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    AbbVie was experiencing difficulties after spinning off from Abbott Laboratories, with 50-60 legacy systems operating independently. They implemented SAP ERP across 118 sites within 18 months to standardize global processes and integrate data previously held in disparate systems. This provided unprecedented transparency, agility, and metrics like KPIs to improve operations and aid management decision-making with real-time insights.

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    YGMGV3T81

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    AbbVie was experiencing difficulties after spinning off from Abbott Laboratories, with 50-60 legacy systems operating independently. They implemented SAP ERP across 118 sites within 18 months to standardize global processes and integrate data previously held in disparate systems. This provided unprecedented transparency, agility, and metrics like KPIs to improve operations and aid management decision-making with real-time insights.

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    AbbVie was experiencing difficulties after spinning off from Abbott Laboratories, with 50-60 legacy systems operating independently. They implemented SAP ERP across 118 sites within 18 months to standardize global processes and integrate data previously held in disparate systems. This provided unprecedented transparency, agility, and metrics like KPIs to improve operations and aid management decision-making with real-time insights.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    32 views3 pages

    YGMGV3T81

    Uploaded by

    bali
    AbbVie was experiencing difficulties after spinning off from Abbott Laboratories, with 50-60 legacy systems operating independently. They implemented SAP ERP across 118 sites within 18 months to standardize global processes and integrate data previously held in disparate systems. This provided unprecedented transparency, agility, and metrics like KPIs to improve operations and aid management decision-making with real-time insights.

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    You are on page 1of 3

    Jason Connor

    ISCS-570

    AbbVie

    4/24/2021

    This study source was downloaded by 100000875335489 from CourseHero.com on 01-17-2024 09:47:22 GMT -06:00

    https://www.coursehero.com/file/99778166/abbviedocx/
    1. What management problems typical of global systems was AbbVie experiencing? What management,

    organization, and technology factors were responsible for those problems?

    AbbVie was experiencing difficulty relating to being spun off from Abbott Laboratories. They had

    50-60 different legacy systems that all worked independently of each other. They had to continue to

    operate all these different locations profitably but also create a way to move forward once their

    transitional service agreement with Abbott had ended.

    As they moved into SAP ERP they had to contend with multiple issues as well. They had to roll

    out SAP to 118 affiliate manufacturing sites within 18 months, so time was of the essence. However,

    each location had slightly different business processes, so AbbVie had to standardize end to end process

    to ensure for a smooth transition. Then each country had to be accounted for with their own unique

    individual currency, legal requirements and regulations. Then they had to look at special request,

    approve or deny and then start global testing.

    2. What elements of the global systems strategy described in this chapter did AbbVie pursue?

    AbbVie practiced a multinational strategy. They are based in Illinois and manage the financial

    and large decisions, such as what to do with an ERP out of that location. However, they have

    decentralized sales, production, and marketing to countries all over the world. Before the split, Abbott

    Labs had a decentralized system where every country had their own ERP systems. Abbvie, however, is

    using a networked system which is the same across all countries and all comes together.

    3. How did AbbVie’s new SAP ERP system support its global business strategy?

    AbbVie was able to successfully implement SAP ERP in only 18 months. Doing so allowed them

    to meet the terms of their TSA but it also allowed them much greater insights into the details of the

    This study source was downloaded by 100000875335489 from CourseHero.com on 01-17-2024 09:47:22 GMT -06:00

    https://www.coursehero.com/file/99778166/abbviedocx/
    company. Instead of having information in upwards of 50 different systems it allowed them to have all

    their data available in one system in real time improving operations and management decision making.

    4. How did AbbVie’s new system improve operations and management decision making?

    There were several benefits that came about when AbbVie implemented SAP ERP. First off there

    were standardized processes across the globe which is always beneficial for any company and their

    consistency. It also allowed them unprecedented levels of agility and transparency. They were also able

    to develop a set of metrics which can be calculated monthly. These are Key Performance Indicators (KPIs)

    such as time to create a new customer, vendor payments, and order fulfillment. This gives management

    actionable information in almost real time and the ability to compare and contrast different business

    locations and units all in one place. To help managers even more , dashboards were incorporated for

    management to be able to look at results, by location, and drill down to find the root cause of an issue

    and implement corrective actions quicker and more efficiently.

    This study source was downloaded by 100000875335489 from CourseHero.com on 01-17-2024 09:47:22 GMT -06:00

    https://www.coursehero.com/file/99778166/abbviedocx/
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