Assignment Task:
As CEO, your for-profit organization of $50 million in annual revenue, in the pharmaceutical industry, which employees just under 1,000 employees, is facing a dilemma. Covid has created production problems. Staffing shortages furthers the difficulties, and of the 1,000 employees you typically have, there are 200 vacancies across all entities. You are about to communicate to the Board that the organization just lost $10 million in revenue due to slow sales. The upcoming year is looking to have the same thing happen. 2025 is looking promising, and break even looks possible. Your organization does posses the rights, patent, and sole manufacturing of a life saving medication, that you normally price below market price to help financially those that rely on it. This medication is cheap to produce, and you have taken the high road to keep the price low. You also have (going through the FDA as we speak), a potentially lifesaving medication for a different health concern. It is expected to pass the FDA, but is expensive to produce, and you are unsure of if insurance companies will cover its costs (or most of the costs) for patients. You know it will work, but there are so many variables. All that said, you need to save $10 million this year, and likely another $10 million next year. As the CEO, you need to assign the leadership role to come up with solutions to a different leader, someone other than yourself. Then, that leader has to surround themselves with people from different backgrounds to present solutions. Who are the "who's," and what are the "why's" or solutions?