Case Analysis Midwest Pharmaceutical PDF

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FEBRUARY 2021

Case Analysis Report for Logistics and Supply Chain Management MGMT-6082 Domestic & International Sourcing

Lawrence Kinlin School of Business – Fanshawe College – London Ontario

MIDWEST PHARMACEUTICAL

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MIDWEST PHARMACEUTICAL

Case Analysis Report For Midwest Pharmaceutical Prof. Neil Bishop MGMT-6082 Domestic & International Sourcing- Logistics &Supply Chain Management

Greeshma Madhavan, Student ID – 0946595

Date: 02/05/2021

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MIDWEST PHARMACEUTICAL

Contents Executive Summary.................................................................................................... 5

Case Study................................................................................................................. 6

Company Background................................................................................................ 6

Problem statement...................................................................................................................

...6

Main Issue..................................................................................................................................................................... .......................6 Other Issues................................................................................................................................................................... ...........6 Assumptions......................................................................................................................................................... ...................6

Internal Analysis......................................................................................................... 7

External Analysis........................................................................................................ 8

Alternative solutions & Recommendations.................................................................9

Final Recommendation ……………........ ………………………………………………………….10 Recommendation Implementation Timeline………………………………………………….… 11 Conclusion……………………………………………………………………………………………… 12

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Reference………………………………………………………………………………………………12

Executive Summary Mid-West Pharmacy produces a wide range of prescription and non-prescription drugs in the manufacturing process. The organisation has over 15,000 customers globally, including healthcare teams, hospitals and government accounts. They aggressively sell their unprescribed goods to clients through physicians and department drug stores without direct promotion to customers. The main issue in the Pharmaceuticals is lack of communication and collaboration between departments. They also faces other issues like delay in mailing specimens, shortages of specimen so on laying with main issue. The probability of losing their customers, suppliers, clients and decrease in demand was their major fear. The recommended solution of adapting the e-procurement software is a great solution for the problem. After the processing of about 3 months the result of their progress can be noted. The creation of minor disputes into a big problem is prevented through early detection. Any conflict that interacts with the movement of labour undermines a need for commitment to efficiency.

MIDWEST PHARMACEUTICAL

CASE STUDY COMPANY BACKGROUND Lethbridge-based Mid-West Pharmaceutical is active throughout the manufacture of a large variety of prescription and non-prescription products. The business has more than 15,000 clients worldwide, which also healthcare teams, hospitals and government accounts. Without direct promotion to consumers, they actively market their non prescribed products to customers through doctors and department drug stores. [ CITATION Fan212 \l 1033 ] PROBLEM STATEMENT MAIN ISSUE Both the marketing and production divisions operated well together in the own divisions of Mid-West. Nevertheless, there have been many communication challenges as they work together. This led to disagreements and poor communication among the divisions that had a significant effect on the company's performance. With the distribution of authority and responsibility between the different departments, there was always misunderstanding. Throughout the situation of contract filling, for any ordered products which had to be packed by the facility, the purchasing department was also responsible for the overall selection of the suppliers. This caused the already existing problem even worse as marketing management took the choice without talking with the buying department. OTHER ISSUES  Non-accessibility of sales representatives when needed.

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Mailing delay for samples. Printing flaws in the list of mailings Tablet shortage In the room, there are still a significantly higher proportion of outdated products that were not recognized by the marketing department when agreeing to fill 100% of the offer with John. This will contribute to needless stock-piling.  The purchasing department is being pressurised by unexpected specimen demand. In a brief notice that made the marketing department anxious, assistant    

purchasing manager William still neglected to organise them.  Conflicting priorities within each department remain.

ASSUMPTIONS  Needless stacking of inventory would render the specimens redundant and decay over time.  Stinson Packaging could probably be the best provider than that of the current one.  The Department of Marketing trusts in accountability when working with vendors.  Mostly with buying team, the marketing department has great expectations when making abrupt demands.  Until creating any plan concerning product acquisition, the marketing department is responsible to the purchasing department.

PROBLEM CAUSES INTERNAL ANALYSIS Strengths: 1. Loyal customers all across nation Mid-West has around 15,000 customers across Canada, including hospitals and government accounts. The major part of Canada believes in their specimens and prescribed products.

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2. Promotional activities using agreements In order to promote store brand sales, sales agents make doctors register documentation requesting extra specimens at frequent intervals. This technique of marketing increases their potential strength and demands in the sector. ·

Weakness: 1. Lack of equipment facilities There was a lack of facilities in the Mid-West to fit modern types of packaging tablets to make it more attractive. As they wanted to meet some unexpected requirements, they have to create a high speed workspace. 2. Few sales personnel Sales agents are not accessible when general disruptions are necessary. Lack of sales personnel can give a negative impact on the pharmaceutical’s progress and demands. 3. Lack of contact The absence of communication among department’s teams affects the company's operation significantly. The marketing management and purchasing management in the pharmaceuticals functions in a different manner were they fail to keep the co-ordination of the company. EXTERNAL ANALYSIS Opportunities: 1. New suppliers

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Ability to communicate with new consumers with reduced rates and new offers. Opportunity to work with new suppliers also helps them to build new strong relations through which they can achieve a good market reach. 2. Advancement and Expansion Increasing the amount of clients with advanced technologies can give a very good impact on the business to grow into multiple areas.

Threats: 1. Competitors Businesses face a high competitiveness from other Canadian drug manufacturers and pharmaceuticals. The delay in their operations gives positive ways for other competitors to lead in the market and expand their reach. 2. A lack of teamwork and collaboration This can lead in to significant conflicts in the company which may result in the threat of losing current loyal customers including decreasing the demand and loosing clients. ALTERNATIVE SOLUTIONS & RECOMMENDATIONS 1. Developing a Cross- Functional Team A cross-functional team is a group of individuals drawn together by a common mission of various specific skills. They are often developed as a result to a project that needs the knowledge of numerous departments. It can be done in different departments as

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well as different teams in the departments. Creation of Team Identity and encouraging frequent communications in the Pharmaceuticals should be the main objectives with a cross functional team.

It creates opportunity for the employees and employers to

communicate actively. [ CITATION Pin19 \l 1033 ] Advantages Encouraging skills and interaction For the success of Midwest, good communication is the foundation of every team. This is a skill that can make your team or ruin it. The exchange of ideas between crossfunctional teams is facilitated by direct and descriptive communication. Accelerating new concepts Cross-functional groups are said to be a measured commitment for teams to take advantage of efficiency and work collectively. It's because a successful project provides fresh insights that creativity comes with.[ CITATION San21 \l 1033 ] Disadvantages  Disconnecting Technologies 

No Calculating Impact Process[ CITATION Mag20 \l 1033 ]

2. Providing Specific Job Description Giving assigned Job description to each department and separately to each employee reduces the maximum problems created in the Pharmaceuticals. So the employees try to concise their tasks and divide them. So everyone is aware of their duties and responsibilities whereas it should be made and accepted by everyone in the Company. 3. Adapting E-procurement Software Procurement software is a type of enterprise technology that lets to automate organisational procurement process. Successful e-Procurement management ensures efficient operations of the company. This saves a lot of time, money, and also electricity. Proper procurement findings validate that all services and products are acquired effectively, with the top income needs in mind.

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FINAL RECCOMENDATION Adapting E-procurement Software Procurement software is a type of enterprise technology that lets to automate organisational procurement process. Successful e-Procurement management ensures efficient operations of the company. This saves a lot of time, money, and also electricity. Proper procurement findings validate that all services and products are acquired effectively,

with

the

top

income

needs

in

mind.

It

also

allows

avoiding

miscommunications as the automated system updates each and every information available to all departments. Advantages Exposure Get unified access to all the data through e-Procurement. To find places where you can enhance your procedures, hunt down an invoice and review documentation. This could include monitoring places where permissions take the maximum and could be reduced, suppliers with whom you waste money (and might find a better deal). The automation Poor communication is a common issue with existing systems. In the fake info, a person joins. A database is mishandled by a person. An individual takes a vacation and, until they depart, does not accept a purchase order. To cure these serious ailments, advanced e-Procurement networks utilize automation. The Budget control For any organisation, expenses are a fact, and a symbol of a successful system of eprocurement. Budget estimates are all performed by paper or in databases using a standard scheme. There is poor visibility, no clear means to implement over-budget procurement permits, and some destruction can be spelled by one incorrect button. [ CITATION Sta21 \l 1033 ] IMPLEMENTATION TIMELINE

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Recommendation Implementation Timeline No.

Action Plans

W E E K 1

W E E K 2

W E E K 3

W E E K 4

W E E K 5

W E E K 6

W E E K 7

W E E K 8

W E E K 9

W E E K 10

W E E K 11

W E E K 1 2

Recognizing the requirements for Eprocurement Selecting the supplier Identifying flaws in the system E-procurement strategy preparation Reducing Inefficiencies Evaluating the outcome and performance

CONCLUSION Normally, managing conflicts between different departments in the workforce needs additional collaboration and cooperation. Conflict inevitably exists when two separate parties have opposing objectives. The creation of minor disputes into a big problem is prevented through early detection. Any conflict that interacts with the movement of labour undermines a need for commitment to efficiency.

Reference Fanshawe Online. (n.d.). 2021 - MGMT-6082 - CASE - WINTER SEMESTER - INDIVIDUAL GRADED. Retrieved 02 05, 2021, from Fanshawe Online: https://www.fanshaweonline.ca/d2l/le/content/1115656/viewContent/9392624/View Jandrell, S. (n.d.). What are the benefits of eProcurement? Retrieved 02 05, 2021, from Fraxion: https://www.fraxion.biz/blog/benefits-of-an-e-procurement-platform Kashyap, S. (n.d.). 8 Key Benefits of Cross-functional Team Collaboration (and how to improve). Retrieved 02 05, 2021, from ProofHub: https://www.proofhub.com/articles/benefits-of-cross-functional-team-collaboration

MIDWEST PHARMACEUTICAL Millard, M. (2020, 07 08). Top 5 Challenges Faced by Cross Functional Teams. Retrieved 02 05, 2021, from KaiNexus: https://blog.kainexus.com/employee-engagement/cross-functional-collaboration/top-5-challengesfaced-by-cross-functional-teams Pingboard. (2019, 10 19). 10+ Best Practices & Strategies for Cross-Functional Team Management. Retrieved 02 05, 2021, from Pingboard: https://pingboard.com/blog/10-best-practices-strategies-for-cross-functionalteam-management/...