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Wednesday, 11 December 2013 04:21

Organizational Behavior In Health Care Featured

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Organizational Behavior In Health Care

Question 1.

Value chain in healthcare facilities

According to Michael Porter, a value chain is a back-to-back set of actions which collectively generate value to customers.  Value chain provides a crucial analysis of how different activities in an organization contribute to the final value of the end product or service delivered. Health care organizations have strategically used value chain to the quality of services they offer to clients. The process to use value chain in health facilities resulted from the need for these facilities to reduce the growing cost of offering health care services. Healthcare facilities are, therefore, expected to come up with ways of ensuring efficiency within limited resources. A value chain in a healthcare facility may take a form of vertical integration or horizontal integration of processes. Value chain activity in a healthcare organization would be in the form of introducing a new specialized line that deals exclusively with cardiac diseases or employment of a specialized physician and then market the facility as a center of excellence in cardiac management.

Question 2.

Area of connection in a value chain

One of the areas where connection of activities is crucial in the value chain, in healthcare facilities, is to ensure there is a connection in all levels. Medical decisions are made on the basis of information that are gathered by different staff within the healthcare setting. There is great emphasis on guarantying that there is good communication amid the laboratory department and physician to ensure samples are taken and tested in a professional way. Therefore, there is a need to ensure both horizontal and vertical linkage in a healthcare organization to ensure there is effective communication and effective transfer of information from one department to the other. A lot of emphasizes and efforts should be directed at ensuring that these linkages are maintained because a collapse in any point of the linkage would result into the total collapse of the entire value chain thus making in useless to the primary goal of ensuring customer focused activities.

Question 3.

Shortcoming of annual performance appraisal

It is true that annual performance reviews used by many organizations are a poor measure of success. These reviews are not a good or adequate measure of employees’ performance. They are rarely focused on measurable outcomes of employees’ activities. They are basically opinions of individual employee on the performance of the other employees. There is a common tendency among mangers to use recent performance of an employee to make a conclusion about the annual performance of that particular employee. This results into ignoring the long-term performance of the employee throughout the year. These results into what is commonly referred to as the “horn or halo” effect. Most organizations do not invest in establishing employee goals of performance. This hampers the development of an accurate performance assessment system. The reviews are not based on facts; they are objective and are not based on set goals. In the presence of shared goal within an organization, there is lack of clearly stated outcome measures. In addition, healthcare managers never seek feedback from fellow managers or coworkers on the performance of employees


Spector, B. (2010). Implementing organizational change: Theory into practice (2nd ed). Upper Saddle River, NJ: Pearson Prentice

 Borkowski, N. (2005). Organizational behavior in health care. Sudbury, MA: Jones and Bartlett Publishers.

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