UCB Case Study: Information Technology and Strategic Alignment

This report assesses the value of information technology (IT) within UCB, a multinational biopharmaceutical company. It explores the necessity of IT in UCB's operations, focusing on the potential shift to a Management Information System (MIS) like ERP systems. The report discusses the dilemma faced by UCB's CEO regarding the adoption of new systems, considering the benefits of digital technologies in healthcare, data analytics, and IT portfolio investments. It evaluates strategies for enhancing UCB's business through digital technologies, employing frameworks like RBV and VRIO. The report recommends that UCB adopt advanced technologies for research and development, emphasizing the importance of data analytics, and concludes that IT is crucial for innovation and improved healthcare treatments, suggesting the integration of technologies like Big Data and cloud computing for better patient care and business growth. The report is based on the case study 'UCB: DATA IS THE NEW DRUG'.

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Table of Contents
Introduction......................................................................................................................................2
Task – 1............................................................................................................................................2
Task – 2............................................................................................................................................3
Recommendation.............................................................................................................................5
Conclusion.......................................................................................................................................5
References........................................................................................................................................6

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Introduction
Information Technology (IT) is a base of many operations of an organization. UCB (Union
Chimique Belge) is a multinational biopharmaceutical company of Belgium. There are so many
things, which are totally control and manage by the help of information system. This report will
explain about the necessity of the IT in the UCB as well as business of the organization. There
are some issues for changing current system to Management Information System (MIS), such as
ERP systems. These systems are biennial for the overall growth of an organization. UCB is a
pharmaceutical company and it is not required information technology for all the services and
operations. MIS is also cost effective for the organization (Barney & Hesterly, 2012). So, need of
information systems and other services of digital technologies will discuss in this report.
There is dilemma in front of CEO of UCB, between adaptation of new systems for functioning of
UCB or not. It will discuss in later section of this report.
Task – 1
Digital technologies are helping in the healthcare sector from 2015. They provide medicine and
many things to patents for their help to treatment. Few things are important for the organization
as well as for the patents. UCB is having a data analytic system for managing all the data of
patents and medicines of neurology and immunology.
IT Portfolio investment is having four types, which are beneficial for the productivity of an
organization. First type is Informational investment, it is increasing business value in different
perspectives, such as Increased control, better information, improved quality of service, and
better tie management. It has little moderate risk in this investment for IT portfolio. UCB is
following this concept in their business processes.
Second, one is strategic investment in which different things are considered form-increasing
innovations for product as well as for processes. It will provide different business values, such as
increasing sales, market positioning, and competitiveness. It has high risk, but it will provide
potentially high returns. UCB will get so many benefits from this investment; such as an
Information System is providing better solutions and it make a different image of UCB in the

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market. Third, one is transactional investment in which cost cutting is used for increasing
throughput of organization. It has low risk, but it will provide solid returns in future. UCB is also
reducing cost effective processes form different operations.
Last one is infrastructural investment for IT portfolio in which different things are considered for
the increasing business values, such as business integration, flexibility in business, reduced
marginal cost of business unit’s IT, reduced IT costs, and standardization of infrastructure. It has
moderate risk but return good things to organization.
Analytics as a Service (AsaS) framework is used for providing facilities to patients. Chief
Information Officer (CIO) of UCB is in dilemma of choosing new information system for the
organization (Barney, 1991).
Health care systems are improved and patients are not depended on the doctors for advice. There
are online shops and system, which are used as a guide for treatment. Multinational companies
are also having interest in the health care field, such as Apple Inc., Google, international
Business Machine (IBM), and Samsung Electronics Co. there are lot of information are available
on internet about the medicine and advice for them (Chan & Reich, 2007).
According to De Prins, New systems are based of the Machine learning and data solution
technologies for handling new challenges. They used cognitive computing algorithms for
analyzing different things form the collected data from different sources (Eisenberg, 2010).
UCB is providing helps to the patients of several diseases of the immune system, such as Lupus,
and osteoporosis. UCB is having their offices in different 40 countries all over the world, with
the more than 7000 employees. UCB is having own research and development centers. They
spend 27 percent of its revenues on research (Henderson & Venkatraman, 1999).
There are so many things, which should integrated with the health care and it will provide better
treatment for the patients and increase the business of an organization. The different units of the
organization, such as function unit, and global operations, support it (Hernandez & Zhang,
2017).

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Task – 2
New Strategies are defiantly enhancing business of the UCB in the field of pharmaceutical
industries. Digital technologies are changes whole worlds working processes. Although, UCB is
successful with their previous technologies, but new technologies and strategies are helpful for
the UCB.
Resource based view of the firm (RBV) is helpful for understanding the strategies of the system.
It is a digital disruption in the field of medical health science system. Watson is helping in the
field of health care system. IBM’s Supercomputer Watson is used for providing scientific help
for patents treatment (Ryssel, et al., 2004).
Digital technologies are changing the working style of the current process. There are few things,
which are not changes because of few security reasons. There are still research is going on for
making changes in those services by the digital technologies. Big Data technology is providing a
different face to the UCB and they are always ready to adopt digital technologies for overall
growth of business (Soh & Markus, 1995).
Source: (business-to-you.com, 2016)

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VRIO framework is used for company’s internal characteristics and performance. Every
company should valuable for their customers, such as UCB is always having a value for thier
patients. Value of company is increase. When they mitigate threats and improve their efficiency.
Company is having rare resources then they are not having competition from their competitor
otherwise it is a competitive thing for their business.
Inimitable is third part of VRIO framework in which organization is having valuable and rare
resource and they take competitive advantages. However, competitors are trying to provide
substitute of that resource. RBV is providing three things by which resources can be imitable,
which are unique historical condition, casual ambiguity and social complexity.
Organizational-wide supported is fourth part of the VRIO framework in which company should
make a value of the resources. There are so many things in the company, which required a proper
guiding to use them for benefits, such as strategic planning, compensation policies and budgeting
system (Wu, et al., 2015).
New technologies are changing in all the processes of business. There are so many changes in
last two decades from the information technology. They show a new face of an organization or
change functions of any organization (Salesforce, 2018).
UCB is also using all the data for the innovation of new medications and treatment for the
different diseases of nervous system. UCB has tie-up with different universities for innovations
in the field of Narotechnologies, such as Harvard, and Cambridge University. These things are
enhancing the business of UCB in different fields of medical science (Jin, et al., 2007). Ethics
and morals are also helpful for making an organization different in their fields. UCB is following
these things for patents as well as for their services (Reynolds, 2011).
Recommendation
It is recommended to UCB that they should use advance technologies for the innovations in their
research centers. IT- services are must require for managing data and different operations of the
organization. It is also recommended that there is a few things are base of the innovations, such
as data of patents. There are so many things, which are come from the research and development

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team. It is also compulsory that innovations from different places are used for the health care
system, such as UCB tie-up with different universities.
UCB is having their Analytics as a Service framework for the handling all the research and all
the operations of the products and services of organization. UCB must inherit the new
technologies for providing better treatments to the patients, such as Big Data, Cloud computing,
and 3D printing (Soh & Markus, 1995).
Conclusion
It is concluded form the last parts of this report that, Information technology is a new face of
research and development in the field of medical science and all other fields. It is also concluded
that UCB must use the Data analytics systems for the treatment of the patents and it was helpful
for the UCB.
Digital technologies are used for the innovations as well as for guidance for the patents for their
treatments. Innovation is a fresh idea about the solving any problem in different fields. UCB is
also having a huge role for research and development in the field of medical science. They
integrate digital technologies for the solving problems of medical science field.
Finally, it is concluded that digital technologies are used for research and development in the
field of medical science. There are lot of information about the diseases and treatments.

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References
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