Durdans introduces ERP system
Durdans, one of the oldest private sector hospitals in Sri Lanka and now a modern healthcare institution, is now in the process of introducing an Enterprise Resource Planning system (ERP) in its operations.

Enterprise Resource Planning is a software solution that can be tailored to the needs of the user-enterprise, tightly integrating all its functions and significantly enhancing performance at every level.

In the field of healthcare, and with particular reference to Durdans, the application of ERP yields a Hospital Information Management System (HIMS) which integrates all the major functional areas of the hospital such as planning, handling and distribution of pharmaceuticals and general stocks, finance, human resources, etc.

The benefits to be derived by healthcare institutions from application of ERP are both quantifiable and qualitative.

What prompted Durdans to introduce ERP within the Hospital/Healthcare sector? Durdans chairman Ajith Tudawe said, " We've been studying the concept of ERP system since 1999 to really understand how the programme could work for Durdans. According to published studies for the Asia Pacific region, it is estimated that 46% of a hospital's operating budget is spent on logistics related activity. This can be further broken down. Optimising these and the entire gamut of hospital functional areas through a programme like ERP can yield significant cost savings."

Durdans has improved upon a tradition of fine health care that began over six decades ago as the principal British Military Hospital in Sri Lanka. It has grown to become a 127-bed super specialty hospital with state of the art diagnostic, surgical, investigative and patient care facilities. ERP will help Durdans raise standards even further.

Targeted for full implementation by April 2004, Durdans Hospital will be the first health care institution in Sri Lanka to install and run a ERP system which will produce a Hospital Information Management System.


LankaClear completes first year of operations
LankaClear (Pvt), which took over the activities of the Sri Lanka Automated Clearing House (SLACH), reported a profit of Rs. 29.6 million in the year to March 31, 2003, according to a company statement.

SLACH, a sub unit of the Information Technology Department of the Central Bank of Sri Lanka, was established in 1988 to automate the cheque clearing activities of Sri Lanka.

Accordingly a computerized high speed document processor (Reader/Sorter equipment) was introduced and new cheque leaves too were introduced with a MICR (Magnetic Ink Character Recognition) band. This technique is used for automatic reading of data from a document into the computer system. There was a significant development in the payment and settlement system after automation and establishment of the SLACH.

Some of these features enabled the clearance of a very high volume of cheques without the necessity of increasing manpower, cheque processing time was drastically reduced and banks were able to reduce the number of days taken for cheque clearing through which the entire country has benefited.

In 2001, SLACH reported a loss of Rs. 8 million and there was pressure from the business community, public at large and policy makers to improve payment and settlement systems continuously to enable them to keep pace with the economic developments in the country. There was a school of thought that the clearing house should be a separate body, independent from the Central Bank and some recommendations were made in this context.

The Central Bank seriously considered the arguments and appointed a committee to forward the implications and recommendations. The committee recommended against privatisation but to divest to the service receivers. Further the Central Bank decided to be the major individual shareholder.

R.B. Ekanayake was appointed chairman of the company and Anil Amarasuriya (Managing Director - Sampath Bank), Thilak Ranasinghe / B.A.C. Fernando (Deputy General Manager - BOC), Dr. Ranee Jayamaha (Assistant to the Governor - Central Bank of Sri Lanka), P.D.J. Fernando ( Director IT - Central Bank of Sri Lanka), T. Karunasena (Deputy General Manager - People's Bank), Yousuf Saudagar (Vice President - Habib Bank Ltd), Rienzie T. Wijetilleke (Managing Director - HNB) and S.N. Ahamed (Country Manager - Habib Bank AG Zurich) were the directors during the period. L.J. Wickramasinghe who was the Chief Manager at SLACH was appointed as the Chief Executive Officer.


Amul to set up milk processing plant in Sri Lanka
Gujarat, India, (Reuters) - Gujarat Cooperative Milk Marketing Federation, (GCMMF) India’s largest milk products manufacturer, plans to set up a milk processing plant in Sri Lanka as part of its strategy to tap the growing Asian market.

The farmer-owned cooperatives plant in the island nation will have a capacity to process one million litres of milk a day, GCMMF chairman Varghese Kurien told Reuters in an interview.

GCMMF markets dairy products under Amul brand. It already sells its butter, milk powder, baby cereal, cheese and liquid milk in the Middle East and some other countries.

“Sri Lanka has been importing about 52,000 tonnes of milk powder annually from New Zealand and others. When our powder is cheaper, why shouldn’t they look at us?” A GCMMF delegation visited Sri Lanka recently and proposed setting up the unit at an investment of Rs. 100 million.

The cooperatives giant, born as a protest movement against British rule in 1946, has also begun supplying 20,000-25,000 litres of milk a day to a supermarket chain in Singapore as part of its strategy to tap the milk-deficient Southeast Asian market, Kurien said.

“We are located right in the middle of this milk-deficient region. So, we are planning to take advantage of this,” said the 82-year-old Kurien, often called “the Milkman of India”. “Even China is a potential market in the future,” he added.

India has emerged as the world’s largest milk producer in recent years after Mr. Kurien spearheaded what was called a “White Revolution” in the 1970s, with milk production of 86 million tonnes in 2002/03 (April-March).

GCMMF, a huge commercial success, has emerged as a symbol of rural empowerment, lifting millions of farmers out of poverty.

Kurien said India had improved the quality of its processing and manufacturing of dairy products such as skimmed milk powder, butter and ice creams by importing and indigenously developing the best technology.

“Dismantling of quotas and lowering of tariffs in future will open up a huge market for us in the not so distant future,” Kurien said.


Ceylon Chamber repeats call for some protection for local industry
Ceylon Chamber of Commerce chairman Tilak de Zoysa has said some sort of protection should be given to local industry and agriculture until they became more efficient and able to compete with other countries.

Until local industry and agriculture have a level playing field and distortions were removed a mix of liberal and selectively protectionist policies should be adopted, he told the 164th AGM of the Ceylon Chamber of Commerce held in Colombo recently. De Zoysa was re-elected as the chairman.

He said that the cost and efficiency of local inputs such as energy and transportation, availability of raw materials at comparable world prices and productivity linked wages were critical to improve the island's competitive edge.

De Zoysa said the peace initiative was foremost in the list of priorities identified by the Chamber.

He said that though a ceasefire in on, peace talks were stalled but with continuing efforts and productive dialogue it could be resolved. He remarked that failure in the peace process would be disastrous.

Efforts were continuing to improve competitiveness in both industry and services.

The USAID competitiveness initiative has worked effectively towards the goal by focusing on eight clusters ranging from tea to tourism.

He urged the government to take steps to improve the aid utilization levels.

He said that the upsurge in the stock market showed the increase in consumer confidence and a resultant turnaround of the economy. The substantial downward trend in interest rates and inflation, the stabilization of the exchange rate coupled with all-round better corporate results, were further indications of the prudent economic policies pursued by the government.

However, more needs to be done to create employment.

The chamber also appreciated the passing of three Bills - the Industrial Disputes Amendment, Industrial Disputes Hearing and Determination of Proceedings Special Provisions and the Termination of Employment Special Provisions.

He said that law and order was essential not only to create an environment conducive to economic growth but to improve enforceability of contracts, transparency of transactions and efficiency of operations.

He said that high unemployment and poverty bred crime and provided the fuel to ignite hatred towards the free economic policies and urged the Chamber members to employ more undergraduates.


Some hard truths about Indian soft drinks
New Delhi, August 5 - After bottled water, it's aerated water that has plugged the purity test. In another exposé, "Down To Earth" has found that 12 major cold drink brands sold in and around Delhi contain a deadly cocktail of pesticide residues.

The results are based on tests conducted by the Pollution Monitoring Laboratory (PML) of the Centre for Science and Environment (CSE). In February this year, CSE had blasted the bottled water industry's claims of being 'pure' when its laboratory had found pesticide residues in bottled water sold in Delhi and Mumbai.

This time, it analysed the contents of 12 cold drink brands sold in and around the capital. They were tested for organochlorine and organophosphorus pesticides and synthetic pyrethroids - all commonly used in India as insecticides.

The test results were as shocking as those of bottled water, CSE said in a statement. All samples contained residues of four extremely toxic pesticides and insecticides: lindane, DDT, malathion and chlorpyrifos. In all samples, levels of pesticide residues far exceeded the maximum residue limit for pesticides in water used as 'food', set down by the European Economic Commission (EEC). Each sample had enough poison to cause - in the long term - cancer, damage to the nervous and reproductive systems, birth defects and severe disruption of the immune system.

Market leaders Coca-Cola and Pepsi had almost similar concentrations of pesticide residues. Total pesticides in all PepsiCo brands on an average were 0.0180 mg/l (milligramme per litre), 36 times higher than the EEC limit for total pesticides (0.0005 mg/l). Total pesticides in all Coca-Cola brands on an average were 0.0150 mg/l, 30 times higher than the EEC limit.

While contaminants in the 'Dil mange more' Pepsi were 37 times higher than the EEC limit, they exceeded the norms by 45 times in the 'Thanda matlab Coca-Cola' product. Mirinda Lemon topped the chart among all the tested brand samples, with a total pesticide concentration of 0.0352 mg/l.

The cold drinks sector in India is a much bigger money-spinner than the bottled water segment. In 2001, Indians consumed over 6,500 million bottles of cold drinks. Its growing popularity means that children and teenagers, who consume these drinks, are drinking a toxic potion. PML also tested two soft drink brands sold in the US, to see if they contained pesticides. They didn't.

The question, therefore, is: how can apparently quality-conscious multinationals market products unfit for human consumption? CSE found that the regulations for the powerful and massive soft drinks industry are much weaker, indeed non-existent, as compared to those for the bottled water industry. The norms that exist to regulate the quality of cold drinks are a maze of meaningless definitions. This "food" sector is virtually unregulated.


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