Duke University Children's Hopsital Case Study

1501 Words7 Pages
Duke University's Children's Hospital (DCH) is a pediatric hospital that is located on Duke University Hospital’s fifth floor. DCH is a 134-bed facility with 800 employees who care for patients in neonatal ICU, pediatric ICU, pediatric emergency room, intermediate care unit, bone-marrow transplant unit, subspecialty clinic, and outreach clinic (Meliones, 2000). The annual operating loss of DCH grew from a high $4 million in 1992 to a staggering $11 million in 1996, forcing hospital administrators to cut-down resources. This move made some caregivers feel that the clinical care quality at DCH had deteriorated. Complaints from parents were on the rise, dissatisfied doctors considered sending their patients to other hospitals, and some…show more content…
Similarly, if DCH could assign more number of patients to each nurse to improve the productivity of internal business quadrant, but that would give more scope to errors –a tradeoff that is totally unacceptable. Development and implementation of a BSC is a labor intensive task, since it is a methodology that is consensus driven. To make the BSC work, DCH started a pilot project, initiated a top-down reorganization and procedural work redesign, and developed a customized information system. The most challenging task for DCH however was to convince its employees to work in new ways. Doctors and managers initially viewed the move to organize them into teams as one that would cause their powerbase to shift. Almost all employees complained that a systematic approach to cost control was just like “cookbook medicine” (Meliones, 2000). It needed a lot of persuasion, reassurance, and persistence to get all employees at DCH to buy into the new process. For employees to change their minds, and for DCH to sell BSC throughout the organization, people had to see that the BSC could be successful in a pilot project in one of the hospital’s areas. The pilot project started in the pediatric ICU by reorganizing the roles that were played by people working in the ICU. Pediatric ICU transitioned from a

    More about Duke University Children's Hopsital Case Study

      Open Document