...MBA Consulting Project Customer Loyalty as a Function of Brand Penetration Growth Arguably, generating customer loyalty is a prerequisite for effective ad campaigns. Frederick Reichheld claimed in the 1980s that by increasing customer retention by 5%, profitability would increase from 25% to 85%. Since then, profitability has actually increased 25% to 100%. Subaru used a multi-platform marketing campaign which included online and offline elements as well as a customer relationship management scheme, with personalized direct communications According to Andrew Ehrenberg's "double jeopardy rule", small brands are said to be "doubly jeopardized" because they have fewer buyers who are less loyal to the brand, while large brands tend to "benefit twice" as a result of higher market penetration, increased buying frequency and customer loyalty. Brands looking to increase customer loyalty should focus on increasing penetration, since loyalty follows as a logical consequence of brand penetration ." Consumer loyalty can also be increased by creative marketing campaigns that generate buzz and stimulate word-of-mouth. As opposed to simply looking at attitudinal loyalty, it is important to observe price sensitivity as a measure of consumer commitment to a brand. Multi-media campaigns are an effective way to stimulate market share, thereby increasing brand loyalty. An important part of any marketing mix is the use of television advertising, which repeatedly demonstrates it's superiority...
Words: 4393 - Pages: 18
...Supply Chain Efficiency in the Healthcare industry Introduction Healthcare in US is a major area with the country spending almost 16% of its GNP on healthcare costs. The healthcare industry is expected to grow and consume a greater share in the next few years. Hospitals are complex organizations providing a multitude of services to patients, physicians, and staff. These services include dietary, linen, housekeeping, physical plant engineering, pharmacy, laboratory, inpatient treatment (nursing units), surgery, radiology, administration, and others. In the national debate over how to make U.S. healthcare more efficient, one promising area for reform is often overlooked: supplies. Whether the products are knee implants, pacemakers, or expensive medications, hospitals have long purchased whatever doctors desired with little discussion among the parties involved about cost. Healthcare supply chain system is an extremely complex “adsorption model” that moves products downstream with limited visibility into product demand at the point of use. The outcome of the current model results in products that can be out-of-stock as much as 15 percent of the time. The pressures on hospital supply chains are changing too. In the past, a hospital that managed its purchasing costs well could operate efficiently. Today, the cost of materials management can exceed 35% of a hospital's operating budget, with nearly 20-25% attributable to supply costs alone. Despite the supply chain representing...
Words: 2486 - Pages: 10
...Integrated Essay: Value Chain Analysis Introduction The purpose of this essay is to analyze the strength and weakness of the value chain for the Department of Veteran Affairs Supply (Value) Chain. Core Concepts The objective of this analysis of the Department of Veteran Affairs Supply (Value) Chain is to provide clear and concise identification of strengths and weaknesses (internal) opposed to opportunities and threats (external) (SWOT) critical to the viability of the value (supply) chain. Porter’s Generic Value Chain is the model for the analysis that identifies information, value-adding activities, e.g., primary activities, inbound logistics, and outbound logistics within the larger value system. The value-added to the value chain is the support services increase the efficiency of current Veterans Affairs supply chain. The data captures analytics requirements for informed decision; the results will be propagated as research. Analysis Analyzing the Department of Veteran Affairs Supply (Value) Chain one must consider core concepts, the value chain, value-generating activities and feasibility of the supply chain. The management of key VA organizations and contractors are vital to sustainability of the integrated enterprise supply (value) chain. According to Porter (1985) “Value chain is the analysis of a business as a chain of activities that transform inputs into outputs that creates value for customers. For analyzing the sources of competitive...
Words: 671 - Pages: 3
...Improve collaboration in healthcare supply‐chain © 2013 Copyright iCog gnitive Pte. Ltd. All rights reserved Applying SCOR model John Paul Professor & Research Fellow, BEM (Bordeaux Ecole de Management), France Qualified SCOR® Instructor , by Supply Chain Council Q , y pp y Managing Director, iCognitive PLAN SOURCE MAKE DELIVER RETURN Introduction: • The Supply‐Chain Council’s definition of a Supply Chain applied to Healthcare © 2 2013 Copyright iCognitiv Pte. Ltd. All rights rese ve erved – Define and Analyze Supply Chain(s) Define and Analyze Supply Chain(s) – Some metrics to monitor performance – A model to help identify gaps and inefficiencies in processes – Fix inefficiencies with leading practices and tools from industry, take costs out © 2 2013 Copyright iCognitiv Pte. Ltd. All rights rese ve erved Healthcare SC (Hospital) ‐ Example Pharmaceutical sales and marketing – Example • Pharmaceutical sales and marketing activities have their own set of logistics related activities that can be fully described using the SCOR model Segment Analysis, Marketing Planning Plan © 2 2013 Copyright iCognitiv Pte. Ltd. All rights rese ve erved Patients Pharmacies, Hospitals, Doctors Deliver Return Suppliers’ Supplier Source Make Return Deliver Return Supplier Internal or External Marketing Data Suppliers Source Make Deliver Source Return Return ...
Words: 631 - Pages: 3
...INTRODUCTION In our report, we will be discussing on one of the major driving force for the long-term profitability and competitiveness of a firm, i.e. Sustainable Supply Chain Management. This has become one of the most recognized strategic goals by the leading global organizations in the world. Sustainability in Supply Chain Management refers to the fact that organization should not only fulfill the wants and expectations of their stakeholders, but also avoid actions that reduce the ability of the interested parties, including the future generations to meet their needs. In order to elaborate, how a leading global organization takes Sustainable Supply Chain Management as a strategic goal, we have prepared our report on GSK’s Sustainability elements. GSK is one of the world’s leading research-based pharmaceutical and healthcare companies, developing and supplying medicines to a huge global market. The company employs more than 97,000 people in over 100 countries and has an extensive worldwide supply chain. GSK’s mission is to help people do more, feel better, live longer. They do this through investing in R&D, adopting flexible approaches to pricing, promoting open innovation, and strengthening healthcare systems. By growing their business and extending access to their medicines, GSK ensures long term commercial success as well as creating value for its shareholders and delivering economic benefits to the wider society. GSK contributes directly and indirectly to the economic...
Words: 4386 - Pages: 18
...TABLE OF CONTENT TITLE | PAGE | 1. Background of Fedex | 2 | 2.1. Fedex History | 2 | 2.2. Fedex Malaysia | 3 | 2.3. Fedex Supply Chain | 4 | 2. Product Offered by Fedex | 5 - 10 | 3. Services Offered by Fedex | 11 - 12 | 4. Swot Analysis of Fedex | 13 - 15 | 5. Conclusion | 16 - 17 | 6. References | 18 | 7. Appendix | 19 - 20 | 1. BACKGROUND OF THE COMPANY 2.1. FedEx History FedEx Corporation is the short name originally from Federal Express Corporation. FedEx is one of an American involve in global courier delivery services industry. It was founded as a company in 1973 as Federal Express Corporation. The idea of integration delivery airplanes and trucks into one delivery system founded by Frederick W. Smith. FedEx Company headquartered in Memphis, Tennessee United States. A city selected for its geographical centre to the original target market cities for small packages. In addition, the Memphis weather was excellent and rarely caused closures at Memphis International Airport. The company began its operation in April 1973 which are 14 small aircraft from Memphis International Airport were launched. Federal Express delivered 186 packages to 25 US cities. In 1998, FDX Corporation was founded in January 1998 with the acquisition of Caliber System Inc. by Federal Express which is roadway services. Extension by an acquisition of Caliber, FedEx start to offer others...
Words: 3571 - Pages: 15
...Avon Products, Inc. – 2013 A. Case Abstract Headquartered in New York City, New York, Avon Products, Inc. competes as one of the world’s largest direct-seller firm, and is the largest direct-seller of cosmetics and beauty-related items. Most of Avon’s sales come from its 6.4 million independent sales representatives (considered independent contractors) that serve in 110 countries. Avon employs 39,100 people and only 4,800 of them are employed in the USA. Avon generates 85% of their revenue from outside of the USA. Avon earned a net income of $517.8 million in 2011, but reported a loss of $38.2 million in 2012. The company has recently slipped in revenue due to currency rates and North American sales with a 13% drop in active sales representative. B. Vision Statement Actual: To be the company that best understands and satisfies the product, service and self-fulfillment needs of women – globally. Proposed: To be the company that provides the best foundation for women by offering a wide variety of products that appeal to any women’s needs and tastes. C. Mission Statement Actual (in summary due to length): 1) Leader in global beauty 2) women’s choice for buying 3) premier direct-selling company 4) most-admired company 5) best place to work and 6) to have the largest foundation dedicated to women’s causes. Proposed: Our mission as a company is to provide a unique portfolio of beauty, fashion and home brands to satisfy women globally. We encourage utilizations...
Words: 2067 - Pages: 9
...The globalization of healthcare has provided opportunities for many organizations to rapidly develop their products and to expand their network of customers. But with this globalization, we also need to realize there are also a number of important economic and public health concerns. Healthcare organizations have an obligation to understand the interdependencies inherent in their supply chains, and to examine their supply chain practices through a strategic lens focused on the public’s health. We are seeing changes in where and how many healthcare products are produced and this is not always in the best interest of U.S. hospitals or our patients. Mike Alkire, president of Premier Purchasing Partners, has been analyzing this trend for many years. “Today more than 90 percent of all nutritional supplements, facemasks, exam gloves, and other products are manufactured overseas,” says Alkire. “China manufactures two-thirds of the world’s aspirin and 70 percent of its penicillin. If there was a global pandemic, whose population do you think would get the goods?” The current edition of Premier’s Economic Outlook examines these important issues. According to the analysis, there have been dramatic upticks in pricing for raw materials that are foundational to many healthcare products, including oil (up 28 percent in the last 12 months) and cotton (up 138 percent in the last 12 months). The increases are largely due to political instability and increased demand for raw materials...
Words: 341 - Pages: 2
...SSW has evolved into a shared service provider, allowing for the full continuum of Supply Chain Services (Procure-to-Pay – P2P) to their equity member hospitals. | TABLE OF CONTENTS Executive Summary…………………………………………………………………………………………………..…………………1 Issue Identification…………………………………………………………………………………………………….………………..2 Operating Environment and Root Cause Analysis……………………………………………………………………2 – 4 Alternatives and/or Options………………………………………………………………………………………………………...5 Recommendations and Implementation Plan………………………………………………………………………………..6 Monitor and Control……………………………………………………………………………………………………………....7 – 8 Resources……………………………………………………………………………………………………………………………………8 EXECUTIVE SUMMARY Healthcare organizations are facing funding constraints and budget deficits which have created a need to find greater value within the supply chain. With the reality of an aging and diverse population requiring different needs, they are under considerable pressure to improve financial and operational efficiency. As organizations head into the future they are striving to create a better system that achieves higher quality at lower costs. The formula to get there is to attain value, which equals quality over cost. Shared Service Organizations (SSO) exist to leverage volume Procure-to-Pay (P2P) procurement functions to secure better costs from its suppliers. This practice is becoming more common in the healthcare industry. Shared Services West (SSW) is an SSO that seeks to drive value...
Words: 2428 - Pages: 10
...Johnson and Johnson Supply Chain Case Analysis Table of Contents I. Executive Summary…………………………………….3 II. Backgound / History……………………………………4 III. Supply Chain Analysis…………………………………5 IV. Recommendations………………………………………7 V. Work Cited………………………………………………8 I. Executive Summary Johnson and Johnson is a medical devices, pharmaceutical and consumer packaged goods manufacture founded in 1886. They are U.S. multinational company, who is listed among the Fortune 500. Johnson and Johnson Credo is a statement of their values and responsibilities that was written over 60 years ago. It articulates their responsibilities to customers, employees, communities and shareholders. There philosophy and core values are centered and desired to provide the safest and most reliable products and services to their customers. Johnson and Johnson offer’s a diverse business. A business that is a leader and offers many medical devices, pharmaceutical and consumer packaged goods that dominate over their competitor’s. There forecast show’s growth despite them facing challenges. They have successfully employed strategies to differentiate themselves that helps them distinguish themselves from its competitors. Johnson and Johnson does not have control over external supply chain, but are committed to ensure operations on their behalf are consistent with their values. With an annual spending being about $30 billion, they are able to leverage their purchasing power and set expectation...
Words: 1300 - Pages: 6
...Cold chain in healthcare is defined as the temperat ure-controlled supply chai n involving a system of transporting and storing vaccines and pharmaceutical drugs. It consists of three major components − transport and storage equipment, trained personnel, and effi cient management procedures. The majority of the vaccines in the cold chain are typically maintained at a temperature of 35-46 degrees Fahrenheit [2-8 degrees Centigrade]. Maintaining cold chain integrity is extremel y important for healthcare product manufacturers. Especially for the vaccines, improper storage and ha ndling practices that compromise vaccine viability prove a costly, time-consuming affair. Vaccines must be stored properly from manufacture until they are available for use. Any extreme temperatures of heat or cold will reduce vaccine potency; such vaccines, if administered, might not yield effective re sults or could cause adverse effects. Effectively maintaining the temperatures of storage units throughout the he althcare supply chain in real time − i.e. , beginning from the gathering of the resources, manufacturing, distribu tion, and dispensing of the products − is the most effective solution desired in the cold chain. Also, the location-tagged real-time environmental data about the storage units helps in monitoring the cold chain for spoiled products. The chain of custody can be easily id entified to assign product liability. A study...
Words: 1183 - Pages: 5
...Introduction Supply chain management is an integral component of operation management and has a direct effect on how successfully organizations function. The purpose of supply chain management is to remove communication barriers and eliminate redundancies by coordinating, monitoring, and controlling processes within an organization. Identifying the components of the supply chain, facilitating better decision-making, creating improved communication, and identifying weak links in the chain causing bottlenecks in an organization are crucial to supply chain integration. There are three principle elements of supply chain integration: management of information and financial flows, inventory management, and management of relationships of trading partners (Power, 2005). Modern businesses are dynamic in nature and to stay competitive (organizations) need to optimize their business processes by understanding and reacting to the rapid changes in their environment' (Banavar, Black, Caceres, Ebling, et al, 2005). Dialysis, a specialized field in the healthcare industry, is a major business entity with penchant for a rapidly changing environment. Dialysis is a medical treatment for individuals with limited or no kidney function and without this specialized therapy these unfortunate individuals would not survive. In dialysis, supply chain management is crucial from all aspects in providing comprehensive and adequate patient care. The constant changing needs of patients and the organizational...
Words: 2831 - Pages: 12
...Introducing our Animal Healthcare line in Vietnam Market study and entry strategy: The Himalaya Drug Company has been in the market of phtyo-pharmaceuticals for animal healthcare for quite a few years now. As compared to most other organizations which are in the chemical products segment, Himalaya’s products are created completely from natural products. They manufacture and export drugs for livestock, Poultry, Aquaculture, and domestic pets. As of today, the organization is expanding its market share within India and exports to over 82 countries. Target Country: We will be researching the feasibility of entering the animal healthcare sector in Vietnam. The country has a population of 86 million people and the economy has been growing at 7-8% for the past two decades. About 70% of the population earn their livelihood from agriculture and animal husbandry. Furthermore, about 60% of the agriculture segment is also dependant on livestock and poultry. From the Ministry of Agriculture and Rural Development (MARD), livestock in Vietnam exists mainly in two forms: industrial farms and farmer (family) households. In 2011, there were 23’000 farms and 8.5 million household farms country-wide. They consist of 10,100 pig farms, 8.7 cattle farms and 3,800 poultry farms. As seen, there has been a phenomenal increase in population which has more than matched the production over the years. Though the population of livestock is very large, the overall market in its healthcare and upkeep is underdeveloped...
Words: 1873 - Pages: 8
...Implementation Guide for the Use of Bar Code Technology in Healthcare Sponsored by Implementation Guide for the Use of Bar Code Technology in Healthcare © 2003 HIMSS 230 E. Ohio St., Suite 500 Chicago, IL 60611 All rights reserved. No part of this publication may be reproduced, adapted, translated, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. HIBCC ® and HIN® System are trademarks of the Health Industry Business Communications Council. ISBN: 0-9725371-2-0 Table of Contents Preface . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .v Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .vii Acknowledgments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .xi Chapter 1: The Basics What is a bar code? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1 How can you benefit from bar coding? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...
Words: 29360 - Pages: 118
...Patton-Fuller Community Hospital IT Department Patton-Fuller Community Hospital (PFCH) has capacity to accommodate more than 600 patients at time. They have more than 600-beds. Due to raising health care costs this community hospital is also being affected, but on the other hand they have to maintain the quality health care services. Due to the seriousness of the latest economic recession, U.S. dollars of investment have been the organizations "slow." Therefore, it is necessary to reconsider the existing staff of PFCH business model, and consider the transformation of them, to enable them to compete in today's economic climate. Current Business System The Facilities Department's proposed, emergency room remodeling will include the use of environmentally friendly materials. In an effort to reduce waste, all e-mails will be water marked "Please consider the environment before printing this e-mail." This is an important piece in the hospital ERP system and implementation of reasons to reduce paperwork. The Fund's policies and procedures outlined manually equipment tracking asset inventory, including risk assessment, use of equipment, employee training in the use, equipment maintenance agreement, compliance. The various hospital departments are individually responsible for the procurement of equipment, training, and all electrical and mechanical equipment maintenance costs for their area. Chief compliance officer, Frederick Adair, monitors personal...
Words: 2633 - Pages: 11
