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DHL | The Pulse | SPRING 2012

The Pulse DHL Life Sciences & Healthcare









From the regions

New Opportunities in Sub-Sahara Africa From the regions New solutions & Services

Sub-Sahara Africa DHL MeDical express New solutions & Services QUALITY & REGULATIONS

 Recalls can happen DHL Supply Chain on board of NEW EALTH Fragile Goods Quality & Regulations

SPRING Issue 2012

Contents

DHL | The Pulse | SPRING 2012

New Opportunities in Sub-Sahara Africa

ContentS Editorial Message from Angelos P. Orfanos

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On the ground SmartSensor: the cold chain visibility solution 

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From the regions New Opportunities in Sub-Sahara Africa Life Sciences conference in South Africa DHL Cold Chain Solution at Johannesburg Airport Co-packing of non-prescription drugs in Sweden The supply chain in 2020 First Life Sciences & Healthcare Dialogue in Malta Strong footprint in Belgium

08 11 13 15 16 17 19

New solutions & Services DHL Medical Express  Recalls can happen! Airfreight plus Pharma

20 21 23

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Network New Life Sciences competency centers DHL’s Narita cargo center in Japan Enhance services in Japan Brand new addition to DHL’s global LSH network DHL Global Forwarding invests 

25 26 27 29 30

Quality & Regulations DHL Supply Chain on board of new EALTH Strong on collaboration and sustainability DHL Quality Forum

31 32 33

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Recalls can happen!

Panorama Fragile Goods

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Invitation Invitation to the 12th DHL Life Sciences & Healthcare Conference and Workshops

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Image sources: Title, p. 8, 15, 23: Photocase; p. 4, 6, 7, 12, 13, 16, 18, 22, 28, 30, 32, 33, 35, 38: DHL; p. 9, 40; Thinkstockphoto p. 11, 39: iStockphoto; p. 27: Fotolia

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Healthcare Manufac­turing license to enhance services in JAPAN

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Editorial

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Angelos P. Orfanos President Life Sciences & Healthcare Customer Solutions & Innovation DHL

Dear Customers and Readers, As we are well into 2012, supply chain and logistics are on the top of the agenda of most Life Sciences & Healthcare enterprises.

Faced with volatile economies, fluctuating market conditions, new product profiles, and changing demographics, the sector is accelerating its focus on driving supply chain transformation. It is looking for increased efficiency, trying to establish channels for growth in new and emerging markets, addressing global compliance requirements, and readily managing M&A integrations. Global networks of Life Sciences & Healthcare grade infrastructure and their high standardized operational excellence, dedicated people, and sector-specific processes are increasingly sought after as partners; and speed to market and supply chain assurance are generating more intense and symbiotic supplier-partner relationships. There is no doubt that this will be a very exciting year for DHL and our customers, as we collaborate to change the supply chain landscape and shape the future of Life Sciences & Healthcare logistics. Well-prepared for a changing industry Our Life Sciences & Healthcare Sector Strategy, initiated years ago, has prepared us for this industry transformation as it triggered a series of strategic sector-specific investments in our broad service portfolio including supply chain W&D, Forwarding and Freight services, Express integrated services, and Global Mail. Over the past ten years, we have invested in our global network and built over 100 GxP dedicated and multi-client warehouse, 32 clinical trials depots, 28 Air Freight Competence Centers and 4 European cross-docks. As a result, our network enables enterprise globalization and market entry, and offers the ability to impact sales. Our infrastructure has allowed our operating companies to develop customized service offerings for the Life Sciences & Healthcare sector in each of our product categories. As part of our Strategy 2015, we instituted a plan for deeper customer engagement, community and expertise building, and a fact-based consultative approach to solution development.

Always close to our customers Our values and culture were created with the collaboration of our customers. The solutions we designed for logistics and supply chain have emerged from direct customer demand and input and have made DHL a leader in the sector. This coming June 12–14, we will host our 12th Annual Global Conference & Workshops in Berlin, Germany. This event is the opportunity for DHL to listen to you, our customer, and continue to shape our service offerings based on your input. With 20 workshop topics and customer case study presentations on the most relevant issues affecting our sector, key industry suppliers and the DHL team, this conference promises to be a unique learning experience for all attendees. I am very pleased to share this spring issue of our PULSE newsletter. It presents our continuous investments and activities in the sector, which you may find of value in managing your supply chain. DHL will continue to build on our infrastructure and offer new capabilities to meet market requirements. On behalf of the DHL Life Sciences & Healthcare team, we look forward to working with you to achieve your supply chain and business objectives, and have a successful 2012! Sincerely,

Angelos P. Orfanos President Life Sciences & Healthcare Customer Solutions & Innovation DHL

DHL | The Pulse | SPRING 2012

On the ground

SmartSensor: the cold chain visibility solution for all global trade lanes Life Sciences & Healthcare companies are faced with increasingly strict regulations that cover every aspect of production and distribution of their goods. However, shippers can now enjoy peace of mind knowing that there are solutions available today which already meet the logistics challenges of tomorrow.

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On the ground

DHL | The Pulse | SPRING 2012

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hipping pharmaceutical goods can present a challenge due to their sensitivity to temperature, humidity, shock, and even light. These challenges multiply when leaving well-established trade lanes behind and venturing into the more uncontrollable environments of many of the emerging markets. But regardless of where DHL customers are active, the world’s leading logistic company understands how to thoroughly analyze the existing infrastructure, evaluate potential risks, and establish effective contingency plans. And with the pharma-dedicated SmartSensor solution for cold chain visibility developed by its innovation department, DHL owns the technology that can be scaled to respond to any trade lane challenge. When stricter regulations change old habits Even well-established trade lanes can present challenges to Life Sciences & Healthcare companies. If it isn’t the infrastructure that poses risks for a reliable cold chain, it’s stricter regulation that requires a company to change old habits and adopt a new approach. This was the case for one of DHL Global Forwarding’s large Life Sciences & Healthcare customers. The increasingly detailed level of temperature data required to release the product to market caused the company to rethink their approach for their products moved by air. Previously, they had sporadically monitored the required temperature range of +2 °C and +8 °C with their own loggers inside the shipments. DHL Global Forwarding’s cold chain specialists expertly coordinated the change from the old loggers to the DHL SMARTSENSOR solution for the pilot trade lane from France to the United States. Shipments were equipped with temperature monitors called SmartSensor RFID, positioned by DHL according to the customer’s exacting specifications.

At pre-identified checkpoints, such as airport departure or arrival, temperature checks were performed by collecting the data recorded on the SmartSensors using hand-held mobile readers. DHL analyzed the information and made it immediately available via an online web portal that forms part of the SmartSensor solution. In near real time, the customer has password-protected access to all shipment information via the Internet. A year-long introductory period allowed the customer to fully familiarize themselves with the new system. An initial short training session enabled customer staff to confidently handle the SmartSensors. And since trust is essential with sensitive life sciences products, DHL monitored the product temperature with both the new SmartSensor RFID devices as well as the customer’s original loggers during the pilot phase – proving the reliability of the DHL solution. Fifteen months after the initial introduction of the SmartSensor, the customer is fully confident in the system, appreciating its ease-of-use and cost-efficiency, as well as the fact that they no longer have to analyze data reports and temperature curves, but can rely on the DHL cold chain experts to deliver this data directly to their Quality team. In fact, the customer is so satisfied with the SmartSensor solution, that they are currently transitioning all of their trade lanes globally to DHL SMARTSENSOR. When technology replaces infrastructure Life Sciences & Healthcare regulations apply regardless of whether the necessary infrastructure is in place. DHL understands these challenges and has invested deeply over the last decade in technology that will enhance our processes and people; to allow our customers to safely and reliably ship their condition-sensitive medicinal products.

End-to-end cold chain management with LifeConEx LifeConEx, a 100% subsidiary of DHL, offers peace of mind as the only industryspecific, end-to-end cold chain management solutions provider for the life science industry worldwide. With oversight of the entire global landscape, LifeConEx designs

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and orchestrates the shipment process endto-end proactively and reactively, assuring the integrity of your product’s desired condition. You will experience shorter cycle times, a reduction in temperature excursions, and far fewer damages than typically

experienced by shippers. LifeConEx it & Live your Life. LifeConEx is supply chain party neutral (airlines, forwarders, truckers, packaging, and technology).

On the ground

DHL | The Pulse | SPRING 2012

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A temperature-controlled truck keeps the fragile goods at +5 °C while they are being prepared for transport.

DHL SMARTSENSOR technology can support where local infrastructure is insufficient. DHL experts thoroughly assess the products to be shipped, analyzing the existing infrastructure and assessing possible risks, for instance: airline frequency and inter-line agreements, warehousing and security, and customs regulations across various life science product types. At all times, we keep the end in mind when dealing with the cold chain as each shipment contains products which will be delivered directly to patients. In the case of a large pharmaceutical company in Brazil, they did not have enough space in the temperature-controlled area of their manufacturing facility to store their highly valuable +2 °C to +8  °C temperature-sensitive products. They needed an immediate and creative low-cost, high-quality solution. After initial analysis, it was determined that the immediate solution required a truck set at +5 °C to wait in front of the warehouse so that the production could be loaded as it was being prepared. DHL cold chain logisticians and their LifeConEx counterparts developed a solution that would provide constant visibility by means of the latest version of the SmartSensor – the SmartSensor GSM, which allows the user to The handheld device that captures SmartSensor temperature data

On the Ground

DHL | The Pulse | SPRING 2012

DHL SmartSensor RFID and GSM Developed by DHL’s Solutions & Innovation team, DHL SMART­ SENSOR technology drives visibility along the pharmaceutical supply chain. Its ease-of-use and cost-effectiveness significantly enhance cold chain logistics. Integrated into logistics solutions, the SmartSensor saves time, effort, and money – allowing DHL’s customers to focus on their core business. The SmartSensor solution is a three-part system consisting of the sensor hardware portfolio, a central database, and the online web portal. The portfolio contains two products: SmartSensor RFID is a passive device based on UHF RFID (ultra-high frequency radio frequency identification) technology. It monitors temperature during transport and can be used as a substitute for currently established temperature loggers. SmartSensor RFID monitors can be read in transit: checkpoints at predefined logistics milestones enhance the level of visibility.

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All data collected by SmartSensor, regardless of which of the two sensor types is used is stored on the high-security DHL database and made available to authorized individuals through the password-protected web portal. It is thus readily accessible 24/7 around the globe for analysis and download by any computer with internet access. Since all components are designed to be plug-and-play solutions, the DHL SMARTSENSOR RFID and GSM solutions do not affect any existing IT infrastructure currently in use. It goes without saying that both products comply with the relevant quality standards of the Life Sciences & Healthcare industry such as US CFR 21 Part 11, EU GDP, and EU GMP. Developed to meet the challenges of the cold chain, the SmartSensor technology enhances shipment visibility and greatly simplifies data management.

SmartSensor GSM is based on mobile phone technology. It sends collected data to the database at pre-defined intervals, providing near real-time visibility. In addition to temperature, it monitors humidity, shock, and changes in light condition, and allows shipments to be geo-located. The latter two features combined significantly enhance the level of shipment security. A unique product, SmartSensor GSM has been devised to comply with even stricter regulations than those in place today.

DHL SMARTSENSOR GSM and DHL SMARTSENSOR RFID

monitor temperature, hu­midity, light, shock, and physical location in near real time utilizing GSM mobile phone networks and technology.

In the case of an intervention, LifeConEx Service Center was on-hand to notify DHL staff as soon as the devices provided an alert. This ensured that if temperatures would deviate from the indi“ DHL SMARTSENSOR is the highly flexible answer cated +2 °C to +8 °C range, to all demands of the Life Sciences & Healthcare necessary steps could be taken industry for reliable temperature control. to immediately right the situaIt covers all trade lanes and, with its humidity, light tion in real time.

The DHL LifeConEx team also developed regulatory and process compliant standard operating procedures including a highly controlled packaging process and contingency plans during this mobile and shock monitoring features, is ready for more To the great satisfaction of warehousing and loading operaexacting regulations of tomorrow.” the customer, the tem­ pera­ tion. The LifeConEx Life Science ture-controlled truck – which Service Center was engaged to Angelos P. Orfanos President Life Sciences & Healthcare, Customer Solutions & Innovation, DHL had been temporarily utilized actively monitor the product as a temperature-controlled around the clock, measuring and reporting upon the temperature on an hourly basis and checking the warehouse – eventually delivered the shipment to the airport safely, truck’s power supply as well as its back-up fuel supply. Security checks where pallets were unloaded into Envirotainers® to maintain the included monitoring the opening and closing of the doors of the truck, +5 °C temperature demanded during transit to the product’s final deswhich were indicated by the light sensing functionality of the Smart- tination in France. LifeConEx managed this shipment from end to end and provided DHL Global Forwarding Cold Chain Network with Sensor GSM. process management capabilities independent of INCO Terms – leveraging the strengths of the DHL Solutions & Innovation Smart Sensor technology.

DHL | The Pulse | SPRING 2012

From the regions

New Opportunities in Sub-Sahara Africa: The next frontier of growth for life sciences & healthcare African economies are expected to grow more strongly than Asian economies in the first half of this decade. They are estimated to reach US$ 2.6 trillion by 2020. This and the market’s low competitiveness and level of penetration offer international businesses huge opportunities in a range of industries. By Antony Bennan

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From the regions

DHL | The Pulse | SPRING 2012

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ith significant natural resources of metals, minerals and oil, many countries have started to exploit this natural wealth with international support. This has improved the quality of life, education and healthcare of their peoples. However, Africa still faces many challenges in terms of political instability, security, and poor infrastructure. Its diverse cultures with their strong ethnicities and complex history often make change difficult. Trade between African countries accounts for only 10% of the overall trade in the region. As a consequence, there is still much room for resources sharing and growth, which is now been explored seriously by various regional trade groups such as SADC (South African Development Community), EAC (East African Community), WAEMU (West African Economic and Monetary Union) and CEMAC (Economic and Monetary Community of Central African States), who discuss common monetary, customs, and other regulatory systems to facilitate trade and drive growth.

Healthcare in sub-Saharan Africa (SSA) Sub-Saharan Africa has 12% of the world population but carries 24% of the global disease burden. The life expectancy in SSA is 52 years compared to the global average of 72 years. According to World Health Organization (WHO) reports, out of the 89 million cases of infectious diseases reported in the world, 80% occurred in Africa. As far as HIV/AIDS, the biggest burden for SSA countries with approximately 22.5 million affected people, is concerned, there have been signs of improvement during the last two decades mainly due to support from global AID agencies. Apart from HIV/AIDS, malaria, tuberculosis and cholera are among the diseases that have a major impact on the lives of millions of poor Africans. Healthcare systems in many SSA countries are weak. As a result, private healthcare spending is very high and pushes many African families below the poverty line. Sub-Saharan Africa has the lowest road density in the world with only 49 km per sq km compared with North Africa’s 482 km per sq km. The poor infrastructure with regard to roads in many sub-Saharan countries limits the reach of healthcare services and prevents help getting where it is needed when it is needed.

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The pharmaceutical and medical devices market within the Life Sciences & Healthcare sector in sub-Saharan Africa is estimated to be € 12bn in 2005 and expected to grow to € 25bn in 2015. Life sciences & healthcare expenses in sub-Saharan Africa With very limited quality manufacturing infrastructure and capabilities in many countries (with the exception of South Africa), SSA imports 70% of medicines and healthcare products. Challenges for manufacturing pharmaceuticals in SSA are many, starting with poor regulatory controls and infrastructure or lack of trained manpower to high costs, scale of manufacturing, or availability of raw materials. Due to the low purchasing power of people in many sub-Saharan countries, generics play an important role and hence have a major market share. However, due to poor regulatory controls counterfeits and wrong medication practices coupled with poor education are impacting the health of the population in many countries.

From the regions

DHL | The Pulse | SPRING 2012

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DHL presence in Sub-Saharan Africa

Tunisia Morocco Algeria

Libya

Egypt

Mauritania Niger

Mali

Eritrea

Sudan

Senegal

Chad

Burkina Faso Guinea Côte d’Ivoire

Sierra Leone Liberia

Nigeria

Ethiopia

Central African Republic

Ghana

Somalia

Cameroon Gabon

Uganda

Congo

Kenya

Zaire The healthcare sector in SSA has been changing in the recent past. Governments have started spending more on healthcare investing in hospitals, strengthening regulation and providing more resources for regulators. Increasing spending power and need for quality healthcare in many countries has incited the private sector to set up hospital infrastructure. Healthcare insurance is gaining ground in many sub-Saharan countries reducing the out of pocket expenses for patients. DHL in Africa With its three business units DHL Express, DHL Global Forwarding and DHL Supply Chain, and more than 13,000 employees, DHL is a major presence and well-positioned in sub-Saharan Africa. DHL Express has a strong air network covering 45 of the 47 sub-Saharan countries. DHL Global Forwarding has offices in all sub-Saharan countries, and DHL Supply Chain over 450,000 sq m of warehouse space in key countries. With solutions specific to the Life Sciences & Healthcare industry DHL supports the growth aspiration of our customers. DHL is developing comprehensive strategy to grow further in this market and be a dominant player to support our global and local customers in their healthcare supply chain.

Tanzania

Malawi

Angola Zambia

Zimbabwe Namibia

Mozambique Madagascar

Botswana

South Africa

DHL GLOBAL FORWARDING DHL SUPPLY CHAIN DHL EXPRESS

Contact: For more details please contact Darryl Zietsman, Regional Customer Manager, Life Sciences & Healthcare MENAT/SSA, [email protected]

DHL | The Pulse | SPRING 2012

From the regions

The talking point of the industry: the 2nd Life Sciences Conference in South Africa On November 9, 2011, DHL Customer Solutions & Innovation in collaboration with all DHL Business Units hosted the second annual Life Sciences Conference in Sandringham Johannesburg, South Africa.

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From the regions

DHL | The Pulse | SPRING 2012

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ell-supported and attended by directors and CEOs of DHL Express Michael Druce, DHL Global Forwarding Lubabalo Mtya, and DHL Supply Chain Hendrik Venter, the conference has become the talking point of the industry with a high number of attendees; the high interest was evident with double the amount of attendees from the prior year with 82 customers and enterprises represented.

The aim of the conference is to identify the needs of the sector in the region and to further develop Life Sciences & Healthcare solutions to meet those needs. One major element in identifying solutions is to listen to customers and hear what their pain points and wishes are. Ultimately, the conference is a platform for sharing knowledge on existing Life Sciences & Healthcare solution in South Africa and beyond. Insightful presentations The morning sessions saw several guest speakers with Andreas Sahli, Vice President Customer Solutions & Innovation Life Sciences & Healthcare EMEA, starting off with an overview of global DHL developments in the Life Sciences & Healthcare sector. Simon Hendrie, guest Speaker for Discovery Health, the largest medical insurance company in

Darryl Zietsman, Regional Customer Manager Life Sciences & Healthcare MENAT/SSA, and guest speaker Simon Hendrie of Discovery Health

South Africa, gave a very insightful report on government plans to implement a national health insurance program and pointed out opportunities for the industry. Mike Meakin, Vice President Global Quality Regulatory & Compliance of DHL Supply Chain, has become a firm favorite amongst customers with his direct and frank analysis of good distribution practice across the supply chain. Antony Bennan, Vice President DHL Life Sciences & Healthcare Sector Business Development, and Darryl Zietsman, Regional Customer Manager Life Sciences & Healthcare MENAT/SSA, provided valuable insights into trading in Africa within the sector and corresponding challenges. They also briefed attendees on some of DHL’s local GoGreen initiatives such as the Lesotho project by DHL Express. Three thought-provoking workshops and an attractive exposition During the afternoon, each Business Unit hosted its own workshop with DHL Supply Chain focusing on medical device and diagnostics handling, DHL Global Forwarding concentrating on unique temperature control solutions, and DHL Express looking at quality assurance. Customers were allowed sufficient time to attend each workshop.

Andreas Sahli, VP, Life Sciences & Healthcare EMEA, DHL Customer Solutions & Innovation

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A small, but highly attractive exposition complemented the workshops this year. Supported by Tower Cold Chain Solutions, it presented SCA Cool Logistics and DHL Solutions & Innovation wares. In addition, each Business Unit was present with its own display providing sector-related wares and insights. Excellent customer feedback and strengthened customer relations The conference was a truly cross-BU collaborative effort where employees from all Business Units and Customer Solutions & Innovation joined in organizing what has already become the benchmark for the Life Sciences & Healthcare industry in South Africa. Feedback from customers has been excellent, and solutions are already being developed and implemented.

DHL | The Pulse | SPRING 2012

From the regions

DHL Cold Chain solution at Johannesburg airport The DHL world with their competency centers renders an excellent service to our customers in the life science industry. DHL South Africa, being out-of-the-box thinkers, grabbed at the opportunity to enter into an agreement with Sky Services, a company ran on the airside of ORT International Airport, offering our customers a secure, door-to-door, temperature-controlled solution.

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From the regions

DHL | The Pulse | SPRING 2012

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he agreement allowed DHL South Africa to develop, secure and adequately service a shipper base for temperature-controlled cargo to be imported to or exported from Southern Africa. The DHL Cold Storage Solution, or DHLc, is operated from specialized perishable cargo facilities able to service the wide range of temperature/ perishable commodities 24 hours a day, seven days a week, and 365 days a year. Well-trained and highly experienced staff attends to all the needs of the market and our shippers and consignees, in particular. They are on the best terms with all authorities involved in the logistic chain including Customs & Excise, phytosanitary, veterinary, and agricultural governmental services.

Securing temperature-sensitive cargo for top customer One of DHL’s top 100 customers, who had attended the DHL LSH conferences in Shanghai and South Africa, approached DHL South Africa with the need to keep their cargo securely at temperatures between +2 °C and +8  °C during transport. Their most pronounced need, however, was for reliably handling ambient cargo. Looking at customer requirements, DHL South Africa found that, when customer cargo arrived at OR Tambo International Airport, it was often left standing outside in the sun until being moved to

the respective airline warehouses. This could cause temperatures to rise to +40 °C, which obviously is not a feasible solution for ambient cargo. Due to the airport agreement, DHL South Africa was in a position to offer the customer a reliable solution. They will move all of the customer’s cargo, temperature-controlled and ambient, collecting it the moment the plane lands, and moving it straight to the DHLc facility. As a result, cargo keeps its required temperature, be it cool or ambient. Port Health Inspections are also conducted at the facility, and once a release is received from customs, the cargo moves to the required distribution centers in dedicated vehicles on specified routes, with armed escorts.  A unique solution in South Africa This solution is unique in South Africa, as all other freight agents need to wait for the airlines to book the cargo into their warehouses, after which it can be drawn and moved to their own de-group facilities. If Port Health Inspections are to be done, this cargo needs to be moved back to the airport, into fridge facilities, where the inspections will be conducted. Delivery can only take place after this.

JNB The DHLc Cold Storage Solution at OR Tambo International Airport · Quality inspections · Perishable Products Export Control Board inspection · Department of Agri­culture phytosanitary inspections · Sate Veterinary Services · Cold storage · Freezer storage

· Forced cooling and vacuum cooling · Re-icing/wet and dry ice · Palletizing and containerizing · Shrink wrapping · Fumigation · Strapping · Insulation blankets · Temperature recorders

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DHL | The Pulse | SPRING 2012

From the regions

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Co-packing in Sweden – and beyond Quickacy, a Swedish pharmaceutical company whose trademark in Sweden is Snabboteket AB, has signed a three-year logistics agreement with DHL Supply Chain.

The agreement includes the co-packing and distribution of retail products usually found in pharmacies. These products are not classified as pharmaceutical drugs. Quickacy repack and sell them in small packages via new sales channels such as ferries, trains and bus stations. “DHL is a global company and this is an obvious advantage to us since we are planning to establish our business in Europe,” said Johan Bergenholtz, CEO at Quickacy. “Furthermore, DHL has a strong brand and organization which we are happy to be associated with.”

 The warehousing of Quickacy’s products is managed by DHL Supply Chain’s facility in Örebro, Sweden, which is designed for processing sensitive products. In co-packing it is very important that everything

is packed in exactly the right way, and there are high hygiene standards. The batch order also needs to be correct, since all packages must be traceable out to the stores. In Örebro, DHL uses a dedicated team for this type of packing. In total, DHL packs around five different products. “We are looking forward to cooperating with Quickacy,” said Eva Carlsson, Business Development Manager at DHL Supply Chain. “With our long experience in co-packing, this agreement fits perfectly with our capabilities.”

 The deregulation of the pharmaceuticals market in Sweden has provided opportunities for new logistics solutions, opening up the market for more players with new ideas.

From the regions

DHL | The Pulse | SPRING 2012

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The supply chain in 2020: How far is reality from fantasy? More than 115 industry experts and professionals discussed the future of the Life Sciences & Healthcare supply chain at the 4th DHL Life Sciences & Healthcare Seminar at La Hulpe, Brussels on March 1st, 2012. On behalf of all Belgian DHL units, Jean Claude Delen, CEO DHL Global Forwarding Belgium, welcomed the participants and, setting the stage for the seminar, stressed the importance of providing them with fresh insights into Life Sciences & Healthcare trends as well as opportunities for discussion and networking. Consequently, the scope of the seminar was as broad as possible and included three key areas for which the seminar was intended to answer the question of how far reality was from fantasy. Wim De Vilder, anchorman of Belgian TV channel VRT, chaired the seminar. Good Distribution Practice and its impact on business The seminar’s first session centered on the new EU Guidelines for Good Distribution Practice (GDP). Roy Vancauwenberghe, Senior Inspector of the Federal Agency for Medicines and Health Products (FAGG/ AFMPS), talked about the impact of the new rules on the Life Sciences & Healthcare industry in general, while Mike Meakin, Vice President, Global Quality, Compliance & Regulatory, DHL Life Sciences & Healthcare, looked at the key changes to be expected after the end of European Commission’s public consultation and at the likely consequences for the business of Life Sciences & Healthcare companies. With the first speaker focusing on theoretical aspects and the second on practical issues, the session provided an excellent overview of the current GDP situation.

Lively discussions on the future of the supply chain

Key industry challenges posed by eHealth The digitalization of the healthcare industry is shaping a two-way street model where consumers and suppliers will interact with each other. An ever-increasing information flow can be the basis of better supply chain management and better results for patients. In the day’s second session, a panel discussion, representatives of pharmacists, hospitals and mutual insurance companies gave an in-depth look into how eHealth will develop in their respective areas and the impact it will have on supply chain activities. Focusing on the current status of eHealth, Jacques de Toeuf, Director General for Medicine of the CHIREC Hospital Group Belgium and President of the Belgian eHealth Platform, provided examples of projects such as ePrescription currently being rolled out at CHIREC. Dirk Broeckx, President IFB, Institute for Pharmaceutical Business Administration, looked at the changes in the supply chain caused by future developments in eHealth, while Jan Van Emelen, Director Innovation for Mutual Society MLOZ and Chairman of the Association Internationale de la Mutualité (AIM), contributed the insurer’s perspective and described concrete examples for services to be launched on the Belgian market with regard to eHealth.

Supply chain trends in healthcare As Europeans demand higher standards for healthcare and as technology helps to discover new paths in manufacturing and distributing medicines and services, stakeholders need to adjust to the new landscape and shape its future. New therapies may require totally different manufacturing and distribution techniques. So what will the Life Sciences & Healthcare industry and its supply chain look like in 2020? On the basis of a study conducted by PricewaterhouseCoopers, Ingrid Maes, Director Pharmaceuticals & Life Sciences at PricewaterhouseCoopers, gave illuminating insights on the issues that will influence the industry over the next twelve years. Trend analyst and bestselling author Herman Konings shared his very surprising and refreshing vision of a world of change and society’s reaction to these changes. The seminar ended with a networking drink and walking dinner. Highly positive feedback The seminar stimulated an enthusiastic re­ac­ tion from attendants. 80% wanted to see such an initiative repeated on an annual basis. Everyone present at the seminar recognized DHL’s thought leadership in the Life Sciences & Healthcare sector.

More than 115 invited guests gave their undivided attention to the expert speakers at the 4th DHL Life Sciences & Healthcare Seminar.

From the regions

DHL | The Pulse | SPRING 2012

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First Life Sciences & Healthcare Dialogue in Malta DHL Global Forwarding (DGF) and B.A.S., Ltd., DGF’s exclusive representative in Malta, invited the Maltese life science community to a day of dialogue on March 6th, 2012. The first of its kind to be held in Malta, this forum presented an opportunity for participants to discuss the logistics challenges of moving life science products in an increasingly regulated environment.

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elegates from seven leading generics and API manufacturers participated in lively discussions on topics including temperature control and monitoring; visibility; Green initiatives and carbon footprint; regulatory changes; and challenges in both India, a prime supplier of raw materials and finished product, and Malta. The event also allowed the DHL team to present its innovative Life Sciences & Healthcare strategy, including plans to significantly expand service capabilities in this sector to better serve Maltese manufacturers. Nigel Wing, Global Head of Life Sciences for DGF, together with Ray Buttigieg, General Manager of B.A.S., Ltd., co-host of the event, confirmed that, “Malta is a growing market for DHL, and we are committed to invest in services, people, and processes, enhancing logistic solutions for the life science industry on the island.” Taking up the challenges of new regulation The changing regulatory environment, in particular the European Union’s 2011/62/EU GDP Guideline proposal, as well as recent local activity by the U.S. FDA, generated particularly animated discussion. Laura Ackermann, Global Head of Life Sciences Operations – Air Freight for DGF, reviewed key points from DHL’s comments submitted to the EU. As currently interpreted, the definition of distribution activities as well as wholesaler functions will likely remove many logistics players from the life sciences market due to the high cost of implementing the measures. Laura confirmed that, “DHL has provided suggestions to the EU and will continue working closely with the authorities to achieve a favorable clarification of the Guideline in order to meet manufacturers’ and the logistics industry’s obligations while ensuring product and patient safety.” Visibility and temperature control will be key factors in meeting future logistics challenges in an increasingly regulated environment. Increased visibility, temperature-controlled packaging, and 4PL

(fourth-party logistics provider)/control tower solutions were discussed. DHL’s innovative SmartSensor RFID and GSM monitoring devices, piloted by a leading Maltese manufacturer, have proven a valuable tool providing visibility to product condition. The audience found the SmartSensor devices to be a significant value-add in receiving in-transit temperature data in near real time. Logistics solutions for Malta Christoph Doerr, Operations & Network Director Airfreight PLUS Europe, DGF, continued the discussion, focusing on logistics solutions for Malta. These include a temperature-controlled LCL (less than container load) product from India, as well as an “AirRoad” concept, being piloted in Malta, which combines DHL’s own air network with DHL Freight’s European-wide COLDCHAIN trucking services. Christoph recognizes that, “The importance of the European market to Maltese producers requires multiple and innovative transportation options to fulfill their needs.” He was pleased to introduce the new AirRoad service, which together with the established Airfreight PLUS for life sciences solution, “gives life sciences manufacturers in Malta increased flexibility in getting product to market.” “The insights into customer requirements and pain points will enable DGF and B.A.S. to provide solutions and customized services, important differentiators and added-value generators,” stated Ray Borg, Sales & Commercial Manager, B.A.S., Ltd.: “Close cooperation and dialogue with our customers allows us to stay on top of the latest trends in this key industry sector.” Ray Buttigieg, in closing the forum, was pleased to confirm that, “The first ever event of this type to be held on local soil for the local industry has achieved its objective of bringing the life sciences manufacturers and B.A.S./DGF together in better understanding how we can jointly meet our logistics challenges and support each other in achieving our mutual goals.” In quoting customer feedback from the networking sessions, Ray confirmed that, “The event was deemed a beneficial learning experience and should definitely be repeated.”

From the regions

DHL | The Pulse | SPRING 2012

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The participants of the 1st Life Sciences & Healthcare Dialogue in Malta

At the crossroads of the Mediterranean, then and now The island nation of Malta boasts a history dating back thousands of years. Believed to have been first settled from Sicily approximately 5200 BCE, Malta’s Neolithic inhabi­ tants were building megalithic temples by the year 3400 BCE. At various times in the following millennia, the island came under the influence of nearly every major civili­zation in the region: Greek, Carthaginian, Punic, Roman, Byzantine, Arab, as well as many of the major European powers including those from what are now Spain, Italy, and Germany, to name just a few. Medieval Maltese history is dominated by the Knights of St. John (also known as the Knights Hospitaller). Originally associated with the Amalfitan hospital in Jerusalem, the organization became a religious and military order under its own charter, operating throughout the eastern Mediterranean. Upon being driven out of Rhodes by Suleiman II in 1522, the Knights of St. John relocated to Malta in 1530 and ruled the country for the next 268 years. Perhaps the most well-known historical event in Malta is the so-called Great Siege of 1565, during which the Knights were able to hold the island with only 9,000 men fighting an invading Ottoman army of 40,000.

The reign of the Knights of St. John ended in 1798, when Napoleon Bonaparte’s expeditionary force captured the island after being refused provisions en route to the Egyptian expedition. Just two years later, Rear Admiral Horatio Nelson blockaded the island, leading to French surrender and beginning the United Kingdom’s hegemony, which lasted until Malta’s independence in 1964. Malta became a Republic in 1974, a member of the European Union in 2004, and adopted the Euro as its currency in 2008. Building upon a long healthcare history Today Malta continues to build upon its long history in the healthcare field, which was furthered by the Knights of St. John, who built many new hospitals on the island – including the main hospital, which was considered the most modern of its time in Europe. Malta boasts a particularly favorable economic climate, having been ranked as the fifth most tax-friendly country in the world by Forbes magazine in 2008, as well as the single most attractive country in the European Union in terms of taxes and social contributions paid out by companies. The World Economic Forum also recognizes Malta’s advantages, naming the country the twentyseventh most networked economy in the world; and Global Financial Centers Index

listed Malta as one of the top three financial centers likely to increase in importance over the next three years. Malta furthermore possesses a well-educated workforce with excellent language skills, as English, in addition to the native Maltese, is an official language. The government actively supports the Life Sciences & Healthcare industry with grants: including research funds provided to the University of Malta, as well as supporting the development of a new Life Sciences Park, dedicated to advanced research laboratories in medicine, genetics, and biotechnology, which is scheduled to open next year. This favorable economic climate, as well as Malta’s long experience in the healthcare field, has attracted many leading pharmaceutical companies, especially in the generics sector, to establish manufacturing on the island. Of particular interest for generics companies is Malta’s “patent free” status, based on the Bolar exemption, which allows third-party companies to conduct clinical trials and commercial testing on patented medications in advance of patent expiration. Twelve multinational ethical, generics, and API manufacturers currently have a base in Malta, with a further three expected to begin operations this year.

From the regions

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Strong footprint in Belgium DHL Supply Chain has a dedicated healthcare organization in Belgium, offering customized logistics solutions for the entire supply chain. Alongside European and global distribution centers, it operates regional distribution centers in Benelux countries.

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he pharma logistics campus Brussels covers an area of some 25,000 sq m and provides automated warehousing, distribution and repack services for 80 customers. In Opglabbeek, a 35,000 sq m medical device campus offers domestic and EDC logistics services worldwide such as storage and distribution and reverse logistics inclu­ ding biohazard. A third Belgian distribution center opened in 2010 at Huizingen/Lot/Mechelen. On more than 15,000 sq m, it focuses on regional and international distribution of temperaturecontrolled goods ranging from frozen, chilled and cold to ambient. ISO 9001:2000certified, it is equipped to store anti-carcinogenics, narcotics, inflammable and highvalue products as well as clinical trials and cytostatics. Customers can choose from value-added services such as display building, repacking, clean room, blue box labeling and full order to cash.

Two basic ways to serve customers DHL Life Sciences & Healthcare customers in Benelux can choose from two basic models of cooperation. DHL can get active for them either as a third-party logistics services provider (3PL) or, thanks to its pre-wholesalers license, as a distributor. The classic 3PL model consists of a total package of logistic services including warehousing, transport, VAS, order-management and financial services that customers can pick from according to their needs. The pre-wholesaler model implies that wholesalers, pharmacists, and hospitals, the customers of DHL customers, place their orders directly with DHL Pharma Logistics, in which case DHL handles the entire order-to-cash cycle. More than 50 customers currently use DHL Pharma Logistics to distribute their goods in Benelux.

DHL offers complete end-to-end logistics covering customer services, fulfillment services & operations and financial services. According to their needs, customers will choose a single service, a set of services or services covering the entire distribution chain. It is this flexibility to choose the service they need and to be able to compose their own ideal set of solutions that makes DHL Pharma Logistics so attractive to the industry. The combination of flexibility with the proven experience, quality and healthcare drive of Pharma Logistics accounts for the fact that 35% of all pharmaceuticals that are being outsourced in Belgium are being handled out of Huizingen/Lot.

Customer Services

Fulfillment Services + Operations

Financial Services

Call Center/CSC, Order Capture (Online, EDI, Tel, Fax/Mail/eMail), Address Check, Customer Hotline

Order Processing (Forward/Back Orders), Warehouse Management, Pick & Pack, Shipping Preparation, Transport/Distribution, Returns Management, Value Added Services

Credibility Checks, Invoicing/Billing, Debt Management, Payment Controlling (CC, Invoice/Bank Transfer, CODReminders)

One integrated solution

DHL Pharma Logistics order-to-cash model

DHL | The Pulse | SPRING 2012

NEW SOLUTIONS & SERVICES

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DHL Medical Express: a unique solution for life sciences & healthcare companies When it comes to developing innovative solutions for the Life Sciences & Healthcare industry, DHL can always fall back on its decades of experience, deep sector knowledge and its innovation department. Sometimes the basic ingredients already exist, as was the case with the DHL MEDICAL EXPRESS solution.

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ith a hand firmly on the pulse of the Life Sciences & Healthcare market, DHL responded to the need for reliable and cost-efficient express services, particularly for medicinal supplies and clinical trials that require constantly reliable service levels. And since medical contents have always been shipped with DHL Express, why not combine an existing capability with new features to create a solution for Life Sciences & Healthcare customers? The result was DHL MEDICAL EXPRESS, whose modular character allows customers to shape the solution to their individual requirements.

Priority handling and dedicated customer service DHL MEDICAL EXPRESS shipments are delivered with the earliest possible service including a Saturday delivery when required. They receive priority handling from pick-up through to delivery and are monitored around the clock and around the globe by DHL Quality Control Centers in Cincinnati, Bonn, Leipzig and Singapore. In the unlikely case of delays, DHL immediately takes the necessary actions to recover shipments, protect their contents and ensure that delivery is

made as per the earliest possible time promise. A dedicated Customer Service team supports customers with booking, monitors the shipments and keeps customers constantly informed on shipment status. SmartSensor technology for 24/7 visibility Regulations for transporting and storing Life Sciences & Healthcare products are becoming stricter such that companies need to constantly monitor and record the temperature of their sensitive products when these are being shipped. As part of the DHL MEDICAL EXPRESS solution, DHL offers a full range of thermo packaging for ambient, chilled and frozen shipping. Furthermore, an RFID-enabled SmartSensor (a monitoring device developed by DHL Solutions & Innovation) provides customers with the reassurance that the internal temperature of each shipment has remained stable during transit and that the contents comply with industry regulations. DHL MEDICAL EXPRESS is available to customers on request in the majority of markets after a short program set-up period.

NEW SOLUTIONS & SERVICES

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Recalls can happen! W

hich lots are affected? Where are the products being used? How do I reach out to my customer base without damaging my brand reputation? How do I organize the exchange or repair of my products? How do I get access to ad-hoc resources for the execution? How much will it cost me? How do I mitigate the impact for my shareholders? These are critical questions to be solved without having the opportunity for strategic planning, as the regu­latory bodies typically expect immediate execution. DHL has been challenged by these kinds of scenarios multiple times, when customers approached the DHL Service Logistics team to help them with the execution of such recalls. One of the bigger projects was with 2,000,000 household electrical consumer products. An electrical fault and the build-up of calcium from water in the device could cause an obstruction, resulting in the product exploding, posing a burn hazard to the consumer. There were numerous incidents, several of them with minor injuries reported in Europe, but none in the USA. Nonetheless, the manufacturer decided to recall the affected devices, which were sold globally.

As no end-customer data was available, the consumers were informed of the recall via news, press and internet media with the retailers being included in the communication set-up. A call center was activated and a webpage was built to guide the consumers through the registration of the devices and the options for a product swap. Challenges experienced The recall affected a high profile program of the manufacturer, especially due to the negative impact on the brand image due to the size of the event. Another critical factor was time: within a short period of four weeks, the returns management process had to be defined and set up, including a call center, a registration webpage, a database, a three leg logistics returns process back to repair and a two leg shipment process back to the consumer.

The manufacturer requested a daily monitoring of the progress to allow timely reporting towards the regulatory bodies to avoid further penalties, while the end-customers wished to be kept up-to-date with the repair process. At a glance, the volumes of the recall to be handled by DHL’s organization were challenging; Two thirds of all registrations took place within the first two weeks. The majority of the registrations came via the web, but over 1,000 call center agents were employed at peak times to cover a total of 750,000 phone calls. The shipments peaked at 32,000 boxes being returned on a single day, corresponding to 2,800 truckloads. With a preparation time of less than two months, a staff of 900 employees in four locations was taking care of the repair of up to 22,000 units per day. Lessons learned After having managed over 1,000,000 units in 24 months after launching the recall, DHL and the customer reviewed the pro­ject. The key findings of the exercise can be summarized as: focus, liaise and prepare.

NEW SOLUTIONS & SERVICES

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It is the kind of event that keeps a CEO awake at night: a market-leading product has an endemic failure and a recall of large quantities needs to be organized and executed.

Focus: avoid internal and external debates about involvement, responsibilities, objectives and deliverables. Keep all tasks actions centrally coordinated and controlled, which will contribute to the overall efficiency and success of the program. Liaise: engage with senior management upfront and create awareness for the urgency and criticality of recalls. This will contribute to the business focus and ensure the availability of key staff for the recall management. Liaise with regulatory bodies and institutions to share best practices and learn from past events. Prepare: be pro-active whenever possible to ensure your organization is properly prepared for a recall. Define a clear ownership and steering structure with shared responsibilities that complement to the project success. Being prepared is the best way to shorten the set-up time for the recall execution, for having the organization lined up and the required structures in place. Thus, being prepared allows having a solid control of the recall budget.

Based on its experience from a dozen recalls managed over the past years, the DHL team has developed a product offering to support manufacturers in preparing for and executing on recall events. This product, initially developed for manufacturers in the technology industry, is now also being made available to medical devices manufacturers. DHL is currently running a pilot with a major manufacturer in the USA to test, prove the concept and the physical and systems elements of the solution. Today, DHL offers two products, addressing the immediate need for execution, as well as the pro-active preparation of the customer’s supply chain: DHL Recall Action Recall Action is an end-to-end management solution that takes care of all elements of a recall – planning, communication, coordination, logistics execution, budget control and reporting. It is built on the experience of DHL specialists gained in numerous recalls executed for customers in various industries. The solution is designed to offer ad-hoc experienced resources to ensure fast and efficient

setup of the organization and effective execution of the recall. This full recall solution minimizes the impact on the manufacturer’s organization. DHL Recall Alliance The Recall Alliance product starts even before a recall has been initiated: DHL analyzes the business patterns of the customer’s product lines, organization and logistics and develops a customized recall preparation plan. Through annual audits and test runs, DHL ensures the structural readiness of the customer’s and DHL’s organizations to execute on a recall at any given time with predictable costs and service levels.

Contact: [email protected]

DHL | The Pulse | SPRING 2012

NEW SOLUTIONS & SERVICES

Airfreight Plus Pharma: addressing the challenges of the life sciences & healthcare industry Significant changes for the life sciences industry are unfolding along the common themes of cost reduction, increased regulatory compliance, quality improvements aimed at risk mitigation, and most importantly patient safety.

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trondheim

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Skelleftea

24 Helsinki

Bergen oslo Stockholm Stavanger Aberdeen

Gothenburg Aarhus

Saint Petersburg Tallinn

riga

moscow

Edinburgh

Vilnius Kolding Liverpool Gdansk copenhagen Belfast newcastle manchester hamburg Berlin Birmingham Posen Warsaw Leeds Amsterdam Dublin Leipzig Bristol hannover Wroclaw Breda London Dresden cork Düsseldorf Bruxelles Katowice Prague Plymouth Southampton Lille Frankfurt nuremberg Brno metz Paris munichVienna Bratislava rennes Strasbourg tours Budapest Vienna Dijon Basel nantes Padua Lausanne Ljubljana Lyon Bordeaux Zagreb Bucharest Geneva milan torino Belgrade Bologna Grenoble toulouse La coruna Bilbao Ancona Livorno Sofia marseille nice oviedo rom Bari Barcelona naples Porto Oporto Valencia corigliano madrid cagliari calabro Athens Lisbon Sevilla catania Palermo

Kiev

istanbul

malta

malaga

The intra-European DHL network

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s these changes disseminate throughout Europe, the Middle East, and Africa, pharmaceutical and generic manufacturers are looking to stay competitive and responsive to the global needs stemming from factors related to health, aging, and the environment – all with the goal of sustainable development. Considering sustainability goals and in response to more stringent regulatory compliance requirements, clients are seeking solutions for transporting products at controlled room temperature or CRT (+15 °C to +25 °C); these temperatures are far more challenging to maintain. In an effort to better serve the European region, DHL Global Forwarding’s Airfreight Plus Pharma Powered by LifeConEx, launched a new service to offer clients a competitive advantage to address the challenging landscape of the life sciences industry. Clients can now choose to transport their temperature-sensitive products with Airfreight Plus Pharma 1, which maintains products at controlled room temperature (CRT) +15 °C to +25 °C or Pharma 2 for products requiring a temperature range of +2 °C to +8 °C. With Airfreight Plus Pharma, clients benefit from a cost-effective, reliable service that combines streamlined processes with individual care provided by dedicated cold chain specialists. Furthermore, with Pharma 1 and Pharma 2 services, an effective cold chain

transport maintains the integrity of the product’s condition with a remarkable de­gree of efficiency. In choosing this service, clients can be assured speed to market, flexibility with routing, and accessibility to a cold chain network specific to intra-Europe. The DHL aviation network’s hub, which is based in Leipzig, Germany, provides a complete temperature-controlled warehouse and its terminal building is used for unloading, sorting, handling, customs clearance, and reloading. The roadside façade of the hub is fitted with solar panels.

authorities and have fully implemented EU legislation.

AFP Pharma 2 in Action DHL Global Forwarding was approached by a generics manufacturer who was seeking support for temperature-sensitive shipments of pharmaceuticals originating from Malta with final destinations at Bratislava, Belgrade, Budapest, and Dublin. The Maltese client required the product be shipped at a temperature range of +15  °C to +25  °C. It was expressed that maintaining this temperature range requirement was critical to the integrity of the medicinal product. The generics manufacturer was aware that, despite popular belief, temperature-sensitive products falling within the +15 °C to +25 °C temperature range could not be transported utilizing general airline cargo booking levels as these services where not specific to life sciences. Maltese pharmaceuticals and generics are ensuring good manufacturing and good distribution practices through its regulatory

With these temperature-specific services, DHL can meet the client’s needs for overnight, airfreight intra-European cold chain distribution, while its Freight division also offers road freight intra-European solutions depending on transit time requirements. 

AFP Pharma 2 provided the client with instant access to a reliable cold chain network providing the flexibility to book shipments in passive or active packaging. “With a state-ofthe-art facility, ground handling agents, and cold chain specialists, clients benefit from the speed, flexibility, and network reach of Airfreight Plus Pharma. It’s great to be part of it!” says Armando Cantu, LifeConEx Senior Logistics Specialist.

INFORMATION For more information on Airfreight Plus Pharma Powered by LifeConEx, please contact Nigel Wing, Vice President, Global Head Life Sciences and Healthcare, DHL Global Forwarding [email protected]

Network

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New Life Sciences Competency Centers enhance DHL network capacity DHL Global Forwarding Miami and Atlanta locations have acquired the status of competency centers for the Life Sciences & Healthcare industry. This will guarantee superior handling of this industry’s sensitive products.

Miami

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he new competency centers will increase capacity across DHL’s global network. Both locations have dedicated trained personnel, temperature-controlled rooms, and cutting-edge technology, such as SmartSensor for tracking and maintaining products’ temperature range and integrity. Although temperature-controlled shipments are handled at all DHL locations, these two facilities offer customers enhanced capabilities, increased capacity and greater flexibility to control their freight.

Strategic gateways Both locations were chosen as strategic gateway points to transport pharmaceuticals, biotech, and medical devices throughout the Americas. The Atlanta and Miami teams currently handle shipments for some of the top pharmaceutical manufacturers in the world. The Atlanta Competency Center has applied for Free Trade Zone status to process pharmaceutical products for exporting outside of the US, and the city of Atlanta is home to the Center for Disease Control (CDC), a perfect location for organizations working in the area of medical research needing to house

Atlanta

products. The Competency Centers also include cold storage for deep frozen, controlled 2 °C to 8 °C and controlled 15 °C to 25 °C. “DHL Global Forwarding’s facilities and specialized services give us greater flexibility to control customers’ freight when incidents occur by having 24/7 visibility, and an infrastructure in place to recover freight and store it, maintaining its integrity,” said Marco Quiros, Head of Sales for Life Sciences, DHL Global Forwarding, Americas. Satisfying customer needs These enhanced Competency Centers were launched as a result of customers’ need for specialized equipment for handling of materials, fulfillment of unique Standard Operations Procedures (SOPs), and ever changing industry requirements. The majority of products handled through these centers include brand name pharmaceuticals, generic pharmaceuticals, medical equipment, cold-chain biotech products, blood, and animal health products.

“As a result of a series of life science training sessions that took place in 2011, our employees in Miami and Atlanta, as well as throughout the Americas, are highly trained to handle all medical products,” said Quiros. “They have gained insight into Good Distribution Practices (GDP) through a series of sessions comprised of modules focusing on procedures and standards that ensure operational excellence.” Part of a strong global network These two Life Science Competency Centers are in addition to 26 currently operating worldwide. The Centers are designed to provide a global network of dedicated people, customized processes, and a qualitycontrolled environment specifically for shipping of pharmaceutical, biotech, and medical devices. DHL Global Forwarding customizes its solutions to meet the needs of its Life Sciences customers.

Network

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The Competency Center at DHL’s Narita Cargo Center in Japan DHL Global Forwarding’s cargo center at Narita International Airport near Tokyo has acquired the status of a Competency Center providing customers from the Life Sciences & Healthcare industry with a dedicated facility and well-trained, experienced staff.

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he nearest dedicated facility to Narita airport, the DHL Competency Cen-­ ter is just 2 km from the south gate and 5 km from the main gate and provides excellent access to the domestic transportation network. 5,600 sq m are dedicated to export and 4,200 sq m to import with bonded areas of 5,152 sq m and 3,812 sq m, respectively. With its air-conditioned and cool storage spaces exclusively reserved for Life Sciences & Healthcare customers, the unit load device (ULD) workstation and dust-proof and antistatic floor, the Competency Center is ideally equipped to handle and truck air export and import cargo, to deliver ULDs intact or broken down, and to store and transport valuable or dangerous goods in a temperaturecontrolled environment. Other key services that are on offer at the Competency Center are inspection, documentation control, cross-dock operations, packing and crating and warehousing.

Benefiting from DHL know-how and experience DHL’s multi-national customers appreciate the exclusivity of the temperature-controlled storage space for their goods. The possibility to beak down air import ULDs reduces both their cargo release lead-times and the risk of damages. They also benefit from competitive handling charges. Another key benefit of the Competency Center at Narita Airport is the possibility to transport goods in temperature-controlled trucks. These refrigerated trucks, used to collect and deliver temperature-sensitive products, are fitted with a temperature recorder and allow temperatures between –20 °C to +25 °C to be controlled and reliably maintained. A SmartSensor tag records the temperature by means of radio frequency identification (RFID) and makes it readily accessible through a dedicated web portal.

Temperature control is not limited to trucks. The Envirotainer® used at the DHL Competency Center in Narita allows to control temperature from –20 °C to +25 °C in aircraft. The reefer, a refrigerated ocean container connected to a supply on the vessel, maintains temperature during sea freight. It covers the same temperature range as the Envirotainer®. Pallet Shippers® and thermal blankets are other special equipment used at Narita Competence Center to cater to the special needs of DHL Life Science & Healthcare customers. The Pallet Shipper® uses gel packs to maintain temperature at +2 °C to +8 °C for approx. 120 hours. The isothermal packaging constituting the thermal blanket prevents temperatures from va­rying extremely. It is available in customer pallet size as well as airline ULD/pallet size.

NARITA CARGO CENTER 2

A range of solutions for the safe transport of temperature-controlled products

Management of LSH customers-specific solutions and requests

Special Cold Chain Solution

Cold Chain Program Management

Temperaturecontrolled warehouse and trucks

Life Sciences Competence Center

Dedicated knowledgeable LSH staff

The main focus areas of the Life Sciences Competency Center at Narita

GDP Compliance

Specific handling and storage processed in line with GDP and customers-specific requests Environment control (pest control) QES/EHS internal/ external audit

Calibrated equipment for storage of temperaturecontrolled goods in the right condition Temperature log data is available both warehouse and trucks

Dedicated sales, customer service team and warehouse personnel

DHL | The Pulse | SPRING 2012

Network

Healthcare Manufac­turing license to enhance services in JAPAN DHL Supply Chain is ramping up its healthcare logistics services in Japan. Expanding its role beyond traditional logistics, the international logistics leader now offers basic manufacturing services like packaging and labeling.

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Network

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“We will provide the best logistics solution to healthcare companies and contribute to enhancing their competitiveness.” Shuichi Kawamura President of DHL Supply Chain Japan

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aving set up a temperature-controlled area dedicated to medical device manufacturers at its Tokyo Logistics Center, DHL Supply Chain has successfully secured a medical devices manufacturing license from the Tokyo Metropolitan Government for the center in Yashio, Shinagawa. The license allows DHL Supply Chain to store and deliver medical devices and perform basic manufacturing processes such as packaging the products and applying legally required labels.

A huge step forward Welcoming the acquisition of the license as a “huge step forward”, Shuichi Kawamura, the president of DHL Supply Chain Japan, said that “by flexibly responding to the ever-progressing technological and legal environment of the healthcare industry and making the most of our expertise in pharmaceutical drugs and medical device logistics, we will provide the best logistics solution to healthcare companies and contribute to enhancing their competitiveness.”

As a result, DHL Supply Chain will be able to provide its customers in the Life Sciences & Healthcare industry with seamless solutions from import and manufacturing to market distribution. They will no longer need to keep inventory at their plants and store prior to distribution, but will be able to streamline their inventory management systems.

DHL Supply Chain is steadily expanding its healthcare business, and is now looking to boost its offerings for clinical trials, pharmaceuticals and medical devices.

Seamless solutions for LSH companies in Japan thanks to the medical devices manufacturing license for the DHL Logistics Center in Tokyo

DHL | The Pulse | SPRING 2012

Network

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Brand new addition to DHL’s global life sciences and healthcare network The new Budapest Pharma Platform operated by DHL Supply Chain Hungary is the answer to the needs of the Life Sciences & Healthcare industry in Eastern Europe. Within a short distance of Budapest Liszt Ferenc Airport at Üllö DC, it will allow DHL to offer a wide range of industry-specific solutions.

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ith the inauguration of the Budapest Pharma Platform, Hungarian and Eastern European Life Sciences & Healthcare companies will be able to rely on the same high-quality services and solutions as DHL customers in other parts of the world. Operating in compliance with the latest pharmaceutical standards and regulations, the platform provides storage zones for ambient and chilled goods at 15 °C to 25 °C and 2 °C to 8 °C, respectively. It is WMSvalidated by FDA and GAMP 5-validated. On its 34,000 sq m overall surface, the multi-client warehouse can accommodate 60,000 pallets. It features 2,400 sq m of Good Distribution Practice (GDP) area with a capacity for storing 4,000 pallets. Additional capacity for a further 4,000 pallets can be provided if required. 200 sq m of Good Manufacturing Practice (GMP) area allow for valueadded services such as re-packing, kitting, labeling and leaflet replacement or commodity storage and label printing. A secon­dary packaging zone is also available. IP CCTV, biometrical identifi­cation and a 250 sq m high-value cage make for a high level of security.

The Budapest Pharma Platform is set up to include as many faculties in-house and on-site as possible. Transportation, for instance, is managed in-house. There is a qualified person on site; and the e-licensed bonded warehouse has its own customs department to ensure smooth cross-border transportation. Expert assistance from the Budapest Support Center At Üllö DC, 100 highly qualified cold chain experts contribute to the success of DHL, handling some 57,000 orders a year – including those at the new Budapest Pharma Platform. They are supported by the 90 employees of the Budapest Support Center, who, on average, speak two languages and have seven years of supply chain experience. They support 32 countries with eleven different languages managing more than 20,000 transactions per month for 18 satisfied customers.

DHL | The Pulse | SPRING 2012

DHL Global Forwarding invests in network, people and solutions The last 18 months have seen the network of DHL’s Life Sciences Competence Centers double to 28 globally. Further investment will continue throughout 2012 and 2013, with eleven additional locations identified as part of our expanding global footprint.

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egionally, DHL EMEA opened four further locations in 2011, taking EMEA’s combined facilities supporting air and ocean life science operations to 14. “By investing in our people and our facilities, EMEA will continue to maintain the DHL 2015 Life Science sector strategy, by focusing on solution design, value creation and long term customer partnerships,” said Nigel Wing, Vice President, Global Head Life Sciences & Healthcare, DHL Global Forwarding. Enhancing expertise through training To ensure our employees are trained, aware and knowledgeable to support our customers in the highly regulated Life Sciences & Healthcare sector, over 1,750 staff completed our web-based sector e-learning program during 2011. Customers can be sure that their products are being handled by experienced professionals who understand industry-specific needs such as GDP/GSP, quality processes management and leading market packaging solutions for active and passive transportation.

Innovative solutions designed to improve productivity When customers have issues and often when they don’t, being able to call on a global provider to design and support new solutions is a key differentiator in the logistics market. Every day within our network, our teams collaborate with customers to delivery new or improved solutions and innovation. One such example involved a recent process and productivity review with a customer in the Middle East, shipping to Europe and the US. Currently moving their vials within an active RKN, DHL designed a special loading pallet, maximizing the loading capacity of the RKN and resulting in a 25% increase in the number of vials moved per RKN. Such a solution in capacity utilization reduced the impact of equipment availability in the local market and the customer’s air transport costs for this product line by 18%.

Network

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Quality & Regulations

DHL | The Pulse | SPRING 2012

Launch of new European Association for Logistics & Transport in Healthcare: DHL Supply Chain on board of new ealth DHL Supply Chain has become a founding member of the European Association for Logistics & Transport in Healthcare (EALTH).

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he newly formed EALTH has been instituted as a non-profit organization to increase awareness among policy makers and the public and private healthcare sectors of the expertise and knowledge of professionals involved in the pharmaceutical supply chain. Registered in Brussels, EALTH represents the leading pharmaceutical logistics service providers across Europe operating in more than 20 countries. DHL Supply Chain’s Eddy De Vita, Managing Director, Life Sciences & Healthcare, EMEA, has been elected to the board as Vice President. He said: “EALTH is an

extremely important pharmaceutical sector initiative as it represents the first not-forprofit European association for logistics and transport in the healthcare sector. Joining this association from the very beginning provides us with a strategic opportunity to achieve the aim of sharing best distribution practice, in particular by improving security in the healthcare supply chain all over Europe.” Jean-Francois Fusco, President of EALTH, said: “We are delighted to work with DHL Supply Chain and other members to seek improvements for the European healthcare supply chain.”

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Quality & Regulations

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Panama Canal

Strong on collaboration and sustainability For the second consecutive year, DHL Global Forwarding Colombia has won the Colgate Palmolive Award as best logistics provider in terms of collaboration and sustainability. The evaluation and selection process was very strict and competition was strong. However, for the second time DHL Global Forwarding Colombia ousted other key players in the market and succeeded to win the award launched by Colgate Palmolive Andina, the organization responsible for business in Colombia, Ecuador, Peru and Bolivia, with the aim of incorporating specific KPIs to their operation. The award honors DHL Global Forwarding Colombia’s collaboration plan started with Colgate Palmolive Andina four years ago. The plan has included process standardization, initiatives to reduce costs, GoGreen initiatives and GoHelp activities in which DHL Global Forwarding Colombia and Colgate Palmolive jointly visit poor children to give them Christmas gifts. From left to right: Sandra Jaramillo, Key Account Manager Colgate; Alejandro Adelsohn, Sales Head Colombia; Diana Gomez, Logistics Manager Andean Region Colgate Palmolive; Javier Arostegui, Vice President Supply Chain Colgate Palmolive Andina

DHL | The Pulse | SPRING 2012

Quality & Regulations

Bringing staff and customers together at the DHL Quality Forum Led by David James (Vice President, Operations & Business Services) and Roberto Azcuaga (QA & RA Manager), the DHL Supply Chain Life Sciences UK team held a quality forum at the Oxford Belfry Hotel In December 2011.

DHL staff and customers discussed two issues currently affecting supply chain: the False Medicines Directive and the New Consultative Guide on Good Distribution Practice (GDP). Guest speakers Carol Candlish (consultant pharmacist and Qualified Person) and Ciaran Brady (Managing Director, PLS Pharma Logistics) opened the discussions with engaging presentations covering the two topics. It was then over to the delegates to discuss the topics in their breakout groups. There was a lot to talk about, with plenty of points for Carol and Ciaran to present back to the participants at the end of the day. The forum was also used as an opportunity to share with our customers the wider capabilities DHL has to offer with market stalls from Global Forwarding, Clinical Trials, Transport and the Innovations & Solutions Center. An informative event Several customers said that the day provided a “good level of discussion and interaction,” was “relevant and timely” and produced “some good points to follow up in the workplace.”

The DHL Quality Forum is due to be hosted again in the fourth quarter of 2012, following the annual Medicines and Healthcare products Regulatory Agency (MHRA) conference in the third quarter of 2012. It is anticipated that the subject scope of future forums will be broadened to encompass complementary industry sectors.

From left: Ciaran Brady, Roberto Azcuaga and Carol Candlish

INFORMATION For further information please contact Kathryn Knights: [email protected]

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Quality & Regulations

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The False Medicines Directive

The New Consultative Guide on Good Distri­ bution Practice (GDP)

Falsified medicines are fake medicines that are designed to mimic real medicines. This is subtly different from counterfeit medicines which are medicines that do not comply with intellectual-property rights or that infringe trademark law. The Falsified Medicines Directive, published in July 2011, is due to be partly operational by January 2013, with full implementation expected by 2017. The changes are designed to reduce the chance of falsified medicines reaching patients.

The content of the guidelines on GDP published in 1994 is no longer adequate. The new guide aims to create global consistency. It also aims to increase the security of the supply chain and ownership by all associated staff, management and partners. The deadline for public consultation was December 31, 2011. The Medicines and Healthcare products Regulatory Agency (MHRA) indicates it will not become fully operational before January 2013.

Answers to key customer questions Q: Will adding safety features affect the size of pallets and individual cartons?
 A: Not significantly. 2D barcodes will not affect size and a radio frequency device is very small.



Answers to key customer questions Q: What will be the wholesalers’ approach to temperature control requirements for ambient products?
 A: Procedures and processes will need to be in place for excursion management and notifications will also need to be in place.



Q: What are the implications when transferring stock between owner groups (manufacturer to government)?
 A: It is expected to be the same as normal activity unless a new Crown exemption is created.



Q: Does the guideline extend to parcel carriers? Does the supply chain end at DHL?
 A:  DHL is currently investigating the requirements of this guideline to ensure compliance.



Q: Can checks by Qualified Persons (QPs) of safety features be delegated to quality control staff?
 A: At the moment there appears to be no change to the current system i.e. delegation is allowed within properly controlled standard operating procedures (SOPs) and processes to suitably trained and qualified staff.



Q: What happens in the event of an excursion outside the 24 hours allowed for cross-docking, for example, at airports? Are bonded warehouses (at airports) temperature-compliant?
 A: This is currently unclear and will need to be looked into in further detail when the new guide is published. Ultimately it will depend on how the MHRA decides to inspect.

Q: Will DHL implement a generic minimum process for checking safety features and what impact will this have on DHL’s customers?
 A: This is one of the reasons for opening up dialogue at the Quality Forum. DHL will discuss this issue with its customers over the coming year.

Q: How are delayed deliveries and public holidays expected to be managed?
 A: A risk assessment will be required to justify the use of the product concerned following delayed delivery. Inspectors will be looking at risk everywhere in the supply chain.

DHL | The Pulse | SPRING 2012

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Fragile Goods The clinical supply chain is as vital to the pharmaceutical industry as ever. As treatments increasingly need to be transported in a temperature-controlled environment, management of the entire process is essential.

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hile the pharmaceutical supply chain often uses a mature and optimized model of regional and countrywide distribution centers, the clinical supply chain is becoming increasingly complex to manage, with an increase in biological products which are temperature-sensitive, and activity shifting to the more challenging regions of Asia-Pacific (APAC) and Latin America (LATAM). Understanding, optimizing and managing the clinical supply chain, and all parties involved, is key to being able to accommodate the globalization of clinical research. Challenging supply chains Pharmaceutical manufacturers have worked hard to optimize their supply chains – notably their distribution channels – to make their product portfolios of marketed goods available to patients via wholesalers, pharmacies, hospitals and home healthcare providers. While the bulk of a pharma or biotech company’s revenue is earned through sales of their marketed goods, long-term investors are attracted to the value and potential of the company’s development pipeline. Due to the importance of this function, research and development (R&D) is often a separate, ring-fenced division or structure within the organization. The R&D teams of most medium to large pharma and biotech organizations are usually happy to share central functions such as finance and human resources with the other divisions of the organization; however logistics and supply chain will more often than not be managed within the R&D department because of the specialist nature of the logistics activities. Complexities tend to manifest themselves through the more challenging supply routes that medication must be sent through, with the everincreasing need to maintain a stable temperature throughout the transit. Globalising Clinical Research With the rising standard of clinical research centers in emerging and developing countries, and their ability to meet and exceed patient recruitment targets, clinical trials are slowly moving away from the traditional investigator sites in the west towards South America, eastern Europe and Asia. This globalization not only provides developing countries with the opportunity to take part in global clinical trials, but in many cases accelerates marketing approval of the drug (if the clinical trials are successful) within that country. This is vitally important

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to the sponsors of the clinical trial as they look to increase market penetration in emerging markets and maximize the return on their development investment. Companies offering clinical supply chain services have become an important enabler in the globalization process, by providing routes into increasingly attractive markets, initially with the help of affiliate networks or clinical research organizations (CROs). However, supply channels are shifting from local (in-country) distribution to more efficient regional distribution models. The difference is that more frequent, smaller parcel consignments are made from regional hubs that move across borders directly to the investigator sites. This is largely due to the leaner supply strategies being sought, which commit less bulk stock to in-country satellite depots, and having a closer relationship between the demand (triggered by patient recruitment) and supply of trial medication. As a consequence, there is a reduction in wasted inventory, and the risk of paying tax and duty on a product going into a country where it may ultimately not be used is minimized. The extension of cross border supply routes has been made possible by the growing trust placed in isothermic shippers, and the increasing ability to react proactively when a shipment is at risk of not arriving in time or a temperature excursion takes place. Temperature Control The evolution of medicine in certain key therapeutic areas (such as oncology) has largely been due to the success and efficacy of live cell treatments (like monoclonal antibodies). Biotechnology products, however, cannot withstand temperature deviations for long, and therefore need a much stricter adherence to cold chain requirements throughout the whole supply chain. Furthermore, due to the limited stability data of a product during a clinical trial (especially in the early phases of the research), the acceptance criteria for a temperature deviation can result in a wasted product – or even more costly to the sponsor – the right medication not being ready for the patient visit. Taking a risk-based approach to import/export is absolutely vital, to ensure that both the cold chain requirements are adhered to and all eventualities are carefully mitigated or planned for. One of the key ways of achieving this is by understanding the detailed chain of custody for each route to market. >

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DHL | The Pulse | SPRING 2012

Collection

Panorama Supply source

Transit

Receipt at airport

Airport apron

airport Handling

Primary transport

Trans-shipment

Loading

Loading

Unloading

Marshalled loads

Airport apron

Transit

airport Handling

aircraft Extreme airline temperature

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Delivery

Receipt from airport

Final destination

Deconsolidate

Trans-shipment

Road transport

Waiting at airport

Waiting at airport

Loading

Unloading

Consolidate

Unloading

Marshalled loads

Milestone events

Shipment booking

Pick-up

Completion Consolidation of documents of documents

Actual departure

Actual arrival

Documents received

Cargo received

Notification of arrival

Broker notified

Delivered to consignee

Points at which potential temperature deviations can occur along the chain of custody

Chain of Custody Logic would suggest that the fewer hands touching a shipment, the less risk there is of manual error occurring. Likewise, the fewer parties involved in a shipment, the less likelihood of triggering a temperature deviation. It is therefore vitally important to understand the role of all parties involved in the shipment. To many, the only parties perceived to be involved in a cross border shipment are the logistics provider storing the medication, the courier and the broker. In reality there may be many others involved, sometimes not bound by contract to the people perceived to be in control of the shipment; this could include airport handlers, airline staff, trans-shippers and the courier collecting the product with a temperature-controlled vehicle (in the event that the transit and customs clearance process exceeds the validation period of the temperaturecontrolled packaging being used) and others. Figure 1 demonstrates all the different parties that may come into contact with a shipment when shipping across a border. The temperature deviation risks are also highlighted. Understanding the contractual and non-contractual relationships between the parties makes it easier to pinpoint when and where a temperature excursion has taken place. Equally, action can be taken on persistent offenders, or if an excursion is expected. When analyzing the chain of custody, it is essential that everyone understands their role and responsibilities for clinical trial cold chain

shipments, where time is of the essence. A carefully synchronized sequence of events needs to take place, going beyond simple product handling. For clinical trial shipments, many developing countries (notably in Latin America) require import permits for each shipment, in addition to an “umbrella license” permitting import of the trial medication, given when clinical trial approval (CTA) is granted. In some developing countries, the original CTA document for each shipment must be presented to the Ministry of Health, along with the umbrella license and pro-forma invoice declaring what medication is being imported. An individual permit is then granted for that particular shipment, which needs to be presented to customs when the shipment arrives at the airport to enable it to be cleared. In tandem, the nominated importer of record (often the CRO or sponsor who applied for the CTA) must be ready to pay the taxes and duties, whether immediately or via a deferment account. This is often administered by a third party broker as any delay may result in the shipment release being delayed, requiring the consignment to be put into a temperature-controlled holding area at the airport (to preserve the cold chain), which again may be managed by a third party. A temperature-controlled vehicle may then be required to move the consignment from the airport to the investigator site. Throughout the process, everyone involved must be identified, along with their responsibilities and the timeline, before and during the shipment.

DHL | The Pulse | SPRING 2012

Practical solutions Complex chains of custody and importation processes may deter sponsors or CROs from adopting “direct-to-investigator site” solutions across borders, instead returning to the less-efficient “in-country depot” solution. This is often due to recurring issues in the process, reactive (as opposed to pro-active) problem solving and a lack of logistical resource to manage the process. By not tackling this issue, a more costly and less agile supply strategy may be chosen. However, this need not be the case and is often the reason why supply chain management is outsourced (including analysis and management of the chain of custody) to a third party supply. Once the chain of custody is understood, timelines agreed, potential issues mitigated and processes communicated, the agile model can resume and leaner strategy applied. It is clearly preferable to ensure that as much of the chain of custody as possible is controlled and directly managed (via ownership or through contracts) by one party. Some global supply chain organizations achieve this by owning their own vehicle fleet, airport handling teams, aircrafts, brokers, refrigerated storage at airports, onwards transportation in-country and so on. While no logistics or supply chain providers will ever own such an infrastructure covering all countries and airports in the world, key lanes can be set up ensuring an exclusive chain of custody can be maintained. Temperature monitors frequently expose aircraft as a stage in the transit where temperatures can drop for extended periods of time; providing a temperature-controlled hold may become an industry requirement in the future, especially if medication undergoing clinical trials becomes even more sensitive to temperature deviations. Conclusion Monitoring of temperature-controlled environments has always taken place within the specialist clinical trial depots servicing investigator sites. However, increasingly stringent legislation means the cold chain is coming under much closer scrutiny across the supply chain and more parties than ever are handling clinical trial products, especially when crossing borders. By understanding the full chain of custody, and ensuring that everyone involved agrees to the timelines and operating procedures, the shipment process can be made more stable and reliable, allowing more efficient supply strategies to be adopted. Perhaps the best way to achieve this end is to ensure that whoever manages the supply chain owns, or has contracts in place with, all parties involved, or risks losing control of the process. Carefully managing the global logistics infrastructure without leaving anything to chance, will become increasingly important in global clinical research, while moving to more efficient and agile regional supply chain strategies can only benefit both the sponsor and investigator site.

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Invitation

DHL | The Pulse | SPRING 2012

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Invitation to the 12th DHL Life Sciences & Healthcare Conference and Workshops June 12 – 14, 2012, Berlin, Germany

L

ife Sciences & Healthcare companies are increasingly challenged by new regulatory and quality requirements, cost pressures and changing product profiles. In addition, manufacturers and distributors are expanding into exciting new and emerging markets. Your participation will help to shape our industry direction and jointly define the strategic agenda to meet our common needs and objectives today and in the future.

Choose from 40 workshop sessions to focus on the most current topics affecting your business and help DHL define our way forward and develop the services you need. Sessions will include managing global cold chain networks, supply chain outsourcing, order to cash and direct to pharmacy distribution, end of runway solutions, clinical trials logistics and more as well as the challenges of recent regulatory developments.

This annual event attracts hundreds of logistics professionals from over 40 countries. It brings together experts from the pharmaceutical and medical device industries, healthcare and hospital distribution services, clinical supply chain and regulatory affairs. The Conference and Workshops, supported by the global DHL Life Sciences community, offer attendees the opportunity to network with expert colleagues from around the world.

Meet with a select number of suppliers involved with some of the most innovative and advanced solutions in specialty courier services, temperature-controlled transportation packaging and monitoring. Information booths from DHL Express, DHL Global Forwarding, DHL Freight, DHL Supply Chain and DHL Global Mail will allow direct discussion with our Life Sciences & Healthcare leadership teams.

Build on existing contacts and make new ones. The event provides unrivalled networking opportunities and the chance to discuss the latest solutions and strategies to meet the challenges of today’s healthcare supply chains. Expert speakers and inspiring workshops This year’s Conference will bring together expert speakers from different sectors within the industry, each with differing opinions and perspectives to share. Presentations will include outsourcing global warehousing, the role of the Lead Logistics Provider (LLP) Control Tower, optimizing European road freight networks, how order to cash solutions can transform a supply chain and more. In this rapidly changing environment, it is essential that companies are kept up to date with the latest logistics developments.

Visit our European Air Hub Customers are also offered a unique opportunity to visit DHL’s European Express Air Hub in Leipzig on the evening of June 11th, before the Conference begins, to see how multiple flights are handled and shipments rapidly sorted with the utmost service quality and reliability. The visit will also include a presentation on DHL’s soon to be opened “End of Runway” medical grade logistics center. The tour has a limited capacity and is offered to registrants on a “first come, first serve” basis. This year’s Life Sciences & Healthcare Conference and Workshops underpins DHL’s ongoing commitment to developing tailored solutions for the industry, understanding where our customers need us to be, and helps develop innovative solutions for the supply chain. Join the DHL Life Sciences & Healthcare community, together with peers and industry leaders to make this the most exciting and dynamic industry event you attend this year!

DHL | The Pulse | SPRING 2012

Invitation

Help shape the direction of our industry! We are delighted to invite you to join DHL executives and industry peers to the 12th DHL Life Sciences & Healthcare Conference and Workshops in Berlin on June 12–14, 2012.

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PRogram Pre-Conference European Air Hub visit June 11th, 2012 (optional) On the evening of Monday June 11th, coach buses will depart at 16:30 for a dinner in Leipzig and a night tour of the DHL Express European Hub. The hub tour ends at midnight and the coach returns to the hotel immediately afterwards. Those who register will be confirmed on a “first come, first serve” basis and more details will follow to those with a confirmed registration. Day 1 – June 12th, 2012 The conference will commence immediately after a welcome lunch. Life science industry leaders will speak on a variety of current topics including lean logistics, control towers and lead logistics provider and regional optimization strategies. This session will provide a unique opportunity to exchange information about life sciences’ current and future supply chain challenges.

Day 2 – June 13th, 2012 (Workshops) An entire day has you engaged in workshop sessions to collaborate and exchange knowledge on 20 of the most relevant topics selected by our customers. Our signature workshops are designed to generate innovative ideas about the products and services required to support the future supply chain needs of the industry.

Day 3 – June 14th, 2012 On day 3, we will explore topics that directly impact the sector. Industry experts will speak on such topics as transforming supply chains, simplifying processes, and generic product distribution. Panel discussions will follow.

Workshops (Day 2) Global cold chain network for all temperatures, sub-sectors, markets, and products

Using control towers to outsource more of your logistics and improve operational efficiencies

Optimizing European road freight

Pedigree and serialization – implications for the supply chain

Clinical trials network rationalization and inventory management

Order to cash solutions as a key enabler in getting closer to the customer

Managing city stocks for medical products for hospital logistics

Getting the best value from specialty courier services

Outsourcing your supply chain and benefiting from multi-client warehouses

Managing product recalls and returns

End-of-runway location benefits for medical device manufacturers

Clinical trials – can an integrated network provide a cost-effective “ premium” ambient and frozen service 5 days a week?

The diversified supply chain of the future – one size will not fit all

EU GDP including the US GDP supply chain integrity

Africa – defining investment needs in infrastructure and logistics services

How direct-to-market solutions can improve your supply chain in the market

Moving 15 °C to 25 °C heavy airfreight product on an integrator network

Ocean freight services for high-value and vulnerable cargo

Outsourcing postponement activities – re-thinking routes to market and creating an adaptive supply chain

Defining challenges and solutions for shipping medical devices and equipment to laboratories

Registration and advice You can register for this event on www.dhl-lsh-conference2012.com Should you have any questions, please, feel free to contact us on [email protected]

DHL | The Pulse | SPRING 2012

Published by Deutsche Post DHL Represented by: Angelos P. Orfanos President Life Sciences & Healthcare Customer Solutions & Innovation DHL Commercial Register No.: Registration court Bonn, HRB 6792 Turnover Tax ID No.: DE169838187 Address: Fritz-Erler-Strasse 5 53113 Bonn +49 (0)228-1820 Website: www.dhl.com

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