Press Release

Drummond Group Facilitates First CSOS Auditing Certification on DEA Regulations

By June 14, 2005 No Comments

Cyclone Commerce, iSoft Corp. Software Fulfill DGI’s CSOS Audit Certification Requirements

ORLANDO, FL-June 14, 2005-Drummond Group Inc. (DGI), a leading interoperability and conformance testing company, today announced that it has completed the first auditing certification for the U.S. Drug Enforcement Administration’s (DEA) Controlled Substances Ordering System (CSOS). CSOS is an electronic commerce initiative overseen by the DEA to provide an automated alternative to the current paper-intensive process required for purchasing and distributing Level I and II controlled substances. DGI is the first to provide CSOS auditing services such as delivering certification for software products-with-version in compliance with DEA rules.

Once CSOS is implemented within the entire wholesale pharmaceutical industry, including manufacturers and distributors, the DEA estimates overall annual savings of about $264 million, or $1.8 billion over a period of 10 years. The DEA’s proposed rule for CSOS includes technical and business requirements for products used to digitally sign, transmit or receive e222 forms. Software companies that provide these products must participate in an initial audit of the product and additional audits when changes are made to the core digital signing technology. End-user companies that build in-house CSOS systems for digital signing, transmission or receipt of e222 forms also must be audited.

Software products from Cyclone Commerce and iSoft Corporation successfully completed DGI’s initial CSOS audit certification round in June.

“This is the first and most important step for pharmaceutical distribution to have the security architecture required by the DEA to enable electronic transmissions for controlled substances,” said Rik Drummond, DGI’s chief executive officer. “We believe this will serve as a cornerstone for the future of the pharmaceutical industry to continue to reduce costs, streamline communication and improve efficiencies in its distribution systems.”

DGI also will provide long-term interoperability of CSOS and related systems by working with software companies and end-user corporations to combine DEA requirements with recommendations from industry consortia such as the Healthcare Distribution Management Association (HDMA). The DEA requires that any software applications used to digitally sign, transmit and/or receive CSOS orders must be audited by an independent third party. Once a software application successfully completes the DGI auditing certification, it is listed as “Drummond Certified” and available for trading partners to utilize within their supply chains.

“Cyclone continues to help companies capitalize on the efficiencies and cost savings of CSOS with Cyclone CSOS 5.3, which provides additional visibility into the ordering and supply process,” said Ron Gabrisko, vice president of healthcare and life sciences for Cyclone Commerce. “And, as the de facto standard for B2B communication in health care, we offer a variety of other solutions that automate the supply chain, including Cyclone ePedigree and Cyclone eSubmissions.”

“iSoft is pleased to successfully complete and be part of the initial DGI CSOS audit certification,” said Roy Hogsed, President and CEO, iSoft Corporation. “We believe that the improved efficiencies and cost savings realized by early CSOS adopters will compel other pharmaceutical industry participants to migrate to this improved and highly secure industry standard.”

For more information about CSOS, please visit these DEA-sponsored sites:

  • http://www.deadiversion.usdoj.gov/ecomm/index.html
  • http://www.deaecom.gov

Products that successfully completed DGI’s first CSOS audit certification and are “Drummond Certified” included the following:

Company  Drummond Certified Product, Version
Cyclone Commerce Cyclone CSOS v5.3
iSoft Corporation iSoft e222 (CSOS) v3.4

About Drummond Group Inc.

Drummond Group Inc. (DGI) is an independent, privately held company that works with software vendors, vertical industries and the standards community to drive adoption for standards by conducting interoperability and conformance testing, publishing related strategic research and developing vertical industry strategies. Founded in 1999, DGI represents best-of-breed in the industry on linking horizontal infrastructure technologies, standards and interoperability issues with the needs of vertical industries such as retail, grocery, health care, transportation, government and automotive. For more information, please visit www.drummondgroup.com or email: info2@drummondgroup.com.

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