The pharma market comprises of companies who are involved in the research, development, manufacture, and distribution of drugs. The drugs offered by these pharmaceutical companies play a pivotal role in improving the health, increasing the lifespan, and preventing complications to reduce hospital stays. Though the pharma market is highly regulated and capital intensive, the industry is witnessing a high demand for innovations that would help eliminate life-threatening diseases and conditions and further revolutionize the treatment patterns in the coming years. The pharma market includes products like biologically-derived products, prescription-based products, and over-the-counter (OTC) products. Although the pharmaceutical industry is witnessing steady growth, recent studies indicate that numerous factors will influence its growth prospects over the next couple of years.
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- Increasing investment: The pharma companies are highly dependent on innovations to meet the relentless demands of the consumers and identify new molecules to replace older drugs. This compels pharmaceutical companies to increase their investments in R&D to bring about innovations in their product offerings.
- Strict government regulations: In certain countries, it becomes a mandate for the manufacturers to meet the compliance regulations before launching the products. The compliance requirements vary according to the countries, and the manufacturers should ensure that these regulations are met before launching the products. Such alterations in the compliance regulations may pose a problem for the manufacturers looking to invest in product innovations.
[spacer height=”20px”]To combat these factors and bridge the demand-supply gap, leading organizations are leveraging demand forecasting solutions. Demand forecasting helps understand the type of products to be purchased and the quantity of the products to be purchased.
The Business Challenge
A leading client in the pharma market wanted to accurately predict and forecast the demand for healthcare products and better match the supply to demand. The client wanted to ensure that the items are produced at the right time and delivered in a seamless and agile manner. With the help of demand forecasting solution, the client wanted to seek ways to devise reliable market forecasts and enhance the customer service levels. The primary concern of the client was to better coordinate the marketing and planning process to reduce variability and error in the supply of the products.
Benefits of Demand Forecasting Solution
The demand forecasting solution offered by Quantzig helped the client ensure better customer engagement by managing the inventory levels. The client was further able to take into account the seasonality, trends, and the cost of production to reduce stock-outs. The demand forecasting solution also assisted the client to fine-tune their customer demand patterns and accordingly meet the production requirements.
Additional Benefits Offered by Quantzig
- Developed a robust inventory replenishment plan to offer reliable customer service
- Drove significant improvements in the supply chain performance