Case Studies > Global Biopharmaceutical Company Recognizes Annual Operational Savings of $60,000 per Facility with Avetta

Global Biopharmaceutical Company Recognizes Annual Operational Savings of $60,000 per Facility with Avetta

Company Size

1,000+

Region

America

Country

United States

Product

Avetta

Tech Stack

Lotus Notes

Implementation Scale

Enterprise-wide Deployment

Impact Metrics

Cost Savings
Customer Satisfaction
Productivity Improvements

Technology Category

Application Infrastructure & Middleware - Data Exchange & Integration
Platform as a Service (PaaS) - Connectivity Platforms

Applicable Industries

Healthcare & Hospitals
Pharmaceuticals

Applicable Functions

Procurement
Quality Assurance

Use Cases

Regulatory Compliance Monitoring
Remote Asset Management
Supply Chain Visibility

Services

System Integration
Training

About The Customer

The customer is a global, research-based biopharmaceutical company with a workforce of 28,000 employees. The company is committed to maintaining strict internal safety standards, referred to as “Global Technical Standards,” to ensure that all contractors are properly trained, certified, and reviewed according to OSHA standards. The company undertakes a wide range of jobs, including asbestos abatement, lead abatement, confined space work, excavations, fall protection, crane lifts, and helicopter lifts. The Senior Safety Construction Specialist at the company is responsible for ensuring that all contractors meet these stringent safety requirements. However, managing several hundred contractors at a single site had become an overwhelming task, leading to the need for a more efficient and cost-effective approach to supply chain risk management.

The Challenge

Faced with a ballooning administrative workload, combined with the refusal to compromise his company’s strict safety standards, a Senior Safety Construction Specialist in North Chicago had a decision to make: hire more staff and absorb the cost of salary, health care insurance, and training—or look for a more efficient and cost-effective approach to de-risking his supply chain. His company, a global, research-based biopharmaceutical company with a workforce of 28,000, has set a strict internal safety initiative referred to as “Global Technical Standards.” It’s the job of this Senior Safety Construction Specialist to make sure contractors at his facility are properly trained, certified, and reviewed, according to OSHA standards. But with several hundred contractors working at his site alone, managing them all and meeting company goals had become too much work for one person. The problem wasn’t just the amount of time required to execute the reviews. Internal staff had no automated way of knowing who was due for review, whose review was late, or who hadn’t been reviewed yet. There was no trigger in place that would tell them when contractors were up for review. The company did have an electronic database of information for contractors, but it did not provide detailed information, such as certifications or training—not even an indication of whether the contractor was qualified to perform work onsite. With overflowing file cabinets, an increasingly complex supply chain, and the ever-present concern over contractor risk, something needed to change.

The Solution

Recognizing that without an automated system he could not comply with the company’s Global Technical Standards, the Senior Safety Construction Specialist approached his managers and suggested they look into a third-party vendor to assist with supply chain risk management. They contacted three different companies, including Avetta, and had each present before the evaluation team, which included individuals from contract administration and directors from other departments outside of Health & Safety. After the vetting process, the team was unanimous in its selection. Avetta offered a bit more than the others, with an easy-to-navigate application and a straightforward flag system. Today, staff members in the purchasing department log in to Avetta, check whether a contractor is in the system, and then verify the contractor’s flag color. If a prospective contractor is not in the Avetta system, the buyer will let them know they have to enroll, comply with the program, and send in their EHS information. Contractors have been complying, and the process of issuing POs is easier than ever. Contractors, in some cases, are leveraging the system to make changes or improvements in their business practices. The critical task of checking on contractors is now easier and faster. The Avetta dashboard is especially convenient and instantly conveys high-level information. Staff can see everything that’s going on, check the pie chart at the top of the home screen, and see which contractors are green, yellow, and red. They can also look at documents such as confined space programs or OSHA 300 logs easily.

Operational Impact

The new platform has proven to dramatically reduce supply chain risk across the company. The Avetta solution promotes compliance with the organization’s Global Technical Standards while keeping up with industry best practices. Staff admits that prior to deploying Avetta, they weren’t where they needed to be. Big companies are utilizing third-party outfits such as Avetta to perform the EHS review. The company is realizing the benefits of the solution and getting everybody onboard.
Once a contractor has enrolled in Avetta, it gives them the opportunity to work with other companies in the Avetta ecosystem that need their services. The company was able to find a local rigging contractor through Avetta, who was already green-flagged, and continues to use them to this day.
The goal is to have all contractors meet the qualifications for a green flag, which would help in meeting the organization’s strict safety standards. Recently, the company received the “Sustainability Gold Award” from the Institute for Supply Management.
The critical task of checking on contractors is now easier and faster. Staff can type in the name of any contractor and see everything at their computer, versus going to a filing cabinet and looking through hundreds of pages. The Avetta dashboard is especially convenient and instantly conveys high-level information.

Quantitative Benefit

Annual operational savings of $60,000 per facility.
The value of Avetta is equivalent to hiring one employee for a single facility alone, saving around $60,000 per year plus benefits.