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Organizational and Management Theory

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Organization and Management Analysis
HCS/514 Managing in Today’s Health Care Organizations

Organizational Theories
Organizational theory as it applies to health care introduces a complex and challenging situation. The health care environment introduces challenges to a structured organization which may not be present in traditional business. For example, measuring output may be difficult in an environment of daily uncertainty, it would be nearly impossible to predict or plan for all of the specific tasks, activities and business interactions in any one unit in the hospital setting. Additional challenges include complex, variable work that cannot often be deferred, work performed under emergency circumstances, high degree of precision and low margin for error, services are often interdependent while requiring a high level of coordination, work is highly specialized, government and regulatory implications must be considered, and typically multiple lines of authority. Each of these unique challenges creates a specialized approach at organizational theory and creates a foundation for this unique perspective to organization and health care as a differentiator from a standard business model (Shortell et al, 2011).
Determining an organizational structure begins with first establishing the mission, vision, values, and organizational goals. This will set the course for the internal structure and external outcomes management for the organization. In general, when looking at the Acute Care segment of health care, the basic types of organizations are community hospitals, Trauma Centers, teaching hospitals, and specialized hospitals. There are for profit and not for profit. In addition, there are privately owned facilities, hospital groups and IDN’s or (Independent Delivery Networks).
A for profit organization, whether it is a stand-alone or large hospital…...

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