Sustainable solutions
DSM Pharmaceutical Products is a leading provider
of custom contract manufacturing
and development services to the pharmaceutical,
biopharmaceutical and agrochemical
industries. According to president and CEO Alexander
Wessels, its success derives from
a mix of high customer service and sustainable
state-of-the-art technology.
The theme of sustainability has shifted from
that of good
citizenship to a genuine business driver for companies.
As a result, greener solutions now make up a
considerable part of the genetic make-up of leading
manufacturers within the pharmaceutical industry.
As part of the Royal DSM NV group, which in September
retained its position as the chemical industry's
premier company
in the Dow Jones Sustainability World Index for
the third year
running, DSM Pharmaceutical Products is one company
benefitting from an onus on sustainability.
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In every technologically
advanced company, success usually rides on
how it manages to balance innovation with
customer relations, and DSM is no exception. |
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"In terms of material and life sciences, lowering
our footprint is now part of our business model,"
says Alexander Wessels, group president and CEO.
"DSM is on track with its 2011-2015 sustainability
aspirations. In the first half of 2011, 87% of
DSM's innovation pipeline were ECO+ solutions
(compared with an aspiration of over 80% for 2011-15).
For DSM, ECO+ benefits can be created at any stage
of the product lifecycle, from raw materials through
manufacturing and use to potential re-use and
end-of-life disposal. Lifecycle assessments are
therefore an important way to validate the ECO+
scores of our products.
"In the past, there were companies who thought
of it purely
as a means of good advertising; however, the world
is truly
shifting towards developing sustainable solutions;
it constitutes
the corporate mission for companies within the
pharma space."
In-house capability
Divided into five separate divisions: DSM Pharma
Chemicals,
DSM Exclusive Synthesis, DSM Biologics, DSM
Pharmaceuticals and DSM BioSolutions, Wessels
also attributes
the group's progress to its Quality For Life.
ethos, which
aside from sustainability, also highlights quality,
reliability and
traceability of its products.
"When you look at DSM brand values across all
our businesses,
quality is the one thing that always stands out,"
says Wessels.
"These values especially apply to the pharmaceutical
space.
Recently, we have focussed on traceability and
sustainability."
In order to develop in-house technologies and
supply and
outsource them across the entire pharmaceutical
value chain,
DSM makes use of its extensive in-house R&D
capabilities,
setting aside a percentage of its revenue each
year for
technological investments. According to Wessels,
the
group is in the process of analysing its sales
over the last
three years so it can see how products can be
consolidated
and further developed.
"The yardstick we are using is very strict,"
he says. "We
have some unique technologies in each of our designated
fields that have really made a dent in the industry;
for example,
if you take our biologics division, our XDR technologies
allow
for a much smaller footprint while achieving the
same output.
"With regards to green chemistry and micro reactors,
we are
developing more projects that are of interest
to customers in
need of proprietary technologies."
In every technologically advanced company, success
usually
rides on how it manages to balance innovation
with customer
relations, and DSM is no exception. Wessels is
adamant that
the two are inextricably linked.
"I would say that technology and quality are
the key factors
for us in developing customer relations," he says.
"If you take
the outsourcing part of our business, we can offer
peace of
mind to our customers as we have a proven reulatory
track
record, which is imperative in this industry."
Consolidated future
In a stringently regulated industry, DSM finds
itself in an
enviable position; its facilities have been approved
by the US
Food and Drug Administration and similar agencies
in Europe,
the Middle East, Africa and Japan.
Bearing in mind these legal parameters, which
are set to
evolve further, in line with advancements in the
pharmaceutical
industry, how is DSM looking to expand in the
future?
"In terms of organic growth in a regulated market,
it
will come from further supply chain integration,"
says Wessels.
"A lot of things that we have seen in other industries
are now
surfacing in the pharmaceutical sector, which
I think we are
well positioned to deal with.
"In fact, if you look at the entire commercial
manufacturing
space, it is inevitable that we will see further
consolidation.
We are prepared for this."
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