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Health care system builds management centers through decentralization
Physician Executive
|December 11, 1986
Summary
University Hospitals of Cleveland is shifting to decentralized management with product groupings, but retains process orientations. The study advises caution when applying industrial management models to healthcare settings.
Area of Science:
- Healthcare Management
- Organizational Structure
- Hospital Administration
Background:
- University Hospitals of Cleveland has implemented significant organizational changes.
- The hospital is moving towards a decentralized management structure focused on "product groupings."
Purpose of the Study:
- To analyze the alignment of decentralized management structures with existing process orientations in a healthcare setting.
- To evaluate the applicability of industrial management models in the healthcare field.
Main Methods:
- Qualitative analysis of organizational changes at University Hospitals of Cleveland.
- Examination of the balance between product-based and process-based management orientations.
Main Results:
- The hospital's alignment exhibits a blend of decentralized "product groupings" and persistent process orientations.
- A tension exists between the new decentralized structure and traditional process-based management.
Conclusions:
- Healthcare organizations should critically assess the adaptation of industrial management models.
- Blindly adopting industrial models may not be suitable for the complexities of healthcare management.