Dynamics NAV customization case study
Manufacturing and distributing of pharmaceutical products.
Being pharmaceuticals manufacturer, the Company has to meet the quality standards and comply with regulations.
As a global locations company with warehouses, production plants and distribution offices in over 20 countries, the Company has to efficiently manage its procurement and logistics. The Company was using Dynamics NAV 2016, which out-of-the-box functionality couldn’t address its growing needs in managing procurement, manufacturing, and logistics.
The Company needed a Dynamics NAV process manufacturing solution to address the complex compliance and regulation requirements, recipe management, quality control, and other daily tasks of the pharmaceuticals manufacturers.
Dynamics NAV to meet these requirements. When the Company has decided to upgrade to latest available ERP version, we re-implemented that functionality on the Dynamics NAV 2016 platform. Both systems don’t support the process manufacturing principles, as the similar functionality wasn’t introduced till the NAV 2016 release. Plus, the system needed to be tailored to the Pharmaceuticals industry needs:
- Support the process manufacturing principles
- Support First Expired/First Out (FEFO) and shelf life inventory management
- Manage quality control
- Meet strict compliance standards
- Handle logistics in the multi-channel environment
- Integrate with 3d party software
Fermion assigned a team of Dynamics NAV developers to add the following features to NAV’s functionality:
- FEFO methods. We modified the Master planning and Inventory management modules to enable the First Expired/First Out inventory management method.
- Quality management and quality control. A quality control based on predefined criteria can be initiated at any stage of the manufacturing process.
- Process manufacturing approach. We’ve tailored the Production module to the needs of the Pharmaceuticals industry. The solution can now handle orders, recipes, reports, by-products, BOMs and other items in accordance with the process manufacturing standards.
- Logistics management. The features were added to Inventory management and Accounts payable allowing for special properties in each warehouse. The information about size, location, best routes and transportation costs is used for transfer orders planning. It helps solving the so-called Travelling salesman problem, thus lowering the transportation costs.
- Integration with 3d party software. The system now supports the data exchange between Microsoft Dynamics NAV and others 3rd party enabling integration of the Company’s accounting department into a single ERP environment.
The Company received a comprehensive ERP solution to address the needs of Pharmaceuticals manufacturing. The Company is now able to
- Eliminate the idle time.
- Reduce the loss of perishable ingredients
- Enhance quality management and control
- Ensure compliance with changing regulations
- Cut the logistics costs
The Company is well-known for creating high quality products from natural components and its sales volume experiences stable growth in both Europe and USA.
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