5 ways to balance cost and compliance in pharma facilities

Are tightening budgets forcing you to choose between reducing costs and maintaining quality standards in your pharmaceutical operations? In today's pharmaceutical landscape, the stakes are high – with non-compliance leading to hefty fines, production downtime and damaged reputation. Meanwhile, the industry needs to keep improving existing medicines to benefit global health. Finding the right balance is key – cutting corners on compliance to save money in the short term will actually cost your firm more in the long run.

To help navigate this complex terrain, we've compiled a checklist of key strategies to help you get the most out of your facilities management (FM) and reinvest in providing life-saving medicines—all while meeting stringent regulatory requirements.

Adopting GxP-compliant FM requires early and open communication with your site teams. By engaging with them from the outset, your company can ensure buy in, build trust and retain valuable expertise. This collaborative approach fosters a culture of continuous improvement and drives better outcomes.

Overcome potential resistance from your site teams by demonstrating how changes will improve their work. 

“It's important to communicate openly with site teams, who are the first line of defence against deviations and errors that could lead to regulatory breaches,” says Steven Williams, Life Sciences Procurement Lead at JLL. “You need to reassure them that an FM partner will look to retain the knowledge and expertise by retaining your existing GXP suppliers where appropriate.”

To foster this collaborative environment, consider:
 

• Taking a town hall approach: When bringing in an FM partner, conduct meetings to introduce the company, explain its role and address concerns of site managers.

• Providing reassurance: Emphasise that the FM partner aims to retain existing knowledge and expertise, not replace the entire supply chain.

• Discussing openly: Establish clear lines of communication for ongoing feedback and collaboration.

• Highlighting benefits: Communicate how the changes will help the site team focus on core business and reduce unnecessary expenses related to rework or quality investigations. 

Comprehensive data analysis maintains data integrity and ensures audit readiness. Incomplete or inaccurate data can lead to flawed decision-making, jeopardising product quality and compliance and resulting in costly inefficiencies. By analysing key data, you can spot potential weak points in your processes, allowing you to fix problems early, comply with regulations and more effectively allocate resources. Consider:

• Conducting a detailed analysis to understand current spending across all facility operations.

• Comparing costs against industry benchmarks to identify areas where you're overspending.

• Analysing historical data to identify seasonal fluctuations and long-term cost trends.

• Tracking key performance indicators to measure the effectiveness of cost-saving and compliance-related initiatives.

“Benchmarking helps you understand if you’re overpaying for compliance. While looking closely at where your money goes can reveal expenses and places where you could save,” Williams notes.

Efficient supply chain management helps manage costs without compromising quality or compliance, Williams stresses. Strategic sourcing, performance management and localised partnerships are key to achieving this balance.

A well-managed supply chain ensures access to specialised expertise and reduces risks. 

“Life sciences companies rely heavily on their supply chains,” Williams states. “A skilled Facility Management company can introduce preferred and strategic partners who will ensure compliance with good manufacturing practices, consistently monitoring against all relevant regulations, with zero compromise on compliance.” 

To update your supply chain, consider incorporating:
 

• A strategic sourcing process focusing on value, compliance and risk management.

• A system to monitor supplier performance across key metrics.

• Regional and local suppliers who understand local regulations and can provide responsive service.

• Suppliers with experience and certifications in Good Manufacturing Practices (GMP) and other GXP standards.

Predictive maintenance can reduce equipment downtime by up to 25% and lower maintenance costs by 18%, Williams notes. He highlights the transformative potential of AI, explaining that “AI allows us to focus on the areas that need attention, allowing us to identify potential equipment failures and prevent costly disruptions.”

Predictive maintenance powered by AI not only reduces costs but also strengthens compliance by preventing equipment failures that could compromise product quality and data integrity. Here's how you can take advantage of AI for predictive maintenance:
 

• Connect AI-powered predictive maintenance tools with your existing building management system for seamless data flow.
• Use AI algorithms to analyse equipment performance data and predict maintenance needs.
• Focus maintenance efforts on areas identified by AI, eliminating unnecessary routine checks.
• Use AI in a test environment or on a single production line before full-scale deployment.

Given the significant environmental impact of the pharma sector, Environmental, Social and Governance (ESG) considerations are increasingly important. These practices save money, improve brand reputation and support compliance by encouraging responsibility and transparency. Williams emphasises the benefits of ESG, noting that, “Life science companies are now focused on saving the planet as well as saving lives.”

Companies with strong ESG programmes are more likely to prioritise ethical sourcing, waste reduction and energy efficiency, all of which support compliance and save money through smarter resource use. Additionally, Williams notes that pharmaceutical companies with strong ESG programmes can outperform their peers in attracting investment and talent.

Consider these steps to integrate ESG principles:

• Conduct an energy audit to identify areas for improvement and put energy-efficient technologies in place.
• Introduce a waste management programme focused on reducing, reusing and recycling materials, as well as exploring circular economies.
• Install water-efficient fixtures and explore rainwater harvesting opportunities.
• Engage with suppliers to promote sustainable practices throughout the supply chain.

Balancing cost and compliance in the pharmaceutical industry requires a holistic approach that encompasses strategic planning, data-driven decision making and a commitment to continuous improvement. While putting these strategies in place may require organisational change and the need for upfront investments, the benefits are substantial. By refining your approach to facility management, you can create significant cost savings, enhance operational efficiency and maintain the highest standards of regulatory compliance.

Ready to transform your pharma facilities and achieve cost-effective compliance? Contact a JLL expert to explore how our expertise and tailored services can drive success for your organisation.