Aggregation challenges in complex distribution networks
As the process of establishing and maintaining parent-child relationships between packaging levels, aggregation offers distinctive operational challenges in the context of Asia’s diverse serialisation requirements and distribution networks. Done effectively, aggregation improves the efficiency of logistics operations by allowing entire cases or pallets to be verified through scanning a single identifier rather than individual units. This also supports product recall processes by enabling identification of all affected units within aggregated containers. Some jurisdictions mandate aggregation to specific packaging levels, while others require aggregation only for exported products and some impose no aggregation requirements, allowing companies to adopt aggregation voluntarily for operational benefits.
Implementing aggregation [4] can bring about technical challenges, such as the need for reliable data association between packaging levels during production and the management of aggregation hierarchies through multiple handling steps including rework and repacking. As such, the accuracy of aggregation processes is critical, as errors in parent-child association can render entire aggregated containers unscannable or, more concerningly, create false associations that compromise traceability and recall effectiveness altogether.
The complexity of Asian pharmaceutical distribution networks, as characterised by multiple tiers of wholesalers, sub-distributors, and retailers with varying technology capabilities, amplifies these challenges, as the maintenance of aggregation hierarchies across multiple handoffs requires consistent data capture and sharing practices throughout supply chains. While distribution models in Europe and North America are relatively consolidated, Asian markets are more fragmented, with numerous intermediaries creating risks that aggregation data becomes incomplete or inaccurate as products move through distribution. Therefore, they must be able to provide initial data capture during manufacturing, as well as mechanisms for verifying and updating aggregation data as products move through distribution.
Technological solutions for multi-market compliance
These multi-step, multi-market processes for compliance require technology platforms which can manage varying data structures, barcode formats, reporting protocols and aggregation needs across jurisdictions. They also need to be adaptable enough to accommodate new markets as regulatory frameworks evolve.
Cloud-based serialisation platforms have emerged as attractive architectures for multi-market compliance, leveraging centralised infrastructure, common data models and regulatory reporting gateways. These platforms typically offer pre-configured market profiles for major jurisdictions, with regular updates maintaining compliance as regulations evolve. The cloud delivery model reduces on-premise infrastructure requirements, allowing for centralised management of serialisation operations across multiple manufacturing sites and markets.
Pharmaceutical companies must still carefully evaluate data security, system validation and business continuity considerations when adopting cloud-based serialisation solutions [5]. Validating cloud-based serialisation platforms requires risk-based approaches consistent with regulatory expectations for computerised systems used in good manufacturing practice operations. Integrating these systems with enterprise resource planning, warehouse management and distribution systems are also critical for multi-market serialisation architecture. This is because they ensure the seamless flow of serialisation data across business processes while supporting market-specific requirements for data content and format.
What’s more, line equipment such as printers, cameras, label applicators and aggregation stations must also be able to support diverse barcode formats, print qualities and line speeds. Camera-based verification systems need to be able to read and grade multiple global barcode symbologies accurately, including GS1 Data Matrix for European and many Asian markets while maintaining verification accuracy at line speeds exceeding 300–400 units per minute.