Supply & vertical integration

Supply & vertical integration

Bachem considers Supply Chain Management as a holistic set of activities to drive and ensure alignment between internal and external partners, stakeholders, suppliers and manufacturers to fulfill our customers’ needs and expectations at the highest standard.

Planning, procurement, master data and distribution are part of the supply chain organization, including several functions to support the cross-functional and cross-divisional activities on a global range.

We strive for continuous improvement to achieve our vision of being a trusted and value adding partner to our customers and stakeholders.

To achieve our vision and to fully support the value generation of Bachem we aim to:

  • Ensure supply without disruption in a highly regulated industry;
  • Be aware of the requirements and needs of our customers at any time;
  • Continuously improve processes, systems and data for Bachem;
  • Provide transparency to enable fast decision making;
  • Leverage our international network

Supply chain management

 

Supply Chain Management supports Bachem with a broad range of activities. It sets the base with the creation and maintenance of master data, which includes material, vendor and customer master data on a global level as well as the definition of a mid- to long-term master production plan.

Operationally, Supply Chain Management handles all planning and procurement related activities starting with demand generation, vendor management and contracting until invoicing. All shipping related activities are also managed by the supply chain organization to ensure compliant and reliable transportation and execution based on our customers’ needs.

To control, enable and perform successful supply chain management, Bachem operates with one global ERP system SAP. This allows us to base all strategic and operational decisions on one single source of truth, our global ERP system. Having a highly efficient and interactive system supports the reaction time and flexibility needed for the volatile market environment. This also enables us to better serve our customers and with low risk.

Vertical integration

To secure the supply of critical raw materials we have well established long-term relationships with our suppliers as well as in-house manufacturing among different sites globally. We visit and audit our suppliers regularly to ensure compliance and high quality standards. Additionally, we have a supply chain strategy and risk management in place, which regularly gets reviewed and adjusted as appropriate. Through our in-house manufacturing facilities, we have a competitive advantage and we can leverage knowledge, experience and risks to ensure the highest quality products. Our in-house manufacturing includes large scale LPPS, SPPS and Oligonucleotides as well as small scale R&D development.

The supply chain strategy defines the need of dual source for critical starting materials as amino acid derivatives (AAD). Dual Source can either be a second external source to leverage the risk, but also the development of the manufacturing process for those materials internally, in our center of competencies in Bubendorf, Switzerland. Subsequently, we then expand the process within our internal supply network consisting of a variety of manufacturing sites. With this vertically integrated approach and risk management we provide:

  • High level of agility to implement adaptations according to customers’ specific needs
  • Highest quality control standards
  • No supply interruptions throughout the scale up process with in-house manufacturing sites
  • Robust supply chain through independency of third party suppliers for critical materials
  • Seamless communication and straightforward internal know-how transfer

 

Our team and organization

Global Supply Chain Management is headquartered in Bubendorf, Switzerland and is organized on a regional level with offices in the US as well as Switzerland.

We invest significantly and focus on the diversity of skills, people and culture. Our aim is to be able to continuously grow and broaden our expertise to make the right decisions in a complex and fast-changing environment.

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