Improvement of the Supply Chain in the Pharmaceutical Industry using a Lean approach

Details

Supervisors

Tancrez, Jean-Sébastien

Faculty

Louvain School of Management

Degree label

Master [60] en sciences de gestion

Abstract

Lean is a philosophy which has proven its added value in many sectors. Although this philosophy is based on process simplification and wastes elimination, it is however complex to implement. Poor culture for continuous improvement may be an obstacle for Lean implementation as well as the systemic barriers in some industries. The Pharmaceutical Industry seems to be among these industries where difficulties can be encountered during Lean deployment. While outsourcing which is a practice well-established in the Pharmaceutical Industry would make Lean deployment throughout the Supply Chain harder to perform and maintain, the regulatory framework would create somewhat inflexible environment where a core concept of Lean like Just in Time is difficult to put in place. Nevertheless, there are cases of successfully implemented Lean project in the Pharma sector which demonstrate that Lean philosophy is not incompatible with the Pharmaceutical Industry. Considerations like quick return on investment may prevent the interest for this philosophy. Lean initiative must not be hampered because it does not represent the best short-term solution in terms of cost. Lean is a strategy whose the benefit can be seen only by the organization who begins this endless journey.