Caso Humana

FRAMING
KEY QUESTION * Did the restructuration strategies work? * What can Humana do to keep improving their business? | FLIPPING AND SKIMMING * 9 pages * Graphics, statistics data and financial statements * Background of the market, and decisions taken by Humana, and legal problems. |
BEGINNING OF CASE * About Humana * The insurer Gets sick | ENDING CASE * Bouncing Back tolife * An insured future? |

LABELING
* General environment
Lawsuits
Saturation of Nursing home market
Insurance business getting more competitive
* Industry
Have to deal with the rising health cost in USA.
Pricing for market share
* Competition
Facing stiff competition from Aetna Inc. and Lumenos
Aggressive pricing by competitors
* Strengths
Being an internet enable andcustomer focused health Service Company.
Advanced analytical models
Ability to define different market needs and creating services and products to satisfy them
* Weaknesses
Susceptibility to aggressive pricing by competitors
Key audiences were not aware of the company evolution

SYNTHESIZING

QUESTION | OPTION/ HYPOTHESIS | DECISION CRITERIA | PROS | CONS |
Did therestructuration strategies work? | By focusing the business in a consumer centric value proposition and through technology they got the opportunity to bounce business to life. | Most companies adopt lower price strategy, but by adopting these strategies they could have a long term business | People feel more satisfied because they feel the company cares about them, and the different procedures that they have toare more agile thanks to the technology implemented | The company core competence is in been consumer centric, but if they don’t take the right decisions they can lose against companies that compete in low prices |
What can Humana do to keep improving their business? | They can start advertising the different services that Humana has improved.They base in technology so they have to have thelast cutting edge technology | Most of their customers are not aware of Humana is today in matters of new programs and facilities.Technology is in constant chance in they don’t keep with it they would lose their advantage | Doing advertisement the company can inform current customers and also gain potential customers.By using technology they can reduce some cost, and it would help to improve thehealth experience for customers and physicians | Companies that are the main competitors like Aetna Inc and Lumenos can imitate the technology, or find a new way to be more efficient. |

CONCLUDING
RISK | | OVERALL RECOMMENDATION | | IMPLEMENTATION |
Humana has lawsuits in the past so it can be a problem in a futureCompetitor imitating the business model of Humana can pressure them to adoptlow price strategy, unless they keep innovatingLack of advertisements | | Marketing strategyKeep innovating and looking for new ways of technology. Expand in the market | | Meeting the marketing expertsKeep track of the different needs of customers |

CURRENT SITUATION
1. Which is the current strategy that the company is pursuing?
They are focusing on a consumer – centric valueproposition, by separating themselves through technology and consumer engagement
2. What is the current situation as a result of the strategy?
The current situation of the strategy is that they manage to bounce the business back to life, by reducing effectible different costs, and improving their system so at the same they earn money they can serve clients by engaging with them.

CORPORATEGOVERNANCE
* David Jones (founder)
* Mike MacCallister( CEO )
* Tod Zacharias (vice president)
* Eileen Hutchison ( vice president of marketing)
* Ken Fonsola and Jim Murray (members of the office of the chambermaid)

EXTERNAL ENVIRONMENT
SOCIETAL OVERALL
* Technological
Humana Inc. is separating them through technology by Web-based health plan.
* Sociocultural
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