Transcript Document
Introduction to the Supply Chain Risk Management Guide RPSGB, London 23rd February 2010 Jill Jenkins - Pharmaceutical Quality Group Today….. • You will: – Hear about the development of the PQG Guide, its content, structure & benefits – Learn from MHRA & key industry speakers who will share their experiences on Risk Management & Supply – Gain a good understanding of why Supply Chain Risk Management is so important & take away key messages • We hope that you will find the PQG Guide a useful resource that you will use & share widely Wave of change…. The combination of: – Emerging low-cost suppliers – Global sourcing beyond traditional boundaries – Variation in standards & control has meant that Supply Chain Management is an increasingly risky business! Areas highlighted…. • Supplier approval & ongoing compliance issues: – Uncommunicated changes – Inconsistent QC or yield rates – Unknown impurities • Continuity of Supply: – Single sourcing – Suppliers ceasing business • Lack of full Supply Chain transparency: – Not knowing original source of materials – Shipper integrity & on time delivery • Distribution & logistics concerns: – Security (counterfeiting/theft), cross-mixing, mislabelling, poor storage, temperature issues, delays, ISO 9001:2008 ….. • Reference (4.1) states: – “where an organisation chooses to outsource any process that affects product conformity to requirements, the organisation shall ensure control over such processes – The type and extent of control to be applied shall be defined within the Quality Management System – Ensuring control over outsourced processes does not absolve the organisation of the responsibility of conformity to all customer, statutory & regulatory requirements.” ICH Q10….. • Defines the “accountable organisation” as being ultimately responsible for ensuring that processes are in place to assure control of outsourced activities and quality of purchased materials • It requires: – Assessment prior to outsourcing / selection – Defined responsibilities & communication processes – Monitoring & review of performance – Confirmation of incoming materials against agreed supply chain Regulatory expectations….. • Expect manufacturers & authorisation holders to ‘‘do the right thing’’: − Know where the Risks are − Know how big the Risks are − Be Proactive, Plan to Control and if possible, Reduce these Risks − Communicate these Risks to stakeholders & groups who can act accordingly, and − Stay in Control The project team…. • • • • • • Richard Smalley David Cock Justin Ahern Sharon Shutler Sharon Hooper Jill Jenkins What we set out to do…….. • Develop a freely available, downloadable Supply Chain Risk Management Guide (SCRM) based on the ICH Q9 quality risk management model • Provide a resource of information to help organisations & their suppliers adopt a common approach to Risk Management across the Supply Chain. Target audience….. • Pharmaceutical & Medical Device organisations • Suppliers / contractors to the above industries Purpose of PQG Guide….. • Encourage all organisations to apply the principles of Risk Management to minimise supply chain risks & assure quality & continuity of supply • Emphasise to the pharmaceutical & medical device industries & their suppliers the need to: • – Apply Risk Management when making sourcing decisions or changes – Involve the relevant people – Communicate proactively Provide information that will help supply organisations understand the regulatory requirements & expectations of the pharma & medical device industries Development….. PLANNED October 2007 UPDATED REVIEWED FEEDBACK Cycle reiterated 3 times DEVELOPED CONSULTED January 2010 The Guide at a glance….. Supply Chain focus….. • Consideration of controls • Impact of complex systems • Supplier lifecycle approach Understand your business! • • Look internally as well as externally Internal may involve different sites / locations Internal Support Services (examples): Quality, EHS, Engineering, Facilities, IT Supplied materials / products Product / service Design & Development Manufacturing & Testing Packaging Warehouse & Distribution End user / customer External Contracted Services E.g. manufacturing, testing, artwork & origination, packaging, warehousing & distribution, calibration etc Supply Chain tiers End customer / patient • Know your supply chain • What activities are critical to the product? • Identify potential hazards & associated risks Supplier A Transport / Distribution Wholesale / retailer / pharmacy Transport / Distribution Pharmaceutical and Medical Device Industry Brokers / Distributors / Transport companies Tier 1 suppliers Tier 2 suppliers Supplier B Tier 3 suppliers Brokers / Distributors / Transport companies Supplier C • Communication • Understanding requirements • Shared agreement Tier 4 suppliers Supplier D See the “big picture”.….. Focus too much on one source of information…… And you might just miss something important! 17 Using the PQG Guide….. • Designed for use by organisations & their suppliers • Quality Risk Management (QRM) is important to: o You o Your customers and o Your suppliers • QRM is a business process that: – Provides a common language for communication – Assists in defining the scope and rationale for decisions within the supply chain Getting started? • Firstly, understand how Risk Management works • Define the overall approach • Focus on areas where it makes obvious sense & there will be a better chance of success • Decide what specific goals you want to achieve • Train /coach people in the relevant tools • Don’t try to run before you can walk Structured approach….. Key messages: • Cover product life-cycle • Should be: – Pro-active – Re-iterative – Communicated – Reviewed ICH Q9 Supply Chain Risk Management • Foundations Improvement Risk Management Monitoring • SCRM Evaluation • Supports continuous improvement: – Proactive not reactive – Ongoing cycle of risk reduction Enables more effective prioritisation & efficient use of resources Reduces risk to business & lower overall cost Improve overall customer satisfaction (regulator / purchasing company) Selection • Final thought! • Our customers include the: • Regulators • Healthcare professionals • Patient • They expect our products to meet regulatory, Safety, Quality & Efficacy requirements! • How secure is your supply chain? Thank you for listening! • We hope that you will find the PQG Guide to SCRM a useful resource that you will use & share widely