Digitization of pharmaceutical distribution in India: A case study of e-Milan

Abstract

India is the third largest producer of pharmaceuticals by volume; while a significant amount of its production is headed for export the domestic market is also robust. Close to 80 % (Source?) of the domestic market is serviced by the retail segment the rest of them being serviced by hospitals. The typical path taken by a pharmaceutical drug would be from the manufacturer through the distributors to the retailer onto the consumer. Given the high volumes handled by the manufacturers and distributors, the use of computers to keep track of their sales and inventory could be a necessity, yet it is not effectively adopted across the country. In this CCS we study the issues and effects of digitizing the last mile of the Indian pharmaceutical supply chain. This last mile comes from relationships between the stockists or wholesalers and retailers along with the final intermediary being the chemist or pharmacist. We have chosen e-Milan as the focus of our study due to its uniqueness in terms of approaching this digitization problem, in a country where technology adoption among the masses is low. e-Milan is the digitization architectural platform provided by AIOCD, the country’s largest association of stockists, retailers and pharmacists covering greater than 750000 members along various Indian states.