Process Optimization

lift and shift cloud migration

Migrating to the cloud through lift and shift

Migrating to the cloud through lift and shift 1202 451 Xcelpros Team

Introduction

Most businesses had never heard of cloud computing before Google CEO Eric Schmidt introduced the term on Aug. 9, 2006 even though it originated in the 1960s. During an industry conference, Schmidt was talking about the potential of network-based computing. “It starts with the premise that the data services and architecture should be on servers. We call it cloud computing,” Schmidt said.

Now, more than 15 years after the term “cloud computing” was born, the numbers show its effectiveness. A report from Hostingtribunal states:

  • 94% of enterprises (i.e., companies with more than 1,000 employees) are already using a cloud service
  • 66% of enterprises already have a central cloud team or cloud center of excellence
  • 50% of enterprises spend more than $1.2 million each year on cloud services
  • 30% of all IT budgets went to cloud computing in 2018
  • By 2025, data stored in cloud centers is expected to top 100 zettabytes (i.e., 100 trillion gigabytes)

A majority of these end-users prefer to “lift and shift” their applications into dispersed cloud server banks. Lift and shift gained prominence in the early days of cloud computing when organizations used this approach to shadow on-premise applications into the cloud.

Lift and shift is a common and simple first step toward embracing the power of cloud.

In simple terms, lift and shift means moving an application without changing the workload framework or software architecture from the existing hardware and operating system when it moves to the cloud. It is essentially rehosting your software on someone else’s distributed computing network. This approach helps companies save time, money and resources required to redesign the applications.

In this article we will touch upon the merits of the lift and shift approach and in the process find out whether moving to the cloud is worth it?

Advantages of Using Lift and Shift

The lift and shift approach is designed to help companies wanting to explore cloud computing without replacing their current software. This method is cost effective, rapid and has higher acceptance from its users because the functionality of the application remains the same.

Advantages of the lift and shift approach include:

  • Application familiarity – Moving an existing application to the cloud means the functioning and usability of the application to end users does not change.
  • Low migration costs – The program is not modified, eliminating the need and cost of rearchitecting the application.
  • Faster deployment – Since there is no need to rebuild the application, speed of delivery is higher compared to building an app from scratch.

For example, consider a Plant Manager in charge of Production Scheduling. This person has a lot to do. They need to maximize their productivity. When the company is expanding and needs to scale up its software, some form of cloud computing—public, hybrid, private or multi-cloud—is the more efficient method than doing it on-site. Replacing an existing program with a newer, unfamiliar one is likely to be met with resistance from staff unwilling to learn new methods of performing the same tasks.

Lifting a familiar program from in-house computers and shifting it to remote servers reduces the fear of change while balancing the need for agility and scalability. According to a 2018 study by IDC, 66% of the end users preferred to lift and shift their production scheduling application to the cloud for higher efficiency compared to 33% who favored keeping it on-premise.

Figure: 1Independent Software Vendors (ISVs) perceive lift and shift.

Independent Software Vendors (ISVs) perceive lift and shift.

How do Independent Software Vendors (ISVs) perceive lift and shift?

When IDC conducted its 2018 survey, 45% of independent service vendor customers preferred the lift and shift cloud migration method for moving business applications. Combined with cloud computing, 69% of end customers understand the positive implications of using cloud-based software. These include agility, scalability, cost effectiveness, efficiency and others.

Is Cloud Computing Worth the Cost?

The most important reason to move company software to the cloud, even at an initial infrastructure as a service (IaaS) level, is cost reduction. Companies save money by lowering hardware maintenance for servers, adding computing power and virtual machines plus the expense of managing the infrastructure on-site.

Using managed services can significantly lower a company’s operating costs, directly impacting its bottom line.

In terms of actual savings, the combined benefit of minimal hardware support, higher efficiency, better manageability of resources could result in a 20 – 30 % average savings on virtual machine (VM) resource configuration alone.

Upgrading an existing application on the cloud provides an integrated platform. Other resources—such as Microsoft’s ecosystem—can be leveraged, adding agility and improving speed by up to 33%. Savings can be much higher.

For example, a multinational insurer was able to save 80% on the cost of a specific development testing environment in an application suite by lifting and shifting it to the cloud. Achieving similar results demands meticulous planning and the ability to gauge savings beyond dollar value. The wider definition of savings must also include intangibles such as the value of time and money from the faster rollout of products enabled by new cloud-enabled capabilities.

Why Microsoft Azure is best suited to lift and shift your applications

There are many cloud computing platforms to choose from. Organizations looking to adopt a cloud model need to ensure everything works correctly after the move. This means interdependencies that exists between applications, data in the system and the workload continue to function even though they are now remote.

Microsoft has a transparent lift and shift process that give you a heads-up on the cost estimates before a company makes the decision to migrate. Microsoft offers a cost calculator that assesses all dependencies and variables involved in the lift and shift process. It helps better assess the migration from a complexity and cost perspective. After analyzing your requirements and determining the effort involved in the lift and shift process, the calculator determines the cost and sequence required in migrating to Azure.

Microsoft’s Azure Migrate can help plan your cloud migration with ease, ensuring you are on top of every move. The service details the mechanisms involved in the process. It provides guidance and insights to smooth your cloud journey.

Benefits of using Azure Migrate include:

  • Discovery and assessing on-premises virtual machines
  • Inbuilt dependency mapping for high-confidence discovery of multi-tier applications
  • Intelligent right sizing to Azure virtual machines
  • Compatibility reporting with guidelines for remediating potential issues
  • Integration with Azure Database Management Service for database discovery and migration

With Azure Migrate, you can be assured that your workload and application will smoothly be lifted and shifted to the cloud without any adverse impact on the business. With the right guidance and tools from Microsoft, the ROI can be maximized, while your application performs seamlessly with the highest security and reliability.

Summary

Companies unwilling to make wholesale changes to their computer software environment can still take advantage of many cloud computing benefits: they can move their existing programs to the cloud using the lift and shift method. Working with Azure Migrate allows the software and data to move with minimal impact on daily operations.

Book a free assessment to know more about Azure lift and shift cloud migration abilities.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

ERP in Inventory Management

The role of an ERP system in Inventory Management

The role of an ERP system in Inventory Management 1200 450 Xcelpros Team

Introduction

A previous article on enterprise resource planning software (ERP) mentioned the benefits of artificial intelligence (AI) and machine learning (ML) in business software. This article covers how Inventory Management functions as part of an ERP.

The common purpose of any ERPs is to integrate, centralize and streamline all business operations. The most common ERP inventory management functions are:

  • Supply Chain Management including tracking and managing raw materials, work-in-progress and finished products
  • Integration with logistics, shipping and B2B ecommerce
  • Managing procurement and sales orders
  • Distributing orders across channels
  • Warehouse management and stock transfers using serialization
  • Integration with Payment gateway
  • Managing accounts
  • Dashboarding and report generation using analytics
  • Quality Management
  • Demand forecasting using AI and ML

Executive Summary

  • ERPs have a broad range of application areas. Inventory management is the most sought out functionality (67%) among users after Accounting (89%).
  • Inventory management helps companies organize and plan their production strategy, along with maintaining ideal stock levels.
  • Effectively managing inventory promotes more efficient use of precious working capital, helping to maintain optimal stock frees working capital and prevents losses due to stock-out.
  • The average manufacturer has 10% – 20% of its revenue committed to inventories. Reducing inventory by 20% – 25% can cut the revenue impact by 2%- 5%. For a $6 billion company, that inventory reduction frees an estimated $200 – 500 million in working capital.

ERPs perform many inventory management functions, supporting the entire supply chain from order and storage of raw materials to final delivery.

Today, the importance of inventory management has continued to evolve. It no longer deals only with keeping track of what’s currently in the supply, production and delivery pipelines. It also has a significant effect on business strategy.

ERPs are now equipped with artificial intelligence and machine learning. These additions transform a tool first appearing in the late 1990’s into an invaluable piece of technology. For example, using historical data, a modern ERP can more accurately predict future demands and current inventory levels.

All businesses are realizing the benefits of going digital. Traditional companies that once shied away from adopting technology are now embracing it.

Connecting businesses, such as a pharmaceutical manufacturer with its internal and external suppliers, generates massive amounts of data. ERPs help chief executive officers and other leaders make sense of the numbers. The software lets leaders compare historical behavior with current trends, making accurate inventory predictions. ERPs can reveal important insights by leveraging data across business functions.

Benefits of ERP In Inventory Management

A SelectHub survey found that Inventory Management (67%) was the most used part of a modular ERP package after accounting (89%).

Figure: 1A 2018 Survey by Select Hub Found That The Most Important Function in an ERP was Inventory Management

Inventory Management functionalities

Functions of ERPs in Inventory Handling

ERPs perform six primary inventory related functions. These include:

  1. 1.Better forecasting accuracy
  2. 2.Segmenting, clustering and classifying materials
  3. 3.Making warehouses more intelligent
  4. 4.Permit accurate, timely inventory planning
  5. 5.Reduce waste
  6. 6.Manage returns and order cancellations

Improving Inventory Accuracy: Some modern ERPs like Microsoft’s Dynamics 365 Finance come with many built-in AI and ML capabilities. This functionality lets executives review sales data, seasonal demand and other information to predict inventory needs. By comparing historical and current data, companies can devise a robust plan to increase or decrease inventory and storage capacity suiting anticipated market conditions. D365 Finance also accepts variables for greater accuracy.

Key benefits include:

  • Artificial intelligence helps predict future demand using historical data
  • Comprehensive inventory planning translates to higher customer serviceability, boosting customer satisfaction

Segmenting, clustering and classifying materials

Isolated data is only valuable to that portion of the business. To help the entire business and provide insights, data must be visible to other departments. Using an ERP’s Inventory Management module lets companies tag, cluster and analyze each item or stock keeping unit (SKU). It produces labels that can be read by mobile phones and other portable devices, providing access to a wealth of information while tracking every item. Classification options include:

  • Units of measurement
  • Product usage
  • Material source
  • Alternatives or substitutes
  • Allocation
  • Cost and price
  • Demand
  • Supplier or vendor

Classifying inventory items lets users analyze each item based on the business needs, and prioritize the ones that are most critical.

Making Warehouses More Intelligent

When products are given machine-readable barcodes or QR code labels, companies can track material movement in real-time.

Modern ERP lets warehouse managers create an operative warehouse plan with access controls at every level. This is particularly crucial for manufacturers with multiple production sites. Setting access controls ensures the right people can move inventory items at the right time.

ERPs allow warehouse managers to efficiently allocate more space to the items that need it and reduce space from those that do not.

Combining the functionality of an ERP with robots and other forms of automation reduces human efforts. For example, beverage giant Coca-Cola uses AI to count the varieties and volume of bottles stored in cabinets or display units by analyzing a photograph clicked on a mobile device.

Other benefits of an efficient warehousing plan include:

  • Tracking each stage of a product from raw material to work-in-progress and finished goods
  • Preparing accounts for stock transfer
  • Reducing human effort in mundane tasks, such as manually counting inventories, letting workers perform more valuable jobs
  • Maintaining ledgers of opening and closing stock balances
  • Reducing dead stock by efficiently managing expiring inventory

Permit Accurate and Timely Inventory Planning

An ERP system ensures companies maintain ideal stock levels, permitting more efficient use of working capital.

Today’s ERPs come with features that help with material requirements planning (MRP). This includes production scheduling, setting up reorder-levels and establishing inventory minimum and maximum levels. The business application tool records lead times related to purchases of raw materials, manufacturing time, quality checking, packaging, logistics and other functions. All of this data combined helps the planning engine create better forecasts.

Reducing Waste

The combined benefits of classifying items and inventory planning helps reduce waste. The inventory management module of an ERP provides complete visibility of all inventories, including clusters and substitute products. Module users can also sort inventories by batch numbers or serial numbers.

When a particular product has an unanticipated surge in demand, companies can easily identify substitute products in an attempt to reduce lost sales. Aligning substitute and primary products lets customers looking for affordable alternatives or shorter lead times find workable options, further boosting revenue.

Waste reduction benefits of an ERP include:

  • Offering alternative or substitute products when primary product levels are low.
  • Provides options for price sensitive customers, increasing customer loyalty.
  • Uses attributes assigned to each SKU to make it easy to locate substitute products.

Managing returns and order cancelations

ERPs manage returns with greater ease than older methods. ERPs reconcile sales credit memos and accounting letting companies issue refunds or shipping fresh products.

Return benefits include:

  • Easier tracking of refunds and reshipments.
  • Quicker return decisions by providing a complete view of sales, current inventories, cash balances, shipping availability and other issues.
  • Automatically calculates foreign exchange rates.

Conclusion

The primary benefit of an ERP system is the ability to track inventory, reduce stocking costs and maximize working capital accurately and efficiently. This significantly reduces administrative and operational costs without sacrificing functionality.

Organizations looking to optimize inventory planning and become more competitive must implement a modern ERP system. The cost of implementing a modern ERP is easily made back in overall savings with included inventory controls that are more accurate, reduce waste, and produce happier customers with much greater flexibility.

Book a free assessment on how to use an ERP in Inventory Management to improve efficiency.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

How Pharmaceutical Companies Get New Products to Market during Covid-19

How Pharmaceutical Companies Get New Products to Market during Covid-19

How Pharmaceutical Companies Get New Products to Market during Covid-19 1202 452 Xcelpros Team

Introduction

As the world continues to deal with one of the deadliest pandemics in modern history, governments are working overtime to protect their citizens from the deadly disease known as Covid-19.

With the potential impact of Covid-19 on pharmaceutical sales estimated to be huge, two types of drugs are being sought after:

  • Vaccines to keep humans from catching the disease
  • Therapies to treat people with the disease and help them recover

At the end of 2020, the U.S. Food and Drug Administration (FDA) modified its approval process for vaccines, issuing an emergency use authorization (EUA) to Pfizer-BioNTech for a vaccine to prevent coronavirus disease 2019 (COVID-19). The initial EUA applied to vaccines for people 16 and older. It was further modified on May 10, 2021 to include adolescents ages 12-15. The EUA lets the vaccine be distributed in the US. Similar documents were issued to Moderna, Inc. and Johnson & Johnson / Janssen. On July 9, 2021, Pfizer said it would seek approval for a booster shot to target the newer variants of the disease. The FDA and other regulators have, at this time, disagreed with the need for it. This could result in Pfizer share price climbing by as much as 66% in 2021, as suggested by analysts from investors.com

Companies might want to rethink their pharmaceutical product launch strategies. This change in the FDA approval process may require changes in pharmaceutical new product launch plans, prioritizing Covid-19 treatments over other medicines. These plans affect not only products sold in the U.S. but also in the Indian pharma market with its 1.4 billion residents (four times that of the U.S.).

Using enterprise resource planning (ERP) software can help pharmaceutical companies gain regulatory approval of their drugs and treatment plans.

By the Numbers

Expected 2021 sales from Covid-19 vaccine makers:

  • $15 billion-$30 billion: Pfizer/BioNTech (share price +1.8% for Pfizer, +156% for BioNTech)
  • $18 billion – $20 billion: Moderna (share price +372%)
  • $10 billion: Johnson & Johnson (share price +7.7%)

Five other companies are also making Covid-19 vaccines but none have been approved by the FDA yet. (Source: The Guardian)

Normal Drug Development Process

The normal pharma go to market strategy requires a clear long-term view since most medications take 10-12 years to go from the laboratory to the medicine cabinet. Full FDA approval requires six months of data plus another six months for review before official approval is given. These additional steps then come at the end of the drug creation journey:

  1. 1.Research and laboratory work begins.
  2. 2.Preclinical research and animal testing looks into the drug’s safety for human beings.
  3. 3.Clinical research begins on humans, typically comparing test results from patients getting the therapy to those receiving a placebo.
  4. 4.The FDA reviews the data and then decides to approve or disallow the medicine.
  5. 5.The FDA monitors the drug for safety once it becomes publicly available.

The Covid-19 vaccines are examples of drugs required to combat a crisis, one that has already killed more than 606,000 U.S. citizens and 4 million people worldwide. They present different pharmaceutical marketing challenges than existing medications.

“An EUA can be given if there are no adequate or approved alternatives,” WKYC of Cleveland, Ohio states. Pharmaceutical manufacturing companies still need to prove the drug is safe by thoroughly testing against thousands of study participants.

“The only difference really between the emergency use and the licensure is that volunteers are observed for a longer period of time to see the duration of protection and if there might be rare adverse events that occurred down the road,” WKYC quotes Dr. William Schaffner of Vanderbilt University as saying.

Figure:

 Normal Drug Development Process

Difference Between EUA and Standard Approval

Drugs with full FDA approval have several major advantages over those with just an EUA, including:

  • The medications stay on the market after the pandemic is no longer an emergency
  • EUA-approved therapies must be pulled from the market
  • Medicines still in the development pipeline may be tested against newer, more drug-resistant, variants
  • The pharmaceutical manufacturer can market directly to consumers
  • After full approval, businesses can require all employees to be vaccinated, WKYC states

The FDA Requires Records

According to the FDA’s Code of Federal Regulations (CFR), Section 312.57

“Recordkeeping and Retention,” a drug sponsor (i.e., manufacturer), “shall maintain adequate records showing the receipt, shipment or other disposition of the investigational drug. These records are required to include, as appropriate, the name of the investigator to whom the drug is shipped and the date, quantity and batch or code mark of each shipment.”

Records must be kept for two years after the marketing application is approved or for two years after shipment and delivery of the drug for investigational use is discontinued and the FDA notified.

Traditional Recordkeeping is Cumbersome

Many pharmaceutical companies still use spreadsheets to keep track of records. However, they often get data from a single source or department. Multiple sources may mean mixed-up or missing records, slowing the approval process.

Typically, companies using older software tend to silo their data. Inventory has its records. Finance has its own. Sales and marketing have theirs.

The problem in terms of regulatory compliance is that none of this information is shared across departments.

Enterprise resource planning software (ERP) such as Microsoft Dynamics 365 Finance and Operations lets pharmaceutical manufacturers gather information from all of these different sources. The data is combined into one unified whole.

Dynamics 365 can then automatically generate labels. It allows companies to track everything from large batches to individual doses, making FDA compliance simple and easy.

Data comes into the ERP network from sources scattered literally all over the globe. Real-time information is available with the click of a mouse or typing a few keystrokes.

Dynamics 365 data is securely stored on Microsoft Cloud servers. It’s available any time, anywhere. Executives can obtain any record in the system quickly and easily, ensuring compliance with FDA regulations. This lets executives provide accurate data to regulators quickly and easily.

Summary

Covid-19’s death toll led the FDA to accelerate its approval process from 10-12 years to a mere matter of months. Moving forward, agile pharma go to market strategies that can adapt to these changing requirements will undoubtedly be more profitable. An effective ERP software solution such as Dynamics 365 helps pharma companies adapt, and be able to quickly provide any required regulatory documents in order to remain compliant.

Get a free consultation on pharmaceutical go to market strategy during challenging times.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

Dynamics 365 Business Central vs Finance and Operations

Dynamics 365 Business Central vs Dynamics 365 Finance and Operations: Comparison

Dynamics 365 Business Central vs Dynamics 365 Finance and Operations: Comparison 2501 938 Xcelpros Team

At a Glance

  • Microsoft Dynamics has a range of products that are designed from the ground up for different functionalities.
  • As an enterprise, picking the right product (for eg. Data migration from NAV to Business Central and choosing between Business Central vs Finance and Operations) requires intricate knowledge about the in’s and out’s of these platforms.
  • The Microsoft Dynamics family of products offers a wide array of business applications that can provide you with the maximum efficiency and ROI for your enterprise.

Microsoft Dynamics is known for upgrading or in some cases even overhauling its range of products to:

  • Make them compatible with the changing technologies (rewriting on-premise enterprise products for the cloud)
  • Enhance business applications
  • Streamline operations management, resource planning, and/ or financial management functionalities

As an existing Microsoft Dynamics suite customer or an enterprise looking to invest in a modern product, it can be an overwhelming decision to understand the differences between Microsoft’s vast range of products. Whether it’s understanding the minute differences between Microsoft Dynamics 365 Business Central and Finance and Operations, or determining the additional features that these products offer, making an informed decision is critical.

This article discusses the major differences between Dynamics 365 Business Central and Finance and Operations.

Microsoft Dynamics 365 Business Central vs Dynamics 365 Finance and Operations: Picking the Right Enterprise Resource Planning System

First, it’s essential to understand that Dynamics 365 encompasses both Business Central and Dynamics 365 Finance and Operations. Business Central is essentially a cloud-based ERP solution on its way to replace the older Microsoft Dynamics NAV product. The dual functionality of Business Central (on-premise and on the cloud) is what makes it more efficient for operations management and resource planning. The cloud functionality of business central can be leveraged to access data 24*7 anywhere you go. This can be especially useful in recent times where remote work has jumped in scale.

Here’s an In-depth Comparison Chart to Understand the Difference Between Dynamics Business Central and Dynamics 365 Finance and Operations

Dynamics 365 Business Central Dynamics 365 Finance and Operations
User-base Previous Dynamics NAV Users Financial Compliance Teams, Vendor Management, Inter Company Stock Transfers etc
Analytics Maturity Dashboards, Reporting, Ad-hoc Analytics Advanced and More Intricate Analytics, Richer Reporting Options, Machine Learning-enabled Features, Advanced Business Intelligence Tools
Options for Customizations Developers can access open codebase for customizations Multiple plug-in options, Many Modules Available on AppSource
Implementation Cost Generally, 30% of Cost of Implementation of Dynamics 365 Finance and Operations All infrastructure costs are included
Licensing Subscription-based Model Monthly Subscription-based Model

Dynamics Business Central vs Dynamics for Finance and Operations are often compared for their scale. While Business Central is usually targeted towards smaller-scale operations (companies that want to move on from basic accounting models to intricate business analytics functionality), Microsoft Dynamics 365 offers two ERP products: Business Central and Dynamics 365 for Finance and Operations.

It’s widely considered that In time, Business Central will take center stage, possibly phasing out Dynamics NAV completely. Here are some of the more compelling reasons for this hypothesis.

Dynamics Business Central Key Benefits and Distinguishing Features:

  • Easily accessible on-cloud and/or hybrid models available
  • Better safety with its cloud-based and web-based applications
  • With Business Central, companies can get maximum use and ROI from other applications such as SharePoint, MS Excel, Outlook, and MS Word
  • Business Central offers a variety of new functionalities
  • The flexible upgrade and licensing model allows companies to be digitally agile in the implementation of software
  • Data migration from Nav to Business Central is a fully-supported, streamlined process
  • Overall implementation of Business Central is much faster, thanks to customization options, add-ons development and combination option with other Office 365 products.

In conclusion, companies that are looking for nimble, cloud-based software options for their enterprise’s accounting requirement can opt for Dynamic Business Central. On the other hand, companies looking for intercompany stock dealings, transportation management, and financial compliance solutions should opt for Dynamics 365 Finance and Operations. Depending on the requirement of companies, their IT infrastructure maturity and growth strategies, an informed choice has to be made.

Key Takeaways:

  • Dynamics 365 is an umbrella encompassing Business Central and Finance and Operations ERP solutions.
  • Business Central offers intricate analytical functionalities with the option of going cloud-based or local (on-premises) or hybrid.
  • Dynamics 365 Finance and Operations has a more niche user-base.
  • Companies can get support from experts and consultants to make the right call and for faster, smoother implementations.

Trouble choosing between Dynamics 365 Business Central and F&O? Get help from experts today!

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

Covid-19 Impacts on the Pharmaceutical Supply Chain

Covid-19 Impacts on the Pharmaceutical Supply Chain

Covid-19 Impacts on the Pharmaceutical Supply Chain 1821 674 Xcelpros Team

Introduction

While the United States continues to vaccinate and protect its citizens from Covid-19, new variants of the disease continue to pop up around the world. In addition to costing millions of lives (Google states nearly 3.3 million in 220 countries and territories worldwide as of May 7, 2021, which includes 579,000 in the US alone), problems caused by the disease are wreaking havoc with the pharmaceutical supply chain.

Figure: 1Covid-19 Impacts on the companies

Covid-19 Impacts on the companies

Among the short-term effects cited in a July 3, 2020 article on Springer are:

  • Demand changes leading to shortages caused by panic-buying oral home-care medications.
  • Supply shortages of active pharmaceutical ingredients (APIs) and finished products, especially those coming from China and India.
  • Shifting communications and promotions to telecommunication and tele-health, such as 70 – 80 percent drop in visits to physician offices and clinics.
  • Changes in the focus of research and development programs to dealing with Covid-19.

Long-term effects on the pharmaceutical industry cited in the Springer article include:

  • Delayed approvals for non-Covid-related pharmaceutical product, partly caused by the closure or semi-closure of regulatory agencies.
  • Self-sufficiency and lower demand for APIs and finished products made in China and India caused by individual countries and organizations such as the European Union looking at the health needs of its citizens.
  • Slowed growth resulting from economic slow-downs in economies around the globe.
  • Ethical issues caused by poorly researched clinical therapies.
  • Consumption changes of health products by consumers.

By the Numbers

  • A 2-fold increase in investigational treatments in the U.S.
  • 100% – 700% increase in the use of medicines to treat Covid-19 in U.S. hospitals (January-July 2020).
  • 7 million excess prescriptions for hypertension, 6 million for mental health, 5 million for respiratory problems, 4 million for diabetes and 2 million for anxiety in the U.S. alone.
  • 156 clinical trials for Covid-19 in the Middle East and 140 in the EU.
  • 70%-80% reduction in patient visits to doctors’ offices in the EU.
  • 23% of patient interactions in the EU are done online.

Supply Chain Effects

Deloitte produced its “Covid-19 Response for Pharma companies: Respond. Recover. Thrive” report. Among the report’s sections is a look at Supply Chain Management.

Key risks in procurement cited by Deloitte are:

  • Quality checks of received materials. Mitigation measures include increasing warehouse space for quarantining shipments from China.
  • Shortages of raw materials, APIs and solvents due to dependency, inadequate materials to complete BOMS/batch size processing. Mitigate by boosting stocks of critical inventory, evaluating alternate sourcing of impacted materials and using government support policies when looking at investments in production plants.
  • Shutdowns of vendor plants. Mitigate by identifying shutdowns from remote (i.e., Asian) sources and pressure test supply chains for various scenarios.

Key risks for planning include:

  • Expiration of materials and monitoring for reassessments and quality certificates. Mitigate by submitting studies to the FDA with the longest agreeable expiration date.
  • Shutdowns of contract manufacturers. Mitigate though communication regarding their ability to deliver products.
  • Quality control checks at contract manufacturers or traded goods for contamination issues. Mitigate by having quality control personnel on-site and thoroughly sanitizing all in-bound products, employees and equipment.
  • Contamination after final packaging. Mitigate by disinfecting shipments before delivery and providing photographic proof.

Logistics and transportation risks cited by Deloitte include:

  • Non-availability of local transportation to move raw materials and finished goods. Mitigate by locating alternate partners and getting approval to move essential drugs should a lockdown occur.
  • Contamination issues from transport vehicles. Mitigate by disinfecting all vehicles, planning to store temperature-sensitive products and arranging warehouse space.

Export risks are:

  • Contractual compliance. Mitigate by ensuring the person(s) collecting the order is aware of any regulatory restrictions.
  • Contractual terms with domestic and export customers. Mitigate by seeking advice from insurance brokers and engaging early with clients to determine what could work if supply chain challenges or personnel issues occur.

Continuing Effects

Disposable components for single use systems are being shunted to Covid programs at the expense of other critical programs. This is one of the continuing effects on the supply chain cited by Contract Pharma in its Covid-19 Impact Report.

Kay Schmidt of Catalent said finding vaccines and target therapies for Covid-19 has boosted demand for its services. The increased demand “has led to greater collaboration and innovation between partners, regulators and throughout supply chains to meet key milestones” plus internal and external management, planning and communication to ensure resource allocation for multiple programs.

James Rogers of Sterling said, “The impact of the global pandemic has exposed the fragility of the pharmaceutical supply chain.” He predicts that supply chain resilience and reliability will be given the same importance as price when developing future supply strategies.

Danita Broyles of U.S. Pharmacopeia is quoted by Contract Pharma as saying, “The decrease in on-site inspections has the potential to increase quality risks to the global supply chain,” adding pressure to manufacturers and suppliers to ensure the quality of their products.

Ben Wylie of ChargePoint Technology said that, “many governments are now pushing the industry to rethink its model to safeguard drug production.” He cited a program in India to reduce reliance on China for critical drugs and APIs.

Covid-19’s Impact on Regulatory Practices

Covid-19 will have an ongoing impact on regulations in the areas of clinical study trial design, clinical trial study development and post-clinical trial regulatory submissions, Dr. Ronan Brown of IQVIA wrote in an article on European Pharmaceutical Review.

Among the changes forced on drug makers is a more decentralized approach to collecting patient information and rapid access to regulators, Dr. Brown said. This includes pre-investigational new drug meetings with the FDA now granted in less than 30 days. The FDA has also taken steps to accelerate the review and start of new studies. Flagging potential obstacles and safety concerns during these early meetings lets pharmaceutical companies move faster into human trials, he explained.

Decentralized clinical trials, which he expects will ultimately cost about the same as the traditional versions, will offer greater diversity in terms of patient cohorts along with increased mobility and convenience.

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XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

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Top Reasons Why SMBs Need to Invest in a Robust ERP System

Top Reasons Why SMBs Need to Invest in a Robust ERP System

Top Reasons Why SMBs Need to Invest in a Robust ERP System 2400 900 Xcelpros Team

Introduction

Growing small and medium businesses (SMBs) around the world continue to invest in ERP software hoping to streamline their operations and boost profits. Let’s find out why the increase in demand for an effective ERP system has risen in the past decade.

need of erp system in small medium businesses

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

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Streamlining Production Process in Pharmaceutical Manufacturing

Streamlining Production Process in Pharmaceutical Manufacturing

Streamlining Production Process in Pharmaceutical Manufacturing 2400 900 Xcelpros Team

At a Glance

  • There’s a consistent demand for scaled capacity when it comes to pharma manufacturing as healthcare demand continues to rise globally.
  • Cost-savings, shorter turnaround time, and enhanced productivity are some of the key criteria for top executives in pharma manufacturing companies.
  • Automation of production lines, minimizing raw material wastage, stakeholder synchronization, optimized resource allocation, etc. are some of the ways with which pharma manufacturing can be streamlined.

Around the world, we continue to see rising demand for access to quality healthcare. Side-effects of the recent pandemic significantly added to this demand. This has placed a lot of pressure on pharma and biotech manufacturing companies, who are finding it difficult to:

  • Streamline research and development (R&D) processes.
  • Reduce overall costs and improve time to market.
  • Ensure 100% safety and regulatory compliance.
  • Enhance production capacity.
  • Expand market reach.

Pharma manufacturers are having to constantly up their game when it comes to R&D, operations, production, and distribution with newer technologies and strategic business moves. With signs indicating the industry is poised for extraordinary growth, it’s becoming a given that manufacturers will need to invest in leaner, more agile production processes.

According to the 2020-2027 Pharmaceutical Market Size Report, by Grand View Research, the global pharmaceutical manufacturing market size was valued at USD 324.42 billion in 2019 and is expected to grow at a compound annual growth rate (CAGR) of 13.74% from 2020 to 2027.

These growth stats put focus on the need for ramping up production without compromising on safety, all while ensuring consistent profitability.

Key Factors and Processes in Pharma Manufacturing

Before we look into the ways with which manufacturing in pharma companies can be streamlined, it’s essential to consider some of the key processes involved.

1.Robust R&D: For pharma and biotech companies, continued investment in the laboratories is essential in ensuring long-term success. With Robust R&D comes increased chances for innovation, which can define a pharma company’s overall market position in terms of being the first to manufacture a ground-breaking formula. Strategic movement towards streamlined manufacturing begins with ensuring superior, quality research in the labs.

2.Raw Material Acquisition and Distribution: Whether it’s small-molecule or biological drugs, pharma companies are typically dependent on an intricate network of raw material manufacturers and their distributors to acquire safe and superior quality products. In addition, complex formulations require compounds manufactured across multiple facilities to be stored and transported in optimal conditions. Manufacturers could be dependent on multiple, different suppliers for raw materials globally.

3.Managed Production Lines: Today, pharma companies are more dependent than ever on fast-paced production lines backed with technology-enabled batch manufacturing, serialization, and traceability. Bridging the gap between hardware and software for streamlined drug production can make a huge difference in speed to market.

Pharma Manufacturing Process Issue/ Roadblocks How Technology Can Help
R&D Prone to human error, slower processes Automated data integration and analysis, AI for molecular identification
Supply Chain Highly complex, data discrepancies or duplication, missing information, stock-outs Centralized SCM for real-time visibility, centralized data access, real-time stakeholder communication, inventory management in ERP
Drug Manufacturing/ Production Shop floor to top floor communication glitches, communication time-gaps, human errors in reporting/ record maintenance Automated production lines, report generation in ERP, real-time communication between shop floor and top floor
Quality Control Counterfeits, fake drugs, human errors, formulation errors Computerized serialization, use of blockchain to ensure drug safety

4.Competent Supply Chains: Healthcare is a global business and now more than ever, pharma manufacturers are dealing with complex supply chains involving multiple stakeholders spread worldwide. Ensuring that these supply chains are competently managed is critical to ensuring overall streamlining of pharma manufacturing.

5.Quality Checks: When it comes to drug manufacturing, anything less than 100 percent is often unacceptable. Pharma companies are well aware of the perils of lawsuits, license cancellations, and other dire consequences when it comes to quality management. At every stage of pharma manufacturing, quality checks are paramount to ensuring drug safety and compliance with all required healthcare regulations.

How Can Pharma Manufacturers Streamline Their Production Processes?

Pharmaceutical companies are embracing newer and newer technologies for quicker results, better process management and enhanced productivity. Still, there’s a lot more that pharma manufacturers and their CDMOs can do in order to enhance the overall pharmaceutical production process, for significantly better results.

  • Integrating new technology in the lab is proven effective in accelerating research and innovation. Leveraging Big Data and Analytics for data collation, integration, and insights generation from clinical trials can not only expedite the process but also ensure accuracy and transparency. Similarly, computational permutations are effective in molecule identification for a particular drug. Gene sequencing, digital record maintenance, computerized medical equipment, etc. are becoming game changers in strengthening R&D, along with the production process typical in pharma manufacturing.
  • Pharmaceutical shop-floors can and should be well-integrated with the IT infrastructure on the top floor. By embracing software-managed production lines, manufacturers can leverage automation for faster and error-free processes. Similarly, production supervisors can benefit from the automated data flow from an Enterprise Resource Planning (ERP) system to and back from the production lines. Tasks like reporting and serialization can be managed by this software to save time and cost.
  • Newer technologies and software for SCM are becoming pivotal in helping pharma companies stay on top of complex supply chains and distribution networks. IoT solutions are being leveraged in pharma manufacturing and distribution for real-time monitoring and communication. Better shipping times and inventory management become possible through effective data analysis. Many companies are also making use of blockchain to ensure data security and encryption while managing the complex supply chain networks globally.
  • Use of blockchain and comprehensive ERP software (for serialization) are also helping manufacturers in ensuring drug safety. Since these tools and technologies provide the option of complete traceability (from production to patent), drug counterfeits become extremely difficult, if not impossible. Drug quality and safety is one of the major concerns for manufacturers and optimal use of technology can ensure quality checks thereby saving efforts, costs and time.

Pharmaceutical manufacturers are embracing newer technologies for better production and profitability. With these technological advancements, companies would be able to achieve their manufacturing goals without compromising quality and safety.

Key Takeaways

  • Newer technologies and software such as IoT, Artificial Intelligence, Data Analytics, SCM and ERP are playing important roles in streamlining manufacturing processes in pharma.
  • Pharma companies need to technologically reinvent themselves to keep up with the complex and ever-expanding canvas of global healthcare.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

Warehouse Management Challenges in the Pharmaceutical Industry

Warehouse Management Challenges in the Pharmaceutical Industry

Warehouse Management Challenges in the Pharmaceutical Industry 2400 900 Xcelpros Team

At a Glance

The pharmaceutical industry faces some unique warehouse management challenges. Many of these issues can have a dramatic impact on medications, even though they may not exist in industries such as general retail.

Key issues facing warehouse managers are:

  • Keeping portions of their facilities at the correct temperatures to prevent medications from spoiling.
  • Following federally-mandating good manufacturing process rules.
  • Security issues for products and intellectual property.
  • Inventory controls.

Warehouse issues specific to the pharmaceutical industry include:

  • Temperature control: Active pharmaceutical ingredients (APIs), precursor chemicals and manufactured drugs frequently require controlled temperatures. A general temperature range for a cool, dry place is between 59-77° F (15-25° C). Some products such as vaccines may require freezing. Exposing drugs to temperature outside their effective ranges can cause chemical changes and reduce a drug’s effectiveness. For example, Baystate Health states that medications containing hormones do not work as well when exposed to colder or hotter temperatures.
  • Humidity control: Moisture condensing inside packages can impact a medication’s effectiveness. Baystate Health states that blood glucose strips exposed to humidity will give inaccurate readings.
  • Light exposure: Exposure to ultraviolet light from the sun and other sources can change the chemical structure of some medications. The light exposure causes photodecomposition, reducing the medication’s potency. Light exposure can also cause side effects after administration such as phototoxicity and photoallergy, a 1997 post in PubMed states.
  • Adhering to the Food and Drug Administration (FDA) Current Good Manufacturing Process (CGMP) standards for warehouses, processes and drugs. This includes keeping careful track of item locations within the warehouse.

According to Kanban, the FDA’s CGMP warehouse standards include:

  • Contamination prevention: Storage must allow inspection and cleaning.
  • Identification: Each drug must have a unique, traceable code that identifies the lot’s status, such as approved, quarantined or rejected.
  • Distribution Procedures: Written procedures describing the distribution process for each drug including recalls.
  • Storage Procedures: Written procedures describing the storage conditions for each drug are required.

Some pharmaceuticals require only temperature controls for specific ranges. Other medications require climate controlled environments affecting temperature and humidity.

Figure: 1Pharmaceutical Warehouse Management Challenges

Pharmaceutical Warehouse Management Challenges

Following GMP Rules

GMPSOP states that following the Good Manufacturing Process (GMP) rules enables manufacturers to:

  • Protect medicines and raw materials for medicines during storage
  • Prevent finished product degradation
  • Avoid contamination from other materials
  • Prevent damaged or expired product from being shipped

Warehouse managers also face the challenge of keeping track of three types of items appearing on the packaging bill of materials governed by GMP procedures. Each of these item types requires unique lot numbers:

  • APIs, precursor chemicals and other starting materials
  • Packaging materials
  • Printed materials

All warehouse managers face inventory control requirements. Those in the pharmaceutical sector also deal with intense government scrutiny.

Receiving Shipments

Other GMPs in the pharmaceutical industry require materials arriving from suppliers to be reviewed based on their use. For example, check starting chemicals to confirm they are:

  • From a source approved by the company
  • Free of damage and defects
  • Labeled with all required information
  • Have a unique identifier
  • Registered in the company’s inventory database
  • Quarantined until quality control tests are performed
  • Stored appropriately and safely, such as in a temperature controlled section or “Dangerous Goods” area for flammable and toxic materials

Unlike retail goods warehouses, pharmaceutical warehouse managers should also set aside an area for raw materials that have been tested and confirmed to meet all required standards. A similar section should exist for any materials that fail these tests GMPSOP states.

Sampling and Testing

Sampling and testing should be done in a room having sections with positive air pressure (i.e., the air pressure is higher than that outside, preventing contaminants such as dust, microbes, pollen, cleaning agents and lubricants from entering) and negative air pressure (i.e., the pressure is lower than that outside to prevent materials from inside the room going outside). An airlock with positive pressure keeps out external contaminants. With the airlock sealed, the inner testing can have negative air pressure to keep chemicals from contaminating the larger warehouse.

Other sampling room requirements include clean instruments and appropriate personal protective equipment (PPE) as required by the federal Occupational Health and Safety Act (OSHA) and the FDA. OSHA has a downloadable brochure on warehouse safety.

Storage and Tracking Inside the Warehouse

“Lack of control over material movement in the warehouse can, and has, led to defective products,” GMPSOP states.

General warehouse practices (GWP) require that:

  • Received unused goods and finished products are quarantined until approved for release
  • Items have correct status labels (e.g., current, expired, etc.)
  • Unique identifiers are clearly visible
  • Products are stored by type when appropriate
  • Access to toxins and addictive drugs or chemicals is stored separately. Access is limited only to approved personnel
  • Materials are tracked as they move through the production facility from the Receiving area to Production and then to Shipping

When possible, warehouse managers should have separate sections to store damaged or returned goods, recalled items, “not for sale” samples and when identified, counterfeit materials.

Labeling

Another challenge for pharmaceutical warehouse managers is accurate labeling.

GMP rules require labels to include a standard name and Unique Identification Number that must be different from the supplier’s lot number. The UIN must be recorded in the lab, on the facility’s computer system and in production.

GMPSOP suggests not referring to the IUN as a batch number.

Other unique to pharma labeling requirements are:

  • Expiration dates
  • Barcodes for additional tracking options
  • Status indications, typically in the form of a color code
  • Quarantined products
  • Items being held for investigation
  • Rejection labels when an item fails to meet required standards
  • Approval and/or release labels indicating the item can proceed to the next step in the supply chain

Security Challenges

Medicines and other pharmaceutical products are in high demand, making them tempting targets.

Warehouses should have secure physical storage areas for raw materials and finished products.

In addition, Avcostar states that the formulary, drugs and drug components are expensive and prone to theft. It suggests performing a risk analysis audit that includes where known security breaches occurred. “The company can then focus on identifying and eliminating the most vulnerable posts and systems against malicious access, modification or deletion of data, enhance access control to systems and data and implement new cybersecurity best practices,” Arecont Vison Costar VP of Marketing Jeff Whitney states.

The code of federal regulars 21 CFR Chapter 1 requires control of all production stages, including system validation and audit trails. Refer to this article from Cornell Law School for detailed information.

Solving Challenges

Effective use of warehouse management computer systems such as the warehouse management module in Microsoft Dynamics 365’s Supply Chain Management can help keep accurate track of inventory management in pharmaceuticals and manage these challenges.

The module, “has a wide range of features to support the warehouse facility at an optimal level at any time,” Microsoft states.

Among the warehouse module’s function are:

  • Workflow support
  • Using mobile devices
  • Full batch and serial item support
  • Label printing and routing

Summary

Pharmaceutical warehouses management can have unique issues, issues not found in other businesses. One of them is following FDA regulations related to warehousing known as GMPs. Using effective warehouse management software will help chief financial officers and warehouse managers prevent and resolve these issues.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

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Leveraging Technology to Boost Profits for Chemical Companies

How chemical companies benefit from adopting newer technology

How chemical companies benefit from adopting newer technology 2400 900 Xcelpros Team

Introduction

Chemical companies can face numerous problems dealing with hazardous chemicals held in inventory. More supply chain officers are turning to digital tools to transform their operations, and increase efficiency. Here are some ways that technology is helping the chemical industry by automating chemical management.

Leveraging Technology in Chemical Companies

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

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Batch to Continuous Manufacturing in the Pharma industry

Moving from Batch to Continuous Manufacturing in the Pharmaceutical industry

Moving from Batch to Continuous Manufacturing in the Pharmaceutical industry 2400 900 Xcelpros Team

At a Glance

  • The pharmaceutical and life sciences sectors have relied on conventional batch manufacturing methods as a trusted model for production requirements. For faster, more dynamic manufacturing, pharma companies like CDMOs are turning to continuous manufacturing.
  • While continuous manufacturing offers more flexibility and agility, there are a number of practical and financial aspects that pharma companies need to take into consideration while making the partial or complete transition.
  • Transitioning from batch manufacturing to continuous manufacturing requires pharma companies to be equipped with the right tools and technologies. For many, partnering with experts to seamlessly drive the transition and ensure employees are well-trained is essential.

For years, CDMOs have made do with solutions focused on batch manufacturing. Fast forward to today, however, and the world is changing rapidly, with newer more efficient technologies being introduced for more dynamic process management. While the pharma sector might seem hesitant to let go of batch manufacturing, more and more companies are slowly transitioning to continuous manufacturing.

The global pharmaceutical continuous manufacturing market is predicted to grow with a CAGR of 8.2% over the forecast period of 2018-2024.– Researchandmarkets.com

With a growing number of benefits, including shorter production cycles, no equipment-stop requirements, and reduced risk for things like manual errors; continuous manufacturing is being viewed as the next big step in pharmaceutical manufacturing. In addition to the benefits, however, businesses need to expect any financial, practical, and behavioral hurdles that might arise.

This article aims to highlight these hurdles for organizations comparing batch vs. continuous manufacturing in order to gauge respective pros and cons.

Continuous Manufacturing and Its Impact on the Pharma industry

Continuous manufacturing is a highly streamlined ecosystem where multiple stages and discreet testing across various facilities are not required. For pharma companies, this can mean avoiding excessive downtime or closures of production units in the event of a faulty batch, saving manufacturers thousands of dollars previously dedicated to these types of tasks.

Figure: 1Batch Manufacturing vs. Continuous Manufacturing

continuous manufacturing vs batch production

Continuous manufacturing is more flexible and dynamic in nature, allowing manufacturers to introduce changes with ease and efficiency. In comparison, batch manufacturing in the pharmaceutical industry has always been highly restrictive in nature. Continuous manufacturing enables pharma companies to lower their carbon footprint, reducing any harmful emissions released into the environment and does not require the longer ‘hold times’ familiar to batch manufacturing, where between every stage materials need to be tested for quality. The transportation and storage of these samples (which are often in bulk) require both high costs and a planned holding time. These hold-ups and more can be mostly mitigated with continuous manufacturing. Companies can also significantly reduce the manufacturing lifecycle, including time to market for a drug. The single production line model found in continuous manufacturing works well to save time, leverage process flexibility, and enhance resource utilization.

3 Hurdles Implementing Continuous Manufacturing

With so many apparent benefits, it’s still a question of why the pharma industry hasn’t gone all out when it comes to continuous manufacturing. The answer lies in understanding the hurdles involved in implementing continuous manufacturing. Listed below are 3 common hurdles to consider when moving to continuous manufacturing.

1.InfrastructureContinuous manufacturing is typically considered a more advanced business model, often requiring changes in infrastructure across different functional areas. The IT framework of pharma companies and CDMO’s needs to be able to support an agile, flexible manufacturing model. Many pharmaceutical companies are still apprehensive to transition to continuous production as it usually entails a major infrastructure overhaul.

2.Regulatory IssuesPharma manufacturing is highly sensitive in terms of quality checks and regulatory approvals. After working with batch manufacturing for decades, a transition to continuous manufacturing means applying for newer approvals and altering quality check-points. For current product lines, pharma companies already have all their approvals in place for the production lines and quality check methods. Getting approvals for newer methods and production lines, like those found in continuous manufacturing, can be a costly and intimidating process.

3.Behavioural ResistanceCompared to other industries such as automotive or even chemical, the pharma sector has always been rather conventional in its approach towards newer methods and technologies. Implementing drastic changes has always been met with resistance as it can lead to numerous major shifts in processes, work methods, and operations. Employees need to be properly trained and made aware of possible hurdles when it comes to adopting a new process. For Pharma companies, this is best handled by letting change cascade from upper management, on down.

The Right Path for the Pharma Industry

With so much impact and so many possible benefits, the application of continuous manufacturing will continue to rise for businesses in the pharma sector. Going forward, precision medicine, personalized care, and agile transformation will continue to be of utmost importance for CDMOs and pharma giants. While these goals and more can be met by embracing continuous manufacturing, in order to achieve these targets, pharma companies will need to be willing to make necessary changes to their infrastructure in order to make a smoother transition to continuous production.

Key Takeaways

  • The pharmaceutical industry can take advantage of numerous benefits and opportunities with continuous manufacturing vs older batch manufacturing processes.
  • While continuous manufacturing is on the rise in the pharma sector, companies need to plan appropriately to ensure a smooth implementation/ transition.
  • Pharma companies need to be open to changes in infrastructure and mindset to take full advantage of a continuous manufacturing model.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com