Global Source Healthcare: Allocating Sales Resources
Case 3: Global Source Healthcare: Allocating sales resources
1) Has Global Source's sales strategy been effective? Would you recommend any changes to the sales strategy?
If you consider the sales strategy rationally, you can hardly conclude that the sales strategy was effective enough considering the problems Global Source are currently experiencing. As the healthcare industry is rapidly changing, most of the trends not favoring Global Source, they are not well prepared in their strategy of sales. Global Source is a comprehensive healthcare staffing company that provides domestic as well as international staffing services. They positioned themselves in the market as the one-stop-shop for every hospital’s outsourcing needs. The main idea of Global Source was to target international markets and developing a steady stream of international healthcare personnel to supply domestic hospitals. However, due to a cash flow shortage, Global Source was forced to enter the domestic market as well. A major problem Global Source is dealing with is the high dependency of three major accounts that includes roughly eighty percent of the revenues. Furthermore, they do not have any clear focus which potential customers to target. They deal with small and large hospitals, while they need a complete different attraction strategy, for example the possibility to become in contact with the responsible decision maker, the amount of personnel needed etc. Therefore, I believe that Global Source first needs to make clear what their focus should be and to determine which customers to target during their sales process (characteristics of the customers and which type of staffing). Therefore, it is valuable to evaluate domestic travel staffing and international recruitment both by comparing both pros and cons. Although CEO Siddiqi argues that the only solution to solve the shortage of cash flow is entering both markets simultaneously, I consider a clear focus as more important for a healthy
1) Has Global Source's sales strategy been effective? Would you recommend any changes to the sales strategy?
If you consider the sales strategy rationally, you can hardly conclude that the sales strategy was effective enough considering the problems Global Source are currently experiencing. As the healthcare industry is rapidly changing, most of the trends not favoring Global Source, they are not well prepared in their strategy of sales. Global Source is a comprehensive healthcare staffing company that provides domestic as well as international staffing services. They positioned themselves in the market as the one-stop-shop for every hospital’s outsourcing needs. The main idea of Global Source was to target international markets and developing a steady stream of international healthcare personnel to supply domestic hospitals. However, due to a cash flow shortage, Global Source was forced to enter the domestic market as well. A major problem Global Source is dealing with is the high dependency of three major accounts that includes roughly eighty percent of the revenues. Furthermore, they do not have any clear focus which potential customers to target. They deal with small and large hospitals, while they need a complete different attraction strategy, for example the possibility to become in contact with the responsible decision maker, the amount of personnel needed etc. Therefore, I believe that Global Source first needs to make clear what their focus should be and to determine which customers to target during their sales process (characteristics of the customers and which type of staffing). Therefore, it is valuable to evaluate domestic travel staffing and international recruitment both by comparing both pros and cons. Although CEO Siddiqi argues that the only solution to solve the shortage of cash flow is entering both markets simultaneously, I consider a clear focus as more important for a healthy