Embracing Digital Manufacturing Transformation in the Pharmaceutical Industry

The pharmaceutical industry is undergoing a massive transformation, which is being fueled by strongly accelerating digital technology. This transition parallels what is happening in other process and discrete manufacturing environments.

Manufacturing and supply chains of manufacturing companies in general are changing as a result of the incorporation of cutting-edge hardware technologies like extended-reality headsets, exoskeletons, collaborative robots (cobots), and software like advanced analytics, digital twins, digital operational excellence, performance management software, and (generative) AI applications. This trend within pharma manufacturing is about enhancing human-machine interaction in order to enhance productivity, creativity, and employee engagement within a business, rather than only using technology.

Four points for consideration in the pharmaceutical manufacturing community.

1. Recognizing the Meaning Shift

According to trends in pharmaceutical industry research, pharmaceutical companies must reconsider their business strategy. Digital transformation, which is required to address issues such as inflation, interest rates, and changing tax regimes, is a major driving force behind this reinvention. The primary focus is on leveraging artificial intelligence and analytics for growth and efficiency. Obviously, in the boardroom, this shift is broader than manufacturing only; it's also about accelerating innovation cycles, speeding up go-to-market, shorting the process of clinical trials, and driving mergers and acquisitions to gain competitive cost and innovation capacity and diversify the medicine portfolio.

2. Implementation strategies

When introducing new technology to the production floor, it is critical to use a thorough and planned "progression approach." Begin small, create learning sprints, establish success stories, and scale quickly. It requires things like communicating the bigger picture to the workforce, incorporating them into risk assessments, and recognizing that different people have varied learning needs. Timelines based on reality, ongoing guidance, and feedback mechanisms are all critical during the adoption phase. Following the completion of the deployment, the primary focus should be on monitoring, receiving feedback, and researching potential uses for the technology.

According to PWC, in their pharma industry trends report for 2024 , technology can drive:

• Reduced process timelines by 60% to 70%: Because of on-demand or near-real-time intervention in clinical trials, supply optimization, and true data-driven decision-making with the ability to codify and automate institutional knowledge.
• Patient, provider, and life sciences company burdens are reduced: Through operational improvements and artificial intelligence-assisted decision and task optimization. Impacts across the ecosystem of patients, providers, and value chain players.
• Reduced operational costs by at least 30%: As a result of improved efficiency in delivering operational productivity improvements driven by content automation, improved data quality, and automated collection and processing.
• A 40% or more reduction in project delivery timelines: Prototyping in weeks, not months, and deployment in months, not years—transforming IT from an enabler to a digital partner.

3. Adoption of Technology with an Employee-Centered Approach

When it comes to the production silo within the pharma supply chain, the efficient interaction between workers, technology, and underlying processes is critical to the successful inclusion of new technologies. Frontline workers' perspectives, involvement, and ownership are critical during this shift. People's involvement in the process of adopting and altering technology ensures that the innovations in issue are not only functional but also user-friendly and truly beneficial.

How? Pharma businesses can work on the following factors to improve efficiency and have a beneficial impact on the end result of digital transformation in manufacturing:

• Involvement: Involve employees in the planning and training stages of technology installation. Provide thorough training, off and on-the-job, that takes into account different learning styles and skill levels.
• Feedback: Establish regular feedback channels for staff to discuss their experiences and comments about the new technology.
• Support: Provide continual on-the-job support and resources to staff to ensure they are comfortable and proficient with technology.
• Reward: Employees that adapt successfully to new technology or bring useful insights for development should be recognized and rewarded.
• Champions: identifying and empowering technology champions among employees who can mentor others and develop a positive attitude toward change.
• Workplace Safety: Ensure that new technologies improve workplace ergonomics and safety, directly improving the well-being of employees. Not only 'hardware' and 'physical' safety, but also mental safety and inclusivity.
• Growth: Link technology adoption with professional development opportunities to show employees a clear route for growth and promotion.

Pharma manufacturing can improve employee engagement and productivity by concentrating on these areas, resulting in a more successful digital transition.

4. Additional Benefits Aside from Effectiveness

This method not only increases operational savings, but it also supports higher staff retention and enjoyment. Employees who feel appreciated and integral to the process have a more engaged and imaginative staff.

Instead of being only a technological improvement, the inclusion of advanced digital technology in the pharmaceutical sector signifies a paradigm shift toward a more collaborative, inventive, and individual-focused approach. Companies may benefit not just from increased operational savings by putting people at the center of this shift, but they may also produce a workforce that is more resilient, adaptive, and satisfied with their work. This human-machine collaboration is the foundation of the pharmaceutical industry's next wave of industrial transformation. It envisions a future in which technology and human ingenuity will collaborate to redefine what is possible in medicine and healthcare.

Neil Webers is group partner and Executive Vice President at EFESO Management Consulting. He is the founder of the Performance Behavior methodology and publishing author of 'Performance Behavior' and 'The Big Improvement Resource'. (both published by Academic Service) For questions about his articles, further elaboration on the digital transformation within Pharma/Life Science, and the role of people in it, or public speaker opportunities, his email is: [email protected]

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