The YURiA-PHARM journey is a story about people who live their work and, for more than three decades, have proven that entrepreneurship, science, and manufacturing can speak the same language — the language of quality, innovation, and care for consumers.
From the first years of independence, when entrepreneurship in Ukraine was only beginning to emerge, a team of young scientists led by Mykola Humeniuk created a small company that later grew into a powerful corporation with a global name. Today, YURiA-PHARM operates in different countries around the world, has 48 production lines in Ukraine and Italy, and produces more than 300 million units of products per year. At the core of every company decision is responsibility — toward customers, partners, the state, and future generations. YURiA-PHARM supports scientific initiatives, develops R&D (Research and Development), invests in youth and environmental projects, and builds an ecosystem with people at its center.
Behind major achievements, however, there are hundreds of daily business processes that require precision down to the second. Manufacturing medicines, distribution, quality control, working with thousands of product units, and compliance with strict regulatory requirements — all of this turns the warehouse into a key component in the formula for success in the pharmaceutical business. And when this component operates in a coordinated and precise way, it ensures continuity of supply and guarantees that every medicine ends up in the right place at the right time. That is why YURiA-PHARM pays special attention to improving its warehouse operations. How YURiA-PHARM managed to triple warehouse throughput, optimize staff performance, and ensure process transparency through the implementation of the SMART WMS solution is detailed in this new success story.
Challenges related to business growth and the warehouse automation steps that preceded the implementation of a WMS system
The company focuses on ensuring that hospitals receive the necessary medicines on time, in the required quantity, and of the required quality.
The search for a WMS solution was driven by the low throughput of YURiA-PHARM’s warehouses. During periods of increased sales volumes, document preparation, order picking, and shipping took more time than the pace of the business allowed. As the number of orders and delivery volumes grew, there was a clear need to strengthen the stability and manageability of warehouse operations.
The team decided not to act blindly, but to follow a path of analytics and in-depth research into the current and desired state of the processes. An audit of all warehouse operations was conducted, the average order picking speed was measured, labor costs in person-hours were calculated, and more. The results made it possible to define a clear goal: to increase throughput by at least two times — and ideally threefold — without losing control or quality from the order picking stage through to final shipment.
In addition, several other bottlenecks were identified in the warehouses:
- Subjective product placement in the warehouse — prior to the implementation of the WMS, product placement principles lacked unified logic, which affected operating speed. As a result, pickers had to cover longer routes, often moving between the same product items located in different warehouse zones. This created unnecessary travel time and reduced productivity. With this approach, it was difficult to plan workloads and optimize product flows, and as order volumes increased, timely product delivery became more challenging. In addition, certain processes required alignment to reduce duplicated actions and improve workload control.
- Manual document administration — each order was processed using a paper picking list, which required time for printing, sorting, and distribution to pickers. Inventory tracking and control of product movement were also performed without digital tools — everything was recorded on paper or in spreadsheets. This approach required significant labor effort from staff while simultaneously increasing control-related costs.
- Employee overload — the warehouse manager was overloaded with operational tasks: every day, a significant amount of time was spent preparing and administering documents, processing claims, controlling loading operations, and coordinating staff work. As a result, there were no remaining resources for strategic process analysis, planning optimal product placement, or improving overall warehouse efficiency.
- Limited shipping area — the warehouse did not have sufficient space to simultaneously stage all orders ready for dispatch. This complicated the organization of order picking for shipment and the orchestration of internal warehouse logistics. Due to the limited space, employees were forced to constantly rearrange product batches, which slowed down loading speed, created additional workload for the team, and increased the risk of errors during shipment preparation.
To reduce the workload on employees and improve overall warehouse efficiency, the company initially took several independent steps to optimize processes, including the following:
- Multipicking without data collection terminals, using paper orders — at the initial stage of warehouse optimization, the company introduced a multipicking process (simultaneous picking of multiple orders to reduce repeated “travel” across the warehouse), but without the use of data collection terminals (DCTs), relying instead on paper documents. Previously, the process worked as follows: each order was printed separately, and the picker collected medicines based on these documents. For the same product, repeated “travel” across the warehouse was required — the picker would collect the item for one order, then walk to the same product again for the next order, which significantly increased picking time.
To reduce route duplication, the company developed a consolidated order system: 10–20 individual orders were combined into a single “batch.” This allowed the picker to collect the same product simultaneously for all orders in the batch, instead of moving through the warehouse separately for each order. In addition, special carts were designed for multipicking, divided into compartments for each order, which ensured convenient product organization. This reduced repeated “travel” and accelerated the picking process; however, the overall pace still did not allow the company to reach the desired level of productivity. Later, this exact logic was integrated into the SMART WMS solution together with DCTs, making it possible to organize multipicking more effectively and reduce order picking time severalfold.
- ABC classification of products and new warehouse structures — the company gradually introduced ABC classification, dividing products into categories based on sales volumes and shipping frequency: high-demand items (A) were placed closer to picking zones, medium-rotation items (B) in intermediate aisles, and low-demand items (C) on more distant shelves. This sorting reduced the time pickers spent searching for and collecting medicines and made routes more logical and shorter. In parallel, warehouse structures were upgraded: new racking systems and special organizers were installed to provide faster access to products, further optimizing employee movement and increasing warehouse efficiency.
- Electronic recordkeeping — the warehouses used an electronic accounting system that stored data on inventory balances, orders, and customers. It automated part of inventory tracking and made it possible to control product movement at the data level; however, actual warehouse operations, inventory checks and reconciliation, as well as shipment preparation, remained manual. This continued to require significant time and resources.
Despite these measures, manual processes and the limitations of the current warehouse setup still did not allow the company to reach the desired throughput. Multipicking based on paper orders, ABC product classification, and electronic recordkeeping partially reduced repeated “travel” and helped better organize warehouse operations, but they did not significantly reduce the workload on staff or provide full operational transparency. The company clearly saw that further scaling and stable management of growing order volumes required a comprehensive solution that would deliver control, analytics, and automation across all stages of warehouse processes. That solution was SMART WMS — a system that brings together order picking automation, inventory management, and analytics in a single digital environment.
What requirements did the company focus on when selecting a solution, and why was SMART WMS chosen?
YURiA-PHARM’s task went beyond process optimization. It was about strengthening the foundation that ensures timely delivery of critical medicines to hospitals, in the required volume and quality.
After identifying business needs, the next step was to clearly define the requirements for the future WMS solution. YURiA-PHARM was looking for a system that would provide broad out-of-the-box functionality while also offering flexibility for customization to industry specifics, enabling rapid business scaling and compliance with strict regulatory standards.
In terms of functionality, the client had a clear list of requirements: from batch and location-based inventory tracking to integration with PBL (a system for production batch control and product movement traceability) and weight control to minimize shipping errors. Core expectations also included support for radio data collection terminals, inventory counts without stopping operations, flexible routing for operational workflows, report customization, and real-time logging of employee actions.
In addition, the company wanted the system to support different operating environments (Android, iOS, browser), feature a user-friendly interface, enable integrations via REST API and Logic Apps, and at the same time provide no-code configuration capabilities so that most business processes could be configured independently, without involving developers.
Among the technical criteria were high performance at a level exceeding 150,000 orders, integration with the most popular models of data collection terminals, support for label printing via ZPL (Zebra Programming Language), full compatibility with Microsoft Dynamics 365 (shared master data and seamless integration), and readiness to operate in compliance with GMP (Good Manufacturing Practice) requirements and future product serialization standards, among others.
The list of requirements was so broad and specific that only a system with deep industry expertise and technological maturity could meet them — and most of which were addressed by SMART WMS
Among the key advantages that influenced the choice of the SMART business solution, the client highlighted the following:
- Proven collaboration and technological compatibility — YURiA-PHARM already had a successful implementation of Dynamics 365 Sales by SMART business, which helped optimize international sales and customer management. Since the company’s architecture was built around the Microsoft ecosystem, SMART WMS naturally integrated into the existing IT environment without the need for complex integrations.
- Solution readiness for industry challenges — in the pharmaceutical sector, any IT solution must comply with European GDP (Good Distribution Practice) standards and be prepared for future changes. In particular, this includes the planned introduction of medicine serialization systems in 2028 — a process that enables tracking the path of each medicine from manufacturer to pharmacy. SMART WMS is designed to support serial-level tracking, integration with product labeling, operation logging, and related processes.
- Support and collaboration at the partnership level — the company evaluated both international and Ukrainian solutions, but most did not provide an adequate level of support or readiness for customization to pharmaceutical specifics. SMART business offered a SaaS solution with local support and flexible customization capabilities. As a result, YURiA-PHARM gained not only a system, but also a reliable partner ready to support the transformation of warehouse processes at every stage.
- Innovation and future-oriented approach — SMART WMS is evolving as part of the SMART business ecosystem built on advanced Microsoft technologies. As a result, the solution goes beyond addressing current warehouse needs and opens the path to a future where data, artificial intelligence, and automation operate as a unified whole.
As a result, choosing SMART WMS became a strategic step toward building a high-performance, scalable, and fully transparent warehouse operations model that is ready to meet the requirements of the international pharmaceutical market.
Customizations and additional integrations: How SMART WMS was adapted to YURiA-PHARM’s specific processes
Even a system that covers most needs out of the box may, in real business processes, require additional configuration to reflect a company’s specifics as accurately as possible. This is especially true in pharmaceuticals, where every operation — from raw material receipt to the shipment of finished medicines — is subject to strict quality control requirements.
“Based on my experience, I can say that even the best system does not work perfectly without some customization — this is a normal part of implementation. In the case of SMART WMS, most processes and functionality truly met our needs in the standard implementation. For companies with more typical business processes, this would be fully sufficient; however, we consciously chose to introduce certain enhancements together with the SMART business team to make the system as adaptable as possible to our specific tasks and goals.”
The most noticeable changes concerned the multipicking process — it delivered the greatest increase in operating speed. The basic SMART WMS configuration provided a foundation for implementing parallel order picking with product placement into compartments, which could then be refined to match the company’s specifics. As a result, a decision was made to invest time and resources in further developing this logic together with the vendor. This made it possible to create a flexible picking model that accounts for the specifics of pharmaceutical warehouses and allows pickers to work faster and more accurately.
Most customization requirements were agreed upon and built in at the pilot project stage, so many nuances were anticipated in advance during the SMART WMS rollout. After go-live, the system continued to evolve: together with the vendor, the client’s team implemented a number of improvements, including optimizing the inventory process to make it even more efficient for warehouse staff.
A significant body of work was carried out in parallel at the manufacturing sites: the process of labeling cartons with transport labels and generating unique batch codes for unambiguous product identification was implemented. In the base version, SMART WMS supported barcodes and QR codes; however, to comply with future serialization requirements, the system was further enhanced. Within six months, 22 production lines were launched with product labeling, and on some lines label application has already been partially automated. This process was integrated into SMART WMS so that all batch codes are transferred to the system and identified within a single digital environment.
Today, the system is operating stably, and no major enhancements are planned, apart from the future integration with a medicine serialization solution, which has already been discussed with SMART business and included in the system development roadmap.
“Improving logistics allows the company to consistently meet its commitments to medical institutions. The implementation of SMART WMS was part of a broader transformation of our logistics processes. In parallel with the warehouse system rollout, we integrated a TMS to create a single management loop — from order placement to delivery to the customer. This made it possible to ensure continuity of supply amid the growing load on the healthcare system. As a result, we were able to optimize our in-house logistics, reduce delivery costs, and increase the accuracy of our operations.”
It is also worth highlighting the integrations that ensured a unified data management logic, including:
- Integration with the sales accounting system, enabling synchronization of order and inventory data. This provides full transparency between the warehouse and the commercial team: managers see up-to-date product availability, while the warehouse immediately receives orders in the system — without unnecessary manual work.
- Integration with the ERP system, which enables the transfer of product labeling results. This makes it possible to easily track each individual item, identify products within a single database, and meet regulatory requirements.
- Integration with the TMS (Transport Management System), which exchanges route data with SMART WMS for precise shipment planning. This allows shipment schedules to be aligned, vehicle loading to be planned, and downtime to be minimized, ensuring logistics accuracy “down to the minute.”
- Integration with Power BI, used as an analytical dashboard that enables real-time monitoring of key warehouse performance indicators, identification of process bottlenecks, and data-driven management decisions rather than assumptions.
Thanks to industry-specific system adaptation and integration with other IT solutions, SMART WMS has become part of YURiA-PHARM’s unified logistics system, covering all stages of product movement — from order picking to shipment.
Employee adaptation and scaling SMART WMS: From pilot to comprehensive warehouse network transformation
The first live launch of SMART WMS at the warehouse coincided with the peak season, in the last quarter of the year, when order volumes were at their highest. At the initial stage, typical challenges arose related to adapting to the new system:
- The need to synchronize certain data between systems.
- The need for additional clarification of reference and regulatory information.
- Aligning inventory balances with the actual stock.
- Chaotic movements and claims during the adaptation period.
In other words, these were not system failures but natural challenges during the period when staff were getting used to new processes and the digital environment as a tool for daily operations. Thanks to the joint efforts of the client and vendor teams, the process was successfully stabilized.
Employee training was divided into several stages: first, the system was demonstrated; then practical exercises and equipment setup were conducted; and finally, the execution of key operations was monitored. The first two weeks were challenging, but after adaptation, employees quickly mastered the workflow. Training for subsequent warehouses now takes only four days.
After the pilot launch of the first warehouse, the YURiA-PHARM team analyzed the results and began scaling up actively. SMART WMS is now operational in three warehouses, with a fourth scheduled to open soon. According to the client, new warehouses are now launched without difficulties — the key is to properly organize the space and adequately prepare employees.
The second warehouse in Vinnytsia was opened in just 1–2 days with no issues in system operation, demonstrating the effectiveness of YURiA-PHARM’s approach and the flexibility of the SMART business solution.
“People who are used to familiar, routine processes are always a bit wary of change — that’s normal, but there was no intention of going back. Scaling is fairly straightforward now, and we plan to open one or two warehouses every month. The only factor that slightly slows the pace is the need for certain warehouse reconfigurations and the ordering of specialized structures, which takes about a month and a half, since each warehouse is unique and requires an individual approach. However, we are confident that after all updates are completed, the operation of our warehouses will become even more efficient and comfortable for the entire team.”
Results in numbers: How the implementation of SMART WMS accelerated the warehouse and optimized operational processes
Previously, a picker carried a stack of paper documents and independently decided what to pick, where, and how. Now, instead of paper, they use a data collection terminal that displays all tasks, suggests the route and sequence of actions, and removes the need to keep all information in mind. In addition, digitization has significantly reduced the time required to train new specialists and lowered qualification requirements for candidates. This has enabled the company to onboard new employees faster, expand the talent pool, increase flexibility in team formation, and reduce recruitment and training costs.
Whereas previously onboarding a new employee took about a week — learning warehouse layout, product locations, and the specifics of working with waybills — now, by the end of the first working day, a specialist can already perform standard operations. As a result, the new approach not only makes work easier but also more attractive for candidates, which positively affects hiring speed and subsequent onboarding.
As a result, picker productivity increased significantly as early as during the pilot launch of SMART WMS at the Kyiv warehouse.
- Picking speed per item:
Before — 90 seconds per unit
After — 35 seconds per unit
while the average market speed is 45 seconds
- Number of items picked per day:
Before — 2,700 units (68 labor-hours)
After — 5,500 units (54 labor-hours)
That is, at the start of the project, pickers processed 2,700 units per day, spending a total of 68 labor-hours. As of January 2025, the same number of employees is able to process 5,500 units while spending only 54 labor-hours, which has nearly doubled productivity and significantly improved the efficiency of working time utilization.
- Number of specialists required to handle the workload:
At the start of the project — 19 pickers
Currently — 17 on average
The implementation of SMART WMS and the use of handheld data collection terminals made it possible to process higher order volumes with the same team, without any loss of quality. As a result, the workload per employee was reduced, the team operates in a balanced manner, operations are completed on time, and employees can focus on work quality and results.
The implementation also affected document management. Previously, each picking operation required printing dispatch orders and manually tracking inventory movements. This took time, created additional workload for administrative staff, and increased the risk of errors due to the human factor. With SMART WMS and the use of handheld terminals, the need for paper-based orders was eliminated. All tasks and order-related data are now delivered directly to the picker’s device, allowing them to immediately see which items need to be picked, track task completion in real time, and avoid duplicate actions and documentation errors.
The Kyiv warehouse successfully passed peak load testing, and the implementation of SMART WMS addressed the key throughput challenge — warehouse processes became three times faster, which is a highly tangible result.
“In addition to the technological advantages of the solution, the partnership with SMART business also proved to be valuable. The vendor’s team is always actively involved in the process, providing guidance and helping resolve any issues during implementation. We are confident that the processes we implemented together with SMART business will become part of practical solutions for future SMART WMS implementation projects, helping improve warehouse efficiency for other companies as well.”
Plans for system scaling and advice for those on the path to full warehouse automation
Although the main stage of automation has been completed, the team is not stopping there. YURiA-PHARM is considering the use of AI-based tools that will enable more accurate demand forecasting, warehouse workload analysis, and more. At this stage, ideas for integrating AI into business processes are gradually taking shape within the company as part of its vision for further development.
As for advice to other businesses, YURiA-PHARM recommends testing a solution on your own processes before making a final decision. Ideally, this means starting with a basic version of the system, applying it to typical warehouse operations, and observing how it performs in a real-world environment. This approach helps clarify the specific value the system can deliver to your business while significantly reducing the time required for further implementation.
Another recommendation shared by YURiA-PHARM is that companies planning to implement a WMS should begin with a thorough analysis of their internal processes even before the project starts. The overall effectiveness of the implementation largely depends on how clearly a company understands how its warehouse operates and which stages truly require automation. In practice, however, the opposite often happens: companies begin with financial discussions — budget, discounts, timelines — while leaving business process demonstrations at a superficial level. As a result, once the system goes live, misalignments emerge: expectations do not match reality. The reason is simple — there was not enough time spent understanding how the solution actually functions in a live environment.
That is why YURiA-PHARM’s experts recommend thoroughly documenting all customer-side business processes before implementation even begins — literally “mapping them out.” This approach helps avoid misunderstandings and provides a clear vision of how the system should operate in practice.
“Business processes are never perfect — they are living systems and naturally evolve over time. Truly rigid, monolithic processes are rare, perhaps found only in manufacturing. Given today’s conditions, where the market reacts to events instantly, it is essential for companies to have flexible teams and systems that are ready to evolve alongside the business. For us, it was important that SMART WMS serve as the foundation for this flexibility at YURiA-PHARM, and the implementation results showed that the system easily adapts to new operating models, scaling needs, and changes in the regulatory environment.”
Would you also like to speed up your processes and triple your warehouse throughput? Looking to quickly onboard warehouse staff, reduce the risk of errors, and cut costs? Request a consultation today to learn how SMART WMS can address the challenges in your warehouse — improving accuracy, speed, and profitability across your core operations:
