Question
Currently, the manufacturer is facing the following product-related situations: Due to the adjustment of dosage for this new indication, it would require supporting 3200 patients'
Currently, the manufacturer is facing the following product-related situations:
- Due to the adjustment of dosage for this new indication, it would require supporting 3200 patients' clinical data with new treatment regimen for 6-months and the clinical team has proposed that the product should be supplied as an investigational product2to the registered clinical sites prior to 6-months from September 1, The expected quantity to be supplied is 48000 I.V. vials.
- Additionally, due to a raw material supply (and supplier) issue, the manufacturer is already planning and seeking replacement with a new Tier-1 raw material Technically, such raw material changes could impact the in-process material, active formulation constitution, that may not conform to the predetermined specification to one or more processing steps that are different from the established manufacturing process in order to obtain acceptable quality in-process material. Further, the manufacturer has learned that a batch supplied by this new Tier-1 raw material supplier to another manufacturer for their marketed product is under investigation due potential ingredient which could be contaminated and could potentially cause public health concerns.
- Currently, the manufacturer is also planning to scale-up the commercial production of thiscurrent marketed product (i.e. original dosage), and establish a validated cGMP plan inpartnership with a contract manufacturer outside the US, and this transfer would allow to startproduction in the next 6-months.
Based upon the assessment of the raw materials team, the current materials stock would only allow production of 40,000 I.V. vials. Therefore, the manufacturing team is facing a dilemma of whether to focus on the reformulation and supply of investigational drug batches to the clinical sites or to use the raw materials to meet the market supply and demand.
The ABC product costs $167.50 (USD) per vial in actual production, and sells at the market price of $945 (USD) per vial. Each vial filling (including formulation) takes 36 hours (i.e., per unit/vial) due to an additional purification step prior to composition of the final filled formulation and to allow the finished product to be packaged. The market price for both US and EU will remain the same at $945(USD) per vial, though the price for foreign markets (i.e., other international markets, global geographies) would be reduced to $499 per vial to factor in the currency change and market price fluctuations. However, the US and EU markets may need the demand, though may not be able to exhaust the inventory which could lead to fewer orders in future. Whereas, the foreign markets have higher demand and potential for more orders.
Strategy for Supply Chain and Business Decision:
Based upon this case scenario create a strategy for the manufacturer taking into consideration both tasks: 1) supply to clinical sites; 2) supply to US and foreign markets. Add to this assessment the impact of raw materials supplies (as described earlier). Then present as a logical pathway to a resolution. Take an approach of presenting a business decision pitch with best suitable option, as the manufacturer's supply chain and risk management (RM) team to the executive management.
Estimate the time, raw materials, and calculate how much it will take to create the
Evaluate if there is any option for introducing any contract manufacturing work which could add up or scale-up If so, how should the manufacturer strategize meeting the demand. Note: This would add as a third option (apart from the two options, i.e. strategic pathways)
Develop the RPN calculation for the raw material supplier change (i.e., B). Assess and create a product severity, occurrence, and detection
Create an assessment of new raw material supplier and implementation into quality Include additional review that may be needed due to their recent history of ingredient contamination issue with potential to cause public health concerns, for another manufacturer.
Apply general risk management process and develop a cause-and-effect assessment, as applicable for all options (two options and additional if added for contract manufacturing).
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