Case Number 6 please see attached pictures of case. Case write-up use the case analysis outline provided attached. The Basics of Case Analysis will give you an overview of what is expected in a case analysis. I have also provided a sample case write-up.

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Case Analysis: Allied Medical Waste Transportation Inc. (AMWT)

Introduction

This report aims to analyze the problems Allied Medical Waste Transportation Inc. faces and provide effective and strategic solutions. AMWT is a biomedical waste management company founded in 1988 in Oklahoma, providing biomedical waste management to over 400 customers, mainly hospitals managing about 450,000 pounds of biomedical waste monthly as generated within the state and currently seeking to provide veterinary services. The company offers its services in about seven other states (Pearce & Robinson, 2013).

Major Problem

AMWT Inc. faces a market entry problem as well as issues in identifying the most effective marketing strategy for its new veterinary division that meets the projected financial performance, growth, and extensive market penetration. The company has been successful since its inception dealing with biomedical waste management; however, when penetrating this new market of veterinary waste management, it faces numerous hurdles impeding its successful entry operations. The size of the target market is not as extensive as projected, providing a relatively low potential, which utterly lowers the new division’s potential performance and possibly affecting its financial feasibility. This low potential and small size market are due to the lack of a compelling animal waste disposal law as vibrant as the biomedical MWTA law in Oklahoma. The lack of a persuasive law limits participation as finding loyal clients would be problematic and demanding due to the costs associated, and clients have to accept AMWT’s veterinary services voluntarily (Pearce & Robinson, 2013). A market entry and penetration problem impedes the company’s objectives of providing high-quality biomedical and veterinary waste disposal and management services, making it an immediate problem requiring strategic solutions.

Analysis for Single Line of Business Organizations

Organizational Vision/Mission, Objectives, and Current Strategy

The overall vision and mission at AMWT are to provide high-quality biomedical and veterinary waste disposal and management services to its customers as per the Medical Waste Tracking Act of 1988 and for environmental conservation as protected by the Federal Environmental Protection Agency. Currently, the strategy in play is the responsibility provided to Ms. Kathy West, the company’s Vice President of Marketing, to develop a 3-year marketing plan that will help in the market, entry, penetration, growth, and performance of the new veterinary division coming up in AMWT. The objective is to review this new veterinary division’s financial position and the most effective marketing mix to grow the division into a profitable one, which will later be expanded in other States after its success in Oklahoma.

SWOT Analysis

In addressing the identified problems at AMWT, conducting a SWOT analysis will provide an understanding of its critical internal and external influences responsible for its current growing position, establishing those that favor and inhibit its growth. The information will help in strategic planning assisting in building a strong and effective marketing strategy that will meet the developed goals of making the new veterinary division profitable and a success, improve operations, including extensive market entry and penetration and ensure AMWT’s relevance and overall success (Öcal & Arslandere, 2016). The table below summarizes AMWT’s strengths, weaknesses, opportunities, and threats.

Competitive Analysis

Competitive analysis is a process that allows a company to identify its direct and indirect competitors, identifying their strengths and strategies and evaluating them against its own to determine possible opportunities and threats presented. In the State of Oklahoma, AMWT faces stiff competition from other established similar companies, including MedPro Solutions, BioMedical Waste Solutions, and MedAssure Services. Each of these major companies has its strengths and selling points, such as providing customized services and cost leadership for MedAssure Services (MedAssure, 2018), simplicity in services provided by BioMedical Waste Solutions (BioMedical, 2021), and extensive geographic presence of 48 out of 50 states coverage, veterinary services, and online services for MedPro Solutions (MedPro, 2021).

Financial Analysis

AMWT has a high disposal capacity and capability of 100-ton daily and can manage 450,000 pounds of biomedical waste monthly as generated within the state. According to the case, if a veterinarian facility were to produce 3 pounds of waste daily, monthly it would be 150,000 lbs, which results in approximately 1.8 million pounds annually from 1839 facilities. When the new division charges a $30 monthly fee and $0.50 disposal rate per pound, potential annual revenue would be $955,170. Nonetheless, according to the projected income statement depending on penetration levels, a break-even is expected by the 2^nd year with a 10% net profit after taxes in the 3^rd year. The table below summarizes the new veterinary division’s projected income statement in 3 years

Implementation Issues/Problems

AMWT seeks to open a new veterinary division, which is a new target market and business, into its waste disposal and management services. When successful in the State of Oklahoma, the company will expand its new services in other states and locations. However, the implementation issues surrounding this strategy revolve around its market entry and marketing strategy. According to the case study, Oklahoma has about 1,839 licensed veterinarians; however, their full cooperation to work with AMWT is not fully guaranteed due to the lack of a compelling law that mandates mandatory veterinary waste disposal and management. Moreover, the previously accepted marketing strategies of personal selling and direct mailing seem not to attain complete customer potential, slowing profitability and possible future expansion of the new division in other states.

Evaluation/Control Procedures

Currently, the company does not incorporate any control procedures in this expansion strategy. Nonetheless, the company ensures high-quality services; hence, in the waste packaging, disposal, treatment, and management, the company provides the training of its employees in all areas, observes environmental issues, and prevents any leakages that would become hazardous to the environment and people.

Strategic Implications

The above analysis shows that if AMWT does not develop an aggressive and effective marketing strategy to increase its market entry and penetration, it is likely that without the support of a law to compel compliance, the new division may not attain its projected financial performance and growth. Moreover, the SWOT analysis provides a better-visualized outlook for alternative solutions, enabling the conduct of TOWS analysis to identify the most strategic solutions. These strategic solutions will include those leveraging the company’s strengths to realize and exploit its opportunities while minimizing the critical weaknesses and exposure to threats.

Analysis for Multi-line of Business Organizations

Portfolio Analysis

The primary service in AMWT’s portfolio is managing biomedical materials discarded and are infectious, chemical, laboratory wastes, antineoplastic drugs, and other hazardous infectious waste. Currently, it is integrating the veterinary services, which are seen as a profitable opportunity when well exploited and implemented due to the lack of significant competitors. Other services in its portfolio include facility touring to provide customer confidence in its processes, regular employee training to maximize service quality, customer service, and satisfaction. Based on this, even though AMWT has product differentiation, it lacks product diversification, and ensuring the success of this new veterinary division is a step towards attaining product and portfolio diversification. Moreover, since the central division seems to be performing highly financially and non-financially, it is plausible to allocate more resources to this new project as it provides high profitability in the future. Without major competition, AMWT’s veterinary division may enjoy being a monopoly before expanding in other states and before entry barriers lessen. Using the BCG Matrix, AMWT can quickly identify products and services that are dogs, question marks, stars, and cash cows. We have the veterinary division and services in stars, while biomedical waste management services are a cash cow.

Resource Allocation/Restructuring Needs

The new veterinary division is a star type of investment in AMWT’s portfolio, meaning the services provided have a high market growth and cash generation or market share, hence requiring adequate resource allocation to make the expansion a success. To reach the projected 1^st-year market penetration level of 30%, Ms. Kathy and her marketing team must reach 552 licensed veterinarians, convincing them and becoming loyal customers. With this first step, AMWT must restructure its logistics, including rescheduling pickup drivers to integrate into the current routes. Moreover, with $100,000 wise investment in a diverse, wide-reaching marketing and promotion campaign is necessary. Over time, other restructuring, such as adding human and nonhuman resources into the new division, will be required.

Alternative Solutions to Problems/Issues

The identified problem requires adequate, comprehensive, and effective solutions to ensure the primary goal of the current strategy at AMWT is attained, mainly because it provides a highly profitable and feasible investment in the future. Below is a TOWS matrix outlining the three main alternatives identifying their pros and cons.

Recommended Course of Action/Justification

The most probable and effective solution would be adopting a state, comprehensive marketing strategy that includes not only personally selling and direct mailing but also incorporates direct marketing, content marketing, social media marketing, digital and broadcast media marketing, and advertising both online and offline while focusing on the strengths of AMWT company that differentiate from other companies in the industry. A broad marketing strategy will create a large online presence, and with personalized marketing messages, videos, and content, AMWT can highlight the importance of animal waste management hence align with the ongoing greening trend to sustainability. Moreover, it can gain momentum by inviting other external stakeholders such as investors, advocates, and environmentalists, pushing even the State to develop a compelling binding law to compel veterinarians to comply with veterinary waste management.

Implementation Plan

Implementing this recommended solution requires a sales and marketing team headed by Ms. Kathy West, the VP incorporating experts in the fields of online/social media marketing, the corporate environmental attorney, Joan on effective waste management consultancy, a representative of the veterinarians, online bloggers, and other employees who will execute the tasks. The implementation can take at least 3 months following a project’s cycle of project initiation, planning, execution, monitoring, and finally closing. Resources required include human (labor), physical (facilities, machines, equipment), technological (hardware, software), educational (expertise, skill sets, consultancy), and financial resources.

References

BioMedical. (2021). BioMedical Waste Solutions. Retrieved from https://www.biomedicalwastesolutions.com/

MedAssure. (2018). Advantages. Retrieved from https://www.medassureservices.com/advantages.html

MedPro. (2021). MedPro Medical Waste Disposal Services. Retrieved from https://www.medprodisposal.com/services/

Öcal, Y., & Arslandere, M. (2016). SWOT Analysis as a Tool for Strategic Management and an Implementation in a Firm in Machine Industry. International Academic Research Congress, 3438-3445. Retrieved from https://www.researchgate.net/publication/328916531_SWOT_ANALYSIS_AS_A_TOOL_FOR_STRATEGIC_MANAGEMENT_AND_AN_IMPLEMANTATION_IN_A_FIRM_IN_MACHINE_INDUSTRY

Pearce, J. A., & Robinson, R. B. (2013). Strategic Management: Planning for Domestic & Global Competition. New York: McGraw-Hill Higher Education.