Featured Archives - 365 Cannabis https://www.365cannabis.com/category/featured/ Software To Grow With Fri, 08 Aug 2025 17:53:22 +0000 en-CA hourly 1 https://wordpress.org/?v=6.6.4 https://www.365cannabis.com/wp-content/uploads/2019/07/cropped-The-D-32x32.png Featured Archives - 365 Cannabis https://www.365cannabis.com/category/featured/ 32 32 Everything to Know About the Metrc and BioTrack Merger https://www.365cannabis.com/everything-to-know-about-the-metrc-and-biotrack-merger/ Fri, 08 Aug 2025 13:00:00 +0000 https://www.365cannabis.com/?p=8564 Metrc and BioTrack are officially partnering, and 365 Cannabis explains what this means for the cannabis industry.

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It was announced on August 5, 2025 that state regulatory systems, Metrc and BioTrack, would be strategically partnering on cannabis technological solutions. This acquisition between the two dominant state systems sees Metrc focusing on managing state regulations and BioTrack relinquishing their state regulatory contracts and focusing on their ERP and POS systems. This partnership has also spawned BT Government, which will oversee the government end of BioTrack’s existing state contracts. 

Let’s look at what that means for cannabis operators. 

What is Changing for BioTrack States? 

BioTrack’s state partnerships are now wihtin the Metrc umbrella. Currently, BioTrack manages state compliance systems for: 

  • Arkansas 
  • Connecticut 
  • Delaware 
  • Hawaii 
  • Florida 
  • New Hampshire 
  • New Mexico 
  • New York 
  • North Dakota 
  • Virginia 

Illinois was previously a BioTrack state, but began onboarding all operators to Metrc earlier in 2025, citing the desire to utilize Metrc’s “RFID technology that offers real-time visibility into product movement—from cultivation to sale.” They elaborated on the switch by stating that “this switch allows regulators and businesses alike to reduce manual data entry, track compliance more accurately, and respond faster to discrepancies or recalls.” 

As of July 1, 2025, Illinois is officially a Metrc state. 

As of the Metrc/BioTrack announcement, there are no public plans to move BioTrack states off of BioTrack and onto Metrc. These contracts, however, are owned by Metrc and the move from BioTrack to Metrc is a reasonable possibility.  

What is BT Government? 

To assist with the acquisition, BioTrack’s state regulation branch has been segmented into its own entity, BT Government. BT Government, as stated by Metrc, “will support the delivery of regulatory technology to state partners.” The BT Government division be overseen by BioTrack’s current Chief Operating Officer, Moe Afaneh, while still being connected to Metrc via the acquisition. In the interim, BT Government operating somewhat independently will allow Metrc and BioTrack to work together managing the existing BioTrack state regulatory contracts.  

What will BioTrack Do Now? 

Within the Metrc press release it is stated that “BioTrack will expand its focus on commercial cannabis solutions, including ERP and POS platforms.” BioTrack currently operates the cannabis ERP system Alleaves and had acquired MJ Freeway in 2024. Interestingly, MJ Freeway has been the state regulatory system for Pennsylvania since 2017. Pennsylvania operators have expressed issues with the platform, which may lead to changes on the horizon especially as their adult-use bills get closer to realization.  

Does the Metrc/BioTrack Merger Change Anything for New York? 

New York is a unique situation because it was currently in the process of onboarding operators to BioTrack’s Seed-to-Sale system for operator regulation. In November 2024, New York’s Office of Cannabis Management (OCM) stated that they were preparing for the mandatory intergration of BioTrack for cannabis license holders. The original timeline saw all New York operators being fully integrated between August 1, 2025 to October 1, 2025.  

On August 5, 2025, the same day the press release was issued by Metrc, the OCM announced that the BioTrack integration deadlines are paused. Their bulletin to all New York cannabis license holders stated that they “must evaluate systems implications for both the agency and licensees and determine the extent to which this development affects STS (Seed-to-Sale) integration in New York.” 

Is Anything Changing for Metrc States? 

Metrc currently operates in the following states: 

  • Alabama 
  • Alaska 
  • California 
  • Colorado 
  • Colorado Industrial Hemp 
  • District of Columbia 
  • Guam 
  • Illinois 
  • Kentucky 
  • Louisiana 
  • Maine 
  • Maryland 
  • Massachusetts 
  • Michigan 
  • Minnesota 
  • Mississippi 
  • Missouri 
  • Montana 
  • Nevada 
  • New Jersey 
  • Ohio 
  • Oklahoma 
  • Oregon 
  • Rhode Island 
  • South Dakota 
  • US Virgin Islands 
  • Virginia 
  • West Virginia 

Through the BioTrack acquisition, we do not anticipate these states experiencing any changes to their regulatory system or practices.  

How Does This Affect Me? 

For now, this acquisition does not change any day to day operations for any cannabis license holders.  

For our 365 Cannabis partners, our team is hyper-vigilant to all changes in the industry and are constantly ensuring that every step our partners take is within current compliance. No matter what turns the industry may take, 365 Cannabis customers always receive the best possible support to ensure their success.  

To learn more about 365 Cannabis’s commitment to excellence in cannabis, please reach out to our team. 

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‘Best of Breed’ is failing you https://www.365cannabis.com/best-of-breed-is-failing-you/ Mon, 28 Jul 2025 13:00:00 +0000 https://www.365cannabis.com/?p=8553 Why "Best of Breed" cannabis tech stacks are failing you- and what you can do about it.

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Written by Chris Guthrie, VP of Sales & Marketing

Why “Best of Breed” Cannabis Tech Stacks Are Failing You – And What to Do About It 

I love my job. I love talking to operators about how to win, and I do it ALL DAY. These conversations with operators (hopefully 😉) then turn into work sessions for new customers.  

I love WATCHING my customers win. 

For years, cannabis operators have been told they need to choose: either invest in niche, cannabis-specific tools built for their sector—or adopt a sprawling enterprise ERP designed for traditional industries. The result? Many teams end up stitching together a #FrankensteinMonster and a dozen other point solutions into a tangled mess they call a “tech stack.” 

Here’s the hard truth: if your cannabis operation is running on a patchwork of disconnected apps, you’re not scaling. You’re surviving. 

I want to talk to YOU about why that Canna-Tech stack you’re building might be your biggest liability: 

1. Data Silos Everywhere 

Each single purpose solution runs its own database. Inventory counts in Canna-Tech inventory system don’t reconcile with financials in QuickBooks. Compliance reports pull from yet another silo. Real-time visibility for reporting? Forget it. 

2. Integration Nightmares 

Yes, APIs exist. But integrations between these small platforms are fragile, limited, and often require costly middleware or manual exports. Every new tool you add increases complexity exponentially. 

3. Surface-Level Functionality 

Sure, some Canna-Tech handles RFID and METRC reporting well. Cultivation specific websites might give you decent cultivation tracking. But when you need serious financial controls, advanced manufacturing, or multi-site supply chain management? These tools just aren’t designed to handle it. Don’t forget, all these tools started as a METRC skin! 

4. Support Headaches 

With multiple vendors, who do you call when things break? One app blames the other. Your IT team spends more time managing tickets than improving operations. 

So my favorite question to ask is: What if you didn’t have to choose between specialist tools and enterprise power? What if you could have both? 

365 Cannabis is built on Microsoft Dynamics 365 Business Central — a global ERP backbone supporting finance, inventory, supply chain, and compliance from a single source of truth.  

But it’s not just a generic ERP: 

  • Cannabis-specific functionality is layered in by industry experts and operators. 
  • Compliance tools evolve alongside regulatory changes. 
  • Cultivation management and retail ops are native, not bolted on. 
  • Power BI reporting gives real-time visibility across your operation. 
  • Microsoft’s platform means scalability, security, and innovation baked in. 

Why Choose Microsoft + 365 Cannabis Over Can-Tech? 

  • One System, Not a Stack: Finance, ops, compliance, and cultivation, unified. 
  • Global Platform: Microsoft continuously invests billions in the ecosystem. 
  • Real-Time Data: From seed to sale to financials, all in sync. 
  • Single Vendor: No finger-pointing, just clear accountability. 
  • Industry Depth: Cannabis expertise built into the ERP—not just in sidecar apps. 

Stop Building Fragile Tech Stacks 

Stacking Canna-Tech, and homebrewed spreadsheets on top of QuickBooks isn’t a long-term strategy. It’s a stopgap. And it’s holding you back. 

With 365 Cannabis on Microsoft Dynamics 365 Business Central, you’re not choosing between best-of-breed or best-of-suite. You’re choosing the best of both. 

Ready to upgrade? Let’s talk. 

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Utilizing Your Seed to Sale Tracking System: Top Cannabis Metrics and KPIs Your Business Should Be Tracking https://www.365cannabis.com/seed-to-sale-tracking-system-metrics/ Mon, 20 Dec 2021 17:36:31 +0000 https://www.365cannabis.com/?p=7502 Anyone who has ventured into the commercial world of cannabis should be aware of some...

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Anyone who has ventured into the commercial world of cannabis should be aware of some key cannabis metrics, a seed-to-sale tracking system, and KPIs to track for their company. Managing a dispensary requires you to juggle a ton of moving pieces. Still, tracking specific metrics can make the fight to improve bottom lines and retain relevant data much easier. The trick, however, is figuring out how to track this data accurately. Dispensary POS systems and CRMs are usually the way to go to make tracking smooth and efficient.

With KPIs surging in significance, here are some cannabis business tips to help you manage, monitor, and adjust the most important metrics.

Cannabis Business Planning With KPIs

In your cannabis business planning, KPIs (key performance indicators) should help you determine your cannabusiness’s strategic, financial, and operational achievements on a daily basis. These metrics must support a clear cannabis business strategy, covering anything from transaction times and trends to inventory and sales data. While many KPIs and metrics are valuable in their own right, here are eight top KPIs that all cannabis retail operations should track to forecast overall long-term performance correctly.

Top KPIs For Cannabis Operations

When it comes to monitoring the success and progress of your cannabis business, understanding and utilizing the right cannabis dispensary KPIs is crucial. Here are some of the most critical KPIs that every cannabis retail operation should track:

Transaction Times

This metric is arguably the most important since it directly impacts customer experience, therefore directly impacting sales. Tracking transaction times can help identify any bumps or roadblocks in the sales process or the workflow of an operation. If this metric gets too long, an operation may be subject to long lines that hurt the overall customer experience. When deciding how to shape these indicators better, transaction times can also be used to help determine staffing.

Sales Per Transaction

Tracking how many goods were bought and how much money was spent overall during these discounts is crucial. This metric weighs heavily into customer trends, buying habits, and location-based factors that go into general product value.

Customer Trends

You may modify your product offers and marketing efforts by knowing your clients’ purchasing patterns and preferences. By studying customer data, you can find patterns and trends that can result in more sales and satisfied customers.

Traffic Flow

Understanding the peak hours of operation for a cannabis business can help inform when staff increases are necessary or when more products may be required from a vendor or grow operation. When business is sluggish, scheduling fewer employees can maintain a stable and healthy bottom line. It just requires understanding how the traffic is moving and using that information to make the appropriate corrections.

Sales by Product Category

Keeping track of sales by product category can provide valuable insights into which products are popular among customers and which ones may need further attention. This metric can help inform inventory management decisions and marketing and promotion strategies.

Discounts/Marketing Promotions Used/Applied

You can discover the most effective strategies for increasing sales and customer engagement by monitoring the results of promotions and marketing efforts. Future promotions can be optimized with the help of this data, and successful marketing efforts could be more likely.

Total Sales

Total sales are an essential KPI for any cannabis business. Tracking total sales can help identify trends and growth patterns, which can, in turn, inform decision-making and future business planning.

Employee And Budtender Performance

Monitoring employee and budtender performance can help identify areas for improvement and ensure that staff members provide the best possible customer experience. By tracking performance metrics, cannabis businesses can optimize staffing decisions and provide targeted training and support.

Maximizing Your Cannabusiness’s Sales Potential

Implementing Effective Inventory Management Practices

Effective inventory management practices are crucial in a cannabis business, and reliable cannabis tracking software can be instrumental. By closely monitoring inventory levels and utilizing cannabis seed-to-sale software, you can prevent stockouts, reduce waste, and ensure that your customers always have access to desired products. Implementing a just-in-time inventory system, conducting regular inventory audits, and accurately forecasting demand can all contribute to effective inventory management.

Creating a Memorable Customer Experience

In the competitive world of cannabis retail, providing a memorable and positive customer experience can set your dispensary apart from the rest. From knowledgeable budtenders to a comfortable and inviting store atmosphere, every aspect of your business should be designed with the customer in mind. Offering loyalty programs, personalized product recommendations, and exceptional customer service can help you build lasting relationships with your customers and encourage repeat business.

Evaluating and Improving Business Operations

Continuously evaluating and improving your business operations is crucial for long-term success in the cannabis industry. By monitoring the KPIs mentioned earlier and analyzing the data provided by your seed-to-sale tracking system, you can identify areas for improvement and implement changes that will enhance your business performance. Regularly reviewing your business practices, refining your strategies, and staying adaptable to industry changes are all essential for maintaining a competitive edge and fostering business growth.

Building Strong Partnerships with Suppliers

Establishing and maintaining strong relationships with suppliers is essential for any cannabis business. Quality products are the foundation of your dispensary, so it’s important to work with suppliers that share your commitment to excellence. Building trust and open communication with your suppliers can help ensure that you receive the best products at the best prices and timely deliveries to keep your inventory stocked. Cultivate these relationships by meeting with suppliers regularly, providing feedback on their products, and discussing any potential areas for improvement.

Employee Training and Development

Your employees play a critical role in the success of your cannabis business. Investing in their training and development can lead to better customer service, increased sales, and improved overall business performance. Regular training sessions can keep your team up-to-date on industry trends, regulations, and product knowledge, while also fostering a culture of continuous improvement. Encourage employee growth by offering opportunities for professional development, such as attending conferences or workshops and providing feedback and support to help them achieve their career goals.

Keeping Up with Industry Trends and Innovations

The cannabis industry is rapidly evolving, with new products, technologies, and market trends emerging constantly. Keeping up with these advances is essential for maintaining competitiveness and spotting new growth prospects. To stay current on the most recent information and developments in the cannabis sector, attend industry conferences, subscribe to trade periodicals, and join professional associations. You’ll be more equipped to modify your business plans and take advantage of new trends if you keep ahead of the curve.

365 Cannabis Seed-to-Sale Software

Tracking metrics and cannabis dispensary KPIs is vital for better management and reaching short- and long-term business goals. Through better-informed decisions, these metrics shape the entire process and provide a coherent understanding of where things need to be adjusted. One of the best ways to achieve this is using a seed-to-sale or POS system.

The 365 Cannabis ERP system is an optimized solution for bringing more green to a business, with functionality specifically tailored to the unique requirements of proper cannabis business planning. Our mission is to provide a comprehensive software solution designed specifically for cannabis cultivators, producers, distributors, and dispensaries that allows users to maximize efficiency, promote growth, and ensure compliance. With seed-to-sale tracking and solutions, 365 Cannabis is making reporting & analytics easy to understand and digest.

See why canna-businesses worldwide trust 365 Cannabis to bring their accounting, operations, and data together in one solution. For any questions or for more information, contact 365 Cannabis today to request a demo.

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How To Choose a POS System: Boost Dispensary Productivity https://www.365cannabis.com/how-to-choose-a-pos-system/ Thu, 12 Aug 2021 15:00:16 +0000 https://www.365cannabis.com/?p=7046 How to choose a POS system? the ultimate question pondered by small dispensaries and large...

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How to choose a POS system? the ultimate question pondered by small dispensaries and large cannabis conglomerates alike. The cannabusiness industry faces a set of unique opportunities and challenges, so having tailor made systems, such as dispensary POS software, allows you to grow and thrive. The cannabis landscape has changed much in the last few years, as more and more small-time operations are seeking to evolve into legitimate, large-scale business operations.

One of the most important aspects to consider as you scale upwards, is the level of adaptability and support your point-of-sale software provides. From tracking sales to compiling insightful consumer data, a strong POS system is critical to the continued growth of your operation. But, how do you choose the right one? First, let’s take a look at what a POS system does.

What is a POS system?

The success of every cannabis dispensary depends on having a well developed point-of-sale (POS) system. Weak, incomplete, or superficial cannabis POS software leads to lost money, sales, and even legal troubles.

At the most basic level, point of sale systems allow a business to accept payment and track sales. When thoughtfully crafted to meet the needs of the industry and market, a POS system can provide much more. For example, well built cannabis POS software  provides the following:

1. Amazing Customer Experiences

Providing staff with a user-friendly dispensary POS software creates a professional retail experience for the customer and gives staff time to do what they do best- care for the customer.

2. Minimize Errors

Using dispensary POS software will optimize your processes and minimize the amount of interaction needed with your system to reduce the risk of potential data entry errors.

3. Track Your Inventory In Real Time

Cannabis POS software, when functioning as part of overarching dispensary management system software, links your entire operation, allowing your stores to have an accurate count of what is in stock at all times, and to effectively manage your supply chain.

4. Data Driven Decisions

Well built software also provides built in reporting and analysis tools to gain insight into your business data.

5. Integrate With An MRP

Effective and worthwhile dispensary POS software will work as part of a system, and integrate with processing software and material requirements planning (MRP) to help with effectively tracking costs and maximizing resources.

How to Choose a POS System

In addition to the qualities mentioned above, below are some key factors to consider when it comes to how to choose a POS system.

Easy To Manage And Keep Organized

Thorough, highly effective dispensary POS software should be easy to use too. Some people think complicated steps mean quality, though having a product which is easy for staff to use, saves time and increases productivity on a daily basis.

Customer Friendly  

Customer experience should always be top of mind, so choosing a system which provides an easy, uncomplicated, and professional retail experience is critical.

Multiple Ways To Learn

Seeking providers who offer multiple ways to train and learn the system is important. Look for the ability to attend in person training, access documents, or work with a consultant.

Easy To Update

Take the time to ask how easy the system is to update. Complicated update procedures cause delays and lost revenue for your business.

Connect The Whole Enterprise

Choosing a provider who provides software to support the entirety of your enterprise, in addition to POS software, opens up a whole new world of possibilities.

Compliance Integration

Look for information gathering necessary for compliance to be built into the cannabis POS software and tailored to meet specific state, province, or international requirements.

Reports You Can Actually Use

Look at how data and reports are presented. Having a visual representation of information, interactive reports, and a way to share information across your organization are essential.

365 Cannabis 

Our goal is to provide a comprehensive software solution designed specifically for cannabis cultivators, producers, distributors and dispensaries that allows users to maximize efficiency, promote growth, and ensure compliance. Learn more about us, and please contact us today with any questions you may have.

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GMP Overview https://www.365cannabis.com/gmp-overview/ Wed, 18 Dec 2019 19:06:39 +0000 http://www.365cannabis.com/?p=5873 The post GMP Overview appeared first on 365 Cannabis.

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Topic

GMP or good manufacturing practices is a hot topic surrounding the manufacturing of cannabis products. Not only are consumers still unsure of cannabis use in itself, but they want risk assessment and security that these products are unharmful to health.

Manufacturing can be accomplished in many ways, but is best guided through the compliant framework called GMP. Let’s take a peak into what these practices mean to the cannabis industry and what compliance looks like no matter where you are.

What is GMP?

“GMP” or “good manufacturing practices” is a concept recognized and established in countries all over the world including, but not limited to, Australia, the United States, and Canada. Resources relating to each country can be found on the website of the International Society for Pharmaceutical Engineering.

A lot goes into manufacturing, especially in relation to the cannabis industry. Production involves solvents, or gases, pesticides, or other chemicals, distilling processes, and much more, in which is why GMP is a universal concept so that the products created for use on or in our bodies are safe and unharmful (even if the production process was potentially harmful). If you are familiar with relevant U.S. state regulations, then you are familiar with the discrepancies and specifications involved in tracking and disclosing use of additives, pesticides, etc.

In the US, GMP is overseen by the FDA (US Food and Drug Administration), and their purpose is to “[ensure] the quality of drug products.” They achieve this goal through monitoring and implementing regulations, particularly concerning manufacturing processes and packaging of drug products as well as the integrity of the ingredients and strength.

In the EU, GMP is overseen by the European Medicines Agency, in which their guidance and requirements are outlined. Since medical cannabis is legal in many EU jurisdictions, the regulations are more clearly drawn out, as in comparison to the US, which is legal only by state regulation.

The Australian Department of Health helps Australian licenses navigate GMP. Their guideline is called the “Therapeutic Goods (Manufacturing Principles) Determination” in which they apply their interpretation of GMP while aligning with universal interpretations. Similarly, this document references important subjects such as product quality reviews, risk management, and other safety practices.

There are 10 principles of GMP: define operating procedures and work instructions, follow your defined procedures, document your work, validate work through quality tests, facility and equipment should be well defined, maintain facility and equipment, demonstrate job competence, have good hygiene to protect drugs from contamination, design quality control, and perform regular audits.

Recommendations

GMP is a universal concept, but is also hefty, especially since each jurisdiction has their own interpretation for what this means through their regulations and guidelines. If you are looking to expand into a new location, our recommendation is to do your research. Being prepared is the best way to plan, build, and grow your business which can be done through personal research, contacting professionals, or networking with those in similar roadblocks. GMP, like many other compliance issues, is not a subject to be ignored.

Use the links in this small overview to begin your journey to expansion and let’s continue working together to spread the word about compliance issues and surpassing them.

 

 

 

 

Citations

Australian Government Department of Health. (2017, September 29). Questions & answers on the code of good

manufacturing practice for medicinal products. Retrieved September 27, 2019, from https://www.tga.gov.au/questions-answers-code-good-manufacturing-practice-medicinal-products.

Best video on 10 Principles of GMP | Good Manufacturing Practices. (2019, April 17). Retrieved October 8, 2019,

from https://www.bing.com/videos/search?q=gmp+standards+youtube&&view=detail&mid=11F20B9223A5E893261F11F20B9223A5E893261F&FORM=VRDGAR.

Center for Drug Evaluation and Research. (2018, March 30). Current Good Manufacturing Practice (CGMP)

Regulations. Retrieved from https://www.fda.gov/drugs/pharmaceutical-quality-resources/current-good-manufacturing-practice-cgmp-regulations

GMP Guidelines. (n.d.). Retrieved October 8, 2019, from

https://ispe.org/initiatives/regulatory-resources/gmp/regulatory-guidelines.

Guidance on good manufacturing practice and distribution practice: Questions answers. (2019, August 21).

Retrieved from https://www.ema.europa.eu/en/human-regulatory/research-development/compliance/good-manufacturing-practice/guidance-good-manufacturing-practice-good-distribution-practice-questions-answers#eu-gmp-guide-part-i:-basic-requirements-for-medicinal-products:-chapter-1:-pharmaceutical-quality-system-(new-july-2018)-section.

Lahnakoski , K. (2019, April 18). APPLICATION OF GMP IN THE CANNABIS INDUSTRY.

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The Importance of Process Mapping https://www.365cannabis.com/the-importance-of-process-mapping/ https://www.365cannabis.com/the-importance-of-process-mapping/#respond Thu, 05 Dec 2019 20:01:36 +0000 http://www.365cannabis.com/?p=5845 The post The Importance of Process Mapping appeared first on 365 Cannabis.

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Introduction

Process maps are representations, often visual, of the steps people follow to complete tasks in an organization. These can be broad overviews or step by step instructions. They provide a way for everyone to understand what is going on and where everyone fits in a process.

It’s important to know what you are doing in order to make improvements to that process. Process maps can help you visualize what is really going on in your organization and identify areas that could be improved. They can range from simple linear overviews of one person’s job or long complex, granular chains that outline multiple steps across several departments. It all depends on your business needs.

You can build process maps with just a few basic shapes. Here are a few that you can use to get started:

 

Figure 1 Is a screenshot from the Microsoft application Visio of the basic shapes that you can use.

 

Mapping out what your organization does gives everyone a clear picture of what is expected of them. Managers can see everyone’s role at a glance, and everyone can know where their role fits in the process.

 

Figure 2 is an overview of the article writing process using basic flowchart figures.

 

These kinds of maps allow you to see who is doing what and where work might be duplicated or missed. It lets people know exactly who is responsible for which tasks. Just like a normal map, once you’re oriented, it’s easy to figure out where you are going.

There is, or should be, a reason we do most things in business. There’s an outcome we’re looking for and there are certain steps we take to get there. In fact, looking at the ending point can be a good place to start your process map. Then look at where you begin and analyze the steps you need to take to achieve that desired end.

Not all tasks are completed in a straight line and you process maps can be as complex as your organization. Sometimes there is handoff between departments and some task may need to be repeated as other issues become apparent.

 

Figure 3 is an example of a process map for documentation. This map involves multiple departments and also calls for regular review of information.

 

Here are a few steps to help you get started:

  1. State the starting and endpoint of the process you’re mapping. What’s your goal?
  2. List out the steps you take along the way. Order isn’t so important in the beginning. Just get the information down. What are the important steps along the way?
  3. After you have all your steps figured out, then it’s time to hammer down the order. When should everything happen?
  4. Once you have your process written out, review and make sure everything is correct.

We build process maps to give visibility to the tasks we complete on a daily basis. They help everyone in an organization understand the big picture and where they fit in as well as standardize and repeat processes. You’ll be able to easily identify shortcomings and make corrections.

Maps have always been intended to help us find our way. Two continents are named after a mapmaker (North and South America are named after the Italian explorer and cartographer Amerigo Vespucci). Just goes to show you how important maps can be.

 

 

https://www.microsoft.com/en-us/microsoft-365/growth-center/resources/succeed-with-process-mapping

https://www.pipefy.com/blog/business-process-management/how-to-map-your-processes-a-step-by-step-guide/

https://creately.com/blog/diagrams/process-mapping-guide/

https://blog.buoy.ventures/how-to-map-your-business-processes-4a6934026424

https://creately.com/blog/diagrams/flowchart-guide-flowchart-tutorial/

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HIPAA and Cannabis https://www.365cannabis.com/hipaa-and-cannabis/ https://www.365cannabis.com/hipaa-and-cannabis/#respond Wed, 27 Nov 2019 18:42:50 +0000 https://prod365canna.wpengine.com/?p=5808 The post HIPAA and Cannabis appeared first on 365 Cannabis.

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Topic

Cannabis crosses over in many regulatory environments and since majority of cannabis markets exist due to its medical benefits, it crosses over into the medical regulatory environment. Particularly, medical cannabis is subject to follow guidelines under HIPAA, which outlines the utter importance of medical data security.

How does this relate to the cannabis industry?

What is HIPAA?

HIPAA or the Health Insurance Portability and Accountability Act (1996) provides regulations on privacy of health information, security of PHI (patient health information) and electronic systems, as well as guidelines and penalties regarding confidentiality in the medical field.

Dispensaries and retail stores that sell to patients and store patient information for business swiftness or state regulatory uploads must be aware of the weight of HIPAA. The US Department Of Health and Human Services develops regulations protecting patients, their privacy, and their security. Being HIPAA compliant means that you comply with three main rules: privacy rule, security rule, and electronic data exchange.

The privacy rule involves simple protection of an individual’s health care data. Applying the privacy rule to your business could mean a variety of things, but the end goal has to include protecting the information.

Going hand in hand with privacy, security controls the confidentiality, storage of, and access related to PHI. Meeting this requirement could mean using a SOC 2 compliant software to manage the data of your business, creating controls to prevent unauthorized access, or using secure servers.

Finally, Electronic Data Exchange (EDI) pertains to data exchanged between providers and payers, or in general transmitting data. Another relevant transfer of data is those that go from the dispensaries to the state for proper tracking and statistics. Technology is both your enemy and your friend, make sure that the system you are using is strong and effective at preventing cyber attacks and successful at ensuring controls are working efficiently.

Anytime you come into contact with patient information or it’s easy for others in your business to access it, then you are subject to these security regulations.

Recommendations

There are some simple suggestions to combatting such an immense regulatory environment: don’t discuss patient information; avoid leaving records accessible to others (open POS systems or backfiles); refrain from printing or storing outside the secure system at all possible.

The best recommendation is to find a system that is SOC 2 compliant or has been audited to ensure exceptional security and safety for the information your business encounters. Always air on the side of caution and take impervious approaches to business processes and controls.

Always consult with professionals about the potential consequences regarding patient health information privacy breaches and plan ahead to prepare for worst case scenarios.

 

 

 

 

Citations

HHS Office of the Secretary,Office for Civil Rights, & Office for Civil Rights. (2013, July 26). Summary of the HIPAA

Security Rule. Retrieved September 26, 2019, from https://www.hhs.gov/hipaa/for-professionals/security/laws-regulations/index.html.

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The Cannabis Industry and 280E https://www.365cannabis.com/the-cannabis-industry-and-280e/ https://www.365cannabis.com/the-cannabis-industry-and-280e/#respond Thu, 21 Nov 2019 20:31:34 +0000 https://prod365canna.wpengine.com/?p=5777 The post The Cannabis Industry and 280E appeared first on 365 Cannabis.

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Topic

Running a business in the cannabis industry is already a tricky operation to navigate, and this is without the extra hardships of marijuana being a controlled substance by federal law. In 1982, the congress enacted a law, §280E, that clarifies the lack of business deductions available to those who run a legal business with an illegal substance. How does this affect our businesses today?

What is 280e?

In 1981, a cocaine trafficker went to tax court to plead his case as to why his business should be allowed to file taxes in a similar way as any other business and, low and behold, he won the case. The next year, congress created 280E to discourage businesses from trafficking illegal substances.

Section 280E reads that “no deduction or credit shall be allowed for any amount paid or incurred during the taxable year” for businesses operating by “trafficking in controlled substances”. This also includes deductions for regular business expenses such as paying your employees, phone and electric bills, and rent for your property. In a typical business, you can deduct your expenses incurred against your gross receipts to diminish your taxable income and therefore pay more reasonable taxes. Although marijuana businesses bear legality in many states, their tax liabilities are exceptionally larger than those of other businesses because their taxable incomes very closely resemble their gross incomes. A marijuana business may, however, still remove their costs of goods sold out of their gross revenue, which typically includes inventory costs or direct costs to products.

 

The example below, built out by the NCIA, depicts how this affects a marijuana business.

Recommendations

In a Forbes article, by Jonathan Gass, he outlines one business strategy that has held up in court which entails dividing your one business into two. By separating your business, you can elect one as your primary marijuana business using the costs of goods sold deduction as your biggest advantage and the other business can be used to pay your employees, bills, and rent allowing regular business deductions. Tax planning is complicated, work with a CPA or professional to best plan your business structure.

365 Vertical recommends for situations such as this one, to work with professionals (CPAs, tax lawyers, etc.), acquaint yourself with current industry dilemmas, and work with others in the industry. We know that working in this industry can be tough and extremely rewarding, so keep up the good work and let’s continue working together to maneuver roadblocks such as 280E.

 

 

 

 

 

Citations

CREATING AN IMPOSSIBLE SITUATION FOR LEGITIMATE BUSINESSES . (2015), 1–11. Retrieved from

https://thecannabisindustry.org/uploads/2015-280E-White-Paper.pdf

Gass, J. (2018). What Cannabis Entrepreneurs Should Know About Tax Section 280E. Retrieved from \

https://www.forbes.com/sites/theyec/2018/07/24/what-cannabis-entrepreneurs-should-know-about-tax-section-280e/#535c63f57377

Luna, S. (2018). 5 EFFECTIVE WAYS TO LOWER YOUR 280E TAXES. Retrieved from

https://www.avivaspectrum.com/insights/5-effective-ways-to-lower-your-280e-taxes

Thomas McElroy, Jr., I. R. S. (2015). Taxpayers Trafficking in a Schedule I or Schedule II Controlled Substance –

Capitalization of Inventoriable Costs, 1–8. Retrieved from https://www.irs.gov/pub/irs-wd/201504011.pdf

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Hemp Interim Final Rule Highlights https://www.365cannabis.com/hemp-interim-final-rule-highlights/ https://www.365cannabis.com/hemp-interim-final-rule-highlights/#respond Thu, 14 Nov 2019 18:14:56 +0000 https://prod365canna.wpengine.com/?p=5748 The post Hemp Interim Final Rule Highlights appeared first on 365 Cannabis.

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As of October 31, 2019, the USDA finally released an Interim Final Rule regarding the 2018 Farm Bill update further legalizing and standardizing the regulation of Hemp nationally. The document will remain an interim draft allowing comments until December 30, 2019 which supply the USDA with further information for their final publication which will be implemented at maximum two years from the date of this interim rule.

Hemp was previously defined by the 2014 Farm Bill as “Cannabis sativa L with only 0.3% THC potency on a dry weight basis,” which is how we have known it since. Research at higher education institutions, state departments of agriculture, and market research was permitted with the 2014 bill which led to consumer trials and releases of the wide-known term “CBD” gummies, oils, infused products, etc. With the assumption that hemp production would continue to grow and expand, the USDA released the 2018 Farm Bill as a follow up which removed hemp from the controlled substance list and left more flexibility for state and tribe programs.

The most beneficial result of decontrolling hemp is being able to transport and distribute it across state lines without penalty, which penalized many producers since 2014. The new interim regulations have clarified that producers may begin applying to produce hemp through the USDA program 30 days following the effective date of the rules (applications will be accepted starting November 30, 2019). In the meantime states and tribes are given the opportunity to implement programs in which producers would apply for a license through their specified state or tribe instead of USDA. This 30 day process time ensures producers won’t have to apply to both the USDA and their state, but just the closest overseeing program. Those that were permitted to cultivate under the 2014 bill have extended allowance to do so for the 2020 planting season (or for 12 months after the date of the 2018 bill).

The USDA stresses the utmost importance of the DEA required testing and sampling obligations to ensure potency. With cannabis still being on the controlled substance list, hemp must remain at the permitted potency level (0.3%) or within range of 0.3% with a measurement of uncertainty. The bill also discusses fluctuating potencies based on seed and agricultural location, so proper procedures and testing is very relevant to a hemp producer or someone looking to get into the industry.

With all this new information available, what should be taken away from the standardized hemp regulatory framework?

  1. Read through the regulations and take advantage of the USDA asking for comments, input, advice, and feedback. Since they are requesting feedback and some practices may be more reasonable by nature, it’s important to send information if you feel the bill has not met your production needs.
  2. Standardize your processes and procedures for testing. Since this testing result is what draws the line between a federally legal substance and a controlled substance drug, this is now the most vital piece of your business.
  3. Look out for what your state or tribe will propose (if anything). The USDA is offering to be the authority to oversee licenses, but are encouraging states and tribes to set up programs in place of that.
  4. Business and market data calculations and information. The USDA used a series of scenarios and calculations in the bill to address various aspects of the hemp industry, which can be a great tool for someone looking to get into the market.

 

For more information regarding applications, testing procedures, bill history, and reporting requirements visit the newly drafted interim regulations on the USDA’s website.

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Guest Blog: Compliance is for the State. Traceability is for your Business https://www.365cannabis.com/compliance-state-traceability-business/ https://www.365cannabis.com/compliance-state-traceability-business/#respond Thu, 07 Nov 2019 18:13:16 +0000 https://prod365canna.wpengine.com/?p=5728 The post Guest Blog: Compliance is for the State. Traceability is for your Business appeared first on 365 Cannabis.

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At any given time, there is a Delta9 Systems team member in California, Washington, Ohio, Michigan, and North Carolina. We travel a lot to be with our clients and customers. The cannabis business environment across the nation is dynamic, so it’s vital that we be out visiting with our customers where they are doing business. Each state is its own little microcosm of the cannabis industry, with its own unique blend of MMJ, Rec and Hemp laws. The micro-market in each state means there are unique challenges and advantages, and we need to be familiar with each one in order to serve our customers effectively.

 

Regardless of the market there is one constant all operators must contend with. All state governments require the cannabis producers and processors in the supply chain to keep real-time information about five main metrics: plant counts and stages, current inventory, the actions and conversions performed on that inventory, any transportation from one license to another, and records of any and all sales. When these records from cultivators are combined with the sales data from retailers, this data set is called the Seed-To-Sale record. This is the chain of custody record that will be used by regulators to ensure no diversion is taking place into the black market, tax revenue is collected, and that a recall is possible should there be any problems with contamination in the supply chain.

 

Some states demand up to the minute reporting, others ask for a monthly accounting. These reports are required to maintain compliance and keep the license operating in good standing.

Delta9 Systems is an industry-leading hardware provider for cannabis businesses

 

In most states the regulating body in charge of cannabis will contract with a software service provider such as METRC, BioTrack or Leaf to handle industry data and present it in an actionable way for regulators. This reporting service is free for use by Producers and Processors, and each licensee is given a log-in to the system that is associated with their cannabis license. Reporting requirements are similar to DOR or DOL reporting obligations. While these 5 metrics are crucial, these numbers are what regulators need to track to not run afoul of federal guidelines. Cannabis entrepreneurs need to collect this data and much more to be successful…

 

This is where a Third-Party Integrator (TPI) is crucial. The Third-Party Integrator allows Producers and Processors to record and report the 5 mandatory data points to the state, while simultaneously capturing the incredible amount of intricate data generated by modern gardens and labs. As cultivators move through the compliance workflow, data about COGs, consumable depletion and inventory, scheduling, personnel, HR, and production processes can be collected and referenced while maintaining a compliant cannabis business.

 

We see the benefits becoming more apparent as time goes by in the shops that use TPI’s. The biggest benefit we see that TPI gives its users is the ability to get very specific with production scheduling and communicate that schedule efficiently. Scheduling becomes more and more important the larger an operation becomes. The gardens that always have plants ready for Mothers, Clones and Veg will always be flowering and more importantly, harvesting. Being able to use that schedule in conjunction with SOP’s means employees come to work with a list of tasks waiting on their daily dashboard. They can then mark each task, pulled from SOP’s and auto assigned to each employee, as complete and sign off on to make sure the job is done, accountability is established, and compliance is maintained.

 

Measuring productivity, and eliminating inefficiencies using the historical record generated by these Enterprise Resource Planning tools, or ERP, has a cumulative effect over time. Delta9 Systems consults with many different customers, some who use TPI/ERP, and some who don’t. As the Industry gets more mature, we are seeing huge structural advantages in the businesses who are implementing TPI. The seemingly tiny savings add up and have an exponential effect. Having data to make decisions saves time and resources, which translates to money. Using historical sales data allows a better planning for each round. We expect to see these advantages increase exponentially as margins continue to shrink and competition becomes fiercer.

 

365 Cannabis is working with the team at Delta9 Systems to verify hardware that is plug and play. Based on the Microsoft Dynamics 365 Business Central platform, this system delivers the robust workflow support that cannabis pros need. The cultivation tracking is very simple, but the processing workflow tracks COG extremely well through each operation, and the sales tools are hard to beat. It integrates seamlessly with other Microsoft productivity programs you might already be using so the training and ramp up is simple. The scheduling tools give cultivators a great way to plan for orders months in advance, and create plants based on pre-orders. Most importantly, because it is windows based, you won’t have problems with drivers or software compatibility. Schedule a demo today!

 

This article was provided by Delta9 Systems

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