The company sources raw materials, active pharmaceutical ingredients, components, devices, and other supplies from various third-party suppliers. It relies on third-party contract manufacturers for most drug substance manufacturing, as well as some packaging, formulation, and fill-and-finish processes. The supply chain involves multiple logistics service providers for storage and shipping. Certain materials and components are sole-sourced, including a critical supplier for formulation and packaging that facilitates sales in Japan and China. The company manages risks associated with sole suppliers through inventory management, exploring alternative sources, and relationship management. An internal function with operational, quality, technology, and procurement capabilities oversees the external manufacturing network, which is designed for global flexibility and scalability, including in emerging markets. The company monitors potential impacts from U.S. trade protection measures, tariffs, and sanctions on its business costs.
Organon And Co's Comment on Supply Chain
The company sources raw materials, active pharmaceutical ingredients, components, devices, and other supplies from various third-party suppliers. It relies on third-party contract manufacturers for most drug substance manufacturing, as well as some packaging, formulation, and fill-and-finish processes. The supply chain involves multiple logistics service providers for storage and shipping. Certain materials and components are sole-sourced, including a critical supplier for formulation and packaging that facilitates sales in Japan and China. The company manages risks associated with sole suppliers through inventory management, exploring alternative sources, and relationship management. An internal function with operational, quality, technology, and procurement capabilities oversees the external manufacturing network, which is designed for global flexibility and scalability, including in emerging markets. The company monitors potential impacts from U.S. trade protection measures, tariffs, and sanctions on its business costs.
Sources:
Organon and Co 's official press releases and regulatory filings; CSIMarket.com's supply-chain research; and the financial filings and press releases of other companies cited in this report.
Updated on:
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