Summary Of The MHC Strategy
(1) Describe MHC’s strategy in terms of market position. Also, identify the type of external environment MHC is operating in and the degree to which the strategy matches the environment.
MHC’s strategic planning process provided two marketing strategies to directly handle the fluctuating business climate. Their main area of focus was technology by transforming into a leader in the evolution of new health care technologies and procedures. MHC perceived the new technologies and procedures would grant rapid financial growth, thus diminishing the hospitals' costs. The new technology would also be promoted to other health care providers, producing an additional revenue stream. The obstacles MHC faced were new technologies and procedures were …show more content…
costly to achieve and were susceptible to lengthy delays prior to being endorsed by the administrating agencies and insurance guarantors. The additional action plan was delegated to the hospitals and was concentrated on developing competencies in medical management and outpatient resources for the destitute. The massive bureaucratic liabilities obligated to this society would generate a profit only if capabilities could be enriched everywhere in MHC.
(2) Identify the type of structure MHC currently uses in its primary businesses. Describe the fit between the structure and the competitive strategy. Describe any structural adjustments MHC should make to maximize the effectiveness of the strategy.
MHC has definitive guidelines inhibiting relationships among the divisions and regional offices. The divisions will have to pay for development and acquisition costs and the regional offices will have to pay to implement the technology and work out any problems with it (Blanchard & Thacker, 2013 p. 52). Eventually, the subsidiaries will sell the new technology to the competition less than it was sold to the divisions. This produces controversy within the corporation with the subsidiaries recognizing profits and the divisions demonstrating losses. MHC can lessen the impact of unequal gains and losses by creating a partnership between the subsidiaries and divisions. This would alleviate the divisions carrying the excessive expense burden of the new technology.
Separate policies, different office procedures and contrasting rates of pay could hinder the success and cohesiveness of the cost reduction strategy throughout the organization. There is much decision making autonomy across the divisions resulting in different policies, office procedures and pay scales. While this is appropriate for a Market Leader strategy, it is not consistent with a Cost Leader strategy. Decision making needs to be more centralized in the divisions if the cost reduction strategy is to be successful.
(3) Identify any areas where current management KSAs are not aligned with effective implementation of the competitive strategy.
According to Carrie Brown, the VP of HR, there were no tools in place to identify the skill set of the different levels of employees at each division. Without this information, the executives were unable to utilize existing employees to implement the cost reduction strategy. There were divisions that did not have advanced technology in place. There was no alignment of the KSAs or symmetry between divisions prohibiting successful implementation of the competitive strategy.
(4) Describe how MHC should go about addressing the KSA deficiencies you have identified in the previous question. Your answer should be consistent with the mission and values of MHC.
Clearly, there is no knowledge of or measurements in place to discern employee capabilities.
MHC must acquire an HRIS that would supply compelling evidence of the competency levels of each employee. Training programs with educational objectives and measurements of learning need to be implemented. Training development, whether it is in the form of on the job or classroom training, needs to be applicable to the occupation standard. The HRD will be responsible for assessing the outcome of the training and determine if it meets the objectives to accomplish a successful execution of the MHC strategy. If not, then modifications to the training program need to be …show more content…
completed.
(5) Assume that you are the HRD manager and the competitive strategy was given to you prior to its adoption. Using principles and concepts from the chapter, what recommendations would you give to the Strategic planning team? Using Table 2-1 Steps in a Generic Planned Change Model (Blanchard & Thacker, 2013 p.
54), will assist the HRD in developing the criteria for implementing a changed environment. The HRD manager should inform the executive/management group that numerous crucial positions do not have the skill set necessary to successfully execute the strategy. The HRD manager must stress the value of putting into operation an HRIS system that will detect KSA requirements to accomplish the strategy.
(6) Given the strategy, what tactical activities can the HR unit in general, and HRD specifically, develop to support the strategy (be sure to include the implementation of the HRIS)? Identify sources of support and sources of resistance to these tactical activities and point out any areas in which collaborating with the OD unit would be advisable.
Opposition to change frequently occurs. An HRIS system needs to be employed to maintain information on employees including, but not limited to, salary, position, evaluations, and job descriptions. The process of recruiting and selecting employees should include a progression plan for the position being hired for. Established goals and capability requirements including performance obstacles should be detailed for every position at MHC. A paradigm outlining training needs, development plans and evaluation should be completed for each
employee. Opposition to change frequently occurs at all levels of an organization. Management may feel threatened that training will empower non-management positions to seek higher ranking positions within MHC. Poor communication on strategy changes and fear of the unknown will also cause opposition. Strategic planning and training can benefit from the concepts, principles, and techniques used in Organizational Development (Blanchard & Thacker, 2013 p 67). The discipline of OD can facilitate change successfully. OD utilizes an exposed method, designed change progression that is entrenched in developing operational success.
References
Blanchard, P. N., & Thacker, J. W. (2013). Aligning Training with Strategy. In Effective training: Systems, strategies, and practice (5th ed., p. 52, 57, 67). Harlow: Pearson Education.
MHC’s strategic planning process provided two marketing strategies to directly handle the fluctuating business climate. Their main area of focus was technology by transforming into a leader in the evolution of new health care technologies and procedures. MHC perceived the new technologies and procedures would grant rapid financial growth, thus diminishing the hospitals' costs. The new technology would also be promoted to other health care providers, producing an additional revenue stream. The obstacles MHC faced were new technologies and procedures were …show more content…
costly to achieve and were susceptible to lengthy delays prior to being endorsed by the administrating agencies and insurance guarantors. The additional action plan was delegated to the hospitals and was concentrated on developing competencies in medical management and outpatient resources for the destitute. The massive bureaucratic liabilities obligated to this society would generate a profit only if capabilities could be enriched everywhere in MHC.
(2) Identify the type of structure MHC currently uses in its primary businesses. Describe the fit between the structure and the competitive strategy. Describe any structural adjustments MHC should make to maximize the effectiveness of the strategy.
MHC has definitive guidelines inhibiting relationships among the divisions and regional offices. The divisions will have to pay for development and acquisition costs and the regional offices will have to pay to implement the technology and work out any problems with it (Blanchard & Thacker, 2013 p. 52). Eventually, the subsidiaries will sell the new technology to the competition less than it was sold to the divisions. This produces controversy within the corporation with the subsidiaries recognizing profits and the divisions demonstrating losses. MHC can lessen the impact of unequal gains and losses by creating a partnership between the subsidiaries and divisions. This would alleviate the divisions carrying the excessive expense burden of the new technology.
Separate policies, different office procedures and contrasting rates of pay could hinder the success and cohesiveness of the cost reduction strategy throughout the organization. There is much decision making autonomy across the divisions resulting in different policies, office procedures and pay scales. While this is appropriate for a Market Leader strategy, it is not consistent with a Cost Leader strategy. Decision making needs to be more centralized in the divisions if the cost reduction strategy is to be successful.
(3) Identify any areas where current management KSAs are not aligned with effective implementation of the competitive strategy.
According to Carrie Brown, the VP of HR, there were no tools in place to identify the skill set of the different levels of employees at each division. Without this information, the executives were unable to utilize existing employees to implement the cost reduction strategy. There were divisions that did not have advanced technology in place. There was no alignment of the KSAs or symmetry between divisions prohibiting successful implementation of the competitive strategy.
(4) Describe how MHC should go about addressing the KSA deficiencies you have identified in the previous question. Your answer should be consistent with the mission and values of MHC.
Clearly, there is no knowledge of or measurements in place to discern employee capabilities.
MHC must acquire an HRIS that would supply compelling evidence of the competency levels of each employee. Training programs with educational objectives and measurements of learning need to be implemented. Training development, whether it is in the form of on the job or classroom training, needs to be applicable to the occupation standard. The HRD will be responsible for assessing the outcome of the training and determine if it meets the objectives to accomplish a successful execution of the MHC strategy. If not, then modifications to the training program need to be …show more content…
completed.
(5) Assume that you are the HRD manager and the competitive strategy was given to you prior to its adoption. Using principles and concepts from the chapter, what recommendations would you give to the Strategic planning team? Using Table 2-1 Steps in a Generic Planned Change Model (Blanchard & Thacker, 2013 p.
54), will assist the HRD in developing the criteria for implementing a changed environment. The HRD manager should inform the executive/management group that numerous crucial positions do not have the skill set necessary to successfully execute the strategy. The HRD manager must stress the value of putting into operation an HRIS system that will detect KSA requirements to accomplish the strategy.
(6) Given the strategy, what tactical activities can the HR unit in general, and HRD specifically, develop to support the strategy (be sure to include the implementation of the HRIS)? Identify sources of support and sources of resistance to these tactical activities and point out any areas in which collaborating with the OD unit would be advisable.
Opposition to change frequently occurs. An HRIS system needs to be employed to maintain information on employees including, but not limited to, salary, position, evaluations, and job descriptions. The process of recruiting and selecting employees should include a progression plan for the position being hired for. Established goals and capability requirements including performance obstacles should be detailed for every position at MHC. A paradigm outlining training needs, development plans and evaluation should be completed for each
employee. Opposition to change frequently occurs at all levels of an organization. Management may feel threatened that training will empower non-management positions to seek higher ranking positions within MHC. Poor communication on strategy changes and fear of the unknown will also cause opposition. Strategic planning and training can benefit from the concepts, principles, and techniques used in Organizational Development (Blanchard & Thacker, 2013 p 67). The discipline of OD can facilitate change successfully. OD utilizes an exposed method, designed change progression that is entrenched in developing operational success.
References
Blanchard, P. N., & Thacker, J. W. (2013). Aligning Training with Strategy. In Effective training: Systems, strategies, and practice (5th ed., p. 52, 57, 67). Harlow: Pearson Education.