Inventory drivers in a pharmaceutical supply chain

In recent years, inventory reduction has been a key objective of pharmaceutical companies, especially within cost optimization initiatives. Pharmaceutical supply chains are characterized by volatile and unpredictable demands –especially in emergent markets-, high service levels, and complex, perishable finished-good portfolios, which makes keeping reasonable amounts of stock a true challenge. However, a one-way strategy towards zero-inventory is in reality inapplicable, due to the strategic nature and importance of the products being commercialised. Therefore, pharmaceutical supply chains are in need of new inventory strategies in order to remain competitive. Finished-goods inventory management in the pharmaceutical industry is closely related to the manufacturing systems and supply chain configurations that companies adopt. The factors considered in inventory management policies, however, do not always cover the full supply chain spectrum in which companies operate. This paper works under the pre-assumption that, in fact, there is a complex relationship between the inventory configurations that companies adopt and the factors behind them. The intention of this paper is to understand the factors driving high finished-goods inventory levels in pharmaceutical supply chains and assist supply chain managers in determining which of them can be influenced in order to reduce inventories to an optimal degree. Reasons for reducing inventory levels are found in high inventory holding and scrap related costs; in addition to lost sales for not being able to serve the customers with the adequate shelf life requirements. The thesis conducts a single case study research in a multi-national pharmaceutical company, which is used to examine typical inventory configurations and the factors affecting these configurations. This paper presents a framework that can assist supply chain managers in determining the most important inventory drivers in pharmaceutical supply chains. The findings in this study suggest that while external and downstream supply chain factors are recognized as being critical to pursue inventory optimization initiatives, pharmaceutical companies are oriented towards optimizing production processes and meeting regulatory requirements while still complying with high service levels, being internal factors the ones prevailing when making inventory management decisions. Furthermore, this paper investigates, through predictive modelling techniques, how various intrinsic and extrinsic factors influence the inventory configurations of the case study company. The study shows that inventory configurations are relatively unstable over time, especially in configurations that present high safety stock levels; and that production features and product characteristics are important explanatory factors behind high inventory levels. Regulatory requirements also play an important role in explaining the high strategic inventory levels that pharmaceutical companies hold

k-Nearest Neighbor Classification over Semantically Secure Encrypted Relational Data

Data Mining has wide applications in many areas such as banking, medicine, scientific research and among government agencies. Classification is one of the commonly used tasks in data mining applications. For the past decade, due to the rise of various privacy issues, many theoretical and practical solutions to the classification problem have been proposed under different security models. However, with the recent popularity of cloud computing, users now have the opportunity to outsource their data, in encrypted form, as well as the data mining tasks to the cloud. Since the data on the cloud is in encrypted form, existing privacy preserving classification techniques are not applicable. In this paper, we focus on solving the classification problem over encrypted data. In particular, we propose a secure k-NN classifier over encrypted data in the cloud. The proposed k-NN protocol protects the confidentiality of the data, user's input query, and data access patterns. To the best of our knowledge, our work is the first to develop a secure k-NN classifier over encrypted data under the semi-honest model. Also, we empirically analyze the efficiency of our solution through various experiments.Comment: 29 pages, 2 figures, 3 tables arXiv admin note: substantial text overlap with arXiv:1307.482

Choosing between internal and non-internal R&D activities: some technological and economic factors

This paper evaluates some of the technological and economic factors that underlie the choice between in-house R&D, R&D alliances and outsourcing. We recount the reasons for the growth in non-internal activities, and explain why these are not as prevalent for R&D as other value-adding activities, and highlight that outsourcing is most often undertaken where multiple, substitutable sources are available. We then develop two frameworks. First, a static framework is developed, which evaluates the choice of mode based on a firm''s distribution of competencies, and their strategic importance. Second, a dynamic framework is developed that demonstrates how the static framework differs depending on whether the firm is engaged in pre-paradigmatic, paradigmatic or post-paradigmatic sectors. We also consider the effect of new technologies being introduced to a firm''s portfolio of competencies.industrial organization ;

Methods for Classifying Nonprofit Organizations According to their Field of Activity: A Report on Semi-automated Methods Based on Text

There are various methods for classifying nonprofit organizations (NPOs) according to their field of activity. We report our experiences using two semi-automated methods based on textual data: rule-based classification and machine learning with curated keywords. We use those methods to classify Austrian nonprofit organizations based on the International Classification of Nonprofit Organizations. Those methods can provide a solution to the widespread research problem that quantitative data on the activities of NPOs are needed but not readily available from administrative data, long high-quality texts describing NPOs' activities are mostly unavailable, and human labor resources are limited. We find that in such a setting, rule-based classification performs about as well as manual human coding in terms of precision and sensitivity, while being much more labor-saving. Hence, we share our insights on how to efficiently implement such a rule-based approach. To address scholars with a background in data analytics as well as those without, we provide non-technical explanations and open-source sample code that is free to use and adapt

Secure Outsourced Computation on Encrypted Data

Homomorphic encryption (HE) is a promising cryptographic technique that supports computations on encrypted data without requiring decryption first. This ability allows sensitive data, such as genomic, financial, or location data, to be outsourced for evaluation in a resourceful third-party such as the cloud without compromising data privacy. Basic homomorphic primitives support addition and multiplication on ciphertexts. These primitives can be utilized to represent essential computations, such as logic gates, which subsequently can support more complex functions. We propose the construction of efficient cryptographic protocols as building blocks (e.g., equality, comparison, and counting) that are commonly used in data analytics and machine learning. We explore the use of these building blocks in two privacy-preserving applications. One application leverages our secure prefix matching algorithm, which builds on top of the equality operation, to process geospatial queries on encrypted locations. The other applies our secure comparison protocol to perform conditional branching in private evaluation of decision trees. There are many outsourced computations that require joint evaluation on private data owned by multiple parties. For example, Genome-Wide Association Study (GWAS) is becoming feasible because of the recent advances of genome sequencing technology. Due to the sensitivity of genomic data, this data is encrypted using different keys possessed by different data owners. Computing on ciphertexts encrypted with multiple keys is a non-trivial task. Current solutions often require a joint key setup before any computation such as in threshold HE or incur large ciphertext size (at best, grows linearly in the number of involved keys) such as in multi-key HE. We propose a hybrid approach that combines the advantages of threshold and multi-key HE to support computations on ciphertexts encrypted with different keys while vastly reducing ciphertext size. Moreover, we propose the SparkFHE framework to support large-scale secure data analytics in the Cloud. SparkFHE integrates Apache Spark with Fully HE to support secure distributed data analytics and machine learning and make two novel contributions: (1) enabling Spark to perform efficient computation on large datasets while preserving user privacy, and (2) accelerating intensive homomorphic computation through parallelization of tasks across clusters of computing nodes. To our best knowledge, SparkFHE is the first addressing these two needs simultaneously