A Framework to Enhance Supply Chain Resilience The Case of Malaysian Pharmaceutical Industry

Abstract

Purpose: The purpose of this paper is to investigate the vulnerabilities and the capabilities of the Malaysian Pharmaceutical manufacturing supply chain. This is the first phase of a research to develop a framework for enhancing pharmaceutical supply chain resilience Design/methodology/approach: The grounded theory method was applied from the managerial perspective. Semistructured interviews were conducted with key supply chain personnel of seven Pharmaceutical companies with large manufacturing capacities in Malaysia Findings: The findings of the survey revealed 4 dimensions of supply chain vulnerabilities (Turbulence, external pressures, sensitivity and connectivity) and 6 dimensions of supply chain capabilities (flexibility, visibility, adaptability, collaboration, reserve capacity and supplier dispersity. The survey also revealed that adapting the Halal-Toyyiban Assurance into the Pharmaceutical logistics had a mitigating effect on the supply chain vulnerabilities as well as an enhancing effect on the supply chain capabilities Research implications: Since supply chain resilience can be determined from the constructs of supply chain vulnerabilities and supply chain capabilities, the next phase of this research would explore the dimensions of HalalToyyiban Assurance that impact on Pharmaceutical supply chain resilience. The last phase would evaluate the effect of Halal-Toyyiban Assurance in Pharmaceutical logistics, towards the relationship of resilience predictor variables (capabilities and vulnerabilities) and supply chain resilience. Originality/value: This research provides a new understanding in the management of the Pharmaceutical supply chain as well as create critical insights for decision makers through policy formulations and guiding principles that would improve the long term global competitiveness of the pharmaceutical industry