Project: Implementation of SAP Warehouse Management (WM), Quality Management (QM), Sales and Distribution (SD) and Material Management (MM)
- Héma-Québec manages the collection and distribution of blood and blood products for the Province of Québec. This nonprofit company operates under strict licensing agreements from Health Canada, the federal agency that oversees and regulates Canadian healthcare.
- As a public sector enterprise, Héma-Québec has an operating budget of $156 million and a mandate to manage and distribute – as efficiently as possible – blood and blood products to 88 hospitals throughout the province.
- Founded in 1998, Héma-Québec currently has 1,300 employees and provides approximately 75 different fractionated products as well as whole blood, plasma, platelets, bone marrow, stem cell, and tissue.
- Héma-Québec had been using SAP R/3 software to manage core financial processes (this functionality is available today in SAP™ ERP solution). The company was impressed with the integration capabilities of SAP solutions and also with the increased efficiencies and cost savings deriving from SAP’s use of industry best practices.
- As a result, Héma-Québec’s IT group proposed using SAP solutions to handle purchasing, inventory management, and distribution of fractionated blood products.
- In fact, in a visionary move, Héma-Québec was the first organization of its kind in Canada to use a generic, integrated solution.
- Reduce operating costs but maintain quality and availability
- Maintain optimal visibility; products have full traceability
- Support a more accurate, speedier recall process to quickly trace and dispose of products that pose a risk
- Simplify and consolidate IT environment
- The implementation was rapidly executed in 12-month, using the ASAP methodology.
- After migrating legacy data, training users on the new system, and thoroughly documenting new procedures, Héma-Québec went live on April 1, 2003, shortly after receiving approval from Health Canada in March of that year.
- The project was completed on time and on budget, in spite of the rigorous testing required.
- Inventory levels reduced by 50%, while maintaining perfect customer service fill rate (100%)
- Product recalls can be made in minutes
- System users freed from performing repetitive, manual tasks
- IT support costs reduced
- Payback estimated at 24 months
"The decision to go with SAP was the expression of Héma-Québec’s will to use a new approach. Other technologies were better known within our field, but SAP represented a way of strengthening our portfolio with a more efficient system."
Vice-President, Information Technology