Novartis Ringaskiddy Ltd (NRL) is operational since 1994. NRL is a toll manufacturing company that manufactures Active Pharmaceutical Ingredients (API) for its customer Novartis International Pharmaceutical Branch Ireland (NIPBI). NRL specialises in high quality small to medium scale synthesis and is the designated new product …show more content…
SAP (Systems, Applications and Products)
SAP (Systems, Applications and Products) is acknowledged as the leading ERP system across many industry sectors, including Financial Services, Banking, Manufacturing, and Supply Chain. It is the most widely implemented ERP system in the Pharmaceutical Industry. Novartis uses SAP for all areas of the business and drives the supply chain through MRP /MPS.
Business process
The term “business process” is used to define how an organisation should operate by identifying the inputs, transformation and outputs of the core business activities. The following diagram displays the typical business processes of Novartis. The diagram gives a full overview of how the internal supply chain works in NRL from the procurement of raw materials at the start of the chain to the delivery of finished products to customers at the end. Information / material must flow from one node to the other smoothly and in a timely manner.
Figure 2: Novartis Pharmaceutical Business Process.
Memo to Novartis Site leadership team
Memo
Subject: Material flow process
Objective: Eliminating non value add activities
Date: 12th October …show more content…
Value is = what you get Verses what it costs. We must do everything possible to identify the value add in our process and drive improvements in these key areas. Eliminating these wasteful tasks will increase our profit margins as they consume resources in the form of materials, time, or energy and do not increase the value of the product to the customer.
(Ohno, 1988) Was instrumental in developing the way organisations identify waste, with his "Seven Wastes" model. In his book Toyota Production System: Beyond Large-Scale Production he explains the seven wastes in detail:
1. Delay, waiting or time spent in a queue with no value being added
2. Producing more than you need
3. Over processing or undertaking non-value added activity
4. Transportation
5. Unnecessary movement or motion
6. Inventory
7. Production defects
“To recognize waste we must understand its nature”. (Ohno,