Pharmaceutical production companies are highly regulated and operate in a dynamic and competitive market. To remain competitive and compliant, these companies need to manage their production processes efficiently and effectively. One way to achieve this is by implementing a customized ERP solution. However, ERP implementation can be a challenging and complex process that requires careful planning and execution. In this blog, we will explore some of the most common challenges of ERP implementation for pharmaceutical Industry and suggest solutions to overcome them.

Challenge #1: Process complexity

Pharmaceutical production involves numerous processes, from research and development to manufacturing and distribution. These processes are highly regulated, and any deviation from the standard operating procedures can have severe consequences. Implementing an ERP system that can manage these processes can be a complex and challenging task.

Solution: To address this challenge, it is essential to identify all the processes involved in pharmaceutical production and their dependencies. Develop a comprehensive process map that includes all process steps, data inputs and outputs, and process owners. Use this map to identify areas of improvement and develop a customized ERP system that can manage these processes efficiently. Also, involve process owners and subject matter experts in the ERP implementation process to ensure that the system meets their specific needs.

Challenge #2: Data management

Pharmaceutical production involves vast amounts of data, including product specifications, batch records, manufacturing instructions, and quality control data. This data needs to be managed efficiently to ensure that products meet regulatory requirements and quality standards.

Solution: To address this challenge, it is essential to establish a data management plan that includes data governance, data quality, and data security policies. Ensure that data is stored in a centralized location and that there are clear protocols for data entry, validation, and maintenance. Use data analytics tools to identify and resolve data issues and ensure that the ERP system integrates with other systems.

Challenge #3: Regulatory compliance

Pharmaceutical production companies must comply with numerous regulations, including Good Manufacturing Practices (GMP), Good Laboratory Practices (GLP), and others. The ERP system must support these requirements, ensuring that all processes and data meet regulatory standards.

Solution: To overcome this challenge, it is essential to select an ERP system that is designed specifically for the pharmaceutical industry and that supports compliance with regulatory requirements. Ensure that the system has features such as audit trails, electronic signatures, and document control that comply with GxP regulations. Also, ensure that the ERP vendor has experience working with pharmaceutical production companies and has a thorough understanding of the regulatory landscape.

Challenge #4: Quality control

Pharmaceutical production companies need to ensure that their products meet quality standards and specifications. This requires robust quality control processes and systems.

Solution: To address this challenge, it is essential to develop a quality control plan that includes all the necessary tests, inspections, and audits. Use the ERP system to manage quality control data and ensure that the system integrates with other quality control systems, such as LIMS and QMS. Also, use the ERP system to track product quality and identify areas of improvement.

Challenge #5: Change management

Implementing an ERP system can cause significant changes to processes, workflows, and organizational structure. This can cause resistance and confusion among employees who may not understand the benefits of the new system.

Solution: To address this challenge, it is essential to provide comprehensive training and change management support. Develop a training plan that includes both classroom and hands-on training, and provide ongoing support to ensure that employees are comfortable using the system. Communicate the benefits of the new system and involve employees in the implementation process, encouraging them to provide feedback and suggestions.

FactsERP can be very helpful in pharmaceutical production. FactsERP provides a centralized platform for managing various aspects of production, including inventory management, quality control, and regulatory compliance. By using FactsERP, pharmaceutical companies can streamline their production processes, reduce errors and waste, and increase overall efficiency. The system can also provide real-time data and analytics, allowing for better decision-making and faster response times to changes in the production process. Overall, FactsERP can help pharmaceutical companies improve their productivity, reduce costs, and ensure compliance with industry regulations.

As the foodstuff trading industry grows and evolves, supply chain management has become more complex and demanding. In order to stay competitive, businesses need to have an efficient and effective supply chain management system in place. This is where an ERP (Enterprise Resource Planning) system can come in handy. This blog post will discuss how implementing an ERP system can improve supply chain management for foodstuff trading businesses.

Improved Inventory Management

One of the primary benefits of an ERP system for foodstuff trading businesses is that it provides real-time visibility into inventory levels. With accurate data about stock levels, businesses can avoid stockouts and overstocks, which can lead to lost sales or excess inventory costs. By having a comprehensive view of inventory, businesses can optimize their ordering and production schedules to meet demand while minimizing waste.

Better Demand Planning

An ERP system also enables foodstuff trading businesses to improve their demand planning. By analyzing historical sales data and market trends, businesses can anticipate demand and adjust their production schedules accordingly. This not only helps to prevent stockouts but also reduces waste by ensuring that products are only produced when there is demand.

Enhanced Supply Chain Visibility

With an ERP system in place, foodstuff trading businesses can also improve their supply chain visibility. They can track the movement of goods from suppliers to customers in real-time, enabling them to identify potential bottlenecks and respond quickly to any issues that arise. This helps to minimize delays and improve the overall efficiency of the supply chain.

Streamlined Communication

Another benefit of an ERP system is that it streamlines communication across different departments and stakeholders. By integrating different functions like inventory management, procurement, and logistics, an ERP system ensures that all stakeholders have access to the same data and can collaborate more effectively. This improves decision-making and reduces the risk of errors or miscommunications.

Conclusion

FactsERP is a comprehensive ERP (Enterprise Resource Planning) system that is specifically designed for foodstuff trading businesses. It provides a range of features and tools that help businesses manage their operations more efficiently, including inventory management, demand planning, supply chain visibility, and communication. By implementing factsERP, businesses can optimize their supply chain operations, improve productivity, reduce costs, and stay competitive in a rapidly evolving industry. The system is user-friendly, customizable, and scalable, making it an ideal choice for businesses of all sizes. Overall, factsERP is an excellent solution for foodstuff trading businesses looking to streamline their operations and gain a competitive advantage in the market.

Enterprise Resource Planning (ERP) systems have become a critical tool for businesses of all sizes to manage their operations efficiently. Over the past few years, we have seen several trends emerging in the ERP space, and many of these trends are likely to continue to accelerate throughout 2023. In this blog post, we will discuss some key ERP trends we expect to see in 2023.

Cloud-Based ERP Solutions

Cloud-based ERP solutions have been gaining popularity over the past few years, and this trend is expected to continue in 2023. The cloud-based ERP system offers several benefits, including increased scalability, flexibility, and accessibility.

With a cloud-based ERP solution, businesses can easily scale their operations up or down based on their needs, and access the system from anywhere with an internet connection. Additionally, cloud-based ERP solutions are typically more cost-effective than on-premise solutions.

Artificial Intelligence and Machine Learning

Artificial intelligence (AI) and machine learning (ML) are expected to play a significant role in ERP systems in 2023. AI and ML can be used to automate many of the manual processes involved in ERP systems, including data entry, data analysis, and reporting.

Additionally, AI and ML can help businesses make more informed decisions by analyzing data and providing insights into trends and patterns.

Increased Integration with Other Systems

ERP systems are no longer standalone solutions. In 2023, we expect to see increased integration between ERP systems and other business applications, such as customer relationship management (CRM) systems, supply chain management (SCM) systems, and human resources (HR) systems.

This integration will enable businesses to streamline their operations and improve efficiency by eliminating the need to manually transfer data between systems.

The Internet of Things (IoT)

The Internet of Things (IoT) is a technology that connects devices and sensors to the internet, enabling them to share data and communicate with each other. When integrated with ERP systems, IoT can provide businesses with real-time visibility into their operations, enabling them to make more informed decisions.

For example, IoT sensors can be used to track inventory levels and automatically trigger reorder requests when supplies are running low.

Additionally, IoT can be used to monitor equipment performance and identify maintenance issues before they cause downtime. By leveraging IoT in their ERP systems, businesses can improve efficiency, reduce costs, and enhance the overall customer experience.

Mobile-Friendly ERP Solutions

As more businesses adopt mobile technology, ERP systems are expected to become more mobile-friendly in 2023. This trend will enable employees to access ERP systems from their mobile devices, allowing them to work remotely or on the go.

Additionally, mobile-friendly ERP solutions can help businesses improve productivity by enabling employees to access the system whenever and wherever they need it.

Two-tier ERP

Two-tier ERP is a strategy that involves the implementation of two separate ERP systems to manage different parts of the business. The first tier is typically a larger, centralized ERP system that manages core business functions such as finance, human resources, and supply chain management. The second tier is a smaller, more specialized ERP system implemented at the business unit or subsidiary level to manage specific processes unique to that unit or location.

The benefits of a two-tier ERP strategy include increased flexibility, greater agility, and reduced complexity. By allowing each business unit to have its own ERP system, companies can customize their operations to meet the specific needs of each unit, while still maintaining centralized control over core business functions.

Additionally, a two-tier ERP strategy can reduce costs and improve efficiency by eliminating the need to customize the centralized ERP system to meet the unique needs of each business unit.

ERP in a Post-pandemic World

ERP systems have proven to be critical tools for businesses to manage their operations efficiently during the COVID-19 pandemic. In a post-pandemic world, we can expect ERP systems to evolve to meet the changing needs of businesses.

The pandemic has highlighted the importance of resilience and agility in supply chain management, and ERP systems will need to be more flexible and adaptable to respond to changing conditions. Additionally, the adoption of cloud-based ERP systems is likely to accelerate, as businesses look for ways to enable remote work and improve collaboration.

Overall, ERP systems will play an even more critical role in helping businesses to navigate the uncertainties and challenges of a post-pandemic world.

Increased Focus on Data Security

Businesses of all sizes are concerned about data security. In 2023, we expect to see an increased focus on data security in ERP systems. This trend will involve the implementation of stronger security measures, such as multi-factor authentication, data encryption, and regular security audits.

Additionally, businesses will need to ensure that their ERP systems comply with relevant data privacy regulations, such as the General Data Protection Regulation (GDPR) in the European Union.

In conclusion, ERP systems are becoming increasingly important for businesses to manage their operations efficiently. In 2023, we expect to see several trends emerging in the ERP space, including cloud-based solutions, AI and ML, increased integration with other systems, mobile-friendly solutions, and increased focus on data security. Businesses that stay ahead of these trends will be better positioned to succeed in the increasingly competitive business environment.

In today’s fast-paced world, companies are always on the lookout for innovative ways to streamline their operations and cut down on costs. One of the most significant areas where businesses can benefit from technology is distribution. In recent years, cloud computing has emerged as a game-changing technology that is transforming the distribution landscape. Here’s why the future of distribution is in the Cloud-based ERP Software.

Scalability

One of the biggest advantages of cloud-based ERP software is its scalability. Cloud computing allows companies to quickly and easily scale up or down their operations to meet changing demands. As your business grows, you can add more computing resources to your cloud infrastructure, ensuring that your distribution system is always running at peak performance.

Cost-Effective

Cloud-based distribution systems are highly cost-effective compared to traditional on-premise solutions. With cloud computing, you don’t need to invest in expensive hardware or IT infrastructure. Instead, you can access a range of computing resources and services through a subscription model. This means that you only pay for what you use, and you can easily scale your usage up or down based on your needs.

Real-Time Visibility

In today’s fast-paced business environment, real-time visibility is crucial for effective distribution management. Cloud-based ERP software provide real-time data and analytics that help businesses track and monitor their distribution operations. This real-time visibility allows companies to make informed decisions and quickly respond to changing market conditions.

Improved Accessibility and Collaboration

Cloud-based ERP software allows users to access the system from anywhere, at any time, using any device with an internet connection. This enables remote teams to collaborate and work together more effectively, which is especially important for businesses with a distributed workforce. In addition, cloud ERP makes it easy to share data and collaborate with external partners, such as suppliers and customers.

Increase Efficiency

Cloud-based distribution systems can significantly increase the efficiency of distribution operations. With cloud computing, businesses can automate many distribution tasks, such as order processing, inventory management, and shipping. This automation frees up employees to focus on more strategic tasks, such as improving customer service and expanding the business.

Improved Security

Data security is a top concern for many businesses, especially those operating in highly regulated industries. Cloud-based ERP software provide robust security measures that ensure the safety and integrity of your data. With cloud computing, data is stored in secure data centers that are protected by multiple layers of security, including encryption, firewalls, and access controls.

Improved Business Agility and Innovation

Cloud-based ERP software can help businesses become more agile and innovative by providing access to the latest technology and functionality. Cloud ERP vendors typically offer regular software updates and new features, which means that businesses can quickly adapt to changing market conditions and new business opportunities. This enables businesses to innovate and stay ahead of the competition.

 In conclusion, cloud-based ERP software offers many benefits over traditional on-premise solutions. It is more cost-effective, flexible, and scalable, and provides enhanced accessibility, collaboration, security, and innovation. By adopting cloud-based ERP software, businesses can streamline their operations, reduce costs, and improve their overall competitiveness in the marketplace.

From 1st June 2023, a new 9% corporate tax rate will be implemented in the UAE, which was announced by the government on January 31, 2022. In the past, only a few industries, such as resource extraction and foreign banks, were subject to corporate tax, but now many more companies operating in the region will be required to pay the tax from the start of the 2023 financial year.

The UAE’s 2023 corporate tax – what is it?

The UAE will implement a 9% corporate tax in 2023 on the profits of all businesses generating more than 375,000 AED (approximately USD $100,000). However, small businesses and start-ups will not be required to pay any corporate tax on profits below the AED 375,000 threshold. All categories of profits and net income, prepared in accordance with internationally accepted accounting standards, will be subject to the tax rate. Some expenses may be deductible before calculating the payable tax, reducing the financial burden on taxpayers.

According to the Federal Tax Authority, large multinational companies that meet specific criteria, set with reference to “Pillar Two” of the OECD Base Erosion and Profit Shifting project, will be subject to a different tax rate.

Starting from June 1st, 2023, the new UAE corporate tax will be implemented, and most companies will need to prepare to pay taxes from that date. However, businesses whose tax year begins in January will not be required to pay tax on revenue earned before January 1st, 2024.

Now lets see how an ERP software takes a role in corporate tax 2023

FactsERP is an ERP software that can offer several benefits to companies during the upcoming corporate tax. Here are some ways in which a company can benefit by using FactsERP:

Streamlined tax management: FactsERP can help companies streamline their tax management processes, such as tax calculation, tax reporting, and tax filing. This can help save time, reduce errors, and ensure compliance with tax regulations.

Accurate financial reporting: FactsERP can generate real-time financial reports, which can provide insights into a company’s financial performance, helping them make informed business decisions and ensuring accurate tax reporting.

Enhanced data security: FactsERP can help ensure that financial data is secure, which is essential when dealing with sensitive tax records.

Inventory management: FactsERP can help companies better manage their inventory levels, minimizing errors and optimizing inventory levels, leading to cost savings and tax benefits.

Efficient process management: FactsERP can help companies streamline their business processes, improve communication, and manage departments and teams, leading to cost savings and tax compliance.

In conclusion, by using FactsERP, companies can streamline their financial and tax management processes, improve their financial reporting accuracy, enhance data security, manage inventory levels, and improve their overall efficiency. These benefits can lead to cost savings, tax benefits, and compliance with the upcoming corporate tax regulations.

Our client is a reputed spare parts trader based in Sharjah and Dubai. The company specializes in selling Auto Spare parts and accessories. The company started an ecommerce channel to sell the products throughout UAE during the covid times. 

However, the company was facing challenges managing the inventory, tracking eCommerce orders and updating the quantities manually in their previous accounting system. The company was facing a delay in order fulfillment due to the non-availability of stock. 

FactsERP was implemented to streamline their complete operations across accounting, inventories, sales and purchase. Also, their website which is run on Shopify platform was integrated into FactsERP. This enables them to track the orders they receive on their website from ERP and fulfill the order. Also, the inventory in both ERP and website is updated in real time. Post implementation of FactsERP the company has complete control over the inventory, website orders, payments, sales and track the customer retention which increased exponentially.

The corporate tax in UAE will be effective from 1st June 2023 and the Ministry of Finance will soon release the official draft on the new tax law. Is your company ready for the new major change in UAE tax compliance? 

There are various questions yet to be clarified with regards to the compliance, tax payments and administration. However, businesses should start planning and preparing for the new regulation from NOW. 

Recommended steps to follow: 

Start NOW: The best time to start planning and preparation is NOW. 

Upskill your employees: As this is the first time a direct tax is introduced in UAE, employees should learn various principles and acts to comply with the new regulation. 

Internal controls/Audit: Have internal controls set to track all the transactions as per the compliance required. 

Documentation: Store all the business related documents and make it accessible at any time as it will become mandatory to produce documented proofs while auditing. 

Period end processes: To be compliant with the filing of returns on time, the books period-end closing books should be done on time. Have the right processes in place to record all transactions on time for early closing of books.

Cash Flow management: The primary concern of any business is management of cash flow. With the new addition of corporate tax, it directly impacts the cash flow and hence the cash flow should be carefully managed. 

Business Software: This is one of the most important steps as having a right ERP system will make the whole process of compliance and return filing easier. FactsERP is FTA accredited and locally developed software which accommodates the timely statutory updates from government authorities. Also both the technical and support team of FactsERP is based in the UAE. 

Multi Location & Currencies: Companies having branches in multiple locations and dealing in multiple currencies should update the currencies as per the filing requirements set by authorities in local currency. FactsERP supports multi-location, multi-currency, multi-companies and multi-departments. 

Inter-company transactions: With the impact of taxation on inter-company transactions, the system should be able to identify the type of transactions and support reconciliation. This is where software like FactsERP helps companies with Corporate Tax ready systems and processes.

To know more information or for a Quick DEMO of Facts ERP, call now on 052 640 3949.

Why is Job Costing Important? 

If you are engaged in the business of construction/contracting or project management, then tracking the costing at job or project level is crucial. The management would be interested in knowing the profitability of projects, reducing costs at project level, allocation of budget and variance report generation. 

Using Facts ERP with job costing, you can easily capture all the details at the project level. As the job costing is an internal process, it comes with greater flexibility in calculation and allocation of costs. If you are a contracting company, then job costing is a must have tool to track the profitability of jobs/projects. 

Features and Benefits of Job Costing in Facts ERP: 

Budgeting: You can set budgets at each activity level for the job or project. With easy import facility from Excel, all the activities can be imported for a particular project. All the costs and revenue can be allocated for each transaction which is linked to a particular activity. 

Periodic variance analysis can be done by comparing the budgeted and actual figures. This will help in better tracking and control of costs. 

Reduce duplication of work: All the costs you enter are allocated to jobs while doing the transactions. This will help in avoiding manual cost allocation and thus reducing the duplication of work. 

Store management: Usually the materials are stored in the warehouse or sometime at the job site before utilizing them for the job. The store management enables easy transfer of material from store to job site and vice versa.

TimeSheet Management: With the easy import facility of time sheets, both the attendance and cost can be tracked and allocated to respective jobs/projects. 

Subcontracting: All costs, purchase orders, payments and invoices related to subcontractors can be easily tracked and allocated to jobs/projects. Also, the budgeting can be done based on the initial quotations received from subcontractors which helps in better control of costs. 

Project Status updates: Regular notification and updates can be set regarding the status of the projects. These notifications will be received by the responsible engineer or project managers on their Dashboard or by email. 

WIP: Booking of revenue as per the progressive invoicing can be done using the WIP method in Facts ERP job costing module. Deducting of advance payment and reduction of retentions payment etc., can be automated without any manual calculation. 

Overhead Allocation: Although it is easy to allocate the costs of material or labor for a particular job or project. It is quite challenging to allocate the overhead costs as these are not directly related to any particular job. 

However, using a pre-defined basis of allocation, the overheads can be easily allocated to jobs. There are majorly three types of basis of overhead allocation for contracting companies as follows:

1. Number of labour hours allocated
2. Material Consumption
3. Value of project
4. Predefined percentages

Profitability analysis: All the revenue and costs are allocated to jobs at each transaction level. Also with the complete allocation of overheads, the actual profitability for each profit can be tracked easily. 

Performance Tracking: You can track the performance of manpower easily with job costing. This can be done by comparing the actual cost versus the budgeted cost of manpower. This can be used as a metric for evaluating the performance of respective project managers. 

For a free demo of Facts ERP with Job Costing, please get in touch on 052 640 3949.

Managing a Warehouse

Managing a warehouse is challenging especially if your company deals in multiple product lines or large inventory. If you are a trading company dealing with different products and inventory then it’s challenging to manage a warehouse. As a warehouse manager you are required to track the correct location of items, stock quantities and dispatch items on time. With the use of a warehouse management solution, it becomes easy to overcome the challenges mentioned above. 

When the stock arrives at the warehouse, it has to be placed in the right locations. It should be easier to find the bin or track locations while dispatching the stock. Moreover, the actual stock and the stock in the system should always match and be trackable in real-time. Without a proper warehouse management system, it’s quite difficult to manage inventory effectively. 

Warehouse Management Solution(WMS)

FactsWMS solution helps in effective management of complete warehouse. I have listed below the key benefits and advantages of FactsWMS.

Batch-wise Inventory Control: If you are dealing with products which are perishable and having expiry dates then batch-wise inventory is the perfect solution. Also, if you want to maintain your inventory with various other attributes such as pricing, then the inventory can be managed in batches. 

This helps in easy tracking of items relating to a particular batch. Also, when there is a return of goods then it’s easy to track with the batch number. FactsWMS comes with an industry standard process for easy management of batch-wise inventory.  

Serial Number Control (with Barcodes): A barcode based inventory system increase the efficiency of stock management. With enhanced functionality, all the items arriving at the warehouse can be scanned and placed at the respective locations. While dispatching the stock also, the items will be scanned which helps in easily tracking of the location of item at the time of dispatch. 

Increased Operational Efficiency: Having the FactsWMS will increase the efficiency of complete warehouse management. 

Improved Customer Service: When you receive an order from a customer, you can easily track how much stock is available and how much more to be purchased. Based on this information, you can commit with the customer on the delivery date. This helps in improved customer service leading to more sales. 

Real-Time Inventory Updates: As and when the stock arrives or dispatches from the warehouse, the quantities are updated in real-time. This helps in having accurate information of the stock availability.

To book a quick demo of FactsWMS get in touch with us or call on 052 640 3948.

What is e-Mirsal?

Dubai customs has made it mandatory to use eMirsal platform for companies dealing in import and export. It is used to manage all your stock related transactions which are imported to and exported from Dubai. All the documents such as invoices, packing list, and certificates of origin are to be prepared and uploaded through the custom’s eMirsal platform.

How to use and manage eMirsal with your business software?

In fact, many companies are using ERP or Business software to manage the inventory which are not supported by eMirsal. Hence, it becomes challenging to manage the transactions on both the current system and eMirsal simultaneously. 

Hence, we are introducing FactsMirsal for your business to manage both the inventory and e-Mirsal transactions in one platform. Moreover, it is integrable to your existing ERP software. It will help in easy tracking of all the transactions and comply with the requirements of Dubai customs.

I have listed below the key benefits and features of FactsMirsal solution for your business.

Benefits and Features of FactsMirsal:

• HSN code wise inventory masters and control: Manage and control all your products using the HSN codes for easy identification.
• Upcoming shipment alerts: Get alerts on your dashboard or email for the upcoming shipments.
• Barcode scanning features: Enable the barcodes system for easy tracking and management of your stock.
• Bill of entry and exit: Track all the bill of entry/exit documents with details such as statistical quantity and gross weight.
• Multi-currency: Manage multiple currencies depending on the location of the customers and suppliers you are dealing with.
• Bill of entry wise stock balance: Get complete details of your stock balance, based on the bill of entry with just a click.
• Inventory balance and stock aging: Get all types of reports including stock aging and inventory balance.
• PWA based data collection: Enable mobility by providing PWA access for the staff who are collecting stock data.
• Important Documents & Details: Print and manage important documents such as delivery note, packing list, and certificate origin.
• Print in multiple formats: The output files are supported in Excel, Word, Pdf and csv for easy uploading and communication. Also the FactsMirsal comes with easy excel import option.
• In-built BI tool: Our solution comes with an in-built business intelligence (BI) tool for enhanced reporting and analytics.

To summarize, Dynamics Axis is offering FactsMirsal Software to manage the complete inventory along with the e-Mirsal compliance for import and export companies in Dubai.