Validation Considerations for Companies Running SAP
“Life Science M&A deals should not get finalized without careful examination of SAP landscape(s)”
Companies which manufacture and sell medications and/or medical equipment often run their businesses with SAP. It is important to consider validation regulations during merger and acquisition activity, because these businesses are always overseen by government agencies to ensure compliance (e.g. FDA here in the US).
It is well known that SAP itself will need to gain government approval before an instance of this system is used to manufacture, sell, and ship products used by doctors to treat their patients. For this reason, it is of paramount importance to complete all relevant due diligence in early stages of business transaction activity, since a product will not get cleared for use on patients without government approval.
Reach out if your organization needs help to navigate through SAP complexities during an M&A transaction.
Best, SAP10x
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