Healthcare Management: Dynamic Thinking and Competitive Advantage

This report analyzes the value of dynamic strategic thinking in healthcare, highlighting its importance for effective resource utilization and adaptation to the changing business environment. It discusses the consequences of neglecting strategic thinking, such as low morale and potential business loss. The report also examines the importance of competitive advantage in healthcare, emphasizing its role in better service delivery and affordability. It recommends that hospitals employ the latest technologies and prioritize customer satisfaction to achieve a competitive edge. References such as Elrod & Fortenberry (2018), Goldman et al. (2015), and Noe et al. (2017) are included to support the analysis.

Running head: HEALTHCARE MANAGEMENT 1
Healthcare Management
Name
Institution

HEALTHCARE MANAGEMENT 2
Healthcare Management
1. Assess the value of dynamic strategic thinking, particularly in the health care
environment. Speculate on the most significant potential consequences should a health care
organization neglect to think strategically. Give at least one (1) specific example of the
constant changes that keep health care organizations seeking new strategies continually.
Dynamic strategic thinking is very valuable in the healthcare environment. Dynamic
strategic thinking enables a healthcare organization to utilize its available resources effectively
while advancing the facility towards its objectives. It also ensures that a healthcare facility is
adapting to the changing business environment. According to Goldman, Scott and Follman
(2015), dynamic strategic thinking is valuable in a healthcare environment because it ensures
improved decision making and that the limitations that may hinder the healthcare facility from
reaching its greatest potential are identified.
Should a healthcare organization neglect to think strategically, then they would suffer
different consequences like low employee morale, poor patient outcomes and satisfaction. The
organization may also suffer loss of the business since it will not be able to survive in the
competitive market.
One constant change that keeps healthcare organizations seeking new strategies
continually is the illness trends. Different illnesses crop up every day and all of them require
different attention, resources and expertise.

HEALTHCARE MANAGEMENT 3
2. Analyze the importance of having a competitive advantage in health care. Recommend
two (2) actions that a hospital could take in order to achieve a competitive advantage.
Provide a rationale for your response.
According to Noe, Hollenbeck, Gerhart, and Wright (2017), a competitive advantage
allows an organization to achieve superior margins compared to its competitions while
generating value to the organization. A competitive advantage is very important in healthcare as
it ensures better service delivery. Since all healthcare facilities are competing for clients, the only
way of attracting more people is by offering better services than their competitors. Having a
competitive advantage will also ensure that the services are affordable. Hospitals offering the
same services will charge the same amount thus reducing exploitation. Moreover, competitive
advantage will discourage the influx of unequipped facilities. Due to public knowledge of well
established facilities, chances of survival for start-up facilities will be limited.
In order to achieve a competitive advantage, a hospital should employ the use of latest
technologies in their operation (Elrod, & Fortenberry, 2018). This is to ensure credibility and
improved treatment outcomes. A hospital can also achieve a competitive advantage by keeping
the customers satisfied through having friendly and helpful staff, easy billing and processing,
patient follow-up, successful results and comfortable methodologies.

HEALTHCARE MANAGEMENT 4
References
Elrod, J. K., & Fortenberry, J. L., Jr (2018). Catalyzing marketing innovation and competitive
advantage in the healthcare industry: the value of thinking like an outsider. BMC health
services research, 18(Suppl 3), 922. doi:10.1186/s12913-018-3682-9
Goldman, E. F., Scott, A. R., & Follman, J. M. (2015). Organizational practices to develop
strategic thinking. Journal of Strategy and Management, 8(2), 155-175.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2017). Human resource
management: Gaining a competitive advantage. New York, NY: McGraw-Hill Education.