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  • E-Articles - ERP Systems In Automating Material Transactions On The Shop Floor

    If anything in manufacturing is certain, it is that the greater the materials handling the less efficient the system will be all the way down the production li
    According to USFDA, a combination product is one composed of any combination of a drug and device; biological product and device; drug and biological product
    ne. Indeed, materials acquisition and issuance has become something of a science since the introduction of lean principles into manufacturing over thirty year
    ; or drug, device, and biological product and fixed dose combination would include two or more combinations of drug.

    Examples of combination products may in
    ago. The idea of lean in materials management is tied to the notion of estimating the material quantities that will be needed at any moment in the manufactur
    lude drug-coated devices, drugs packaged with delivery devices in medical kits, and drugs and devices packaged separately but intended to be used together.

    ing operation. Prior to the automation of the shop floor, materials management (as a function of inventory management) was both a labor-intensive and often-in
    here is enormous increase in the number of combination products entering the market in the recent years. Combination products have proven advantages but fixe
    ccurate process as estimates for material were usually based on out-dated data. Today, however, enterprise resource planning (ERP) software systems take the m
    d dose combinations are still in the process of convincing regulatory authority on their advantages over the single ingredient formulations.

    Combination pro
    anual process out of the production loop and through the use of real-time data, achieve the automation of materials management.


    In essence, the function o
    ucts have become life saving products for the pharmaceutical companies who doesn’t have many innovative molecules in their product pipeline and have been inc
    materials management boils down to two divergent concepts—buying for inventory versus buying straight to the job. As the less efficient concept
    easingly used in the product life cycle management. Even the companies having product patents are trying to extend their product life cycle through the combi
    , buying for inventory means the “storing” of material (raw and/or components) for future use in production, whether or not that production may be presently pe
    nation products and maximize the revenues. But the companies involved in this practice are overlooking that they are burdening the patients both economically
    ding or unknown into the future. In terms of material clerk efforts, buying to inventory requires a great deal of material handling in terms of turnaround, cy
    and physically. They need to rightly judge the benefits of the combination products and they have to even look at the risks involved when combining the produ
    cle counting, and issuance. On the other hand, buying straight to the job means less handling of production material within the shop. In a best case scenario
    ts. Some of the combination products were well accepted by physicians while others suffered. Companies involved in development of combination products are fi
    material enters the shop through the loading dock, travels directly to the work center where it is used immediately in manufacturing, and then shipped out jus
    ding difficulty in defining their combination products and facing various challenges from selecting a combination to marketing it.

    Following aspects would a
    t as quickly as finished goods; in other words, material moves straight through the factory. We often see such efficiencies in lean-cell manufacturing
    dd to the challenges in developing combination products:

    Which markets to tap where the combination products can do fairly well?
    Which combination prod
    perations.


    The estimating of material quantity in such a best case scenario is based upon the router (or traveler), which is in itself a quantity dependen
    cts are meaningful and rational?
    Which therapeutic categories to select?
    Which Combinations can address unmet needs of the patients?
    Do combin
    t document. That is to say, as the quantity of material needed is known in advance, the work order is also quantified, In turn, this makes it easy to know w
    tions increase the patient compliance?
    What would be the developing cost?
    How to tackle the risks encountered during combination product developmen
    at to buy and what to move from inventory to the job as quickly as possible. Furthermore, ERP software will manage backflushing, whereby material is is
    t?

    As combination products don't fit into the traditional categories of drugs, medical devices, or biological products, the USFDA is in the process of devel
    sued automatically when production is posted against an operation. In short, an ERP backflushing program will make use of the known quantity of jobs completed
    ping new procedures for reviewing their safety, efficacy and quality.

    Professional from academic institutions, pharmaceutical industries, health care indust
    to calculate through the bill of material the quantities of the components used, and then reduce on-hand balances by this amount. Some ERP systems will even a
    y and representatives from various regulatory agencies are working out to design the regulatory requirements for manufacture and sale of combination products
    llow the input of quantity to issue material or backflush as initial job steps are completed. Such an option can have a great effect on the reporting of produ
    .

    As there is an increasing trend of the combination products companies manufacturing such products should be able to tackle the problems involved in the de
    tion scrap.


    In the end, automating materials transactions on the shop floor through robust ERP systems raises efficiencies in the general materials manage
    elopment. They need to be wiser in analyzing the market trends and the regulatory requirements.

    Companies that provide selfless information through particip
    ment functions of inventory clerks. To this end, ERP software achieves the desired goal of the minimization of both material issuance and overall transactions


    tion in industry events and feedback to regulatory authorities would be able to face the challenges and will be successful in developing combination products

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