Authority structure within organizations is important for the oversight of delegated processes and expected outcomes. Without structure, chaos would impede support, communications, and vision development. Organizational designs vary according to the need of the organization to operate efficiently, to achieve goals, and to support the associates within the organization. The organizational structure style design helps lead the organization in successful endeavors (Sullivan & Decker, 2009).
Organizational History
The history of an organization contributes to the design of the formal organizational structure. The medical center has a tumultuous history. A new modern building was constructed in 2000 to replace an older structure. The local physicians had no input into the decision or design of the new facility. The organizational structure during that time was a strict parallel design. The physicians reported to the chief medical officer and the Board of Trustees. The physicians jointly decided not to support the new local hospital; the organization began to collapse.
The medical center eventually fell into bankruptcy because of the lack of physician support, poor financial management, and unscrupulous use of organizational monies. The court system retained a reconstruction organization in an attempt to rebuild the local hospital. During the time of bankruptcy the parallel organizational structure remained in place, but with less authority of the medical governance branch. The main focus of the organizational structure was financial survival of the organization. An immediate change was needed for the improvement of the dangerously low morale of the health care associates
The once country owned, bankrupted not-for-profit-hospital was bought and sold twice before stabilization began to be a possibility. A corporation purchased the hospital and changed it to a for-profit organization. There was very little