Family Medical Group

Identification
Key Facts

• Family Medical Group of Companies (FMG) currently has 2 divisions: o Distribution - which began operations in 1924, selling medical supplies to local hospitals
 Vice-president, Sam Collins:
• promoted internally after having moved through the ranks for over 15 years
• known for building rapport with customers
• easygoing personality and sharp wit
• considered a trusted and loyal employee
 Five branch offices located across Canada
 145 employees – many long-term employees still employed
 Has earned a solid reputation nationally for quality products and reliable customer service
 Cuts to healthcare spending in the 90’s has caused profits to decline drastically over the past 10 years
 Repositioned corporate strategy to cope with cutbacks
• New atmosphere of cost restraint and continuous change
• Some long-term staff terminated as a result of cutbacks
• Cutbacks have created constraints in hiring, leading to a significant impact on candidates o Manufacturing – created in 1986 to develop and manufacture innovative, new medical products
 Vice-president, Mark Olsen:
• hired externally, Bill needed someone with experience, vision and technical ability to manage production and R&D departments
• relatively young, but his charm and business approach have earned him respect
 180 employees
 Products being aggressively promoted internationally; sales have expanded into over 50 countries
 New product-line extensions developed, but not produced or promoted yet due to lack of resources
 Profits have been increasing significantly since inception
• Current HR Manager has been on leave for the past 13 months o Minimum of 10 vacancies to be filled at any given time o Training and development programs has suffered as a result o Have not had time to develop strategic plans or forecasting for either division Symptoms
• Profits in the Distribution division have declined drastically. Changes in strategic focus and