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Cephalon thrives under serialization regimen

Packaging equipment integration systems enable Sharp Packaging to expand into product serialization to protect the drug manufacturer against fraud and improve its bottom line.

SERIALIZATION PLATFORM. Sharp Packaging uses the same serialization platform as its customer, Cephalon, to create a seamless pac
SERIALIZATION PLATFORM. Sharp Packaging uses the same serialization platform as its customer, Cephalon, to create a seamless pac
Systech International

Sharp Packaging’s, customers are serializing high-value products, such as medical supplies, that require temperature control or specialized handling, or products that have a high black-market street value. For these reasons, Sharp wanted to establish a solution that could meet the serialization needs of any product manufacturer, but especially Cephalon Inc.

Cephalon, Frazier, PA, a prescription medication manufacturer focused primarily on neurodegenerative disorders, such as Lou Gehrig’s disease, Alzheimer’s, and Parkinson’s disease, has recently expanded into pain and oncology medications. On average, Cephalon’s oncology products change hands six to nine times before they wind up in consumers’ medicine cabinets. This high amount of handling subjects those products to possible damage and also to becoming short-dated. In addition, it leaves Cephalon susceptible to fraudulent and erroneous returns.

The need for serialization

For Cephalon, which registered nearly $2 billion in sales in 2009, continually issuing credit for the return of a high-value product significantly impacts its financial results. The company realized that serializing each individual product would enhance supply chain visibility to help recognize and reduce fraud where it is occurring.

“Sharp will be primarily serializing cartons for the Cephalon project,” explains Rick Seibert, vice president, project management and new business development at Sharp Packaging. Sharp is using Systech’s packaging equipment integration systems to do the job.

“Based on input from Cephalon, and on the market inquiries we’ve received, the equipment we’ve implemented can handle a range of product dimensions, such as cartons of various sizes, and can handle 2D barcodes as well as RFID requirements.” Garrick Heidt, senior manager-packaging technology at Cephalon, explains the reasoning behind the decision to request Sharp’s expansion into serialization: “Systech’s packaging equipment integration systems have been used in our own Salt Lake City manufacturing and packaging facility for about four years.” The need for the serialization, he says, came about because Cephalon sees many upcoming regulatory initiatives on the horizon.

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