Imagine it is your task to calculate ROI for a hypothetical training program. Determine one key element that would factor into your calculation of ROI, and identify the aspects of your hypothetical program that would make the element applicable and your calculation accurate.
Return On Investment and Cost Analysis
It is important to understand how the technology employed by the organization compares with that of the competition. Innovation, and the technology used to create products and services, tends to evolve in waves, with each successive wave of innovation built on the previous ones. An analysis of these waves of innovation will provide a new lens for viewing products and services and for viewing the uses of technology as a competitive weapon. An analysis of the waves of innovation also provides the beginnings of a model or framework for visualizing and communicating the strategic vision.
(1) Low-cost leadership:
The management implications inherent in the waves of technology growth leads to an analysis of how the management culture and philosophy of the organization must change as it begins to innovate and use highly advanced technology. Low-cost “save money” waves have a management focus that is oriented to process management or asset management. Organizations that have their primary focus on below-the-line applications of technology tend to have a restrictive management culture that perpetuates a status quo, cost-saving orientation. As we move up in the waves, the waves associated with marketing, distribution, and customer service have a more sophisticated management focus that is oriented to growth and increasing market share.
(2) Broad differentiation
Sellers can take three approaches to a market. Mass marketing is the decision to mass-produce and mass distribute one product and attempt to attract all kinds of buyers. Product differentiation is the decision to produce two or more market offers differentiated in style, features, quality, sizes, and so on and designed to offer variety to the market and distinguish the seller’s products from competitors’ products. Target marketing is the decision to distinguish the different groups that make up a market to develop corresponding products and marketing mixes for each target market.
(3) Best-cost provider
Next, the seller has to target the best market segments. To do this the seller must first evaluate the profit potential of each segment. Then the seller must decide how many segments to cover. The seller can ignore segment differences (undifferentiated marketing). Or go after one or a few market segments (concentrated marketing). The market coverage decision will be influenced by such factors as company resources, product and market homogeneity, product life-cycle stage, and competitive marketing strategies.
(4) Focused Low-Cost and Focused Differentiation
Market targeting defines the company’s competitors. The company researches the competitors’ positions and decides whether to position its offer next to some competitor or go after a hole in the market. If the company positions its basic offer next to a competitor, it must seek further differentiation through other marketing variables. Its product-positioning strategy will then enable it to take the next step, namely, planning the details of the marketing mix.
When a firm considers initiating a price change, it must carefully consider customers’ and competitor’s reactions. Customers? The meaning customers see in the price change influences reactions. Competitors’ reactions flow either from a set reaction policy or from a fresh appraisal of each situation. The firm initiating the price change must also anticipate the probable reactions of suppliers, middlemen, and government.
Part 2) Reply to classmate’s post below:
Dental Claims Call Center eight-week training program from August 1, 2022, to September 26, 2022
The one key element that would factor into the calculations is IT support. Creating and configuring IVR menus, workflows, and maintenance of software. Teaching phone etiquette, technical onboarding, clear objectives, dental claims, and dental procedures codes training, training tools and materials, equipment, and shadowing.
60 Day proficiency/probationary
$200 per day cost per agent
30 new hires
$12,000 total cost per agent (60*$200)
$360,000 total proficiency savings cost