Centrum 7/6  banner

Suppliers respond to COVID-19: Amerisource Bergen

Print Friendly, PDF & Email

AmerisourceBergen ensures stable product availability.

Editor’s note: This is part of a series of articles on how retailers are responding to the COVID-19 crisis.

At AmerisourceBergen, we are driven to deliver — during “blue skies” and in times of immense need. There’s no question that the novel coronavirus COVID-19 has challenged our health care system, including the pharmaceutical supply chain, in new and complex ways. Health care providers and leaders are working tirelessly around the clock to stave off the systematic spread of this disease. Even though many Americans are following quarantine orders and many businesses have shut down, pharmaceutical distributors like AmerisourceBergen are in full operation.

Erin Horvath

We take our responsibility to protect and maintain the integrity of the global pharmaceutical supply chain very seriously. With the ongoing spread of this virus, we are actively implementing our business continuity efforts and have teams across the globe working on a constant basis to make sure that we can deliver the necessary medications where they are needed for patients.

As you can imagine, customers across the country are increasing inventory for several reasons, not least of which is to accommodate increasing patient influx or longer-term fills such as 90-day prescriptions. We are in constant communication with manufacturers to buy in-demand inventory as quickly as possible to meet increased demand from customers, with all participants in the global supply chain wanting to ensure stability for patient demand in the future.

Based on the demand right now, we have enacted our fair share allocation program, which creates safeguards on products in high demand to ensure stable availability. The program applies to all AmerisourceBergen customers using our company as their primary source of purchasing. The program provides each customer with a “fair share” of product when pharmaceutical manufacturer supply issues occur and impact availability. Through the program, we allocate an equitable portion of the available short-supply product based on a customer’s historic demand.

As of now, several products in the following categories have been placed on allocation: inhalers and nebulizers, cough/cold medications, antivirals, antibiotics, antipyretics, IV fluids, critical care items and pain relief medications. Allocation programs are not enacted to withhold medications, they’re utilized to protect inventory to ensure all customers can get a fair amount of product in a time of great need. The fact that these products are on allocation does not mean that we are running out; it is simply a method to ensure stable availability in the future.

We are increasing inventory for high-demand products as quickly as possible while being as responsible as possible to the overall supply chain, working closely with our manufacturer partners. In early March, we increased our days on hand for IV fluids, generic injectables and related products for acute care providers, as well as essential medicines in other classes. In fact, we are taking broad action to lift inventory across the board.

In terms of the global pharmaceutical supply chain, we have been notified of a small number of drug shortages due to COVID-19, and all impacted products have therapeutic alternatives available. We also continue to monitor the API [active pharmaceutical ingredient] export restrictions out of India. While the duration of the export restrictions is currently unknown, we don’t anticipate immediate impact to the supply chain.

Due to high ordering volumes across our entire network, AmerisourceBergen is asking customers to submit orders as early as possible, submit orders in one purchase order, order strategically and not nervously, and to return totes with drivers.

In addition to working with our manufacturer partners to increase inventory, we are increasing our distribution center staffing. Our distribution centers are also taking extra measures for cleanliness given the volume of human health products that are processed through each facility. Distribution centers are using BruTab 6sor Shockwave (powerful EPA-approved disinfectants) through electrostatic sprayers and standard spray canisters for two or three additional cleanings per day. We have implemented several new policies with our courier drivers to ensure our mutual safety as well.

In the event of any unanticipated closure, AmerisourceBergen would enact our business continuity plans and backup distribution center support. AmerisourceBergen has 27 wholesale distribution centers across the United States, 25 of which can support one another in case of emergency. We can transfer orders from one servicing distribution center to ­another.

I am extremely proud of our distribution center associates, who are amazing at what they do and are delivering exceptional work during an unprecedented time. I’ve also never been prouder to work for AmerisourceBergen and the pharmaceutical supply chain. While pharmaceutical distribution is the backbone of our business, AmerisourceBergen touches so many aspects of the health care system. We have nurses working on the front lines supporting patients in Canada, our global logistics firm is navigating hot zones to deliver therapies to patients’ homes so they can still participate in clinical trials, and we have a patient support services organization that is helping patients navigate access to critical therapies during this trying time. The stories go on, but our purpose has never been clearer: We’re united in our purpose to create healthier futures.

Erin Horvath is president of distribution services at AmerisourceBergen.


ECRM_06-01-22


Comments are closed.

PP_1170x120_10-25-21