Management Consulting World 112.1

Analyze the SG&A files to compare the CAGR trends of competitors versus Impact’s US business across 2020–22 and 2022–24. For each SG&A Category, determine the percentage point change in CAGR between these periods, calculating the straight average across competitors and a specific value for Impact US. Tell me the SG&A category where the absolute percentage point difference between Impact’s CAGR change and the competitor average is the greatest. - State the percentage point changes for both Impact and the competitor average. - Identify the category with the largest difference between Impact and competitors. Percentage point outputs should be rounded to the nearest 0.01%. Write out what you find as a message back to me here.

Can you please calculate the z score of US 2024 Average Monthly Revenue per Head, for all of Impact’s sites? Use a distribution of US 2024 Average Monthly Revenue per Head per site for all the sites in the attached file, which has the monthly US operational data for all of Impact’s and competitor’s sites. You can allocate the yearly revenue from the respective P&L equally across all the respective sites and months. Tell me here the z score of only the Impact site with the highest absolute z score, and the SiteID of this Impact site. Use the standard deviation formula for sample, not population. Round the final answer to two decimal places. Write back to me with what I've asked for.

Can you take a fresh pass at our cost savings targets? Start by resetting the Manufacturing and Supply Chain savings goals based on the best-in-class cost as a percentage of 2024 revenue benchmarks. Then work backward to figure out what the SG&A savings target needs to be so that the combined US savings still reach the overall 20% reduction goal using 2024 numbers (across Mfg, Supply Chain, and SG&A, as we've defined in the cost reduction check-in deck). Then pull the SG&A savings from the identified initiatives Sable shared over chat, convert back into 2024 dollars by reversing the CAGR she applied, and compare them to the new SG&A target you calculated. I'd like to see what percent of the new SG&A savings goal we get from the identified SG&A initiatives. Send everything back to me as a message here. Tell me the updated savings targets for each cost center based on 2024 values in $, Sable's SG&A savings from identified initiatives in 2024 dollars, and the percent of the SG&A goal achieved by the identified initiatives in total. Round final $ values to the nearest $0.1M and final percentages to the nearest 0.1%.

We need to perform a payback period analysis for the investment to upgrade Lorexa's equipment to adopt continuous manufacturing. The methodology and results of the previous cost-benefit analysis of upgrading Lorexa's equipment, are in the attached memo. Based on recent research, we have identified the following increased benefits from continuous manufacturing: 1. The new target yield for equipment types will be 99.99%. This should further lower the cost of input material as calculated in the Lorexa Equipment Performance dataset. 2. The reduction in scrap cost, energy cost, cost of downtime, cost of planned maintenance, and maintenance feed will be twice the previous analysis. The calculated values for these from the previous analysis are provided in the table at the bottom of the memo and can be used directly to re-calculate the increased benefit from continuous manufacturing. 3. The number of equipment required in each category will be 50% lower (rounded to the nearest whole piece of equipment). The data in the 'batch summary all' tab of the Lorexa Equipment Performance dataset should be used as the source of truth for the current equipment count. Please let me know the following: 1. The new total savings from adopting continuous manufacturing 2. The new total one-time investment needed to upgrade Lorexa equipment 3. The payback period in years Round the dollar amounts to the nearest $0.01 and the payback period to the nearest 0.01 years. Print the answer as a message here.

Given the US imposed tariffs on the import of pharmaceutical materials from Germany, India, China at the rates 10%, 15%, 20% respectively, determine the impact of tariffs as a percent increase in predicted total cost of drug materials for 2025 compared to the same without the tariffs. State both % increase in cost and the dollar amount of the total cost including tariffs. Assume the suppliers and location remain the same. Also, calculate the predicted total cost of drug materials for 2025 if the client switches to exclusively domestic suppliers, using the average of the average percent material cost increase reported by latest group of six expert witnesses. State this average % value in the output. Assume the data reported by expert witnesses is per year. You can use the predicted total cost of drug materials for 2025 without the tariffs as the baseline. Round final outputs to two decimal places, giving $ values in billions. Return back to me what you find, printing the values out here.

Analyze the attached report and the continuous manufacturing report to state the FDA-encouraged manufacturing style that differs from traditional methods which is mentioned in both reports. Using the site-level KPI files and the savings percentages from the reports (using midpoints for ranges), calculate the 2024 YTD potential savings for Impact across Materials, Labor, and Overhead by shifting to this approach. Use "maintenance" savings for overhead if not specified. Next, using Impact's P&L, calculate the dollar value of a 20% reduction in US 2024 COGS (note that PnL values are in $Ks). Determine if the total estimated savings from above exceed this value. Additionally, state if any category-level savings exceed 10% of total US 2024 COGS. Finally, using the reports, cite two North America or EMEA-based pharma companies using this manufacturing style and state any reported cost reductions. Return all findings to me in here as a single message. Round output currency values to the nearest cent, but do not round intermediate steps.

Using the latest materials cost reduction analysis, assume Impact reduces its 2025 materials cost with current supplier relationships by 20%. Benchmark Impact's resulting 2025 materials cost as a percentage of revenue against the expected 2025 median cost of materials (given for each company as a percentage of total revenue). Do it for the six key competitors. To determine the expected 2025 materials cost for each competitor, calculate and apply each company's 2020–2024 materials cost CAGR to their 2024 material costs. To forecast total 2025 revenue, for both Impact and for each competitor, apply the 2020–2024 individual revenue sub-line item CAGRs to their corresponding 2024 values, and sum to total 2025 revenue. Reply to me with a message here, giving: the median value of the expected 2025 cost of materials (as a percentage of total revenue) among the competitor set. Also give Impact's expected 2025 cost of materials as a percentage of revenue, and the absolute value of the percentage point difference between the two. In your message, return all percentage and percentage point values to the nearest 0.01%.

Using the 2024 annual report, identify whether Impact Therapeutics sells primarily branded drugs. A company sells primarily branded drugs if the majority of drugs have launch dates within the last 7 years. Please use the BCG report to determine the average COGS as a % of revenue for competitors in Impact Therapeutics' segment, based on whether they sell primarily generic drugs, branded, or a mix. Round to the nearest %. In both the global and US geos, state whether Impact Therapeutics is above the segment average calculated from the data in the BCG report. Write your response as a reply to me here.

Using the research found on pharma marketing and articles around competitor shifts in SG&A spend, identify key trends that Impact can apply to SG&A spend that could reduce overall costs. In particular, please note any specific competitor stats around spend reduction related to these trends, as it can help indicate the potential cost savings for Impact. Please write summary on changes in pharma marketing, as well as sub-points for specific actions they are taking and any percentage decrease in expenses amongst competitors from files. Calculate how much Impact could save if they reduce spend by the straight average of reduction across competitors in the same cost categories. Additionally, include a summary on change in real estate spend and include any percentage decrease in expenses amongst competitors from files. Also, include a calculation of how much Impact could save if it reduces spend by the straight average of reduction across competitors. Write me a message with all the info above. Round to the nearest $.

Can you please do some what-if analysis of Impact with its 6 peers for 2024 US operations and let me know the following: If the Impact site with the lowest average monthly revenue per head operated at the average equipment utilization (rounded to two decimal places) of the site with the highest average monthly revenue per head, then what is the difference between the new 2024 revenue of that Impact site and its existing 2024 total revenue? Assume that the monthly batches produced are directly proportional to the monthly equipment utilization, and the monthly pass rate and the monthly revenue per batch passed remain the same. Also, if the Impact site’s existing monthly equipment utilization is higher than or equal to the new equipment utilization, then use the existing equipment utilization. You can allocate the yearly US revenue data equally across all the respective sites and months. Note that the data in all of the PnLs is in $Ks. Reply with your findings in a message here, showing the numbers in USD millions (rounded to two decimal places). Do not round intermediate calculations other than the equipment utilization specified above.

Can you do some benchmarking analysis of Impact with its 6 peers for 2024 US operations? Let me know the difference between the lowest average monthly revenue per batch passed and the highest average monthly revenue per batch passed of all the sites. You can allocate the yearly US revenue data from equally across all the respective sites and months to the monthly site operations data. The data in all of the PnLs is in $Ks. Let me know the answer in dollars rounded to the nearest $0.01. Reply to me here with exactly what I asked for.

Calculate the difference in dollars between Impact's actual 2024 US COGS and the hypothetical US COGS if they reached the straight average of COGS as a percentage of revenue given in Exhibit 2 of the BCG report. - Use absolute values for all calculations. - P&L values are in thousands of dollars ($K). - Round all percentages to the nearest whole percent before calculations. - Round all dollar values in the calculations to the nearest $0.01. - Round dollar to the nearest integer in your output. State whether the Site Ops savings target in the check-in deck is a "realistic target." That means it must be less than or equal to 1.15 times the value determined above. Please give me your answers here.

Calculate 2024 manufacturing overhead (MOH) costs in $ for each Impact plant. Use the midpoint value of the benchmark ranges for the specific product type manufactured at the plant from the attached file applied to each plant's COGS. Impact's products can be categorized into product types using the 2024 Annual Report. Assume that Papinex and Strevalent are manufactured in Legacy facilities, while Lorexa, Darcylis, and Noralix are produced in Typical Mid-Maturity plants. Derive plant-level COGS from the 2024 US COGS in the PnL using the following allocations: Lorexa (17.71%), Darcylis (8.57%), Papinex (23.43%), Strevalent (29.71%), and Noralix (20.57%). Note that all PnL dollar values are in $Ks. Report the total expected savings at each plant and in total across plants, based on two initiatives: the extension of asset useful life and componentization. Assume plant depreciation is 15% of the calculated MOH cost, with the asset life extension providing savings of 17.5% of that depreciation and componentization providing savings of 5% of the total MOH. Last, identify which specific product type is associated with the highest overall expected savings across plants. Return back for me a message with: a) MOH cost at each plant, b) total expected savings across all plants from extension of asset useful life and componentization, and c) a statement identifying the product type that is associated with the highest overall expected savings. Report currency values in $ and round to the nearest $.

I want to inform client discussions around what action to take regarding sourcing of materials and the speculated tariffs. Can you summarize averages of the following 3 data points pertaining to tariffs from the latest group of supply chain expert witness interviews: 1. % of competitors that are shifting sourcing to domestic US material suppliers. 2. % of competitors that are exploring international diversification. 3. Average % increase in material costs for companies that moved sourcing exclusively to the USA. Take an average of the values identified for each data point, and adjust for outliers by removing any values that are more than 1.5 population standards deviation from the mean. Also only consider data from expert witnesses with a seniority level of Director, VP, or Chief in their job titles. Write your reply straight here. Your final outputs should be rounded to the nearest .01%.

Review industry reports to determine the range of industry-wide reductions in force (RIFs). Using Impact’s revised SG&A breakdown, calculate the cost savings Impact would achieve by reducing its sales force by comparable amounts, testing both the low and high ends of the range. Using 2024 figures, assess whether these reductions are sufficient to achieve a 20% total reduction in Sales & Marketing expense. If not, calculate the percentage reduction in the sales force required to reach the 20% Sales & Marketing cut. Round final answers to the nearest 0.01% or $0.01. Print out your findings to me here now.