Shouldice Hospital- a Cut Above

14087 Words Jan 21st, 2013 57 Pages
Section 2
PROCESSES
3. Strategic Capacity Management 4. Manufacturing Processes 5. Services Processes 6. Six-Sigma Quality

PROCESSES
The second section of Operations and Supply Management: The Core is centered on the design and analysis of business processes. Maybe becoming an efficiency expert is not your dream, but it is important to learn the fundamentals. Have you ever wondered why you always have to wait in line at one store but another one seems to be on top of the crowds? The key to serving customers well, whether with products or with services, is having a great process. We use processes to do most things. You probably have a regular process that you use every morning. What are the tasks associated with your process? Do you
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There was only one solution: Dr. Shouldice decided to open his own hospital. In July 1945, Shouldice Hospital, with a staff consisting of a nurse, a secretary, and a cook, opened its doors to its waiting patients. In a single operating room, Dr. Shouldice repaired two hernias per day. As requests for this surgery increased, Dr. Shouldice extended the facilities, located on Church Street in Toronto, by eventually buying three adjacent buildings and increasing the staff accordingly. In 1953, he purchased a country estate in Thornhill, where a second hospital was established. Today all surgery takes place in Thornhill. Repeated development has culminated in the present 89-bed facility. Shouldice Hospital has been dedicated to the repair of hernias for over 55 years, using the “Shouldice Technique.” The “formula,” although not a secret, extends beyond the skill of surgeons and their ability to perform to the Shouldice standard. Shouldice Hospital is a total environment. Study the capacity problems with this special type of hospital in the case at the end of this chapter.

Source: Summarized from www.shouldice.com.

STRATEGIC CAPACITY MANAGEMENT

chapter 3

53

Manufacturing and service capacity investment decisions can be very complex. Consider some of the following difficult questions that need to be addressed: • How long will it take to bring new capacity on stream? How does this match with the time that it takes to develop a new product? •

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