EX-PGP (2010-13 )
The case covers a medical transcription company, Vasant Scribes and the challenges faced because of it in terms of growth. The profits and business had stagnated and had tried various methods to diversify in to higher value added areas of medical billing & marketing stats that had not worked. The situation highlights the steps that were considered and the options available ahead. Circumstance Facts
Vasant Chemicals Limited was the flagship company with the Vasant Group. After Becoming in the mass chemical category for about more than 20 years, Mr. Chowdary, MD wished to move into a new economy business. Vasant Scribes Ltd was the outcome of the Brainstorming by the promoter of Vasant Scribes, who had a desire to produce a foray Into the IT services sector. With the help of consultants and internal reviews, the group Simplified on Medical transcription companies as the main focus area to the Services business.
Vasant Scribes transcribed about 100, 500 lines of transcription daily. It had about 320 workers spread over a few locations in Hyderabad. The Company also outsourced Some transcription work to franchisees in Vijayawada, Coimbatore and Kolkata. Phase you: Initial years and expansion pangs (1999-2001)
The key issues that the organization faced throughout this phase were: 1 . Creating credibility in america transcription market
2 . Winning its first clients
3. Managing time and retaining a repetitive work-force. Phase 2: The many years movement of quick growth (2001-2004)
In 2001, the company initiated a number of actions to improve promoting efforts, Which include engaging the services of a US telemarketing services company. This tactic started exhibiting results in the 2nd half of the 2001. At the same time, the efforts in establishing a US primarily based subsidiary and sending the COO for the US started paying off. Some of the key successes of the organization in this phase were as follows: This bank account catapulted Vasant Scribes from being a mere company into a Medium sized firm
1 . Is the winner of a lot of medium sized medical center accounts. A lot of the initial clientele were a result of doorto-door promotions. Subsequent is victorious were a result of references via these customers. 2 . Earning a large accounts due to past relationship and experience with the customer. 3. Building sub-contractors to be able to increase capacities without risk of redundant manpower.
The concept to diversify was motivated by the prefer to continue to develop rapidly and not exposing the company to the risks of continuous to operate in a single sector. There were continuing conversations amongst industry players regarding the changing face of medical transcription including the function of technology.
Some of the key areas that have been considered intended for diversification included: пѓ evaluation transcription (being similar in nature to medical transcription) пѓ medical billing and coding (being a natural forwards integration right into a high-end Outsourcing business)
пѓ legal transcription/outsourcing (unrelated business)
пѓ tone mail transcription (being an all natural extension to medical transcription) пѓ marketing analytics (unrelated business)
Period 3: Problems of variation (2005-2007)
Go after medical billing business. It had been viewed as an all natural forward the usage of existing medical transcribing business. The medical payment services were offered within different brand name of Vantage billing solutions to distinguish it from Vasant Scribes, which in turn had currently gained repute as a medical transcription consumer.
Medical payment industry
Medical billing procedure were more complex, sophisticated scientific support Risky affair
Higher level of discussion (CFO level involvement in contract ) Fragmented Sector
Marketing Stats business review
The job of your service provider was therefore two fold to demonstrate that they can had the capabilities and also to show the...