Strategic Management Of Fisher And Paykel Healthcare, New Zealand Essay.

1.Research and design strategies to help an organisation achieve a  sustainable competitive advantage consistent with its values and vision.

2.Critically evaluate issues associated with implementing strategy in an organisation.

The following report deals with the discussion on the strategic management of Fisher and Paykel Healthcare, New Zealand. The report opens with the discussion on the company history and aims to put forth the mission and the vision statement of the company. The report further attempts to analyze the strengths and the weaknesses of the company. The report also attempts a PESTEL analysis of the company. The report further discusses the present partnerships and the alliances of the company as well as the marketing strategies of company.

The company in discussion, Fisher and Paykel Healthcare, is a well-known company that has been operational in the country of New Zealand. The company is known for manufacturing the various products that are useful in the fields related to care in the respiratory department, the acute care departments. The products that are manufactured by the company are known to be helpful for the treatment of the various conditions of obstructive sleep apnea. The company is known to have its presence in over 120 countries of the world and employs a workforce of about 3150 people (Fphcare.com., 2018). The company is majorly known to be an exporting company. the major revenue of the company is earned through the international sales and a meagre 1% of the revenue earned originates from New Zealand.

The mission statement of the given organization in discussion is to grow the company into the state wherein the concerned company will be one of the leading manufacturers of the various healthcare products all over the world (Fphcare.com., 2018).

The current vision statement of the company helps in the betterment of the enhancement of the lives of the patients who have been availing the services of the company at the various locations all over the world (Fphcare.com., 2018).

The present corporate strategy adopted by the company is to implement the continuation of increase in the sales of the various accessories and the consumable products that are marketed by the concerned company. The company also aims at the capitalization of the culture that is followed by the company all over the world (Fphcare.com., 2018). The company is known to be capitalizing on the therapeutic services that it provides to the various patients who have been accessing the services all over the world (Fphcare.com., 2018). The company further aims to maintain the steady improvement in the departments that are related to the research and the development in the matters related to the innovation in the healthcare products that are produced and marketed by the company in discussion, Fisher and Paykel Healthcare.

Strengths and Weaknesses

The proper study of the BCG Growth Matrix of Fisher and Paykel Healthcare reveals that the company is to be placed in the question mark section. The company is known to have a market share of almost 10% to 15% (Forsythbarr.co.nz., 2018). However, the company is known to have been holding the third position in the market of New Zealand (Fphcare.com., 2018).

The SWOT analysis of Fisher and Paykel Healthcare aims to discuss the various matters that are helpful for the better understanding of the market positioning of the concerned company. The strengths of the company lie in the matters that are related to the innovation of the products within the organization. The company is also known for the huge strength that it displays within the community of the dealers (Chen et al., 2015). The distribution network of the company is also one of the areas of strengths within the company.

The major weaknesses of the company lie in the higher days inventory of the company as compared to the competitors of the company. The other area of weakness of the company lies in the fact that the company is not proficient in extending the proper integration within the given company (Sarfo-Frimpong et al., 2017). This might lead to the conditions wherein the company fails to establish a merger with the smaller firms that have a lesser global presence exposure.

The opportunities for the company in discussion, Fisher and Paykel Healthcare helps the concerned company to face a growth in the future ventures. The major opportunity of the company lies in the decreased cost of the products of the company. The company might also face an opportunity in the lowering of the shipping costs of the products. These might help in boosting the profitability of the company (Van Durme et al., 2014). This might also help in passing on the benefits to the clientele of the organization thereby resulting in the gain of the market share of the company in the given area.

The major threats of the company lie in the matters that are related to the rising costs of the raw materials that are required for the manufacture of the products of the company. The company is also affected by the liability laws that are active within the various global markets wherein the company has been active (Jackson, Hussainy & Kirkpatrick, 2017).

The PESTEL analysis of Fisher and Paykel Healthcare aims at the analysis of the several external factors that have been affecting the company. The political factors that have been affecting the company are the political stability within the country wherein the company has been operating. The company is also affected by the levels of the corruption that have been observed within the given country. The company is also affected by the various taxation policies within the country (Bertels, Koen & Elsum, 2015). The other political factors that might affect the company is the factors that are related to the wage legislation as well as the various work benefits that are mandatory according to the rules of the concerned country.

Opportunities and Threats

The economic factors that affect the company are the governmental interventions within the free markets of the concerned country. the concerned company is also affected by the exchange rates within the country as well as the stability of the currency of the host country in discussion. The education levels of the population of the country might also be referred to as an economic factor that affects the company (Hamdan, 2017). The company is also affected by the cost of the labor within the company as well as the productivity within the economy of the country. The inflation rates within the given company is also considered to be one of the major economic factors that affect the company in discussion.

The social factors that might have been affecting the company are the factors that are related to the demographics of the host country wherein the company might have been expanding. The level of skill within the available labor in the country is another important social factor that affects the overall growth of the company (Bell & Rochford, 2016). The company is also affected by the levels of education of the employees of the organization at the various locations wherein the company has been featuring. The other major social factor that have been affecting the company in discussion are the factors that are related to the entrepreneurial spirit that is depicted within the given society.

The technological factors that have been affecting the company refers to the matters that are related to the various developments in the technological matters in the present world. the company is affected by the cost structure within the industry related to the products and the services of the healthcare (Moutinho & Phillips, 2018). The company is also known to be affected by the rate of the technological diffusion within the host country.

The various environmental factors that affect the company are those that are related to the changes in the weather and the climate of the host country. The company is further affected by the laws of the land that administer the pollution in the environment (Taylor, 2018). The other environmental factor that affects the company is the attitude and the support displayed by the company towards the development of the renewable energy within the country.

The legal factors that have been affecting the company refer to the laws that are related to the copyrights and the patents of the company (Bertels, Koen & Elsum, 2015). The company is also affected by the laws that govern the employment scenarios within the given country as well as the anti-trust laws that are applicable to the healthcare industry within the country.

PESTEL Analysis

The company in discussion, Fisher and Paykel Healthcare is known to form partnerships with the various medical institutions that are present all over the 120 global markets wherein the company has been active. The company is also known to have been maintaining alliances with the various governmental bodies as well as the various manufacturers of the medical devices across all the host countries. The alliances of the company include the Japan Association of Medical Devices Industries, the Japan Association of Health Industry Distributors and other governmental bodies (Fphcare.com., 2018).

The current marketing strategy that might be implemented by the company in discussion is the joint venture strategy. This strategy might help the concerned company to gain an insight on the culture of the concerned host country, the current state of the healthcare activities within the country and thus help in developing a better knowledge on the activities within the country and the ways in which it might capture the market (Hamdan, 2017).

Conclusion

The above discussion throws light on the present state of affairs of the company in discussion, Fisher and Paykel Healthcare. The company might be recommended to pay attention towards the various weaknesses and the threats that have been identified in order to deal with the improvement of the competitive advantage of the company.

References

Bell, G. G., & Rochford, L. (2016). Rediscovering SWOT’s integrative nature: A new understanding of an old framework. The International Journal of Management Education, 14(3), 310-326.

Bertels, H. M., Koen, P. A., & Elsum, I. (2015). Business models outside the core: Lessons learned from success and failure. Research-Technology Management, 58(2), 20-29.

Chen, N., Liu, X., Meng, L. I., Guo, S., & Dong, S. (2015). The SWOT analysis on private hospitals in the background of new healthcare reform. Chinese Journal of Health Policy, (8), 39-43.

Forsythbarr.co.nz. (2018). Fisher & Paykel Healthcare Corporation Limited | Forsyth Barr Investment Advice. Retrieved from https://www.forsythbarr.co.nz/markets-and-research/companies/NZX/FPH

Fphcare.com. (2018). About Us. Retrieved from https://www.fphcare.com/nz/our-company/about-us/

Fphcare.com. (2018). Investor Centre | Fisher & Paykel Healthcare. Retrieved from https://www.fphcare.com/us/our-company/investor/reports/

Hamdan, A. L. (2017). Strategic Framework in a Hospital Settings. In Strategic Thinking in a Hospital Setting (pp. 31-40). Springer, Cham.

Jackson, J. K., Hussainy, S. Y., & Kirkpatrick, C. M. (2017). Identification of major factors in Australian primary care pharmacists’ practice environment that have a bearing on the implementation of professional models of practice. Australian Health Review, 41(4), 378-383.

Moutinho, L., & Phillips, P. (2018). Strategic analysis. In Contemporary Issues in Strategic Management (pp. 46-79). Routledge.

Sarfo-Frimpong, J., Oduro, G., Forson, P. K., & Bonney, J. (2017). Emerging Mobile Health (mHealth) in KATH ED: Assessing it’s Strengths, Weaknesses, Opportunities and Threats (SWOT ANALYSIS) among Healthcare Workers. Prehospital and Disaster Medicine, 32(S1), S38-S38.

Taylor, S. P. (2018). Strategic management assessment: the first gypsy & traveller Community Interest Company (CIC) in England. Global Journal of Engineering Science and Researches, 5(3), 33-53.

Van Durme, T., Macq, J., Anthierens, S., Symons, L., Schmitz, O., Paulus, D., Van den Heede, K. & Remmen, R. (2014). Stakeholders’ perception on the organization of chronic care: a SWOT analysis to draft avenues for health care reforms. BMC health services research, 14(1), 179.