Cold Chain Distribution

Issues at Indo-Euro Pharma

Group Assignment
CASE SUMMARY
• Indo-Euro Pharma, a multinational pharmaceutical company, was finding it
difficult to manage its cold chain in India. Supply chain problems were
causing product recalls, wastage of entire consignments, longer lead times
and, ultimately, loss in sales and profits, with major problems in the “last
mile” of temperature monitoring at the pharmacist level. Srikumar, supply
chain director of Indo-Euro Pharma, called an immediate meeting to
determine the cause of, and solution to the current situation. The meeting
addressed various gaps in the supply chain of the temperature-sensitive
drugs (TSDs) of Indo-Euro Pharma (IEP). There was an urgent need to adopt
an alternative distribution system specifically tailored for TSDs. The next
consignment of TSDs for the international market, along with polio vaccine
for the domestic market, was ready to be distributed and Srikumar was
under pressure.
INSTRUCTIONS
• There are two cases that we will discuss on online class.
• Syndicate 1 and syndicate 2 will be focused on question number 1
and 2.
• Syndicate 3, 4, and syndicate 5 will be focused on question number 3
and 4.
• All syndicates will submit the PPT file as your report on the Google
Classroom.
• Be ready to present the results on the class.
QUESTIONS
1. Discuss cold chains with ambient temperature supply chains, focusing in
Indonesia condition of manufacturing, storage, transportation until the
end user.
2. Assume that you in the Srikumar position, please discuss the importance
and impact of distance, cost, and packaging factors that will lead you to
choosing the appropriate channels and mode of distribution such as air,
road or sea.
3. Assume that Indo-Euro Pharma will open distribution path in Indonesia.
Suggest a distribution channel and mode of distribution such as air, road
or sea.
4. What additional actions (other than those described in the case) can be
taken to solve the “last mile” distribution problems?