Consistent Infrastructure Saves Pharmaceutical Firm Millions
Summary
In 2000, a leading pharmaceutical company cut costs and increased efficiency by outsourcing its IT infrastructure to a U.S. based provider. By 2006, the company needed a single-source infrastructure linking all functions, markets and regions in 60 countries. The company wanted a consistent infrastructure globally, so that new technologies could be rolled out more quickly and efficiently.
Client challenge
Lacked experience negotiating outsourcing rates and contract terms
Needed a sole-source environment + a strong relationship with a large provider
Wanted an independent advisor to manage renegotiations and ensure good rates
Alsbridge was chosen to help the provider develop the solution and handle negotiations.
How Alsbridge helped
Project Management – reviewed objectives, formalized team processes, assigned roles and responsibilities, refined the existing due diligence plan and created a detailed project plan to lessen risk and meet project deadlines
RFP Creation – assisted with solution development and the creation of a detailed but flexible RFP
Benchmarking – provided benchmarking data on pricing and contract terms from Alsbridge’s industry-leading database, using deep, wide and easily accessible data and research gathered during 20 years’ experience in the sourcing industry.
Benefit
Executed a seven-year contract worth $1.7B that satisfied client and provider
Improved and broadened services to stringent Service Level Agreements (SLAs)at a lower cost than the original contract.
Saved tens of millions of dollars per year through use of benchmarking, market intelligence, detailed service requirements, and Alsbridge advisors’ expertise.
