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Managing Challenges in the Chemical Industry

Three Ways to Manage Disruption in the Chemical Industry

Three Ways to Manage Disruption in the Chemical Industry 700 500 Xcelpros Team

At a Glance

  • The chemical industry has been at the forefront when it comes to dealing with disruptions as it serves a diverse range of sectors and constitutes of different attributes (such as raw materials, quality issues, geographical/ regional safety rules, financial instabilities, so forth.).
  • Currently, the impact of Covid-19 on chemical industry can be seen across the globe- disrupted supply chains, demand discrepancies, halted travel and fluctuation in petroleum prices have compelled manufacturers to deal with various chemical industry issues all at once.
  • Digitization has disrupted the chemical industry even before the pandemic started and the combined effect has been both challenging and a blessing in disguise for the chemical manufacturers.
  • Through the right tools and systems, the chemical companies can pave their path in the era of digitization and transform for a better future.

The challenges in chemical industry have been varying in nature as the industry relies on a large variety of stakeholders and is an asset-intensive sector. The past few years have been all the more challenging in chemical industry management because of the onset of Industry 4.0 and ensuing changes in IT infrastructure. However, the digitization effect also came as an opportunity for chemical manufacturing and distribution companies to leverage latest technologies to reduce time to market, optimize processes and manage supply chain challenges in the chemical industry with enhanced efficiency.

According to a 2020 survey by PwC, 42% of chemical company CEOs said they would be investing in digital operations and related technologies in the coming 12 months.

To remain on top of the digital game, companies must understand and approach chemical industry issues fully equipped with advanced technologies and comprehensive strategy. Let us have a look at some of the significant challenges in the chemical industry:

1.Managing Data in the Time of Information Abundance:One of the significant challenges of digitization in the chemical industry is an overflow of data in the sector. Top floor decision-makers are looking for ways to store, analyze and generate insights from the abundant information flow. Data analytics remains a tricky area for many chemical manufacturers. Legacy systems are still part of many manufacturers’ IT infrastructure and there are discrepancies in information flow management because different functions work in silos.

2.Overcoming the Unpredictable Nature of the Market:Market fluctuation is another major cause of chemical industry disruption. The ever-changing commodity prices put manufacturers in a sticky spot in terms of finances. Also, the impact of the covid-19 pandemic was felt in the form of demand pattern changes – there has been heavy demand globally for sanitization and hygiene products. Such fluctuations are hard to forecast, and most chemical industry management struggles to keep up with these changes.

3.The Need to Go Agile:The world is moving fast, and the manufacturing industry is looking to catch up. Chemical companies are primarily looking for ways to go agile for better delivery patterns, improved change management and measurable productivity. However, companies face different challenges when going agile such as financial constraints, resource skill management, and resistance from employees.

While the challenges are aplenty, there are ways to overcome chemical company issues. Let us have a look at how companies can manage the disruption in the chemical industry.

1.Investing in Fortifying IT Infrastructure:Chemical companies need to turn to technology as-required but a long-term roadmap is required that justifies the investment. By investing in high-end tools and systems, chemical manufacturers can ensure that their processes are automated, the data is collated and leveraged to generate insights for better business decisions, and the operations are optimized. Going for comprehensive enterprise resource planning (ERP) tools with embedded BI tools can transform how chemical companies approach their operational requirement.
BASF, the global leader in chemical manufacturing, made use of the Microsoft 365 to improve the transparency and efficiency of virtual teamwork within our global family. This choice was a direct result of the company’s move towards agility.

2.Supply Chain Optimization:Another area where chemical companies can turn a corner and embrace the ongoing changes is to optimize their supply chain. Bettering stakeholder communication, facilitating real-time inventory monitoring, and avoiding stock-outs or bottlenecks by proper warehouse management are some of the steps that manufacturers need to take for a well-functioning supply chain.

Figure 1:Areas getting benefitted with ERP in chemical manufacturing

Areas getting benefitted with ERP in chemical manufacturing

3.Prioritizing Innovation:The highly disruptive digital landscape will multiply the challenges in the chemical industry. However, organizations can resolve these challenges by encouraging innovation. Chemical companies should invest in better market research, newer and more efficient production processes, and out-of-the-box customer response management initiatives. These would enhance overall productivity and also help companies in cementing their position in the volatile market.

In conclusion, disruptions are excellent catalysts to improve processes within a chemical company. Businesses can equip themselves with the latest technologies on a path to digitization.

Key Takeaways:

  • Chemical companies need to look at disruptions as opportunities to overcome challenging times.
  • Latest technologies play an imperative role in chemical manufacturing and aftermarket services as well.

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GHS compliance guide for chemical industry

Managing GHS compliance in a chemical company

Managing GHS compliance in a chemical company 700 500 Xcelpros Team

At a Glance

  • The Globally Harmonized System of Classification and Labeling of Chemicals (GHS) offers a blueprint for handling hazard information through labels and safety data sheets.
  • OSHA raised its penalties related to occupational hazards almost by 1.8% on 15th January 2020. Any violation of the recognized safety standards would cost a chemical manufacturer a whopping fine ranging from $9,639 to $134,937.
  • GHS compliance effectively minimizes labor costs owing to fewer accidents and health problems.

For any drug or chemical manufacturing company, GHS compliance guide rests on four central pillars: Hazard classification, Chemical Labels, Safety Data Sheets and Employee Training. For chemical companies across the globe, it’s an ongoing challenge to remain compliant with GHS standards in the face of ever-changing regulations. For just about any chemical manufacturer, the task of collating and reporting on every available data point through safety data sheets and chemical labels can be almost impossible. This necessitates the need to adopt chemical industry-specific software solutions that help generate and manage safety data sheets and labels according to GHS guidelines. These software solutions enable companies to:

  • Create a safer work environment for all employees across multiple manufacturing units.
  • Automate critical chemical management processes like GHS labeling and generating Safety Data Sheets.
  • Boost process efficiency and reduce fines incurred from breaches in compliance.
  • Leverage employee training mechanisms, expert resources and applications that focus on the handling and disposal of hazardous chemicals.
  • Converge multiple operational functions in a single dashboard for smart analysis.
  • Conduct training programs on employee safety.
  • Build credibility and brand recognition in the market.

Figure 1:Key Operational Principles of a Chemical Management System

Key Operational Principles of a Chemical Management System

The image above makes it very clear that for GHS compliance, the two most critical working processes in a chemical management system include GHS Labeling and Safety Data Sheets. Let’s focus on how a Chemical Management ERP system lends itself to GHS labeling and SDS chemical management automation.

Chemical Labeling and GHS

Chemical labeling is all about conveying critical hazard information related to a particular chemical at a rudimentary level. Six key elements make up the chemical labels, including.

  1. 1.The Signal Word
  2. 2.GHS Symbols or Hazard Pictograms
  3. 3.Manufacturer Information
  4. 4.Precautionary Statements
  5. 5.Hazard Statements, and
  6. 6.Identifiers

Figure 2:GHS Compliant Chemical Label

GHS Compliant Chemical Label

With regulations constantly changing, chemical manufacturers are persistently working towards adopting technologies that seamlessly work with their existing systems to deliver process efficiency and compliance at the same time. Before understanding how the chemical industry has worked towards mitigating challenges, it’s important to understand the most harrowing challenges plaguing the labeling process of the chemical industry, including

  • Identifying relevant, compliant data to be put on container labels.
  • Finding labels that are durable and can withstand the impacts of harsh chemicals.
  • Finding the correct size for GHS labels for containers of different size.

When it comes to chemical management, labeling is one of the most critical tasks. It’s only through proper labeling that companies can track chemicals from manufacturing to delivery. Most chemical industry software solutions based on the ERP framework deliver the following solutions to the problems mentioned above, including.

  • An infrastructure to house hazard information such as pictograms, hazard statements, provisions for inserting supplier information, etc.
  • Provision for customization of GHS chemical labels for different sizes used on various containers.

These benefits are very tangible and apparent, but technical intervention in labeling can be much greater, encompassing the entire business.

Business Benefits of GHS Labeling

  • Boost Supply Chain
    • Track chemicals with all the requisite details.
    • Minimize re-labeling, incorrect shipments, inventory problems.
  • Change Management
    • Implement change real time.
    • offer standard templates and system for change Management.
  • Cost Efficiency
    • Minimize shipping delays, unnecessary operational steps.
    • Error proofing and data management.
  • Compliance
    • Integrate third parties in labelling systems.
    • Minimize manual shipments.
  • Process Efficiency
    • Integrate marketing and branding information.
    • Manage multiple languages, color printing, regulatory standards.
  • Business Expansion
    • Retrieve data from multiple systems.
    • Minimize duplication for a single product.

OSHA has raised its penalties related to occupational hazards almost by 1.8% at the start of 2020. Any violations of these recognized safety standards would cost a chemical manufacturer any number of fines ranging from $9,639 to $134,937.

It’s not just GHS labeling requirements, but complete SDS chemical management solutions that would best help chemical manufacturers minimize their chances for huge financial penalties, driving process efficiency along with compliance at the same time.

Safety Data Sheets and GHS

Safety Data Sheets (SDS) are used to capture all hazardous chemicals’ information. SDS is not only the first point of hazard information collection and reporting. The safety data sheet form the basis of GHS labeling. With the business ecosystem becoming extraordinarily dynamic and constantly changing, becoming more stringent, there can be absolutely no room for error in safety data sheets. Chemical companies opt for SDS authoring and generation software that work in tandem with their existing ERP system. These SDS tools bring a lot to the table for these organizations, including:

  • Real-time safety data sheet updating features
  • Seamless integration with existing ERP systems
  • Automatic generation of SDS sheets
  • Storage capacity for individual product data
  • Applications to update multiple sheets at the same time
  • Options for multiple language translations
  • Ability to create standardized data for every chemical formulation
  • Repository for multiple GHS versions, Canadian WHMIS, and OSHA Hazcom

Integrated Chemical Management (iCM) is a solution designed to offer both GHS labeling and SDS chemical management services simultaneously. This solution pairs with Microsoft’s Dynamic 365 ERP to deliver:

  • Real-time SDS authoring and label creation at the same time in compliance with GHS.
  • Deliver process automation and operational efficiency.
  • Minimize the cost of customization and third-party integration cost.
  • Minimize the time and resources required to manage data sheets and labels.

Key Takeaways:

  • Managing multiple third parties for SDS management and GHS labeling can be a challenge. Implementing a powerful, integrated solution that does both can make a huge impact on efficiency and performance.
  • Process and compliance in a chemical company go hand in hand, and the more the integration is facilitated, the better it is for optimizing operations within the plant.
  • Being Agile through integrated technologies is a crucial need in chemical manufacturing and the ability to respond quickly to changes in compliance makes a chemical company potent as a business.

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References:  GHS Label Compliance

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Key Applications of Data Science in the Biotechnology Industry

Key Applications of Data Science in the Biotechnology Industry 700 500 Xcelpros Team

At a Glance

  • Genomics is an intricate facet of biotechnology that requires storing and analyzing humongous amounts of data. Cutting-edge data science trends have brought a transformation in the way genomics is studied worldwide.
  • Biotechnology deals with the extraction, reaction and manipulation of molecules in living beings. These processes will expedite safely and systematically with the help of the advancements in data science.
  • Every day, there is a humongous amount of data generated by various private and government-funded biotech firms. Data science is crucial in establishing interconnectivity amongst these biotechnology entities to share the knowledge database.
  • Companies are faced with newer variants of diseases every few years and this requires gene sequencing of microorganisms at a much faster rate to help in drug and vaccine development. Newer technologies developed in the field of data science can be pivotal to help with the endeavor.

Industries have advanced with the knowledge and application of biotechnology. From facilitating clinical trials of drugs and vaccines to genetic alterations in crops for better yield, biotechnology has been crucial in transforming the way we live our lives. Now, how does biotechnology cross paths with data science? The answer to this question is multi-layered. The last decade has seen unprecedented advancements in the way data has been leveraged, stored, analyzed, shared and applied to derive statistics, build forecast models and solve the mysteries of science. Data science is emerging in biotechnology with the tools and techniques that help scientists systematize their findings and expedite their experiments for better and safer results. Data science is the crucial bridge between knowledge and information. The application of data science is rapidly moving from simply analyzing the existing information to deriving solutions for the future.

By 2021, 66% of analytics processes will no longer simply discover what happened and why; they will also prescribe what should be done.Ventana Research Assertions

With data science becoming an integral part of how businesses operate, biotechnologists and related industries need to understand its emergence and crucial role. By understanding the applications of data-related tools and techniques, biotechnology can experience positive growth at a much faster rate. Let us look at some of the emerging pivotal data science applications in biotechnology.

1.Field of Advanced Medicinal Development: The field of modern medicine has gained momentum in terms of R&D with data science in biomedical research. Computerized medical records, big data to arrive at plausible diagnoses, automated medicinal kits, genetic coding, computerized molecular studies for drug and vaccine development, etc., are the technological boons of data science that have made it possible for companies to make unprecedented advancements in the field of medicine.

2.Developments in the Field of Agriculture:Scientists across the globe tout the systematic use of algorithms, computerized statistics and data analysis capabilities to advance the genetic studies of various crops. This has made it possible for them to experiment on the plants at a molecular level in the lab to shortlist the best yield. This saves time, effort and money while giving the best results with the combination of botanists, biotechnologists and data scientists. Apart from scientists, data science is also useful for farmers. Many mobile applications are being developed for the farmers to study best practices to grow crops, compare the prices and availability of seeds, fertilizers, and other farming essentials in their locality and get expert advice online. The data generated and leveraged in these apps can join together to create a library of references for the large farming community.

3.Mitigating the Damage to the Environment:Biotechnology is genuinely a way of giving back to nature by modifying existing systems and deriving new ones to minimize environmental damages. Now, one might ask what role data science can play in establishing ecological sustainability. Well, data is at the core of knowing the problem areas- factories with concerning amounts of emissions, agricultural sites that are in dire need of water conservation, landfills with immense amounts of non-degradable waste, etc. With the help of computerized tools, this data can be collected, stored and categorized to implement solutions. The solutions and best practices can also be shared via data science tools with other such areas, thus creating a chain of positive environmental practices.

Figure 1:Leveraging the Power of Data Science Applications in Biotechnology Industry

Leveraging the Power of Data Science Applications in Biotechnology Industry

The areas discussed above are prime examples of how data science applications are emerging in the biotechnology industry. Experts worldwide are working hard towards coming up with newer tools, techniques and solutions with which data can change the way biotechnology research is performed and results are derived. The coming decade will be vital in changing the way we apply data-driven analysis and solutions to bring about positive transformation in biotechnology and its related fields.

Key Takeaways

  • Data science has moved on from merely becoming an analytical field to becoming a supportive pillar for reasoning and research in the biotechnology industry.
  • Leveraging data with the latest tools and techniques is helping bio technicians in expediting research and development processes while mitigating manual errors.
  • Biotechnology applications in medicine, agriculture, environment and more such fields have transformed with the help of advancements in data science.
  • While data science is emerging in biotechnology, there are still many milestones to be achieved to unleash its unlimited potential.

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Ways to Enhance Customer Experience in the Pharmaceutical Industry

Ways to Enhance Customer Experience in the Pharmaceutical Industry 700 500 Xcelpros Team

At a Glance

  • The face of the pharmaceutical industry is rapidly changing from R&D to directly interacting with their customers.
  • With changing demand and expectations, technology will be more important than ever to establishing a fortified system that brings together businesses and their customers.
  • The conventional chain of interaction between the pharmaceutical sector and its customers involving healthcare professionals is set to undergo a change to help the pharmaceutical industry better understand and manage customer expectations.

For years the pharmaceutical sector has operated in silos, in terms of understanding and managing their customer base. While there has been considerable change in the technology used for research and development, when it comes to customer experience and engagement in the pharmaceutical industry, there is still a long way to go. There is a growing need for the merging of customer management, meeting demands for particular drugs etc. using complete solutions like Microsoft’s Dynamics 365 line of products.

It’s become obvious that technology will play a critical role at the forefront of customer engagement, sales and marketing departments. In this article, we explore how adopting cutting-edge tools and software pertaining to customer relationship management (CRM) can benefit organizations.

1.Going OnlineDue to the outbreak of coronavirus, there was a sudden and steep decline in financial outcome across multiple industries in the first quarter of 2020. The market slowdown led to slower investments, reduced credit timescales by banks (leading to delay in funding), lack of sufficient security packages, covenant limits, etc. The financial impact has caused significant distress for the chemical industry, and top-level executives had to rethink their business procedures to ride through these distressing times.

2.Leverage Technology for Stakeholder ManagementIn a connected world, it is essential for pharmaceutical companies to understand and cater to the needs of different stakeholders in order to ramp up sales and reach their target customers more effectively, including generic drug manufacturers, biotech firms, physicians, chemists and more. Technology plays a crucial role in this scenario by providing tools like the aforementioned Microsoft Dynamics 365 products that enable sales teams to connect with different users through a centralized system.

Figure 1:Customer Engagement in the Pharma Sector Through Technology

Customer Engagement in the Pharma Sector Through Technology

3.Redefine Customer Engagement Strategy with a Sales-driven ApproachFor years, the pharmaceutical sector has by and large been driven through its approach towards research. While the competition for customer aquisition in the pharmaceutical industry, retention and expansion has always existed, not all pharma companies are known for aggressive sales-driven strategies. With the gap between the customer and pharma sector decreasing over time, the sales executives need to overhaul their strategies to directly engage with their customers and turn things around. Companies will be able to mitigate the costs involved in a conventional hierarchical setup for many of their products, and customers will have direct and easy access to drugs or other healthcare products that don’t require a physician’s supervision. An intelligent digital sales-driven approach can also boost revenue of pharmaceutical companies and keep them in sync with demands and expectations of their customer-base.

Key Takeaways

All said and done companies need to make better use of technology available to their sales and marketing departments in order to create an enhanced pharmaceutical customer experience in the pharmaceutical industry. Today, pharma companies that show agility and precision in adapting newer technologies, tools and software will lead the way in pharma customer engagement and retention. Below are some key takeaways –

  • Pharmaceutical companies need to embrace technology for a better understanding of customer expectations.
  • There is immense competition across the pharmaceutical market for customer acquisition and retention, that is achievable only by adopting a modern, sales-driven digital technology.
  • Use of transformative tools and processes are some of the best ways to manage all customers effectively.

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References: The Importance Of A Great Customer Experience For Pharmaceutical Companies

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6 Challenges in the chemical industry due to COVID-19 and the future ahead

6 Challenges in the chemical industry due to COVID-19 and the future ahead 700 500 Xcelpros Team

At a Glance

  • As the world braces itself from COVID-19 recovery, decision-makers at significant chemical companies are looking for ways to realign their operational and manufacturing strategies to be able to sustain and grow.
  • Liquidity and capital resources impact the business, causing financial pain areas for the chemical industry.
  • The industry has also faced challenges due to disrupted global supply chains, labor shortage, dwindling demands for one industry and growing demands for others, and many more issues.
  • With the strategic overhaul, reinvention of smart factories, investment in automation, and other robust enterprise software, the chemical industry can turn the tide.

Like almost every other industry, the chemical industry encountered unplanned hassles in 2020 due to the Coronavirus global pandemic. Practically every department in chemical companies has experienced the ripple effects of a market slowdown. Things are still uncertain in terms of the supply chain’s stability, workforce capacity, changes in global trade regulations, etc.

Approximately 41% in the chemical industry are concerned about the effects of Covid-19 on workforce and reduction in production.
Approximately 23% are looking at disrupted supplies are a red flag.– Per a survey by PricewaterhouseCoopers

While global supply chain disruption has impacted businesses, the chemical industry can take advantage of certain factors like:

  • Increased demand for raw material required for hygiene products and sanitizers across the globe.
  • The drop in oil prices offering a chance to acquire oil-based raw material at a lower cost.
  • Dependence of many major and minor sectors on the raw material provided by the chemical industry.

There are also various strategic and operational changes that the decision-makers at chemical companies will need to help their companies sail through this crisis with minimal damage. The chemical industry also needs to prepare itself for the post-COVID era. However, before we get into plausible solutions, it is imperative to understand the challenges in chemical industry. Let us look at six major challenges that the chemical industry is dealing with due to the coronavirus crisis.

1.Liquidity and Investor IssuesThere was a sudden and steep decline in financial outcome in the first quarter of 2020 due to COVID-19. The market slowdown led to investment shortage, lower credit, etc. The financial impact has caused significant distress for the chemical industry, and top-level executives rethink their finance allocation policies to ride through these distressing times.

2.Shortage of Workforce and Reduced Production RateMany regions are still not back to normal and need to follow social distancing norms to avoid the coronavirus spread. The additional rules in place limit the ability of chemical production facilities to work at full capacity. Even the workforce that does not operate on the shop floor has to either work from home or stay absent. Current issues in the chemical industry lead to reduced productivity and lesser output from the production plants.

3.The Issue of Disrupted Supply ChainsWith the slowdown of all travel types (especially international air travel), there have been significant supply chain challenges in the chemical industry across the globe. The chemical industry is heavily dependent on different stakeholders working in harmony for seamless functioning. Businesses have taken a massive hit, and there are issues related to delays in obtaining raw material, delays in shipments, blocked consignments, and more.

Figure 1:Benefits of a Connected Ecosystem for Inventory Management

Benefits of a Connected Ecosystem for Inventory Management

4.Discrepancies in the Demand of Raw MaterialChemical companies supply different raw materials to various industries, and they make arrangements for these stocks based on their orders, estimates, and market scenario. However, the lockdowns imposed due to the coronavirus pandemic caused many industries like automobile and consumer goods to cease their production. In contrast, other industries like hygiene goods, pharmaceuticals, and medical equipment manufacturing sectors had to ramp up their production capacity. An imbalance in the market caused discrepancies in the demand for raw materials, and the chemical companies have to realign their inventories to suit the changing needs. The market is recovering however still carries the effects of the pandemic.

5.Facilitating Social Distancing at SitesWorkers who are back to facilities require retooling to expedite work and play catch-up on customer orders that were previously halted. Many chemical companies have made drastic changes to their plants to provide a safe atmosphere for their workforce. This atmosphere involves regular sanitization of the premises, facilitation of social distancing, temperature checks of the staff, interatcion and collaboration through digital tools, etc.

6.Changes in Strategy for the Post-pandemic EraThe strategists and top executives at chemical companies have a robust and demanding job at their hands to realign their game plan for the post-pandemic era. Replanning involves gauging the market’s pulse at a granular level, understanding the varying needs for different chemical compounds, and providing investors and business partners with the plan’s visibility. Higher visibility drives the requirement to onboard agile analytical tools in conjunction with their manufacturing execution and warehouse management systems.

While there are many challenges in the chemical industry, they can get these issues addressed with comprehensive, all-inclusive technology. Companies need to evaluate a business solution that provides end-to-end Supply Chain Management, Financial Management functions plus embedded analytics to realign their processes and gain in depth visibility of the operations.

2020 has seen a massive shift in the overall functioning of chemical companies, which has enabled the need for proper planning, extensive use of robust integrated tools, and timely actions. By retooling to make themselves more agile, chemical companies can ride this storm out and progress forward. Ability to adapt to rapid changes in business is now one of the major OKRs within a Chemical company. Enterprises that wish to differentiate themselves in the Chemical industry need to transform from traditional to becoming new-age companies.

Key Takeaways

  • The chemical industry needs to be agile and flexible to gauge the changing needs and serve their best during these trying times.
  • The right digital tools help chemical companies to not just strategize but also effectively execute to grow.

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Modern Methods to Best Manage Pharmaceutical Quality Control

Modern Methods to Best Manage Pharmaceutical Quality Control 700 500 Xcelpros Team

At a Glance

  • Quality control processes in the pharmaceutical industry are known for their rigorous and meticulous nature. It is of utmost importance to maintain the highest safety standards during drug manufacturing and managing pharmaceutical products.
  • With Industry 4.0, automation, Big Data, Machine Learning, Artificial Intelligence and systematic operations management, different Enterprise Resource Management (ERP) tools have become integral in the pharmaceutical quality control processes.
  • Advanced technology is undoubtedly becoming the backbone of futuristic quality assurance in the pharma and biotech industry.

The pharmaceutical industry stands at a pivotal conjunction point of technology and subject matter expertise. With times changing fast, the pharma sector’s processes and operations evolve to enhance accuracy and reduce efforts and time consumption. However, quality control is a highly complex field where the slightest of errors can lead to severe health consequences. At pharmaceutical companies, scientists and top executives look at the latest technologies like complete digitization of operations, automation at manufacturing units, and Big Data and Machine Learning to maintain records.

The (pharmaceutical) industry increasingly wants more out of their data, and the focus in manufacturing data analysis is about quality, not quantity.– Joe Haugh in an article for the European Pharmaceutical Review

The ongoing Covid-19 pandemic and the ensuing search for a vaccine has shown the world that with the help of technology, it is possible to witness a never-seen-before feat of producing a potential vaccine candidate in mere months for a novel virus. Even the numerous clinical trials and related reporting are performed unprecedentedly with the latest tools. Manufacturing and supply of potential drugs to even the remotest parts of various countries are plausible with robust ERP models and streamlined supply chains.

Figure: 1Pain Points: Quality Control in the Pharmaceutical Industry

Pain Points: Quality Control in the Pharmaceutical Industry

Let us take a deep dive into understanding the different ways technology helps reshape methods of quality control in the pharma sector.

01.The Automation Effect: Mitigating Errors, Reducing Process Time and Saving Efforts

Businesses have discussed automation in pharmaceutical manufacturing for a long time, but this technological advancement is a boon in quality control. Pharmaceutical companies can leverage automation within quality assessment by reducing manual documentation efforts to cut margin errors and automatically carry out a quality check for batches or samples.

02.A Robust ERP System: The Way Ahead for Comprehensive Quality Control Process Optimization

Quality control happens at various stages throughout a drug’s lifecycle. This involves different stakeholders spread across multiple departments and most probably other locations. Conventional methods or legacy systems involved manual record maintenance, report generation and communication, leaving scope for errors. The traditional approach also was highly time-consuming. Companies can effectively address the issues with a robust ERP system. A system that provides a centralized database visible to all stakeholders in real-time helps drive better business decisions. The system should leave no scope for communication gaps and help align business objectives with workforce activities. Through report generation and data analysis within the ERP system, companies can make adjustments to operations and subsequently improve productivity.

03.Internet of Things (IoT): Creating a Centralized Database for Enhanced Visibility in QC Labs

Most traditional quality control departments in pharmaceutical companies involve manual work where Quality Control and Quality Assurance work in tandem. However, the cumbersome nature of the job at hand- manual documentation, record maintenance for individual drug components, random testing records, call-back records, etc. creates caveats and increases error margin. IoT helps create a blueprint for various processes through device integration to feed in respective data and insights. This helps in maintaining transparency across all levels of quality control and pharmaceutical quality assurance processes.

04.Digitized Change Control Management: Fast-tracking Quality Assessments in Case of Any Changes

Drug manufacturing is subject to changes throughout its lifecycle. In a conventional QC lab, these changes are recorded and communicated manually to various stakeholders, who then carry out respective tests and derive insights. These insights also drive changes required on a work in process batch. With the help of a digitized ERP system, changes can be communicated in a central system and all the stakeholders can evaluate real-time quality data. This expedites the quality assessment process and helps record maintenance quickly refer to relevant documents during quality inspections.

05.Automated Data Analytics: Applying Machine Learning to Derive Insights

Quality control techniques in pharmaceuticals involve working with precise data. With machine learning and automated analytics, pharma companies can leverage the same amount of data to generate maximum insights.

What does Quality Control in Pharmaceutical Look like in Microsoft Dynamics 365 ERP?

The evolution of Dynamics 365 to a customized, purpose-based system makes it a comprehensive solution for a quality control pharmaceutical lab. It creates a central database, alerts all stakeholders of defects, helps in record maintenance and instant report generation. With Microsoft Dynamics 365 Finance and Operations, life sciences companies can manage in-coming/ in-process inspections for batch and continuous manufacturing. Track and trace functions enable pharma companies a base for better inventory management and can be especially helpful during drug call-backs, in case such a situation arises. On top of the Integrated quality management that includes SOP, CAPA, Deviation functions will help Pharmaceutical companies manage Quality compliance.

Key Takeaways

  • The pharmaceutical industry is cautiously yet steadily adapting to technological advancements. With advanced quality control, pharma companies can make great strides in assurance, uniformity and transparency.
  • Advanced technological applications are must-haves to address the pain points in pharmaceutical quality control.
  • The fast-paced, demanding world of drug manufacturing requires a fast-track yet highly stringent quality control mechanism, which is made possible through cutting-edge technologies and tools.

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Brochure XcelPros – Cloud Solutions Provider

Brochure XcelPros – Cloud Solutions Provider 600 348 Xcelpros Team
inventory management strategies

Top 4 Efficient Inventory Management Strategies

Top 4 Efficient Inventory Management Strategies 700 500 Xcelpros Team

At a Glance

  • Challenges of an inventory can be both daunting and persistently confusing for shippers/ suppliers; however, a strategic re-evaluation can do wonders to your inventory management.
  • Accuracy, agility, and quality seem to be the main driving factors in today’s inventory management scenario.
  • Companies need to make the necessary changes to their approach to inventory management strategies today to have a seamless supply chain and, eventually, a satisfied customer base.

As technologies and the latest strategic trends bring on a blanket change across various industries and their related subsets of functions, organizations need to adapt to these trends. Such adaptations can at first sound overwhelming, but proper planning and execution can help you in the long run. Inventory management has come a long way from being just a function related to buying, stocking, and selling. In today’s digital era, managing an inventory entails predicting stock-outs and preventing them, enhancing workflow efficiency, providing real-time information to various stakeholders, and supporting large scale productions. The unprecedented growth of the e-commerce sector has given rise to customer expectations that can be daunting to the sellers and suppliers. Today’s supply chain culture is all about being the fastest and the most accurate. Thus, both B2B and B2C markets continually look for ways to efficiently manage their inventories’ challenges.

48%

of supply chain and transportation executives say they are experiencing the need to reevaluate warehouse locations due to shifting trade patterns resulting from changes in the U.S. economy.

Source: A Report by Forbes Insight

Whether you are a manufacturer, supplier, or retailer, the road ahead to managing your inventory effectively is full of complexities as well as opportunities. Let us look at various good inventory management practices that will help you unravel these problems while tapping many efficient inventory management options.

01.Be Efficient When You Go Omnichannel

These days, the customers/consumers are empowered by various online applications, e-stores, and even physical shopping options to complete their order. As a retailer who wants to tap into these different distribution options, one needs to dive into omnichannel retailing. But this requires accurate and highly efficient management of stocks and their distribution across various channels. A complex omnichannel inventory requires a central data management system, effective track and trace mechanism, and sustainable storage options to operate seamlessly. An omnichannel store that operates both physically and online needs to purchase data and patterns for predictive analysis to preempt customer demands and stock their inventories accordingly.

Figure 1:An Omnichannel Retailer’s Inventory

An Omnichannel Retailers Inventory

02.Create an Efficient Connected Ecosystem

Long gone are the days when inventories were simply warehouses located close to the supplier base and managed as a separate function. With advanced, cutting-edge technologies, everything is connected today. Thus, to overcome the inventory management problems, you need to create an efficiently connected ecosystem where different functions work in tandem while sharing data, exchanging real-time developments, and being governed in an optimized way.

To help you manage your inventory’s problems with ease, speed, and accuracy:

  • Moving your data from legacy platforms to Cloud.
  • Implement process automation to simplify laborious manual tasks.
  • Use Artificial Intelligence and Machine Learning to preempt stock-outs.
  • Apply Advanced Analytics for accurate inventory reporting.

Figure 2:Benefits of a Connected Ecosystem for Inventory Management

Benefits of a Connected Ecosystem for Inventory Management

03.Revisit Your Warehouse Location design

In the past, inventory locations were not always well-managed and streamlined based on supply, consumption, and demand. With cumbersome planning and different modes of transportation, warehouses would ship goods to the desired locations. However, in today’s times, inventories cater to multiple channels and changing consumers’ demand patterns. This has made companies rethink their logistics strategy. Companies are setting up distribution centers closer to the customer-base to help streamline order fulfillment. Also, these distribution centers, when integrated through a common and efficient warehouse management software, can share data and prevent stock-outs.

04.Balancing the Influx of Inventory

There has always been discord between stocking up on inventory and the actual space available in shippers/suppliers’ warehouses to store the inventory. Sometimes, shippers miscalculate the future demand, while other times, they fear the increase in the price of goods. Whatever may be the scenario, this influx of inventory and the lack of actual physical space can lead to a menace for distribution centers. This can also lead to damage of goods, loss of perishable items, and a mismanaged inventory. To avoid this kind of influx, suppliers can get supply chain experts on board to use technology to their advantage. Tools and applications like MRP with AI and Advanced Analytics can accurately forecast customer demands. A good and robust software system to track the inventory items will prevent excessive purchases and stock-ups.

Inventory problems have always been the peril of supply chain management. You can be better prepared using the latest technologies with features like track and trace through LPN, a mobile supply chain, use of barcode, labeling, etc. By rethinking and replanning your supply chain process, you can proactively streamline inventory. A smooth supply chain needs to have a well-managed inventory, and taking the right steps in this direction will help you build a higher business value.

Key Takeaways

  • No two companies can have similar inventory requirements and structures; so, you need to assess your needs to optimize and manage inventory challenges.
  • A complex inventory requires stringent workforce management, change management, skill force updating, latest technologies, and application of intelligent tools to be managed seamlessly.
  • Contingency plans need to be in place for disruptions in inventory management, giving your company the ability to plan for unexpected situations.

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agile transformation strategy

The What and How of Agile Transformation Strategy

The What and How of Agile Transformation Strategy 700 500 Xcelpros Team

At a Glance

  • The world is moving at a fast pace in terms of technological advancements, and organizations across industries are keen on keeping up with these changing times.
  • Companies are moving towards establishing integrated processes instead of working in silos by connecting the end-to-end operations.
  • Reporting real-time insights, shorter turn-around times, virtual connections, establishing multi-polar communication across locations and a flexible work environment are essential for agile transformation in an organization.

What is Agile Transformation?

Thought leaders and key decision-makers in an organization are always pursuing opportunities to enable a more efficient, systematic, and faster work environment. A strategic realignment between processes, tools, and people is required to start planning any Organizational transformation. Agile is one such phenomenon that makes this realignment possible and expedites the productivity in an enterprise. The use of advanced technology requires proper implementation and resource allocation. When combined with the up-skilling of the employees, it can generate maximum benefits from an agile transformation strategy.

Agility is not just a different viewpoint in today’s world; it is the way to move forward. Organizations need to understand and implement agile technologies to remain relevant and prosper in this world of going fast and staying connected.

According to a study published by KPMG, 68% of organizations (participants of the survey) said that faster product delivery was one of their key drivers for agility. In comparison, 45% indicated that increased flexibility was the main driver for shifting towards agility.

The study indicates that Organizational Agility is growing and is the next organic step forward for enterprises to integrate fortified IT infrastructure with results-driven, faster business models.

The Key Benefits of Agile Transformation Strategy

By now, the world knows that Agile equals faster, better, and smarter ecosystems. However, to implement Agility into your business model, you must first understand the key driving factors compelling enough to take Agile’s right steps. Let us have a look at some of these significant benefits:

  • Better collaboration amongst people inside the organization leading to reduced communication gaps, avoidance of inter-department bottlenecks, and a comprehensive approach towards newer ideas and innovations.
  • The real-time process driving and problem-solving through Agile technologies offers organizations the benefit of saving cost, efforts while reducing waste.
  • Disruption brought by newer technologies, changing government policies, or unprecedented economic factors are inevitable, and Agile gives organizations the flexibility to change priorities, customize operations, alter process flows, and make organizational changes. Agile companies have a chance to stay on top of things even in the face of any plausible disruption.
  • Faster turnaround time is possible, especially in the software domain. Companies can deliver work-in-progress or beta versions of their product and get feedback from their customer base to improve.

How to Leverage Agile Technology for Your Enterprise: The Agile Transformation Blueprint

Companies need to look at agile transformation as an organic extension toward a better, faster, and more technologically empowered ecosystem. Any change at an organizational level requires companies to make strategic decisions from the top and implement systematic alterations at a granular level. Technology and business experts help form an agile transformation blueprint that should serve as a centralized guide for all functions, domains, teams, and processes across the company.

Figure 1:Agile Transformation: Facets of Implementation

Agile Transformation: Facets of Implementation

Agile transformation requires fortifying ERP (enterprise resource planning) systems in any organization. You can use Microsoft Dynamics Sure Step Agile and Microsoft Dynamics 365 ERP to implement these changes. These systems allow enterprises to explore changes with flexibility and implement them at a faster pace. With automated insights generation, design, and deployment features, your organization can benefit significantly with these tools in the journey toward an Agile Organization.

Challenges of Agile Technology and Ways to Overcome Them

Any organizational change faces different challenges – in the system as well as from the people. The decision to move towards a more agile, flexible ecosystem too has its set of challenges:

  • Forming an agile transformation strategy has many hurdles- ranging for technological maturity of the organization, financial burdens, readiness of the management body, and the effort required in bringing about this change. It is this essential to get business strategy and technology consultants on board to help your organization go agile smoothly.
  • A cultural shift is a big part of agile transformation. Thus, it is essential to gauge the cultural readiness towards this change. Otherwise, organizations can find it very difficult to implement and leverage the maximum benefit of going agile. Taking out time to inform and educate people in your company about the changes and their benefits is a must when you take on the agility journey.

Agile transformation is the need and the calling of the hour. It is essential to prioritize the change and recognize the technological facets or upgrades that your IT infrastructure needs. By making the right strategic calls and planning your growth’s core, you can chalk your enterprise’s agility transformation roadmap.

Key Takeaways:

  • The agile transformation process is a continuous one that needs planning specific to an organization’s technological adeptness, cultural readiness, and growth potential.
  • It is essential to visualize the end-user and the end product to implement any change in this journey of transformation successfully.

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Pharmaceutical operations management

Digital Evolution of Pharmaceutical Operations Management

Digital Evolution of Pharmaceutical Operations Management 700 500 Xcelpros Team

At a Glance

  • The healthcare and pharmaceutical sector is changing rapidly with the integration of latest technologies.
  • Digitization is on the agenda of major (and even most of the small-scale) pharma companies to enhance end-to-end operations management.
  • Pharma companies face challenges pertaining to manufacturing, quality control, serialization, supply chain management, process automation and more. Businesses can address these challenges with the help of cutting-edge tools and technologies.

The year 2020 has been particularly demanding for the healthcare and pharmaceutical industry. The increased need for newer or existing therapeutics and demand for a vaccine to curb the ongoing Covid-19 pandemic has put pharmaceutical manufacturers at the frontline. The challenges and pain areas that the pharma sector was dealing with became all the more prominent in 2020.

Pharmaceutical operations management has seen many changes in the past decade and these changes have accelerated because of rapid digitization. Top executives and decision-makers are looking for transformation technologies that can streamline operations, fortify quality control and optimize supply chain management. The manufacturers are looking at ways to transition from batch to continuous manufacturing. To say that the pharmaceutical and biotechnology sector is navigating through times of transformation would not be an exaggeration.

According to Mckinsey and Company, more than 65 percent reduction in deviations and over 90 percent faster closure times have been recorded in first real-life use cases of pharma manufacturing labs (that adapted emerging technologies such as automation and advanced analytics amongst others).

This period of transformation and disruptions is particularly testing for operations management in the pharmaceutical manufacturing sector. Here is a look at some of the challenges in pharmaceutical industry in this area:

1.The Shortcomings of Batch Manufacturing:This rather conventional method of manufacturing comes with its set of problems such as increased efforts and costs. Production in batches also entails batch-wise quality control increasing employees’ downtime. Batch manufacturing is also cumbersome to manage as it requires multiple storage facilities, multiple process reports, various checkpoints and overall increased chances for errors. Pharmaceutical Operations require agility and customized production and the batch manufacturing process falls short by being a rather ‘set’ process.

2.Quality Control and Quality Assurance Challenges:Quality is very obviously a non-negotiable aspect in the pharma industry. In Pharmaceutical operational management, regular quality checks and observing all deviations are a must. However, maintaining quality comes with its set of challenges. Many manufacturers often struggle with clearing quality control checks for raw materials as well as manufactured batches. There is a need to test every batch for generic and customer-specific potency requirements thoroughly, ensure proper storage conditions at every facility, report and record observations, perform in-process quality testing, etc.

Figure 1:Major Challenge Areas: Pharma End-to-end Operations Management

Major Challenge Areas: Pharma End-to-end Operations Management

3.Inventory Management Issues:If the current pandemic has disrupted a branch of pharmaceuticals completely, it would be supply chain and inventory management. Unpredictable demand patterns, over or under stocking, false forecasting have been some major challenges of pharmaceutical manufacturers and vendors. Major and small-scale pharmaceutical companies face issues with quantification and replenishment decisions.

4.Challenges with Digital Transformation in the Pharmaceutical Industry:Pharmaceutical, life sciences and biotech companies are going the digital way to expedite processes, integrate automation and streamline their operations. This journey of digitization in the pharmaceutical industry can be a daunting one for companies as they struggle with moving to newer systems. Top executives need to factor in the cost of digital transformation, expenditure to upgrade their IT infrastructure and budget to upskill their workforce.

To overcome these challenges, pharmaceutical companies need to rethink their operational management strategies. With the help of advanced systems such as the Microsoft Dynamics 365 Finance and Operations, biopharmaceutical manufacturers can make strides in their digitization journey while systematically managing their end-to-end operations. The strength is in the Microsoft cloud-based ecosystem that integrates the enterprise ERP with process automation, analytics, AI, etc.

Figure 2:All Microsoft apps under one umbrella

All Microsoft apps under one umbrella

Figure 3:Microsoft Dynamics 365 Finance and Operations quick glimpse

Microsoft Dynamics 365 Finance and Operations quick glimpse

Here are some of the prominent ways that Dynamics 365 is helping pharmaceutical companies build efficiency in operations management:

  • Automation of processes leading to reduced manual efforts, better time management, decreased operational costs and an overall reduction in time-to-market.
  • In-system generation of reports, invoices, and labels for quality checks, drug batches and related processes.
  • Efficient quality control and assurance with the help of customized processes.
  • Efficient monitoring of inventories to avoid wastage or stock-outs.
  • Real-time tracking of supply chain and centralized connectivity between various stockholder, creating a harmonized system that can run smoothly.
  • Effective raw material planning and in-system purchase order generation with timely reminders and customization options.

These and many such features make a high-end ERP system the must-have addition to pharmaceutical companies’ operational management strategy. Pharma companies need to chalk down their unique challenges and requirements and then invest in a comprehensive ERP tool to fulfill those needs.

In a complex and dynamic digital canvas, pharmaceutical companies are navigating their way towards efficient end-to-end operations management with the latest tools and technologies.

Key Takeaways

  • The challenges in end-to-end operations management are not new to the pharma sector, however, the recent Covid-19 pandemic has made these matters even more pressing.
  • Integration of tools and technologies that can optimize and aid in enhancing process efficiencies are must-haves for the pharma manufacturers.
  • A comprehensive and systematic ERP tool can prove to be the game-changer in pharma and life sciences operations management.

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