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Pharmaceutical Distributor IT Strategy Development
 

Pharmaceutical Distributor IT Strategy Development



Background


The information technology group within the client was challenged to support an enterprise that was expanding due to corporate acquisitions. The processes to formally incorporate the acquired entities were not mature. As a result, the IT group had multiple infrastructures and processes that were not positioned to respond to the increasing demand for IT support and was unable to adopt emerging technologies in a timely fashion. Their choices were to either build their IT capabilities internally or through a service provider. The W Group was engaged to develop the sourcing strategy to address that decision.

Approach


The W Group provided a small team of skilled industry experts to work with the client team. The joint initiative assessed the existing IT resources, processes, metrics, support infrastructure, applications and strategies. The IT costs were researched, validated, and assembled into a detailed cost model. The W Group utilized a structured approach to customize discovery templates specifically for the client environment and culture. We assessed the environment across several dimensions:

Key stakeholder interviews – surveyed and documented the effectiveness, efficiency, and flexibility of the current IT environment.

Business strategy – examined the synergies between the business strategy and the IT support strategies across the corporate level and the various business units.

Financial analysis –built a detailed base case model, applying our industry expertise and working with the management team to organize the financial data and develop a detailed IT strategy.

Service and technology model – created detailed scenarios based on the assessment findings, market offerings, and best practices. We considered the current infrastructure, application maturity, human resources, and business strategies. Provided a SWOT analysis for each of the strategic scenarios.

Strategy selection – led the executive management team through the evaluation of alternatives using a structured decision process.

Results


The client elected to outsource their IT infrastructure and applications operations.

This decision took into account the costs to build internal capabilities to support the strategic direction of the business and the forecasted growth.

It assessed the capabilities of tier-1 service providers to deliver the same IT services.

This strategy met the goals for IT support of the expanding business requirements and flexibility to deliver cutting-edge technology on demand.                                                                                                                                                                                                                                                                                                                                               
 
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