Wholesaler First to Use CSOS

Published Online: Sunday, January 1, 2006

In agreement with the Drug Enforcement Administration's (DEA) new Controlled Substance Ordering System (CSOS), HD Smith recently became the first national pharmaceutical wholesaler to successfully process an electronic 222 (e222) order for a controlled substance using iSoft Corporation's e222 CSOS. The new electronic application took effect in May 2005.

The system replaces the expensive paper-based procedure by providing secure electronic transmission of controlled substances between manufacturers, distributors, and pharmacies. To assist this process, iSoft's e222 CSOS solution generates an electronic version of the DEA form 222 (e222), supporting digital signatures and providing a secure, reliable platform for transactions between buyers, suppliers, and the CSOS.

The company also used radio frequency identification (RFID) tags when processing the first electronic CSOS. The tags act as unique identifiers, or "license plates," for each individual package. The ability to track inventory individually gives utmost control over products in the supply chain.

"HD Smith's unique combination of RFID and CSOS technology usage generates efficiency, control, and accountability over controlled substance products," said Dale Smith, president and chief executive officer of the company. "Our information technology team has again raised the bar for industry practices, a reflection of HD Smith's leadership in technology and supply chain integrity."

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