Case Study: A Pharma Manufacturer Puts Operations On Track, With IT

With the vision of becoming one of the leading active pharmaceutical ingredients (API) manufacturing companies in India, AMI Lifesciences (AMILS) was established in 2004 at Vadodara, Gujarat. Part of the AMI Group, the company was initially named Sunscope Laboratories but was rechristened as AMILS in the year 2006. With its turnover growing impressively from Rs 27.35 cr in 2008-09 and Rs 51.43 cr in 2009-10 to Rs 81.02 cr in 2010-11, the company is leap frogging to higher milestones of success, year on year.

Moving with the times

Whether it is to innovate and continually introduce newer products into the domestic and international markets, or to reach out to newer markets and stay effectively connected with its existing clients, the company relies on technology. It has set up an R&D centre at Vadodara, which is equipped with modern and sophisticated laboratories. The research facilities are complemented by an up-to-date library of reference books, online computer research facilities and link with universities. AMILS' production facility at Padra is a state-of-the-art plant, equipped with modern processing equipment.

To reach out to domestic and global clients, online, the company has a website www.amilifesciences.com, which is search engine optimised. Apart from this, the premises of the company and its locations are monitored to ensure security via CCTV cameras. AMILS team also makes use of video conferencing as well as Internet-based communication tools, like Skype for connecting with distant clients and off-site employees.

The need for technology

Owing to its forward-looking strategies and commitment to deliver quality products, AMILS achieved a 30 per cent growth last year. The company has diversified overtime and currently has a head office in Vadodara, sales office in Mumbai, and factory in Padra (Vadodara district). Owing to the growth and expansion in operations, communication between locations and update of information was becoming difficult. Hence, the management decided to deploy a solution that could address the complexities and challenges that that growth brings along. AMI management identified the need to deploy a solution that integrated its operations and help bring in efficiencies of scale.

The management also wanted access to real time information flowing across the different departments and locations of the organisation so that the senior officials could take informed decisions, reveals Shivani Trivedi, Head-Finance, AMI Lifesciences. In the absence of an efficient resource management system, the company was experiencing many challenges, mainly related to tracking of highly complex batch production process, establishing control over procurement, tracking materials movement, etc.

Hence, began the search for a perfect solution that met the company's needs. “We evaluated solutions like Tata Consultancy-because we had heard of its reliability. We also thought about developing an in-house ERP solution. The company wanted a software that enabled anywhere and anytime access to all management functions and organisation data. Apart from this, considering the size of the company and the fact that we lacked in-house IT expertise, we concluded that opting for a SaaS (software as a service) based solution was the best way forward. After a careful evaluation, we decided to implement the Ramco onDemand ERP (RODE) solution,” affirms Trivedi.

The switch to ERP

It took AMI 6 to 7 months to go live with the ERP solution. “Our major constraint was compiling the data,” says Trivedi. But the Ramco Systems' team came to the rescue. Amar B Deshmukh, Business Analyst, Ramco Systems, shares more details about the pre-implementation phase: “AMILS needed a system that could capture different quality parameters required by every customer and complied to the Indian taxation requirements, and in addition was simple to work on for users so that their work efficiency is not affected. Hence, we customised the solution after assessing the needs of the company, carefully.”

The new ERP system enables much faster inter-departmental communication and facilitates better solutions to AMILS customers, says Trivedi. “The RODE software caters 85 per cent of our needs. We feel that it will benefit us, greatly. We are confident of drawing good ROI from the system,” he adds.

Going forward, the company has set for itself a target of achieving 100 cr turnover in the current financial year. It also developed three new molecules, which it expects will be hailed in the domestic as well as international market. Now, that the company has laid a firm foundation and streamlined all its processes, from here it expects to go from strength to strength, concludes Trivedi, confidently!