ERIC Number: ED280359
Record Type: RIE
Publication Date: 1986
Issues in Business and Medical Education: Brief Literature Review on Strategic Management of Health Care Institutions.
Smith, Alan D.
The literature on the use of strategic management principles by health care organizations is reviewed. After considering basic concepts of strategic management and managerial problems in nonprofit organizations, strategic planning and management of health care organizations are covered. Attention is directed to the health care environment, characteristics of health administration, and hospital performance measures. To measure success in health care organizations, consideration is given to the following approaches: (1) hypothesis testing to measure hospital performance and the use of strategic principles; (2) evaluating managerial characteristics of the hospital administrator, assuming unique operating conditions; and (3) and evaluating hospital performance, assuming general business conditions (strategic planning). It is noted that strategic management emphasized the achievement of objectives as the major aim of the organization. Unique management propositions for hospital administration include: hospitals exhibit some monopolistic traits; goals of voluntary, nonprofit health institutions are different from industrial and business institutions; and the administrator has wide discretion in price setting. (SW)
Publication Type: Information Analyses
Education Level: N/A
Authoring Institution: N/A