Business Process Optimization for a Pharmaceuticals Manufacturer

Background


A leading pharmaceutical company had centralized processes related to Finance and Accounting, Supply Chain Management, Travel Management, Export Incentives and Payroll Processing and created a Shared Services Center (SSC) to execute them. Although the SSC had been operational for about a year since its inception, the lack of clarity on how each business process had to be executed resulted in various operational challenges.

By engaging Parikar, the SSC wanted to fortify its operational capability by:


  • Development and establishment of a process audit framework and function
  • A framework for engagement between various departments within the organization along with clearly defined SLAs
  • A performance measurement framework to enable both the SSC leadership and its stakeholders to evaluate the effectiveness of the center
  • The creation of a transactional quality team that could measure and identify improvement opportunities within the teams



Methodology and Analysis :


The Parikar project team that was commissioned to work on this project collaborated with the process owners of different teams to understand the current manner of execution of various processes. The team then worked on definition of improved 'future state processes' that enhanced process efficiency and increased satisfaction of internal customers. The team also assessed the potential for failures within processes and their impact on internal customers, employees and the organization.


Parikar's team partnered with the SSC in identifying methods to eliminate these failure points by changing the manner in which a process was executed or by mitigating the impact of these failures, should they occur, by incorporating stronger checks and controls in the 'future state' process. These improvements were an amalgamation of technological alterations and personnel driven actions.




Results


The result of this engagement was a comprehensive operating standard for SSC. This standard comprised of detailed processes and standard operating procedures for SSC personnel, a measurement framework with metrics for measurement of process performance and a listing of potential further improvement within each process.


This standard has enables the organization to follow processes that focus on efficiency, effectiveness and customer satisfaction; this standard also paves the way for a culture of improvement within shared services in the organization.