Four Core IT Applications Paper - Essay Example

Globalization and the advanced Information technology (IT) has changed the way organizations work and it is essential that they have the system in order to respond to the rapid changes. Health care system is one such area where IT has been extensively used in discharging healthcare service and competing in the global market. Pfizer is one such concern which has automated its processes and found that use IT has fetched it substantial returns. Technology has led to innovative strategy in collaborations and partnerships too. Companies like Pfizer are partnering with technology firms to enhance customer experience. Due to increased demand from customers, companies are opting for customer relationship management (CRM) which is a strategic relationship management process that combines the best business practices, resources, knowledge and appropriate CRM software to serve personalized customer needs and to increase customer loyalty (Smith, 2006). Pfizer uses a full-scale CRM solution coded on the Microsoft .NET platform, which runs on Windows 2003 and SQL Server that is primarily accessed over the Internet and is hosted at a third-party IDC (Gupta & Khanna, 2001). Customer data analysis is a key part of CRM. Pfizer, one of the world’s leading pharmaceutical companies is utilizing the services of a leading IT solutions company to manage its sales force globally. Using a popular CRM tool, Pfizer plans to integrate data from over 10,000 sales persons spread across Europe. The tool captures data regarding each salesman’s hospital visits, visits to the doctors, distribution of free samples, and their feedback (Smith). Basic data includes doctors’ and chemists’ profiles. This helps to determine the type of prescription the doctor generates, the profiles of his patients, whether or not he is price sensitive and how quickly he prescribes new drugs Gupta & Khanna). It also captures data of his social gathering and the events that he attends. The CRM captures the buying power of the chemists in addition to the general profile. This data helps the organization to determine and identify markets that is likely to give good returns. CRM also helps predict the stock requirement pattern. This enables it to use the just-in-time (JIT) technology for scheduling manufacturing and delivery so that unwanted stocks are not carried. This data is then integrated, analyzed, and presented in a format to help the higher management take strategic decisions. To encourage a health culture and offer preventive services, diagnosis, treatment information, and follow-ups, to support both doctors and patients in Mexico, Pfizer launched a three-pronged CRM program (Descombes, n.d.). They set up mobile Pfizer Diagnostic Units (PDU) to diagnose patients free of charge, after which the potential are encouraged to visit physicians and start treatment. The third step involves a follow-up program to cement relationships and provide measurement of key performance indicators. By earning the respect of patients they were able to expand their patient base and build long-term relationships. They could do this through CRM and compliance programs and that too without alienating the physicians. People were also weighed and measured to calculate their body mass index. Blood pressure and cholesterol levels were checked and while the patients waited for the results, they were encouraged to fill out survey forms. In a customer satisfaction survey conducted by Pfizer, 99 percent of the people who had visited or used the PDU in 2004 rated the service as ‘good’ or ‘excellent’. Those who did not have a regular physician were referred to physicians. These physicians who received referrals from the PDU doctors were more receptive to Pfizer products. The data collected by Pfizer through this program was the first of its kind in Mexico and is being used by the Ministry of Health to determine the prevalence of certain diseases in the country. Partnering with technology, Pfizer is able to provide customer satisfaction, enhance customer experience, and reap benefits for the company and for the nations as well. Pfizer is going to be the first healthcare company to use radio frequency identification (RFID) to fight pharmaceutical fakes. It has initiated a tag application verification process for Viagra sold in US. As each bottle is packaged, a high frequency tag is applied. An RFID interrogator encodes an electronic product code (EPC) to each label, after which a second interrogator verifies the tag has been successfully encoded (Medianews, 2006). Pfizer also records chip ID and EPC is a different database. Over a secure internet connection the authenticity of each tag’s ID and EPC can be verified whenever products are delivered to wholesalers and pharmacies. If the ID does not match the records, the service sends notice to quarantine the product and simultaneously the company takes steps to process suspected cases of counterfeit drugs. I work at Wal-Mart which uses electronic data interchange (EDI) for collecting and analyzing sales data and then transmitting orders to suppliers. Wal-Mart uses technology to provide customer satisfaction, everyday low-pricing and enhance customer shopping experience. They use the Cisco network which helps to support the corporate vision. The Wal-Mart connects more than 2400 stores and more than 100 distribution centers worldwide (Cisco, n.d.). It maintains low prices and the shelves are never empty. Wal-Mart employs RFID and more than 100 suppliers comply with its RFID-enables inventory processes (Sullivan, 2005). Pfizer and Wal-Mart both capture data but Wal-Mart has an added area to track. Pfizer does not need to keep track of daily prices of drugs while Wal-mart has to change its prices daily. Pfizer does not have to concentrate on customer shopping experience but being a pharmaceutical firm, they concentrate on offering preventive services, diagnosis, treatment information, and follow-ups. This helps to boost sales of its drugs. Both are similar in employing the use of RFID although Pfizer is just introducing while Wal-Mart will now step into the second phase of RFID. This technology helps in keeping the fakes out of circulation. Pfizer too is service-oriented and competition forces it to employ latest technology and maintain regularly updated profile and database of doctors and chemists, which is not required by Wal-Mart. Pfizer, is in the business of life saving drugs and hence caution is essential while Wal-Mart is in the business of life style goods. Pfizer uses enhanced technology at each stage while Wal-Mart’s technology is latest in ensuring the supply of right goods in the market. Both are conscious of getting the right supplies in the market which also ensures its corporate image while providing efficiency in operations. References: Cisco (n.d.), The Wal-Mart Story, 15 Oct 2006 Descombes, E. (n.d.), Prevention is Lifetime Value, 25 Sep 2006 Gupta, D & Khanna, S (2001), Customer management at Pfizer’s, 15 Oct 2006 Medianews (2006), Pfizer to Use RFID to Combat Fake Viagra, 15 Oct 2006 Smith, A. (2006), CRM and Customer Service: strategic asset or corporate overhead? Handbook of Business Strategy, pp. 87-93 Sullivan, L (2005), Wal-Mart Looks To New Uses For RFID, 15 Oct 2006 Read More