Added Visibility Adds to a Bottom Line


bottom line


Client Basics

Client: Global Biopharmaceutical Manufacturer
Destination: Saudi Arabia From the U.S.
Project Scope: Temperature-Controlled Diagnostic Reagent Shipping
Unique Factors: Data Logger Implementation

A global biopharmaceutical manufacturer was experiencing huge losses in 2° to 8°C and 15 to 25°C diagnostic reagents out of its facilities in the U.S. to Riyadh, Saudi Arabia. It had settled on using temperature indicators instead of temperature data loggers.

Temperature indicators are fairly popular for last-mile distribution. They change color or physical appearance after exposure to temperature variations over time. However, they are not supported by regulatory- or standards-based guidance for good cold chain management practices, whereas temperature data loggers are. Upon arrival in Riyadh, the consignee would review the temperature indicators and discard any shipment that showed any deviation or had no indicator.

Approach

Based on audits from regulatory agencies, LifeConEx considers temperature data loggers and the systems used to manage information they collect as critical components of overall cold chain management. For the client, LifeConEx recommended placing temperature data loggers on the shipments for a more detailed view of temperatures experienced during transit. However, the client requested that the sensors be removed prior to tender to consignee. Due to local customs regulations, access to the shipment prior to recovery by the consignee was not possible.

Solution

A process was established to bring temperature-controlled trucks into the customs area in the Saudi airport. The product was then immediately placed into the trucks upon arrival while awaiting customs clearance. This aided in getting shipments into the hands of consignees faster. The client could also be sure the product was in the consignee’s possession and that consignees could no longer say that they didn’t have the product or that it was stored incorrectly. 

Results

Through the contingency process implemented with the broker and consignee, LifeConEx brought added visibility to the manufacturer. LifeConEx even provided updates when the product was stored inside the temperature-controlled trucks in Riyadh. The end result was a drastic reduction in disposed shipments and, therefore, resulted in both time and cost savings for the client.