Mayne

Mayne was one of the biggest and most dominating companies concerning health care in Australia. It had an unbalanced history with ups and downs. It specialized in different areas. They started as a delivery company, which grew into an important logistics company. Later Mayne entered different industries including the health care section. Their goal was to be the market leader in the medical industry by owning hospitals, providing drugs and services.

But due to poorly evaluated situations the company encountered several management and profitability issues.

Depending on which period we look at the company, it has its strengths and weaknesses. Directly after entering the health care section, they had very specialized workers, this was their strong point since they needed professionals with an experienced view on the job they had to do. The down side was that they did not have a lot of authority. They were forced to listen to the decision makers who were a small centralized group of managers.

Later on they even fired the specialized doctors and nurses and hired new inexperienced staff to do the job in order to keep the costs low. This of course was criticized and seen as a weak point in the history of the company.

The environment in the 20th century changed rapidly, Mayne did not have the ability to respond to those quick transformations because of the limited focused management.

All this is presented in the case and is important information in order to understand what went wrong. They changed the structures within the organization, but did they choose the right ones to make the company come perform at it’s best? And was the cause of the issues the company struggled with a structural problem? All these questions will be discussed in this case study.

 Structural issues Mayne is facing

Mayne was founded as a delivery company in 1885, an organization with a simple structure, highly centralized and low in complexity since the authority laid in the