The design and implementation of optimizing the drug's chain distribution route

With increasingly fierce competition in the pharmaceutical industry in China, the pharmaceutical market is demanding a more reliable and timely distribution of drugs, which is based oil an efficient distribution system. In the drug distribution, for instance, in the operation of chain drugstores, choosing the optimized distribution route is the key to improve the efficiency and reduce the costs of distribution. In this paper, the savings method is reviewed and applied to a case of drug distribution in Hangzhou area. It is shown that about 50% of the total distribution costs can be saved by choosing the optimized distribution route. Such application case should provide some useful reference and insights to the management of drug distribution in other areas of China.