Cvs Case

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CVS’s objective is to offer customers a hassle-free pharmacy service in which customers drop off their prescriptions and return to the store to pick up their medication at their defined time of the day. However, CVS’s current pharmacy fulfilment process creates severe problems regarding customer’s negative perceived service quality during pharmacy visits (e.g. angry customers due to long waiting lines and resolution processes, wrong prescriptions, unresolved insurance issues etc.). In many cases, problems cannot be resolved immediately at the pick-up stage, thus, the customer leaves with a bad experience. In 2000, approximately 7.2 million regular customers left CVS. For 44% of these customers, CVS’s unsatisfying service was the reason for switching to another service provider. In the service industry customer satisfaction is an essential condition to maintain profitability. CVS has to recover its pharmacy service quickly and correct its service mistakes. Only then will CVS be able to establish customer satisfaction and create lasting customer loyalty. In order to achieve these objectives, CVS should focus on improving its performance in the pharmacy fulfilment process, especially by altering the main issues of the drop-off, data entry and production stage (for an overview of the current and improved pharmacy fulfilment process please refer to Annex I). Drop-off & Data Entry

The drop-off and data entry stage become much more interrelated. Rather than just dropping off a prescription and leaving right away, the customer will always be involved in the gathering, checking and updating of information during a preliminary data entry (e.g. the customer’s name, date of birth, contact information, insurer, doctor as well as the drug’s name, quantity, strength and the doctor’s directions concerning intake, refills etc.). By continuously updating CVS’s central database, CVS’s employees will be able to identify and resolve minor issues while the customer is still in...
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