May 17, 2020

Comment: Internet of Things will revolutionise how healthcare is delivered

Toby Hay, Worldwide Sales Mana...
4 min
The face of healthcare logistics is set to change
Like nearly every other area of commerce, healthcare is now a global market. Worldwide it is projected to be worth $8.7trn and tipped to grow by 4% in W...

Like nearly every other area of commerce, healthcare is now a global market. Worldwide it is projected to be worth $8.7trn and tipped to grow by 4% in Western Europe by 2020, driven by an aging global population and chronic diseases; improving healthcare access around the world; and advancements in technology.

The UK is one of the markets leading the way with its MedTech sector expected to experience an annual growth rate of 5.1% until 2019 – the highest of any European market. The UK pharmaceutical market meanwhile is expected to grow at 2.9% annually.

Global and borderless

At FedEx we see the healthcare industry as global and borderless. But the healthcare industry needs to adapt to this new environment of distinct healthcare clusters dotted around the world. These hubs need to be connected seamlessly and securely through advanced technology if the true benefits of globalised healthcare are to be realised.

Even a decade ago, it would be difficult to imagine what’s now possible through the intersection of global trade, healthcare and technology. For instance, a heart patient in the UK receiving a pacemaker made half way around the world, in just one night; or transporting sensitive biomaterials such as human liver cells between the UK and Japan – and having them arrive in perfect condition.

The globalisation of healthcare and the varied needs of different subsectors bring a greater degree of complexity to how it is connected through the healthcare supply chain. More is being demanded from a technological perspective, whether it is unique needs like temperature control, light sensitivity and humidity – or simply an efficient supply chain that meets the needs of cost, speed, reliability, visibility and security.

It’s estimated that the value of the global cold chain logistics market is expected to increase to almost $272bn and grow at a compound annual growth rate of 13.9% by 2020. Last year, more than half of the top 50 best-selling drugs required temperature sensitive transport. But while medical technology has made stunning advances in the last three years, many medical and life-science products are still being transported the same way they were 30 years ago.

Think about this: a typical pharmaceutical manufacturer has a lead time of about 75 days to deliver to distribution centres out of a formulation and packaging plant whereas a typical laptop manufacturer can accept an order on a Monday and deliver a pallet of newly assembled customised computers to a European customer on Tuesday of the following week.


And much of the industry is still using the dated method of dry ice and styrofoam as a deep frozen shipping method, while technology now allows clinical trial samples to be shipped in a liquid nitrogen dry-vapour container maintaining -150°c for up to 10 days. The possibilities this new technology opens up were previously unimaginable.

Internet of Things and healthcare

The big technology shift sweeping the global connection of healthcare is that the supply chain is becoming part of the Internet of Things. Pieces of the supply chain are already connected so packages can be tracked and monitored but in the future, more tiny embedded sensors will enable more pervasive tagging and an unprecedented degree of real-time tracking and tracing.

This will provide unique visibility of critical information such as location, temperature, light exposure, humidity, barometric pressure and shock. It will also ensure the integrity and security of healthcare goods. Fraud and security is a widespread problem in the industry; according to the World Health Organisation, 8% of medical products are estimated to be counterfeit and pharmaceutical theft is becoming more widespread and sophisticated.

While supply chain control and visibility is important for all industries, it’s absolutely vital for the healthcare industry. From biologic manufactured items to pharmaceuticals, the items the healthcare industry ships are important, sensitive and difficult to replace.

Imagine if a shipment holding medicine that was personalised for the DNA of a cancer patient was spoiled or stolen. You can’t pull a substitute off the warehouse shelf and ship it overnight. The complete visibility of healthcare shipments is needed as medicines become more personalised and more potent. This is why connecting every element of the healthcare shipping industry is critical to delivering the huge potential that globalised healthcare can offer.

The future of global healthcare is building out smart, connected healthcare supply chains that are efficient, flexible, accessible, compliant, and economically viable. In spite of all our knowledge, and scientific and technological breakthroughs, it doesn’t do human kind any good if we can’t access and disperse the benefits of healthcare advancements – and it doesn’t do the industry any good if it can’t get products to people that want and need them.

In the end, no other industry affects the well-being of people like the healthcare industry does and connecting the global healthcare industry isn’t just a matter of economic opportunity, it can dramatically improve and save lives.

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Jul 24, 2021

DHL partners with Riversimple in sustainability move

3 min
DHL Supply Chain has announced a partnership with a focus on sustainable personal transport combined with green logistics with Riversimple Movement

Riversimple Movement, a Welsh hydrogen vehicle manufacturer, has found a new partner in the world's 11th largest employer: DHL Supply Chain. The two companies, who have recently signed an MoU, pledge to bring sustainable zero-emission vehicles to the UK, and their targets don’t stop there. The duo looks to be busy, with their sights set on developing sustainability initiatives, securing the necessary finances required to achieve the volume production of hydrogen vehicles, and designing and subsequent trialling of zero-emission transport.

DHL has already begun assisting its new partner in preparing for its first full-scale manufacturing facility, which will house the production of hydrogen-electric vehicles. 

“It’s exciting to be partnering with a highly innovative company like Riversimple, which has sustainability at the heart of its mission,” says Managing Director of DHL Manufacturing Logistics UKI, Mike Bristow. “As the world’s leading logistics company, it is our responsibility to guide the industry to a sustainable future.”

DHL has recently launched “The Sustainability Playbook”, designed to create a roadmap to implement the next generation of global supply chain. 

“Excellence. Simply delivered. In a sustainable way.”

As one of the leading drivers in global trade, DHL claims to be aware of its immense responsibility to steer innovation. Conscious of the impact their global operations have on the environment, the company initiated “Strategy 2025” - delivering excellence in the digital world. The goal: to focus increasingly on harnessing the potential for sustainable long-term growth and expanding the already-underway digital transformations within the business. 

“Strategy 2025” aims to cumulatively invest €2bn in digitalisation through to 2025, in the hope that this will enhance customer experiences. They also predict a €1.5bn yearly run rate by FY’25. 

Currently, DHL boasts a large green logistics portfolio, including carbon offsetting, green optimisation, and clean fuel and energy products, all as available ways to make the supply chain industry more sustainable. 

“We have repeatedly redefined logistics, from introducing the industry’s first green product to becoming the first logistics company to commit to a zero-emissions target,” says DHL. 

“In the past 15 years, we have continuously improved our carbon efficiency while introducing innovative green logistics solutions to make supply chains more sustainable and help our customers achieve their environmental goals.”

DHL move to lead supply chain sustainability

As the world’s 11th largest employer, and with around 570,000 employees worldwide, DHL is in a position to lead the supply chain towards a greener future. Its recent partnership with Riversimple hopes to inspire other companies within the industry to follow. 

Hugo Spowers, Founder and Managing Director of Riversimple, acknowledges DHL’s commitment to sustainability.

We’re very pleased to be collaborating with DHL to help us achieve mass production in the UK in the near term, and hopefully partner with us on a global level as we deliver our goal of systematically eliminating the environmental impact of personal transport.

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