STRATEGIC PLANNING FOR GROWTH & EXPANSION 2013

AUTHORED BY:

CYNTHIA SMITH-WALKER

APRIL 2013

Strategic Planning for Growth & Expansion, April 2013 Page 2 of 49

TABLE OF CONTENTS

EXECUTIVE SUMMARY .......................................................................................................... 4

The Medusa Family of Companies and Organizational Structure .............................. 5

MEDUSA SCIENTIFIC: COMMUNICATION ............................................................................................. 5

ULTRASOUND ..................................................................................................... 6

SENSING ............................................................................................................... 7

ENERGY SOURCES ............................................................................................. 8

IMAGING .............................................................................................................. 9

ELECTRONICS ................................................................................................... 10

SCIENCE ............................................................................................................. 11

ENGINEERING ................................................................................................... 12 TECHNOLOGIES ............................................................................................... 13

RECOMMENDATION ................................................................................................................ 16

PROBLEM OR BUSINESS NEEDS ................................................................................. 16

FUNCTIONAL AREAS ......................................................................................................... 17 SOLUTIONS ........................................................................................................................... 18

1. Human Resources ........................................................................................................... 18 College Internships ............................................................................................... 18

Work-Study Programs .......................................................................................... 19 Hiring Independent Contractors ............................................................................ 19

Contract Recruiter Services .................................................................................. 20 Social Media ......................................................................................................... 21

2. MARKETING (Online Presence).......................................................................... 21 A. BRAND/SERVICE VIABILITY ................................................................... 21

Products and Services ........................................................................................... 22 Target Customers and Demographics .................................................................. 22

Medusa Scientific Organizational Benefits .......................................................... 22

B. ONLINE COMPETITORS ................................................................................. 23

C. WEBSITE STRATEGIES AND RECOMMENDATIONS .................. 25

PR Strategies ........................................................................................................ 25

Begetting the Buzz ............................................................................................... 25

Community Branding ........................................................................................... 26

Sponsorships ......................................................................................................... 26

D. SEARCH ENGINES ............................................................................................. 27

E. SOCIAL MEDIUM INTEGRATION ............................................................ 28

F. ONLINE CLIENT RELATIONSHIP ............................................................. 28


G. INTERNATIONAL CONSIDERATIONS ................................................... 29

H. ASSOCIATED COSTS FOR WEBSITE DEVELOPMENT ................ 30

Summary ............................................................................................................................... 31

3. RISK MANAGEMENT ............................................................................................. 32

Risk Register .............................................................................................................. 32

A. RISK RESPONSE ...................................................................................... 33

Risk Number One: Attacks from Terrorists ...................................................33

Risk Number Two: Fire .........................................................................................34

Risk Number Three: Data Compromises ........................................................34

Risk Number Four: Disruptions: Communications and Technology ....... 35

Risk Number Five: Exchange Rates .................................................................35

Risk Number Six: Loss of Key Employees....................................................35

Risk Number Seven: Theft ...................................................................................36

Risk Number Eight: Natural Disaster ...............................................................36

Earthquakes ...............................................................................................................36

Business Contingency Plan ....................................................................................... 37

A. Protecting Sensitive Data ....................................................................... 37

B. Communication Plans .............................................................................. 38

C. Restoring Operations ................................................................................ 39

D. Summary ...................................................................................................... 40

IMPLEMENTATION .......................................................................................................... 41

TIME LINE .............................................................................................................................. 41

1. HUMAN RESOURCE SOLUTIONS .................................................................. 41

2. MARKETING SOLUTIONS .................................................................................. 42 3. RISK MANAGEMENT SOLUTIONS ................................................................ 43

IMPACT .................................................................................................................................... 44

Financial Impact ................................................................................................................. 44 Organizational Impact ...................................................................................................... 47

REFERENCES ............................................................................................................................ 49


EXECUTIVE SUMMARY

Medusa Scientific boasts a creative work environment and state of the art laboratory

and test equipment for their scientists and engineers. Their goal is to innovate, develop

and design exotic and unique technologies for specific applications that solve the

challenges presented to by their customer base. Prototypes are built and tested that have

proven solutions. As a group they foster the same atmosphere like that of most highly

innovative periods in world history – the post WWII institutional research grouping and

think tanks of major aerospace and governmental labs. They have a passion for their

technologies and are inspired to solve real-world requirements from their sister Medusa

divisions as well as customers who rely on them for unique and efficient solutions to

real problems.

Medusa Scientific takes projects from a Technology Readiness Level (TRL) of 1

and develops them to a TRL of 9.

Intellectual Property – Medusa Scientific has developed a number of technologies

and their patent portfolio of intellectual property includes, but is not limited to:

1. Cyclops – Full color night vision designed for incorporation in helmets or as

stand-alone goggles. The goggles contain the sensors and a full color display

image superimposed over direct vision.

2. IsoToPower – The photonic conversion of the energy released by an elemental

isotope to electron potential. The generator has a safe, useful and finite, but long-

lived lifetime ending as safely disposable.

3. TM (Transpositional Modulation) – A fundamentally new carrier signal

modulation that is mutually transparent to conventional modulation methods,

thus, when added doubles or more the information capacity within a fixed

bandwidth, while possessing encryption capabilities.

4. SeaLINK – The combination of two technologies. Proprietary broadband

modulation of ultrasound as the communication linkage of a mesh network

providing tether-free underwater matrix communication of voice, video

and sensory data.


The Medusa Family of Companies and Organizational Structure

Medusa International is the parent company of Medusa Scientific.

Medusa Aero owns military aircraft and provides Contractor Air Services (“CAS”)

for air components of the U.S. Armed Services.

Medusa Space is focused on the business of space developing advanced technologies

for commercialization specializing in uniquely valuable organic and inorganic

materials and structures.

The Protolab is an extreme precision machining and fabrication facility for

prototype design and limited run production. With EDM machines, multi-axis CNC

machines, mills and lathes, plasma cutting/welding and laser machining. Medusa

supports their own needs along with those of their strategic partners and customers.

Medusa LLC is a company using advanced technology and experienced personnel

to provide security solutions for corporate and governmental clientele.

Wraith possesses both manned aircraft and UAVs for differing mission sets

including support of local, county and state law enforcement agencies as well as

available for forest and cropland overflight sensing, search and rescue and other

unique solutions. The sensor applications include Electro-Optical, Infrared, Multi &

Hyper Spectral imaging, SIGINT and more. Wraith doesn't sell UAVs, it sells

capabilities.

MEDUSA SCIENTIFIC: COMMUNICATION Medusa Scientific personnel have years of experience and expertise developing

improvements and new methods of communications in two different media:

1. RF – Electromagnetic communication using a fundamentally new method of carrier

signal modulation, Transpositional Modulation or TM for short. Adding TM to an

existing conventionally modulated transmitter is accomplished by one of two methods.

The carrier signal internal to the existing transmitter is intercepted in order to add TM

prior to the power output amplifier. This is not as practical as it was once. Transmitters

that are single chip designs render this method impossible unless TM is incorporated in

the design of a single monolithic integrated circuit transmitter.


2. The second method of adding TM is to include a transmitter that is slaved to the frequency

of the existing conventionally modulated transmitter. The slave operation produces both a

frequency and a phase lock so that the slave transmitter and existing transmitter outputs can

be combined and sent to the existing antenna. There is no frequency or power limits to

producing a TM slave transmitter.

ULTRASOUND Communication by moving the molecules of the transmission medium. Gas media such as air at sea-

level has the greatest amount of loss due to absorption and scatter and therefore air has the shortest

distance of communication range for a given frequency and power. Liquid media such as water has

about a 200 times greater communication range due to reduced loss for the same frequency and power

level. Solids such as steel have the least amount of loss and several hundred times lower loss than

water.

Communication depends on producing a change in a carrier signal. Medusa Scientific has developed a

breakthrough in broadband modulation of ultrasonic energy for underwater use, referred to as USM.

The modulation conveys information by “pushing” and “pulling” water molecules in a longitudinal

direction. When there are other particles in the water, the ultrasound is scattered. Ultrasound will also

reflect off the upper surface of the water as well as the bottom bed of the river, lake or ocean. These

realities produce the challenges for receiving and demodulating the ultrasonic energy.


In a practical communication system, intelligence is added to the modulation information to ensure

accurate reception. Forward error correction and hand-shaking are key elements to a successful

communication system.

Another key ingredient is management of the communication link or links in a multiple node network.

This is implemented as a mesh network and the entire system is known as SeaLINK. Each diver,

submersible, surface vessel, buoy and/or shore installation has multiple and independent links with

each other, thus maintaining communication as movement of one node may cause blockage of

individual links behind obstacles.

SENSING Medusa Scientific has experience and knowledge of developing, designing and using sensors of

various parameters utilized in a variety of applications:

Hyper-Spectral – Sensing energy over a wide range of wavelengths. Examples include cameras

sensitive to short wavelengths such as 200 nm for ultra-violet through visible wavelengths and into the

long wavelengths such as 1000 nm (1 micron) for infrared. Longer wavelengths are also of interest for

detecting and measuring specific molecules. Crop health evaluation is an example of how hyper-

spectral imaging is used. Detection of oil pipeline leakage is another use.

Color Night Vision – New very low light level image sensors capable of operating in narrow

bandwidths for full color imaging. The ability to see normal colors at night greatly aids in the

identification of objects and people at night. This product is for both military and civilian uses.

E-field – Sensing the change in the electric field as small as a single electron. Sensing the E-field

has numerous applications including the movement of objects for intrusion detection, imaging to

visualize static charge fields and detecting an increasing static charge buildup as a dangerous

condition in chemical, nuclear, medical and biological laboratories.

Florescence – Sensing the florescent response of molecules when stimulated by specific wavelengths

of energy. This behavior of molecules is the basis for remote sensing of dangerous material such as

toxins, gases and explosives.

Mass Spectrometry – Detecting specific molecules based on their ratio of mass to charge. An applied

E-field causes molecules to move in specific paths depending on their mass, thus acting as a sorting

function. Counting the molecules at a specific location will be the means of detection and

measurement.

Quadrupole Mass Spectrometry – Preceding the Mass Spectrometer with a quadrupole acting as a

filter of molecules enhancing the sensitivity of mass spectrometry. As the illustration shows, there are

four poles that set up the E-field which directs the molecules as they pass through the quadrupole.

There is a combination of a static electric field and a high frequency dynamic field. The result is an

oscillatory motion as the molecules pass through the quadrupole. This behavior produces a filtering or

tuning function allowing the mass spectrometer to be more sensitive.


ENERGY SOURCES

Medusa Scientific has several ongoing research and development projects in the fields

of energy conversion, energy harvesting and energy storage:

Chemical – Studying and evaluating various chemical systems and reactions for

primary cells and for secondary cells used for energy storage. This includes chemical

systems that improve the energy density capability of various lithium based systems

as illustrated. Energy storage is another application of improved chemical systems

that achieve higher energy storage with low inductance for high pulse load

requirements.

Other configurations include closed systems having several process steps that are able

to be packaged in small forms such as AA battery size.

Nuclear – Medusa Scientific has a nuclear battery technology known as IsoToPower.

There are a number of elements that emit energy in the form of particles and waves.

Energetic elements produce high energy alpha particles that are easy to contain and

produce high energy output with a short life. Beta emitters do not produce as much

energy for the same amount of material but have longer lifetimes. Beta particles require

more shielding. Beta cells have been implanted in people to power pacemakers and

those having the implant more than 3 decades ago have lived with no ill effects.

Particle – In addition to the beta-based nuclear battery program at Medusa Scientific,

alpha particle emission is being researched in a direct conversion configuration. Higher

efficiency and higher power capability with ease of containment (paper stops alpha

particles) with shorter life for safe disposal of spent batteries.

Harvesting – Energy harvesting is not a new concept but has a new sense of importance

and urgency. Harvesting is making use of existing sources of energy as the graphic

illustrates. Examples of energy sources include sunlight, temperature difference, physical

vibration, acoustic noise, radio signals, as well as wind and ocean waves.

The focus of ongoing research and development lies in the means of converting non-

electrical energy into electricity. The effort to improve energy storage is an important

part of energy harvesting in how the energy harvested is stored in the smallest size

possible.


IMAGING

Medusa Scientific has the experience and expertise to develop imaging systems

using the following technologies:

E-field – Sensing the E-field in an area or space as defined by the sensing antennas and

presenting the level of charge and their spatial position. The image at the right shows

the capability of Medusa Scientific in this area.

The image is of a strong charged spiral-shaped object sensed two-dimensionally and

displayed three dimensionally. The vertical axis is related to charge level. The

horizontal and depth axes describe the two dimensional area of sensing. In reality, the

presentation can be made using glasses as a single image. Another option is to present

the left and right images individually to the eyes.

Rotation and other manipulations of the image greatly enhance the realism of the

image. To provide quantitative data, the use of 3-dimensional cursors and automated

measurements of charge level and XY positional data is available. Single axis and triple

axis sensing are also capabilities as appropriate for specific applications.

Ultrasound – For decades, ultrasound has been used for medical imaging of internal

structures as viewed from outside the body. Ultrasound is also used for non-destructive

testing of metallic assembly faults and cracks. Medusa Scientific has proprietary

technology for broadband modulation of ultrasound. By applying specific modulation

patterns, ultrasonic scanning of objects, underwater or in air, produces much improved

target surface feature resolution.

With ultrasound, measuring the delay between emitted sound and the reflection yields

the distance to the reflecting objects. Physically moving the ultrasonic transducer or

using a phased array, vertical and horizontal scanning takes place. Together with depth,

a three-dimensional ultrasonic view is readily available using Medusa Scientific

imaging technology.

Color Night Vision – Very low light level imaging has historically used an image

intensifier device producing a monochromatic image that is converted to video or a

standard still image format. The human eye operates differently at night than in

daylight. We see a lack of color outside at night. Conventional night vision systems

have been valuable in that they can image objects not seen by the human eye.


Low light levels do not eliminate the wavelengths of light we see during daylight. Medusa

Scientific has developed and designed a very low light level image sensor system that

produces quality images with very low light levels. The image is filtered into fundamental

wavelengths to ultimately produce a full color image.

The Cyclops technology contains this proprietary technology in a helmet or goggles with

image presentation to the eye.

ELECTRONICS

Medusa Scientific is equipped and staffed to design electronic circuitry using the

following substrates:

Silicon Level Design – Monolithic single chip designs using standard CMOS,

BiCMOS and other configurations of transistors plus passive components such as

resistors, capacitors and diodes. These components make up electronic circuits that

perform functions dictated by the requirements they are designed to meet. Silicon

chips offer smallest size, low cost and low power for production runs, extremely

small and light weight products, lowest power needs and increased security of

design.

Medusa Scientific has over 3 decades of experience in designing chip solutions.

Analog, RF, digital and mixed-signal submicron designs may be the right method to

meet client requirements.

System Level Designs – This is a critical distinction of the design process since this is

the overall or global design that is a top-level design looking at the whole picture. This is

a design discipline that defines the sub-functions of the system to meet the requirements.

Symbolic or block design is usually the first phase using behavioral simulation followed

by precise component level design of each sub-function at the schematic level and

simulated using precise component models. Simulation at this level is very accurate.

Implementation of the system level design is at the circuit board level of assembly

and may include one or more integrated circuits as designed with this process.

Digital functions can be performed by a micro-controller or microprocessor,

depending on the speed of execution required. Fast execution is performed by an

FPGA. High performance analog and power circuitry may be separate.


DC to Beyond Light – Often work with very wide bandwidths in a facility are

referred to as “DC to Daylight”. At Medusa Scientific we literally deal at DC

with their E-field sensing which, for intrusion detection, has a bandwidth of DC

to <1 Hz. Medusa deals with ultrasonic and RF frequencies for communication

and their imaging work occurs at infrared, visible and ultra-violet frequencies.

Sensing sub-atomic emissions of their particle physics work pushes their

“bandwidth” to literally beyond daylight. They have multiple labs for this very

reason.

Many disciplines are required throughout the “DC to beyond daylight” and different

scientists and engineers will be involved with projects depending on the nature of the

application. It is not unusual for a requirement to deal with a variety of frequencies,

many times involving different disciplines of science and engineering.

SCIENCE

Medusa Scientific is active in both research and development. Basic research takes

place in their labs as well as other facilities throughout the country. Development is

frequently associated with engineering design to be most efficient. Development mostly

takes place in their labs and results in a way that can be implemented in physical form.

Research – Fundamental research takes place in their laboratories in the broad areas

of electric fields, magnetic fields, sensing, energy and communication. In other labs

we continue with basic research into the understanding of atomic and sub-atomic

particles for applications in energy generation, energy storage and other uses.

Research takes place both in intellectual thought, group discussions, advanced

capability of modeling and simulation and actual lab experiments.

Development – Research establishes a set of understanding that provides the direction

for physical implementation. Actual lab experiments adds and refines research

knowledge and begins an understanding of how to ultimately describe the physicality

of the technology in order to pass the knowledge on to engineering for actual design

implementation. Development also provides the information necessary to describe the

technology to others in order to foster further research and to commercialize the

technology.


Mathematics – The base of understanding and the language of communication of any

new research is mathematics. Math also is a fundamental means of understanding and

the foundation of any work furthering the understanding of a technology.

Medusa Scientific math is rooted in MatLab which is global math software used by

most governmental and educational labs and groups working in science.

Medusa Scientific modeling and simulations use Maple Sim and COMSOL. Both are

also universally used. COMSOL gives Medusa a research and development tool key

to most of their R&D efforts. Maple Sim also provides a powerful development and

design tool for modeling and simulation.

ENGINEERING

Medusa Scientific actively designs many electronic and mechanical devices and

assembles them in prototype quantities for field evaluation and demonstrations.

Electronics – Designs frequently are based on the Research and Development work of

the scientists at Medusa Scientific. Customer specific applications also set the direction

of design efforts.

Designs frequently start with symbolic models, block or system level schematic

diagrams and behavioral simulations to establish a design concept. Detailed schematic

diagrams with exact circuit components and precise models are then used for accurate

Berkeley Spice simulations whether the design is a printed circuit level assembly or a

silicon chip.

Physical design then proceeds with a layout that is an actual design process depending

on the production technology. Printed Circuit Boards are designed with several different

software tools depending on the frequencies involved. Altium and AWR are used for

high frequency designs while Altium or Multisim/Ultiboard is used for low frequency

designs. Tanner Design or AWR are used for monolithic layout designs in a silicon

environment, depending on the frequencies and wafer foundries chosen.

Medusa Scientific designs at the system or block diagram level with software including

SystemVue or AWR.


Mechanical – Design of housings, fixtures and enclosures for communication, sensing

and energy devices developed and designed by Medusa Scientific and outside

customers. Most design is done in software such as SolidWorks and may be ported to

MasterCAM for ultimate programming of edm or multi-axis machines in their sister

company, The ProtoLab (www.medprotolab.com) to produce prototype parts or

produce short production runs. Materials include any electrically conductive material

for edm machining or non-conductive materials for multi-axis machining by The

ProtoLab.

TECHNOLOGIES

Medusa Scientific has expertise and decades of experience among the scientists and

engineers in a variety of fields. In some cases, papers are available on these subjects for

downloading. A brief description of the technologies includes:

Sensors – Airborne, ground-based and portable, hand-held sensing using a number of

methods such as ultra-violet, visible, infra-red and lower frequency electromagnetic

radiation such as radar and goniometers. E-field and ultrasonic based sensing are other

sets of disciplines in development and design.

Cyclops – Seeing in darkness is facilitated with electronic devices such as image-

intensifiers, electron multipliers and other devices that amplify a very low light

level and present an image visible to the eye. What has been missing is the

technology to present a true full color image at night level illumination. Medusa

Scientific has developed and designed such a system, now covered by U.S.

Patents.

E-field – Sensing the ambient electrical field by sensing electrical charge with a

sensitivity of less than one electron at the input of the Medusa Scientific

electronics module. Using multiple element antenna structures and input modules

allow for the visual presentation of the location of those charges in one, two and

three dimensional displays plus charge magnitude measurement data.


Communications – RF and ultrasonic wireless communication systems.

TM – RF communication work is centered on TM, Transpositional Modulation.

TM is a fundamentally new method of modulating a carrier signal that will

double or more the information bandwidth within a defined and in-use

communication channel. TM is a modulation that is mutually transparent to

conventional modulations. TM is a Medusa Scientific patented technology.

Ultrasonic communication is an acoustic or physical particle based technology as

opposed to RF which is an electromagnetic wave method of communication.

Acoustic energy limits the transmission to a non-vacuum medium. Air can be

used but gasses are much less efficient than liquids. Of course, solids are an even

better medium for ultrasound propagation. Water is the focus of Medusa

Scientific's efforts in untethered underwater communication.

USM – Historically, modulating ultrasound has been limited to having less than

desirable modulation bandwidth. Methods of modulating piezo-electric

ultrasonic transducers with wide bandwidth and linearity have been designed and

are now covered by Medusa Scientific owned U.S. Patents.

SeaLINK – Utilizing USM modulation technology, a network of multiple nodes

can be assembled using mesh-network technology that conveys various types of

data throughout the network. Data such as voice, physiological information,

sensory data and even video can be sent throughout the network using

untethered communication. Encryption of several levels is used for external and

internal privacy. SeaLINK is covered by U.S. Patents of Medusa Scientific.

Energy – Chemical, nuclear and physical means of converting, generating,

harvesting and storing energy.

IsoToPower is an environmentally-safe source of energy using the conversation

of radiation from an isotopic material into a current flow that is a nuclear

battery. Material is chosen for long life, low level energy to short life, high level

energy for high power, short duration applications. Both cases are completely

environmentally safe and conventionally disposable. Medusa Scientific has a

number of patents covering various design aspects of the IsoToPower battery.

Work on this is conducted under contract at nuclear laboratories outside of

Medusa Scientific including the University of Arizona.


Photo-Kinetic Generation – Is a closed loop chemical system capable of

producing significant amounts of energy in relatively small enclosures resulting

in high energy density.

Harvesting – Is a means of converting one form of existing unused energy into a

useful form of energy – in their case an electrical output.

Other chemical systems and mechanical designs are in research and development as

sources of energy to power modern electronic devices and systems.


RECOMMENDATIONS

PROBLEM OR BUSINESS NEED

Our client is Medusa Scientific, an Arizona LLC and a wholly owned subsidiary of

Medusa International, a Nevada corporation. Medusa is an R&D organization

possessing important and valuable Intellectual Property (IP) that has been (a) used in

government contracts as well as (b) applied to numerous proposals to government and

major government contractors such as L3, Boeing, Elbit, Lockheed-Martin

(LockMart), Northrop-Grumman, etc. and (c) submitted proposals to agencies

including DIA, CIA, NSA of the U.S. government.

The parent company has other divisions dealing with branches of the Department of

Defense for training and other purposes. The U.S. Government has drastically cut back

on funding of new Research and Development contracts and delaying payments on

existing contracts to private businesses, not just Medusa Scientific.

The financial foundation of the organization has been changed. No longer can they rely

on government funding of R&D projects or any other government income for the other

divisions within the parent company. Awareness of this problem began to increase in

2011 but became a factual issue by summer 2012. Since then the emphasis on funding

projects has shifted to the private sector. Medusa does not want outside corporate

ownership of its technology, thus, the terms have shifted with the IP to isolate the IP by

various structures on investment. This has resulted in a number of failed negotiations

where the initial aspects were of a benign – almost angel -like funding – nature only to

reveal a hostile aspect of an investment. To mitigate the problem, Medusa has pursued

private financing through several types of corporate structure changes. They are re-

structuring the entities as public companies encompassing each Intellectual Property as

a stand-alone public company all owned (for now) under the parent company. This

actually has the advantage of being able to sell off a specific Intellectual Property

independently and with no effect on any of the other IPs.

The broad problem is financing on-going operations. The path of financing the owned

Intellectual Property strengthens negotiations with potential users of IP because of the

work performed and ability to support claims of the IP. In addition, MEDUSA

Scientific has no Risk Management Plan in place.


FUNCTIONAL AREAS

Due to the cash flow issues, hiring personnel (HR) is a huge problem for the company,

as is marketing (for example, no online presence). This impacts Human Resources

because their financial issues prevent them from securing qualified personnel. Medusa

Scientific is unable to offer competitive wages and benefits to prospective employees.

Because of these financial hardships, Medusa Scientific has had to scale back the

number of technologies they are currently developing. They don't have the labor force

to assist them with projects because they are not able to afford full-time workers.

They are currently without a marketing budget, so they are also without an online

presence. This creates more problems for Medusa Scientific because without an online

presence, it becomes an obstacle for new customers to find them, pay for products and

services, thereby increasing Medusa's profits. Executive members of Medusa Scientific

have had to spend valuable time finding and securing clients themselves. Having an

online presence would help tremendously with their marketing and could become an

additional source for communication with distant employees as well as aid in a Risk

Management Plan.

A Risk Management Plan is necessary because without it, Medusa Scientific would be

risking the loss to data, products and human capital which they clearly cannot afford to

be without. Much of the work that Medusa Scientific has done in the past has required

Top Secret, High Security Clearances. In conversations with Mr. Gerdes, we have

learned that they do not have a Risk Management plan in place. Mr. Gerdes has shared

that they endured a significant losses to theft which, due to the fact that they are a high

security clearance facility, mandated investigation by the FBI. Implementation of a Risk

Management Plan can, potentially, reduce the amount of risk for theft and other risk

factors. Reducing these types of losses with a Risk Management Plan would thus

improve Medusa Scientific's future financial performance.

Therefore, the Functional Areas planned to examine for Medusa will include:

1. Human Resources;

2. Marketing; and

3. Risk Management.


SOLUTIONS

1. Human Resources

Due to lack of funding, Medusa Scientific struggles with paying permanent

employees wages and benefits. We believe that there are a number of outsourcing

solutions that Medusa Scientific could benefit from including college internships,

work-study programs, hiring independent contractors and utilizing Contract Recruiter

services.

College Internships

Many colleges encourage their students to participate in internships in an effort to

strengthen their awareness in their selected field of study as well as gain business

experience. Generally, internships consist of short -term work relationships up to

about 200 hours whereby an employer provides students training, supervision,

business experience and feedback. Internships can be completed for school credit,

work experience, and wages, or a combination of any of these. Medusa Scientific

could solicit the universities in their area offering short- term internships in the various

areas for which they have business needs: Accounting, Engineering, Human

Resources, Marketing, etc.

This would require little effort on the part of Medusa Scientific and minimal costs. It

would entail gathering the names and addresses of the Universities they want to solicit

and write a letter regarding their offer of Internship. While it is possible to reduce costs

by contacting the various Universities via email, even with paper and postage, the costs

would be minimal.

Utilizing interns would be a way for Medusa Scientific to take advantage of cheap

yet skilled labor and intelligent labor, thus improving upon their future financial

performance.


Work-Study Programs The Federal Work Study Program provides funding for part-time work to assist students

with their educational expenses. Students can receive this funding from over 3300

Universities. Hourly wages must meet the federal minimum wage standards. Medusa

Scientific again, could inquire with local Universities offering a Work Study Program. In

many instances, the college or the Business Partner must pay up to 50% of the student’s

pay. This would require little effort on the part of Medusa Scientific and could help to reduce

wages by up to 50%. Again, Medusa would need to gather the names and addresses of the

Universities they want to solicit and write a letter regarding their offer of a Work Study

Program. While it is possible to reduce costs by contacting the various Universities via

email, even with paper and postage, the costs would be minimal. With this type of program,

if Medusa needed a receptionist, for example, they could solicit a local business college

about a work study program, and pay about half what they might normally incur for this

expense. Medusa Scientific could also work with the University of Arizona's Work Study Program

to secure graduate students in the fields of engineering and physics. This would help

Medusa Scientific to secure assistance at significantly reduced wage rates, thus

improving upon their future financial performance.

Hiring Independent Contractors There are numerous benefits for hiring Independent Contractors rather than permanent

employees. Despite the fact that most business entities pay more wages per hour for

contractors, as opposed to permanent workers, in the long run, it drastically reduces the

costs. With independent contractors, you would not have to pay benefits, Medicare or

Social Security taxes, workers' compensation insurance nor state unemployment

insurance. This could be a 20-30% savings for Medusa for each position they fill using

independent contractors.

Hiring contractors increases flexibility. Medusa could hire a contractor for a specific

project, with the understanding that the worker will be gone once the task has been

completed. The employer will not need to bear the expense, trauma, and/or potential

legal trouble that often accompany layoffs and terminations.


Medusa might also benefit from increased efficiency by hiring independent contractors

because most of them have specialized expertise and can become productive promptly,

eliminating training costs, and benefiting from the ability to expand and contract their

workforce as needed.

Hiring independent contractors is also a way to reduce their legal liabilities. Workers

have many rights under state and federal laws. Impinging upon those rights could land

an employer in a lawsuit for violation of those rights. Contractors, on the other hand, do

not share those legal protections, including:

the right to 1 ½ times their regular wages for overtime;

protections from age, race, gender, ethnic, color and religion discrimination;

the right to form a union, and

Family Medical Leave Act protections.

Medusa would still need to offer competitive wages to attract skilled independent

contractors but this method could drastically reduce their labor costs, thus improving

upon their future financial performance.

Contract Recruiter Services As with the options listed above, Contract Recruiter Services also has many benefits.

Medusa would save a great deal of cash by hiring a Contract Recruiter over a staffing

agency. A Contract Recruiter is skilled for handling all hiring needs and they work much

like the independent contractor discussed above. This means that Medusa would not be

responsible for providing regular worker benefits/protections. In fact, Medusa could hire

a Contract Recruiter on a commission basis. Hiring workers from a staffing agency puts the business entity at their mercy and time

constraints. Staffing agencies tend to have numerous clients and often cannot fill your job

vacancy as promptly as Medusa might desire. However, a Contract Recruiter would get

started searching for employees right away. They would be more likely to get the job

completed more promptly if they are motivated by commissions rather than hourly wages.


Another advantage is an intimate knowledge of Medusa's organizational culture. They would

become intimately familiar with Medusa's mission and vision, and make hiring decisions in

alignment with Medusa's goals. For instance, if Medusa was searching for workers with

strong progressive instincts and who could work well without supervision, a Contract

Recruiter would add those qualities to their repertoire of screening criteria, in essence,

developing their ideal staff!

Unfortunately, it can be difficult to reach a representative at a staffing agency or HR firm, and

this could prevent Medusa from communicating time-sensitive information. With a Contract

Recruiter, they would be doing most of the work in-house, which makes them easily

accessible. If they had questions, comments or new information to disclose, the communication

would be easy to share. Not only does hiring a Contract Recruiter simplify communication, but

it would allow Medusa to collaborate with their Recruiter on hiring decisions. Just because

Medusa is not able to handle the hiring, interviewing and training themselves does not mean

that they hold a desire to be completely closed off from the process; Medusa could drop in on

their Contract Recruiter whenever necessary to meet new hires or to assist with interviewing.

Social Media Medusa could also create profiles with the popular online social mediums such as LinkedIn,

Twitter and Facebook at no charge. This would be an opportunity to recruit skilled workers

from around the world, without incurring additional expenses. By creating a Facebook

business page, for example, Medusa could connect with Universities in their area,

continuing to promote work study programs and/or internships. Thus the use of social media

could help Medusa Scientific improve upon their future financial performance.

2. MARKETING (Online Presence)

A. BRAND/SERVICE VIABILITY Medusa Scientific was formed in 2010. Medusa Scientific's mission is to develop

unique and owned intellectual properties (IP) to the point where they are useful

technologies for targeted markets.

Medusa Scientific has experienced some measure of success. Medusa Scientific took down

their website because it ultimately proved unsuccessful, but they did keep the domain

name. However, they never had a SEO strategy in place. Medusa Scientific hasn't used any

social media for the promotion of their business.


Medusa Scientific would like to increase their effectiveness and reach with an online presence

to serve both their external and internal clients as well as to meet the organizational mission.

The following components would improve their viability online:

Medusa Scientific organizational benefits;

A list of their current services and products;

Client benefits; and

Target demographics.

Products and Services Most of their products are all Intellectual Property (IP) in the areas of Communication,

Sensing, Energy, Imaging and Electronics.

Target Customers and Demographics Some of their communication technology customers include Sprint, T-Mobile and Echo-Star.

Some of their underwater communication customers include: US Navy, Bluetronix, and

Bluewater. Some of their sensing technology customers include Intelligence agency groups

and U.S. Military Divisions. Their nuclear energy and particle physics research customers can

not be identified, as that requires a Top Secret clearance.

Medusa Scientific Organizational Benefits Improving the website for Medusa Scientific could produce the following benefits: Improving the reach and efficiency of their client base;

Expanding their client base;

Communicate with Suppliers;

Communicate with employees and prospective candidates for employment; and

Website could be utilized for communication purposes should Medusa Scientific need

to activate their Risk Management Plan.


B. ONLINE COMPETITORS Here we will compare Medusa Scientific's competitors’ websites. Their top competitors were

chosen based upon the recommendation of their Chief Scientist, Rick Gerdes, for similar

products and services offered.

Development process improvements: Using file sharing, blogs, chat boards and other

social media will improve Medusa's communication efforts with their clients; and Collaboration Improvements: with other scientists to improve on their innovation

efforts.

WEBSITE REVIEW OF POTENTIAL COMPETITORS

Name of Company

Website

Year Business

Established

Rincon Research Corporation

http://www.rincon.com

2006

SAIC Engineering Solutions

http://saic.com

1969

L-3

http://www.l-3com.com

1977

The elements considered in ranking the top competitors to Medusa Scientific include:

1. Navigation;

2. Site Map;

3. Photos;

4. Logo Consistency; and

5. Website Features.

http://www.rincon.com/

http://saic.com/

http://www.l-3com.com/


ASSESSMENT OF COMPETITOR WEBSITES

Name of Company

NAVIGATION

SITE MAP

PHOTOS

LOGOS

WEBSITE

FEATURES

Rincon Research

Corporation

2

3

1

3

2

SAIC Engineering

Solutions

2

0

3

3

2

L-3

3

3

3

2

2

Rating System: 0 = Poor

1 = Below Average

2 = Average

3 = Above Average

WEBSITE FEATURES

NAME

CAREERS

SUPPLIERS

PRODUCTS

& SERVICES

SOCIAL

MEDIA

SCIENTIFIC

PAPERS

EMAIL

Rincon Research

Corporation

SAIC Engineering

Solutions

L-3


C. WEBSITE STRATEGIES AND RECOMMENDATIONS

Marketing successes for small businesses should utilize a combination of cutting edge

strategies with time-tested marketing techniques in the marketplace. This can become a

difficult struggle for profit-oriented businesses to find the right marketing mix.

Effective marketing programs appear to share one component: The best approach

permits smaller businesses to scale their visibility with their patrons. Where these

enterprises lack in resources, could be made up for in marketing expertise and

intelligence.

PR Strategies

Although PR can be more subtle, it is no less adroit than full-blown marketing thrusts. If

Medusa Scientific desires to relay to their target patrons, unlimited marketing messages,

buying mailing lists from the top three credit reporting agencies and executing direct

mail campaigns could be a potential solution. However, if the strategy demands poise

and refinement, thought leadership and media buy-in, Medusa Scientific could consider

hiring a professional Public Relations advisor. Since public relations leverages most

social mediums, it may cost very little to amass advertisements that accentuate

intriguing themes about their brand and products. The key is to learn how to pitch these

intriguing themes to your audience without appearing to be sales-aggressive.

Begetting the Buzz

The value of viral marketing should not be underestimated. There can be great gains

by generating word-of-mouth advertising about Medusa Scientific. This is a critical

component for the marketing mix, especially for a technology and innovation

business. In the promotion of these marketplace conversations, Medusa Scientific

should provide their patrons with the necessary tools for the creation of concise

brand dialogues. With little effort, they can fuel conversations through popular

social mediums.


Community Branding

Social mediums have risen in popularity because it promotes participation by patrons,

thus constructing a community of interested customers. Technology and innovation

enterprises could take advantage of marketing strategies which tap into these networks

and communities. Again, buying mailing lists from the top three credit reporting

agencies and executing direct mail campaigns could promote social medium drives with

client base expansion, and notifying these clients of your social medium presence.

Sponsorships

Team and event sponsorships have proven successful for enhancement of public

profiles. Oftentimes successful sponsorships happen over a longer time period as

opposed to a one-time event. Strategic sponsorships will target other technology and

innovation clients, employees, and suppliers. To reduce expenses and multiply benefits,

Medusa Scientific might consider co-sponsoring with a complementary business. For

example, they may check to see if local schools have science or engineering programs

for which need sponsorship.


D. SEARCH ENGINES

A crucial component to ensure that patrons (existing and new) access their website is

Search Engine Optimization (SEO) utilization. Mr. Smith wrote: “more than 50% of

the time clients visit One of the highest 4 ranked search results for key-phrases – top

spot alone is visited more than 40% of the time. Although it might not be researched as

frequently, the whole “tail,” which could relate to service, location, entity or brand,

composes more than 68% of search results (Smith, 2011). For some enterprises, geographical region is perceived as an elementary component for

successes. However, websites are deemed successful by search engine rankings (Bing,

Yahoo, and Google). To build and elevate SEO for Medusa Scientific, we would suggest

including keywords into their website's title, body content, sub-headings and headings.

Basic keywords incorporated into their online presence and meta tags might include:

science Technology Innovation sensors science jobs

technology jobs Research Engineering design prototypes

laboratory Internships Ultrasound e-field mass spectrometry

chemical Nuclear Particle harvesting imaging

light Silicon night vision RF florescence

careers Spectrometry

color night

vision

system level

design

DC to beyond

light

To foster advanced SEO, RSS feed utilization is also suggested. Integration of blogs

would also promote the sharing, expansion and development that would be meaningful

to Medusa Scientific's clients. Infusion of the keywords suggested above into blogs for

the purpose of site traffic promotion and utilization of web analytics for assessing site

traffic is suggested. Web analytics could be used as a marketing and industry research

and for measuring and improving online presence effectiveness (Wikipedia).


E. SOCIAL MEDIUM INTEGRATION

Medusa Scientific should integrate social media into their online presence. The Nielsen Company

has reported that Internet users in the United States spend about 23% of their time on social

network sites (Nielsen Company, 2010) and that over 200 million Americans are utilize the

Internet (Nielsen Company, 2012) . Integrating social media would profit Medusa Scientific

with business promotion and improved site traffic, by dispersing their brands and services, and by

rendering immediate feedback on what patrons want and don't want with regard to services and

products. Additionally, site functionality improvements through client feedback analysis on social

media could also be competently transmitted. Therefore, Medusa Scientific should implement

blogging, LinkedIn, Twitter and Facebook to their online presence.

Medusa Scientific would benefit with the utilization of social mediums due to the fact that they

could use these services for free marketing of their services and products. In return, patrons

would benefit due to the fact that they have the opportunity for interaction with Medusa

Scientific and provide them with beneficial feedback.

F. ONLINE CLIENT RELATIONSHIP Customer relationship management (CRM) is a customarily implemented method to manage an

entity's communications with patrons and demand projections. This would include utilizing

technology for the purpose of classifying, automating, and synchronizing corporate operations

including tech support, customer service, marketing and demand, (Shaw, 1991). The benefit is to

reduce marketing and consumer expenses, detect, allure, and retain potential patrons, cultivate and

retain the patrons they already have, and to attract loyal clients (Gartner, 2009). It illustrates an

entity-wide strategy to include consumer-interface divisions. Measurement is essential to

implement this plan. Social networks including LinkedIn, Twitter, Facebook and Google augment consumer voices in

the marketplace and endure profound effects on the manner patrons make purchasing decisions:

today they conduct online business research as well as seek input from family and friends for

recommendations. For example, we just had a Facebook friend post that they were looking for a

good neurosurgeon and they received numerous responses from their friends and family members.

Consumers are utilizing social mediums for sharing of experiences and opinions about companies,

services and brands. Without censorship, these consumers are free to express opinions without

limitations. For start-up or small businesses, primary consumer services could be accomplished

with an integrated solution that permits entities and others to record and track interactions

productively, including scheduling, employment activity, email and file- sharing. There are also

opportunities to track sales pipelines and service and marketing functions. As with large

corporations, small businesses might find value in online resolutions (Wikipedia).


Organizational advantages include elevations in profits, consumer satisfaction increases,

and prosperous expense reductions to operational costs. Advocates stress that technology

should be implemented only with well -thought out strategic planning. By using CRM,

Medusa Scientific would improve be in a position to improve the client experience.

Analytical CRM – Medusa Scientific's plan should be designed to use consumer data for

the purpose of:

1. suggesting services and brands;

2. creation and refinement of consumer service methods;

3. identification marketing methods for services for new and loyal patrons; and

4. SWOT analysis for threats, opportunities and trends for the decision-making

improvements with regard to market expansion. They could use Google Analytics

freeware which would allow them to track site visitors through social networks,

email campaigns, search engines and Pay-Per-Click advertisements.

G. INTERNATIONAL CONSIDERATIONS

Strategic planning that focuses and develops markets outside of the United States has become

Medusa Scientific's objective. To capitalize on this venture, Medusa Scientific has considered:

Cultural Differences;

International policies and procedures;

Differences with time zones;

Regulations regarding shipping;

Barriers for languages;

Graphical color and images;

Currency Exchange; and

International ethical business practices.

We suggest that Medusa Scientific hires TransPerfect for the translation of data from their website

into many languages for a flat fee of $500. This demonstrated a reduction of expenses as opposed

to the development of several other websites and country domains.


H. ASSOCIATED COSTS FOR WEBSITE DEVELOPMENT Medusa Scientific has developed a budget for their online presence. This budget includes costs for website development and ongoing monthly maintenance costs.

Yearly and monthly costs were allotted for a Webmaster to work the site full-time,

to render tech assistance and to ensure that site content remains relevant.

WEBSITE EXPENSES

ITEM

NON-

RECURRING PER MONTH PER YEAR

Webmaster $2,800.00 $450.00 $5,400.00

Domain Purchase 175.00 - - - -

Hosting Fees - - $18.00 $216.00

Interactive Chat

Feature - - $22.00 $264.00

Project - - $22.00 $264.00

Management

Feature

Shopping Cart - - $14.00 168.00

TransPerfect $500.00 - - - -

Language

Translation

Features

Affiliate $455.00 $80.00 $960.00

Advertising

TOTALS $3,930.00 $606.00 $7,272.00


Summary

Internet marketing is an extremely important tool for corporations today due to the fact

that it aligns with the way in which consumers make purchasing decisions. Studies have

indicated significant elevations in the number of consumers utilizing social media and

Internet research for preliminary product and price information prior to making their

final purchasing decisions. Use of the Internet as a marketing tool can promote

relationship building with consumers and prospective clients through regular, low-cost

personalized communications.

Internet marketing also provides a convenience value for Medusa Scientific as well as

clients or prospective clients. It expands the hours of operations without having to pay

employees over time, increasing company information and availability from 8 working

hours per day to 24 hours per day, 365 days per year. By Medusa Scientific offering

their product line across the Internet, this would allow clients to browse and place

orders at their convenience.

Internet marketing also overcomes distance barriers. Medusa Scientific can sell their

products and services in any country of the world without the necessity of setting up

shop locally. These are just a few examples of the value and positive impact Internet

marketing would have on Medusa Scientific's future financial performance.


3. RISK MANAGEMENT

Catastrophic events can happen without warning. In the event of an emergency, it is important for

Medusa Scientific to reduce their risks by taking reasonable measure for the proper protection of

their property and human capital.

Emergency situations demand a certain amount of recovery before normal business activities may

resume. The extent of their recovery efforts is dependent on the type of emergency involved. Recovery

plans should begin as soon as the situation is stabilized. The purpose of this proposed Plan is to define

recovery actions, continuity processes, and emergency management development for the restoration of

Medusa Scientific's business activities. Plan components shall detail response procedures that affect

Medusa Scientific' ability to restore business activities and services for staff and address regulatory and

legal mandates.


A. RISK RESPONSE

Working with Medusa Scientific, we have identified three levels of emergency

events, which relate to the magnitude of the emergency:

Level One ― this low level event associates isolated departments or buildings that

might promptly be solved with internal resources. At this level, there is little or no

impact on the entity operations for Medusa Scientific. Impacted employees would

coordinate appropriate resolutions with the Risk Manager.

Level Two ― this medium-level event could disrupt larger areas of Medusa Scientific

for which cannot be controlled or managed by utilizing normal procedures. This type of

event may call for external assistance such as ambulatory services or fire rescue. These

events may escalate quickly, and may have greater consequences for the safety of

human capital and/or operational activities. Level Three ― this high-level cataclysmic event could greatly impact Medusa

Scientific facilities, and as well as the surrounding community. This type of event

would probably halt business activities and have far- reaching and complicated impacts

and demand prompt resolutions. Additionally, it could also require considerable

coordination and expansive cooperative efforts. The HR Director and Risk Manager

should coordinate efforts for appropriate resolutions.

Risk Number One: Attacks from Terrorists (Risk = High)

Terrorism has been defined as the use of violence and intimidation in an effort to secure

political goals (Wikipedia). If terrorists were to target Medusa Scientific headquarters,

they could incur severe property damage as well as loss of lives. This is not likely to

happen due to the fact that terrorists usually target skyscrapers, financial institutions and

utilities, to name a few. In the unlikely event that this situation should transpire, the first

priority would be the safe removal of workers and to address their medical needs. The

Human Resource Director and the Risk Manager should work together, accounting for all

employees and which remain missing. The Risk Manager should promptly notify

emergency services, which will probably arrive very quickly. Should terrorists take a

Medusa Scientific hostage, the Federal Bureau of Investigation should be promptly notified

by the Risk Manager and comply with their directions.


Terrorists tend to target public buildings they deem vulnerable. Medusa Scientific

should contemplate allocation of their limited resources for risk reduction since

becoming a “hard target” tends to deter terrorists. Some measures for physical security

include fencing, closed-circuit or dummy cameras, limit public access entrances, use of

I.D. badge systems, security sign-ins for visitors (and check identification), controlled

parking, mail room package inspections and training employees how to properly

inspect suspect packages, outdoor lighting, and using security guards around the

property.

Finally, the Risk Manager should also notify the insurance provider regarding

damage claims and ensure building stability.

Risk Number Two: Fire (Risk = High)

A fire in Medusa Scientific's buildings would likely halt operations. If a fire starts, First

Responders should promptly attempt to contain it. Prompt activation of the emergency

alarm system and location announcement via the intercom system should occur when a

worker notices a fire. The Human Resources should then begin evacuation procedures

for all persons in the building. On a yearly basis, every worker needs to complete fire

extinguisher training. The potential destruction caused by fire could become minimal by

training workers on the proper procedures for fire response. Also, planned and regular

fire drills will help workers become familiar with evacuation procedures. The Human

Resource Director should plan the fire drills.

Risk Number Three: Data Compromises (Risk = Medium)

Access that is not authorized and/or the illegal use of client or employee data could

create legal liability for Medusa Scientific. In the event that this were to happen,

Medusa Scientific should reach a prompt determination of what data was compromised,

send notices to those that are affected, and provide Identity Theft Monitoring for the

victims. Additionally, Medusa Scientific should assist the police in the investigation and

apprehension of the perpetrators. The computer security systems will also need to be

reviewed and/or modified to prevent future crisis events of this nature.


Risk Number Four: Disruptions: Communications and

Technology (Risk = Medium)

Communication and/or technology outages, including service provider blackouts, could

result in economic losses and substantial disruptions. They generally occur without

warning so Medusa Scientific will need to have a contingency plan in place in an effort

to minimize these disruptions. Alternate Internet providers and cell phones are

important to assure continuation of operations. Accommodating key workers with these

additional services could minimize the economic impact associated with not being able

to reach suppliers, employees and patrons.

Risk Number Five: Exchange Rates (Risk = Low)

Medusa Scientific plans to provide a range of products and services to international

clients. Fluctuations with currency and exchange rates can create small risks for

Medusa Scientific. To reduce the risks, Medusa Scientific will need to rely upon their

CFO to monitor these fluctuations, and provide advice in an effort to reduce these

risks. In addition, contracts should be written so that it is clear that the currency

exchange will be in U.S. dollars.

Risk Number Six: Loss of Key Employees (Risk = Low)

Losses of key workers could also develop disruptions because employee

substitutions might not handle those responsibilities effectively. Thus, Medusa

Scientific could incorporate an employee development and succession planning

program to address the potential future losses of key workers and to successfully

transition skilled workers to the positions that have suddenly been vacated.


Risk Number Seven: Theft (Risk = Low)

Medusa Scientific has a desire to preserve all assets. Inventories should be completed

of all electronics, including televisions, software, hardware, computers, printers and

copiers or other similar equipment. The Risk Manager should assume responsibility

for this task, continually updating the inventory every 90 days. Inventory lists should

be made available off-site and on-site.

To deter theft, security cameras should be installed at every exit within Medusa

Scientific buildings and security should be employed for night monitoring.

Risk Number Eight: Natural Disaster (Risk = High)

Tornadoes

Medusa Scientific comprehends that Mother Nature could disrupt the operations of their

business. During a tornado, Medusa Scientific visitors, suppliers, clients and personnel,

should remain peaceful and quickly progress to the lowest floor, using the staircase,

avoiding all windows, and assume a fetal position. Keep all doors closed. When the

weather has calmed, promptly exit the building, checking for fire, hazardous materials

and damage to electrical wiring. Employees need to report all hazards promptly to the

Risk Manager.

Earthquakes

During an earthquake, Medusa Scientific workers, visitors, suppliers and clients should

again, remain calm and quickly take cover under furniture (table or desk). Stay there

until the earthquake has ceased. Keep away from all windows and heavy furniture. If a

worker is outside, they should run to an open area, stay clear of damaged power lines

and architecture and remain watchful for flying debris. Stay inside your vehicle and,

away from traffic, and clear of tunnels, overpasses and bridges.


BUSINESS CONTINGENCY PLAN

There are numerous strategic changes that Medusa Scientific could incorporate to

continue services. It is important for the restoration of services to transpire as soon as

possible following a disruption to business operations. Due to the fact that a portion of the

business operations for Medusa Scientific has already experienced some success with

running at-home computers, this would make for an effective back up plan. Each division

manager will be responsible for assuring that all of their business-related functions could

continue online at home, if the need should arise. Medusa Scientific should also incorporate a succession planning program to replace the

loss of key personnel. This will minimize the impact of business disruptions. Succession

planning is also a part of talent management due to the fact that it mandates identifying

and developing employees with significant potential. Employee skills, education, and

talents would be documented and could be readily available when a vacancy opens for a

key position.

A. Protecting Sensitive Data

The protection and ethical use of sensitive client data is a high priority for Medusa

Scientific. This would not only include client and worker data but proprietary processes

and supplier information as well. Worker and client data includes, among other things,

SSN, banking and other contact information. Mobile data can be secured in locked file

cabinets, accessed only by authorized employees.

The Medusa Scientific network could use intrusion detection protocols, firewalls, and

readily available anti-virus protection tools. Firewalls are developed to prevent

unauthorized access. Intrusion protocols would alert IT professionals when a breach has

transpired. Anti- virus tools prevent malicious programs from sabotaging computers and

networks. These types of tools help to assure that access customer data and other sensitive

information remains safe and secure. Medusa Scientific will need to disable USB ports to

prevent employees from accessing this data and copying it to portable drives. Medusa

Scientific will need to utilize a facility off-site for the purpose of backing up this data.

Taking this measure permits access should the primary copy be destroyed (What is Offsite

Backup?).


Additionally, Medusa Scientific should implement an employee ethics training

program. While a written code of ethics would normally include information regarding

potential conflicts, a training program provides opportunities for the examination of

best ways to handle unethical situations. It would be wise for Medusa Scientific to

incorporate an anonymous reporting system for perceived ethics violations and to

demonstrate their commitment for an ethical business culture. By implementing these

recommendations, Medusa Scientific can reduce the risk that their sensitive information

will be compromised.

B. Communication Plans

1. Email

2. Website

3. Employee Meetings

4. Phone List

A communication plan is not just for crisis events, but also after business disruptions.

Implementing a communication plan would help Medusa Scientific to relay information

to clients and workers. If a crisis were to unfold, it would be a method for workers to

check-in and confirm their safety. Medusa should provide workers with an emergency

to communicate their evacuation status, and how they could be reached in case of an

emergency. The plan should include a check -in time, for example, 72 hours following a

crisis event. When this time is up, and there has been no contact with certain

employees, Medusa Scientific could report those workers as “missing”. In addition,

Medusa Scientific can use their (new) website to share updates, such as when normal

business operations can be expected to resume. Medusa Scientific can also use an email

system for sharing updates with clients and employees.


C. Restoring Operations Depending on how severe the disruption becomes, restoration might be completed

promptly. The objective is to return to normal operations as safely and promptly as

possible in an effort to reduce the financial impacts to Medusa Scientific. Medusa

Scientific Risk Manager may need to contact an insurance adjuster to notify them of the

crisis. This allows them to get the claim in for payment promptly. Medusa Scientific may

need the CFO to contact their financial institution for the establishment of new credit lines

or perhaps for withdraws from other funding sources to replace equipment. Medusa Scientific holds a high regard for the safety of their clientele and employees.

Should a building become severely damaged, it should be secured so that other workers

aren't injured by entering it until the building has been stabilized. The Risk Manager will

need to consider contacting OSHA to obtain approvals and permits for any construction

that may become necessary. The three main parts of a business contingency plan include: documentation of the plan,

employee training and employee awareness. Medusa Scientific should explain to their

employees the importance for the identification of possible threats to business operations. A well-planned and executed training program can successfully raise the level of employee

awareness as well as teach them the necessary skills to carry it out. The training should

include: emergency communication methods, how to access data from outside the office

and press releases (Implementing a Business Continuity Plan, 2009). In addition,

workers need to participate in emergency evaluation drills, as well as learn how to protect

office equipment during a crisis (if time and conditions permit). It is critical to identify and

document all potential threats and solutions to those threats and to have that documentation

readily available in case of a crisis. Uploading the BCP to their website for easy access for

all employees is highly recommended. Continuous evaluation and testing of the BCP is very important as it reveals the plan's

effectiveness and whether the objectives can be achieved.

The elements involved with testing the BCP plan include: creating goals, implementing a

testing schedule, and the development and execution of a crisis scenario. For scheduling,

decisions will need to be made parts or the whole plan will be tested. Testing the complete

BCP plan will usually take many days or even weeks (in 3-4 hour increments).


Prior to testing, set clear goals, which will provide workers with a specific set of

outcomes. The testing should approximate a real crisis scenario, or be “life-like” (for

example, an unexpected terrorist shooter or a blazing fire). During the test period,

employees should go through each part of the plan as though the crisis was real. This

will provide employees the opportunity to step into their role assignment and respond

as if it were truly a crisis. Evaluations of responses and outcomes should take place

immediately following the testing period. Sharing the results with personnel and brain-

storming for plan improvements will increase participation efforts and help workers

know what is expected if a true crisis were to occur.

Upon completion of the BCP testing period, Medusa Scientific should evaluate the

results and make any necessary modifications. Continuous testing provides insight into

the plan effectiveness and whether workers can promptly restore operations after a

crisis. The BCP plan should be tested and evaluated on an annual basis.

D. Summary

The purpose of risk management is the identification of potential issues before they

happen so that risk-handling activities may be planned and invoked as needed across the

life of products, projects or human capital in an effort to mitigate adverse impacts on

achieving objectives. Having a Risk Management Plan in place for Medusa Scientific

will help their financial position so that protections are put into place to prevent further

financial losses. For example, loss of a key executive could have Medusa Scientific

suffer financial losses due to the fact that person would no longer be available to

continue job responsibilities. Implementation of a succession plan, would better prepare

Medusa Scientific for key executive transitions.


IMPLEMENTATION

TIME LINE

1. HUMAN RESOURCE SOLUTIONS

Solution Cost

Time

Notes

College Internships Paper and Postage

$25.00

Letter to Universities

could be written within

1 month. Program

could be implemented

within 6 months.

Could get part-time

temporary help for free.

Work Study Programs Paper and Postage

$25.00

Letter to Universities

could be written within

1 month. Program

could be implemented

within 6 months.

Could get part-time

temporary help for

reduced wages.

Independent

Contractors

Depends upon position,

set hourly rate.

Independent

Contractors could be

secured in a relatively

short period of time,

perhaps 1 month.

Cheaper than hiring

employees, easier to

terminate employment,

reduce legal expenses.

Contract Recruiter

Services

$50,000/year Contractor Recruiter

Services could be

secured in a relatively

short period of time,

perhaps 1 month.

Medusa could negotiate

a commission contract.

Social Media FREE All suggested social

mediums could be up

and running within 1

month.

If Medusa Scientific began by June 1, 2013, these recommendations could be fully implemented by

July 1, 2013.


2. MARKETING SOLUTIONS

ITEM NON-

RECURRING

PER

MONTH

PER

YEAR

TIME

Webmaster 2800 450 5400 3 months

Domain Purchase 175 – – 3 months

Hosting Fees – 18 216 3 months

Project

Management

Feature – 22 264 3 months

Interactive Chat

Feature – 22 264 3 months

Shopping Cart – 22 168 3 months

TransPerfect 500 14 – 3 months

Affiliate

Advertising 455 – 960 3 months

TOTALS 3930 606 7272 3 months

If Medusa Scientific began by June 1, 2013, these recommendations could be

fully implemented by September 1, 2013.


3. RISK MANAGEMENT SOLUTIONS

Cost Per Year

Time

Notes

Risk Management Training

Classes

$4,000.00

per person

Discounts available

for enrollment of

5 people

90 Days

Stanford

University

Certificate

http://tinyurl.com/bc4f2xb

Online Training with

Stanford University

Fire Extinguisher Classes

$75.00

per person

½ day http://risk.arizona.edu/training#figHtingfires

Advanced Computer

Security

Included with

Stanford University

Certificate

90 days http://tinyurl.com/pavzfj

Online training with Stanford University

Identity Theft Monitoring

for Victims

$10.00

per month

per person

12 months Only if crisis occurs

http://www.lifelock.com

Succession Planning

Programs

$795.00 1 month

http://tinyurl.com/ahrxxyw

Continuous record keeping and

documentation

Inventory of Company

Equipment

FREE 1 month

Medusa Scientific Headquarters

Virus/Firewall Protection

FREE 5 minutes

to download

http://www.zonealarm.com

Offsite Data Backup

$229.00

Year

Instant http://tinyurl.com/bxj5t7g

Ethics Training Program

$500.00 for up to 500 employees

1 month http://tinyurl.com/avnl7sv

TOTALS $9,674.00 Less than 12

months.

Total includes 2 people enrolled in Stanford

University Risk Management Program and

2 people enrolled in Fire Extinguisher

Program; and excludes Identity Theft

Protection because that number is unknown.

If Medusa Scientific began by June 1, 2013, these recommendations could be fully implemented by

June 1, 2014.

http://tinyurl.com/bc4f2xb

http://risk.arizona.edu/training#figHtingfires

http://tinyurl.com/pavzfj

http://www.lifelock.com/

http://tinyurl.com/ahrxxyw

http://www.zonealarm.com/

http://tinyurl.com/bxj5t7g

http://tinyurl.com/avnl7sv


IMPACT

Financial Impact

We expect Medusa Scientific to benefit from the financial impacts for the

recommendations as outlined above. These would include increased revenues, reduced

expenses and increased financial stability.

1. Human Resources

The Human Resource Solutions will be difficult to estimate. For the first year, the costs

will be minimal for sending letters to Universities, paying for the paper and postage.

However, Medusa Scientific will likely still incur HR costs for hiring either workers

through the Federal Work Study Program, Independent Contractors, or Contract

Recruiter Services. Those amounts are not known and may require negotiation.

2. Marketing

The Marketing Solutions will cost Medusa Scientific approximately $11,202 for the

first year. Thereafter the costs are approximately $7202 per year or $606 per month.

In his February 2013 Forbes article, How Marketing Impacts Sales Performance, Scott

Gillum shares that he discovered 3 very important elements on marketing its impact

on corporate success: (Gillum, 2013).

1. Increased Opportunity – Without marketing support, sales can't elevate rates for

consideration. Awareness for the corporate product was 62% compared to 88%

for the leading market-share holder. The rate for consideration was even worse at

nearly 50% compared to 86% held by the leading market share holder.


The company maintained a culture for strong sales. Thus, to show the need for increased

marketing activities, we included “relationship with the sales team” as a key consideration,

along with typical drivers such as service, price and brand (Gillum, 2013).

This research demonstrated that the sales team relationship wasn't an important

consideration. The results revealed, however, that the representatives could do very little to

influence the perceptions of the buyers’ as it related to service and products and that a new

buyer wasn't being reached by the sales team (Gillum, 2013).

The company then elevated the budget for marketing and reallocated funds from events to

digital marketing. They also ramped up videos, webcast, and built a microsite specifically to

attract this new buyer. As a result, awareness rose 17 points to nearly 80%, and the

consideration rate, formerly at 46%, increased to 62%. The model predicted an incremental

1% change in consideration rates and yielded 20 new opportunities and almost four new

wins, with a value of nearly $2M (Gillum, 2013).

2. Sales Coverage – Increases in marketing activity could create elevated sales

coverage perceptions. Buyers were questioned with regard to the frequency they encountered

a sales rep within a 90-day period. They responded that they were interacting with the sales

person an average of 0.8 times, or once per quarter, while reporting rep visits from the

leading competitor at 2.5 times, nearly once per month. Two years later, buyers responded

that they were interacting with the sales department 2.4 times per quarter, putting them on

par with competitors. As a result of these increases to marketing, buyers perceived an

increase in visits even though that number remained steady over the two year period

(Gillum, 2013).


3. Sales Enablement – Marketing can identify purchasing behaviors shifts. The

company’s performance had increased in all stages of the funnel except for one —their

current accounts. Representatives had discussed that clients had become more “price

sensitive” and competitors were undercutting them, stealing their market share. The

company was the product leader within the industry, and the senior management team

still believed that technology innovation was the key consideration factor (Gillum, 2013).

The continued research discovered that the sales force was correct in their assessment.

Buyers' priorities had shifted. With modifications to reimbursement, healthcare reform

and an effective competitor campaign in opposition to overbuying technology, buyers had

indeed changed, much quicker than anticipated (Gillum, 2013).

An outcome was that value proposition and sales material had to be updated promptly.

Rather than espousing innovation virtues, the materials now needed to help buyers justify

investments, leading to a shift from “bells and whistles” to “ROI models and product

configurators” (Gillum, 2013).

So, how do you communicate the impact marketing has on sales performance? Inform the sales representatives that marketing can identify new influencers as well as

buyers, elevate the number of opportunities the sales people visit, improve a buyer’s

perception of sales coverage, and enable the sales force with the right value proposition at

the right time to win the deal. Of course, you’ll need the data to support it. In this case, the

increases to marketing activities and investments yielded $50M in new sales over the two-

year period . . . just as the model predicted (Gillum, 2013).


3. Risk Management

The Risk Management Solutions will cost Medusa Scientific approximately $9674 for

the first year. In addition, there may be annual costs for continuing with the drills and/or

further training for other employees. This cost is minimal given the cost for loss of

human capital and/or data necessary for Medusa Scientific to continue business

operations.

Organizational Impact

If Medusa Scientific elects to implement the recommendations as outlined above,

the organizational impacts would include: Realized increases to customer base;

Increases to work productivity and efficiency;

Increased customer awareness;

Attracting high-caliber workers/employees; and

Significant savings in expenses.


1. Corporate Growth

One critical component impacting organizational structure is corporate growth. As

Medusa Scientific continues to flourish, the impact on their organizational structure will

significantly increase. This will especially ring true as Medusa Scientific expands within

the global marketplace. As they endure this transitional growth, they will likely hire

permanent full-time employees and will also need departmental managers to supervise the

growing staff. At this point Medusa Scientific will need to create a managerial structure.

2. Customer Needs

Customer service is also a critical component for success. Medusa Scientific may, at some

future point, dedicate an entire department to customer service and retention. Should an

important client award a substantial contract to Medusa Scientific, they might need to

restructure their company in an effort to accommodate the new contract. For example,

Medusa Scientific might need to implement a sales division just for that customer and

manufacturing might need to create a sub-process to build specialized products. As the

needs of Medusa's customers shift, so too will their organizational structure.

3. Technology

Technology can also impact organizational structure and work flow. The Reference for

Business has shared that when computer networks grew in popularity, it increased the ease

with which work could be completed in groups (Organizational Structure), thereby

increasing efficiency. New advances in technology could potentially create or even

eliminate positions within the corporate structure. For example, in the legal field, when the

Federal Courts began to except electronic filings, there was a vast reduction in file clerk

positions.


REFERENCES

Gartner, Inc. (June 6, 2009). What's 'Hot' in CRM Applications in 2009. Retrieved

April 2, 2013: http://tinyurl.com/a7pz5qs

Gillum, Scott. (February 25, 2013). How Marketing Impacts Sales Performance.

Retrieved April 2, 2013: http://tinyurl.com/cu4vrpm

Implementing a Business Continuity Plan. (2009).

Retrieved April 2, 2013: http://tinyurl.com/agbupp2

Linkedin, “About Us”. Retrieved April 2, 2013: http://tinyurl.com/aq676d

Nielsen Company. (August 2, 2010). What Americans do online: social media and

games dominate activity. Retrieved April 2, 2013: http://tinyurl.com/cusrfx7

Nielsen Company. (January 6, 2012). Report: Consumer Media Usage Across TV,

Online, Mobile, and Social. Retrieved April 2, 2013: http://tinyurl.com/7qcc3fd

Organizational Structure. (n.d.) Reference for Business, Encyclopedia of Business, 2nd

Edition. Retrieved April 2, 2013: http://tinyurl.com/d68r7h9

Shaw, Robert. (1991). Computer Aided Marketing and Selling, Butterworth

Heinemann. ISBN 978-0-7506-1707-9.

What is Offsite Backup? (n.d.). Retrieved April 2, 2013: http://tinyurl.com/cgpfbkk

Wikipedia, “Customer Relationship Management”.

Retrieved April 2, 2013: http://tinyurl.com/8mvkn

Wikipedia, “Web Analytics Software”.

Retrieved April 2, 2013: http://tinyurl.com/am6xoc

http://tinyurl.com/a7pz5qs

http://tinyurl.com/agbupp2

http://tinyurl.com/aq676d

http://tinyurl.com/cusrfx7

http://tinyurl.com/7qcc3fd

http://tinyurl.com/d68r7h9

http://tinyurl.com/cgpfbkk

http://tinyurl.com/8mvkn

STRATEGIC PLANNING FOR GROWTH & EXPANSION 2013

Documents

medusa family of companies

organizational structure

online competitors

contract recruiter services

marketing online presence

strategic planning

growth expansion

cynthia smithwalker