Strategic Analysis Case Study of GE Healthcare
This means that these two factors have to complement each other. The General Electric operates in over 170 nations and has an employee base of over 330,000 as at 2015. In relation to the operations of the stock market, the organization is listed under the New York Stock Exchange Market (NYSE), London Stock Exchange and the Euronext Paris. The organization is also engaged in different businesses related to healthcare, aviation, transportation, lighting, generation of power, energy resources, gas and oil distribution, renewal of energy and electricity. Also the General Electric Inc, engages in different sectors which include operations in hydro generations and generation of power, healthcare services and the provision of capital findings for numerous businesses. The global sourcing department is tasked with the duty of handling every purchase of the organization.
GE healthcare offers different product services including technologies for medical imaging, diagnostics, systems used in the monitoring of patients and solutions for improving perfomances. it also includes technologies for discovery of medicines and for the production of biopharmaceuticals. GE healthcare services also include provision of X-ray products such as fluoroscopy, and cardiology. Currently, GE healthcare has six main business units (Company Overview of GE Capital Global Holdings, LLC, 2018). GE healthcare has its offices worldwide and its main areas of operations in the region are located in Paris, and Japan. The business environment of the world is increasingly constantly, providing new challenges and opportunities. This means there is need for competitive strategies as a means of ensuring that a company remains competitive.
Value System GE healthcare is among the best establishments in the development of leadership. The Human Resources Department of the organization is focused on the development of robust workforce which responds to the diverse global needs (Gold & Heikkurinen, 2013). This is shown through the formation of the six business units which have already been discussed in the introductory paragraph. The exploitation of the firm’s resources is one advantage which cannot be substituted. GE healthcare continually innovates as a means of developing solutions to the ever-changing needs of the clients. The organization culture makes sure that the workers continue with the spirit of developing new ideas and innovation. GE healthcare also has a global orientation as it has its facilities in the United Kingdom (UK) and the United States of America (Hoejmose, Brammer, & Millington, 2013).
Improving the obtaining of revenue capability and the production of newer production needs the upkeeping of the relevant technological advancements. Also, the dependence on the emerging global trends is also a strong value based system for the company. In relation to the global competencies, the organization has employed the world’s best talents for its activities and thus, it has succeeded in bringing the higher diversity levels in the workplace environment. Product and Service Portfolio The GE has made major progress in the changes in its portfolio. This is majorly towards the diversification of its activities amongst the healthcare sector. The operations of the company in over 170 nations offers the scope for the initiation of cultural diversity in the healthcare sectors.
Also, the contributions to the revenue and growth abilities of the organization. This is followed by the larger pool of the prospective workers as a means of choosing from has given the company the chance of bringing in different expansions of into the daily operations of the company. The financial perspectives The strategies for the long-term of GE healthcare focuses on the recalibration of the business portfolio. The extent of the reliance on the capital of GE as the main revenue source has minimized with time. Secondly, the ways in which the organization is keeping a learning spirit and thirdly, the management of relationships or the ways in which GE healthcare handles global customers. Management of the global Value network The critical core competence for this case is the ability of focusing on activities which are the core competencies and looking for possibilities of outsourcing.
GE healthcare understands that the basic manufacturing is not a value creating Activity. The Company only has the assembling process as it is a reflection of the modern technology leadership and it is also the basis for future research and development (Schmidt, 2015). The manufacturing process is mainly crucial for its strategic capability and retention of direct control on this crucial capability. Management of global clients There are many ways in which GE healthcare manages the global relationships and this is a core competency as it allows the company to be ahead of its competitors. The key emphasis of the company is on the customer relations which is the factor for creating value. Also, there are strong relationships in the different units and levels in the organization and suppliers.
The manner in which GE healthcare is organized in relation to human resources, technology and infrastructure is of much benefits to the sales, service and marketing (Minoja, 2012). Thus, it brings closer the customers of GE healthcare and makes sure that the Company establishes and sustains segments in various parts of the world markets and meet every different needs. GE healthcare has been able to show reinvention of the marketing strategy which lays emphasis on the capitalization of the lack of market exposure of the competitors. Thus, the company has to exercise caution on accepting the acquisition on a large scale and where there are heightened constraints of becoming a market leader through the consumer preferences and the products’ complex nature. The analysts have placed arguments that rivals can make sure that the same firms remain competitive and productive.
Regardless of this being healthy for every client, the substitute product and small competitors are able to drive the big shots in the market. The GE healthcare has been evaluated using the generic porter’s five forces analysis model. Clearly, new technology and creating global virtue to provide the chance of the organization to grow its business. There is also the need for the identification and exploiting of the business makets. in places it is favorable, there is the need for the establishment of the manufacturing facilities. Strategic marketing and advertising is still a good option in the strengthening of the brand identity of the organization. The increasing concerns for human rights and accountability demands places needs for corporate social responsibility and education.
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