CVS case

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CVS case

  1. 1. CVS/PHARMACYCase Analysis for Team 5 Class 2 Fudan-MIT IMBAOperation Li Songping Yin Xiaojun Yang Xi Yu Qian PeterManagement
  2. 2. Problem Diagnostic 7.2 million regular pharmacy customers left CVS during the year $2.5 million loss of revenue Non satisfying customer service Pick up: dissatisfied & angry customer, and stressed sales people Malfunctioned Process
  3. 3. Problem Diagnostic (Cont.) Drop Off  No one manning drop-off station Data Entry  No refills allowed on script (6%)  DUR hard stop (20%)  Insurance problems (17%) Production  Insufficient inventory Quality Assurance (None Identified) Pick up  Unauthorized refill  Script not ready  Script not covered by insurance  Long lines of angry customers in rush hour
  4. 4. Original Process FlowchartDropScrip Pick up t Invisible LinePut Hard Packag in Stop eslotData Insurance Producti Refill DUR QAEntry Check on Dr. Call Ask for Dr. Denial bin approval Box Reach Dr.? Dr. Call Back Bin
  5. 5. Recommendations to CVSPrinciples Improvements Doesn’t degrade safety at all  Drop off, data entry, Decreases waiting time insurance check – all done while customer is present. Improves customer satisfaction  Call center & Action noteInformation System Building Compliance Design  Be simple Standardization  Be Intuitive Monitoring  Make sense
  6. 6. Recommendations to CVS (Cont.) More processes in the Drop Off stage and over the visible lineInvisible Line Data entry Inscurance check Refill check
  7. 7. New Process Flowchart Drop Custome Scrip Pick up r Leave t Action Consultation note Data Insurance Refill Entry CheckInvisible Line Dr. Call Packag Reach Dr.? DUR bin e Dr. Call Back Ask for Hard approval QA Bin Stop Dr. Productio Denia l n
  8. 8. Other necessary support Two counters at the drop off zone:  Drop off counter  Customer service counter More tech at the drop off zone, especially in rush hours Improving cooperation with doctors and inscurance Improving call center
  9. 9. Thank You!Q&A

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