Merck and Siemens Forge Path for Healthcare Innovation

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Cedrik Neike, CEO Digital Industries and Member of the Managing Board of Siemens AG, signing MoU and Kai Beckmann, CEO Electronics business and Member of the Executive Board of Merck.
Merck signs a strategic agreement with Siemens to digitally transform its healthcare manufacturing, leveraging cutting-edge technologies

Merck, a leading pharmaceutical company, has embarked on a digital transformation by signing a Memorandum of Understanding with technological innovator Siemens. This partnership will propel digital advancements in Merck's critical business sectors.

This collaboration will extend their existing smart manufacturing projects and define further steps for digital transformation in healthcare-related manufacturing.

Having chosen Siemens as its global preferred supplier, Merck aims to leverage the powerful Siemens Xcelerator platform for enhanced automation.

Merck's digital ascent in healthcare

The Merck Group has 60,000 employees, 250 companies and a presence in about 66 countries, specifically recognising the huge manufacturing power of India and China. Providing bioreactors, filters, resins, cell lines, chromatographic, excipients and pharmaceutical raw materials, the Life Science Business benefits patients and contributes to the advancement of global health.

To learn more about Merck's global vision, check out The Merck Group: Pharma's History & Innovation in India and The Merck Group: Pharma's History & Innovation in China.

Underpinning this collaboration, Merck’s vision is to revolutionise its manufacturing processes digitally. This agreement introduces a governance structure to speed up decision-making and facilitate swift adaptation to new business opportunities in healthcare innovation.

The pivotal role of the Siemens Xcelerator platform is to equip Merck with robust hardware and sophisticated software, escalating the impact of its digital transformation efforts in healthcare.

"Our goal is to bring new products to market faster, more cost-effectively, and with a heightened focus on sustainability," says Kai Beckmann. "Smartfacturing is essential to achieving this, and Siemens is the perfect partner for this journey. Their deep domain expertise and century-long familiarity with Merck uniquely positions them to rapidly implement and scale our vision.” 

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Siemens: Enhancing healthcare production

Integral to this partnership, Siemens enables Merck to enhance modular production using the plug & produce principle. This technology allows for flexible reconfiguration of production modules, leading to faster market delivery, reduced CO2 emissions, and lower capital expenditure.

Previous collaborations between Merck and Siemens have advanced Merck’s modular manufacturing lines compliant with Good Manufacturing Practice (GMP), ensuring top-tier safety and quality standards.

This initiative not only enhances operational efficiencies but also helps safeguard patient health, meeting rigorous regulatory standards and upholding Merck's dedication to excellence.

The synergistic efforts between Merck and Siemens are set to catalyse growth and stimulate innovation, fostering advancements in the arena of healthcare manufacturing. Ultimately this helped Merck safeguard patient health, adhere to stringent industry requirements, and reinforce its commitment to excellence.

"Healthcare, Life Science, and Electronics are at the core of improving lives and creating a more sustainable future," says Cedrik Neike. "By combining Merck’s expertise in these vital sectors with Siemens’ cutting-edge hardware and software we are transitioning from a concept of mass production to a modular approach, saving time and increasing flexibility.

"With the MoU, we now aim to set new global standards for future production. Our collaboration, which spans over 145 years, is a powerful reminder that Merck and Siemens are more than just partners - we are longstanding allies in shaping the future.”

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