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Case four. Synergistic strategy development.
Case Studies in Health Administration
|December 10, 1989
Summary
Mercy Medical Center improved its strategic planning by collaborating with affiliated practices. This approach fostered synergy and enhanced organizational viability, moving towards a post-entrepreneurial model.
Area of Science:
- Healthcare Management
- Organizational Strategy
- Business Administration
Background:
- Mercy Medical Center faced challenges with fragmented strategic planning.
- Past strategies did not ensure organizational viability or mission accomplishment.
- The hospital lacked integration with its affiliated group practice and health maintenance organization (HMO).
Purpose of the Study:
- To explore the pursuit of synergy through strategy formulation at Mercy Medical Center.
- To examine how collaborative strategies can enhance organizational advantage.
- To illustrate a post-entrepreneurial organizational model in healthcare.
Main Methods:
- Case study analysis of Mercy Medical Center's strategic planning process.
- Examination of historical strategic development and its outcomes.
- Application of Kanter's post-entrepreneurial organizational theory.
Main Results:
- The hospital's historical strategic planning was fragmented and lacked focus on key organizational goals.
- Involving affiliated entities in planning was previously overlooked.
- The pursuit of synergy through collaboration with "Partnerships and Linkages" (PALs) was identified as a key strategy.
Conclusions:
- Collaborative strategy formulation is crucial for achieving synergy in healthcare organizations.
- Adopting a post-entrepreneurial approach through strategic partnerships can lead to greater organizational advantage.
- Integrating affiliated entities into strategic planning enhances overall organizational viability and mission fulfillment.