Internal Business Process Perspective

1034 Words Mar 16th, 2013 5 Pages
Internal Business Process Prospective
BUS 499 – Strategic Management
Module 3 Case
February 1, 2013

Duke Children’s Hospital fell into a crisis within the mid-1990s. Expenses were rising while dramatic reductions in net margin were occurring. Staff productivity fell and staff satisfaction was at an all-time low. They overcame the crisis by implementing the balanced scorecard. Their way of designing their scorecard catered to their business in healthcare. The higher officials of Duke Children’s Hospital made a three-step process in designing their balanced scorecard. “The three steps of proven rapid-fire approach are to: get connected, get results, and get smarter” (Meliones, 2001).
Step one consisted of establishing key
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Before the balanced scorecard was implemented, staff productivity was in decline and staff satisfaction was at an all-time low. The positive shift in staff satisfaction and productivity was seen after the step one and two of implementing the scorecard. Employees were connected with the same mission and strategy of the whole organization.
After analyzing their performance results, stakeholders were able to improve the way they work and handle patients. Clinicians, physicians, and nurses were able to provide quality clinical care without dramatically affecting the financial performance. This aligned each stakeholder within the system into a single platform. The key was “to identify the key drivers of their performance and implement initiatives to optimize them” (Meliones, 2001).
The customers of Duke Children’s hospital saw a major change in efficiency within the organization. Without cutting staff, the hospital was able to “improve their performance while enhancing quality” (Meliones, 2001). By implementing a new system of records, patients were able to pay bills on time without suffering through denial claims. Automatic reports gave patients the qualitative data they needed to for physicians and nurses to evaluate. The hospital was able to work in sync to provide excellent care for new patients.
Duke Children’s hospital did a superb job in implementing, planning, and executing their transition to the balance scorecard. Officials of the hospital knew they
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