Business & Finance 3-2 Milestone One Submission Assignment

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ColeStaats_BUS400_2-1Assignment_ProjectOutline.docx

PROJECT OUTLINE for CVS Pharmacy Services 2

Project Outline: Pharmacy Services for CVS Health Corporation

Cole Staats

PROJECT OUTLINE for CVS Pharmacy Services 1

Southern New Hampshire University

About Pharmacy Services

CVS Health Corporation should improve its pharmacy services. The company can utilize digital tools, such as automated dispensing cabinets/units and medication therapy management, to enhance its services. CVS Health can also use messaging tools to keep patients engaged and connected.

Goals

1. To provide quality, convenient services,

2. To improve patient outcomes, and

3. To improve patients’ lives.

Target Customer

The target customers are Gen Xers and Baby Boomers with high incomes. Gen Xers are currently between 41 and 56 years. On the other hand, Baby Boomers are between 59 and 77 years old. As we all know, older individuals are more vulnerable to diseases like diabetes, dementia, back pain, arthritis, respiratory diseases, and cancer. This is because our immune system deteriorates as we age. Therefore, older adults require more healthcare services compared to their younger counterparts. Improved pharmacy services will help meet older people's health needs and health-related problems.

Market Opportunity

Reports show that by market share, CVS Health Corporation was the leading United States pharmacy in 2022. That year, the company held approximately 25% of the prescription drug market revenue (Mikulic, 2023). Cigna, one of CVS’s competitors, reported a significant increase in market share through the acquisition of Express Scripts in 2018. Therefore, CVS Health can overcome competition and increase market share by improving its pharmacy services.

Financial Opportunity

CVS Health will also enhance its revenue and cash flow by improving pharmacy services. Service improvement can reduce errors, increase customer satisfaction, and eventually increase sales. A sales increase is associated with a positive cash flow. A Positive cash flow suggests that more cash is coming in than going out of the company, which is necessary for CVS Health to maintain long-term growth (Smith, 2021). In contrast, a negative cash flow threatens the company’s well-being. Further, an increase in sales can increase the company’s profits.

Timeline

Activity Duration

Identify suitable digital tools 4-10 weeks

Test and deploy the tools 1-2 months

Inform customers 1 day to 1 week

References

Mikulic, M. (2023). U.S. pharmacies ranked by prescription drugs market share 2022. Statista.

Smith, S. (2021). A Healthy Cash Flow: The Most Crucial Element For Sustained Growth. Forbes.