CASE STUDY
Cultivating Efficiency and Profitability: A Case Study of a Veterinary Emergency and Specialist Referral Hospital in Southeast Asia.
Client:
24Hr Emergency & Specialist Referral Hospital
Employees:
100+
Location:
Southeast Asia
Services:
Our Client
A prominent 24-hour emergency and specialist referral hospital in Southeast Asia approached us seeking a comprehensive review of their business and operations, focusing on efficiency, profitability, and organisational structure.
Client:
24Hr Emergency & Specialist Referral Hospital
Employees:
100+
Location:
Southeast Asia
Services:
Since its inception the hospital had experienced rapid growth without the established infrastructure to support it. As a result, the hospital faced workload capacity issues, employee engagement and staff turnover challenges, diminishing profitability (with salaries accounting for a high percentage of revenue), and questions over their overall operational efficiency and people strategy.
Project Objectives
Our Task:
Evaluate the hospital’s operational efficiency and organisational structure, whilst improving profitability.
Our task was to analyse the current state of the business by performing comprehensive diagnostics on the organisation from multiple objective perspectives. The leadership team wanted to understand whether there were true workload capacity issues and gain a clear understanding of the current staffing requirements within the hospital. Essentially, to challenge or validate the perspective of their employees; was the hospital operating at maximum capacity and under resourced? Or were there operational inefficiencies and subsequently areas for improvement? Alongside this, the owners wanted to review their people strategy, in particular their organisational structure, including that of the Senior Leadership Team. They wanted to establish if they had the right people in the right places to implement change and lead the future growth of the organisation.
Key Questions to be Answered
Our Approach
Having met with the key stakeholders and gained a clear understanding of the business and its challenges and having established the key objectives for the consulting intervention, we established the required team with the required expertise for the project. The project was designed to focus on the three critical areas: profitability, efficiency, and organisational alignment, and was laid out over a structured timeline.
The intelligence gathering and data analysis phase of the project was conducted remotely, however, key to all our projects is time spent on the ground immersed in the day-to-day operations of the organisation. Therefore, the next stage of the project was a site visit to the hospital out in Asia.
Subsequent to this quantitative and qualitative data gathering, we collated, analysed, and applied management consultancy tools and frameworks to the information. Our work culminated in a face-to-face presentation with the business owners, followed by an extensive report including subsequent reflections and recommendations.
Key Work Undertaken
Financial Review
The financial review phase involved a comprehensive analysis of the hospital’s financial health, delving into management accounts, supplier relationships, and the competitive environment. This analysis aimed to uncover cost-saving opportunities, potential strategic alliances, and pricing standards within the market. Engaging with the finance and procurement teams provided invaluable insights into their systems, processes, stock control, and technology utilisation.
Operational Assessment
Key to the project was spending time within the hospital exploring the different facets of the business, understanding team dynamics and cross-departmental working, and observing workflows from an employee, patient, and client perspective. We spent time in the different departments, attended senior leadership and departmental meetings, and conducted staff interviews to help identify bottlenecks, operational inefficiencies, and administrative challenges that may be impeding organisational progress.
People Strategy
We analysed the organisational chart, roles and responsibilities, and line management pathways. Collaborating with the HR department we assessed recruitment processes, employee retention initiatives, and challenges related to organisational culture. Alongside this we analysed salary bandings and contracts to ensure alignment across the organisation and with current market standards.
Leadership and Culture Assessment
Through extensive interviews with current staff across the organisation, conducting exit interviews, and observing workflows, we were able to analyse employee sentiment and gain insights into the true organisational culture and gauge readiness for change. Dedicated time with the Senior Leadership Team allowed us to analyse their leadership capabilities and alignment with the broader organisational strategy.
Results and Outcomes
This holistic approach allowed us to conduct a thorough and comprehensive business review and identify opportunities for improvement across the financial, operational, and cultural dimensions of the business. The unique and objective insights gained allows for a more effective and targeted business improvement strategy.
Increased Profitability
Cost Reduction – Identified substantial cost-saving opportunities across various areas of the business including improved stock control and increased buying power. Streamlined processes and enhanced use of technology will subsequently reduce the manpower requirements in various departments.
Increased Revenue - Increased revenue by enabling an increase in case load capacity and advising on a c.10% price increase to realign pricing with market norms, more than covering the consultancy investment.
Improved Operational Efficiency
Improved Workflow - Streamlined workflows, reducing time and resources required, by identifying operational bottlenecks such as: technology underutilisation, task duplication, communication issues, and disjointed interdisciplinary working.
Enhanced Resource Utilisation – Provided objective findings on staffing levels, capabilities, and critical competencies and made recommendations for resource reallocation and professional development. Subsequent implementation will ensure an increased capacity and caseload, reduced referral times, and improved client and patient care.
Organisational Realignment
Optimised Organisational Structure: Streamlined the organisational structure in alignment with the Senior Leadership Team's strengths and development goals, positioning the right individuals in roles to boost productivity and engagement.
Improved Leadership Alignment: Identified leadership gaps and development opportunities and recommended the reallocation of responsibilities and clearer line management structures. This will provide clarity and allow enhanced efficiency, optimised interdepartmental working, and a more cohesive leadership structure.
Enhanced Understanding of Organisational Culture
Employee Engagement and Retention: Reported on various aspects of employee engagement, pinpointing areas of dissatisfaction and identifying key talent in need of urgent retention efforts. Recommended initiatives to further understand and improve employee satisfaction and set out longer-term objectives for improving their overall workplace culture.
Professional Development Opportunities: Identified gaps and opportunities for employee growth and professional development to enhance capability within the hospital, boost morale and professional satisfaction, and help to retain their staff longer term.
Client Testimonial
“I am delighted to provide a glowing testimonial for IntrinsiaVet, based on the transformative experience we had working with them. When we engaged IntrinsiaVet, our organisation was facing some issues, and we were struggling to identify the root causes and implement effective solutions.
IntrinsiaVet were not only incredibly helpful and efficient, but they also demonstrated a remarkable ability to uncover vital information that was previously unknown to us. Through their comprehensive analysis and diagnostic processes, they were able to organise complex data into simpler, actionable insights that formed the basis of our business improvement plans.
Thanks to the expertise and dedication of the team at IntrinsiaVet, we are now working through the appropriate actions to address the challenges we face and drive positive change within our organisation. Mike and Liz were an absolute pleasure to work with, demonstrating professionalism, expertise, and a genuine commitment to our success every step of the way.
I strongly recommend IntrinsiaVet to any organisation in need of expert guidance and support in navigating organisational challenges and driving meaningful business improvements.“
Ms. H, COO
Key Concepts
The Foundation of Diagnostic Insight
Effective veterinary business improvement begins with deep diagnostic analysis, highlighting critical, often subtle, organisational issues and growth opportunities. This foundational phase is essential for equipping leadership with an objective perspective and comprehensive understanding of their operation, facilitating informed decision- making and strategic planning.
Issues Within an Organisation Are Not Linear
Despite the call for straight forward solutions to business challenges, the reality is they often span multiple facets of an organisation, making it imperative to delve deeply into each aspect. A comprehensive understanding of an organisation's strategic, operational, and cultural dimensions is vital to meaningfully address any challenge. By thoroughly examining the interconnected nature of these areas, it is possible to pinpoint precise interventions and recommendations to drive significant organisational enhancements.
Structural and Leadership Evolution
A well-defined organisational structure, aligned with clear leadership roles and responsibilities, is vital for organisational clarity and effectiveness, especially in such a dynamic industry. Alongside this, leadership growth should be actively supported with each new or transitioning leadership position, ensuring skills and capabilities are continually aligned with organisational needs and goals.
Cultivating a Culture for Growth and Retention
Creating a culture that supports employee growth, recognises achievements, and addresses dissatisfaction is key to retaining talent and enhancing performance. If this area of an organisation is neglected, the organisation will only ever be in a cycle of exiting and onboarding and never be able to reach its growth potential. Not only this, but the effects on efficiency will be significant and client and patient outcomes are at risk of being affected.
Conclusion
In this case, the organisation’s growth had become both a positive and a negative. Growth is good, but it must be controlled. This hospital had focused on growth at the expense of infrastructure, and the result was a struggling workforce, ill-equipped to deal with its new reality. Through comprehensive diagnostics and targeted improvements across financial, operational, and cultural dimensions, significant strides were made toward improving efficiency and increasing profitability, but perhaps most importantly, the senior team were able to see the importance of investing in leadership capability and human infrastructure.
This project highlights the interconnecting nature of all facets of a veterinary organisation; they cannot be looked at independently if meaningful change is to be achieved. However, if an organisation understands this and approaches organisational challenges accordingly, the positive effects can be far reaching.
Ultimately, by tackling the hospital’s multifaceted challenges with a unified approach, we set a foundation for its ongoing improvement and success.
Working with Us
With all of our consulting projects our first step is to meet with you, either in person or via zoom, to learn more about your organisation and understand the current challenges you are facing. We work on an NDA basis and so all conversations are strictly confidential.
We don’t believe in pushy sales calls or expect decisions on the spot! Therefore, after we have gathered all the information we require, we will present a proposal with the potential consulting project laid out detailing all elements including the expected costs. If you would like to start a conversation, please get in touch.
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