Healthcare logistics service providers (LSPs) play an important role in ensuring pharma products arrive safely and on-time. While in-transit, these products require extreme care, including temperature- controlled packaging and strict compliance standards. However, even with these solutions, spikes in cargo theft have made it difficult for LSPs to keep their customers’ products safe.
Here’s why pharma LSPs have become a target and what they can do to spot, mitigate, and avoid risk.
Why healthcare logistics service providers are a prime target for theft
Whether you’re an LSP or simply work with one, you know they can make a huge difference in simplifying logistics solutions. They handle everything from warehousing to transportation, which can make for an efficient, streamlined management system. However, control over all of these variables also means more to oversee. The more an LSP for pharma needs to manage, the more it might accidentally miss.
Pharmaceutical products can fetch a hefty sum on the black market. Their small size also makes them easy for criminals to transport from tractor-trailer back to base. Worse, it can be difficult for pharmaceutical companies to trace a product once it goes missing. All of these factors combine to make pharma products—and pharma LSPs, specifically—an attractive target.
Of course, a pharma company can’t simply ignore a theft. That would mean lost revenue and potential fines once the stolen goods were illegally distributed. Additionally, while it’s sometimes possible to return these products, they’re often still unusable due to compliance violations.
For these reasons, avoiding theft in the first place is always the best plan – and visibility and risk monitoring are the best preventative medicine.
The role of visibility and risk monitoring for life science and healthcare LSPs
To prevent theft, healthcare logistics service providers need visibility across their supply chain. While in transit, this means both product-level visibility for customer goods and the ability to track their own assets. This way, an LSP can monitor for signs of both tampering and theft. If they detect an issue, they can then take immediate action.
Supply chain SaaS providers can also provide LSPs with solutions to make tampering and theft more difficult. For example, Overhaul’s Intelligent Door Seal Solution warns LSPs when a criminal attempts to open a carrier door. Additionally, our RiskGPT solution makes it easier to respond to alerts in real time and take corrective action. And should the worst happen and a shipment is stolen, our connections with law enforcement are an LSP’s best bet for getting them back.
How Overhaul benefits LSPs in the healthcare industry
Through Overhaul’s visibility and risk monitoring, LSPs can improve efficiency and enhance security. They can also improve customer service by showing their customers they take risk seriously. Coupled with our cold chain and TTS capabilities, we’re also able to ensure an LSP’s product quality and further prevent loss.
Learn more about how Overhaul can help logistics service providers overcome pharma supply chain challenges.
