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What Is a Pharmacy Inventory System with NDC Master Data?

Barcode scanner tracking medication in a pharmacy inventory system with NDC master data.

Managing a pharmacy supply chain often feels like a constant battle against chaos. Stockouts of critical medications create stress, while expired drugs on the shelf represent pure financial loss. On top of it all, the pressure to maintain perfect compliance with regulations like the DSCSA never lets up. These persistent headaches usually stem from one core issue: inaccurate or disconnected inventory data. The solution starts with building your operations around a single, reliable source of truth. A modern pharmacy inventory system with ndc master data uses the unique National Drug Code to bring precision to every step, turning guesswork into certainty and transforming your reactive daily grind into a proactive, controlled operation.

Key Takeaways

  • Use the NDC as Your Single Source of Truth: Base your inventory management on the National Drug Code to gain the real-time accuracy needed to prevent stockouts, reduce waste from expired drugs, and eliminate costly manual errors.
  • Choose an All-in-One System Built for Pharma: Avoid the risks of generic software by selecting a unified platform with built-in DSCSA compliance and serialization, ensuring your inventory, operations, and compliance tools work together seamlessly.
  • Execute a Clear Implementation Plan: A successful transition depends on a structured approach that includes a detailed data migration plan, comprehensive team training, and continuous performance monitoring to optimize your results.

What is NDC Master Data?

At the heart of every efficient pharmacy operation is clean, accurate data. In the pharmaceutical world, that data is built around the National Drug Code (NDC). Think of NDC master data as the definitive source of truth for every drug product that moves through your supply chain. It’s the foundational layer that allows for precise tracking, management, and compliance. Without a solid grasp of this data, everything from inventory counts to regulatory reporting can become a major headache.

Managing this data effectively is what separates a reactive pharmacy from a proactive one. It allows you to streamline workflows, ensure patient safety, and maintain control in an increasingly complex regulatory landscape. Let’s break down what the NDC is and how it powers modern inventory management.

The National Drug Code (NDC) Explained

The National Drug Code (NDC) is a unique 10-digit, 3-segment number that acts as a universal identifier for human drugs in the United States. It’s essentially a fingerprint for each medication. The Food and Drug Administration (FDA) assigns this code, and it reveals three key pieces of information:

  • The Labeler: The first segment identifies the manufacturer, repacker, or distributor.
  • The Product: The second segment specifies the drug itself, including its strength, dosage form, and formulation.
  • The Package: The final segment indicates the package size and type.

This standardized system ensures that every single drug package can be uniquely identified, which is fundamental for accurate tracking and a core component of DSCSA requirements.

How NDC Data Drives Inventory Management

NDC data is the engine that drives effective inventory management. By tracking every drug product using its unique NDC, you can maintain precise records of your stock, avoid costly stockouts of critical medications, and prevent overstocking products that might expire. This isn’t just about operational efficiency; it’s a critical factor in patient safety.

When your inventory system is built on reliable NDC master data, you can ensure that the right medication is always available for the right patient. Advanced systems use this data to streamline ordering, predict demand, and minimize waste. This level of control is essential for managing costs, reducing manual errors, and ensuring your operations run smoothly and safely.

How Do NDC-Based Inventory Systems Work?

At its core, an NDC-based inventory system uses the National Drug Code as the primary identifier for every pharmaceutical product you handle. Think of the NDC as a unique fingerprint for each drug, detailing its manufacturer, product specifics, and package size. Instead of relying on generic SKUs or manual descriptions, this system organizes your entire stock around this universal standard. This approach transforms inventory management from a reactive task into a proactive, data-driven strategy.

Every time a product is received, moved, picked, or shipped, the system logs the action against its specific NDC. This creates a clear, consistent, and easily searchable record for every item in your facility. By centralizing all inventory data around the NDC, you get a precise, real-time view of your operations. This allows you to make smarter purchasing decisions, streamline workflows, and maintain a clear chain of custody for every product that passes through your doors. It’s the foundation for building a more efficient and compliant pharmaceutical supply chain.

Tracking Inventory in Real-Time

Real-time tracking is one of the most significant advantages of an NDC-based system. Because every product is tracked by its unique code, you have an accurate, up-to-the-minute picture of your stock levels at all times. When a shipment arrives, items are scanned in; when an order is fulfilled, they are scanned out. This constant flow of data eliminates the guesswork and delays associated with manual cycle counts or outdated spreadsheets. This level of visibility is crucial for effective inventory management, helping you prevent costly stockouts of critical medications or avoid tying up capital in excess products.

Serialization and Traceability

While the NDC identifies a specific drug, serialization takes traceability a step further by assigning a unique serial number to each individual package. An NDC-based system is the backbone that makes this level of detailed tracking possible. It allows you to follow a single bottle or box from the manufacturer all the way to the dispenser. This end-to-end traceability isn’t just good practice—it’s a regulatory necessity. A robust serialized ERP is essential for meeting the stringent requirements of the Drug Supply Chain Security Act (DSCSA), ensuring you can verify product legitimacy and protect patients from counterfeit drugs.

Data Synchronization and Automatic Updates

An integrated NDC system automates the flow of information across your entire operation. It connects directly with your suppliers, making it simple to place orders when stock runs low. As products are received or dispensed, inventory levels are updated automatically, which drastically reduces the risk of human error from manual data entry. This synchronization extends beyond the warehouse, connecting inventory data with your accounting and sales departments. This ensures that your financial automation tools are working with the most current information, providing a single, reliable source of truth for your entire business.

Key Features of an NDC Inventory System

A robust NDC inventory system does more than just count boxes. It acts as the central nervous system for your operations, connecting your products to critical data. The right features turn inventory management from a reactive chore into a proactive strategy, ensuring efficiency, safety, and compliance across your entire supply chain.

Automated Stock Monitoring and Reordering

Forget manual spreadsheets and guesswork. A modern system uses data to monitor stock levels in real time and can even predict future demand. You can set automatic reorder points to prevent stockouts of critical medications without tying up capital in excess inventory. The best systems use AI to analyze sales trends and seasonality, making your ordering process smarter and more cost-effective. This level of inventory management ensures you have what you need, exactly when you need it, reducing waste and keeping your supply chain moving smoothly.

Expiration and Lot Number Management

In the pharmaceutical world, an expired product isn’t just a financial loss—it’s a safety risk. An NDC inventory system meticulously tracks expiration dates and lot numbers for every item. It can alert you to products nearing their expiration date, allowing you to prioritize their sale or handle them appropriately. This capability is also essential for recalls. If a specific lot is recalled, you can instantly identify and locate every unit in your inventory, protecting patients and ensuring a swift, compliant response. This detailed tracking provides critical business intelligence analytics for operational oversight.

Built-in DSCSA Compliance Tools

Meeting regulatory requirements is non-negotiable, and your inventory system should be your first line of defense. Look for a platform with built-in tools designed specifically for the Drug Supply Chain Security Act (DSCSA). This means the system can manage serialized data, track products at the individual package level, and store transaction histories. A system with strong compliance features simplifies audits, secures your supply chain against counterfeit products, and ensures you’re always prepared to meet federal regulations without adding extra manual work for your team.

Barcode Scanning and Mobile Access

Accuracy and speed are everything on the warehouse floor. Integrated barcode scanning eliminates manual data entry errors during receiving, picking, and shipping. When you pair this with mobile access, your team is empowered to manage inventory from anywhere in your facility. They can receive shipments, perform cycle counts, and verify orders on a tablet or handheld scanner, with all data syncing to the central system in real time. This creates a more agile and accurate operation, powered by a fully serialized ERP that keeps your physical inventory perfectly aligned with your digital records.

Solve Key Pharmacy Challenges with an NDC System

Managing a pharmacy comes with a unique set of pressures. From ensuring life-saving medications are always available to navigating complex regulations, the margin for error is incredibly slim. Many of the most persistent operational headaches—stockouts, expired product waste, and compliance risks—stem from outdated or manual inventory practices. An NDC-based inventory system directly addresses these issues by creating a single source of truth for every product that moves through your facility.

Instead of relying on spreadsheets or guesswork, you gain precise, real-time control over your stock. This shift does more than just organize your shelves; it transforms your entire operation. An effective inventory management system helps you make smarter purchasing decisions, reduce financial losses, and free up your team to focus on more critical tasks. It’s about building a more resilient, efficient, and compliant pharmacy from the ground up. Let’s look at how this technology solves key challenges.

Prevent Stockouts and Shortages

Nothing is more stressful than discovering a critical medication is out of stock when a patient needs it. An NDC-based system prevents this by providing an exact, real-time view of your inventory. Each National Drug Code acts as a unique identifier, tracking every product by its manufacturer, strength, and package size. This granular detail means you know precisely what you have on hand at all times.

With this clarity, you can set automated reorder points for each specific NDC. The system monitors stock levels and automatically triggers purchase orders when a product hits its minimum threshold, ensuring you replenish supplies before you run out. This proactive approach eliminates the guesswork and manual checks that lead to stockouts, ensuring you can consistently meet demand.

Reduce Waste from Expired Drugs

Expired medications are a significant and preventable financial drain. An NDC inventory system helps you get ahead of this problem by tracking expiration dates and lot numbers for every item in your stock. This visibility allows you to implement a “first-expired, first-out” (FEFO) dispensing strategy, ensuring that products with the nearest expiration dates are used first.

The system can also generate reports that flag items approaching their expiration date, giving your team ample time to prioritize their use or return them if possible. By minimizing the amount of product that has to be discarded, you can directly improve your bottom line. This level of control is a key component of smart financial automation and operational efficiency.

Eliminate Manual Tracking Errors

Manual inventory tracking is not only time-consuming but also prone to human error. A misplaced decimal or a misread label can lead to inaccurate counts, incorrect orders, and even dispensing mistakes. An NDC system replaces these manual processes with the speed and accuracy of barcode scanning.

When receiving, moving, or dispensing products, a quick scan of the NDC barcode instantly updates your inventory records. This simple action confirms you have the right product, strength, and dosage form, which greatly reduces the risk of medication errors. By automating data entry, you ensure your inventory counts are always accurate and free your staff from tedious manual tasks, allowing them to focus on patient care and other high-value activities.

Ensure Regulatory Compliance and Safety

Staying compliant with regulations like the Drug Supply Chain Security Act (DSCSA) is non-negotiable. An NDC-based system is fundamental to meeting these requirements, providing the detailed tracking and traceability needed to follow a drug’s journey through the supply chain. A purpose-built system will have compliance tools integrated into its core.

By capturing serialized data at every touchpoint, you create a clear, auditable trail for every unit. This is essential for verifying product authenticity, managing recalls efficiently, and protecting patients from counterfeit or diverted products. With a robust system in place, you can confidently demonstrate compliance during audits and contribute to a safer, more secure pharmaceutical supply chain.

Finding the Right NDC Inventory System

Choosing the right NDC inventory management software is a big decision, but it’s one of the most impactful moves you can make for your supply chain’s efficiency and bottom line. The right system does more than just count boxes; it becomes the central nervous system of your operations. It ensures every product is tracked, every regulation is met, and every decision is backed by accurate, real-time data. In an industry where precision and compliance are non-negotiable, settling for a generic or piecemeal solution can introduce unnecessary risks and operational headaches.

Modern systems have moved far beyond basic spreadsheets and manual counts. Today’s leading platforms use advanced technology to anticipate demand, manage complex serialization requirements, and put critical data right at your fingertips. Think of it as upgrading from a flip phone to a smartphone—the core function is the same, but the capabilities are worlds apart. As you evaluate your options, focus on finding a partner that understands the unique pressures of the pharmaceutical world, from DSCSA regulations to the complexities of lot tracking and expiration management. This choice will ultimately define how resilient, efficient, and compliant your operations can be.

RxERP’s Serialized Inventory Management

When your entire business revolves around pharmaceutical products, you need a system built by people who speak your language. RxERP offers a fully serialized inventory management system designed specifically for the pharmaceutical supply chain. It’s not a generic ERP with a few pharma features tacked on; it’s a comprehensive platform that integrates traceability, operations, and commercial tools into one compliant ecosystem. This unified approach eliminates the cost and risk of trying to connect separate systems for DSCSA, warehouse management, and customer relations. By combining everything you need into a single source of truth, you can manage your inventory with total confidence and clarity.

Comparing Alternative Solutions

As you explore the market, you’ll find many generic ERPs and standalone inventory tools that claim to serve the pharmaceutical industry. While some of these can handle basic stock-counting, they often fall short when it comes to the rigorous demands of DSCSA compliance and serialization. The alternative is often stitching together multiple point solutions—one for compliance, another for inventory, a separate CRM, and countless spreadsheets to fill the gaps. This patchwork approach not only creates data silos and inefficiencies but also introduces significant compliance risks. A system that isn’t purpose-built for pharma will always require workarounds, leaving your team to manage complexity that the software should be solving for you.

What to Look for in Features and Integrations

To truly control your inventory, you need a system that tracks every single product by its specific NDC. This is the foundation for reducing waste, preventing stockouts, and meeting regulatory requirements. Look for an all-in-one platform that handles inventory, operations, and compliance together. Key features should include real-time tracking, automated reordering, and robust expiration and lot number management. Most importantly, ensure the system has built-in DSCSA compliance tools to simplify traceability and reporting. Seamless integration with your existing financial and shipping software is also critical for creating a smooth, end-to-end workflow.

How to Choose the Best NDC Inventory System

Selecting the right NDC inventory system is a critical decision for any pharmaceutical business. It’s not just about finding software that tracks products; it’s about investing in a platform that secures your supply chain, supports your team, and scales with your operations. The best system will feel less like a tool and more like a central nervous system for your entire business, connecting every department and process. As you evaluate your options, think beyond a simple feature checklist. Focus on finding a solution that addresses the core challenges of the pharmaceutical industry, from complex regulations to the need for precise, real-time data. To help you make a confident choice, let’s walk through the four essential pillars to look for in any NDC inventory system: regulatory compliance, system integration, user experience, and analytics capabilities. Getting these four areas right will ensure you choose a platform that not only meets your needs today but also prepares you for the future.

Confirm Full Regulatory Compliance

This is the most important item on your checklist, and it’s non-negotiable. Any system you consider must be fully compliant with all relevant regulations, especially the Drug Supply Chain Security Act (DSCSA). This isn’t just about avoiding fines; it’s fundamental to ensuring patient safety and maintaining the integrity of your operations. A compliant system helps you manage your stock effectively, preventing stockouts of critical medications while minimizing the risk of dispensing expired drugs. When vetting potential vendors, ask them to demonstrate exactly how their software meets DSCSA requirements for traceability and serialization. True compliance should be built into the core of the software, not treated as an add-on.

Ensure Seamless System Integration

Managing a pharmaceutical supply chain with a patchwork of different software systems is a recipe for inefficiency and error. When your inventory system doesn’t communicate with your accounting software or your CRM, you create data silos and force your team into time-consuming manual workarounds. Look for a single, all-in-one platform, like a serialized ERP, that integrates inventory management with all your other daily operations. This creates a single source of truth for your entire organization, ensuring that everyone from the warehouse floor to the finance department is working with the same accurate, up-to-date information. This unified approach streamlines workflows, reduces the risk of human error, and gives you a clear, holistic view of your business.

Prioritize a User-Friendly Interface

The most powerful software in the world is useless if your team finds it difficult to use. A system with a steep learning curve can lead to low adoption rates, frustrated employees, and costly mistakes. The ideal NDC inventory system should feature a clean, intuitive interface that makes sense for your team’s specific workflows. It should simplify complex tasks, like setting up automatic reordering for when stock levels run low, and present information in a clear, accessible way. A user-friendly design reduces training time, empowers your staff to work more efficiently, and ensures you get the full value from your investment. When you’re watching a demo, ask yourself: “Can my team learn this quickly and use it confidently every day?”

Evaluate Reporting and Analytics Tools

Simply tracking inventory isn’t enough. To truly optimize your operations, you need a system that can turn your inventory data into actionable insights. Look for a platform with robust reporting and business intelligence analytics that give you deep visibility into your operations. You should be able to easily generate reports on stock levels, turnover rates, and costs. More advanced systems will also offer predictive analytics to help you forecast future demand. This capability allows you to make smarter purchasing decisions, avoid overstocking, and proactively manage products nearing their expiration dates. Strong analytics tools transform your inventory system from a simple record-keeper into a strategic asset for your business.

What’s the Real Cost of an NDC Inventory System?

When you’re evaluating a new NDC inventory system, the initial price tag is just one piece of the puzzle. The total cost of ownership goes far beyond the software license, encompassing everything from getting the system up and running to keeping it current over the years. Thinking about the full investment from the start helps you avoid surprises and choose a solution that truly fits your budget and operational needs.

The real cost includes three main areas: the initial software licensing, the one-time fees for implementation and setup, and the recurring expenses for maintenance and support. Each of these components is critical for the long-term success of your system. A cheaper initial price might seem appealing, but it could lead to higher costs down the line if it requires expensive add-ons or lacks the support you need to stay compliant and efficient. Investing in a comprehensive platform like a serialized ERP can prevent the hidden costs associated with stitching together multiple, less-specialized systems. Ultimately, understanding these costs helps you make a smarter, more sustainable investment in your pharmacy’s future.

Software Licensing and Pricing

The first cost you’ll encounter is for the software license itself, but pricing models can vary quite a bit. Some vendors offer a one-time perpetual license, while many have moved to a subscription-based model (SaaS) with monthly or annual fees. You might also see pricing based on the number of users, locations, or transaction volume. It’s essential to get clarity on the structure. As one industry expert notes, “Know what you’re paying for and what costs extra… Transparency matters to your long-term success.”

Before signing a contract, ask for a detailed breakdown of what’s included. Are core functions like financial automation or CRM capabilities part of the standard package, or are they considered add-ons that will cost extra? Understanding the full picture ensures you’re comparing apples to apples and selecting a plan that provides genuine value without hidden fees.

Implementation and Setup Fees

Getting your new system live involves more than just installing software. Implementation is a critical phase that includes migrating your existing data, configuring the system to match your workflows, and integrating it with other tools you rely on. These services typically come with one-time setup fees. The process often requires dedicated technical support and training to ensure your team can use the new system effectively from day one.

These upfront costs are an investment in a smooth transition. A well-managed implementation minimizes disruptions to your daily operations and sets your team up for success. When evaluating vendors, ask about their implementation process and what level of support they provide to the companies who they serve. A partner who understands the pharmaceutical industry’s unique challenges will be better equipped to handle a seamless setup.

Ongoing Maintenance and Support

Technology is constantly evolving, and so are the regulations that govern the pharmaceutical industry. Your NDC inventory system is no different. Ongoing maintenance and support fees are necessary to keep your software up-to-date, secure, and compliant with standards like the DSCSA. These recurring costs typically cover software updates, security patches, and access to a customer support team for troubleshooting.

Think of this as a subscription to peace of mind. When a new regulation is passed or a system issue arises, you need a reliable partner to provide timely updates and assistance. Neglecting maintenance can leave your operations vulnerable to security risks, compliance penalties, and inefficiencies. This ongoing investment ensures your system continues to be a valuable asset that adapts to your changing business needs.

What Results Can You Expect from an NDC System?

Switching to an inventory system built around National Drug Codes (NDCs) is more than just a software update—it’s a fundamental shift in how you manage your operations. By treating each NDC as a unique fingerprint for every drug product, you gain a level of precision that manual methods or generic systems simply can’t match. The immediate result is a dramatic increase in accuracy, but the benefits ripple out from there.

You can expect to see a significant reduction in costly errors, from mispicks to incorrect counts, which directly impacts your bottom line. This newfound clarity also streamlines your compliance efforts, making it easier to meet complex regulations like the DSCSA. Instead of spending hours reconciling spreadsheets or chasing down data, your team can focus on higher-value tasks. Ultimately, an NDC-based system provides the visibility and control you need to run a more efficient, compliant, and profitable pharmaceutical operation. It’s about turning your inventory data from a source of stress into a strategic asset.

Common Benefits for Pharmacies

At its core, an NDC inventory system brings order to the chaos of pharmaceutical management. The most immediate benefit is a sharp improvement in accuracy. By tracking every single product by its unique code, you practically eliminate guesswork and manual entry errors. This leads directly to better inventory management, which means less capital tied up in overstock and fewer missed opportunities from stockouts. With a clearer picture of what you have and what you need, you can optimize purchasing, improve cash flow, and simplify your regulatory reporting. It’s about creating a stable, predictable foundation for your entire operation.

Improved Operational Efficiency

An NDC-based system helps your team work smarter, not harder. By automating tracking and reordering processes, you free up valuable staff time that was previously spent on tedious manual counts and data entry. This efficiency boost means your team can focus on patient care and other critical tasks. The system also helps you make more informed spending decisions, preventing waste from expired or slow-moving products. Plus, with regulations constantly evolving, having a system that helps you maintain DSCSA compliance isn’t just a convenience—it’s essential for smooth, uninterrupted operations and avoiding potential penalties.

Better Staff and System Performance

When your team has the right tools, their performance naturally improves. An NDC system removes the friction and frustration of dealing with inaccurate inventory data. It prevents unnecessary spending on drugs that aren’t needed, ensuring stock doesn’t sit on shelves past its expiration date. This saves money and makes daily tasks more straightforward for your staff. Advanced systems take this even further by using business intelligence analytics to forecast demand. This allows for smarter, data-driven ordering that reduces waste and ensures you always have critical medications on hand when patients need them most.

Common Myths About Implementing an NDC System

Adopting a new inventory system can feel like a massive undertaking, and it’s easy to get bogged down by common fears. Many pharmaceutical companies hesitate to upgrade because of a few persistent myths about the process. The truth is, modern NDC inventory systems are designed to solve problems, not create them. Let’s clear up the biggest misconceptions holding you back from a more efficient, compliant operation and better inventory control.

Myth #1: It’s too complex and hard to learn.

The idea that a powerful system must be difficult to use is a holdover from older technology. Today’s leading NDC inventory platforms are built with the end-user in mind. While teams worry about a steep learning curve, modern systems feature intuitive, user-friendly interfaces designed to simplify daily tasks. Comprehensive training and support are standard, ensuring your team feels confident from day one. The goal is to make your job easier by automating complex processes and reducing manual work.

Myth #2: It won’t integrate with our existing systems.

A major concern is that new software will create data silos and disrupt workflows. However, it’s a misconception that an NDC inventory system can’t connect with your current tools. In reality, robust systems are designed to seamlessly integrate with your existing technology stack. This connectivity is crucial, allowing for a unified flow of information across your entire operation. A well-integrated system enhances overall efficiency by ensuring all your platforms work together, from inventory and compliance to finance and CRM.

Myth #3: The cost outweighs the benefits.

Focusing solely on the upfront investment misses the bigger picture. While there is an initial cost, the long-term return on investment is substantial. Outdated processes have hidden costs, from product waste and manual tracking to the financial risk of non-compliance. An effective NDC system directly addresses these issues, leading to significant financial benefits over time. By improving accuracy, reducing waste, and ensuring regulatory compliance, the system pays for itself through improved efficiency and risk mitigation.

Your 3-Step Implementation Plan

Switching to a new inventory system can feel like a huge undertaking, but a structured approach makes all the difference. Breaking the process down into manageable phases ensures a smooth transition from your old methods to a more efficient, compliant future. A thoughtful implementation plan not only gets your system up and running but also sets your team up for long-term success. Here’s how to approach it in three clear steps.

Step 1: Plan Your Data Migration

Before you do anything else, you need a solid plan. Start by mapping out exactly how you’ll move your existing inventory and operational data into the new system. This involves identifying what data is critical, cleaning it up to remove duplicates or errors, and assigning team members to oversee the transfer. It’s also the time to get specific about what you need the software to do. List your non-negotiable system features, understand the total cost of ownership beyond the initial price, and create a realistic timeline for getting everything running. A detailed plan is your roadmap to a successful launch without unexpected detours.

Step 2: Train Your Team for a Smooth Transition

The most powerful software is only as good as the people using it. Prioritize comprehensive training to ensure your team feels confident and capable from day one. Your software partner should provide hands-on training that covers daily tasks, from scanning products to managing cycle counts and generating reports. When your team understands how to use the system correctly, they can fully leverage its power to prevent overstocking, stop products from expiring on the shelves, and keep operations moving smoothly. This initial investment in training pays off quickly through fewer errors and greater efficiency across your entire pharmaceutical supply chain.

Step 3: Monitor and Optimize System Performance

Implementation doesn’t end when the system goes live. The final step is to continuously monitor performance and look for opportunities to optimize your processes. Use the system’s reporting tools to track key metrics like inventory turnover, order accuracy, and carrying costs. The best systems provide the data you need to make smarter decisions. With powerful business intelligence analytics, you can spot trends, predict future demand, and fine-tune your reordering points. This ongoing cycle of monitoring and optimizing ensures you get the maximum return on your investment and that your inventory management system evolves with your business.

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Frequently Asked Questions

What’s the real difference between using the NDC for tracking and full serialization? Think of it this way: the National Drug Code (NDC) tells you what a product is—like the make and model of a car. Serialization gives each individual package its own unique license plate. While the NDC identifies a specific drug, strength, and package size, serialization assigns a unique serial number to every single bottle or box. A strong inventory system uses the NDC as the foundation and then layers serialization on top to provide that unit-level traceability required by the DSCSA.

We’re a smaller operation. Is a dedicated NDC inventory system overkill for us? Not at all. The size of your operation doesn’t change your regulatory responsibilities or the high cost of errors. In fact, smaller teams often feel the pain of inefficiency and compliance burdens more acutely because there are fewer people to handle the workload. An NDC system automates the tedious manual work that can overwhelm a small team, reduces the risk of costly mistakes, and ensures you meet the same DSCSA requirements as larger companies. It’s about giving your team the right tools to operate efficiently and safely, regardless of your size.

Our current data is spread across multiple spreadsheets. How difficult is the data migration process? This is one of the most common concerns we hear, and it’s a valid one. Moving from a patchwork of spreadsheets to a centralized system can seem daunting, but a good implementation plan makes it manageable. The first step is always cleaning up your existing data to ensure you’re starting with a clean slate. A dedicated partner will guide you through mapping your data to the new system and ensure a smooth transfer. While it requires some upfront effort, the long-term payoff of having a single, reliable source of truth is well worth it.

How does a purpose-built system for pharma handle compliance differently than a generic ERP? A generic ERP treats compliance as an add-on, something you have to bolt on or create workarounds for. A system built specifically for the pharmaceutical industry has compliance, particularly DSCSA requirements, integrated into its very core. This means features like serialization, transaction history management, and audit reporting are built-in, not afterthoughts. This native integration makes staying compliant a seamless part of your daily workflow rather than an extra, complicated step your team has to manage.

Beyond tracking inventory, what’s the biggest operational improvement we can expect? The biggest change is moving from being reactive to proactive. Instead of just counting what you have, the system’s analytics help you make smarter financial decisions. You can use data to forecast demand, which prevents you from tying up cash in products that won’t sell or running out of critical medications. This reduces waste from expired drugs and frees up your team from constant fire drills. It transforms your inventory from a simple list of assets into a strategic tool that directly improves your bottom line.