Case Study: Strategic Management of Gambro Healthcare and DaVita

This case study examines the strategic management of Gambro Healthcare, focusing on the leadership of Kent Thiry during DaVita's acquisition of the company. The student's work analyzes Thiry's approach to creating a differentiated company with a community-focused culture, addressing challenges such as shareholder lawsuits, debt, and high vacancy rates. The analysis includes the importance of mission statements, strategic planning, and the development of a dedicated team. The student also considers alternative approaches, emphasizing the use of force field analysis, customer feedback, and staff training to improve organizational performance. The study highlights the complexities of mergers, cultural integration, and the impact of leadership on business outcomes within the dialysis services market, referencing key concepts such as strategic management, organizational culture, and leadership styles.

Running head: MANAGEMENT
Strategic management of Gambro Health care
Name of the student:
Name of the university:
Author note:

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1. When Thiry took over as the CEO, in 1999, he envisioned the creation of a
differentiated company, where the community is the first priority. He intended to
create a congenial learning environment, where the employees feel passionate towards
work. Welford, (2016) opines that testing the conviction resulted in the discovery of
Thiry’s intention towards restoring the condition of finance. The difficulty of the
situation forced Thiry to think and reflect on the actions, which evoked his leadership
skills, competencies and abilities. As a matter of specification, this approach added
justification to his actions. The team work in this case was conventional, which
enhanced the inspiration to embrace innovation. Thiry’s journey was not a smooth
one, as he had to encounter conflicts and disagreements in creating a different
company. Gambro’s leaders raised interrogation towards Thiry’s leadership,
especially revolving around his scepticism (Rothaermel, 2017). Disinterest was also
exposed to the culture being created and plan under the leadership of Thiry. He was of
the view that every employee was provided with the option of putting forward his
opinion regarding embracing change. Confidence was the cornerstone for Thiry to
abide by the undertaken decision. After getting the approval on the merger, he shifted
the focus to integration. Therefore, it can be said that consistency was their in his
decisions and actions towards accomplishing the targets of DaVita.
2. Mission statements are one of the basic aspects, which formed the leadership of Thiry.
Strategic approach helped him to analyse the approach towards the mission.
According to Antonsen, (2017), disbelieves in the mission created a disillusional
effect on Thiry, compelling him to adopt long term planning. Creation of a dedicated
and resilient team was one of the ways in which Thiry planned for regaining the lost
pride. Loyalty added value to the stability in the relationship. It was in 1999, when
TRC went into the mature hands of Thiry. At the initial stages, he devoted much time

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in delving deeper into the issues of shareholder lawsuits, excessive debts and high
vacancy rates in dialysis. Multiyear turnaround plan was created, which acted
assistance in re-organizing the operations. Thomas and Peterson, (2016) is of the view
that revision of the selection and recruitment policies for executives helped Thiry to
lay a strong foundation for improving investor relations, pharmacy and disease
management. He laid stress on revising the mission statements and expansion of the
business to reducing the attrition rates in technicians, nurses, social workers and other
staffs. The plans were effective, which was reflected in turnarounds. New marketing
strategies and clarity in the communications boosted the morale of the employees.
The alteration added new life to DaVita.
3. Serving others is one of the essential values of DaVita. Diversity prevails in the staffs
from various social cultural backgrounds. Plans of creating a new culture reflect the
intentions of reinvoking the public relations. Skeptical views on Thiry’s leadership
expands the business of Davita, “crossing the bridge of culture” to a new entity, where
explicitness is prevalent in case of decision making (Thomas & Peterson, 2016). This
aspect enhances the transparency in the business, which is itself a ground for
diversifying the culture. “Crossing the bridge” also reflects the intention of altering
the business condition towards standardization in terms of operations as well as the
organizational culture. Community culture enhances the corporate social
responsibility of DeVita, adding value to the aspect of serving mankind (Adekola &
Sergi, 2016).
4. If I was in place of Thiry, my first priority would have been evaluation of the situation
through force field analysis. This analysis would be effective for me to undertake
effective decisions, which can be applied for enhancing the productivity of the
organization. My focus would have been on satisfaction of the customers, therefore, I

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would create long term planning for mapping the journey of the organization. In this
context, I can mention of the product life cycle for assessing its feasibility. Taking
feedbacks from the customers would be one of my other priorities for ensuring
whether they are getting access to the services. Based on the feedbacks of the
customers, I would take steps for altering the conditions of the business. Training the
staffs would be one of my other priorities for upgrading the standards and quality of
the operations. In this context, I can mention about the creation of congenial working
environment, which would act as an effective platform for expanding the scope and
arena of capabilities and competencies. I would conduct constant evaluations through
continuous improvement strategies for upgrading the standards and quality of my
performance.

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References
Adekola, A., & Sergi, B. S. (2016). Global business management: A cross-cultural
perspective. Routledge.
Antonsen, S. (2017). Safety culture: theory, method and improvement. CRC Press.
Hickman, C. R., & Silva, M. A. (2018). Creating excellence: Managing corporate culture,
strategy, and change in the new age. Routledge.
Rothaermel, F. T. (2017). Strategic management. New York, NY: McGraw-Hill Education.
Thomas, D. C., & Peterson, M. F. (2016). Cross-cultural management: Essential concepts.
Sage Publications.
Welford, R. (Ed.). (2016). Corporate environmental management 2: Culture and organization.
Routledge.