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Case study: creating a blueprint for pharmaceutical distribution.

Article Excerpt
The brief: AstraZeneca (AZ) appointed NYK Logistics (UK) Ltd (NYK) as its single supplier for the road transport of pharmaceutical raw materials and finished pack and components from its manufacturing plants throughout Europe into its European distribution network. NYK had to manage the operation, which involves the temperature-controlled distribution of more than 100000 pallets of product per annum from nine European manufacturing plants to more than 100 delivery points in 27 countries throughout Europe. By implementing some radical changes, most notably, the sharing of distribution networks between clients, NYK delivered a successful solution.

Prior to the appointment of NYK, AZ's manufacturing plants had operated independently and been responsible for managing their own transportation. As such, the union with NYK represented a radical departure from the pharma company's previous transportation model. The project also encouraged AZ's supply chain to move from a push system to a pull system through the introduction of lean manufacturing and supply chain principles.

Key objectives for NYK

* Secure competitive pricing rates.

* Establish common...

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