Eli Lilly and Company

In pharmaceutical manufacturing, unplanned production stoppages carry consequences far beyond lost output — regulatory timelines, patient supply commitments, and drug safety are all at risk. As Eli Lilly and Company scaled to serve markets across 120 countries, the boundaries between its IT and OT organizations blurred. Starting in the early 2000s, conflicts, gaps, and overlaps between the two domains caused direct operational incidents: production stoppages and cost overruns on technology deployments. The root issue was structural — no shared governance, no clear ownership of the manufacturing network layer, and two organizations that had independently expanded into each other's territory without a coordination model.

Eli Lilly restructured its IT/OT relationship around shared governance rather than reporting lines. Engineering leaders joined the IT Lead Team, and IT senior directors were paired with engineering counterparts. Responsibilities were explicitly divided: IT owned manufacturing network services and server support, while engineering owned process control software and logic. This organizational foundation enabled three major technology programs. First, a Manufacturing Execution System (MES) was deployed across production sites. Second, a global serialization program was implemented to meet regulatory traceability requirements, integrating vision systems, high-speed control, event management systems, and ERP platforms. Third, a data and analytics modernization initiative incorporated cloud, edge storage and computing, and industrial IoT to convert shop-floor data into operational intelligence. Rockwell Automation served as a core strategic and execution partner throughout.

The structured IT/OT partnership eliminated the organizational friction that had caused production stoppages and deployment cost overruns in the early 2000s. Key outcomes from over a decade of collaboration include:

• Cybersecurity: Joint IT/OT effort produced a risk assessment, immediate mitigation plan, and ongoing protection strategy for industrial systems
• Serialization: Global traceability solution deployed for all final product units, generating significant supply chain data now being analyzed for operational decisions
• Data architecture: Cloud and edge computing capabilities integrated at the shop-floor layer, enabling real-time visibility across manufacturing and quality operations

The company's digital transformation roadmap targets full deployment across major sites within ten years, with a predictive plant capability as a near-term aspirational milestone.

• Governance before technology: Eli Lilly's breakthrough came from redefining ownership boundaries and shared leadership structures — the technology implementations followed, not the reverse.
• Decade-scale timelines are realistic: Digital transformation in regulated pharmaceutical manufacturing cannot be rushed; plan for 10+ year roadmaps with staged milestones.
• Serialization data is a secondary asset: Regulatory-mandated traceability programs generate supply chain data that can drive separate analytics value if the architecture is designed for it.
• Shared purpose reduces friction: Anchoring IT/OT collaboration to a mission-level objective — in Lilly's case, 'safety first and quality always' — creates durable alignment across organizational lines.
• Engage strategic partners early: Core technology partners like Rockwell Automation should be involved at both the strategic planning and execution levels, not just deployment.