Q1: Examine the company current strategies.
The first current strategies that the Health Care Office Solutions, Inc (HCOS) is using is the niche (or focus) strategy by the Porter’s Typology. According to the Mark W. Johnson and Greg W. Marshall (2011), the service of particular target market, with each functional policy developed with this target market in mind. HCOS changed their name from the Printing Solution Incorporated to the Health Care Office Solutions, Inc (HCOS) because they realized that many of their best clients were doctors’ offices. In the 1985, HCOS decided to focus exclusively on the health companies specifically the doctors’ offices and small clinics. According to the sales force implications stated by the Porter’s Typology, the company will become the experts in the operations and opportunities associated with the target market. The HCOS has developed the national reputation working with the small to the medium sized doctors’ offices. The second HCOS current strategy is the differentiation strategy by the Porters’ Typology. According to the Mark W. Johnson and Greg W. Marshall (2011); creation of something perceived industry wide as being unique. After they changed the company’s name, they realized that their new reality of business also change too. They not only function as doing the printing job, but also more to the offices duties besides printing. As an example given by the case study 1.2, the HCOS is handling not only the printing but the stuffing, sorting, and fulfilment of their invoices, patient reminders and other mailing tasks. By providing excellent customer service and an understanding of the unique printing needs in the health care, HCOS successfully developed a local, regional, and finally a national reputation. The third HCOS current strategy is the Analyzer strategy by the Miles and Snow’s Typology. According to the Mark W. Johnson and Greg W. Marshall (2011); the company choose the high–growth markets whole holding onto substantial mature markets. Analyzers are an intermediate type of firm. They make fewer and slower product market changes than prospectors, but less committed to stability and efficiency than defenders. So, according to the sales force implications, ‘must balance multiples roles-servicing the existing customer, prospecting new customers, uncovering new applications, holding onto distribution of mature products, and supporting campaigns for new products. HCOS realized a niche helping doctors manage two critical functions of their offices; the first one is the billing patients and insurance companies and the second function is the marketing. The marketing service operation that run by the HCOS able to run an entire marketing campaign from
creation through printing, mailing and fulfilment, again using materials printed by them. As a result of the marketing campaign at physician conferences, advertising in medical journals, and of course, a dedicated field sales force, HCOS had seen a 26 years of growth.
Q2: Offer managerial suggestion to solve problems face by representative. One of the problems faced by the representatives is the high cost of hiring experienced salespeople. They focused on hiring salespeople with a background in health care because they felt it was more important for salespeople to understand the processes and procedures of doctors’ offices than the printing business. These individuals knew the unique challenges doctors faced to run a complex office while maintain the medical practice. On the other hand, they found out that they need to retrain them on the importance of customer relationship. Customer relationship management (CRM) is very important that put extra focus on customers to increase the profits and revenues. HCOS came to recognize how important it is to be connected to their existing consumer while reaching out to new ones. So, we decide to suggest HCOS to apply the customer marketing, or a focus on developing relationships with...
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