ERP medical device industry: management solutions operate to meet quality standards & compliance legal

The article below Lac Viet Computing will the organizations and enterprises are to find out information about ERP for the medical device industry overview, easy to understand about the nature, the actual value as well as the core issues that ERP can solve in business activity, medical equipment today.

1. Overview of ERP medical device industry

ERP medical device industry is management system, enterprise resource designed specifically for the unit of production, import and distribution of medical equipment. This solution helps centralized management, finance, stock, purchasing, manufacturing, quality and regulatory compliance industry. Thanks to that, the enterprise better control risks, ensure quality to enhance operational efficiency.

ERP for the medical device industry is specialized design to management in batches, serial, expiry date, traceability when there is a problem. System storage support, link full legal records also certified the quality of service inspection. This is the core differences compared to ERP general in the usual branches.

The difference between ERP industry, medical equipment & ERP casual

ERP typically demand service, financial management, sales, warehouse general and a number of tools report internal. Meanwhile, the ERP for the medical device industry is extended to handle the peculiarities of the medical industry. Below is a table comparing the difference between ERP medical equipment & ERP typically:

This comparison table shows, ERP, medical devices not only is ERP “extended features”, which is the system is designed around compliance requirements, access and control of risk factors on survival with respect to business activities in the field of health.

2. Real state operation management in business medical equipment today

Real state operating current at many businesses are still faced with the challenges the system. These problems not only affect the operational efficiency but also potential legal risks, operational supply chain.

2.1. Difficult to control inventory by batch – serial – term use

Manage inventory by lot – serial – term use is a mandatory criteria in operating medical equipment. However, many businesses still maintain the inventory management by Excel or other software, discrete, leads to the actual results:

• False data inventory: When information is entered manually into many spreadsheet, or distributed systems, data accuracy is reduced, causing the wrong number between data, theory and inventory practice.
• Loss of cargo: Not well controlled term use and shipments easily lead to inventory, overdue, development, cost, handling or destruction.
• Does not control the term of use effective: The no automatic alerts about term use makes business easy to miss the point of rotation, optimum affect the efficiency of capital.

As a consequence, businesses increase inventory costs, risks restaurant overdue, at the same time difficult to meet compliance requirements. The lack of control in batches, serial, term use reduces the efficient use of capital, corporate reputation.

2.2. Lack of ability traceability when requested withdrawal

Process product recalls in the medical device industry is not just a procedure for commissioning. This is a legal requirement to be strictly regulated to protect the health users, avoiding the risk spread. However:

• Businesses often have to trace crafts: plots data – serial from many different systems (inventory, sales, supplier) makes the response time is slow, consuming many resources.
• Synthetic data take much time: when the information scattered in accounting software system, private sales or Excel spreadsheet.

When distributed data, the verification or recovery of defective products usually last, damage the reputation increase the cost of handling the crisis.

2.3. Data scatter between the inventory – sales – accounting

A big challenge other in the fact that the data operation is dispersed between the parts:

• Data entry duplicate: When each department uses a system or spreadsheet independence, entering the same data multiple times leads to errors inconsistency.
• Data heterogeneity: As the quote survive according to their figures, but the finance department have other figures, leaders of hard-to-get data overall reliable to strategic decisions.
• Hard decisions fast accurate: leaders need to aggregate data to assess the situation real business; distributed data makes this becomes less effective.

As a consequence, businesses take a lot of time for control data, but still difficult to ensure accuracy. Data scatter between inventory, sales and accounting slow down the process of decision-making directly affects the operating efficiency, risk control.

3. ERP industry, medical equipment solve anything for the business?

In business, medical equipment, core challenge is the management of multiple services associated with compliance requirements, legal high. ERP medical device industry role integrated platform, which helps reduce operational risk in order to control the cost effectively. Thereby, the advanced enterprise management ability to operate sustainably.

3.1. Standardized warehouse management medical devices in batches – serial – term use

The problem that many business equipment medical encounter is difficult to control inventory details according to production lot serial number, and expiry. While the traditional management based on spreadsheet errors lead to data, ERP help:

• Tracking details for each shipment & once serial number: i.e. each product can be traceability immediately follow each identification code.
• Automatic warning when the near expiration (access date) or overdue: help parts warehouse actively arrange export warehouse according to the principle of user priority are about to expire before (FEFO – First Expiry, First Out). For example, if a batch of medical supplies has a shelf life of 3 months, the system will give priority to the selection batch of this in advance to reduce the risk of inventory overdue.
• Reduce errors due to manipulation crafts: improve the accuracy of the data inventory, especially in tracking and inventory compared to multiple warehouses, the storage location is different.

Centralized data update timely help to remove the status of “virtual inventories”, the expiration overlooked. Thanks to that, businesses reduce costs of storage and limit legal risks to operational decisions more accurate.

3.2. Traceability fast, accurate

In the context of the medical device industry, when an incident occurs, quality or need recovery products according to the requirements of state management, traceability quickly is very important. To the ERP system medical device industry:

• Just few taps to determine a product ever be entered from the supplier which belongs to plot any day – date has sold to customers or medical facility anywhere.
• Whole data, this is stored throughout the commissioning process from time import warehouses, internal-to-sale traceability correctly detailed.
• This ability is particularly useful when faced with quality inspection from the management or the situation, product recall: instead of having to tune in each table distributed across multiple departments, the data is concentrated access right in the ERP system.

ERP helps businesses access to data products throughout the supply chain to meet inspection requirements compliance. Thanks to that, businesses reduce the risks sanctions, respond quickly when incidents occur in order to limit the cost of crisis management. At the same time, the level of trust with partners, customers, and regulatory authorities are strengthened.

3.3. Strictly control the purchase process & import

A business of medical equipment usually has the buying cycle, import complex with many legal documents need to store in each batch products. ERP solved this problem by:

• Archive – link profile, import – export- legal documents according to each batch of product: from the purchase contract, bill of lading, CO/CQ to the license, ensure when in need can access full profile related.
• Data integration between purchasing department – inventory – accounting: help minimize errors in recorded, collated data. When a shipment is entered, ERP ensure the relevant parts of the same updates in real time, avoid inventory does not match with accounting data.

ERP medical device industry to help data to be shared across the enterprise to ensure transparency, consistency in financial transactions, legal. Thanks to centralized data, businesses no longer lose time searching for projection craft. The report serves audits or inspections can be extracted quickly and accurately when needed.

3.4. Sync financial – accounting-standard VAS

In business operation, financial data and accounting is the core of every strategic decision. ERP helps to synchronize the data this way:

• Recognition of revenue & expenses in real-time: when the activity of purchases, sales or import warehouse out.
• Track the price of capital & profits according to each item or group medical equipment: help leaders evaluate the effectiveness of business each product line specific.
• Provides the transparency report serves audit & internal management: help comply with the accounting standards in Vietnam (VAS) without the need for synthetic craft each part.

Business ERP implementation success recorded markedly improved in demand forecast, financial decisions based on accurate data. The report is aggregated fast financial planning – cost, more reliable. Thanks to that, the business reduce errors crafts, optimize costs, enhance competitiveness.

4. Business medical equipment needs of the system, ERP, how?

ERP is not just a technical solution that is business systems to help optimize operation and reduce errors. With the medical device industry, ERP needs to simultaneously meet effective governance requires compliance with quality. The modules focus include sales, inventory – traceability, accounting – financial and management reports.

4.1. Sales management & distribution medical equipment

In the field of medical devices, management, sales not merely receive and invoice. Business must face:

• Orders of multi-channel: the customers are hospitals, clinics, pharmacies, distribution agents, each channel can process the order and require different tracking.
• Long-term contracts & pricing policy peculiarities: for example, the contract provides for hospital have the terms of the discount when it reaches the output, track requests made by each states.

A management effective sales help this work becomes coherent, transparent:

• Recording system orders, automatic link with the warehouse to check inventory practice at the time of order, from which reduce overbooking (sold exceeds the number of conservation).
• Support contract management by states, reminders when the contract is about to expire and automatically applies price policy the right time.
• Track transaction history of each customer, customer group helps business department to better understand purchase behavior to optimize sales policy.

This helps businesses reduce errors due to processing single craft, shorten the processing time of orders and improve customer experience.

4.2. Inventory management & traceability

With respect to products, medical devices, inventory problems is one of the most sensitive point. Each unit of product is often accompanied by lot number, serial number and expiry date. If not managed closely, business meeting:

• Error in aligning the user priority that inventory too-term use.
• Difficult to determine product origin when need to recover.
• False information and inventory between the parts inventory, sales, accounting.

The inventory management in the ERP industry, medical equipment solve things this way:

• Track inventory by location – lot – serial – term use on a single platform. Each product is “assigned” a private should be able to control throughout the life cycle.
• Early warning for team operated when the number of nearest expiration, from which apply strategic priority stock in-term use to reduce the risk inventory overdue.
• When there is requirement traceability from the test body, ERP allows trace now the whole data related to the plot of that product: from the moment of entry to the already delivered to customer.

Business reduce waste inventory overdue initiative to meet the requirements traceability and standardized processes the repository from which reduce the cost of storage and increase reliability in operation.

4.3. Financial accounting & management accounting

Accounting is the heart of every financial decision in the business. However, in the medical device industry:

• Accounting data if separated from sales data, inventory often leads to a discrepancy in the data.
• The analysis of the cost – profit under each product group, according to each batch of product or distribution channel is the key element to evaluate business efficiency.

Analysis financial accounting in the ERP industry, medical equipment solve these needs by:

• Automatic update of the service arising from sales, purchases, warehouse in bookkeeping, minimize errors due to input manually.
• Support according to standard accounting Vietnam (VAS), ensure the financial statements comply with current regulations.
• Provide detailed reports by product group, help leaders clearly see products which bring high profit products, which are “corrosive” profit due to the cost of inventory or cost of sales is high.

Business has financial reporting accuracy, consistency with data operation – thereby improving the quality of financial decisions reduce the risk of accounting errors.

4.4. Reporting, analytics & BI for leadership

In business management, particularly when faced with a competitive environment and required to comply with increasingly high, data doesn't just exactly which must have the ability to in-depth analysis predictions.

The report, data analysis (BI – Business Intelligence) in ERP helps leaders:

• Synthesis of multidimensional data: connect to the source data from sales, inventory, finance to create tables general comprehensive business activity.
• Support strategic planning, long-term: for example, analyze trends, consumption in each group medical devices help to forecast resources, import, business planning, quarterly and year.
• Provide the KPI is important in an intuitive way to monitor performance in real time.

Leaders have a clear view of business performance, from there take strategic decisions more accurate, fast reaction because of the volatility market and customer needs.

5. Why ERP SureERP of Lac Viet suitable for the medical device industry?

ERP implementation the medical device industry need priority level in accordance with operating and legal requirements, instead of running according to the number of features. The system must meet the professional services industry, have the ability to use long-term stability in business English. This is the reason SureERP of Lac are many business options.

5.1. Platform ERP flexible, easy to customizable according to specific industry

One of the major barriers when implementing ERP is business must change the process to “running the software”. With SureERP, reverse approach: the software is configured to keep abreast of the actual process of the business.

Specific SureERP allows deep customization according to the peculiarities of common business of medical equipment as:

• The import process many steps, in association with profile legal in each shipment (CO, CQ, license).
• Management required under lot, serial and term use, not only in the warehouse that throughout from the purchase – sales – accounting.
• Design request report internal administration, ready to provide data management agencies, state inspection.

The core value of ERP is not located in the “system”, which in a management platform tailored actual operation, easy to be user acceptance. Thanks to reduced pressure changes, process sudden, ERP promote more sustainable effect. This is the key factor which determines the success of ERP project at the & medium business in Vietnam.

5.2. Inventory management, multi-dimensional, tracing batch – serial strong

In the medical device industry, inventory is not merely mathematical quantity, which is the problem of quality and legal risks. Just one mistake in the wrong shipment overdue, can also cause major losses of reputation, the cost.

SureERP support business inventory control in multiple dimensions:

• Track the age of inventory, expiry date of each batch, each serial help business initiative planning, sales, freight movement.
• Early warning goods, pov, term, decision support priority stock right time.
• When to request access to or retrieval system, allows to determine the fast shipment-related, have sold for customers, any remaining now.

This helps businesses reduce risks to circulate the product does not meet the requirements, saving cost of handling the crisis and maintain credibility with partners, customers as well as regulatory authorities. Businesses are understanding, ERP industry, medical equipment, this is one of the important criteria when choosing solutions.

5.3. Sync data throughout from purchase – inventory – sales – accounting

A common weakness in many businesses medical equipment is now data is divided: purchasing department, warehouse, business and accounting each place a system or a separate file. This leads to:

• Data entry duplicate time-consuming.
• Data inconsistency between the departments.
• Leadership difficult to get the overall picture to a fast decision.

SureERP data synchronization purchase, inventory, sales, accounting on a unified platform. Business reduce handcrafted, increase accuracy as well as transparent data operation – financial. Real-time data to support leadership decisions quickly and accurately in a competitive environment and compliance.

SureERP is ERP solution due to Lac Viet developed for Vietnamese enterprises towards management, operational efficiency, regulatory compliance. With the medical device industry, support systems, management sales, warehouse, accounting, risk control. Detailed information about the solution may refer to: https://erp.lacviet.vn/

ERP medical device industry is becoming the platform management essential pressure increasing on quality, traceability, compliance with legal. The system helps enterprises standardize processes, risk control as well as optimal use of resources across the value chain. When data is centrally managed and transparency, businesses improve the quality of decision-making ability to meet the requirements of state management. This is an important foundation for sustainable development scale in a controlled way.