Western Hospital Strategic Management Case Study

This assignment involves analyzing the strategic management process at Western Hospital, where rising medical costs are affecting profit margins. Top management identifies the problem, generates alternative solutions, evaluates them, and selects the best approach. The report provides recommendations for operational and strategic management, including increasing staff members, providing attractive incentive policies, and hiring specialists to build strategies for further functioning.

Analytical report

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
1. Arrange to sit in on decisions making meeting for the operational or strategic management
level..............................................................................................................................................1
2. Describe the type of problem which is discuss in each meeting..............................................1
3. Describe the decisions making steps which is used for the each problems.............................2
4. Evaluate the decision making process for each problem as per Williams rational problem
solving approach 2002.................................................................................................................4
5. Recommendation for the decision maker for the both level management ..............................5
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Analytical report is the business report which help the organization to make their
decision. With the help of it, companies get the relevant information as well as analysis and it
also include the recommendation which help the individual to analyse report (Althunibat and
Granelli, 2013). Western hospital selected for the better understanding of this concepts. This
report include the decision making meetings at the operational or strategic management level in
the organization. It include the problems and used followings steps to resolve it. In addition, it
evaluate the decision making process for the each problems.
MAIN BODY
1. Arrange to sit in on decisions making meeting for the operational or strategic management
level
Manager of Western hospital arrange a meeting for the identification of problem in their
operations. It is the process where top management people analyse the precious records of the
company and also analyse the performance.
Operational management meetings are conducted by organisations in order to analyse
problems which are affecting operation. Western hospital offer various health care services to its
patients which help the individual to live better. Operational manager try to balance between
high tech treatment and community centre which provide preventative services. So managers
conduct operational management meeting in order to take essential decision in respect of the
organization and review procedures of performing operational activities.
Strategic management meetings are held in companies in order to build various strategies,
continuous planning, monitoring performance, assessing activities etc. Manger of Western
hospital conduct such type of meeting for the purpose of making plans for future improvement
and build strategy which is further going to be implemented in the Western hospital in future.
These strategies can help organisation to maintain its operational work and manage all the
business activities appropriately (Fisher, Vervoort and Hanchar, 2014).
2. Describe the type of problem which is discuss in each meeting
In the organization, various types of problem will occur which can be related to the
operations or strategic management. Below discus the operational or strategic level problem
which occur in the Western hospital.
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Operational Management Level: Every organization focus on their core process which
help the business to maintain their customer base. For this company have to focus on few
elements for example: company have to produce high margin of product or services and reduce
their operational expenses, hospitals have to top management is required to focus on practices
which are designed to monitor all the services which are rendered by it. At the time of achieve
their goals and objectives Western hospital face the operational challenges which create the
problems which required to solve with the help of management level meeting. Currently hospital
face the issues regarding shortage of nurse and this problem will be discussed in decision making
meeting.
 Shortage of Nurse in the Hospital: In the Western hospital, organization identify the
problem that they face the operational problem regarding shortage of nurse and it will be
generate due to low salary and lack of growth in the organization. Hospital face this
problem and it affect the operations as well as profitability of the organization. So
company have to build strategy to resolve this issue. It will be discussed in operational
management level meeting where top management people will take effective solution to
resolve this problem (Fletcher, 2013). This issue of the hospital is wicked because if there
is a shortage of nurses then it will affect operational efficiency.
Strategic Management Level: In this level, organization formulate plans, monitor
current practices and build strategy for betterment of company. At this type of meeting managers
of Western Hospital monitor procedures which are followed to execute plans that were
formulated previously. The problem which discussed in strategic management meeting is as
follows:
 Increased medical cost: Cost of medicines in the market are very high which is
directly affecting activities performed by the hospital and its profitability. Due to
increase medical cost, manager of the hospital suffer because it will increase the cost
of services which reduce the profitability of the Western hospital. In the decision
making meeting, top management people discuss the problem and then identify the
solutions. This problem is also wicked because it will result in increased cost for
hospital and reduced profits.
3. Describe the decisions making steps which is used for the each problems
Decision making process for operational problems:
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Identify problem: First manager of Western hospital need to identify the problem related
to the operations. So, company face the issue regarding shortage of nurses in the hospital which
create a big problem for the organization.
Identify Alternative Solutions: After identify the problem, management need to find
various solution which help the organization to reduce the shortage of nurse. It includes at least
two solutions which analyse by the manager and then find any one for the implementation.
Choose any solutions: Western hospital choose the solution where they have to provide
incentives to retain their employees for the longer period. Reward policy motivate or encourage
the nurses to perform well and get incentives according to their performances.
Implement & review: After finalizing the solution, organization have to implement and
then review the decision weather it is beneficial for the operational function or not. It increase
the productivity or not (Madueno, Stefanović and Popovski, 2014).
Provide incentives to their employees is an quantitative in nature and at the time of
implementing this solution manager follow the ethical consideration where they provide
incentives as per their actual performance without any baseness. This is appropriate approach to
resolve the problem because if staff members will get proper compensation and benefits for their
work then it can help to enhance their productivity and retention rate in hospital.
Decision making process for strategic problems:
Identify problem: Firstly, manager have to identify the problem related to the strategic
management. After all the analysis, Western hospital identify that organization face the issues
regarding rise in the medical cost for the employers which affect the profitability of the
organization.
Identify Alternative Solutions: In the meeting, management find out the alternative
solutions which they can adopt to resolve their strategic problem. Organisation have identified
two solutions one of them is, delivering services in more appropriate manner and second one is
buying medicines in bulk to reduce service cost.
Choose any solutions: Management of the Western hospital decided buy medicines in
bulk which will help to reduce service cost and enhance profitability of the hospital.
Implement & review: After implementing this solution, manager need to identify that
the solution is able to resolve the problem or not. So, management of Western Hospital have to
review this decision and then build further strategy according to it.
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Buying medicines in bulk is quantitative approach and manger have to make sure that
buying in bulk will not harm the organisation. This solution help the Western hospital to reduce
their medical cost because if medicines will be bought in bulk then fixed discount could be
achieved from suppliers. This approach is very effective for Western Hospital because it will
help to reduce medical cots and increase profits.
4. Evaluate the decision making process for each problem as per Williams rational problem
solving approach 2002
Williams rational problem solving approach 2002: According to this approach it is vital
for organisations to evaluate the decision making process which can help organization to identify
effectiveness of its steps which are discussed below:
Operational problem:
Define problem: In this step, management have to identify the problem which affect the
organization and it's profit margin. Currently organization face the issue regarding shortage of
nurse (Ochodo and Bossuyt, 2013).
Alternative solutions: After analysing the problem, management of Western hospital
have to find various solution which can resolve the operational problem.
Evaluate alternative: Management team evaluate the appropriate alternative which suits
the problem and help to resolve the problems related to the operations.
Select the best alternative: After evaluating the alternatives, top management select the
bet one which help the organization to resolve the issue with the help of appropriate solution.
Organization provide incentive or reward to their employees to retain for the longer period.
Management of the Western hospital not effectively used the process because they miss
the decision or weight criteria. Then Western hospital face the consequence such as best
performer get the reward but other employees get demotivated.
Strategic Problem:
Define problem: In this step Western hospital have to identify the strategic problem
which occur in the organization. Management identify the rising in the medical cost which affect
the profit margin of the hospital.
Alternative solutions: After measuring the problem, top management produce various
Alternatives of solutions.
4

Evaluate alternative: Now Western hospital evaluate the alternative and then analyse
which one is best to resolve the issue in the organization (Simera and Altman, 2013).
Select the best alternative: Western hospital select the best alternative which is increase
the contribution of employees which reduce the burden on employer.
Top management effectively use this process where manager eliminate the stage where
decision criteria help the organization to identify the various aspects. Western hospital face the
consequences where every employee not agree to increase their contribution. Because it reduce
the individual monthly salary.
5. Recommendation for the decision maker for the both level management
Operational management:
 Top management required to increase their staff members for the effective work.
 Organization also required to provide attractive incentive policies which motivate their
staff members.
Strategic management:
 Organisation need to higher specialist who can build strategies for the further
functioning.
 Manager of the Western hospital have to analyse the internal structure of work and
review on regular basis for the effective implementation of solutions.
CONCLUSION
From the above discussion, it has been concluded that analytical report provide the
various information which help the organization to take effective decision. With the help of
decision making process, company analyse the problem then find out the effective solution
which effectively eliminate the problem which help the organization to increase their
productivity or profitability.
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REFERENCES
Books & Journals
Althunibat, S. and Granelli, F., 2013. June. Novel energy-efficient reporting scheme for
spectrum sensing results in cognitive radio. In 2013 IEEE International Conference on
Communications (ICC) (pp. 2438-2442). IEEE.
Fisher, C. M., Vervoort, J. D. and Hanchar, J. M., 2014. Guidelines for reporting zircon Hf
isotopic data by LA-MC-ICPMS and potential pitfalls in the interpretation of these
data. Chemical geology. 363. pp.125-133.
Fletcher, W. K., 2013. Analytical methods in geochemical prospecting (Vol. 1). Elsevier.
Madueno, G. C., Stefanović, Č. and Popovski, P., 2014. Reliable reporting for massive M2M
communications with periodic resource pooling. IEEE Wireless Communications
Letters. 3(4). pp.429-432.
Ochodo, E. A. and Bossuyt, P. M., 2013. Reporting the accuracy of diagnostic tests: the STARD
initiative 10 years on. Clinical chemistry. 59(6). pp.917-919.
Simera, I. and Altman, D. G., 2013. Reporting medical research. International journal of clinical
practice. 67(8). pp.710-716.
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