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Strategic Growth Process
•2
Part:
1. Introduction
2. Changing Industry Trend of Pharma
3. Criteria for Selecting Offshore Strategic Partners
4. Strategic Partnership Process
5. Strategic Partnership Requirement
6. Risk and Mitigation
7. Benefit of Strategic Partnership
Index
www.stabicon.com
Strategic Relationship Team
Part - 1
Introduction
www.stabicon.com
Strategic Relationship Team
Changing Industry Trend of Pharma
•4
Present Pharma Industry Challenges
• Revenue under pressure
• Cost and risk of developing new drugs are increasing
• Globalization
How to Over Come the Present Challenges
Corporate restructuring
i ) Consolidation within industry, refocusing on fewer business lines
ii) Adoption of risk reduction strategies
iii) Acquisition rather than development, Use of Joint ventures
www.stabicon.com
Strategic Relationship Team
Strategic Partnership Region - Pharma
•5
India
(Best mix of IT &
Scientific breadth and
depth of Technical
Skills with
strong English
language
and 24x7 support)
China
( Large labor pool,
but Language is an
issue)
www.stabicon.com
Strategic Relationship Team
Why India??
•6
Quality
•Access to highly qualified – skilled pool
•Faster adoptability to New Technologies
•40%-60% cost
reduction for
off shored
process
•Technical
manpower
resource cost
likely to
continue next
20-30years
India’s
Value
Proposition
•Faster
turnaround
time
•Adoptability
to Different
Time zone
•24X7 service
www.stabicon.com
Strategic Relationship Team
•7
HR Management
• Enough human resource
• Quite easier to motivate and retain people
Infrastructure
• Better Infrastructure facilities at very low cost
• Best Net Connectivity & Resource Availability
• English Language Proficiency
• Expertise in New Technologies
• Quality Assured (A grade) & regulatory requirement
• Unexpected Cost Advantage
• Research & development Abilities & Skilled Manpower
• Excitement about Pharmaceutical in the area
Stabicon Strength At A Glance
www.stabicon.com
Strategic Relationship Team
•8
Part - 2
Criteria for Selecting Strategic Partnership
www.stabicon.com
Strategic Relationship Team
How to Select ?
•9
www.stabicon.com
Strategic Relationship Team
Stabicon
•10
Concept
• System integration –Partner site
Opportunity
• Reduced overhead costs
• Increased customer satisfaction
Potential
• Statistics suggest Strategic Partnership Industry has
more Indians than any other nationality.
www.stabicon.com
Strategic Relationship Team
Why Stabicon ?
•11
• Ability to work in joint ventures and across divisions, cultures and
countries
• Ability to integrate an understanding of IP
• Scientific expertise and business strategy
• Ability to spur creativity while managing commercially
• Expertise in functioning and decision making of regulatory requirement
• Human resource skills to transform pharmaceutical segment
• Dedicated support systems for web interface with real time information
• Quality system must meet regulation in multiple markets plus clients
internal standards
www.stabicon.com
Strategic Relationship Team
•12
Stabicon: Quality Not Quantity
• Quality is the new buzzword and is dominating business process and services like
never before in this sector.
• Quality is no longer an oral guarantee given over handshake, but Stabicon has well
defined set of criteria are applied to the entire process.
• Stabicon Standards of quality are par with, if not superior to your counterparts
requirement aboard.
www.stabicon.com
Strategic Relationship Team
•16
Flexibility
• Flexibility of being able to access a large pool of resources working on various Project
and increasing / decreasing the teams at a short notice.
• Flexibility to select the team jointly from the best pharmaceuticals brains handpicked
from Indian Pharma Industry
• Higher availability of our team to manage contingencies as they work 6 days a week and
available at odd hours even on Sundays for emergencies. The team can also work at
normal office timings of your country.
• Team are trained to understand the culture of your country, thereby leading to better
communication and co-ordination across the teams.
• Based on varied experience, the processes are designed to comply with the industry's
best practices and standards, enabling total transparency, access & control of our team .
• Flexible engagement contract, leading to managed business risks.
www.stabicon.com
Strategic Relationship Team
•14
Stabicon
Internet usage/Web
based Application
/Empower/LIMS and
etc.
Phone Lines
Email Usage
Skype
Usage/VC Line
Regular phone
no. in World
wide
User name with
safe password
World Wide
Client
Location
Information Management System
www.stabicon.com
Strategic Relationship Team
Stabicon Advantage
•15
•Modest sized company with extensive experience of offering offshore services to
• clients globally.
Advantages:
•Competitive pricing & risk sharing (dedicated model, incentive model, royalty
• model) Speed & agility (response time)
•Drastic reduction of your operating costs.
•Gain access to the world-class pharmaceutical skills.
•Seek resources not available in-house.
•Finish projects which otherwise cannot be finished in-house due to technical or
• staff limitations.
•Free up non-capital resources for other in-houses projects.
•Gain a fresh and new perspective on a stalled project.
www.stabicon.com
Strategic Relationship Team
•16
Part - 3
Strategic Partnership Process
www.stabicon.com
Strategic Relationship Team
•17
Strategic Partnership Process
PILOT PROJECT
CLIENT SATISFACTION
AGREEMENTS
NECESSARY TRAINING
ACTUAL OUTSOURCING
IMPLEMENTATION
QUALITY CHECKS
FINAL OUTPUTS
www.stabicon.com
Strategic Relationship Team
•18
Partnership to Stabicon should be much more than off shoring and
staff augmentation
Adopt a partnership based approach to Stabicon partner and move
towards a competency based vendor selection
Follow a staged approach for transition to an offshore partner with a
careful selection of projects
Prepare detailed transition plans for each project, especially Stability
projects
Establish strong governance and management oversight to manage
relationship and performance
Best
Practices
Ensure that integration processes are tailored to your business
requirements
Best Practices in Partnership
www.stabicon.com
Strategic Relationship Team
•19
Project Transition Plan – Details For Individual Project
Knowledge
Acquisition
Project Planning Stabicon Simulation
Stabicon Training/Pilot
Stabicon
Execution
Duration
Project Stage
Client Staff FTE
2 – 4 Weeks 1 – 2 Weeks 3 – 4 Weeks 2 – 3 Weeks Ongoing
 Establish Project
scope, Expectations
and Criteria for
Success
 Set team
composition,
requirements
and performance
metrics
Member of
Stabicon team
work with client to
understand
Document System/
Process
 Finalize transition
plan
 Execution of
project as per
approved
protocols
Review and
approval of
reports by
client
Establishment
of coordination
team, process
and metrics
Program for
Stabicon
Complete
fulfillment of
projects request
by Stabicon as
agreed upon
Service Levels
Agreements
Stabicon Transition
Description
www.stabicon.com
Strategic Relationship Team
•20
• Involve the end user
closely in the transition
• Discuss in existing
governance forum
• Involve end user in
oversight
Typical
projects
Test
Increase scope
and scale
Complete product
pipe line
• Short projects • Complex
projects
• Handles
Portfolio
Increasing management complexity and mission criticality
Key Success Factors in
a Transition
A Staged Approach Helps Transition to
Partner
www.stabicon.com
Strategic Relationship Team
•21
Governance
Board
• Governance board consist of both senior management from both sides is the final
decision making authority
• Every quarter, partnership board should consist of senior review the level of
collaboration and the performance.
• Every year, partnership board conducts joint strategic technology planning
sessions
Relationship
Management
• Day-to-day project management would be performed by dedicated relationship
managers from each side
• Relationship managers will facilitate smooth project execution, define processes
and act as trouble shooters
Performance
Management
• Performance tracking will be automated and Commitment tracker
• Clear definitions of success and failure
• Predefined processes for increased and decreased collaboration
• Exit clauses that define responsibility and timelines for knowledge transfer,
documentation and intellectual property rights
Best Practices
Key Levers
Critical Practices For – Strong Governance &
Management
www.stabicon.com
Strategic Relationship Team
•22
Process Approach
Use Stabicon for project components
Maximize offsite component
Use staff augmentation approach for
onsite presence
Focus on development on cost & time
lines only
Complete products pipe line development
Use in-house & partnership capabilities,
integrate for improve performance
Maintain onsite presence for managing
and delivering solutions
Extend organization virtually (includes
development, management, infrastructure
projects, etc.)
vs.
“Traditional” Mindset “Winning” Mindset
www.stabicon.com
Strategic Relationship Team
•23
Advantages of Partnership
No long term commitment
RFP issued for every project
Stabicon not expected to invest
Stabicon follow customer orders with
limited value added
Vendors not involved in technology
strategy and planning
Insufficient focus on risk mitigation
vs.
Medium/Long term commitment
Competency based vendor selection
Stabicon expected to invest in
infrastructure, knowledge transfer, etc.
Stabicon expected to leverage their
knowledge base and contribute to
overall strategy and planning issues
Stabicon expected to be actively
involved in technology planning
Proactive measures for mitigating risks
“Transaction” approach “Partnership” approach
www.stabicon.com
Strategic Relationship Team
•24
Technology Provider Successfully
Follow a Phased Approach for Partnership
Year : 2017
No. of people : 5-10
Year : mid 2018
No. of people : 15-20
Year : 2019
No. of people : 20-30
Year : 2020
No. of people : 30-50
Year : 2021
No. of people : 50-100
• Development project
to test Stabicon
capability
• low priority and low
complexity project of
a small component
• Medium priority
and medium
complexity
• Medium priority
and medium
complexity
project
(including
analysis and
reporting)
• High priority and
high complexity
• Full testing of
products
• Contribution to
new releases
(development)
Scaled down
SLAs to give
time to
Stabicon
Marked up
SLAs
Partnership /
Joint Venture
Client onsite
governance
Moving up the value chain with increasing customer confidence in Stabicon capabilities
SLA  Service Level Agreements
www.stabicon.com
Strategic Relationship Team
•25
X Axis
Y Axis
Partnership Ladder
www.stabicon.com
Strategic Relationship Team
26
Partnership Model Has Benefits
Cost
Quality Time to market
• Learning curve benefits
help in faster time to
market
• Releases important
customer resources for
more value added
work
• Reduces time spent in
the RFP process
• Learning curve benefits
help in improving quality
• Allows Stabicon to prepare
resource plan in advance
and staff projects with
appropriate resources
• Helps achieve best practice
transfer by Stabicon
• Enables Stabicon to offer lower pricing
because they have better visibility into
revenue streams
• Reduces the Stabicon total cost of doing
business which can be passed to
customer.
www.stabicon.com
Strategic Relationship Team
•27
Business Models
Dedicated Development
Centre Model
Build an offshore facility for the
customer, Operate the offshore
facility & customize it as per
customer's needs & when
model reaches maturity,
Transfer the complete
ownership of the facility &
resources to the Client.
Extension of the customer's
software engineering facility.
The customer pays fixed
monthly rate for the Team.
Hybrid Model
A major portion of project is on
a Fixed Price basis and at the
same time resources are
deployed on Time and Material
basis. Adopting such a model
enables the client to maximize
their ROI without
compromising any aspect of
the project itself.
Build-Operate Transfer Model
Fixed Price Model
The customer pays a Pre-
negotiated Fixed price for the
complete project, which in
turn is linked to well-defined
deliverables.
Time & Material Model
Define the business model and
work hand in hand with our
client. The client pays a fixed
FTE rate.
www.stabicon.com
Strategic Relationship Team
•28
Strategic Partnership Requirement
Part 4
www.stabicon.com
Strategic Relationship Team
•29
• Form a cross-functional team
• Determine communication plan
• Determine and finalize work plan
• Define measurable deliverables.
• Finalize data review and approval process.
• Finalize process to review project outcomes.
• Have periodic meetings to review work.
Metrics Required to Support Partnership
www.stabicon.com
Strategic Relationship Team
•30
• Project Coordinator Overall co-ordination of the project.
• Logistics Handling of Sample shipment
• Technical Head
Structure Required at Client Site to
Support Partnership
www.stabicon.com
Strategic Relationship Team
•31
Risk and Mitigation
Part 5
Strategic Relationship Team www.stabicon.com
•32
Partnership– In many organization
around integration can cause
emotional equivalence of a political
or religious debate due to confusion
Confusion
www.stabicon.com
Strategic Relationship Team
•33
Challenges
Confidentiality
Issues
Client
Relationship
Training and
Placement
Quality
Assurance
Partnership Risk
www.stabicon.com
Strategic Relationship Team
34
Talent
Cultural
Infrastructure
Political/Country
Project
Risks Associated with Partnership to
Stabicon Manageable
High attrition rates due
to large demand
Complex projects have
many failure points
Differences in work
culture
Electricity and telecom
not reliable
Different IPR laws
Geopolitical events can
destabilize trade e.g.
with India
Vs.
Stabicon is investing heavily in
training.
3level review on project at
Stabicon
Active governance policies with
interactions at all levels
Leading team at Stabicon have
been proactively trained to
handle culture gaps
Government actively promoting
uninterrupted power supply and
telecom to technology
companies
Established legal system
US / Europe and Indian
Governments agreed to de-link
the pharmaceutical trade from
politics
Perceived risks Why we believe risks
can be managed
www.stabicon.com
Strategic Relationship Team
•35
Cultural Gaps
Risk:
• Corporate culture clash to the difficulties in managing an partner across large
distances and different time zones.
• Throw in regulatory concerns and proprietary information and relationship
management becomes even more difficult.
Mitigation:
• Exchange team program .
• Focus on the performance and cost
www.stabicon.com
Strategic Relationship Team
•36
Risk:
• Managing expectations and maintaining relationship is essential for the
success.
• Partnership projects do not meet expectations because
• I) Project, plan & Execution without a clear methodology.
• ii) Disconnect between expectations at management level and what’s actually
delivered at the processes level.
Mitigation:
• By making sure the parties share a common understanding regarding critical
interactions at the Operational & Management Level for successful
Partnering
Team Relationship Management
www.stabicon.com
Strategic Relationship Team
•37
Knowledge Transfer
Risk:
• Transfer of knowledge from both side of a company is critical otherwise can
lead to broken connectivity .
Mitigation:
• Common Platform of the projects & team information.
www.stabicon.com
Strategic Relationship Team
•38
Implied Cost savings
Risk
• Estimate most firm save 30-35% during first year; by third year, cost savings
often reaches 40-45% as companies “go up learning curve “ from partnering
process.
• Outsourcing solely control cost can lead alignment issue and increased
project delay.
Mitigation
• Corporation should provide strategy to its business lines of business to allow
them to partner within guidelines.
• Brings in the strategic differential advantage of improved markets share by new
products to your business, thereby, enhancing your profitability
• Once firm understand its integrating drivers, selecting which application to
partner becomes straight forward.
www.stabicon.com
Strategic Relationship Team
•39
Risk:
• Product failure/Regulatory/Security compliance failure is in fact one of the
top concerns companies face when integrating project to another company.
Mitigation:
The key to successful and secure collaboration agreement is understanding
i) Regulatory compliance followed by schedule third party Audits
ii) Security covered by Legal Agreement
iii) Privacy risks & IP for a business process to be defined.
iv) Application or technology function outcome covered by Technical
Agreement
Compliances
www.stabicon.com
Strategic Relationship Team
•40
• Choose a partner who provides you with value adds, services or products.
• Develop a strong partnership.
• Simplify the interface between the two organizations.
• Know your requirements, both current and future, and put them in the plan.
• Treat the collaboration site relationship as a partnership.
Minimizing Risk
www.stabicon.com
Strategic Relationship Team
•41
Benefit of Strategic Partnership
Part 7
www.stabicon.com
Strategic Relationship Team
•42
Collaboration
Increased
Productivity
Increased
Profits
Reduced
Operating Cost
Quick Turn
around Time
Better
Quality
Your Benefit as a Collaborator
www.stabicon.com
Strategic Relationship Team
•43
For any query,
Please contact us at
Stabicon Life Sciences Pvt. Ltd
Business Development Team
Phone: +91 80 27839260
e-mail : info@stabicon.com
Thanks
Strategic Relationship Team

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Update strategic growth process

  • 2. •2 Part: 1. Introduction 2. Changing Industry Trend of Pharma 3. Criteria for Selecting Offshore Strategic Partners 4. Strategic Partnership Process 5. Strategic Partnership Requirement 6. Risk and Mitigation 7. Benefit of Strategic Partnership Index www.stabicon.com Strategic Relationship Team
  • 4. Changing Industry Trend of Pharma •4 Present Pharma Industry Challenges • Revenue under pressure • Cost and risk of developing new drugs are increasing • Globalization How to Over Come the Present Challenges Corporate restructuring i ) Consolidation within industry, refocusing on fewer business lines ii) Adoption of risk reduction strategies iii) Acquisition rather than development, Use of Joint ventures www.stabicon.com Strategic Relationship Team
  • 5. Strategic Partnership Region - Pharma •5 India (Best mix of IT & Scientific breadth and depth of Technical Skills with strong English language and 24x7 support) China ( Large labor pool, but Language is an issue) www.stabicon.com Strategic Relationship Team
  • 6. Why India?? •6 Quality •Access to highly qualified – skilled pool •Faster adoptability to New Technologies •40%-60% cost reduction for off shored process •Technical manpower resource cost likely to continue next 20-30years India’s Value Proposition •Faster turnaround time •Adoptability to Different Time zone •24X7 service www.stabicon.com Strategic Relationship Team
  • 7. •7 HR Management • Enough human resource • Quite easier to motivate and retain people Infrastructure • Better Infrastructure facilities at very low cost • Best Net Connectivity & Resource Availability • English Language Proficiency • Expertise in New Technologies • Quality Assured (A grade) & regulatory requirement • Unexpected Cost Advantage • Research & development Abilities & Skilled Manpower • Excitement about Pharmaceutical in the area Stabicon Strength At A Glance www.stabicon.com Strategic Relationship Team
  • 8. •8 Part - 2 Criteria for Selecting Strategic Partnership www.stabicon.com Strategic Relationship Team
  • 9. How to Select ? •9 www.stabicon.com Strategic Relationship Team
  • 10. Stabicon •10 Concept • System integration –Partner site Opportunity • Reduced overhead costs • Increased customer satisfaction Potential • Statistics suggest Strategic Partnership Industry has more Indians than any other nationality. www.stabicon.com Strategic Relationship Team
  • 11. Why Stabicon ? •11 • Ability to work in joint ventures and across divisions, cultures and countries • Ability to integrate an understanding of IP • Scientific expertise and business strategy • Ability to spur creativity while managing commercially • Expertise in functioning and decision making of regulatory requirement • Human resource skills to transform pharmaceutical segment • Dedicated support systems for web interface with real time information • Quality system must meet regulation in multiple markets plus clients internal standards www.stabicon.com Strategic Relationship Team
  • 12. •12 Stabicon: Quality Not Quantity • Quality is the new buzzword and is dominating business process and services like never before in this sector. • Quality is no longer an oral guarantee given over handshake, but Stabicon has well defined set of criteria are applied to the entire process. • Stabicon Standards of quality are par with, if not superior to your counterparts requirement aboard. www.stabicon.com Strategic Relationship Team
  • 13. •16 Flexibility • Flexibility of being able to access a large pool of resources working on various Project and increasing / decreasing the teams at a short notice. • Flexibility to select the team jointly from the best pharmaceuticals brains handpicked from Indian Pharma Industry • Higher availability of our team to manage contingencies as they work 6 days a week and available at odd hours even on Sundays for emergencies. The team can also work at normal office timings of your country. • Team are trained to understand the culture of your country, thereby leading to better communication and co-ordination across the teams. • Based on varied experience, the processes are designed to comply with the industry's best practices and standards, enabling total transparency, access & control of our team . • Flexible engagement contract, leading to managed business risks. www.stabicon.com Strategic Relationship Team
  • 14. •14 Stabicon Internet usage/Web based Application /Empower/LIMS and etc. Phone Lines Email Usage Skype Usage/VC Line Regular phone no. in World wide User name with safe password World Wide Client Location Information Management System www.stabicon.com Strategic Relationship Team
  • 15. Stabicon Advantage •15 •Modest sized company with extensive experience of offering offshore services to • clients globally. Advantages: •Competitive pricing & risk sharing (dedicated model, incentive model, royalty • model) Speed & agility (response time) •Drastic reduction of your operating costs. •Gain access to the world-class pharmaceutical skills. •Seek resources not available in-house. •Finish projects which otherwise cannot be finished in-house due to technical or • staff limitations. •Free up non-capital resources for other in-houses projects. •Gain a fresh and new perspective on a stalled project. www.stabicon.com Strategic Relationship Team
  • 16. •16 Part - 3 Strategic Partnership Process www.stabicon.com Strategic Relationship Team
  • 17. •17 Strategic Partnership Process PILOT PROJECT CLIENT SATISFACTION AGREEMENTS NECESSARY TRAINING ACTUAL OUTSOURCING IMPLEMENTATION QUALITY CHECKS FINAL OUTPUTS www.stabicon.com Strategic Relationship Team
  • 18. •18 Partnership to Stabicon should be much more than off shoring and staff augmentation Adopt a partnership based approach to Stabicon partner and move towards a competency based vendor selection Follow a staged approach for transition to an offshore partner with a careful selection of projects Prepare detailed transition plans for each project, especially Stability projects Establish strong governance and management oversight to manage relationship and performance Best Practices Ensure that integration processes are tailored to your business requirements Best Practices in Partnership www.stabicon.com Strategic Relationship Team
  • 19. •19 Project Transition Plan – Details For Individual Project Knowledge Acquisition Project Planning Stabicon Simulation Stabicon Training/Pilot Stabicon Execution Duration Project Stage Client Staff FTE 2 – 4 Weeks 1 – 2 Weeks 3 – 4 Weeks 2 – 3 Weeks Ongoing  Establish Project scope, Expectations and Criteria for Success  Set team composition, requirements and performance metrics Member of Stabicon team work with client to understand Document System/ Process  Finalize transition plan  Execution of project as per approved protocols Review and approval of reports by client Establishment of coordination team, process and metrics Program for Stabicon Complete fulfillment of projects request by Stabicon as agreed upon Service Levels Agreements Stabicon Transition Description www.stabicon.com Strategic Relationship Team
  • 20. •20 • Involve the end user closely in the transition • Discuss in existing governance forum • Involve end user in oversight Typical projects Test Increase scope and scale Complete product pipe line • Short projects • Complex projects • Handles Portfolio Increasing management complexity and mission criticality Key Success Factors in a Transition A Staged Approach Helps Transition to Partner www.stabicon.com Strategic Relationship Team
  • 21. •21 Governance Board • Governance board consist of both senior management from both sides is the final decision making authority • Every quarter, partnership board should consist of senior review the level of collaboration and the performance. • Every year, partnership board conducts joint strategic technology planning sessions Relationship Management • Day-to-day project management would be performed by dedicated relationship managers from each side • Relationship managers will facilitate smooth project execution, define processes and act as trouble shooters Performance Management • Performance tracking will be automated and Commitment tracker • Clear definitions of success and failure • Predefined processes for increased and decreased collaboration • Exit clauses that define responsibility and timelines for knowledge transfer, documentation and intellectual property rights Best Practices Key Levers Critical Practices For – Strong Governance & Management www.stabicon.com Strategic Relationship Team
  • 22. •22 Process Approach Use Stabicon for project components Maximize offsite component Use staff augmentation approach for onsite presence Focus on development on cost & time lines only Complete products pipe line development Use in-house & partnership capabilities, integrate for improve performance Maintain onsite presence for managing and delivering solutions Extend organization virtually (includes development, management, infrastructure projects, etc.) vs. “Traditional” Mindset “Winning” Mindset www.stabicon.com Strategic Relationship Team
  • 23. •23 Advantages of Partnership No long term commitment RFP issued for every project Stabicon not expected to invest Stabicon follow customer orders with limited value added Vendors not involved in technology strategy and planning Insufficient focus on risk mitigation vs. Medium/Long term commitment Competency based vendor selection Stabicon expected to invest in infrastructure, knowledge transfer, etc. Stabicon expected to leverage their knowledge base and contribute to overall strategy and planning issues Stabicon expected to be actively involved in technology planning Proactive measures for mitigating risks “Transaction” approach “Partnership” approach www.stabicon.com Strategic Relationship Team
  • 24. •24 Technology Provider Successfully Follow a Phased Approach for Partnership Year : 2017 No. of people : 5-10 Year : mid 2018 No. of people : 15-20 Year : 2019 No. of people : 20-30 Year : 2020 No. of people : 30-50 Year : 2021 No. of people : 50-100 • Development project to test Stabicon capability • low priority and low complexity project of a small component • Medium priority and medium complexity • Medium priority and medium complexity project (including analysis and reporting) • High priority and high complexity • Full testing of products • Contribution to new releases (development) Scaled down SLAs to give time to Stabicon Marked up SLAs Partnership / Joint Venture Client onsite governance Moving up the value chain with increasing customer confidence in Stabicon capabilities SLA  Service Level Agreements www.stabicon.com Strategic Relationship Team
  • 25. •25 X Axis Y Axis Partnership Ladder www.stabicon.com Strategic Relationship Team
  • 26. 26 Partnership Model Has Benefits Cost Quality Time to market • Learning curve benefits help in faster time to market • Releases important customer resources for more value added work • Reduces time spent in the RFP process • Learning curve benefits help in improving quality • Allows Stabicon to prepare resource plan in advance and staff projects with appropriate resources • Helps achieve best practice transfer by Stabicon • Enables Stabicon to offer lower pricing because they have better visibility into revenue streams • Reduces the Stabicon total cost of doing business which can be passed to customer. www.stabicon.com Strategic Relationship Team
  • 27. •27 Business Models Dedicated Development Centre Model Build an offshore facility for the customer, Operate the offshore facility & customize it as per customer's needs & when model reaches maturity, Transfer the complete ownership of the facility & resources to the Client. Extension of the customer's software engineering facility. The customer pays fixed monthly rate for the Team. Hybrid Model A major portion of project is on a Fixed Price basis and at the same time resources are deployed on Time and Material basis. Adopting such a model enables the client to maximize their ROI without compromising any aspect of the project itself. Build-Operate Transfer Model Fixed Price Model The customer pays a Pre- negotiated Fixed price for the complete project, which in turn is linked to well-defined deliverables. Time & Material Model Define the business model and work hand in hand with our client. The client pays a fixed FTE rate. www.stabicon.com Strategic Relationship Team
  • 28. •28 Strategic Partnership Requirement Part 4 www.stabicon.com Strategic Relationship Team
  • 29. •29 • Form a cross-functional team • Determine communication plan • Determine and finalize work plan • Define measurable deliverables. • Finalize data review and approval process. • Finalize process to review project outcomes. • Have periodic meetings to review work. Metrics Required to Support Partnership www.stabicon.com Strategic Relationship Team
  • 30. •30 • Project Coordinator Overall co-ordination of the project. • Logistics Handling of Sample shipment • Technical Head Structure Required at Client Site to Support Partnership www.stabicon.com Strategic Relationship Team
  • 31. •31 Risk and Mitigation Part 5 Strategic Relationship Team www.stabicon.com
  • 32. •32 Partnership– In many organization around integration can cause emotional equivalence of a political or religious debate due to confusion Confusion www.stabicon.com Strategic Relationship Team
  • 34. 34 Talent Cultural Infrastructure Political/Country Project Risks Associated with Partnership to Stabicon Manageable High attrition rates due to large demand Complex projects have many failure points Differences in work culture Electricity and telecom not reliable Different IPR laws Geopolitical events can destabilize trade e.g. with India Vs. Stabicon is investing heavily in training. 3level review on project at Stabicon Active governance policies with interactions at all levels Leading team at Stabicon have been proactively trained to handle culture gaps Government actively promoting uninterrupted power supply and telecom to technology companies Established legal system US / Europe and Indian Governments agreed to de-link the pharmaceutical trade from politics Perceived risks Why we believe risks can be managed www.stabicon.com Strategic Relationship Team
  • 35. •35 Cultural Gaps Risk: • Corporate culture clash to the difficulties in managing an partner across large distances and different time zones. • Throw in regulatory concerns and proprietary information and relationship management becomes even more difficult. Mitigation: • Exchange team program . • Focus on the performance and cost www.stabicon.com Strategic Relationship Team
  • 36. •36 Risk: • Managing expectations and maintaining relationship is essential for the success. • Partnership projects do not meet expectations because • I) Project, plan & Execution without a clear methodology. • ii) Disconnect between expectations at management level and what’s actually delivered at the processes level. Mitigation: • By making sure the parties share a common understanding regarding critical interactions at the Operational & Management Level for successful Partnering Team Relationship Management www.stabicon.com Strategic Relationship Team
  • 37. •37 Knowledge Transfer Risk: • Transfer of knowledge from both side of a company is critical otherwise can lead to broken connectivity . Mitigation: • Common Platform of the projects & team information. www.stabicon.com Strategic Relationship Team
  • 38. •38 Implied Cost savings Risk • Estimate most firm save 30-35% during first year; by third year, cost savings often reaches 40-45% as companies “go up learning curve “ from partnering process. • Outsourcing solely control cost can lead alignment issue and increased project delay. Mitigation • Corporation should provide strategy to its business lines of business to allow them to partner within guidelines. • Brings in the strategic differential advantage of improved markets share by new products to your business, thereby, enhancing your profitability • Once firm understand its integrating drivers, selecting which application to partner becomes straight forward. www.stabicon.com Strategic Relationship Team
  • 39. •39 Risk: • Product failure/Regulatory/Security compliance failure is in fact one of the top concerns companies face when integrating project to another company. Mitigation: The key to successful and secure collaboration agreement is understanding i) Regulatory compliance followed by schedule third party Audits ii) Security covered by Legal Agreement iii) Privacy risks & IP for a business process to be defined. iv) Application or technology function outcome covered by Technical Agreement Compliances www.stabicon.com Strategic Relationship Team
  • 40. •40 • Choose a partner who provides you with value adds, services or products. • Develop a strong partnership. • Simplify the interface between the two organizations. • Know your requirements, both current and future, and put them in the plan. • Treat the collaboration site relationship as a partnership. Minimizing Risk www.stabicon.com Strategic Relationship Team
  • 41. •41 Benefit of Strategic Partnership Part 7 www.stabicon.com Strategic Relationship Team
  • 42. •42 Collaboration Increased Productivity Increased Profits Reduced Operating Cost Quick Turn around Time Better Quality Your Benefit as a Collaborator www.stabicon.com Strategic Relationship Team
  • 43. •43 For any query, Please contact us at Stabicon Life Sciences Pvt. Ltd Business Development Team Phone: +91 80 27839260 e-mail : info@stabicon.com Thanks Strategic Relationship Team