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Industry Experience

Healthcare Services & Pharmaceuticals Distribution

The health care services industry has among the highest demands on the integrity of movements, including exceptionally high chain-of-custody control and tracking requirements. The service tolerance is understandably minimal.

This comes at a high unit cost for every delivery that is made. It is the contrast of a scale supply chain that we work within in grocery retail, however our work with several key industry clients over many years gives us a unique positioning as contextual supply chain problem solvers in the health services sector.

Similarly the pharmaceutical sector and supply chain operations are strongly influenced by government regulators. The key supply chain themes involve the efficient and high accurate order picking and storage of high value products as well as safe and secure transportation, which requires efficient and accurate demand and supply planning.

The industry supply chain strategy solutions we have engineered across this sector include:

  • Resolving chain of custody issues
  • Defining appropriate customer service levels by segment
  • Optimising delivery routes
  • Obtaining product delivery visibility
  • Designing optimal storage and order picking facilities

We partnered with Australia’s national body for blood donation and related services to undertake a situational analysis, logistics distribution strategy and procurement process. Our foundational understanding of the urgent and criticality of service required (e.g. taxi truck, patient-on-table, etc.) played a formidable role in the development of a logistics strategy and the appointment of outsourced providers who were aligned to the needs of the client.

On the pharmaceutical side of the industry, we partnered with a leading wholesaler and retailer over many years of supply chain transformation. Our work touched every element of their supply chain in a redesign and implementation of distribution centre operations and order management and planning systems.

We have partnered with industry leaders across the region including:

  • API
  • Australian Red Cross Blood Service
  • Ego Pharmaceuticals
  • Sigma
  • Stryker

Client Challenge


The client was looking to consolidate three existing facilities into a single Distribution Centre in Melbourne in a short timeframe.

The Situation:

  • XAct Solutions engaged to deliver a new 12,400m2 DC in Melbourne
  • New DC to consolidate three existing facilities
  • Time-critical due to imminent lease expiry.

The Outcome:

  • DC secured on extremely competitive rental rates
  • A large structured incentive that included racking, general incentive and ongoing transport rebates
  • Project delivered on time with developer assuming risk on timing.

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