How AI Helped a Pharma Giant to Transform Its Procurement Infrastructure

Summary:

AI transformation of the pharma giant’s R&D procurement infrastructure significantly improved operational efficiency, reduced costs, and accelerated the drug development process. 

Client: 

A Fortune 200 pharmaceutical company

Problem Statement: 

A Fortune 200 pharmaceutical company faced significant challenges in their R&D procurement processes, resulting in inefficiencies that hindered their ability to bring new drugs to market quickly. 

The company sought partners to help create a new-age infrastructure that would keep up with market demands  to transform its procurement infrastructure. The collaboration aimed to reduce drug development time and improve operational efficiency across the R&D lifecycle.

 

Results:

  • Accelerated timelines for drug development processes.
  • Strengthened partnerships by engaging with 35 new key vendors.
  • Completed 10 master service agreements, 15 single-use service agreements, and 21 statements of work with vendors to facilitate virtual clinical trials and research on AI-driven drug compounds.
  • Developed seven standard operating procedures to clearly define processes, roles, and responsibilities for the Strategic Transactions Group, establishing a lasting framework for identifying and managing R&D vendors.
  • Created onboarding tools and guides to assist new R&D team members in navigating various systems effectively.

AI Solution Overview:

A Fortune 200 pharmaceutical company partnered with GEP to pave a path toward reduced drug development time, enhanced patient experience and greater operational efficiency. GEP helped the client build and execute that strategy.

GEP adopted a comprehensive, multi-pronged approach.

GEP conducted a detailed assessment of the company’s existing R&D procurement practices. This included mapping out procurement workflows, identifying bottlenecks, and gathering input from key stakeholders. GEP then developed a customized strategy focusing on centralization, process optimization, and digital transformation.

GEP implemented its cloud-native procurement software, GEP SMART, to centralize procurement processes and improve data visibility. The software enabled end-to-end procurement automation, supplier management, and spend analytics.

GEP introduced a supplier collaboration platform GEP NEXXE to streamline communications, enhance compliance tracking, and foster innovation through strategic partnerships. Built on a foundation of big data, AI and ML, GEP NEXXE is software that helps enterprises make supply chain a competitive advantage.

References: 

  1. How GEP Helped A Pharma Giant Transform R&ED Procurement Infrastructure and Reduce Drug Development Time. https://www.gep.com/case-studies/thank-you?sourcenid=8012&type=case_study&source_pageurl=https%253A%252F%252Fwww.gep.com%252Fcase-studies%252Fhow-gep-helped-a-pharma-giant-transform-r-and-ed-procurement-infrastructure-and-reduce-drug-development-time%253Fajax_form%253D1%2526_wrapper_format%253Dhtml
  2. 10 AI Procurement Use Cases & Case Studies. https://research.aimultiple.com/ai-procurement/

Industry: Pharmaceutical

Vendor: GEP

Client: A Fortune 200 pharmaceutical company

Publication Date: 2024