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Lessons from McKesson’s IT transformation

on ‎06-18-2012 11:27 AM

Like many enterprises, health care giant McKesson Corporation has needed to deal with legacy infrastructure and IT systems that were not as efficient or cost effective as they should be. In a video from HP Discover, HP Software Evangelist Paul Muller talks to Andy Smith, VP of Application Hosting Services at McKesson, to find out out how the IT organization went from lagging behind external competitors to one that consistently beats their competition in price and quality.





The journey started a couple years ago, when it became clear that IT had not kept up with the times. “We went out to our IT competition and benchmarked ourselves,” Smith says. Out of that exercise came the IT measures they needed to put in place to be able to compete.


Smith details exactly how the IT deparment went about its transformation. Knowing that they wanted to increase transparency, IT implemented the HP Executive Scorecard to expose cost, quality and process metrics. They met with customers to determine what was most important to them, and from there decided to focus on service availability and data protection.


Using the scorecard helped McKesson track a few critical KPIs. “If you get the operational metrics right,” Smith says, “cost and quality naturally improve.”


Smith also talks about the cultural changes that go along with a such a transformation. The video wraps with his views on the future of the CIO role and how IT needs to change to stay relevant.


There are more great customer interview videos on the HP Backstage playlist on YouTube. If you haven’t already visited, I urge you to check them out to get more information on how enterprises are tackling today’s IT challenges.

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About the Author


I have been a writer/editor in the technology field for several years.

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