Measuring Physician Contribution to the Healthcare Safety Net SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Measuring Physician Contribution to the Healthcare Safety Net
There are an estimated 46 million Americans without health insurance and an even larger number for whom health insurance does not cover all needed medical services. These individuals and families have to rely more and more on government programs and physicians' willingness to provide uncompensated services, most often described by providers as charity care. Previous studies have shown a downward trend in the percent of physicians willing or able to provide charity care. We extend this research by examining the results of the Medical Group Management Association's Cost Survey of Medical Group Practices for 2005, 2006, and 2007. It is important to examine the uncompensated care reported by medical groups because groups have policies that may govern how much, if any, charity care their physicians provide. This survey data shows that, overall, the number of medical practices providing charity care continues to decline. The results and analysis of the survey data indicate that uncompensated (charity) care is being offered by less than half of medical practices, and at less than 2% of total gross charges. We examined the results by potential explanatory variables: population density, practice size, physician practice specialty, practice ownership structure, payer mix, and practice financial performance. Results were consistent across all categories; charity care is declining. These results have major policy implications for both the federal government and all state governments, especially in light of the current recession and proposed healthcare reform legislation.
Authors :: Lawrence M. Metzger, Steven Andes, David N. Gans, James W. Margolis
Swot Analysis of "Measuring Physician Contribution to the Healthcare Safety Net" written by Lawrence M. Metzger, Steven Andes, David N. Gans, James W. Margolis includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Charity Uncompensated facing as an external strategic factors. Some of the topics covered in Measuring Physician Contribution to the Healthcare Safety Net case study are - Strategic Management Strategies, and Technology & Operations.
Some of the macro environment factors that can be used to understand the Measuring Physician Contribution to the Healthcare Safety Net casestudy better are - – there is backlash against globalization, increasing transportation and logistics costs, increasing inequality as vast percentage of new income is going to the top 1%, supply chains are disrupted by pandemic , geopolitical disruptions, wage bills are increasing, competitive advantages are harder to sustain because of technology dispersion,
central banks are concerned over increasing inflation, increasing household debt because of falling income levels, etc
Introduction to SWOT Analysis of Measuring Physician Contribution to the Healthcare Safety Net
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Measuring Physician Contribution to the Healthcare Safety Net case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Charity Uncompensated, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Charity Uncompensated 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 Measuring Physician Contribution to the Healthcare Safety Net can be done for the following purposes –
1. Strategic planning using facts provided in Measuring Physician Contribution to the Healthcare Safety Net case study
2. Improving business portfolio management of Charity Uncompensated
3. Assessing feasibility of the new initiative in Technology & Operations field.
4. Making a Technology & Operations topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Charity Uncompensated
Strengths Measuring Physician Contribution to the Healthcare Safety Net | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Charity Uncompensated in Measuring Physician Contribution to the Healthcare Safety Net Harvard Business Review case study are -
Highly skilled collaborators
– Charity Uncompensated 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 Measuring Physician Contribution to the Healthcare Safety Net HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Ability to recruit top talent
– Charity Uncompensated is one of the leading recruiters in the industry. Managers in the Measuring Physician Contribution to the Healthcare Safety Net are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
High switching costs
– The high switching costs that Charity Uncompensated has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
Learning organization
- Charity Uncompensated is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Charity Uncompensated is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Measuring Physician Contribution to the Healthcare Safety Net Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Ability to lead change in Technology & Operations field
– Charity Uncompensated is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Charity Uncompensated in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Strong track record of project management
– Charity Uncompensated is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Digital Transformation in Technology & Operations segment
- digital transformation varies from industry to industry. For Charity Uncompensated digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Charity Uncompensated 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.
Innovation driven organization
– Charity Uncompensated is one of the most innovative firm in sector. Manager in Measuring Physician Contribution to the Healthcare Safety Net Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Training and development
– Charity Uncompensated has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Measuring Physician Contribution to the Healthcare Safety Net Harvard Business Review case study by analyzing – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
Cross disciplinary teams
– Horizontal connected teams at the Charity Uncompensated 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.
Diverse revenue streams
– Charity Uncompensated is present in almost all the verticals within the industry. This has provided firm in Measuring Physician Contribution to the Healthcare Safety Net case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Sustainable margins compare to other players in Technology & Operations industry
– Measuring Physician Contribution to the Healthcare Safety Net firm has clearly differentiated products in the market place. This has enabled Charity Uncompensated to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped Charity Uncompensated to invest into research and development (R&D) and innovation.
Weaknesses Measuring Physician Contribution to the Healthcare Safety Net | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Measuring Physician Contribution to the Healthcare Safety Net are -
Need for greater diversity
– Charity Uncompensated 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.
Lack of clear differentiation of Charity Uncompensated products
– To increase the profitability and margins on the products, Charity Uncompensated needs to provide more differentiated products than what it is currently offering in the marketplace.
Low market penetration in new markets
– Outside its home market of Charity Uncompensated, firm in the HBR case study Measuring Physician Contribution to the Healthcare Safety Net needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Charity Uncompensated is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Measuring Physician Contribution to the Healthcare Safety Net can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Capital Spending Reduction
– Even during the low interest decade, Charity Uncompensated has not been able to do capital spending to the tune of the competition. This has resulted into fewer innovations and company facing stiff competition from both existing competitors and new entrants who are disrupting the industry using digital technology.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Measuring Physician Contribution to the Healthcare Safety Net, in the dynamic environment Charity Uncompensated has struggled to respond to the nimble upstart competition. Charity Uncompensated has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
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 Charity Uncompensated supply chain. Even after few cautionary changes mentioned in the HBR case study - Measuring Physician Contribution to the Healthcare Safety Net, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Charity Uncompensated vulnerable to further global disruptions in South East Asia.
Increasing silos among functional specialists
– The organizational structure of Charity Uncompensated is dominated by functional specialists. It is not different from other players in the Technology & Operations segment. Charity Uncompensated needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Charity Uncompensated to focus more on services rather than just following the product oriented approach.
High cash cycle compare to competitors
Charity Uncompensated 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 Measuring Physician Contribution to the Healthcare Safety Net 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 Charity Uncompensated 's lucrative customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Measuring Physician Contribution to the Healthcare Safety Net, is just above the industry average. Charity Uncompensated 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.
Opportunities Measuring Physician Contribution to the Healthcare Safety Net | 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 Measuring Physician Contribution to the Healthcare Safety Net are -
Low interest rates
– Even though inflation is raising its head in most developed economies, Charity Uncompensated can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Charity Uncompensated can use these opportunities to build new business models that can help the communities that Charity Uncompensated operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
Developing new processes and practices
– Charity Uncompensated can develop new processes and procedures in Technology & Operations industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Better consumer reach
– The expansion of the 5G network will help Charity Uncompensated to increase its market reach. Charity Uncompensated 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 Charity Uncompensated 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 Charity Uncompensated to hire the very best people irrespective of their geographical location.
Manufacturing automation
– Charity Uncompensated can use the latest technology developments to improve its manufacturing and designing process in Technology & Operations 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.
Building a culture of innovation
– managers at Charity Uncompensated 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 Technology & Operations segment.
Leveraging digital technologies
– Charity Uncompensated 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.
Buying journey improvements
– Charity Uncompensated can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Measuring Physician Contribution to the Healthcare Safety Net suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Loyalty marketing
– Charity Uncompensated 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Charity Uncompensated can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, Measuring Physician Contribution to the Healthcare Safety Net, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Using analytics as competitive advantage
– Charity Uncompensated 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 Measuring Physician Contribution to the Healthcare Safety Net - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Charity Uncompensated to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Charity Uncompensated in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Technology & Operations segment, and it will provide faster access to the consumers.
Threats Measuring Physician Contribution to the Healthcare Safety Net External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Measuring Physician Contribution to the Healthcare Safety Net are -
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Charity Uncompensated needs to understand the core reasons impacting the Technology & Operations industry. This will help it in building a better workplace.
Instability in the European markets
– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Charity Uncompensated will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
High dependence on third party suppliers
– Charity Uncompensated high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
Regulatory challenges
– Charity Uncompensated 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 Technology & Operations industry regulations.
Consumer confidence and its impact on Charity Uncompensated demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
Increasing wage structure of Charity Uncompensated
– 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 Charity Uncompensated.
Stagnating economy with rate increase
– Charity Uncompensated 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
– Charity Uncompensated 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. Charity Uncompensated can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
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 Charity Uncompensated in the Technology & Operations sector and impact the bottomline of the organization.
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 Charity Uncompensated.
Shortening product life cycle
– it is one of the major threat that Charity Uncompensated is facing in Technology & Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Charity Uncompensated business can come under increasing regulations regarding data privacy, data security, etc.
Weighted SWOT Analysis of Measuring Physician Contribution to the Healthcare Safety Net 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 Measuring Physician Contribution to the Healthcare Safety Net 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 Measuring Physician Contribution to the Healthcare Safety Net 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 Measuring Physician Contribution to the Healthcare Safety Net 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 Measuring Physician Contribution to the Healthcare Safety Net 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 Charity Uncompensated needs to make to build a sustainable competitive advantage.
