According to McKinsey & Company, one of the opportunities for biotech companies to “disrupt the R&D landscape and open up new ways to invest, motivate teams, and shape the innovation pipeline” is by adopting a shared services model. Instead of companies focusing on a single area or technology, a shared services model enables them to target multiple areas or technologies in parallel via subsidiaries under a central management structure. Similar to the financial services industry, a portfolio manager uses skilled professionals to raise capital, find investors, fund R&D, manufacture products, raise an IPO, or engage in other activities as needed by each entity within the portfolio.
The Challenge
Our client, a fast-growing Global Pharmaceutical company, incorporated another company as a subsidiary which impacted departments and employees, along with their associated cost center and operating expenses. They wanted to build a scalable future state, allowing them to quickly transition to a shared services model as new opportunities arose in what is a fiercely competitive marketplace.
How Stratos Consulting Helped
A management consulting firm enabling digital transformation, Stratos Consulting has extensive expertise in Enterprise Performance Management (EPM), Data & Analytics, and Integration & Automation, with experience ranging from supporting traditional IT landscapes to fully integrated enterprise cloud platforms. Partnering with clients throughout the project lifecycle, Stratos consultants leverage their experience, proven methodology, and innovative, process-first engagement model to ensure success.
- Delivered against aggressive timeline, re-architecting financial systems in a few months and in time for the Pharmaceutical company’s annual budget cycle
- Adapted existing Oracle FDW, Hyperion environment, and Oracle E-Business Suite (ERP) system to new organizational structure while maintaining data accuracy and integration (Informatica) across the end-to-end finance architecture
- Updated the planning allocation methodology for the new shared services organization project, aligning FP&A’s actual process for allocating costs from shared services to appropriate corporate admin cost centers
The Result
The Stratos Consulting team delivered a new financial systems architecture and end-to-end processes that flawlessly scale and support the Global Pharmaceutical company’s future-state shared services model, regardless of how many entities are on-boarded.
With competition among pharma-service providers expected to increase as more companies adopt a shared services model and core, in-house functions are outsourced, Stratos Consulting is here to help life sciences organizations take a proactive approach to organizational changes. Schedule time with our team today to discuss whether your FP&A systems are agile enough to support your future-state goals.
