Selected Pharmaceutical and Healthcare Assignments

Strategic sourcing

This organisation was created following the recent merger of four European pharmaceuticals companies (Italian, German, and two UK companies). There was a cost saving target of $4million from ‘indirect’ materials through targeted aggregation of demand across the companies via harmonised processes, specifications and suppliers. Crimson & Co was engaged to set up and manage the project from assessment to delivery of efficiencies.

Results

• Savings of $4.8m
• Pan European contracts introduced
• Common ways of working established
• Robust savings measurement
• Process efficiencies delivered

Temporary staff sourcing

This European pharmaceutical had 12 major agency suppliers (with spend greater than  €100k), making up a total spend of €3.7m. Processes for identifying and fulfilling requirements differed across sites and sometimes across departments. Crimson & Co led a category team based approach, as part of a larger strategic sourcing project.

Results

• Saving of  $500k (14%)
• Single source European agreement
• Excellent  buy-in from HR across Europe
• Standardised job roles and specifications
• Free training and induction by supplier

Clinical trials sourcing

The clinical research department of a leading pharmaceutical company contracted each clinical trial on a trial-by-trial basis with no procurement involvement. Processes differed between clinical leads for identifying and fulfilling requirements. There was no standard contract or approach. Crimson & Co led a strategic sourcing process to reduce cost whilst enabling longer-term arrangements with key providers.

Results

• Saving of >$2m on pilot trials
• Global frameworks established
• Excellent buy-in from clinical research
• Standardised documents (RFI, RFP)
• Menu pricing for key treatments

European business transformation project

We transformed this client by: leading a rapid impact programme that successfully raised ‘on time in full’ service levels to customers from 8% to over 90% in six months; reducing lead times significantly through reduction in the planning timeframes; and, developing a strategy for their distribution infrastructure that provided better service levels at a lower operational cost.

• The project achieved 91.6% OTIF within six months
• Internal capabilities developed
• Moved the business from monthly to weekly planning cycles
• Significant lead time reductions, from 12 weeks average to 4-8 weeks
• Five-year European logistics strategy developed with benefits of over £9m pa available