By: Amit Pratap Singh Rathore -- Senior Research Analyst
28 June, 2013
Chemical inventory is integral part of all research organizations independent of their nature of research. Highly regulated industries are abided to follow sustainable procedures and are also under commercial pressures to save cost. It is estimated that chemical procurement cost accounts for 5-10% of total inventory value per order. Hence, efficient chemical inventory management will provide significant cost savings up to 5-10%, and also helps in achieving sustainability. Implementation of chemical inventory system (CIS) is best for managing chemicals in a regulated environment. This will enable the organization to perform effective chemical stock monitoring, forecasting, and setting and assessing chemical stock levels, while reducing stock levels, costs, liability, and environmental impact. Problem Statement / Introduction Chemical inventory is integral part of all research organizations independent of their nature of research. There are two main areas drawing attention of the procurement teams in the laboratories; Increasing pressure to optimize inventory and save cost Industrial as well as academic laboratories are under pressure to save cost for the lack of budgets and increasing pressure to reduce the drug costs to the consumer. Chemical procurement and management is incurring significant excess cost every year due to the lack of a proper system in place to manage chemical inventory. Increasing chemical discards and disposals Increasing chemical discards and disposal for the lack for proper chemical inventory system in place increases the overall cost. Along with monetary and efficiency loss, inefficient inventory management processes leads to auditory hurdles (GMP Validation). The regulatory processes are getting more stringent and the authorities are emphasizing on process sustainability. Role of social media in increasing public awareness is greater than ever and hence, consumers often seek information about the exact chemicals present in the product or utilized in the process. This extends the pressure for the need of sustainable processes. Hence, pressing weight on assurance of sustainable processes and procedures according to the regulatory requirements.
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