Medtron Case Study

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Medtron Limited Case Discussion Who is the client? • Medtron Limited and/or Dean Nichols • Dean is likely to be influenced by Mark Dixon (vice president of finance and sales), Curtis Dixon (VP of sales) and Gord Jackson (VP of production). There appears to be a large number of employees or stakeholders who are all related somehow. Past/present business strategy? • Full-line manufacturer of manual wheelchairs to all demand segments in the Canadian market. • Also recently got into part and assembly sales to other manufacturers • Recently hired two sales representatives to service Canadian dealers and to appeal to new clients/dealers. • Hands-on management strategy • Dealing with marketing channels was top priority – strategy was to improve product quality, retail prices and dealer margins – the strategy was successful Evaluate • Appears successful – pg 4 – the new management team *maintained* sales at $2.37 million, company was in 100 dealer outlets and profits were a “healthy” 6% of sales • Mgmt forecasts increase in sales to $3 million next year. Problems identified? • Management may be spread too thin – All managers were pressed by the requirements of everyday business. • Management group works informally with a minimal amount of structured reports and controls. • Overall, mgmt. appears stretched very thin – may lead to stagnant innovation, employment turnover, etc. • Specialty manufacturers in the international market are succeeding – domestic manufacturers not innovating • Manufacturing system is run primarily on estimates and requires constant change – possible use for a JIT inventory system? • Salespeople paid by salary only – no initiative to have results • Mark (finance VP), is completely focused on integration of computer system and has put everything else on hold Market Performance • Consumer purchases based on dealer

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