This case study is referenced on the ASCM website and is a great testimonial for what can be achieved by a team of supply chain professionals utilizing SCOR. To see the full description, go to the link below but here is our summary https://www.ascm.org/corporate-transformation/case-studies/roche-case-study/
The pharmaceutical industry is no stranger to rapid change, particularly with the challenges brought about by the COVID-19 pandemic, increased competition, and the growing demand for personalized therapies. In this demanding environment, Roche, a global leader in the pharmaceutical sector, set an ambitious goal: to deliver twice as many medical advances at half the cost. To achieve this, Roche’s Pharma Technical Development Clinical Supply Chain (PTDS) team embarked on a transformative journey, leveraging the SCOR model to enhance their supply chain performance.
Leading the Transformation
Roche’s PTDS team, responsible for managing one of the industry’s most complex pharmaceutical pipelines, plays a crucial role in ensuring that innovative investigational medicines reach over 100,000 patients annually across nearly every country. Recognizing the need for a more agile, responsive, and cost-effective supply chain, the PTDS team partnered with ASCM to drive a SCOR-based transformation. The aim was to balance key SCOR metrics such as reliability, responsiveness, agility, cost, and sustainability across their operations.
Building a Common Language with SCOR
The transformation began in 2018 with comprehensive SCOR training for all PTDS employees. This foundational step was crucial in ensuring that everyone in the organization spoke the same business language and had a unified end-to-end view of their processes. This alignment was vital for the successful implementation of the SCOR model, enabling better communication and more effective process changes across the team.
Achieving Synergy and Operational Excellence
With a solid understanding of SCOR principles, the PTDS team participated in workshops led by ASCM representatives. These sessions focused on best practices, KPI analysis, process mapping, and defect analysis. As a result, the team identified over 20 key projects that would drive their transformation forward.
The impact of these efforts was significant. Roche achieved a 50% reduction in lead times for make-to-order finished goods kits and improved on-time delivery performance from 70% in 2019 to over 95% in 2020. These efficiency gains were accomplished without sacrificing reliability, as evidenced by the dramatic reduction in stockouts.
Embedding Sustainable Practices and Clear KPIs
Beyond immediate operational improvements, Roche also focused on formalizing processes and establishing clear KPIs to sustain their success. They implemented a monthly clinical demand and operations planning process, introduced a project management structure, and added inventory and waste management processes. These initiatives not only streamlined operations but also led to significant cost savings, such as reducing comparator drug waste by over $16 million.
Ensuring Long-Term Success through Continuous Learning
To maintain the momentum of their SCOR transformation, Roche has committed to ongoing education and training. SCOR and APICS certifications have become integral to the development of both new and seasoned employees, ensuring that the team continues to drive improvements and adapt to the evolving pharmaceutical landscape.
Conclusion
Roche’s SCOR transformation is a testament to the power of strategic planning, effective training, and continuous improvement in achieving operational excellence. By embracing the SCOR model, Roche has not only enhanced its supply chain agility and reliability but also set a new standard for delivering innovative medical treatments to patients worldwide. Their journey underscores the importance of investing in both people and processes to meet the challenges of the modern pharmaceutical industry.
