Taking Surgery Beyond The Limits Of The Human Hand Imagination At Work GE or ISRG ? Ben Creed Shaka Dickerson Amanda Reece Shijia Sheng Elaine Williams Melissa Work
Dec 24, 2015
Taking Surgery Beyond The Limits Of
The Human Hand
Imagination At Work
GE or ISRG ?Ben Creed Shaka Dickerson Amanda Reece Shijia Sheng Elaine Williams Melissa Work
CRITERIA
Internal/Cultural • Career Development• Benefit Package
External Environment• SWOT Analysis• PEST Analysis
Financial Conditions• Financial Metrics
Value Creation Model• Revenue Flow Chart
DECISION TREE
GE orISRG?
Finance
Culture
Environment
GE ISRG
GE > ISRG GE < ISRG
GE > ISRG GE < ISRG
GE > ISRG GE < ISRG
GE = ISRG
GE = ISRG
the What and the Why…
Financial Metrics
Financial Metrics
Net Profit Margin – shows how much out of every sales dollar a company keeps after everything else has been paid for – employees, vendors, lenders, etc.
A measure of profitability
Current Ratio – tells lenders and investors a company’s ability to meet its financial obligations
A measure of liquidity
General Electric
Intuitive Surgical
Current Ratio Compared to Industry and Top Competitors
General Electric Intuitive Surgical
Financial Metrics
Return on Invested Capital (ROIC) – shows how well a management team generates operating profits vs. the amount of money they use to generate those profits
A measure of profitability
Revenue Growth – A relative measure of how fast a company’s business is expanding. Tracking revenue over time can help identify increases and decreases in a company’s sales.
Return on Invested Capital Compared to Industry and Top Competitors
General Electric Intuitive Surgical
General Electric Earnings
Compared to Conglomerates Industry - 5 years to date
Intuitive Surgical Earnings
Compared to Health Care Industry - 5 years to date
General Electric
Intuitive Surgical
Financial Metrics
Heat Map
CORE VALUE
Build
Imagine
Lead
Solve
LeadBuild
CUSTOMERCLIENT
PROCESS EMPLOYEE
Products / Service
Technologies
Reputation
R & D
Benefit Package
Leadership Program
Diversification
Shareowners
ConsumersPartners
Philanthropy
Organic Growth
TechnicalInnovation
PeopleFocused
Value Creation Model
Revenue Flow Chart
Marketing
Reconstructing
R&D
Product/Service
Customers Partners
Government
Shareowners
Philanthropy
Infrastructure
Employees
Training
Dividends
Assets
Donations
CashEarningsReturn
PayrollBenefits
Taxes
Funding
Budget
Main Stakeholders
Revenue Flow
Related
S W
O T
Diversified Business Innovative Technologies Brand Value Environmental Awareness Strong R&D Leadership Program
SWOT
S W
O T
Senior Management Unsuccessful Asian Markets Low Stock Price 4th Largest Producer of Pollution
SWOT
S W
O T
Governmental Support Takeover & Merger Corporate Social Responsibility Global Market Growth in Aviation Industry
SWOT
S W
O T
Rules & Regulations Extra Competition & Price Wars Challenges in Economic
Recession Period
SWOT
PEST
POLITICAL ECONOMIC
SOCIAL TECH
• Tax systems and regulations
• Different business environment
• Deflation & inflation• Exchange rates
• Culture challenges influencing corporate culture
• Varied rate of technology advancement
Non-Invasiveness
InnovateLead
Efficacy
Challenge
Impact
CUSTOMER/ CLIENT
PROCESS EMPLOYEE
Products / Maintenance / Training
Research Grants
Reputation
Partnerships
Benefit Package
Compensation
Growth
Shareowners
ConsumersSurgeons
Hospitals
Organic Growth
TechnicalInnovation
PeopleFocused
Value Creation Model
Revenue Flow Chart
Marketing
R&D
Product/Service
Surgeons / Hospitals
Shareholders
Researchers
Employees
Training
Stock Prices
Assets
Grants
CashEarningsReturn
PayrollBenefits
Budget
Main Stakeholders
Revenue Flow
Related
Patients
Health Insurance Providers
S W
O T
First-Mover Advantage High Entry Barriers Brand Strength Near-Monopoly in Technologies High Switching Costs
SWOT
W
O T
S Big-ticket Purchases High Cost Rely Heavily on R&D Lack of Diversification
SWOT
S W
O T
Global Growth Domestic Growth Procedure Growth
SWOT
S W
O T
Legal Liability Rules & Regulations Imitators Development of Alternative
Solutions Price of Raw Materials
SWOT
PEST
POLITICAL ECONOMIC
SOCIAL TECH
• Health care bill• International health
care laws
• Exchange rates• Hospital
affordability
• People are getting older and sicker
• Competition for experienced hires
• Social acceptance of robotic surgery
• Patents• Advancement in
robotics
Summary
Benefits for Employees• Health Ahead Program• Income Protection• Retirement Insurance• Leadership Development Training
Corporate Social Responsibility• Philanthropy into Global Initiatives• Public Policy Influence• Investment Into Alternative Energy• Employee Volunteerism
Culture• Building People• Leadership Development• Work Environment• Improved Diversity
Benefits for Employees• Comprehensive Family Health Care Benefits• Income Protection• Retirement Programs• Incentive Programs• On-site Services
Corporate Social Responsibility• Supports Local Fundraising Efforts• Volunteerism• Invest in Effective Charitable Programs
Culture• Fast Paced• Results-Driven• Hard Work (long hours)• Making a difference
Attractive salary and stock options
Relatively small company = more individual impact
See tangible customer results from your work
Excitement of being a part of something on the rise
On The Flipside
Top-notch professional training and development
Good start for younger employees
Good company reputation Various industries to work in Global reach More secure career route