Drucker, P., 2008: Case # 13- What Are “Results” in the Hospital

In: Business and Management

Submitted By tsomerton
Words 3557
Pages 15
MSTM- 6023
Strategic Planning & Policy Development

Unit 2: Strategic Planning- Case Study Analysis 1
Drucker, P., 2008: Case # 13- What are “Results” in the Hospital?

Table of Contents

Overview ……………………………….………………………...……….. 2

Problem Statement ……………………….……………………...………… 2

Alternatives ………………………………….………………...…………... 3

Pros and cons ……………………………….………………………………4

Course of Action ……………………………..……………………………. 8

References ………………………………………………………………... 12


Robert Armstrong, an ex-Navy sailor managed a successful family business for twenty years. During this time he also served as the chairman of the hospital board of directors. Healthcare had always been an interest if his. Armstrong had planned to become a physician before being drafted to the Navy while in college. After many years of business management he had begun to resent the time spent travelling and growing his business. He had secured what he described as an “over competent” team of managers within his family business and was ready for change. When the opportunity to become the hospitals administrator became available Armstrong accepted the challenge. However not being experienced in heath care management he was initially reluctant. Armstrong consulted with the hospital’s chief of medical services to inquire, “How do I measure performance?” Familiar with the definition of good performance within corporate business, financial gain and profit, Armstrong struggled with how to define good performance within Health Care. The chief offered no suggestion but, respected the fact that he asked that question and expected that he would seek out the answer to it. Because Armstrong knew the facility & was well respected the chief felt Armstrong was the best person for the…...

Similar Documents

Ethical Perspectives: Drucker, Friedman, and Murphey

...Ethical Perspectives: Drucker, Friedman, and Murphey Business Ethics Ethics in business is an extremely important matter that continues to be discussed in many organizations today. There are even many businesses that offer formal ethical training and believe in it vital to their business’s success. However, it can be proven that several professionals have different views on what is exactly ethical in business. Three professionals with different points of views regarding what is ethical in business include Peter Drucker, Milton Friedman, and Patrick Murphy. Peter Drucker Peter Drucker’s view on all ethical dilemmas is primum non nocere. This motto, taken from the medical profession, can be translated to mean “Above all do no harm” (Jennings, 2012). In other words, Dr. Drucker believed that people should make decisions that would not bring harm to other people. He, like many other management professionals, understood the many approaches philosophers have taken to understand ethics. However, he wanted to show how and where business ethics fit into the conflicting rules of ethics and human behavior. Ethics of Prudence and Self Development Dr. Drucker used his experience as a philosophy and a religion professor as well as his experience answering difficult ethical political questions as a method of drawing his conclusion regarding ethics in business. He believed that a major tradition of ethics in the West, Ethics of Prudence” would prove to be valuable in......

Words: 2483 - Pages: 10

“What Is "Business Ethics"?” Peter F. Drucker

...“What is "business ethics"?” Peter F. Drucker Drucker’s work takes a look at what is business ethics and what is not business ethics as it pertains to some of the major approaches taken by philosophers throughout time. No matter what the place in time the code of ethics as it pertains to Western tradition is based solely on one principle. That principle is “There is only one code of ethics, that of individual behavior, for prince and pauper, for rich and poor, for the mighty and the meek alike.” Drucker P. F. (1981). Given this principle what is business ethics or even ethics at all with given the implications that behavior which is neither immoral nor illegal for an individual would be immoral or illegal if committed by business? There seems to be a lack of compatibility with what ethics is supposed to be and business ethics. For example a person handing his money over to a mugger threatening physical harm isn’t considered unethical although the mugger is a criminal but in the business world paying off union racketeers to prevent disruption is considered to be unethical practice. The confusion around ethics in general and business ethics continues when we start looking at other business systems outside of the United States. Take for example the Japanese and German who consider the appointing of a counselor who was previously a distinguished civil servant based on the recommendation of his colleagues is essential to the public interest. However, if this practice were......

Words: 2306 - Pages: 10

Friedman vs. Drucker

...Friedman vs. Drucker The fundamental goal of any business, whether private or public, is to be profitable, and profitability relates to greater returns to the shareholders. Even in the non-profit segment of the business arena, a healthy bottom line ensures that the company can continue to operate and meet the needs and demands of its clients. The leaders of businesses and organizations are groomed or recruited for their positions because of an innate ability to provide successful business results. However, there is an underlying factor that influences an organizations ability to be successful and provide stakeholders with healthy financial performance. One of the key performance indicators of businesses according to Drucker (1981) is their engagement in ethical business practices or according to Friedman (1970) their social responsibility in the business arena. What is clear is the need for businesses to act in a responsible manner, including implementing actionable measures that include environmental factors, community involvement, financial stability, and corporate sponsorships, as well as having senior leaders who are willing to accept accountability for the actions of the businesses in which they are leading. However, there remains conflicting definitions of ethical business behavior, and “ethics is, after all, not a recent discovery. Over the centuries philosophers in their struggle with human behavior have developed different approaches to ethics, each leading...

Words: 1632 - Pages: 7

Case 13

...Saved Papers Home Page » Business and Management Case 13: Southeastern Specialty, Inc. In: Business and Management Case 13: Southeastern Specialty, Inc. Elizabeth Vo HADM 564 April 16, 2012 Case 13: Southeastern Specialty, Inc. Financial Risk (1, 2, 3, 4, & 6) 1. Is the return on the one-year T-bill risk free? No, the return on the one-year T-bill is not risk free. Financial risk is related to the probability of earning a return less than expected and the larger the chance of earning a return far below that expected, the greater the amount of financial risk. Risk free assumes 100% probability that the investment will earn the total percent of return that is expected. 2. Calculate the expected rate of return on each of the five investment alternatives listed in Exhibit 13.1. Based solely on expected returns, which of the potential investments appear best? Based on the expected returns, the potential investment that appears the best is 15% with S & P 500 Fund. (Probability of Return 1 x Return 1) + (Probability of Return 2 x Rate 2) = Expected Rate of Return 1-Year T-Bill (0.10 x .07) + (0.20 x .07) + (0.40 x .07) + (0.20 x .07) + (0.10 x .07) = .07 = 7% Project A (0.10 x [-.08]) + (0.20 x .02) + (0.40 x .14) + (0.20 x .25) + (0.10 x .33) = .135 = 13.5% Project B (0.10 x .18) + (0.20 x .23) + (0.40 x .07) + (0.20 x [-.03]) + (0.10 x .02) = .088 = 8.8% S & P 500 Fund (0.10 x [-.15]) + (0.20 x 0) + (0.40 x .15) +......

Words: 378 - Pages: 2

Peter Drucker Chapter 13

...Why did you select this chapter? What enlightened you? How will you use this in your career? This chapter told me about the emergence of a new order of employees. In the age where there are millions of people constantly competing with each other to get noticed, be heard and land the perfect job opportunity, sometimes one can lose the plot. We often lose perspective of what is actually needed in a bid to be the best. How do we define the best? Have they graduated from the best colleges? Do they have the best internships? Do they about everything? Do they have to know about everything? How does one stay at the top of their game in such cut-throat times? These are questions which have crossed almost every student’s mind and they crossed my mind too. In fact, they consumed me so that my life started revolving around resolving these questions. We start equipping ourselves with skills and knowledge we think will make us viable employees but just having a particular skill is not the end. It is a means to the end, as the author mentioned. He spoke in depth about the knowledge worker and what motivates them to do work. Today, a knowledge worker is a company’s asset. They are the centre when information is processed, assimilated and disseminated in the form of ideas and action plans. They tie their skills, intelligence, and imagination and apply it to real life situations in a way that a computer will not. This just proves that human capital cannot be neglected at the end of the...

Words: 928 - Pages: 4

P&G Case Study

...Innovation in Outsourcing: The Case of The Procter & Gamble Company Case Study by the Academic Team from The University of Tennessee, College of Business Administration GEO IAOP’s Global Excellence in Outsourcing Award www.IAOP.org P&G: Taking Innovation to New Levels of Value through Partnership INTRODUCTION Many people believe innovation springs serendipitously from some kind of “aha” moment – literally a bolt out of the blue. P&G knows differently. Innovation has been the corporate lifeblood since P&G’s humble beginning in 1837 when William Procter and James Gamble signed a partnership agreement formalizing The Procter & Gamble Company. Today, P&G’s products touch and improve the lives of over 4.8 billion consumers in 180 countries. Fifty “Leadership Brands” include some of the world’s most well-known household names with 25 of these 50 brands each generating more than $1 billion in annual sales. Simply put, this degree of corporate growth could not be achieved without significant innovation across all aspects of the business even extending to our relationships with suppliers and partners. In 2001, P&G radically changed its approach to Research & Development (R&D). Instead of relying solely on its own, highly capable R&D resources, P&G welcomed ideas from individual entrepreneurs and scientists from other companies, and universities, the concept came to be known as Connect & Develop; the goal was to gain half the ideas from inside and half from outside......

Words: 4003 - Pages: 17

Hospital Case Study

...Running Head: HIRING RECOMMENDATIION Abstract This paper explores a case study about the hiring practices of St Vincent’s Hospital and the high turnover rate and the hospital’s hiring practices. This article describes the issues with the recruiting practices and the recommendations of my organization to deter a high turnover rate and better recruiting practices. St Vincent’s Hospital is an 80 bed facility that is ran by a 65 year old sister by the name of Sister Claire. This hospital operates on between 50-60 registered nurses and the hospital has had a turnover rate of about 35% for the last few years. When this hospital originally started operating the turnover rate was only at around 5% and after a five year span the rate jump up to 25%. After carefully going over the analysis report of the hospital recruiting practices there were 273 applicants that only produced 52 qualified applicants that accepted a job offer and after one year 19 of the 52 had ended their employment with the hospital. There were several problems that were brought to my attention after reading this report and the following is my analysis and recommendations on how to adapt a better recruiting effort. One of the biggest problems that applicants did not accept the job offers were lack of timely follow up and negative perception of recruitment process. The recruitment process needs to be reorganized, there needs to be a decisive plan, with specific details on how to go about recruiting......

Words: 949 - Pages: 4

Assigment1 Drucker Case Kozous

...Understanding Entrepreneurial Leadership in Today’s Dynamic Markets fobjbdema BUS508 - Business Entreprise Dr.ddddddddd Discuss the common elements described in the theories/philosophies of Case, Kouzes, and Drucker including how their principles /strategies relate to the new definition of entrepreneurial leadership presented in Understanding Entrepreneurial Leadership in today’s Dynamic Markets. In discussing the new definitions entrepreneurial leadership as presented in “Understanding Entrepreneurial Leadership in Today’s Dynamic Market its probably best to describe the climate or environment which is often illustrated as one that is dynamic market , uncertain or a very competitive market which requires innovative thinking. In this type of market the fluidity, energy, motion, constancy and ubiquitousness of changes in the market occur very frequently and head to head competition between firms is common place and the pace, magnitude and direction of change is continuously accelerated and harder to predict. Teece, Pisano and Shuen (1997) as referenced by Fernald and Solomon in their paper, described today’s dynamic Schumpeterian world of innovation–based competition, price /performance rivalry, increasing returns and the ‘creative destruction of existing compeitencies.”(p.509) "creative destruction" was popularized by and is most associated with Joseph Schumpeter, particularly in his book Capitalism, Socialism and Democracy, first published in 1942. In......

Words: 1446 - Pages: 6

Case Study 2008

...Year-2008 Case Study Released By FPSB India For the Month of March’08 April’08 June’08 July’08 August’08 October’08 November’08 December’08 Case -1 Sahil Gupta Arvind & Sudha Verma Satish Gupta Rananjoy Majumder Rakesh Gupta Marc Amaranath Gunjan Bhide Umang Case-2 Ragini Mehta Abhishek Sawant Raghuveer Singh Prasoon Bharti Dr. B K Mishra Charu Saxena Case Study: Sahil Gupta Today is 15th March, 2008. Sahil Gupta, aged 44 years, with life expectancy 70 years, is a small time medical store owner in Nashik city. He has acquired a profit sharing counter (50:50) in the nursing home of a renowned doctor. The doctor is running the establishment for the last 8 years. In this set up, legal ownership of the medical store is with the doctor while Sahil works over there as a care taker. Sahil’s wife Namrata, is a housewife, aged 40 years, and has a life expectancy of 72 years. The couple has two kids Aniket (16 years) and Akhil (10 years). Aniket is studying in 10th while Akhil is studying in 4th. Sahil is himself a Graduate and had earlier served in a pharmaceutical company as a medical representative for approx. 10 years. After separation from this company, he started his own wholesale business of medicines but could not sustain for long due to lack of working capital, and shut down his operations in the first two years only. Somehow he managed to get this existing profit sharing counter in the nursing home. Of late, Sahil is facing a problem in his business......

Words: 10110 - Pages: 41

Case 42: Hospital Charges

...I. The executive summary Hospitals feel that physician has a substantial control. Looking at physician performance data to compare hospital charges with the patient’s length of stay, type of insurance, and physician involved. A sample 289 patient records were selected who had normal deliveries of babies. From those files, we obtained the number of days the patient spent in the hospital, the total expense charged to that patient, the physician code identification, and the type of insurance the patient carried. The analysis revealed that when we compare patients on managed care and commercial insurance alone, we are 95 % confident that patients with managed care does pay more than patients with commercial insurance. We are 95 % confident that physician 2 is the most expensive physician. The strongest relationship using linear regression is the relationship between hospital charges and the length of stays. II. The introduction I remember watching a documentary about an insurance company called Health Net and how it got started. It was by a physician who during the early 80’s made a lot of money ordering all the possible tests for his patients, from lab tests to scans, etc. Then when managed care came along he got upset with managed care telling what is standard procedure and why unneeded ordering will be covered by the patient’s insurance plan. Well now that he was losing money, he decided to that it this is where health care is going then he will go where the money is......

Words: 4311 - Pages: 18

Case 13-3 North-Eastern Hospital

...Size-up: Item | So What? | Hospital policy required supplier contract reviews every five years. | This is ridiculously long! Supplier reviews should be part of annual business strategy! | They have arranged site visits. | It’s a really important step in choosing suppliers. | According to Northeastern Hospital’s RFP it seems that dollar value is not the only focus of purchasing team. | That’s another positive thing about the supplier selection process in the Northeastern Hospital. | In the RFP, the weight of 10% has been assigned to site visit. | Site visit plays an important role in selecting suppliers; they should have assigned higher weights on this criterion. | Northeastern is a large hospital, which provided care for more than one million patients. | Managing the waste should be one of their main problems. | Problem Statement: How can Northeastern Hospital find the best supplier to benefit all the stakeholders-patients, people who live in Newton, Massachusetts, the hospital itself, the managers of hospitals etc. And meet the environmental requirement of the hospital? Analysis: Strengths - Good suppliers selection process, the fact that they have a rating evaluation system, Weaknesses – they only review the contact of suppliers every 5 years, they should review the suppliers each year to made sure they are in the same page with the hospital. Opportunities – by choosing a more innovative supplier they have the chance to gain some......

Words: 742 - Pages: 3

Hospital Case Annotated

...Emergency Department Congestion at Saintemarie University Hospital BY LAURENT HUBLET * , OMAR BESBES † , AND CARRI CHAN ‡ Introduction In late 2009, Marc Dupont, CEO of Saintemarie University Hospital, had just ended an extremely tense phone conversation with the state secretary of health. The secretary was very concerned about the wait time in the hospital’s emergency department (ED). The recent coverage of these problems in the local press, which repeatedly echoed complaints of patients and their families, was making things worse: It took them 18 hours to take care of my mother when she was admitted to the emergency department in the Saintemarie University Hospital — Saintemarie Tribune (March 2009) On September 8, Nancy (86 years old) had to wait eight hours in the ED with a broken leg before seeing a doctor — Saintemarie Tribune (September 2009) Saintemarie was a midsize European city with a population of 512,000. A few private clinics in the area provided urgent care (i.e., treatment which does not require hospitalization), but were unable to handle acute emergencies. The hospital’s ED was the only emergency care unit available in the Saintemarie metropolitan area. The only alternative to it was a hospital located 50 miles away; patients had to be transferred there by helicopter, which happened rarely because such transfers were extremely expensive. Given its central role, Saintemarie University Hospital was under the constant scrutiny of local and......

Words: 5566 - Pages: 23

Hospital Abc Case Study

...the case study, the major issue is the difficulty in attracting new employees. To be more specific, Hospital ABC found that there are still vacancies in critical areas that have yet to be filled up. Even with extended block, the Hospital will have difficulty attracting good employees as there are many other private hospitals competing for the same pool of talent. These hospitals are not afraid to pay above average market rates to secure these employees. Organizations within the healthcare industry are competing for qualified applicants to safeguard future growth. As such, there is a need for organizations to analyze the existing market competition for talent and create the corresponding responses in terms of competitive reward packages. The recruitment policies of the competitors also affect the recruitment function of the organizations. To face the competition, many organizations have to change their recruitment policies according to the policies being followed by the other competitors. The recruitment policy of an organization states the objectives of recruitment and provides a structure for implementation of recruitment program. Of primary importance is to ensure the organization’s recruitment plan is reaching out to the right talent pool in filling open roles. At the same time, this needs to be done in a cost-effective and time-sensitive manner. Effective Recruitment Plan Steps: 1) DETERMINE YOUR RECRUITMENT GOALS: A recruitment plan should be based on hospital......

Words: 5489 - Pages: 22

Case Study, P&G

...also from leveraging what your business does best to create a competitive advantage.”(Lafley, 2008) COLLABORATION AND INNOVATION AT PROCTER & GAMBLE CASE STUDY Prepared by: xxxxxxxxx Lawrence Technical University Management Information Systems, MIS-6013 Professor Patrick Mach Evans February14, 2012 Table of Contents Introduction 3 Analysis 6 Conclusion 16 References 17 Introduction When the typical consumer hears the name Procter and Gamble they might think of Ivory Soap, Tide, Pantene, Pampers, or possibly Swiffer. The reason being is that these are a just a few of the everyday household products that have been contributors to the huge success of Procter and Gamble. But when another consumer product company hears the name Procter and Gamble – they think of innovation, leaders on the cutting edge of technology, and one of the front runners in globalization. Procter and Gamble, also known as P&G, has been a key element of American business for over 150 years. In 1837 a small soap and candle company formed in Cincinnati, Ohio. This little business, named after brother-in-laws, Procter and Gamble, has since grown to a global giant with 138,000 employees working in more than 80 countries. (P&G Revolutionizes Collaboration with Cisco, 2008) P&G is the largest manufacturer of consumer products in the world and one of the top 10 largest companies in the world by market capitalization. (Laudon & Laudon, 2012) p.75. Proctor......

Words: 3163 - Pages: 13

Hospital Charges Case

...important roles of being a hospital manager is monitoring the hospital’s operation and sees to it that it remains profitable. This case analysis was conducted to: evaluate the physician’s performance in order to know whoever deserve to be granted an “admitting privileges”; to check which insurance have better coverage when it comes to payment of charges; and to determine what are the factors that affects the hospital’s revenue in order so make predictions if ever the Board keep the hospital operational what will the expected the profit and find ways on how to increase it. In the evaluating the physician’s performances we were able make an assumption that as the number of admission increases the total charges made also increases. Through comparison we found out that among the nine physicians Physician #10 delivered the most number of admissions and made the highest amount of total charges. Also, by further analysis we have strong evidence that out of the nine physicians, Physician #2 charges the most amount per patient which also contributed an increase in the hospital’s total collection. With these findings, we made a recommendation to the hospital’s Board that Physician #10 and #2 deserved to be awarded “admitting privileges”. It is said that the hospital’s revenue depend mostly to the amount that the patient’s insurance is willing to pay. As we analyzed the given data we derived with a conclusion that most of the patients that were admitted in the hospital have Managed......

Words: 3718 - Pages: 15

Atrapada | The Jetsons & WWE: R.. | Minecraft pe pro apk latest