Rationalization Helps Pharma Giant Optimize IT Landscape; Cut Costs

The Situation

One of the largest pharmaceutical companies in the world based out of New Jersey had the vision of discovering, developing, manufacturing and marketing a broad range of innovative products to improve human and animal health. The company’s commitment to technology has been diverse and spread across the globe. Currently however, the company is looking to optimize its technology investments and save costs.

The Solution

Capgemini’s unique Wide-angle Rationalization Program (WARP) is a revolutionary and accelerated approach that brings enterprises up to full speed in rationalizing their application landscape and lifecycle. As a solution to the company’s concerns, Capgemini’s WARP team identified a set of targeted options to help the company reach its vision of 15% savings in TCO. Various elaborate strategies were devised for this, which included simplification of the application landscape by removing unused applications, reducing the technology stack diversity to guarantee easier control and compliance, identifying, eliminating or replacing the high cost user applications, and managing low cost applications (<€10.000/year) only in bigger packages.

Operational excellence would be achieved by bringing down the cost per ticket for applications with extremely high value for cost per ticket, consolidating multiple vendors, and outsourcing local support to low cost locations.

The Result

Capgemini’s WARP strategies resulted in a proposed potential savings of $3.568 Million. These can be achieved by a strategic mix of consolidation of applications, retiring obsolete and unwanted applications, streamlining business processes and ensuring vendor consolidation. After successful implementation of the solution in Europe, the company has engaged Capgemini to scale up the solution to Asia Pacific and subsequently for remaining geographies.