SHOULDICE HOSPITAL LIMITED The problem under analysis is how to best increase the hospital’s capacity to serve more patients while at the same time maintaining control over quality of service delivered as well as sustaining existing high levels of employee and patient (customer) satisfaction. SWOT analysis Strengths  Unique and defined Surgical procedure (could not be varied)  Facility that encourages movement  Up to date equipment  Less time taken (time
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Case Study 1: Shouldice Hospital Limited 1. What has the leadership of Shouldice been excellent at? Shouldice leadership has been able to develop one of its surgical service lines‚ inguinal hernia repair‚ to an “internationally-recognized” brand. This has allowed Shouldice to dominate the market share and create a demand for its specialized services resulting in financial stability. The creation of this brand also has a strong influence with how the organization functions and how it is perceived
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Director Alan O’Dell Dr.Byrnes Shouldice Open Saturday Key Players Schedule change/Work weekend 2 worry it will create a divide Cons Moral 4/10 Doctors oppose Dr.Degani (60) Control concerns On call schedule Staff are worried dilute bonus pool? Dr. Degani Toronto Location USA less regulation 10% - Out of Province/USA 60% - Outer Toronto area 30% - assume Toronto Increase costs charged Cons Shouldice Hospital Options to Expand Capacity New Hospital Build to satisfy demand Find
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on the above criteria‚ the following options can be generated. I. The hospital can continue with the current scale of operations i.e. Maintaining Status Quo II. The hospital can plan to scale up the level of operations. This can be done in 3 different ways A. Start operating on Saturdays which increases the capacity by 20% B. Expand the hospital building by adding one more floor C. Open new hospital in the USA‚ and thereby expanding operations to new geographical locations
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Shouldice Hospital – A Cut Above 1.) How well is the hospital currently utilizing its beds? The hospital stay cycles have been provided: | Mon Beds | Tue Beds | Wed Beds | Thu Beds | Fri Beds | Sat Beds | Sun Beds | Available Beds | 90 | 90 | 90 | 90 | 90 | 90 | 90 | Monday Admission | 30 | 30 | 30 | | | | | Tuesday Admission | | 30 | 30 | 30 | | | | Wednesday Admission | | | 30 | 30 | 30 | | | Thursday Admission | | | | 30 | 30 | 30 | | Friday Admission | |
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considers these subjects in both manufacturing and service industries. *The original version of the movie “Cheaper by the Dozen” made in the 1950s was based upon the life of Frank Gilbreth who invented motion study in the 1900s. Gilbreth was so concerned with personal efficiency that he did a study of whether it was faster and more accurate to button one’s seven button vest from the bottom up or the top down. (Answer: bottom up!) Chapter 3 STRATEGIC CAPACITY MANAGEMENT After reading the chapter
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“Shouldice Hospital‚ the house that hernias built‚ is a converted country estate which gives the hospital a ‘country club’ appeal.” A quote from American Medical News Shouldice Hospital in Canada is widely known for one thing – hernia repair! In fact‚ that is the only operation it performs‚ and it performs a great many of them. Over the past two decades this small 90-bed hospital has averaged 7‚000 operations annually. Last year‚ they had a record year and performed nearly 7‚500 operations
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Situational Analysis and Problem Definition: The Shouldice Hospital in Ontario‚ Canada is a pioneer in the field of treating patients suffering from external abdominal hernias. With its current capacity‚ it can treat up to 6850 patients annually. The patients are treated using the Shouldice Method‚ and on an average each patient has to spend about four days in the hospital recuperating. The USP of the Shouldice Hospital is it’s distinct surgical procedure. The speedy ambulation coupled with it’s
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3/26/2013 Shouldice Hospital Limited (Abridged) Summary of case discussion Indicators of success • Profits – Revenue = 7600 * (320*4 + 650 + 300*20%) = $15 mil. – Costs = $8.5 mil for hospital + $3.5 for clinic $ $ – Profits = $3 mil • Word‐of‐mouth advertising – Afraid of advertising for fear of generating too much demand • Backlog of demand – Currently 2400‚ growing at 100 / 6 mo. • High percentage of doctors as patients • L Low recurrence – 0.8% vs. 10% at other hospitals • Patients reunions
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Solution for Q1: Shouldice hospital is a leader in treating patients who suffer from Hernia. Shouldice achieved outstanding performance and reputation through its distinguished services to customers in terms of cost‚ quality‚ delivery and flexibility Cost: At Shouldice‚ Operating cost is not the only cost factor that attract customers. Besides‚ typical operation cost (including the patients stay at hospital) ranges from only $954 to $1029 compared to a total of $2‚000 to $4‚000 elsewhere. Even
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