5 Key Trends Shaping the CDMO Industry in 2024

Ahead of the CPHI conference taking place in Milan 8-10 October, we take a look at 5 key trends that are shaping the CDMO (Contract Development and Manufacturing Organisation) industry in 2024, and the industry's response to evolving market demands, technological advancements, and lessons learned from recent global challenges. 

More pharmaceutical companies, both large and small, are outsourcing drug projects to CDMOs, from development through commercialisation. This trend is driven by supply chain concerns, financial considerations, and the need for specialised skills and increased capacity.

1. Transition towards Customer-Driven Manufacturing :

CDMOs are shifting to a customer-centric model, prioritising customer needs throughout all aspects of the business. This involves designing facilities around the customer experience and facilitating direct communication between executives and customers.

At Veratrak, we strive to deliver innovative software solutions that optimise collaboration between pharma organisations and their service providers. Our newly launched PO Management platform integrates seamlessly with CDMOs and CPOs’' ERP systems, enabling them to deliver faster turnaround times, and better service to customers by providing them with an easy-to-use interface to submit purchase orders. 

With all order-related activities centralised on a single platform, pharma supply planners gain advanced visibility for planning needs and a comprehensive oversight of their orders. In addition, users can access accurate forecasting of completion dates, and the ability to comment on specific orders, facilitating better communication between account managers and customers.

2. Agile Manufacturing:

Adopting more flexible and responsive manufacturing processes help CDMOs to adapt quickly to changing market demands and regulatory requirements. This includes using multi-use manufacturing platforms, flexible facility design, integrating data analytics and automation. 

By implementing agile manufacturing practices, contract services providers can optimise their operations in real-time, including the use of advanced process automation, artificial intelligence, and real-time monitoring systems, which enhance production efficiency and facilitate seamless adaptability.

From Veratrak’s Purchase Orders Management dashboard, CDMOs and CPOs can manage supply planning with real-time data at their fingertips, enabling them to:

• Optimise production schedules 
• Manage stock inventory and inventory allocation more effectively
• Respond swiftly to client enquiries without switching between systems or hunting for information

3. Embracing Digitalisation:

CDMOs are leveraging digital technologies to optimise operations and stay competitive. Key areas include advanced data management, automation of manufacturing and quality control processes, and digital collaboration tools.

Veratrak’s software secures the most critical documents and data exchanges, and facilitates custom process-driven review and approval workflows, compliant e-signatures, and exchanges with your partners backed by an iron-clad audit trail.

Contact us to understand how we help CMOs, CDMOs and CPOs organise and automate critical workflows in a secure platform, improving collaboration with customers, and in compliance with GxP Data Integrity, FDA 21 CFR Part 11, and EU GMP as standard.

4. Focus on Sustainability:

Sustainability has become a key focus in the pharmaceutical industry, with some organisations requiring suppliers and contractors to meet specific environmental targets. 

Download our new white paper “Benchmarking Scope 3 emissions reporting across the Pharmaceutical industry” to read about the latest environmental initiatives such as the “Energize” project, driven by Schneider Electrics, which aims to accelerate renewable energy adoption by bringing together leading pharmaceutical companies to collaborate with their suppliers on reducing their Scope 3 emissions.

Explore our case study to discover how Veratrak empowers healthcare and life sciences companies to monitor their supply chain partners' carbon footprint using the innovative Scope 3 metrics module within the Hub Platform. Download it here: "Leveraging Final Mile Data to Derive Standardised Carbon Emissions Reporting Across Continents".

5. Emphasis on Supply Chain Resilience:

The pandemic exposed supply chain vulnerabilities, such as the risks of over-reliance on distant suppliers, particularly for essential medicines and their ingredients. Following the disruption, there is a growing need for end-to-end visibility across the supply chain to identify and mitigate potential risks quickly, and the industry is increasingly turning to digital solutions and advanced technologies to enhance supply chain resilience.

By leveraging an integrated platform like the Hub, CDMOs and pharmaceutical companies can enhance their supply chain visibility, better prepare for future disruptions, and optimise their operations in line with the industry's growing focus on robust, flexible supply chains.

Join the leading CDMOs who've revolutionised their operations with Veratrak. Schedule a demo today and see how our Purchase Orders Management module can transform your supply chain efficiency. Alternatively, schedule a meeting with the team at CPHI.