The IHD mission is to satisfy the needs of our stakeholders by providing superior, innovative and differentiated value added services in the pharmaceutical supply chain through dedicated, motivated, committed and empowered employees.

   

IHD was launched in December 1993 and distributes directly to end dispensers such as pharmacists, doctors and clinics. Ownership of IHD is held by a consortium led by UTi Worldwide. IHD currently distributes for Abbott Laboratories, Bayer Healthcare, Boehringer Ingelheim, Bristol-Myers Squibb, EAS, Eli Lilly, Genop Healthcare, MSD, Novartis, Nutrimax, Pfizer, Pharmaco, Roche, Schering, Schering-Plough, Wyeth South Africa and companies in the sanofi-aventis group.

   

It is notable that the healthcare industry, especially in South Africa, undergoes constant change and shifting influence. IHD strives to be the front-runner in employing advances to meet all challenges. Examples of such achievements include batch tracking of product from manufacturer to end dispenser, fully air-conditioned warehousing, stringent cold chain maintenance and the development of Futurewave, an internet-based ordering system.

   

IHD is a pharmaceutical distributor and as such differs fundamentally in function and composition from a traditional pharmaceutical wholesaler. A wholesaler purchases products from the manufacturer for its own account and therefore takes ownership of its inventory. These products are then sold to end-dispensers subject to the conditions stipulated in the wholesaler’s trading policy.

   

A distributor, such as IHD, offers its clients (the pharmaceutical manufacturers) cost-effective logistical and warehousing support and a range of distribution services. The clients are charged a fee for these services. The distributor does not purchase the product or take ownership of the inventory, operating on behalf of and upon instruction from its clients.

  

IHD is obliged to supply to any entity legally entitled to purchase pharmaceuticals for dispensing purposes. Creditworthiness and payment history are the only permissible reasons for refusal to trade, as IHD has an obligation to apply sound credit management to the accounts managed on behalf of our manufacturer clients.

  

The reasons for the phenomenal success of IHD can be found in the services and expertise offered to manufacturers. Prior to IHD, pharmaceutical manufacturers were only able to obtain limited market data with a significant delay. IHD provides secure daily data downloads detailing exactly whom a product was sold to, where the customer is situated and at what price the product was sold during the previous 24-hour period. The ability to track a specific invoice and customer is critical in the event of product recalls and countering the grey market.

  

The burgeoning grey market trading of pharmaceuticals is of grave concern to all stakeholders in the pharmaceutical industry. The batch-tracking system developed by IHD was implemented to counter this growing traffic. The system is based on the batch code already marked on all product packaging in accordance with South African law and enables precise tracing of recovered or suspected stolen stock.

   

Furthermore, as IHD is contracted by the manufacturer, the company ensures that the stringent quality assurance standards applied in manufacturing the product are continued throughout the distribution chain to the end dispenser.

  

IHD was created as the brainchild of four like-minded companies. The original four shareholders were Bayer, Boehringer Ingelheim, Ciba-Geigy and Roche. Direct distribution was seen as the ideal vehicle to achieve the following objectives:

• Ensure product integrity
• Eliminate/reduce grey market trading
• Transparent distribution chain
• Direct access to end dispenser
• Balance market forces
• Commercial attractiveness

  

By the end of 1998, the IHD clients numbered eleven. IHD has grown to be the largest pharmaceutical distributor in South Africa, and the first similarly structured competitor commenced operation in May 2000.

  

The entrepreneurial strength and performance of IHD is demonstrated most aptly through the formation of this pioneering company. As the trailblazers in the pharmaceutical distributor concept IHD has successfully harnessed the strength of achieving economies of scale within supply chain management. Furthermore, serving eleven fiercely competitive multinational companies was an extraordinary accomplishment.

  

As a young and competitive company IHD is constantly seeking out new opportunities in which to service the market better. An example of this philosophy was the establishment of a dedicated, fine distribution company, Kite Logistics, specialising in providing a delivery service to meet the exacting quality assurance standards dictated by the pharmaceutical manufacturers. This initiative forms a crucial link in the quest to ensure that sensitive pharmaceutical products arrive at the end dispenser securely and in the correct condition.

  

E-commerce and related industries have rewritten the ways in which many companies do business. The development and launch of Futurewave heralded the first non-proprietary, electronic ordering system for pharmaceuticals via the internet. IHD aims to combine information technology abilities with logistics strengths for effective e-commerce. While the technology may make certain achievements possible the logistics sector must be able to deliver on these capabilities.

  

In addition to these examples, IHD is engaged in numerous developmental projects on an ongoing basis with the ultimate goal of achieving the stated objective of providing the best pharmaceutical distribution service possible to all stakeholders. IHD has accepted the numerous challenges posed by being the first to undertake such a venture, and aims to lead the way forward by setting the standards in the pharmaceutical supply industry.

  

To cultivate an IHD culture to "do it right the first time."

IHD is committed to assuring quality services to our clients and customers,
as well as ensuring compliance with the relevant regulatory bodies.

To enable IHD to maintain its position as South Africa's leading distributor
of pharmaceutical products through:

• Maintaining a leading, ethical position in the market in which we compete
• Continuous quality improvement and differentiation of services
• Exceptional distribution and operations performance that provides a
  guaranteed service to customers
• A motivated team of employees who focus on quality customer service
  and continuous education thereby meeting our client's needs

• Continuous improvement requires company wide commitment to quality. Responsibility for effective implementation is shared by each individual within IHD.

  

The pharmaceutical industry operates at a high level of quality assurance in the manufacture of medicines. IHD, as the distribution agent, endeavours to assure the maintenance of product quality by having adequate storage conditions, record keeping and compliance with legal requirements. Following these principles will therefore contribute to assuring the quality of the product for the safety and well-being of the patient. The IHD QA function is dedicated to ensuring compliance with requirements and reporting any differences accurately, thus ensuring that IHD delivers error-free, cost-effective, competitive products and services to our clients and customers, on time, every time.

  

To preserve life, prevent accidents and safeguard property, International Healthcare Distributors aims to provide a consistently safe, secure and healthy environment for all employees, clients, customers and visitors.

  

In support of this objective, the company management and employees commit to the following:

• Ensure full compliance with all pertinent legislation, regulations and standards
• Identify and address unsafe practices and unsafe conditions
• Conduct regular safety, health and environmental inspections
• Conduct ongoing safety, health and environmental training

Furthermore, as a responsible corporate IHD also commits to:

• Careful utilisation of finite natural resources
• Avoid negative environmental impact wherever possible
• Operate in a responsible and co-operative manner with the community in which it resides
• Regularly review our policy to ensure ongoing improvements

The provision of a healthy, safe and secure working environment is very important to IHD, and all business partners are encouraged to abide by the safety, health and environmental policy.