Deaconess Glover Hospital
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Case Study
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Deaconess-Glover Hospital:Case Study
Introduction
For several years the Glover Hospital has been offering services to the Needham Community in the United States of America. However, in 1980, the hospital faced different issues and financial challenges following poor managerial strategies. The hospital management thus allowed the Hospital Corporation of United States of America to provide a long-term solution for cost minimization and general operations. The background of Deaconess-Glover Hospital consists of 41 community beds and 1500 care group bed systems. In the year 1999, Dalton, the president of Needham learned that the hospital experienced $2.7m loss at the community hospital care during the past twelve months. Additionally, the hospital over the twelve months had also recorded $100million loss at the care group unit. This came to the attention of the vice president of Needham Julie Bonenfant alongside John Carter with the common intention of improving the operations and efficiency of the hospital (Spear, & Harvard Business School., 2005).
Case Analysis
The Deaconess-Glover Hospital thus defines the challenging strategic managerial approach to curb the loss in the two crucial operation units. Dr. John Carter provides his suggestion for the daily operation to reduce this loss. From his observation, John Carter suggested that the hospital needs to adopt the Toyota Production System to reduce waste of resources from the daily procedures (Spear & Harvard Business School, 2005).
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From this approach, the DGH would minimize the cost of resources and increase efficiency. Additionally, from the Toyota Process system, Dr. Carter suggested for precise definition of the role of all health workers at the Deaconess Glove Hospital as a way to define and understand the flow of operations. Typically, the DGH owns a tedious ordering procedure of medication to patients whereby there is no clear channel of directive procedures. He suggested for an order of prescription of the patient from the doctor to examine the patient then the nurse to undertake health management from the doctor then finally to the pharmacist.
Recommendation
From the above analysis, it is vital for the Deaconess-Glover Hospital to modify its service deliveries as an appropriate mechanism to improve its operation. Specifically, the hospital needs to incorporate the McKinsey 7 S Model, SARFIT, and the structural contingency theory. Ideally, the McKinsey 7-S Model provides the seven critical elements that managers incorporate to develop strategic objectives (Malan, 2003). They include the flow of prescription and determination of the chain of command of the hospital workforce operations. In this concept, it is not efficient to alter one of the seven elements individually but all of them. The McKinsey 7 S Model features include; strategy, structure, system, shared values, staff, style, and skills. Besides, the Deaconess Glove Hospital needs to determine the capacity for medication and the professional capability of its health workers. This will help the hospital adjust to the operations where necessary in the future with less cost.
Further recommendation consists of adopting the structural contingency theory which depends on the organizational circumstance. Dr. Cater suggested for the TPS approach and needed to be implemented in the period of crisis at the Deaconess Glove Hospital. In case of this approach fails the management will focus on another path to avoid further delays in strategic managerial perception.
Conclusion
In conclusion, the adoption of Toyota Production System according to Dr. Carter is appropriate at the DGH as a way of reducing waste of resource. In conjunction to this, developing new strategies is vital as DGH has been experiencing systematic issues on the customer service and the coordination of health workers. The SARFIT concept illustrates that implementing change can be a challenge. Nonetheless, organizations ought to acknowledge the problems as opportunities. Thus, DGH can improve the system of the firm. For instance, the workers are professionals, but there still exists service delivery issues. Implementing a new strategic plan that enhances the working environment can restore the customer service delivery and further revive the general performance therein. The SARFIT concept provides some strategies that can improve and regain the fitness of DGH. Ideally, the concept offers that it is necessary for organizations to be flexible in establishing the structures and systems.
References
Malan, A. (2003). Applying McKinsey’s 7S model within managed healthcare systems (MHS) to assess the organisation’s effectiveness and ability to adapt
Spear, S. J., & Harvard Business School. (2005). Deaconess-Glover Hospital (C). Boston, MA: Harvard Business School.
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