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Audit of fxed assets in global pharmaceutical company

29/04/2020
 Audit of fxed assets in global pharmaceutical company

At audit of fixed assets implemented in 2013, a global pharmaceutical company Lek Sandoz had approximately 46,000 fixed assets in all locations, including its three subsidiaries in Slovenia.

"With the introduction of barcode inventory, the process has accelerated significantly in terms of hours worked," says Munda. "The audit is still going on for 2 months, except that it is carried out by a significantly smaller number of people«. Before introducing a new IT solution for the audit of fixed assets, Lek's audit comitee numbered 60 people, and now only 6.

In 2012, Lek also carried out movements or updates of data on the location of fixed assets in the database on fixed assets. "An important advantage of Spica's Find application is the on and off functions, which enables real results to be achieved based on the actual situation," said Munda.

Key to the credibility of the data collected is that the audits must be performed with external comitte (students) who are also much cheaper than full-time employees and may have unlocked readers. Namely, the enumerators can enter the actual data on the status and location of a particular fixed asset through the unlocked reader or the activated manual data entry function  - this is important as actual data often differ when compared to teh data stored in the ERP or accounting systems.  Lek thus acquires a realistic picture of the state of its fixed assets, without the need for physical movements. Frontman FIND provides better control over the fixed assests which results in more efficient asset managent throughout the whole company and its subsidiaries.

In the SAP R / 3 direction

Lek plans to transfer fixed asset management software to the SAP R / 3 ERP system, which has been used since 2012. The planned integration of Spica's Frontman FIND solution and SAP R / 3 solution will provide Lek with:

  • a printout of labels equipped with the SAP R / 3 bar code
  • audit sheets varied to different criterias
  • the posibility to upload and download the portable reader with data directly from R / 3
  • automatica postings to R / 3.

The management of fixed assets in SAP R / 3 will be further improved through the automatic accounting of inventory deficits and confirmed write-offs in R / 3.

With the help of Frontman FIND solution, Lek improved the quality of data on the status of its fixed assets and increased the productivity of audit comitee. Finally, the advanced design of the solution will enable Lek to maintain its current investments while transferring the control of fixed assets to the new business information system and thus reasure the information base for carrying out the inventory of fixed assets even in the event of expansion of the company.