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SmithKline Beecham prescribes a dose of BPCS

Johannesburg, 22 Feb 1999

SmithKline Beecham, one of the largest pharmaceutical manufacturers in the world, has gone live at its South African manufacturing operation with BPCS, the ERP suite from System Software Associates (SSA). This has ensured Year 2000 compliance and integration into SmithKline Beecham`s global operations. SSA software is distributed in South Africa by Armada/SSA.

SmithKline Beecham (SB) operates in the Cape Town industrial area of Epping, employing 420 people and manufacturing a wide range of consumer products, prescription drugs, and packaging a range of outsourced products. It manufactures household-name products such as Grandpa, Enos, Scotts Emulsion, AquaFresh and Oxy. In total it is responsible for over 400 products in various presentations. Most of its hundreds of ingredients are imported.

Ron Lloyd, SB technical support manager, says SB had issued a global directive that all sites had to assume responsibility for Year 2000 compliance. At the same time they had to subscribe to the Enterprise Integration initiative as part of SB`s goal to become a "fully integrated healthcare company".

"In terms of this, SB wanted a common supply chain process supported by standard softare. BPCS, as the most successful software of its type, and the leader in the pharmaceutical field, was the global choice," says Lloyd.

SB implemented a wide range of BPCS 6.0.0.2 modules, among them inventory, purchasing, costing, MRP, capacity planning, rough-cut planning and shop floor control. In line with its status as a factory, it chose the host mode of operation, running on an AS/400. Implementation began in April 1997 and the company went live late last year.

"We had used the Data 3 application from 1989, also on an AS/400," says Lloyd. "Moving to BPCS has produced many benefits. We have one common system, which makes for improved communication, easier reporting to management, and easier access to information from any site. All applications communicate with each other and we have standardised processes."

Now that SB has ensured that it is Year 2000-compliant, it is working with its suppliers to ensure they too are compliant and can continue to provide raw ingredients in the new millennium. In addition, it is implementing contingency plans to anticipate and plan for Year 2000-related problems that could disrupt production, such as loss of electricity.

"As a global operation, SB has been working on the Year 2000 problem since 1994," says Lloyd. "We`ve taken it very seriously and BPCS has played an important part in this exercise."

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Frank Heydenrych
Frank Heydenrych Consultants
(011) 452 8148
frank@fhc.co.za