STRATEGIC MANAGEMENT OF HEALTH
CARE MIDTERM
Mission - answer-Attempts to capture the organization's distinctive purpose or
reason for being.
Vision - answer-Creates a mental image of what leaders want the organization to
achieve when it is accomplishing its purpose or mission.
Values - answer-Are the principles that are held dear by members of the
organization. Are the fundamental principles that organizations and people stand
for
Strategic Goals - answer-Are those overarching end results that the organization
pursues to accomplish its mission and achieve its vision.
Mission Drift - answer-Tempts many health care organizations to go into businesses
and programs that are not in line with their stated mission.
Philanthropic governing boards - answer-Individuals that are service oriented and
concerned primarily with fundraising. Larger and more diverse to gain as much
community representation as possible.
Corporate Governing Boards - answer-Individuals that are more involved in strategic
planning as well as policy making. Smaller and composed of individuals who
possess expertise that will aid the organization in accomplishing its strategic goals.
Membership diversity is important, but less so than the actual skills or expertise
possessed by the members.
Critical Success Factor Analysis - answer-Involves the identification of a limited
number of activities for a service category within a service area for which the
organization must achieve a high level of performance if it is to be successful. There
are five or six areas in which the organization must perform well and that it is
possible to identify them through careful analysis of the environment. May be used
to examine new market opportunities by matching an organization's strengths with
critical success factors.
First-Mover Advantage - answer-By entering into a new market first, organizations
may achieve _____________________. Visionary leaders provide their greatest service
by making the organization flexible and able to enter new markets, disengage from
old ones, and experiment with new ideas.
Pioneering - answer-Organizations that seek first-mover advantages. A reputation
for ______________________ can be generated and market position can be more easily
established when there are no, or only a few, competitors. Sometimes it is
, expensive (monetarily and emotionally) for clients and patients to switch to other
providers once loyalty and mutual trust have been developed.
Liability of newness - answer-Innovators often experience pioneering costs. Pioneers
make mistakes that others learn from and eventually correct. First movers face
greater uncertainty because the demand for the service has not been proven.
Patient and client needs may change and, particularly when large technological
investments are required, the first mover may be left with expensive equipment
and little demand. Therefore, it is important that the demand for visionary
management be tempered with realistic knowledge of the market, consumers, and
other factors that will affect the organization. The rewards often go to the first
mover, but the risks are greater.
Vision-Led Approach - answer-Strategic leaders are the key to establishing a vision
for an organization. A vision-led organization is guided by a philosophy to which
leaders are commit- ted but has not yet become obvious in the daily life of the
organization. The _____________________ hopes for higher levels of performance that
are inspiring although they cannot yet be achieved. A primary role of management
under this approach is to clarify goals and priorities and to ensure that they are
understood and accepted by employees. Individuals become engaged in the
organization when they see a clear line of sight between vision, performance
objectives, and personal contributions to the purpose of the organization.
Competitive Advantage - answer-A basis on which they are willing to compete with
anyone. _____________________ is the means by which the organization seeks to
develop cost advantage or to differentiate itself from other organizations.
Mapping Competitors - answer-• Helps to identify competitors that are most similar
and therefore most dangerous to each other. Competitors in the same strategic
group are competing directly with each other and only indirectly with members of
other strategic groups.
• The best approach to _____________________ is to select two critical factors for
success and evaluate each competitor as to whether it is high or low on these
dimensions.Competitors that are similar on these dimensions will cluster together
(strategic groups) and are thus competing directly against each other. Several
strategic maps may be constructed demonstrating different strategic views of the
service area. In addition, a single dimension may be so important as a critical factor
for success that it may appear on several strategic maps.
Service Area - answer-industry or industry segment.
Service Area Competitor Analysis - answer-Attempts to further define and
understand an organization's environment through identifying specific service area
and service category issues, identifying competitors, determining the strengths and
weaknesses of these rivals, and anticipating their strategic moves. It involves
collecting data concerning the service area and competitors as a part of strategic
thinking and strategic planning.
To determine the service area (geographically), gain an understanding of the
competitors in that service area, identify any vulnerabilities of the competitors,
assess the impact of its own strategic actions against specific competitors, and
CARE MIDTERM
Mission - answer-Attempts to capture the organization's distinctive purpose or
reason for being.
Vision - answer-Creates a mental image of what leaders want the organization to
achieve when it is accomplishing its purpose or mission.
Values - answer-Are the principles that are held dear by members of the
organization. Are the fundamental principles that organizations and people stand
for
Strategic Goals - answer-Are those overarching end results that the organization
pursues to accomplish its mission and achieve its vision.
Mission Drift - answer-Tempts many health care organizations to go into businesses
and programs that are not in line with their stated mission.
Philanthropic governing boards - answer-Individuals that are service oriented and
concerned primarily with fundraising. Larger and more diverse to gain as much
community representation as possible.
Corporate Governing Boards - answer-Individuals that are more involved in strategic
planning as well as policy making. Smaller and composed of individuals who
possess expertise that will aid the organization in accomplishing its strategic goals.
Membership diversity is important, but less so than the actual skills or expertise
possessed by the members.
Critical Success Factor Analysis - answer-Involves the identification of a limited
number of activities for a service category within a service area for which the
organization must achieve a high level of performance if it is to be successful. There
are five or six areas in which the organization must perform well and that it is
possible to identify them through careful analysis of the environment. May be used
to examine new market opportunities by matching an organization's strengths with
critical success factors.
First-Mover Advantage - answer-By entering into a new market first, organizations
may achieve _____________________. Visionary leaders provide their greatest service
by making the organization flexible and able to enter new markets, disengage from
old ones, and experiment with new ideas.
Pioneering - answer-Organizations that seek first-mover advantages. A reputation
for ______________________ can be generated and market position can be more easily
established when there are no, or only a few, competitors. Sometimes it is
, expensive (monetarily and emotionally) for clients and patients to switch to other
providers once loyalty and mutual trust have been developed.
Liability of newness - answer-Innovators often experience pioneering costs. Pioneers
make mistakes that others learn from and eventually correct. First movers face
greater uncertainty because the demand for the service has not been proven.
Patient and client needs may change and, particularly when large technological
investments are required, the first mover may be left with expensive equipment
and little demand. Therefore, it is important that the demand for visionary
management be tempered with realistic knowledge of the market, consumers, and
other factors that will affect the organization. The rewards often go to the first
mover, but the risks are greater.
Vision-Led Approach - answer-Strategic leaders are the key to establishing a vision
for an organization. A vision-led organization is guided by a philosophy to which
leaders are commit- ted but has not yet become obvious in the daily life of the
organization. The _____________________ hopes for higher levels of performance that
are inspiring although they cannot yet be achieved. A primary role of management
under this approach is to clarify goals and priorities and to ensure that they are
understood and accepted by employees. Individuals become engaged in the
organization when they see a clear line of sight between vision, performance
objectives, and personal contributions to the purpose of the organization.
Competitive Advantage - answer-A basis on which they are willing to compete with
anyone. _____________________ is the means by which the organization seeks to
develop cost advantage or to differentiate itself from other organizations.
Mapping Competitors - answer-• Helps to identify competitors that are most similar
and therefore most dangerous to each other. Competitors in the same strategic
group are competing directly with each other and only indirectly with members of
other strategic groups.
• The best approach to _____________________ is to select two critical factors for
success and evaluate each competitor as to whether it is high or low on these
dimensions.Competitors that are similar on these dimensions will cluster together
(strategic groups) and are thus competing directly against each other. Several
strategic maps may be constructed demonstrating different strategic views of the
service area. In addition, a single dimension may be so important as a critical factor
for success that it may appear on several strategic maps.
Service Area - answer-industry or industry segment.
Service Area Competitor Analysis - answer-Attempts to further define and
understand an organization's environment through identifying specific service area
and service category issues, identifying competitors, determining the strengths and
weaknesses of these rivals, and anticipating their strategic moves. It involves
collecting data concerning the service area and competitors as a part of strategic
thinking and strategic planning.
To determine the service area (geographically), gain an understanding of the
competitors in that service area, identify any vulnerabilities of the competitors,
assess the impact of its own strategic actions against specific competitors, and
