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Healthcare Organization Merger. best 2023

Strategic Planning for Healthcare Organization Merger

Healthcare Organization Merger

As the leader of a large healthcare organization merger, I recognize that the imminent acquisition of another hospital group necessitates significant changes in policies, procedures, and human resources. This merger represents a complex challenge and presents opportunities for growth and improvement. To guarantee a smooth transition, I have scheduled a planning session with top managers to discuss the changes the organization may experience, potential change approaches, and recommendations for managing resistance to change.

Healthcare Organization Merger: Types of Change and Procedures

  1. Policy and Procedure Changes:

– Change Description: Merging two organizations requires aligning policies and procedures to ensure consistency in patient care, compliance, and operations.

– Procedures:

– Establish a Policy Review Committee: A cross-functional team of representatives from both organizations should be formed to assess existing policies, identify gaps, and develop integrated policies.

– Communication and Training: Implement a comprehensive communication plan to inform employees of policy changes, provide training opportunities, and address questions and concerns.

  1. Structural Changes:

– Change Description: Mergers frequently necessitate organizational restructuring, affecting departments, roles, and reporting lines.

– Procedures:

– Organizational Assessment: Conduct a thorough assessment of both organizations to identify redundancies, inefficiencies, and opportunities for streamlining.

– Change Management Team: Form a dedicated team responsible for designing new organizational structures and roles, ensuring a balanced approach prioritizes job security and employee morale.

  1. Cultural Changes:

– Change Description: Merging organizations frequently results in differences in organizational culture, values, and work ethics.

– Procedures:

– Cultural Integration Team: Establish a team of members from both organizations to assess existing cultures, identify common values, and develop a unified culture.

– Cultural Awareness Training: Implement regular training programs and engagement initiatives to foster a sense of belonging and alignment with the newly defined culture.

  1. Human Resource Changes:

– Change Description: Employee transitions, including relocations, layoffs, and reassignments, may be necessary during the merger.

– Procedures:

– Human Resources Task Force: Create a dedicated task force within the human resources department to oversee the transition process.

– Communication and Support Services: Develop a communication strategy that provides regular updates, addresses employee concerns, and offers support services for affected employees. You can explore opportunities for skill development and internal promotions.

Healthcare Organization Merger: Analysis of Change Approaches

  1. Lewin’s Change Model: Lewin’s model involves three stages: unfreeze, transition, and refreeze. Primarily, we must unfreeze the current state by raising awareness about the merger and the need for change. The transition phase involves implementing changes effectually, and finally, refreezing guarantees that new procedures and structures become the norm. This model aligns with our gradual approach to change.
  2. Kotter’s Eight-Step Change Model: Kotter’s model provides a comprehensive approach, emphasizing urgency, building a guiding coalition, and empowering employees to act on the plan. It suits the scale of change required for this merger and aligns with our commitment to strong leadership.

  1. ADKAR Model: The ADKAR model focuses on individual change management. By addressing Awareness, Desire, Knowledge, Ability, and Reinforcement, we can ensure that employees are ready for the changes and can adapt effectively. This model complements our emphasis on employee involvement and training.

Healthcare Organization Merger: Recommendations for Dealing with Resistance to Change

Resistance to change is a common reaction during mergers. To address resistance effectively:

  1. Communication: Maintain transparent and open communication channels throughout the merger process. Please update employees on progress, reasons for change, and the benefits of the merger.
  2. Employee Involvement: Involve employees in the decision-making process when possible. We can reduce resistance and increase buy-in by soliciting their input and considering their suggestions.
  3. Change Champions: Identify and empower change champions within the organization. These individuals can advocate for the merger, helping persuade others of the benefits and addressing concerns.
  4. Training and Support: Training and support to help employees adapt to new procedures, roles, and technology resources and assist can ease the transition.
  5. Feedback Mechanisms: Establish mechanisms for employees to express their concerns, questions, and suggestions. Actively address these concerns and demonstrate that their voices are heard.
Conclusion to Healthcare Organization Merger

The impending merger of our healthcare organization with another hospital group represents a significant change. We can navigate this transition successfully by identifying the types of change, implementing effective procedures, selecting appropriate change approaches, and addressing resistance proactively. Our commitment to transparency, communication, and employee involvement will be critical in ensuring a smooth merger process and achieving the desired outcomes. Through collaborative efforts, we can transform this challenge into an opportunity for growth and improved healthcare services.

References:

FHFMA, C.M. (2019). Analysis: 8 steps to ensuring hospital mergers result in projected cost savings. [online] HFMA. Available at: https://www.hfma.org/finance-and-business-strategy/strategic-partnerships-mergers-and-acquisitions/analysis-8-steps-ensuring-hospital-mergers-result-in-projected-cost-savings/

Prevost, T., Skillrud, I., Gerhardt, W., and Mukherjee, D. (2020). The potential for rapid consolidation of health systems. [online] Deloitte Insights. Available at: https://www2.deloitte.com/us/en/insights/industry/health-care/hospital-mergers-acquisition-trends.html.

www.mckinsey.com. (n.d.). Unlocking value in large deal healthcare M&A | McKinsey. [online] Available at: https://www.mckinsey.com/industries/healthcare/our-insights/unlocking-value-in-large-deal-healthcare-m-and-a-how-to-achieve-transformation-during-integration.

Healthcare Organization MergerTen

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