TGA & Alpha-Pharm Case Analysis
Introduction of TGA and Alpha-Pharm
Therapeutic Goods Administration (TGA) is an Australian based organization that regulates therapeutic goods including gene technology, medicines, blood products and medical devices. TGA works closely with Alpha-Parma, a generic drug manufacturing Australian company that manufactures numerous generic pharmaceutical medicines (Brown, 2018, March 11). It involves the information on shortages of medical tool which helps the patients with allergic problems to be saved and what they should do so as to cope with the medicine shortages.
- Poor supply chain management policies: TGA has the worst supply chain management strategies that make the company unable to meet the market demand effectively (Estenson, 2016, p. 22). As a result, the company is incurring unnecessary costs to outsource EpiPen supply from other supply vendors to their esteemed customers.
- Improper control over stockpiling: The fact that TGA uses poor supply chain management strategies, the company also has lost control over its stockpiling system of the EpiPen (Hugos, 2013, p. 16). Therefore, the procurement department is unable to keep accurate track of stock in and stock outs within the enterprise.
- Monopoly: The company does not allow any other pharmaceutical company to help in selling the injections. The company should allow other companies to help where necessary to avoid shortages. TGA & Alpha-Pharm Case Analysis
- Lack of finding out the shortage problem- the reason as to why Canberra is facing shortage is because of the absence of effective chain supply management.
- Poor chain supply management- this is the management that ensures the products are effectively produced and supplied to the consumers. The supply management of EpiPen is very poor compared to any other (Chopra, 2014, p. 8). The supply chain should be maintained well to assist in optimizing the stream of goods, services, capital and information to the organization.
- Lack of control of over stockpiling- this is to accumulate goods for future use. The company should not store so many stocks for future use to avoid shortages
- Lack of clarity of company goals to the medical staff
- Communication barriers between top management and the juniors
- Unclear communication flow in the distribution network between the suppliers, company, and customers
- Patients’ needs are not integrated to the company’s mission and vision statement
- Stockpiling in not efficiently integrated with the company’s internal procurement system
- Undefined employer-worker relationships that leads to underproduction hence creating shortage problems of the EpiPen injection to patients.
- Stiff competition in the market
- Application of outdated supply chain strategies
- Threat of new entrants in the market
Top 3 challenges and plans to address the challenges
- Lack of coordination: This is a greater challenge as pharmaceuticals do not cooperate well. The company should have many links in supply chain which are well coordinated so as the make the company successful.
- Temperature control: This is also a hefty challenge as the temperatures need to be held constant all through as it’s a journey to ensure usability for patients (DIACONU, 2014, p. 15). As the technology is much available nowadays it should be utilized in a maximum way so as to benefit the company.
- Compliance: The way to adhere to regulations in whole world is absolute must in pharmaceutical supply chain (Myerson, 2015, p. 10). This will enhance the coming regulation effects thus regulating framework in medicine movements.
Brown, A. (2018, March 11). THE AGE. Retrieved March 5th, 2018, from Theage.com Australia : https://www.theage.com.au/national/act/epipen-shortage-hits-canberra-allergy-patients-20180309-h0x996.html
Chopra, S. (2014). Supply Chain Management (Startegy, Planning and Operation). New Delhi: Pearson.
DIACONU, D.-M. (2014). STRENGTHS AND WEAKNESSES OF CURRENT SUPPLY CHAIN MANAGEMENT. MANAGEMENT CHALLENGES FOR SUSTAINABLE DEVELOPMENT , 15.
Estenson, J. G. (2016). Anaphylaxis . Melbourne: RFG publishers.
Grimm, C. (2013). Supply Chain Management Research. Emerald Insight , 20.
Hugos, M. H. (2013). Essentials of Supply Chain Management. Barriely Publishers.
Myerson, P. (2015). Lean Supply Chain and Logistics Management. Burglue: Herlad Publishers.