Global-medic is an established medical supplier, with a number of branches in Shah Alam, Cyberjaya and Melaka. Peter Chales, the chief executive officer (CEO) of Global-medic is very keen on adapting the balanced scorecard and quality control systems in his organization. Presently, the performance measurement at Global-medic is based mainly on the summary financial measures such as return on investment (ROI) and profitability.

Peter, who is based at the Head Office in Subang, has been worried about his organisations performance in recent times, and has received complaints from customers about the quality of service at some of the branches. Peter is also aware that Global-medics market share appears to be deteriorating over time. Global-medics parent company, CureGlobal, which operates in Australia, has invited Global-medic staff to visit to their company in Australia. Peter has also received an offer from a friend who is the CFO of Best manufacturing, offering Global-medic Hospitals staff the opportunity to visit the company to gather information on Total Quality Management and value engineering.

(a) Discuss the importance of a quality program system to Global-medic. (8 marks)

(b) Describe what is value engineering and discuss how value engineering would improve Global-medic performance. (5 marks)

(c) Explain THREE advantages of using of non-financial performance measures. (6 marks)

(d) Discuss how customer profitability analysis could help enhance the future competitiveness of Global-medic. (6 marks)