials (including “molecules”) and/or lack of alternative raw material suppliers

  • b.

    Panic buying or stockpiling by patients or pharmacies

 
  • c.

    Lack of redundancy in production capacity

 
  • d.

    Geographic concentration of suppliers

  
  • e.

    Long lead times

 
  • f.

    Inability of manufacturers to react swiftly to changes in demand and demand forecasts

 
  • g.

    Inability of parallel traders to react quickly to shortages

  
(ii) Competitive environment
  • a.

    Competition for raw materials with other industries, especially the food industry

  
  • b.

    Consolidation of manufacturers and/or lack of alternative suppliers

  • c.

    Lack of facilities, knowledge, and expertise to reshore raw material production

  
(iii) Information transparency
  • a.

    Lack of transparency about inventory levels and import /export volumes among manufacturers and between manufacturers and wholesalers

 
  • b.

    Lack of transparency and control of (conditions at) raw material supplier

  • c.

    Lack of transparency and control of supply and demand volumes due to parallel trade

  • d.

    Lack of good systems to monitor drug availability and automated ordering processes between manufacturer and wholesaler

 
  • e.

    Lack of information transparency between pharmacy and manufacturer/wholesaler about prices, volumes, and source of raw materials

  
(iv) Regulatory environment
  • a.

    Frequently renewed tenders

  • b.

    Complex and expensive procedures regarding the use of “shared pack” boxes and multilingual boxes/leaflets

  • c.

    Frequent price law recalibrations

  • d.

    Complex, un-harmonized, and expensive registration processes among EU member states for new and existing drugs

 
  • e.

    Differences in legal (quality) requirements for the same ingredients by the over-the-counter (OTC) board, European Medicines Agency (EMA) board, and food industry

 
  • f.

    High costs of (complying with) complex legal policies

 
  • g.

    Long external quality and safety testing procedures

  
  • h.

    Requirement to have multiple quality tests of the same production batch for different shipments

  
(v) Product characteristics
  • a.

    Inflexibility in demand due to medical reasons and bureaucracy

 
  • b.

    Contamination and quality risks

  • c.

    Operational complexity of the drug production process

Source(s): Authors’ own work

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