Operation Management Philosophy of Management

Operation Management

Philosophy of Management

In the healthcare sector, it has recently become common for a physician to occupy a managerial function. The question that arises here relates to the necessity of having a physician serve as CEO, instead of his working directly with patients and having a positive influence upon the population's health. In the case of non-medical administrators, the healthcare institution would be governed from a business standpoint, with focus on budgets and other financial matters. The physician CEO on the other hand would be able to integrate the financial and administrative operations with the healthcare related operations into a united whole. "What does the physician CEO do that an administrator can't? You can have a wonderful administrator, but that person can't point the practice in a direction. [...]the physician CEO is the one to supply the vision and lead the charge. He or she should be looking out for the practice as a whole, seeking out consensus among the physician owners, and making final decisions" (Physician Compensation Report, 2000).

A relevant example of a worthy physician serving as chief operating officer can be found at the Eagle Physicians & Associates, run by Bruce Brenholdt. The physician has a background of 36 years in which he worked in medical administration and prior to joining Eagle, he had run various physician owned healthcare facilities in Wisconsin and Minnesota. He was also an active player in the medical and administrative operations run by the University of Iowa, College of Medicine, the Mayo Clinic-Jacksonville and the medical centers within the University of Kentucky and the University of Missouri (the Business Journal, 2008).

Operation Management

The ophthalmology clinic possesses a wide array of core competencies which offer it net comparative advantages over its competitors. Among the most significant strengths, one could point out great attention to details, possession of the latest and most advanced technologies, skilled physicians and an increased commitment to the full satisfaction of the patients' needs and wants. The possession of the latest technological advancements allows it to detect any ophthalmologic problems individuals might have early on and successfully treat them. It also reduces the healing time and increases the operational and cost efficiencies. Attaining this core competency was only possible through intense managerial efforts, performed by a team of specialized physicians and business analysts. It was also helpful that the chief executive officer position within the clinic was occupied by a physician, who successfully managed to integrate the medical demands of the environment within the run organization and set a direction of continuous change and adaptation to the new features of the industry and the market.

But attaining this core competency is not sufficient to ensuring long lasting success. To achieve it, the comparative advantage must be constantly nurtured through a series of top management operations and decisions. For instance, the management board must continually allocate sufficient budgets and time to both the marketing and the research and development departments. The marketing team will prospect the market in order to identify new trends and demands of patients or the environment. They will also pay close attention to the strategies implemented by the competition and will develop and implement new strategic approaches that enhance their comparative advantage. The R&D team will function based on the feedback collected by the marketing team and will improve the technological appliances in accordance with the new demands. Also, the members of the board or delegated physicians must participate to international conferences of the industry as to make sure that they are up-to-date on the latest innovations.