Question

You have been retained by a hospital in a growing mid-western town of 250,000. Currently the hospital is the only general hospital in the metropolitan area, but there is some indication that a large hospital chain is planning to enter the area. Your client is concerned that the large chain will argue that it can supply better service at lower costs. In your research, you have determined that the potential competitor has a classic functional organizational design. Your client’s hospital is well-respected in the community and has received recognition at the national level, including notable awards for quality patient care from the American Hospital Association. Currently your client’s hospital is, like the prospective competitor, almost totally based on functional organizational design. How will a more varied organizational design will provide a competitive advantage?

Answer 1

More varied organizational design provide a competitive advantage, because

1. It give society a better quality medicine as well as a better service for patient.

2. If your organization has a varied functional structure then means you are providing each and every facility to patient e.g. labs, mortem etc due to which community will consider that they are getting everything under one roof.

3. A varied organization design give more number of expertise for surgery and general treatment due to which people think that they are safe.

4. A well equipped nursing facility also one of the advantages against the competition of large chain hospital.

5. Most important fallow up patient care also most important that is provided by varied organization design.

6. This all points provide strong competition to the competitors which are generally seen in varied organization design.

7. They have sophiscated instrument also for any type of critical surgery.