SAP EWM GREENFIELD IMPLEMENTATION FOR A PHARMACEUTICAL COMPANY
Thanks to the Zircoo team, a customer streamlined warehouse operations and increased material traceability with SAP EWM.
SAP EWM Greenfield Implementation For A Pharmaceutical Company
Customer Overview:
The client is an international pharmaceutical company renowned for its consistently expanding market share and esteemed reputation as a responsible business and trusted partner.
Project Goals:
Our team embarked on the mission to seamlessly integrate the SAP EWM solution into the client’s business processes, aiming to ensure compliance with industry standards.
Solution
The SAP EWM project implementation implementation of the SAP EWM project proved instrumental in enabling the client to achieve their business objectives, notably encompassing full traceability of raw materials and supplies, as well as ensuring 100% compliance with GMP and FDA pharmaceutical standards, among other accomplishments.
Objective:
To meet the stringent standards set by the Food and Drug Administration (FDA) and adhere to Good Manufacturing Practice (GMP) guidelines, our pharmaceutical company aims to:
1. Automate manual warehouse processes to enhance efficiency and reduce human error.
2. Establish a robust system for traceability of goods and materials throughout the supply chain.
3. Improve transparency in management and accounting processes to ensure regulatory compliance and accountability.
4. Enhance the overall quality of warehouse operations to uphold product integrity and safety.
5. Implement strict control measures for raw material availability and usage to prevent shortages or discrepancies.
To achieve these objectives and successfully export pharmaceuticals to the international market, our company recognizes the need to upgrade our Enterprise Resource Planning (ERP) system to a newer version of SAP Warehouse Management System (SAP EWM). This upgrade will provide advanced functionalities necessary to meet regulatory requirements and optimize our warehouse operations effectively.
Project Scope:
The Zircoo project involved a dedicated team comprising a project manager, technical architect, SAP EWM consultants, SAP integration consultants, and SAP EWM developers. Their primary responsibilities included:
1. **SAP EWM Greenfield Implementation:**
– Designing and deploying SAP Extended Warehouse Management (EWM) from scratch, tailored to meet the client’s requirements and operational needs.
2. **Solution Implementation Across Departments:**
– Extending the solution across various organizational units, including warehouse divisions, quality control departments, and manufacturing departments.
3. **Customization of SAP EWM:**
– Adapting and configuring SAP EWM to align seamlessly with the unique business processes and workflows of the client.
4. **SAP EWM and SAP ERP Development:**
– Developing and enhancing functionalities within both SAP EWM and SAP ERP systems to optimize warehouse management and overall enterprise resource planning.
5. **Integration with Third-Party Systems:**
– Establishing robust integration between SAP ERP and a third-party system utilized by the quality control department, ensuring smooth data exchange and process synchronization.
Upon successful implementation, the Zircoo expert team remained committed to providing ongoing support and maintenance for the implemented solution, ensuring its continued efficiency and effectiveness in meeting the client’s business objectives.
Solution Description
Automation of master data maintenance across the warehouses
- SAP EWM implementation and customization for three warehouse divisions
- Storage cell labeling.
Automation of Intra-Warehouse Operations:
1. **Automation of Goods Movement:**
– Streamlining and automating the movement of goods within the warehouse, optimizing efficiency and reducing manual handling.
2. **Warehouse Replenishment Management:**
– Implementing systems and processes for managing and optimizing warehouse replenishment activities to ensure timely availability of stock.
3. **Inventory Management with Data Collection Terminals (DCT):**
– Utilizing data collection terminals for accurate and efficient inventory management, including tasks such as inventory counts and stock updates.
4. **Goods Retirement:**
– Implementing procedures for the orderly retirement or disposal of goods that are no longer usable or needed.
5. **Task and Resource Management:**
– Efficient allocation and management of tasks and resources within the warehouse environment to maximize productivity and minimize downtime.
6. **Automation of Inbound/Outbound Processes:**
– Automating processes related to the receipt of materials from external suppliers and the outbound shipment of goods to customers or other destinations.
7. **Establishing Barcode Standards:**
– Setting up standardized barcode systems for raw materials and production materials, including the printing of output labels for easy identification and tracking.
8. **Acquisition/Issue of Materials:**
– Developing SAP ERP programs integrated with data collection terminals to simplify and streamline the transfer of materials between warehouse and manufacturing departments.
9. **Inbound Materials Quality Control:**
– Enhancing quality control processes by enabling specialists to use data collection terminals for the selection and examination of incoming raw materials, ensuring compliance with quality standards.
10. **Placement of Materials in Stock:**
– Automating the placement of materials in stock and providing algorithms for optimal placement based on available space and other factors.
11. **FIFO- and FEFO-Based Inventory Control:**
– Implementing automatic processing of goods based on FIFO (First In, First Out) and FEFO (First Expired, First Out) inventory control strategies to ensure proper rotation and usage of stock.
Products
Results:
Upon the completion of the SAP EWM project implementation, the pharmaceutical company successfully attained all of its predefined business objectives:
1. **Full Traceability of Raw Materials and Supplies:**
– Implemented robust systems for comprehensive traceability, ensuring precise tracking of raw materials and supplies throughout the supply chain.
2. **Higher Quality of Warehouse Operations:**
– Optimized warehouse processes to enhance operational efficiency and maintain consistently high standards of quality across all operations.
3. **100% Compliance with GMP and FDA Pharmaceutical Standards:**
– Achieved full compliance with stringent Good Manufacturing Practices (GMP) and FDA pharmaceutical standards, ensuring regulatory adherence and product integrity.
4. **Automation of Manual Material Distribution and Accounting Processes:**
– Automated manual material distribution and accounting procedures, reducing human error and streamlining workflow efficiency.
5. **Up to 35% Increase in Warehouse Staff Productivity:**
– Realized a significant boost in warehouse staff productivity, resulting in greater output and efficiency in daily operations.
6. **Up to 15% Less Time Spent on Material Transfer Order Processing:**
– Reduced the time required for processing material transfer orders by up to 15%, leading to quicker turnaround times and improved responsiveness.
7. **Up to 40% Fewer Material Movements Within the Warehouse:**
– Minimized the number of material movements within the warehouse by up to 40%, optimizing space utilization and reducing unnecessary handling costs.
