Traceability McKesson transports essential medical and surgical products across the globe, and it is critical that we track shipments at each stage of their journey through our warehouses. If we identify suspect product in our possession, it is quarantined and reported to a quality review team. McKesson works with manufacturers and customers to communicate recalls and suspect product. In the U.S., McKesson complies with the Drug Supply Chain Security Act (DSCSA) which, since 2015, requires that sellers and purchasers of prescription drug products exchange lot-level transaction data. When McKesson acquires prescription drug products, we work to ensure that we receive adequate transaction information, transaction history and a transaction statement from the seller, which is aligned to the physical goods received. McKesson is focused on the next stage of the DSCSA which occurs on November 27, 2023, when prescription drug products are serialized in the U.S. and required to be traceable through the supply chain from manufacturer to dispenser. McKesson is developing the technology to scan individual saleable units capturing National Drug Code (NDC), serial, lot, and expiry — and validating those data points against the electronic DSCSA data provided by the supplier. McKesson will then assign those serialized drug products to a customer providing them with an electronic DSCSA transaction data set that aligns with the physical goods sold. In Europe, we follow the Falsified Medicines Directive, which requires batch tracking of certain medicinal products. When products enter our warehouses, we record the product code, expiration date and batch number. We track the product at every stage of its journey in the warehouse — from replenishment, to picking, to returns. Employees can either scan the information or enter it manually. If an inaccuracy occurs, the tracking system generates an alert. Our quality coordinators monitor the alerts and resolve any inconsistencies. In Canada, we follow Good Manufacturing Practices which allows the products to be traced in a similar fashion in the warehouse. For information about McKesson’s Controlled Substance Monitoring Program, see our website. Introduction Stories Employees Access Equity Climate Operations >Table of Contents | 65 FY21 Impact Report FY21 Impact Report