Strategic Management

About the Organization

The organization being discussed in this video was established in 1968 by two scientists. The scientists started their production by developing a dermatologically tested skin care product. Once, the product went successful in the market, they came out with several other skin care products. The founders of the company were focused to keep its customers happy, satisfied, and attracted, and so they worked hard to produce high quality and dermatologically tested products. This was the innovative spirit of the founders, which lead the organization towards success. This spirit of the founders can still be seen throughout the company.

Internal Perceptive

The company’s vision is to keep its customers satisfied by producing dermatologically tested products. The internal structure of the company is shown below;

Table SEQ Table \* ARABIC 1 Internal Structure of the Company

MHS Internal Structure

Company is currently having 800 staff members with $2.2 Billion revenue

Neutrino Manufacture Vitamins

Dermatech Advance Care Product

General Manager

MHS CEO

Board of Directors

General Manager

MHS CEO

Board of Directors

Top-Down Managerial Structure

GM and senior executive team appraise and select the products and take other decisions.

Filter down to lower levels of the organization

With the analysis of this internal structure, it can be recommended to the company that they must focus on the organization of function, chain of command, and focus on marketing and research. Through the internal structure of the company is strong enough and following top-down managerial structure but to keep the employees motivated and strong, company need to focus on professional meetings, in which further strategies can be discussed to improve the product, innovation in the production can be discussed, and need for advanced technology can be evaluated CITATION Sam19 \l 1033 (Ashe-Edmunds, 2019). Also, by understanding the company's strengths and weaknesses, and analyzing the industry's opportunities and threats, the company may use its strengths and industry's opportunities in a better way. For this purpose, the company is recommended to use a SWOT analysis CITATION ALY19 \l 1033 (GREGORY, 2019).

External Perceptive

Every organization becomes successful when it knows how to deal with its competitors in the market. The company is willing to show a rise in its stock shares and that can only be possible when it will show better performance and sale than its competitors. Recently, the company is having experts in vitamins, supplements, and regulatory requirements, but this cannot be sufficient to bring competitive advantages. Thus, it is recommended to the company to understand the market's requirements, the bargaining power of the customers, and threats of the market. Through this, it can develop strong strategies and may develop risk mitigation strategies.

The company may also use Porter's five forces analysis which evaluates the bargaining power of consumers, the threat of new entrants, bargaining power of suppliers, the threat of substitute products, and competitive rivalry within an industry CITATION Lum19 \l 1033 \m SRo18 (Lumen, 2019; Robert, 2018). The PEST analysis also proved to be effective to understand the political, economic, social, and technology requirements and strengths of the company, through which the organization may use its strengths in an effective way CITATION Sup19 \l 1033 (Johonson, 2019).

Marketing Perceptive

In the current environment, no organization can survive without using the technology and advanced media, and so the current organization must also focus on the use of social media in order to attract more consumers and know how the competitors are performing in the respective industry. MHS manufacture skin care products, which are dermatologically tested and are recommended by the healthcare professionals or the dermatologists, in hospitals, clinics, or dermatological institutions CITATION RLA17 \l 1033 (Adams, 2017). This simply means the company need to attract the target audience by keeping the dermatology related healthcare professionals in confidence CITATION Jon19 \l 1033 (Chan, 2019). For this purpose, the company must develop a strong marketing team, which must focus on the following actions;

Organize seminars

Run online campaigns

Spread awareness

Introduce Promotional Deals

Advertise the Production

With the follow up of above mentioned five steps, the team may attract more consumers. For the first action, the team may arrange seminars in colleges, universities, schools, and public places in which they can let people know how important it is to take care of their skin, and how the MHS is producing dermatologically tested products to protect the customers’ skin from any sort of damage.

For the second step, the team may establish several groups, pages, and discussion forums in which they may deal with several customers, companies, healthcare institutions, clinics, and other platforms to let them know about the benefits of MHS production. Also, the organization may encourage the customers to share their feedback regarding their experience of using MHS products and its positive impact on their skin care. In this way, other customers may know the benefits of using MHS products, resultantly the customers will increase, better revenue will be generated, and market share will go on the rise CITATION Vik18 \l 1033 (Weidert, 2018).

Thirdly, the marketing team may meet several dermatology related professionals or beauticians to let them know the benefits of using MHS products at their institutions and its positive impact on the customers’ skin. In this way, most of the healthcare professionals, and beauticians will recommend MHS products to the client, as a result of which organization will enjoy great annual revenue.

Fourthly, the company may offer promotional deals to the dermatology related clinics or institutions, who can purchase the products at the lowest rate and may sell the products to the customers with great profit. This will increase the number of stakeholders and investors. Finally, advertising the MHS products in health-related magazines, online platforms, and newspaper will attract more customers and will let people know how many benefits they gain by using MHS products.

Technology Perceptive

The review of the literature revealed that the organization lacks in its R&D sector. For more development in research and innovation, the adoption of advanced technology and advanced methods is crucial. Thus, the MHS is required to focus to upgrade its technology. For this purpose, it is recommended to the company to make market research of which technology can be installed in the organization without leaving a negative impact on revenue or budget of the firm. The financial analysis can also be done to evaluate how much budget can be used for the purchasing of new technology or for the training of the staff in the adoption of advanced methods or techniques in production CITATION Tan19 \l 1033 \m Rac18 (Bose, 2019; Grabenhofer, 2018). This will improve the market reputation of the company too, as the consumers will get attracted to the company which is developing dermatology attested products through using advanced techniques. The best thing about technology is that is work efficiently and very quickly, and so the desired results can be achieved in less time and more effectively.

The technology also enables the company to bring innovation in the concepts. This means, with the help of technology, the organization can evaluate which formula will result in which production and how it will affect the skin of the customers. In this way, the company can introduce new products and can also formulate which products can be formed with less expensive formulas to generate more revenue. Furthermore, technology advancement has now made companies able to train their staff through international training forums. In this way, the selected staff can attend an online class of better production and can be motivated to participate in further research and development of MHS production. This will not only increase the market reputation of the MHS but also will make it able to provide a variety of products to the customers. Also, adoption of technology is the demand of today's market and so will enable the company to show better performance amongst its competitors in the respective industry.

Also, the company can introduce its own mobile application, in which the customers may consult the customer care centre and may check which product can bring benefits to them. The customer care individual can also guide the customer to visit the affiliated centres and to discuss which product can be more effective to attain their desired results. Further, the application can enable users to make an online purchase. In this way, the company will be able to serve those customers who could not have the product in the market. As a result of which the company will enjoy customers' satisfaction, better position amongst the competitors of industry, and better revenue generation.

References

BIBLIOGRAPHY \l 1033 Adams, R. (2017). 10 Marketing Strategies to Fuel Your Business Growth. Entrepreneur.com.

Ashe-Edmunds, S. (2019). Recommendations for Improving an Organization's Structure. Chron.com.

Bose, T. (2019). What are the latest technologies redefining the beauty and cosmetics industry? Prescouter.

Chan, J. (2019). Build a marketing strategy. Founder.

Grabenhofer, R. (2018). 6 New Trends in Cosmetic Technology. Cosmetic and Toiletries.

GREGORY, A. (2019). How to Conduct a SWOT Analysis for Your Small Business. The Balance.

Johonson, S. (2019). External Environment & Organizational Structure. Chron.com.

Lumen. (2019). Factors to Consider in Organizational Design. Lumen.

Robert, S. (2018). Types of Internal Organizational Change: Structural, Strategic, People, and Process. Study.com.

Weidert, V. (2018). Top 10 Most Effective Marketing Strategies. Weidert.

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