Case Study: Edgewood Lake Hospital Essay

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Case Study: Edgewood Lake Hospital - Leadership in a Rural Healthcare Facility During Challenging Economic Times [NAME] [DATE] Case Study: Edgewood Lake Hospital - Leadership in a Rural Healthcare Facility During Challenging Economic Times Edgewood Lake Hospital (ELH) which opened in 1945, is a 30-bed, independent, not-for-profit hospital located in rural northern California. It provides inpatient and outpatient services to the close-knit community that resides within the forested and lakeside town the facility is nestled in. Although it is known for its great track record for quality and is held in high regard by the surrounding community, it has steadily experienced financial losses from 2006 through 2009. These losses can be…show more content…
Looking closely at the environment external to ELH will allow for possible threats to the hospital’s success to be revealed and curtailed if possible. Upon scanning the external environment, opportunities for improvement should be identified and made an integral part of the final strategy to restore and revitalize ELH to its former glory. Threats The most direct threat to ELH is the strong community competitor, Creekside Trails Hospital. It is a 45-bed, for-profit facility located 35 miles away on the other end of the lake and is 50 years newer than ELH having been opened in 1995. It is a for-profit organization and offers more specialty services, namely cardiology care. This threatens ELH’s livelihood not only by creating a more appealing alternative for citizen seeking medical attention but also by becoming a viable option for current ELH staff looking for a more stable and promising place of employment. Another threat is the current state of rural hospitals nationwide. According to the case study, about 25% of Americans live in rural areas and only about 10% of physicians actually practice in rural areas. There is a 15% gap in the ratio of rural citizens to available practicing physicians. This is a threat to ELH’s need to attract and hire more physicians. In relation to rural hospitals, citizens have longer drive times to their medical facilities. This causes them to delay routine visits which subsequently exacerbates

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