Case Analysis: Vasant Scribes

CASE ANALYSIS VASANT SCRIBES Kamia -D10007 Ramanjot- D10016 Tushar-D10025 BATCH EX-PGP (2010-13 ) The lineament talks just about a checkup exam recording guild, Vasant Scribes and the challenges faced by it in terms of ingathering. The revenues and guild had stagnated and had tried divers(a) methods to diversify into higher value added areas of aesculapian examination examination exam thrill &038 marketplaceing analytics that hadnt worked. The case highlights the travel that were taken and the options available ahead. Case Facts Vasant Chemicals particular was the flagship partnership of the Vasant Group.After Being in the pop out chemical category for about 25 eld, Mr. Chowdary, MD wanted to move into a new economy avocation. Vasant Scribes Ltd was the outcome of a Brainstorming by the promoter of Vasant Scribes, who had a inclination to make a rape Into the IT portions sector. With the help of consultants and internal reviews, the host Narrowed down on ae sculapian checkup placement operate as the briny focus area to enter the operate business. Vasant Scribes transcribed about 100,000 lines of transcription per day. It had about 320 employees spread over 3 locations in Hyderabad.The Company also outsourced Some transcription work to franchisees in Vijayawada, Coimbatore and Kolkata. grade 1 Initial years and harvesting pangs (1999-2001) The primaeval challenges that the caller faced during this phase were 1. Establishing believability in the US transcription market 2. Winning its first clients 3. Managing manpower and maintaining a redundant work-force. Phase 2 The years of rapid growth (2001-2004) In 2001, the troupe initiated a number of measures to improve merchandising efforts, Including engaging the services of a US tele merchandise services company.This schema started present results in the second half of the 2001. At the same time, the efforts in establishing a US based subsidiary and sending the coo to the US started paying off. Some of the see achievements of the company in this phase were as follows This account catapulted Vasant Scribes from a small company to a Medium sized company 1. Wins of some medium sized clinic accounts. most(prenominal) of the sign clients were a result of doorto-door campaigns. later(prenominal) wins were a result of references from these clients. 2. Winning a large account due to introductory relationship and experience with the client. . Establishing sub-contractors in night club to increase capacities without risk of redundant manpower. 1Page Diversification Dilemma The stem to diversify was fueled by the desire to confront to grow rapidly succession at the same time non exposing the company to the risks of continuing to operate in a single sector. There subscribe to been continuing discussions amongst industry players about the ever-changing face of medical checkup transcription including the economic consumption of technology. Some of the signaliz e areas that were considered for diversification include ? ppraisal transcription (being similar in disposition to medical transcription) ? medical billing and mark (being a inseparable forward integration into a high-end Outsourcing business) ? legal transcription/outsourcing (unrelated business) ? enunciate mail transcription (being a subjective extension to medical transcription) ? marketing analytics (unrelated business) Phase 3 Challenges of diversification (2005-2007) Pursue medical billing business. It was viewed as a natural forward integration of existing medical transcription business. The medical billing ervices were offered under a different brand charge of Vantage billing services to tick it from Vasant Scribes, which had already gained repute as a medical transcription client. Medical billing industry ? ? ? ? Medical billing execute were much complex, sophisticated scientific life Risky affair High train of negotiation (CFO level involvement in contract ) Fragmented Industry selling Analytics business overview The job of a service provider was in that respectfore twofold to parade that they had the capabilities and to show the potential client that there was a need. e make say, $1 per person per hour, we make $5 per person per hour in the case of medical billing and nearly four multiplication as much in marketing analytics. We believe that the company must expand to grow on the value mountain chain for growth and survival. Vasant Scribes Today With the issue of go along sustenance in medical transcription temporarily put away, the company was straightway gripped with the challenges of growing the medical billing and trade analytics businesses. 2Page Some of the key issues before the way were OR trouble statement 1.Should the company continue to fall out the medical billing business? If so, How should it prove to grow it? In the past, the company had directed at Potential acquisition of companies to gain initial credibi lity. Should the company pursue this option? Or, alternately, should the company look to tie-up with a reputed medical billing company in the US (essentially repeat the same trick as with medical transcription)? 2. Should the company continue to look to grow in marketing analytics, or Should it temporarily defer the plans until the establishment of the medical?Billing business? If the company were to precipitously pursue the marketing Analytics business, what should be the strategy? 3. Finally, since medical transcription had become a very(prenominal) large and profitable Business, should the company concentrate all its energies on this, and deemphasize The growth and diversification plans? Analysis 1) Yes they should pursue medical business only as a short term goal (as a variance) till the MTs business boom up, it should continue to do business with the US medical billing companies for contractual business. ) foodstuff analytics is very lucrative business but requires more depl oyment of Resources in the form of talent manpower, continues technological upgrade, knowledge hunting, Market analytics cover the place setting of Business intelligence and analytic tools, data warehousing platform software, Performance management and analytic applications which was very new to Vasant scribes . workforce hired for Business could be employ in Market analytics expansion reaching. They should weigh the markets &038 gather the resources to enter the analytics market slowdown continue with the MTs &038 Medical billing business.They should espouse GO TO MARKET STRATEGIES that depend on ever finer segmentation of localize audiences by industry, region &038 organization size. The momentum, innovation &038 size is huge in business analytics market annually 3) Vasant Scribe should deemphasize the growth in Medical billing services &038 should focus on MTS &038 Market analytics service, MTs would be have volume business &038 Market analytics concentrated on high mar gin, the scope explore by Nasscom reviled big revenues coevals source for Indian IT companies due to weaker exhalation US employment. Thus creating win-win situation for both(prenominal) (US &038 INDIA CO) . 3Page