Unilab invests in advanced technology for streamlined operations, tailors approach to Filipino market

BIÑAN, LAGUNA—Pharmaceutical giant Unilab disclosed that they have heavily invested in technology despite having only one distribution center (DC) nationwide.

“Unilab is the only one who believes that having a central DC is more efficient than having multiple ones,” Albert Allan Alcruz, Assistant Vice President at Unilab, Inc., Logistics Management Division said last June 14, 2024 during an exclusive media tour at Amherst Laboratories. 

According to Alcruz, their distribution center efficiently serves not just the Philippines’ over 7,000 islands but also extends its reach to 18 countries worldwide. He emphasized the center’s productivity, noting its role in managing the operations of four manufacturing plants located abroad—specifically, one in Indonesia, two in Myanmar, and two in Vietnam—all operated centrally from the main distribution hub.

In their development, the pick director system has emerged as a solution to a pressing issue in consumer goods management that highlights the challenges faced by both consumers and boutiques and this system aims to streamline operations and enhance efficiency.

“The consumer wants premium products at affordable prices. They prefer to purchase items consistently, albeit in smaller quantities tailored to their needs,” he added. 

The pick director system addressed this consumer behavior by optimizing inventory management. It allows boutiques to cater precisely to consumer demands, avoiding the bulk purchase of entire packages. Instead, they can order specific quantities of popular items, such as six of one type and two of another, reflecting what is in demand.

The complexity of managing diverse consumer preferences is evident. “Without the pick director, fulfilling orders becomes impractical,” said AVP at Unilab. 

“So we designed the DC for the needs of the Filipinos,” Alcruz added. 

He said that they found operating with a single distribution center more efficient compared to multiple centers. Despite logistical challenges, he stressed the advantage of their integrated network.

“In the Philippines, you can’t expect the same truck to deliver directly to customers,” he explained. 

“It requires a multimodal approach where trucks transport goods to ports, then onto ships destined for places like Mindanao, where tricycles complete the last mile,” he added. 

He acknowledged the need for flexibility and durable packaging due to these logistical complexities. “Even with a hub in Mindanao and a small office in Davao, reaching remote areas remains a challenge due to terrain and traffic conditions.”

“Understanding the diverse needs and capacities of Filipinos is crucial for effective service delivery,” he added.

He also mentioned that Unilab, a company valued at over a billion dollars and managing approximately 800 different products, emphasized the significance of centralized inventory management. Centralizing operations allows better control over inventory levels, reducing the logistical complexities associated with distributing products across multiple locations.

It has been reported that the distribution center processes more than 45,000 transactions monthly, overseen by the pick director system.

Cough relief

One of the products being processed and distributed here is Solmux Advance, which Unilab asserts as the Philippines’ first and only cough remedy for phlegm that combines carbocisteine and zinc. 

According to Maria Ronila Santos, Director, Medical Affairs of Unilab, carbocisteine helps to dissolve phlegm, making it easier to cough up and expel, and also reduces and eliminates bacteria in the phlegm. Meanwhile, zinc functions to enhance immunity and acts as an antioxidant.

She explained that the most common cause of coughs is often linked to the common cold, a mild viral infection affecting the respiratory tract.

“Coughing due to the common cold is a frequent reason people visit doctors. It’s typically managed on an outpatient basis,” she added. 

But, before prescribing treatment, she emphasized the importance of differentiating between types of coughs—dry and productive (with phlegm). Medications like expectorants and mucolytics are commonly used to help clear mucus from the airways, making it easier to breathe.

Santos also discussed the role of zinc in immune  health. “Zinc plays a critical role in the body’s immune response,” she explained. “Low zinc levels during an infection may prolong recovery.”

“It’s crucial to initiate zinc intake early when experiencing symptoms of the common cold,” advises medical affairs of Unilab director. Research indicates that up to 75 milligrams of zinc per day may be necessary to optimize its effects in reducing the duration and severity of symptoms.

However, caution is advised regarding the upper limit of zinc intake. The tolerable upper level, which represents the maximum amount considered safe for daily consumption, is set at 40 milligrams for Filipinos according to local nutrition guidelines.

For instance, a product combining carbocisteine and zinc, available in a five-milligram capsule, when taken at recommended doses, provides approximately 15 milligrams of zinc daily. Taking two such capsules would amount to 30 milligrams per day, aligning with safety limits.

“Adherence to local nutritional standards is essential to avoid potential adverse effects associated with excessive zinc intake,” Santos said, adding that this approach ensures that zinc supplementation remains effective and safe for managing symptoms of respiratory infections like the common cold.