Navigating compliance in lab procurement is like buying a used car for a great price. You’re excited to get a deal, but you can’t drive off with peace of mind until you know it meets inspection and all the regulations—just like in lab procurement, where cost savings are important, but compliance is essential. For lab managers, ensuring that supplies meet both regulatory standards and operational needs is a constant challenge. Whether you're in biotech or pharma, the high price of non-compliance can make or break you. So, how do labs remain compliant while keeping procurement efficient? Here are some strategies.
Understanding lab procurement compliance challenges
One of the biggest challenges in lab procurement is the sheer volume of regulations. Labs must adhere to a mix of industry-specific standards, from Good Laboratory Practices (GLP) to FDA and ISO certifications. This means every purchase, from chemicals to lab equipment, must be vetted for compliance with these regulations. Failure to comply can lead to costly fines, production delays, or, in the worst cases, regulatory shutdowns.
The high cost of non-compliance
Non-compliance doesn’t just impact your reputation—it hits your bottom line.
- A PwC report revealed that $5.6 billion is lost annually due to non-compliance across pharma, often stemming from supply chain and procurement issues, including adherence to quality standards and regulatory frameworks.
- Per a Globalscape study, the cost of non-compliance can be as much as 2.71 times higher than the cost of maintaining compliance. This includes fines, legal fees, and other penalties, as well as indirect costs like operational delays and reputational damage.
These figures highlight the importance of balancing procurement and compliance by investing in technologies and strategies that streamline compliance procedures, reduce manual effort, and mitigate the risk of costly non-compliance events.
Balancing procurement efficiency and compliance: 6 key strategies
- Centralize procurement. A unified system ensures consistent compliance checks and real-time tracking, reducing errors and aligning all purchases with regulations.
- Vet suppliers rigorously. Work with vendors holding relevant certifications (e.g., ISO 13485) to minimize non-compliance risks upfront.
- Source from trusted vendors. Ensure suppliers meet compliance standards (e.g., ISO 9001, FDA-approved materials) and maintain long-term relationships to reduce risks.
- Automate documentation. Use digital tools to streamline record-keeping, ensuring every transaction is audit-ready and compliant.
- Train procurement staff. Regularly update your team on evolving laws and regulations to prevent non-compliance.
- Leverage data. Use procurement data to identify risks, optimize processes, and improve compliance.
Download our free eBook, the Ultimate Guide to Lab Supply Purchasing.
How a lab supply marketplace simplifies lab procurement compliance
A lab supply marketplace, such as ZAGENO, is a platform designed to streamline the ordering process for life sciences and research communities. ZAGENO helps biotech and pharma companies meet compliance standards and streamline procurement in several key ways:
- Supplier management and compliance. ZAGENO offers access to over 5,300 pre-vetted suppliers, managing due diligence, contract negotiations, and supplier relationship management. This ensures that labs are always working with trustworthy suppliers while simplifying the process of adhering to internal and external compliance requirements.
- Consolidated ordering and invoicing. Labs can order from multiple suppliers through a single marketplace and receive consolidated invoices. This reduces administrative overhead, standardizes documentation, and enhances financial transparency.
- Automated approvals and tracking. ZAGENO integrates customizable approval workflows and real-time order tracking, helping labs maintain oversight and control over their purchasing processes.
- Contract compliance. ZAGENO ensures that companies adhere to negotiated discounts and contract terms, preventing costly deviations from agreed-upon pricing and conditions.
- Audit-readiness. By acting as a centralized hub for lab supply purchasing data, ZAGENO continuously builds a detailed audit trail, ensuring labs remain audit-ready at all times.
Go deeper with the article, How are Lab Supply Marketplaces FAIR?
Enjoying peace of mind in lab procurement isn’t a pipe dream. By implementing smarter systems and leveraging advanced platforms like ZAGENO, labs can maintain regulatory standards while driving efficiency. Rather than constantly putting out fires, focus on building a proactive strategy that safeguards your operations and supports ongoing innovation.
Ready to streamline your lab procurement while staying compliant? Contact ZAGENO for a demo today.
