HOEKE CONNIE

PITTSBURGH, PA (USA)
Role(s):
Founder/Owner/Principal

Therapeutic Specialists, Inc.

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Location: PITTSBURGH
Industry: Healthcare
Year Founded: 1983
Number Employees: 10-50 people
Description: Therapeutic Specialists, Inc. (TSI) was started with a mission to provide Occupational Therapy Services to children with a variety of special needs in school settings and in private clinics. The business grew by nurturing current contractual relationships, gaining new contracts and patients, new business development, and by way of our reputation, due to our staff being held accountable for performing excellent work. Between 1995 and 2002, the business managers who were on staff worked very hard to put a firm financial structure which increased profitability, accountability, and cost-effectiveness. When in place, the business grew very well and we were increasing our yearly invoicing. This was paired with maintaining overhead within a correct percentage and the payroll of the clinical staff to 60-70 % of the invoicing. We increased our invoicing by approximately $200,000.00 per year and reached a $2,000,000 high in 2004. During these years and through 2006, bonus distributions shared the profitability with the staff. Due to personal illness in March, 2000, I was no longer able to work with the business and needed to rely on trustworthy individuals. The business was poorly managed from 2003 through early 2007 by a management team working in 3 areas of responsibility, i.e. business, clinical, and marketing/new business development. These managers were not accountable to anyone on a daily basis and all three unraveled the strong structural foundation. This resulted in high salaries for those I trusted very highly, who were not attending to all of the previously mentioned checks and balances that had caused TSI to grow to almost 60 people on staff. In June, 2005, a contract was lost and I realized that current business relationships had not been nurtured and new business had not been gained. The financial structure had been compromised, along with other important parts of a successful business. What has been uncovered since April, 2007, is the gross negligence of proper accounting procedures being utilized. Currently, the business is in debt and the company’s, and my personal, credit rating has taken a beating from previous fiscal mismanagement. We are currently in need of an influx of cash by December 31.