Supporting and Preserving Value Creation During Rapid Growth: The Role of Strategic Sourcing and Procurement for Biopharmaceutical Companies
Adventus is led by Dave Stowe, its founder. Prior to Adventus, Dave led procurement and sourcing functions for two mid-sized biopharma companies – Horizon Therapeutics and Purdue Pharma – where he developed and transformed the corporate buying process. Earlier in his career, Dave was a Director in PwC’s life science practice working with pharma, med tech and healthcare clients to transform their procurement and supply chain operations.
Providing clients with insight and support to manage suppliers, costs and risks.
Developed procurement operating model
Working with a midcap biopharma company, defined the Source-to-Pay (S2P) process and operating model necessary to support mid-cap pharma company. Process involved defining organization structure, systems, processes, policies, and metrics. Developed business case and secured support of CFO, CEO and Executive Committee members to launch department.
Reduced pharmacovigilance costs
Reduced Pharmacovigilance (PV) costs by 18% for outsourced BPO and technology services through comprehensive sourcing effort for a midsized biopharma company. Collaborated with team members from R&D, PV, IT and Finance to conduct RFI, RFP and finalize executive proposal.
Laboratory operational efficiency
Using Lean Six-Sigma approach improved medical laboratory operational efficiency. Increased gross margin by 325 basis points and reduced operating expenses by 180 basis points. Worked with CFO, COO, engineers, production managers and quality control to analyze, develop and deploy improved operational layouts to drive labor productivity up by 31% and reduce throughput by 71%.
Developing a clear path
After many long days, years and combined team effort, you team completed its filing for a potential blockbuster NDA. The future looks so bright, what could go wrong?
Emerging companies depend on suppliers more than large companies and must address a number of risk and cost issues across R&D, Technical Operations, Commercial and Administrative functions.
We work with clients to manage to help them identify and manage supply risks and costs. Consider:
- Supply risks: Will you outgrow your current suppliers?
- Financial risks: Do you have internal audit issues related to supplier contracting and payment?
- Enterprise risks: Is there an understanding of issues like pandemics and sustainability have on managing suppliers?
- Organizational structure: Are departments adding headcount to manage suppliers?
- Cost management: Is there a “new budgeting normal” due to growing supplier spend?