MHC Case Study the Strategy for MHC

MHC Case Study The strategy for MHC is to look after the lower end of the market, in line with religious tenets. They have in the past focused on those unable to pay, which in turn means that they get most of their revenue from different governmental programs. This also means that they focus on providing basic medical care, rather than innovative medicine, teaching or non-necessary things like plastic surgery.

The present financial challenges stem from reductions in payouts by government, forcing MHC to focus on improving efficiencies to restore profitability. MHC currently has several hospitals that operate with a high degree of decentralization. Because of this, a lot of the managerial talent needed to guide the company is scattered throughout the organization, not in contact with each other and not setting strategy that can be implemented across the different units.

The organization does not know its internal capabilities, and is not set up in a way that will allow for internal partnerships to form. MHC will need to make structural adjustments to allow it to better understand its capabilities and transfer knowledge throughout the organization. 3. Communication is the key area where the current management KSAs are not aligned for effective implementation. The different KSAs seldom talk to each other, and there are few open channels of communication.

Human resources is another area, because with each KSA having its own pay scale, transfers within the company are difficult, further reducing the knowledge transfer within the organization. It is difficult for the company to even identify the skill sets it will need, or how well the organization can meet its needs, in part because the information systems within HR are underdeveloped. 4.

The changes that I propose do not have any particular effect on the mission and values of MHC, though admittedly the "religious tenets" thing was not explained in any detail. The biggest deficiency is created through the lack of effective means of communication. Fortunately, the Internet is just getting started, so the company should look at this affordable means of communication. More important is to implement information systems within HR that allow the company to understand its internal skills inventory and its needs.

The KSA structure itself will need to be changed, in part to allow for the company to move people around the country, improving knowledge transfer. It is not believed that improving knowledge transfer and technology investment will reduce customer service, though it might force some older managers who struggle with change to re-evaluate their place within MHC. 5. I would recommend to the strategic planning team that the KSA structure see a reduced role within MHC.

A more efficient organization needs greater economies of scale, and there should be a plan to re-organize the entire company to present a more unified national structure. This will require tremendous leadership. I will commit the human resources department to working with each current KSA to inventory skills and identify key people who can help transition the company to the information age and to disseminate knowledge throughout the entire.