Pharmaceutical industries are known for their batch operations using various solvents, reactants, and catalysts. Solvents play a significant role in the manufacturing and synthesis operations of these industries to develop different medications such as tablets, syrups, and injectables. As the quantity of solvents required for production is very high compared to other raw materials, their risk to the ecosystem and human health is of great concern. The economic and regulatory changes have resulted in seeking alternatives to minimize solvent usage and their recovery and reuse during the production stage. Effluents from different stages of API production were collected and analyzed. The results showed that effluents not only varied in quantity but also in their composition. Two innovative modelling approaches have been developed for human health risk assessment study of solvents in Pharmaceutical industrial effluent. This methodology was applied to determine the risk among the most vulnerable communities, namely, children, pregnant women, and adults. Among the various categories of receptors considered, the results obtained by both the methods revealed that children are more sensitive, followed by pregnant women, since their total hazard index (HI total risk) exceeded the safe exposure limit for non-carcinogens, taking into account oral ingestion, dermal contact and fish intake as the exposure routes. It is also evidenced that oral and dermal contact are the crucial routes of exposure among children, adults and pregnant women. To examine the ecological impacts during the drug synthesis, a life cycle assessment was carried out. The results of LCA revealed that both metal catalyst and solvent together contribute to global warming (80%), terrestrial ecotoxicity (88%), marine ecotoxicity (89%) and human toxicity (90%). Then a comparative study was carried out with two scenarios of process modification, replacing the toxic metal catalyst and the solvent. Results of the modified case have reduced the contribution of impacts by 97.7% on human health and 98.3% on ecosystem, thus enhancing the sustainability of the overall process. Based on the analysis, it was concluded that solvents have the highest impact on the environment and ecosystem. Thus, in order to reduce the risk, it is necessary to recover the organic solvents. The feasibility of recovering solvents using forward osmosis was examined using cellulose triacetate membrane. The results have shown a recovery of 89.6%, 90.2% and 90.4% for the solvents, namely, 2-propanol, ethanol and methanol respectively.