Introduction: P1

1. Intro:
a. Good morning ladies and gentlemen.
b. Firstly, we would like to thank the management of PharmaCo for giving
us the opportunity to work with you and share our ideas.
2. Scope: (Agenda + Vision + Objective)
a. Im Masud and Im joined here today by my colleagues Zohaib,
Evegeniya and Stan and together we will be presenting our findings,
analysis, solutions and their impact on PharmaCo
b. From just 3 stores in Boston to 4000 stores across the country and 35B
in revenues, PharmaCo is undoubtedly a pioneer and a leader in
pharmacy retail industry. Thats where we are today.
c. But what about tomorrow? Our vision for PharmaCo is to be the most
loved pharmacy by its customers, through service differentiation and
cost leadership
d. Keeping that in mind our objective today is to identify sustainable
avenues for PharmaCo
3. Customer and Industry Analysis:
a. We start with the customers at the heart of the business.
b. PHCs customers have two main requirements: lower costs and better
service quality
c. Competitors in the industry are looking to attract these customers
through price and service differentiation
4. PHC Strategy:
a. What can PHC do in the current scenario
b. The key to growing in the mature pharmacy retail market is customer
acquisition and retention
c. To do so, we would have to reduce costs and improve service quality
and used the 2 lenses to look at PHC and found higher CTF and AWT
d. Came up with strategies to address these issues and hence retain
current customers and acquire customers from our competitors.
5. Company Analysis: (Surface issues plus strategy overview)
a. I would like to mention that for this project we have decided to focus
more on retail as it contributes 95% of PharmaCos business.
b. For our recommendations, we have divided the business retail Counter
Strategy- Behind the counter implies to people and processes, in
front of the counter deals with customer interaction and beyond the
counter looks at overall business structure
c. In the coming slides, we will go into details of each of these strategies,
followed by implementation plan and overall impact. Id like to invite
Zohaib to discuss our behind the counter findings and solutions

Implementation
a. So how do we plan to roll it out
b. Our strategies require 6-12 months of implementation time
c. Also, we recommend simultaneously implementing our strategies to utilize
the synergies
d. We have also suggested doing a pilot for four out of six of our strategies
Impact
a. Finally, through our strategies we expect to reduce AWT to the initial 7 min,
b. Quality of service and competitive advantage
c. Our strategies give us the option to reduce labor costs up to $3B or reallocate
them to improve capacity and increase potential to earn $16.5B additional
revenues and gain up to 15% market share
d. We believe that depending on the priorities of the firm we will need to sit
down with the managing committee and find a balance between reducing
and reallocating labor
No fulfill our objective
Thats it from us, we would like to hear your questions

The primary benefit of shifting production to China would be the lower labor costs. It
would also lead to a lower manufacturing cost.
yes, Timbuktu should hold on to the their production in San Francisco which is a key
part of their brand reputation. However, 'made in San Francisco is a key part of their
brand reputation. The problem then becomes transportation where all suppliers will
have to ship goods to two places instead of one.