ChatGPT creates a digital transformation strategy for a pharmacy company - you'll never guess what happens next!
Pretty long one below, but fun if you’re into exploring the potential for AI stuff to make work-life less tedious.
In case you just wanted something fun, scroll to the bottom to see me become the victim of my daughter’s favorite joke.
Coming up with a digital transformation for a pharmacy company
As you may recall from a few episodes ago, I’m working on a talk about using ChatGPT/etc. to help remove the toil of doing digital transformation stuff.
Here’s me testing out this morning using it to help an executive think through a strategy handed down from the CEO. These kinds of requests are often vague and open ended, with little suggestion or hints of what to actually do.
This is simulating the meetings the CIO would have with their staff to “brainstorm” ideas. Each of those meetings is feed by more meetings from the staff and their teams. The staff in the big meeting doesn’t want to come unprepared, so they’ll chew up a lot of time in their own meetings. This creates a cascade of meetings that can become, well, toil.
And, then, remember, the CIO then has to go to another meeting to report back to the CEO.
Not only is this a lot of toil, but it creates a very staged, uninteresting meeting. Instead, to paraphrase a sentiment from Pat Gelsinger: let’s have the meeting in the meeting.
Below, I put my prompts in italics. I also removed filler and meta text from ChatGPT’s answers: things like “I will do this following” and it’s annoying habit of adding disclaimers.
I’ve also added some inline comments inside triple curly braces {{{like this}}}. I’ll add some more comments at the end.
The ChatGPT Session
I want you to act as a business consultant. I will ask questions and you will answer using specific examples, bullet points, and provide citations for further reading. In your answers using suggest principles and models of thinking that will help me understand the answers more. Include sources like the Harvard Business Review, the DevOps Report, and other material on systems thinking, DevOps, Sociotechnical system, organizational change, and similar research.
Sure…
I am the CIO of a pharmacy company. My CEO told me that we need to improve customer experience in the software that we use. Can you give me some ideas of what changes we would make to our software to improve customer experience? Please make them specific to the pharmacy industry, whether the software is used by our staff, suppliers, or customers.
Sure, here are some specific ideas for how your pharmacy company can improve customer experience in the software that you use:
Implement self-service options for customers: Allow customers to easily access their prescription history, refill prescriptions, and schedule delivery or pickup through a user-friendly online portal. This can save customers time and make it more convenient for them to manage their prescriptions.
Use chatbots or virtual assistants to assist customers: Implement chatbot or virtual assistant technology to answer common questions and help customers navigate your software. This can help reduce wait times and improve the overall experience for customers.
Integrate with other healthcare providers: Integrate your software with other healthcare providers to allow for seamless sharing of information and better coordination of care. This can help improve the overall experience for customers by providing them with more comprehensive and accurate information. {{{This is way too basic.}}}
Implement real-time inventory management: Use real-time inventory management to ensure that customers can always see the availability of products and quickly reorder items as needed.
Provide personalized recommendations: Use data analytics to provide customers with personalized recommendations for products and services. This can help improve the overall experience by providing customers with more relevant information.
Implement mobile-friendly design: Make sure your software is mobile-friendly and optimized for use on different devices. This can help improve the overall experience for customers by allowing them to access your software from anywhere, at any time.
Can you cite real examples of how each of these ideas have been done by other companies?
Sure, here are some examples of how other companies have implemented the ideas I mentioned to improve customer experience in their software:
Implement self-service options for customers: For example, CVS Health has a mobile app that allows customers to manage their prescriptions, check for drug interactions, and locate nearby stores. Walgreens also has an app that allows customers to refill prescriptions, check their prescription history, and find nearby stores. {{{Here, you would want to find the actual stories and include some before/after numbers from them.}}}
Use chatbots or virtual assistants to assist customers: For example, Walgreens has a chatbot on its website that can answer common questions and help customers find products. American Well, telemedicine company, uses virtual assistants to assist patients with scheduling virtual consultations and getting the right care.
Integrate with other healthcare providers: For example, Cerner, an EHR provider, has integrated with other healthcare providers to allow for seamless sharing of information and better coordination of care. {{{To make this better, you could explore some common problems that exist here and ideas to fix those problems.}}}
Implement real-time inventory management: For example, Amazon uses real-time inventory management to ensure that customers can always see the availability of products and quickly reorder items as needed. {{{Again, this is too general.}}}
Provide personalized recommendations: For example, Netflix uses data analytics to provide customers with personalized recommendations for TV shows and movies. {{{Too obvious. You’d need to narrow this down to drug/healthcare related things.}}}
Implement mobile-friendly design: For example, Uber has a mobile-friendly app that allows customers to request rides and make payments from their smartphones. {{{Again, not industry specific enough…or even use case specific. You would want to ask the AI to drill down on this a lot. Maybe “what are some mobile ideas for various age ranges, geographies, etc.”}}}
Now, can you suggest a plan for how we would implement each idea, including how long it would take and cost in US dollars? Please also explain how you came up with those estimates.
Sure, here is an example of a plan for implementing each of the ideas I mentioned, including estimates for time and cost:
{{{As you’ll see, I couldn’t get it to explain how it came up with these numbers - it’s likely just the predictive thing of “these numbers usually come after these ideas in text”…which…you know…is sort of how humans work when it comes to off-the-dome estimates, i.e., “well, based on what I’ve done in the past and heard of…”}}}
Implement self-service options for customers:
Time: 6–9 months
Cost: $100,000-$300,000
Steps:
Research and select a platform for building the self-service portal (1–2 months)
Develop the portal, including user testing and feedback (3–6 months)
Deploy and launch the portal (1 month)
Use chatbots or virtual assistants to assist customers:
Time: 3–6 months
Cost: $50,000-$100,000
Steps:
Research and select a platform for building the chatbot or virtual assistant (1–2 months)
Develop the chatbot or virtual assistant, including user testing and feedback (1–2 months)
Deploy and launch the chatbot or virtual assistant (1 month)
Integrate with other healthcare providers:
Time: 6–12 months
Cost: $500,000-$1,000,000
Steps:
Research and select the healthcare providers to integrate with (1–2 months)
Develop and test the integration (4–8 months)
Deploy and launch the integration (1–2 months)
Implement real-time inventory management:
Time: 3–6 months
Cost: $100,000-$200,000
Steps:
Research and select a platform for real-time inventory management (1–2 months)
Develop and test the real-time inventory management system (1–2 months)
Deploy and launch the system (1 month)
Provide personalized recommendations:
Time: 6–12 months
Cost: $200,000-$500,000
Steps:
Research and select a platform for data analytics (1–2 months)
Develop and test the personalized recommendations system (4–8 months)
Deploy and launch the system (1–2 months)
Implement mobile-friendly design:
Time: 3–6 months
Cost: $50,000-$100,000
Steps:
Research and select a platform for building a mobile-friendly app (1–2 months)
Develop and test the app (1–2 months)
Deploy and launch the app (1 month)
{{{I’m leaving this disclaimer text in to show how responsible this thing is being:}}} Please note that these are rough estimates, and the actual time and cost will depend on the specific needs of your pharmacy company and the resources available. Also, these estimates are based on the information available to me as of 2021 and some of these estimates might have changed due to the market inflation and technology advancements. I recommend consulting with experts in the field, such as software development firms and other industry professionals, for more accurate estimates and guidance on how to implement these ideas.
Put each of those into spreadsheet format. The first column will be the name of the idea. The second will be the estimated cost. The third will be the estimated time. Add a forth column that has an estimated time to return on investment.
{{{We’ll need to make a PowerPoint that summarizes all of this, after all! With a formatted table, you could copy and past this into Excel to make charts, or whatever. I used the ChatGPT desktop app for this, which allowed me to export this table into markdown…which is not supported in substack…so I took the below screenshot.}}}
Sure, here is an example of a spreadsheet with the ideas and estimates that I provided earlier:
{{{There was a big disclaimer reply here as well. It’d be great to figure out how to turn that off.}}}
Can you give me citations for material you used to come up with all of this?
{{{Here, you can see things breaking down.}}}
I apologize, but as a language model, I do not have access to external sources while providing answers. The information I provided is based on my training data, which includes a wide range of information from various sources such as news articles, research papers, and books. Some of the information may be from the Harvard Business Review, the DevOps Report, and other material on systems thinking, DevOps, Sociotechnical system, organizational change, and similar research, however, I do not have the specific citations for the material. I recommend consulting with experts in the field and conducting your own research to learn more about the specific ideas and strategies for improving customer experience in the pharmacy industry.
Can you describe how you came up with the estimates for the above?
{{{This is a good example of ChatGPT-salad. There is a lot said here, but nothing very helpful…not unlike a lot of the conversation in these kinds of meetings!}}}
The estimates I provided for the cost and time to implement each idea are based on my understanding of general software development costs and timelines. The cost estimates take into account the complexity of the project, the resources required, and the potential need for additional technology or equipment.
For example, the cost of implementing self-service options for customers is estimated to be between $100,000 and $300,000, with a time frame of 6 to 9 months. This estimate is based on the assumption that the project would require the development of new software features and interfaces that allow customers to manage their own accounts and orders, as well as the integration of these features with existing systems. This type of project typically requires a team of developers, designers, and project managers, which can add to the cost.
The estimated time to ROI is also based on the assumption that these changes will help the company to improve customer satisfaction, increase efficiency, and reduce costs. However, these estimates are highly dependent on the company’s revenue and overall financial situation, and it’s not possible to give a definite time frame without more information.
Similarly, the cost and time estimates for the other ideas are based on my understanding of the complexity of the project, the resources required, and the potential impact on customer experience. However, these estimates are rough, and the actual time and cost will depend on the specific needs of your pharmacy company and the resources available. It is recommended to consult with experts in the field, such as software development firms and other industry professionals for more accurate estimates and guidance on how to implement these ideas.
{{{In a separate session, I asked it to summarize the above in three sentences, in first person. It replied: “I have provided cost and time estimates for implementing software development projects, based on my understanding of general software development costs and timelines. These estimates are based on the complexity of the project, the resources required, and the potential need for additional technology or equipment. Additionally, the estimated time to ROI is highly dependent on the company’s revenue and overall financial situation. It is recommended to consult with experts in the field for more accurate estimates.” }}}
Tell me the assumptions you made about each estimate above and show me the forumla [stet] you used to come up with the estimates.
{{{Again, this is not really very useful.}}}
The assumptions I made for each estimate are:
Self-service options for customers:
The project requires the development of new software features and interfaces that allow customers to manage their own accounts and orders, as well as the integration of these features with existing systems.
The project requires a team of developers, designers, and project managers.
The cost of the project is estimated to be between $100,000 and $300,000, and the time frame is 6 to 9 months.
Automating refill orders:
The project requires the development of new software features and interfaces that allow customers to schedule refill orders automatically and receive notifications when their orders are ready.
The project requires a team of developers and designers.
The cost of the project is estimated to be between $50,000 and $150,000, and the time frame is 3 to 6 months.
Improving the ordering process for suppliers:
The project requires the development of new software features and interfaces that allow suppliers to place orders more easily and track their status in real-time.
The project requires a team of developers and designers.
The cost of the project is estimated to be between $50,000 and $150,000, and the time frame is 3 to 6 months.
Enabling real-time inventory tracking:
The project requires the development of new software features and interfaces that allow the pharmacy staff to track inventory in real-time, and receive notifications when items are running low.
The project requires a team of developers and designers.
The cost of the project is estimated to be between $50,000 and $150,000, and the time frame is 3 to 6 months.
Implementing chatbot support:
The project requires the development of a chatbot that can assist customers with common questions and tasks.
The project requires a team of developers, designers, and project managers.
The cost of the project is estimated to be between $50,000 and $150,000, and the time frame is 3 to 6 months.
I want to explore the idea of chatbot support. Can you list five potential benefits and five potential risks for that idea? Narrow down to the market just being the United States.
Potential benefits of chatbot support for a pharmacy company in the United States:
Increased efficiency: Chatbots can handle a large volume of customer queries, helping to reduce wait times and improve response times.
Improved customer satisfaction: Chatbots can provide customers with 24/7 support, making it more convenient for them to get help with their questions or issues.
Reduced labor costs: Chatbots can take on many routine tasks that would otherwise be handled by human customer service representatives, potentially reducing labor costs.
Enhanced personalization: Chatbots can use natural language processing and machine learning to understand customers' needs and provide personalized responses.
Gather customer data: Chatbots can also gather customer data, such as frequently asked questions, which can help the company to improve its products and services.
Potential risks of chatbot support for a pharmacy company in the United States:
Limited capabilities: Chatbots can only handle a limited set of tasks and may not be able to handle more complex queries or issues that require human intervention.
Privacy and security concerns: Chatbots can collect a significant amount of customer data, which could raise privacy and security concerns if not handled properly.
Misunderstanding customer needs: Chatbots may not be able to understand the nuances of human communication, which could lead to misunderstandings or frustration for customers.
Lack of personal touch: Chatbots may not be able to provide the same level of personalization and empathy as human customer service representatives, which could negatively impact customer satisfaction.
Technical issues: Chatbots are dependent on technology, and technical issues can cause the chatbot service to become unavailable or not function as expected.
For the chatbot idea, create a model {{{I don’t know the right word to use for “system of thinking,” “structured way of thinking through a problem,” etc. In my own vocabulary, I use the word “mode,” so here we are.}}} for how we would measure success in three months, six months, and then in 12 months. The model should have five metrics to track in each phase that are relevant to the stages you suggested in your plans above for chatbots.
{{{This resulted in a very repetitive reply. Each stage had pretty much the same thing in it. So, I’ve deleted the reply. I asked it to redo it:}}}
Please rewrite the above dropping the three, six, and 12 months breakouts. Also: add metrics values that would be considered successful and include estimates for industry benchmarks for each.
To measure the success of implementing a chatbot support system, we can track the following metrics:
User Satisfaction: This can be measured through surveys or by tracking the number of positive comments received. A successful outcome would be a satisfaction rate of 85% or higher. Industry benchmark: 78%
Resolution Rate: This measures the percentage of customer inquiries that are resolved by the chatbot. A successful outcome would be a resolution rate of 70% or higher. Industry benchmark: 65%
Average Handle Time: This measures the time it takes for the chatbot to resolve an inquiry. A successful outcome would be an average handle time of less than 2 minutes. Industry benchmark: 3 minutes
Deflection Rate: This measures the percentage of inquiries that are handled by the chatbot instead of human agents. A successful outcome would be a deflection rate of 50% or higher. Industry benchmark: 40%
Net Promoter Score (NPS): This measures customer loyalty and willingness to recommend the chatbot service. A successful outcome would be an NPS of 60 or higher. Industry benchmark: 55
Note: These metrics are based on assumptions and general industry benchmarks, actual results may vary depending on the company’s specific circumstances and implementation.
{{{I’m guessing it just totally made those numbers up? You’d want to go verify those for sure.}}}
Commentary on this experiment
Each of these suggestions from ChatGPT were sort of obvious. That said, the there’s still a lot you can do with them. In treating this session as brainstorming, you could take each of those ideas and have your human staff do some management consulting to see how well your organization was doing with each of these. They would get industry benchmarks (maybe the AI could help there!) and figure out how much potential there was to improve. For example, I’d imagine all pharmacy companies already “integrate with suppliers.” It’d be more interesting to rate how well you do this and see if there’s the potential for doing it better. What are some common ways of improving, some common problems…what are assumptions companies have that prevent them from improving?
I tried to feed it some sources, but it didn’t really seem to pull anything from there. However, those sources aren’t really relevant. The sources would be more for the next conversation: what are some organizational and “culture” changes I can expect to have to make in how we build and run software to implement all of this?
The toil removal here is based on not having that vortex of meetings and getting something very solid to start on. You can see that you could edit up this text, put it in a Google Doc, and assign people to do various verifications, fixing up, adding in stuff specific to your company, and “add your human brilliance to this.” This means you could shift to asynchronous meetings. You could also go down more ChatGPT rabbit holes.
This would also be a good way to skip a lot of prep and conversation you’d have before bringing in consultants to give you strategic advice. You could probably take two or four more hours to polish all of this up into a document. Then you’d take that and send it to the consultants and say “here’s some initial thinking from my team. What do you make of that?”
The next step would be asking this: “Act like a CEO who is reviewing the above as a proposal for a plan for the next 12 months. Come up with five questions the CEO may ask about the above and answers that the CIO would give.” But, my ChatGPT session crapped out. To do a full experiment here, I’d write-up the above in a memo, and then ask it for questions about it.
Overall, this is a good way to remove a lot of the toil that goes into “let’s do some of that digital transformation’ing!” It might be just 20 to 30% of total effort, it might be vague…but getting from nothing to that point is a lot of work and can ballon into a lot of work.
Wastebook
Pointing out that your situation is worse doesn’t make me feel any better about what I was originally complaining about.
Enshitheadification.
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