Avoiding Corporate Risks and Hazards with Web Document Management Software

The loss of potential profitability is the horror of all horrors and the regret of all regrets---at least for business owners and other stake holders in the life science industries.

Wouldn't they do something?

The casual observer might disagree. After all, if a loss of potential profitability was imminent wouldn't any business professional immediately address the issue?"

The answer is that no he or she would not.

Why?

In many cases pertinent profitability issues are not addressed--not because life science professionals aren't aware of the issues themselves but because 1) there are various pertinent issues to juggle simultaneously and the race of priorities becomes confusing OR 2) the issues are haplessly underestimated. Either way, the territory of potential profit loss is obviously a dangerous field to breach and will hopefully provide enough stimulus for future managerial action.

A Contributing Factor: Lack of Web Document Management?

Document management has long been a topic on the corporate table and the automation of documentation control with web document management software is an attractive solution. However, many life science companies stay surprisingly loyal to frustrating manual documentation processes. Some venture a bit further with centralized or hybrid document management solutions but still remain disappointed when connectivity between departments and other satellite offices remains at ground zero.

What's the Return on Investment?

According to an online article which quotes a revealing statement from a Tufts study it seems that these inefficiencies (likely related to documentation control in many cases) are certainly not saving companies money but are instead costing significant amounts of revenue:

"According to an ongoing study at Tufts, the cost and time of bringing a drug to market jumped from $231 million and 8-10 years in 1990, to $802 million and 10-12 years in 2001, to the current estimate of more than $1 billion and 12-14 years. This increase is attributed to the combined effects of increased regulation in the industry and inefficiencies that exist throughout the product development process in areas like clinical development, manufacturing, supply chain, and sales and marketing. Technologies exist today that can eliminate unnecessary delays in literally all of these areas and more."1

When referring specifically to documentation control, The Gartner Group estimates the following:

"…that about 80% of a company’s documents reside on users’ desktops and that about 25% of those documents are subject to regulatory compliance. 4 Due largely to a lack of adequate document management technology, these documents are frequently lost, stolen, incorrectly approved, and/or experience revision control problems – all of which cause needless delays and added costs."2

Companies that consider these facts should also consider the incredible ROI benefits and advantages that web document management software can provide. Consider the following:
"…in the Fall 2004 issue of Pharmaceutical Manufacturing, Novartis claims that using electronic solutions cut the company’s costs by 40 percent and improved cycle times by 70 percent at its site in Suffern, New York. Novartis further claims that one of the keys to their success involved incorporating the solution into many aspects of the organization, including the direct labor areas, quality, IT, and maintenance."3

Is web document management for everyone?

It would seem that the research unhesitatingly points toward web document management software but every company will have to weigh the pros and cons of investment. Some may find that web document management software is the perfect way to further the mastery of quality and compliance in a highly regulated work environment.

References
1-3 Adopting Technology in the Life Science Industry: Why is it Taking so Long?

Marci Crane is a copywriter for MasterControl in Salt Lake City, Utah. To learn more about web document management software solutions, please feel free to contact a MasterControl representative.