Should Color prioritize expanding its genetic testing panel offerings or focus on improving turnaround times for existing tests?

Introduction

The trade-off question at hand is whether Color should prioritize expanding its genetic testing panel offerings or focus on improving turnaround times for existing tests. This scenario involves balancing product expansion with operational efficiency, both of which are critical for a genetic testing company. I'll analyze this trade-off by examining the business context, user impact, technical feasibility, and strategic implications.

Step 1

Clarifying Questions (3 minutes)

• Based on Color's current market position, I'm thinking expanding test offerings might be a strategic priority. Could you share more about our current market share and competitive landscape?

Why it matters: Helps determine if growth or efficiency should be prioritized Expected answer: Moderate market share with increasing competition Impact on approach: Would influence whether to focus on differentiation or cost leadership

• Considering user needs, I'm assuming turnaround time is a critical factor for patient satisfaction. What's our current average turnaround time compared to industry standards?

Why it matters: Identifies if there's an urgent need to improve operational efficiency Expected answer: Slightly longer than industry average Impact on approach: Would determine the urgency of improving turnaround times

• From a technical perspective, I'm thinking expanding our test panel might require significant R&D investment. What's our current R&D capacity and pipeline for new tests?

Why it matters: Assesses feasibility and timeline for expanding test offerings Expected answer: Moderate R&D capacity with a few tests in late-stage development Impact on approach: Would influence the timeline and resources needed for expansion

• Looking at our resource allocation, I'm curious about our current operational bottlenecks. Where are the main constraints in our testing process?

Why it matters: Identifies areas for potential efficiency improvements Expected answer: Sample processing and data analysis are primary bottlenecks Impact on approach: Would guide efforts to improve turnaround times

• Considering market dynamics, I'm wondering about the urgency of this decision. Are there any upcoming regulatory changes or competitor moves that might impact our timeline?

Why it matters: Determines the time pressure for making and implementing a decision Expected answer: Potential new regulations in the next 12-18 months Impact on approach: Would influence the prioritization and phasing of our strategy