pfizer case study: accelerating new hire training to increase sales and productivity

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www.sumtotalsystems.com Success Profile Thanks to the SumTotal® learning system, we can now deliver and track more information and training faster than ever before.Steve Wells Director of the Learning and Performance Group Fast Facts Industry: Life Sciences & Pharmaceuticals Countries: USA and Global SumTotal Product: SumTotal Learning Accelerating New Hire Training to Increase Sales and Productivity BUSINESS CHALLENGES Reduce time and costs associated with new hire training Accommodate legacy content developed in-house and from third-parties Reach a large, widely dispersed workforce to reduce onsite training costs Eliminate unproductive wait periods for new hires Speed up a new hire’s training on local markets and procedures SOLUTION Using the SumTotal Learning Management solution, Pfizer Sales Training developed a Web-based blended learning program incorporating content from a variety of sources. RESULTS Increased market share for one physicians’ product by 900% Saved $1.6 million in the first year of implementation Reduces costs by $4.7 million (projected) over three years Speeds up training for new hires within their regions Consolidates four and a half days of sales orientation and training into less than two days Enables new hires to become productive almost immediately after starting REDUCE COST OF NEW HIRE TRAINING Pfizer recruits between 700 and 1,000 new salespeople each year. Through its original new hire training program, Pfizer required each new employee to attend a four and a half day orientation/training program onsite at corporate headquarters in suburban Philadelphia. This was followed by two or more days spent with district sales managers in the field gaining familiarity with local markets and procedures. The total annual cost for new hire training was about $10.1 million per year. In addition to budget costs, there were also significant intangible costs. These included productivity lost from new hires waiting for the next training session; the four and a half days new hires spent in training; and, for district managers, the time it took to review cor- porate policy with new hires in the context of their respective state and local regulations. Pfizer New York, USA www.Pfizer.com

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Learning management software for pharmaceutical, life sciences companies“Thanks to the SumTotal® learning system, we can now deliver and track more information and training faster than ever before.”—Steve Wells, Director of the Learning and

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Page 1: Pfizer Case Study: Accelerating New Hire Training to Increase Sales and Productivity

www.sumtotalsystems.com

Success Profile

“Thanks to the SumTotal® learning system, we can now deliver and track more information and training faster than ever before.”

— Steve Wells Director of the Learning and Performance Group

Fast FactsIndustry: Life Sciences & Pharmaceuticals

Countries: USA and Global

SumTotal Product:SumTotal Learning

Accelerating New Hire Training to Increase Sales and Productivity

BUSINESS CHALLENGES ■ Reduce time and costs associated with new hire training ■ Accommodate legacy content developed in-house and from third-parties ■ Reach a large, widely dispersed workforce to reduce onsite training costs ■ Eliminate unproductive wait periods for new hires ■ Speed up a new hire’s training on local markets and procedures

SOLUTION ■ Using the SumTotal Learning Management solution, Pfizer Sales Training developed a Web-based blended learning program incorporating content from a variety of sources.

RESULTS ■ Increased market share for one physicians’ product by 900% ■ Saved $1.6 million in the first year of implementation ■ Reduces costs by $4.7 million (projected) over three years ■ Speeds up training for new hires within their regions ■ Consolidates four and a half days of sales orientation and training into less than two days ■ Enables new hires to become productive almost immediately after starting

REDUCE COST OF NEW HIRE TRAINING Pfizer recruits between 700 and 1,000 new salespeople each year. Through its original new hire training program, Pfizer required each new employee to attend a four and a half day orientation/training program onsite at corporate headquarters in suburban Philadelphia. This was followed by two or more days spent with district sales managers in the field gaining familiarity with local markets and procedures. The total annual cost for new hire training was about $10.1 million per year.In addition to budget costs, there were also significant intangible costs. These included productivity lost from new hires waiting for the next training session; the four and a half days new hires spent in training; and, for district managers, the time it took to review cor-porate policy with new hires in the context of their respective state and local regulations.

PfizerNew York, USAwww.Pfizer.com

Page 2: Pfizer Case Study: Accelerating New Hire Training to Increase Sales and Productivity

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www.sumtotalsystems.com

© 2012 SumTotal Systems, Inc. All rights reserved. SumTotal, and the

SumTotal logo, are registered trademarks or trademarks of SumTotal

Systems, Inc. and/or its affiliates in the United States and/or other

countries. Other names may be trademarks of their respective owners.

012_0113LS

WEB-BASED STANDARD LEARNING PLATFORMPfizer needed a standards-based learning management system (LMS) to accommodate legacy content developed in-house and content from third-party providers. In addition, the LMS would need to be highly scalable to reach a large, widely dispersed work force to reduce the high costs associated with onsite training.SumTotal Learning Management was the ideal choice. Its standards-based architecture allowed Pfizer’s Sales Training to incorporate content from a variety of sources including legacy content, and SumTotal’s Web-based platform could scale to accommodate thousands of users all over the country and the world.The company’s sales training is now a blend of online lessons, readings, and one-to-one instruction covering company procedures, product information, selling technique, and regulations. Regardless of the delivery method, SumTotal Learning Management tracks each new hire’s progress. By having training available through the Internet blended with in-person training, responsibility is decentralized, shifting management to the district manager. Rather than having to wait for a lengthy, onsite session at headquarters, district managers can schedule training days so that new hires can become familiar with their district and become productive immediately.

INCREASED MARKET SHARE AND SAVINGSPfizer conducted an analysis on the savings realized from the SumTotal Learning Management implementation. For the first year, Pfizer expects to save $1.6 million, and $4.7 million over three years.Pfizer’s new blended learning approach allows district managers much greater flexibility in getting new hires in their regions up to speed on corporate policy and the local market (a benefit district managers describe as “priceless”). In addition, the program is highly effective in enabling new hires to become productive almost immediately after starting their jobs.“We can now deliver and track more information and training faster than ever before,” said Steve Wells, Pfizer’s Director of the Learning and Performance Group. “Our people want the knowledge they need to do their jobs better and more quickly.” Wells also explained that as the sales force becomes ever more computer savvy, Pfizer will be able to meet expectations for online training and information due to the solution’s tremendous ability to scale and incorporate dynamic new content and media.The company also analyzed the effectiveness of the training — focusing on the increase in sales of just one pharmaceutical product. Pfizer found that its Aspen-powered sales training was so effective that salespeople were able to move market share for this one product from 0.5 percent to 5 percent among high prescribing physicians — an increase of 900 percent.District managers and new hires are both enthusiastic about the new program as well as with the sales results of new hires that go through the program. Before, new hires had to wait as much as a month for training; now they can be in the field in a matter of days, contributing to the company’s revenues more quickly. Most new hires have requested that Pfizer use SumTotal Learning Management for all its training programs.District managers are thrilled to have a system they can use to get new salespeople immediately oriented to the company and to their respective districts. A common sentiment heard from district managers is, “I’ll never go back to the old way again.”

About SumTotalSumTotal Systems, Inc. is the global leader strategic Human Capital Management (HCM) solutions that provide organizations with a new level of visibility to help make more informed business decisions and accelerate growth. Recognized by industry analysts as the most complete solution, SumTotal provides full employee lifecycle management, including a core system of record, from a single provider for improved business intelligence. The company offers customers of all sizes and industries the most flexibility and choice with multiple purchase, configuration, and deployment options. We have increased the performance of the world’s largest organizations including Sony Electronics (NYSE: SNE), AstraZeneca (NYSE: AZN [ADR]; London: AZN), Amway (KUL:AMWAY), Seagate (NYSE: STX), Dell (NASDAQ:DELL), and Google (NASDAQ:GOOG). For more information, or to request a demo, please call +1 (866) 768-6825 (US / Canada), +1 (352) 264-2800 (international) or visit www.sumtotalsystems.com

About Pfizer Pfizer (NYSE: WYE) is one of the world’s largest research-driven pharmaceutical and health care products companies. It is a leader in the discovery, development, manufacturing and marketing of pharmaceuticals, vaccines, biotechnology products and non-prescription medicines that improve the quality of life for people worldwide. The Company’s major divisions include Pfizer Pharmaceuticals, Pfizer Consumer Healthcare and Fort Dodge Animal Health. Pfizer Pharmaceuticals has leading products in the areas of women’s health care, cardiovascular disease, central nervous system, inflammation, hemophilia, oncology and vaccines.