Effective Management and Leadership of Mayo Clinic’s Global Workforce
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This report discusses the macro environment of Mayo Clinic through PESTEL analysis, theories of leadership and management, and the need for Hofstede's analysis to manage cultural differences. It also provides an action plan with smart objectives to achieve sales growth through expansion and SEO strategies.
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Effective Management and Leadership of Mayo Clinic’s Global Workforce 1
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Table of Contents Introduction................................................................................................................................3 Macro Environment of Mayo Clinic through PESTEL Analysis..............................................3 PART 1.......................................................................................................................................3 What needs to change and why?............................................................................................3 PART 2.......................................................................................................................................6 What resources are required to implement the change?.........................................................6 Motivation Theories...................................................................................................................8 PART 3.......................................................................................................................................9 What must be done to implement the change?.......................................................................9 3. Theory of Cultural Expansion: The Need of Hofstede's Analysis.........................................9 Part 4........................................................................................................................................13 How is success measured?....................................................................................................13 Conclusion................................................................................................................................14 References................................................................................................................................15 2
Introduction Mayo clinic is an American Medical Centre which is highly focused on providing Healthcare that is integrated along with research and education. The company has more than 4500 scientists and physicians working for it along with additional 58,400 administrative that make the health staff of the organisation alone across campuses like Minnesota, Rochester, Florida, Arizona, Phoenix and Jacksonville (Farrugia and Lee, 2020). The hospital also has a global presence since the hospital is located in countries outside the United States like China, Saudi Arabia,Singapore, Mexico, South Korea and United Arab Emirates. Thisreport will therefore conduct a situational analysis of the organisation, identifying key problems and opportunities that can be explored by the organisation, and ways in which effective leadership and management can achieve it. Macro Environment of Mayo Clinic through PESTEL Analysis The use of PESTEL analysis is taken by organisation that is active across the world as it proves to be extremely effective where strategic management as well as organisational planning is considered. PART 1 What needs to change and why? Political Aspect Political factor analysis can be regarded as critical because, with the assistance of proper analysis of political factors affecting an organisation, it becomes easier for organisations to increase their profitability while also improving their sustainability efforts in the long run. Changes in government policies that are frequent is another factor that can harm the performance of any business especially once that are active in international environment. It is extremely essential for Mayo Clinic to effectively study the political scenarios as well as presenttrendssincechangesinsuchfactorscanresultinalteringtheprioritiesof governments towards development of multiple industries including health sector. Economical Aspect It has been observed that the performance of any organisation is directly related to the economic development of a country, and thus that regions with successful economies directly benefit an organisation. Other economic factors that can impact the organisational growth can be considered to be as the inflation rate as well as any country’s employment rate, exchange 3
rate and interest rate. The growth perspective of Mayo Clinic Hospital in any country can be defined by the GDP rate of the country since any country that has GDP rate that is high have consumers that are capable enough to spend more money on their needs by purchasing products and services that are even expensive and luxurious. Exchange rate fluctuations can have an effect on the profitability of international trade. There can be high fluctuation rates in countries where local currencies are used. This can become a very serious concern for the Mayo Clinic. The other factor that can be considered is the efficiency of financial markets since this can have a very high influence on the strategies of Mayo Clinic that are associated with global expansion. Social Aspects The social factors that can prove to be influential towards the growth of an organisation. It can be considered as the changes that occur in demographic, social, and economic variables as well as migration-related trends and the ageing of the population. because these are certain factors that are crucial for an organisation that works on a global level, like Mayo Clinic Hospital.. Another social factor that can directly influence the marketing strategies of an organisation can be considered as migration, which is why it is extremely essential for a business to have the right understanding regarding the attitude of the consumers, especially towards migrating, as it can have a direct influence on the organisational ability to link international managers with the home country of the organization, which is the United States. (Farrugia and Lee, 2020). Technological Aspects Newtechnologyisalsoanaspectthatcanhaveadirectinfluenceonthe organisationalvaluechaininassociationwiththerevenueandcoststructureofthe organisation. Therefore, it is essential for the Mayo Clinic Hospital to give importance to the investments that occur on both micro as well as macro levels in an organisation. Due to new technologies, there has been a noticeable decline in the product development life cycle, increasing the pressure on hospitals to develop services and products that are both fast and much more modern, as it has increased product range diversity and integration of product change flexibility, which further results in a much faster and easier supply chain process (Mueller et al., 2020). . Environmental Aspects 4
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Due to globalisationand technological advancement there has been observable increase in the level of environmental pollution(Wald et al., 2018). This has made people as well as organisations across the globe much more aware regarding the impact of their practices on the environment. This has further forced organisations to shift towards adopting practices that are sustainable and which will help them in reducing their environmental footprint. Hospitals like Mayo clinic are therefore indulgent in the practice of effective waste management since there is increased sensitivity amongst consumers regarding the safety of the environment. Legal Aspects Where consumers, labours and employees are considered, it becomes extremely essential for an organisation to abide with all the laws that are associated with health and safety along with ethics.Therefore,thehospitalshouldfocusheavilyonprovidingasecureandsafe environment that follows the entire moral and ethical obligation in its functioning. The hospital should also abide with all the laws that are associated with consumer protection since it is extremely essential to maintain anonymity, privacy as well as security of the patients. This can be achieved by practicing all the laws and regulations that are in line with the process of data protection (Farrugia and Lee, 2020). Theories of leadership and management Leadership theories means those perspectives which has been used in order to develop leadership within an organization. These theories are important as leaders plays vital role for uplifting organization. There are various theories of leadership which has been discussed as follows: Behavioural theory:These are those theories which leads upon developing focus upon patterns of behaviour shown by leaders. Also the theory makes assumption developedovertraitswhichisimportantforleaders.Behaviouraltheoriesof leadership hold importance upon actions of leaders making suggested theory with best predictor of leadership success leading towards viewing of acts performed by leaders. These actions are based over qualities and points required to be focused upon behavioural learning theory(Harris, and Jones, 2018).Patterns of behaviour are observed and categorized as “styles of leadership” in this theory. Some of the styles of leadership include task-oriented leaders, people-oriented leaders, country club leaders, 5
status-quo leaders, dictatorial leaders, and more. At the end of the day, the actions and actual behaviours of a leader are what defines success in this theory. Contingency theory:The contingency theory of leadership is based over situations existing while performing leadership functions. These theories relate over situational effect which is used for developing success of leaders in terms of failure and success within an organization(Mueller et al. 2020).It leads towards success possible for leaders within particular situation. Leaders personality relates over small factors with success. The theory is based upon specific leadership style suggesting in terms of good leadership strategies. It has been suggested over right kind of leaders which is related to special situation. These theories of leadership help Mayo clinic to develop string leadership by allowing leaders to develop positive behaviour pattern which makes staff and employee's productivity increased more effectively. Also the theory makes business understand critical situations easily. Situation statement In order to achieve the great position in the market, the mayo clinic needs to effectively engage with the technological factors and tools to avoid market uncertainties. The clinic must focus on delivering great services across both America and China. They can train their staff and professionals through being active of docile media platforms. So the company is facing problem of fulfil customer demand across different regions. This problem arises due to lack of communication, guidance and high demand of patients. PART 2 What resources are required to implement the change? There are various resources required in order to implementwhich could help the organisation to achieve a systematic growth in the market. There are various resources required which could help the employees to work in a productive manner. The main focus is to enhance their overall operations with the help of technological tools. Mayo clinic needs to utilise the resources in an effective manner. The human resource needs to fulfil their duties and work responsibilities in a strategic manner. This will help them to develop and the company can focus on achieving their respective goals in market. They can provide essential training to the staff which will help them to develop different skills and capabilities. The employees can become favourable to the 6
new situation. They can further become more productive. Mayo clinic’s human resource manager needs to become more productive which will help the organisation to expand their businessinnewregioninasignificantmannerbygoingtosocialmediaplatforms (Grootenboer, Edwards-Groves, and Rönnerman, 2019). They need to assess the areas in which the staff is lacking and improve it to maximize the efforts of the employees. Scientific management theory: Scientific management theory also known as the application of engineering science at production floor. Respective theory focused on the improvement in efficiency of each and every individual in the organisation. It majorly focusses on the increasing production by using the intensive kind of technology as humans are just being considered for adjuncts of machinery for handling routine tasks. It encompasses the work performed in the production floor that are quite different from others such as repetitive in nature. Bureaucracy theory of management: Bureaucratictheory of management that is developed by the Max Weber that contained the two two essentials elements that includes the structuring an organisation in the hierarchy with clearly defined goals and objectives to govern business activities(LoGiudice et al. 2020).The theory is based upon organizational efficiency which is important to manage organization efficiency which is important for making clear line of authority developed over proper rules, procedures and regulations for controlling each business operation In context of Mayohealth centre totake away the repetitiveresponsibilities they use standardizationinrunningstrategiesthatallowsyou tocontinuetobeaggressivein marketplace. In context of Mayohealth centrewith the aid of usingthe usage of respective principle ofcontrol theymay becapable of use the hierarchy of command totalkinside the organization andproportion roles properly. Motivation Theories Maslow's proposed a motivationidea thatprimarily based over five main human desires which are physiologicaldesires,protectiondesires, socialdesires,vanitydesires, and self-actualizationdesires. The theory deals over human motivation which is based over suggestingthathumansbeingsworksuponcreatingsuggestionsthathumancreates 7
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stimulation as per its basic needs. There are various kinds of needs which has been discussed as follows: Physiologicaldesires: This is themaximumfoundationwant of a human continuityinclusive ofwant of food, shelter, water, and clothing. In the absenceof thosenecessities a human framecannotcharacteristic properly(Halkias, and Neubert, 2020). Ifsomeonereceives all his primarydesireshereceivesstimulatedandthisresultsinboomproductivenessand profitability of acommercial enterprise organization. Safetydesires:Thiswant of motivation comes afterpleasingprimary physiological desires. Ifsomeone achieves all itsprimarywant, then hedesires to accomplish protection andprotection wants. Socialdesires:This encompasses care, acceptance, trust, friendship and connections. These areimportant to havefound in arunningsurroundingsdue to the factthey may beuseful fordecreasing thestrainmuch less of an employee. Self-esteemdesires:Maslow divided thiswant intoparts:innerwant,because of this thatwant for self-confidence, dignity, awards, achievements and isoutsidedesires that derive from status, prestige, and authority Self-actualizationdesires:It refers todelight thatsomeonereceives afterfinishing a task. It variescharacter tocharacter andit is able to bepleasingthroughexclusive approaches. ThistheoryhelpsMayoclinictoattainunderstandingaboutvariouskindsof perspectives which creates barriers for employee to increase their productivity. Also it makes proper structure formed for making work done more effectively. PART 3 What must be done to implement the change? 3.Theory of Cultural Expansion: The Need of Hofstede's Analysis Since Mayo clinic is an international organisation that deals with health and safety of the consumers it becomes extremely essential for the brand to focus on managing its operation on a global level. The application of Hofstede's analysis will prove extremely efficient since with the help of this analysis it will become easier to identify the cultural as well societal differences that an organisation can face while working with an international work force. This can further prove to be beneficial for the hospital in planning its competitive, management as 8
well as organisational strategy.With the help of this analysis, the hospital can effectively develop strategies that will help it achieve long-term success as well as growth, especially in global expenditures while dealing with cultural differences. Action planis a strategic process which helps the organisation to conduct an effective research through which they can improve the overall performance. There are various new ideas which could create by the management. In relation to mayo clinic, the smart objectives would help them to achieve their significant goal in the market related to technology. Smart objectives is a process which includes various components it is specific, measurable, achievable, relevant and time bound(Timm, and McLaren, 2019). Specific:Toincreasethesalesby15%byexpandinginnewregionsand implementing a digital infrastructure. Measurable:The performance improvement can be measured with the help of different technological tools. Achievable:The goal can be achieved by providing better services to the consumers. Relevant:This goal is relevant because it will help the organisation to expand the business in new region. Time bound:It will have achieved within the time period of 5 to 6 months. With the help of different key performance indicators, the organisation can measure the success. Customer retention and profit maximization is the main performance indicator through which the company can assess the critical areas in which they are lacking. They can utilise the resources effectively in order to gain success in the market. 9
Lewin Change management model Mayo Clinic can use this model which helps them to make the employees favourable to thenewchange. Therearethreedistinctstagesin thismodelthrough which the organisation can plan the change. The first stage is Unfreezing it is one of the most crucial stage. It fosters the employee’s willingness towards the change. Mayo clinic management is making an inherent change in the workplace. The employees needs to use the technological tools in a systematic manner(Cole,2018). The mayo clinic management needs to establish 10
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an effective communication with the employees. They can support and involve the workforce to become favourable to the new change. The next stage in this model is bring the change in the company. The employees need to be productive in order to achieve that goal. The last and final stage is Refreezing in this the people are transiting the new change and can become comfortable. Mayo clinic ensures that their employees becomes comfortable with the new technological change. They provide the appropriate training to the staff which helps them to become comfortable with the new change. These change management model will bring effective growth among the employees. The actions are going to implement effectively in order to bring changes and achieve the objectives. Therefore, it is necessary to use the appropriate stages of change management model by the mayo clinic, so that there will no mistakes left and unmanaged. It will impact on the company reputation. the employees will systematically learn to adopt change in technology by getting trained, involve others in the group work and increase motivation and excitement within the mayo clinic. Herzberg two factor theory The organisation uses the to motivate the employees in a strategic manner. There are various factors which could motivate the employees. It includes achievement, recognition which will help the employees to maximize their efforts and enhance the performance(Bush, Bell, and Middlewood, eds., 2019). Mayo clinic can help the employees to become more productive by using technology. This is beneficial for the organisation in every manner. On the other hand, another authentic source in this theory is that there are various hygiene factors which the firm needs to follow in an effective manner. Mayo clinic can provide the securities andotherhealthbenefitstotheemployeeswhichwillhelpthemtoenhancetheir performance. Moreover, there are different operational activities which the organisation could indulgetoimprovetheeffortsoftheworkforce.Boththefactorsofthistheoryis interdependent on each other. Mayo clinic needs to innovate new strategies in order to establish a heathy workplace. There are various motivating factors which can used by the company in an effective manner. Mayo clinic needs to provide equal opportunity to the employees. This will further help the organisation to become more profitable in the market. They could achieve their overall objectives and the main vision is to expand their business in other regions. 11
Lewin leadership stylesincludes various approaches which the organisation carry out the operations effectively in workplace(Jones, 2018). There are multiples leadership styles which is used by Mayo clinic.It includes authoritarian leadership there are leaders which takes the decisions. On the other hand, there is participative leadership styles which helps to understand that effective leaders involve employees and take different suggestions from them. Mayo clinic leaders needs to transom their thinking and can use the participative leaders they can involve the employees while making several decisions for the firm. This will regulate their future towards a strategic goal. On the other hand, management styles could help the organisation to transform them. Part 4 How is success measured? Therearevariousmethodsthroughwhichtheorganisationscanevaluatedthe performance in the market. in relation to the mayo clinic, management department of the organisation can use different kinds ofKey Performance indicatorsthrough which they can analyse their performance in the market. one of their main objective is to increase the sales in Americancountriesandavoidanyinterferenceswhichcanbesolvethroughglobal expansion.Therefore, it will be effective to engage the patients from global areas. as they want to enhance the customers base in the market. In order to evaluate the performance organisation can undertake various metrics that can be described. One of the mainKPI’sthat the company can take is the customer retention rate. In this type of indicators organisation can analyse the performance by checking the no. of customers that are visiting their stores in order to buy various shoes as well as the clothing products(Halkias, and Neubert, 2020).This KPI will facilitates the managers of the company to understand the repeat customers rate and the main problems which the client face towards the business values. Another main KPI that the mayo clinic can use to determine the performance of the management in the market is the sales that they are achieving by selling health equipment’s which are of best use. sales KPI will help them to analyse the sales that they have achieved in a particular period of time. Managers by making SMART objectives wanted to increase the sales in the market. 12
Conclusion It has concluded that leadership strategies are essential for the organisation to take best growth and potential. This can further prove to be beneficial for the hospital in planning its competitive, management as well as organisational strategy.With the help of the findings from this analysis, it is possible to identify statistically relevant leadership decisions that can be implemented in the hospital's global expansion. 13
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