Mississauga, ON, November 27, 1998 The leaders of Canada's biggest manufacturers, wholesalers and retailers of cosmetics, prescription drugs and over-the-counter medications gathered today to announce their commitment to an industry-wide program of supply chain efficiencies, beginning with Barcoding and Electronic Data Interchange (EDI). And they resolved to do so on an agreed schedule. The event was the ECRx Stakeholder Meeting.
The pharmacy sector is following the example of the grocery industry, which launched its ECR (Efficient Consumer Response) initiative some years ago. The unified standards and timelines are seen to be key steps in moving the health care industry forward, as technology and processes increasingly dictate efficient business practices.
The move to full Barcoding will take place in three phases, the first to be achieved by March, the second by December 1999 and the third by December 2000. In EDI, it was agreed to adopt VICS 4010 as the industry standard, have the conversion of purchase orders and invoices underway by May, with full compliance by December 1999. Master data alignments, purchase order acknowledgements and six other replenishment documents will be converted by May 2000, and advance shipping notices by November of the same year. ECRx co-chair Len Marks, Vice President, Cosmetics & Pharmacy, London Drugs, emphasizes that "companies having difficulty adhering to these deadlines will have the opportunity to seek third-party solutions."
Wyeth-Ayerst Canada president and CEO Aldo Baumgartner, who co-chairs the ECRx Stakeholder Committee, expresses appreciation to the industry committees whose work was crowned with this agreement. He is also impressed by the number of top-level executives in attendance, saying "It's a testament to the importance of what we're doing that people with world-wide scope consider this a priority; it shows that ECRx has international as well as domestic implications."
"We have made extraordinary progress, and in such a short time!" exclaims David Bloom, Chairman and CEO of Shoppers Drug Mart. "We have done in less than a year what took the grocery industry more than five years to do. Those who have made it happen deserve much credit for this very important initiative" he adds.
The grocery experience serves as a valuable precedent, according to Malcolm Seath, President of Whitehall-Robins Inc. He recalls how manufacturers were caught off guard back then when electronic standards were imposed by individual retailers. He adds, "Now that the same issues are coming to bear on retail pharmacy, by working proactively together, we will help our industry as well as our consumers."
Simple in theory but hugely complex in practice, the technological advances that secure savings in the supply chain are totally dependent on the harmonized efforts of all trading partners. No fewer than nine industry associations are facilitating the ECRx initiative, for a smooth and efficient transition into the next millennium.
Barcoding and EDI phasing and timeline details
ECRx Stakeholder Committee members, association representatives and technical experts
For further information, contact any Association Representative
