Our client, Central hospital, is a 350-bed hospital based in a medium-sized city. The company has normally seen strong financial results with a 1-4% operating gain each year for the last five years. However, this year they are projecting a $14 m operating loss and the situation is expected to worsen in the future. The CFO expects to be out of cash in 2 years if not resolved.
They hired you to identify the cause of this loss and how they can hit break-even again. However, since they are an important employer, laying off staff is not an option.
This is a candidate-led case, so the candidate should take the case from start to finish.
Pay close attention to the objective of the client and the fact that laying off staff is not a viable option.