Nguyen Mai Thao Tram | Ngo Hien Minh | Pham Nguyen Thao | Tran Minh Quan |
Tong Nguyen Khanh Linh | Pham Anh Quynh Duyen | Nguyen Phuoc Nguyen Phuong |
Ly Van Dung | Tran Ha Thanh Thanh | Nguyen Thi Thanh Tuyen | Huynh Thi Kim Lam |
Dinh Hoang Anh | Truong Trinh Khai | Nguyen Tuan Kiet
SBC Round 3 – Execution and Scale-up: Case Writing Group
August 10th, 2023
Execution and Scale-up: Overview of SeedU’s Business Strategy
This case study delves into the strategic trajectory of SeedU, an upcoming startup in the field of psychology services. By analyzing the five pivotal dimensions which are human capital, market size, financial capital, five-year business planning, and risk mitigation, this study uncovers the innovative execution and scaling strategies employed by SeedU.
1. SeedU INTRODUCTION
1.1. Economic Values
In the process of refining SeedU’s service approach, a meticulous examination was undertaken, involving interviews with a diverse cohort of seven individuals aged 18 to 25, each of whom had previously engaged with psychotherapeutic counseling services. These interviews yielded valuable insights for SeedU to discover four client needs when seeking assistance:
- environment to share without judgment
- confidentiality of their information
- effective solutions to their problems
- practice environment that encourages motivation for sustained recovery efficiency
An appraisal of the Vietnamese counseling services landscape revealed a shortcoming in addressing the fourth need. Conventional counseling centers predominantly offer interventions during the session. Subsequent to these sessions, clients are left to navigate their healing journey in isolation, often leading to decreased motivation. The consequential relapses that arise necessitate repeated appointments, entailing a repetitive cycle that is both temporally and financially inefficient.
SeedU’s proposition offers a paradigm shift that transcend the conventional and encompass a comprehensive spectrum of client requirements. At the heart of this evolution is the strategic integration of adept social workers specializing in psychosocial counseling and proficient in the nuances of effective social communication.
Coming to SeedU, after the counseling sessions, the psycho experts will collaborate with social workers to customize recovery journeys with suitable activities for clients.
Social workers support patients’ healing practices, continuously monitor their recovery status, and ease their integration into society throughout the treatment process.
In summary, SeedU generates economic value for our clients by optimizing their time and money through a combination of psychological counseling and a community-based recovery approach to sustain motivation and efficiency in healing.
1.2. Social Values
Over the upcoming three years, our strategic focus is directed towards serving two distinct beneficiary groups: clients seeking psychotherapy and children aged 6 to 14 years.
SeedU’s value proposition extends tailor-made solutions to cater to the needs of distinct beneficiary groups:
- For clients:
SeedU is resolute in offering community-oriented pathways to recovery. By facilitating immersive journeys that are rooted in the communal fabric, we empower clients to overcome mental challenges while seamlessly reintegrating into the social community.
- For children:
Recognizing that the younger generation is the bedrock of Vietnam’s future, SeedU holds a steadfast commitment to their holistic development. Acknowledging the formative influence of early life experiences, we endeavor to partner with local educational institutions. By obtaining due permission, we aspire to impart a series of complimentary mindset-oriented educational workshops. Through these workshops, we aim to inspire students with positive thinking and effective problem-solving, thus equipping them to navigate the life crisis.
In summary, SeedU provides social values to improve Vietnamese mental well-being by promoting positive thinking among the young generation, and providing sustainable recovery service for clients to live a meaningful life.
- HUMAN RESOURCES
At SeedU, the adopted organizational structure is centralized in nature, wherein significant business determinations are formulated by the uppermost echelons of management. These determinations are subsequently disseminated through the hierarchical tiers. This encompassing framework extends to personnel alterations, wherein members who may no longer align with the established ethics and culture of the organization are transitioned, thereby facilitating the cultivation of consensus. An essential facet of our approach involves proactive management, which engenders the development of contingency and mitigation strategies. These strategies are conceived to effectively manage potential adversities.
Dr. Hang Phuong, the esteemed director of Cadeaux Psychology Center, boasts an illustrious reputation as an academic luminary and researcher within the domains of Psychology and Social Work at the University of Science and Education, Da Nang. With an expansive network comprising proficient psychologists and adept social workers, Dr. Phuong is well-equipped to lend invaluable assistance to SeedU in its pursuit of identifying suitable counseling prowess.
Furthermore, the mentorship extends from Greenwich University, spearheaded by the esteemed Dr. Nguyen Duy Nghiem and Mr. Nguyen Minh Hai. Their collective expertise will be instrumental in the endeavor to curate an adept workforce tailor-made for the organization’s forthcoming expansion ventures.
3. MARKET SIZE
The research conducted regarding the Vietnamese market yields an assumption. This assumption highlights that approximately 15 million individuals within the Vietnamese populace are confronted with challenges concerning their mental health. However, a distinct minority, numbering around 3 million individuals, actively pursue recourse through psychology services to address these challenges.
SeedU’s strategic focus centers upon a specific demographic subset for forthcoming initiatives. Precisely, our attention is directed towards individuals aged 18 to 25 years, who are residents of the bustling urban landscape of Ho Chi Minh City. Within this demographic cohort, estimated at around fifty thousand individuals, mental health issues stemming from social-related factors have taken root.
Simultaneously, the insights furnished by the health department of Ho Chi Minh City resonate with our analysis. These insights illuminate a trajectory characterized by an annual rise of notable proportion, ranging between 10-15%, in the prevalence of mental health disorders. This upward trajectory augurs a favorable prospect for the prospective expansion of SeedU’s specialized psychological support services within this market.
4. FINANCIAL CAPITAL
SeedU successfully secured approximately one hundred and seventy-nine dollars through a crowdfunding campaign for business operation. Being aware of financial challenges, SeedU is diligently and proactively navigating the situation with a firm resolve.
In order to amplify the sphere of influence and attract more support, SeedU has forged a strategic alliance with Cadeaux, an esteemed psychology center specializing in educational support. Cadeaux is led by Dr. Nguyen Thi Hang Phuong, an authority in the realm of psycho-sociology. Cadeaux’s collaboration consolidates our credibility and increases our outreach capabilities.
The fruits of this collaboration are manifest in our joint endeavor termed “Gifts for Kids” workshop series. These activities serve as an opportunity to spread the idea of SeedU’s projects to more people as well as connect SeedU with high-quality stakeholders. Noteworthy to mention is our alignment with seven renowned psychology experts within Vietnam’s psychological counseling landscape. This collaborative network not only amplifies our credibility but also lays the groundwork for future co-hosted mental health seminars, affording us an opportunity to synergize efforts with like-minded psychological enterprises and organizations. Through this strategy, SeedU not only enhances its recognition and credibility but also lays the foundation for building trust among potential investors. As we progress towards the web app building phase, this trust will facilitate easier access to capital from investors who share our passion for improving children’s mental health.
5. FIVE-YEAR BUSINESS PLANNING
SeedU’s proposed five-year business plan (figure below) serves as a comprehensive blueprint that underscores our proactive measures to align with SeedU’s growth prospects, both in terms of financial gains and societal contributions.
The initial phase, spanning from July 2023 to July 2024, is dedicated to establishing a robust groundwork. This encompasses the formulation of strategic operational methodologies prior to SeedU’s market entry. Integral to this phase is the creation of ethical standards, meticulously crafted in accordance with Canada’s recovery guidelines. This strategic alignment guarantees the consistent adherence to SeedU’s operational tenets. Further, this phase entails the implementation of a verification system and primary contractual frameworks, essential for synergistic collaborations with psychotherapeutic experts and social work professionals. Concurrently, efforts are directed towards refining the pricing model and the development of a minimum viable product (MVP) for the web application.
Moving into the subsequent phase, scheduled a year hence, SeedU will actively engage with startup incubators or accelerators, strategically poised to identify potential investors and stakeholders. Concomitantly, the process of soliciting qualified psychotherapeutic experts and social workers is initiated. Capital allocation during this period predominantly centers around the construction and launch of the web application.
The third phase is earmarked for concentrated marketing endeavors targeting the primary clientele within Ho Chi Minh City, the largest urban center in Vietnam. This strategic focus seeks to cultivate an initial user base. Concurrently, an iterative feedback loop is established to continuously improve service quality. This phase is also marked by the establishment of SeedU’s supportive community platform, designed to facilitate the exchange of personal narratives and solicitation of assistance.
Upon attaining stability within the Ho Chi Minh market, the fourth phase comes into play. This stage involves an expansion strategy targeting other key Vietnamese cities. Simultaneously, new services such as life coaching and community-driven activity programs are introduced, broadening SeedU’s service portfolio and appeal.
6. RISK MITIGATION
In the pursuit of both impactful outcomes and sustainable profits, SeedU is diligent in identifying and addressing five significant risks that possess a substantial likelihood of materializing and exerting profound repercussions upon the operations of the company. These risks are thoroughly evaluated to inform the formulation of prudent and effective managerial strategies.
The initial risk pertains to the market landscape. Specifically, it involves the potential circumstance wherein Vietnamese clientele may exhibit limited enthusiasm towards the counseling modality that SeedU employs. This scenario could result in diminished engagement and participation, thereby impinging upon the company’s market presence and financial viability. To counteract this, the organization must channel increased resources into comprehensive marketing and public relations endeavors. These initiatives aim to elucidate the value and efficacy of psycho-counseling therapy, as well as elucidate the transformative nature of SeedU’s healing journeys.
A second risk factor centers around governance and compliance. It entails the possibility of SeedU’s workforce engaging in behaviors and employing language that is incompatible with the ethical standards expected by clients and audiences. The potential manifestation of such conduct stands to detrimentally impact the company’s standing and credibility within the industry. To proactively mitigate this risk, the implementation of employee training programs is recommended. These programs will emphasize a “Client-centric” ethos and propagate the foundational tenets of SeedU’s corporate culture. Moreover, comprehensive internal communication strategies should be established to ensure the seamless transmission of these principles throughout the organizational hierarchy.
The subsequent risk encompasses the market’s response to the healing progression experienced by clients. There exists the conceivable scenario wherein clients may experience a decline in motivation throughout the course of their healing journey. Such an outcome could undermine the efficacy of SeedU’s offerings and potentially lead to attrition. To mitigate, a comprehensive approach involving the deployment of social workers is suggested. These professionals will serve as companions to the clients, closely monitoring and evaluating their healing trajectory. This diligent oversight is poised to invigorate motivation and facilitate sustained engagement.
The fourth risk pertains to technology and innovation. It encompasses the potential occurrence of technical malfunctions and defects within the web application platform. Such glitches have the capacity to impede the seamless delivery of SeedU’s services, thereby engendering dissatisfaction among clients and tarnishing the company’s reputation. To preemptively address, a robust protocol of regular maintenance and security enhancement is advised. By assigning the IT team to perform routine assessments and swiftly rectify any technical aberrations, SeedU can ensure the uninterrupted functionality of its digital infrastructure.
Lastly, a risk emerges in the lack of talent and human resource management. This risk materializes as a deficiency in psycho-expertise among the staff. The absence of skilled professionals in the field of psycho-counseling could undermine the quality of services rendered by SeedU. To mitigate this risk, the organization is encouraged to undertake a proactive approach in investing resources towards the training and development of social workers. This investment should concentrate on augmenting counseling competencies and facilitating the proficient orchestration of healing journeys for clients.
In conclusion, SeedU’s prudent identification and conscientious management of the aforementioned risks underscore the organization’s dedication to maintaining operational resilience, client satisfaction, and industry leadership. Through meticulous mitigation strategies, SeedU is poised to navigate potential challenges with acumen and fortitude, thereby safeguarding its mission and ensuring the fulfillment of its corporate objectives.