Case Study Description of Hillside Hospital: Physician-Led Planning (Part B)
Dr. John Niff, co-chair of the Medical Advisory Panel (MAP) to Hillside Hospital, waited for his colleagues to join him to review the recommendations for The New Hillside Hospital that the panel had developed over the past six months. When Bill Hurst, Hillside's CEO, had first suggested creating a committee of doctors (the MAP) to develop recommendations for clinical programs at the hospital, Niff was skeptical. But as the clinicians worked together to identify problems and set priorities, they developed their management skills as well as a greater appreciation for the challenges facing the hospital. Trust between management and physicians grew as the hospital implemented some of the panel's recommendations. Although the MAP's list of recommendations had not yet been formally accepted by the Board, all participants reflected on the benefits already gained through this process.
Swot Analysis of "Hillside Hospital: Physician-Led Planning (Part B)" written by Karen Quigley, Nancy M. Kane includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Hospital Hillside facing as an external strategic factors. Some of the topics covered in Hillside Hospital: Physician-Led Planning (Part B) case study are - Strategic Management Strategies, Supply chain and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Hillside Hospital: Physician-Led Planning (Part B) casestudy better are - – talent flight as more people leaving formal jobs, increasing government debt because of Covid-19 spendings, banking and financial system is disrupted by Bitcoin and other crypto currencies, digital marketing is dominated by two big players Facebook and Google, wage bills are increasing, central banks are concerned over increasing inflation, there is increasing trade war between United States & China,
geopolitical disruptions, challanges to central banks by blockchain based private currencies, etc
Introduction to SWOT Analysis of Hillside Hospital: Physician-Led Planning (Part B)
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Hillside Hospital: Physician-Led Planning (Part B) case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Hospital Hillside, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Hospital Hillside operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Hillside Hospital: Physician-Led Planning (Part B) can be done for the following purposes –
1. Strategic planning using facts provided in Hillside Hospital: Physician-Led Planning (Part B) case study
2. Improving business portfolio management of Hospital Hillside
3. Assessing feasibility of the new initiative in Strategy & Execution field.
4. Making a Strategy & Execution topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Hospital Hillside
Strengths Hillside Hospital: Physician-Led Planning (Part B) | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Hospital Hillside in Hillside Hospital: Physician-Led Planning (Part B) Harvard Business Review case study are -
Cross disciplinary teams
– Horizontal connected teams at the Hospital Hillside are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Effective Research and Development (R&D)
– Hospital Hillside has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in, as mentioned in case study Hillside Hospital: Physician-Led Planning (Part B) - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Superior customer experience
– The customer experience strategy of Hospital Hillside in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Highly skilled collaborators
– Hospital Hillside has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Hillside Hospital: Physician-Led Planning (Part B) HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Analytics focus
– Hospital Hillside is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Karen Quigley, Nancy M. Kane can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Operational resilience
– The operational resilience strategy in the Hillside Hospital: Physician-Led Planning (Part B) Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Organizational Resilience of Hospital Hillside
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Hospital Hillside does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High brand equity
– Hospital Hillside has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Hospital Hillside to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to recruit top talent
– Hospital Hillside is one of the leading recruiters in the industry. Managers in the Hillside Hospital: Physician-Led Planning (Part B) are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Hospital Hillside digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Hospital Hillside has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Sustainable margins compare to other players in Strategy & Execution industry
– Hillside Hospital: Physician-Led Planning (Part B) firm has clearly differentiated products in the market place. This has enabled Hospital Hillside to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Hospital Hillside to invest into research and development (R&D) and innovation.
Low bargaining power of suppliers
– Suppliers of Hospital Hillside in the sector have low bargaining power. Hillside Hospital: Physician-Led Planning (Part B) has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Hospital Hillside to manage not only supply disruptions but also source products at highly competitive prices.
Weaknesses Hillside Hospital: Physician-Led Planning (Part B) | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Hillside Hospital: Physician-Led Planning (Part B) are -
Products dominated business model
– Even though Hospital Hillside has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - Hillside Hospital: Physician-Led Planning (Part B) should strive to include more intangible value offerings along with its core products and services.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Hospital Hillside supply chain. Even after few cautionary changes mentioned in the HBR case study - Hillside Hospital: Physician-Led Planning (Part B), it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Hospital Hillside vulnerable to further global disruptions in South East Asia.
Skills based hiring
– The stress on hiring functional specialists at Hospital Hillside has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
Need for greater diversity
– Hospital Hillside has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Hillside Hospital: Physician-Led Planning (Part B), is just above the industry average. Hospital Hillside needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
High cash cycle compare to competitors
Hospital Hillside has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
High operating costs
– Compare to the competitors, firm in the HBR case study Hillside Hospital: Physician-Led Planning (Part B) has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Hospital Hillside 's lucrative customers.
Slow to strategic competitive environment developments
– As Hillside Hospital: Physician-Led Planning (Part B) HBR case study mentions - Hospital Hillside takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Slow decision making process
– As mentioned earlier in the report, Hospital Hillside has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Hospital Hillside even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Hillside Hospital: Physician-Led Planning (Part B) HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Hospital Hillside has relatively successful track record of launching new products.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Hillside Hospital: Physician-Led Planning (Part B), in the dynamic environment Hospital Hillside has struggled to respond to the nimble upstart competition. Hospital Hillside has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Opportunities Hillside Hospital: Physician-Led Planning (Part B) | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study Hillside Hospital: Physician-Led Planning (Part B) are -
Reconfiguring business model
– The expansion of digital payment system, the bringing down of international transactions costs using Bitcoin and other blockchain based currencies, etc can help Hospital Hillside to reconfigure its entire business model. For example it can used blockchain based technologies to reduce piracy of its products in the big markets such as China. Secondly it can use the popularity of e-commerce in various developing markets to build a Direct to Customer business model rather than the current Channel Heavy distribution network.
Loyalty marketing
– Hospital Hillside has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Learning at scale
– Online learning technologies has now opened space for Hospital Hillside to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Better consumer reach
– The expansion of the 5G network will help Hospital Hillside to increase its market reach. Hospital Hillside will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Hospital Hillside to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Hospital Hillside to hire the very best people irrespective of their geographical location.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Strategy & Execution industry, but it has also influenced the consumer preferences. Hospital Hillside can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Hospital Hillside can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Using analytics as competitive advantage
– Hospital Hillside has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Hillside Hospital: Physician-Led Planning (Part B) - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Hospital Hillside to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Creating value in data economy
– The success of analytics program of Hospital Hillside has opened avenues for new revenue streams for the organization in the industry. This can help Hospital Hillside to build a more holistic ecosystem as suggested in the Hillside Hospital: Physician-Led Planning (Part B) case study. Hospital Hillside can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Leveraging digital technologies
– Hospital Hillside can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Building a culture of innovation
– managers at Hospital Hillside can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Strategy & Execution segment.
Manufacturing automation
– Hospital Hillside can use the latest technology developments to improve its manufacturing and designing process in Strategy & Execution segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Hospital Hillside can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Threats Hillside Hospital: Physician-Led Planning (Part B) External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Hillside Hospital: Physician-Led Planning (Part B) are -
Technology acceleration in Forth Industrial Revolution
– Hospital Hillside has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Hospital Hillside needs to keep up with the evolution of technology in the Strategy & Execution sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Regulatory challenges
– Hospital Hillside needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Strategy & Execution industry regulations.
Easy access to finance
– Easy access to finance in Strategy & Execution field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Hospital Hillside can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Hospital Hillside business can come under increasing regulations regarding data privacy, data security, etc.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Hospital Hillside in the Strategy & Execution sector and impact the bottomline of the organization.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Hillside Hospital: Physician-Led Planning (Part B), Hospital Hillside may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Strategy & Execution .
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Hospital Hillside.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Hospital Hillside in the Strategy & Execution industry. The Strategy & Execution industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
Stagnating economy with rate increase
– Hospital Hillside can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Environmental challenges
– Hospital Hillside needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Hospital Hillside can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Increasing wage structure of Hospital Hillside
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Hospital Hillside.
Shortening product life cycle
– it is one of the major threat that Hospital Hillside is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
Weighted SWOT Analysis of Hillside Hospital: Physician-Led Planning (Part B) Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Hillside Hospital: Physician-Led Planning (Part B) needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study Hillside Hospital: Physician-Led Planning (Part B) is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study Hillside Hospital: Physician-Led Planning (Part B) is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of Hillside Hospital: Physician-Led Planning (Part B) is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Hospital Hillside needs to make to build a sustainable competitive advantage.
