PredictLand designs, for the pharmaceutical distributor Alliance Healthcare, a demand forecasting application, with the objectives of optimizing the availability of products in pharmacies, improving sales and reducing inventory costs.
Customer
Alliance Healthcare, with an annual turnover of 1.4 billion Euros, is a leading global provider of services to the pharmaceutical industry.
Alliance Healthcare in Spain has more than 40,000 references and more than 1,000 pharmacies in its Alphega network.
It offers a wide range of solutions that span the entire healthcare business cycle, including clinical trials, product development, patient care, marketing and the healthcare supply chain.
Challenge
One of the great challenges facing the pharmaceutical industry today is the lack of knowledge about the real needs of the pharmaceutical consumer and the difficulty in synchronizing the different processes involved in the value chain (manufacturing, distribution, delivery, etc.).
Alliance Healthcare is interested in having an efficient demand forecast that will allow it to improve service to pharmacy centers and end-customer satisfaction. The solution should optimize product availability, reducing inventory costs and improving sales for both the pharmacy and the distributor.
Solution
PredictLand has developed an advanced Artificial Intelligence demand prediction model with Machine Learning and Deep Learning techniques. The innovation of the solution can contemplate all kinds of external data that can have an impact on sales, such as flu cases, data related to covid-19, weather, location of sales points, etc.
Results
With the results, Alliance Healthcare estimates an increase of at least 5% in the level of end-customer satisfaction, sales of 10% and savings of 15% in consumption, linked to optimized product lines and 4% in the cost of supplying pharmacies.
The project, called NEOFAR, has been supported by the Ministry of Industry, Trade and Tourism, as well as by the European Union through the Recovery, Transformation and Resilience Plan; and has received funding from the Ministry of Industry, Trade and Tourism within the support program for AEIs to contribute to improving the competitiveness of Spanish industry.
