A REVIEW OF INVENTORY MANAGEMENT PRACTICES
IN THE PHARMACEUTICAL INDUSTRY: CHALLENGES AND OPTIMIZATION STRATEGIES

Priya M , Likhitha G P, Aysha Hana MTC , Nidha Fathima CA , Aminath Dana Munawara

The pharmaceutical supply chain directly influences patient outcomes and healthcare system effectiveness by ensuring the consistent supply of safe and effective medications. Nonetheless, inventory control in this field encounters ongoing issues like stock shortages, purchasing inefficiencies, and excess stock, leading to higher operational expenses and jeopardizing patient care. This study aims to assess existing inventory management practices and identify effective strategies for improving supply chain efficiency. Employing a narrative review approach, recent studies on inventory management methods, technological implementations, and drug supply networks were analysed. Relevant research was systematically reviewed to pinpoint shared difficulties and assess various optimization methods employed in practice. The findings indicate that the primary causes of inefficiencies are insufficient coordination among stakeholders, inaccurate demand predictions, and a deficiency in real-time inventory oversight. The performance of inventory is significantly improved by merging conventional inventory management strategies with advanced digital technologies such as data analysis and automated systems. Enhanced planning, improved integration of information systems, and better coordination were discovered to decrease surplus inventory and avert shortages. The research concludes that implementing a comprehensive and advanced technological method for inventory management can enhance productivity, minimize waste, and ensure a consistent supply of medications. This research is distinctive as it merges traditional and modern methods to provide a thorough framework for enhancing the performance of the pharmaceutical supply chain.

Keywords –Demand forecasting; digital inventory systems; healthcare supply chain; inventory optimization; pharmaceutical logistics; supply chain coordination.