Principles of Healthcare Management

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1 Principles of Healthcare Management Yodi Mahendradhata Center for Health Policy & Management, FM GMU

2 Excellent healthcare organization? 1. Name an excellent healthcare organization 2. Why do you think that organization is excellent

3 Excellence in healthcare organization* Patient care is safe, effective, patient-centred, timely, efficient and equitable The community s health and healthcare needs are met Caregivers and other associates are attracted and they are given support to do their best Expenditures are controlled so that the total cost is within the community s economic reach *White & Griffith (2010)

4 Excellent healthcare organizations are well-managed organizations

5 What do we mean by management?

6 Management? Getting work done through people American Management Association Getting the right things done Peter Drucker

7 Management school of thoughts Scientific management Behavioral Social Systems management Contingency management Decisional management Quantitative measurement Management process

8 Management process Planning Organizing What needs to be done, when and how Who does what, under what conditions Actuating How employee are led, motivated Controlling How the plan is being followed up

9 Leadership roles (Shortell & Kaluzny 2000) Innovator Broker Producer Director Coordinator Monitor Facilitator Mentor

10 Organization frames and management challenges (Bolman & Deal 2008) Frames Machine Family Jungle Temple Challenges Align structure to task, technology, environment Align organizational and human needs Develop agenda and power base Create faith, beauty and meaning

11 Management competencies* Informational Actional Interpersonal Personal *Mintzberg (2011)

12 Components of healthcare organizations* Caregiving teams Clinical support teams Operational support teams Strategic support teams *White & Griffith (2010)

13 Caregiving teams* Caregiving teams Clinical support teams Primary care Secondary care Tertiary care Operational support teams Strategic support teams *White & Griffith (2010)

14 Clinical support teams* Caregiving teams Clinical support teams Clinical laboratory Pharmacy Imaging Social service Operational support teams Strategic support teams *White & Griffith (2010)

15 Operational support teams* Caregiving teams Clinical support teams Operational support teams Personnel Information Facilities Accounting Supply management Strategic support teams *White & Griffith (2010)

16 Strategic support teams* Caregiving teams Clinical support teams Operational support teams Governance Strategic positioning Finance Stakeholder relation Internal consulting Marketing Strategic support teams *White & Griffith (2010)

17 Healthcare management is unique Customers are sick Customers live in service sites A need service Inherently personal Customized Risk of harm

18 Management Medicine Position not profession Profession not position Apply science, but not a science by itself Science Effectiveness = art + craft + science Effectiveness = science + craft + art Ref: Mintzberg (2011)

19 What challenges do healthcare managers face?

20 Personnel challenges Commitment Turnover Apathy Conflict among professions

21 Technical performance challenges Productivity Efficiency Quality Consumer satisfaction

22 Changing environment Technological and social change Environmental complexity and uncertainty Competitive forces Multiple performance demands

23 Survival and growth challenges Long-run survival Long-run performance and growth

24 Challenges faced by healthcare organization managers (Shortell & Kaluzny 2000) Personnel Technical perfomance Changing environment Survival & growth

25 What competencies must healthcare managers posses?

26 How to lead effectively? Motivating people Leadership Conflict management and negotiation

27 How to best operate the technical system? Managing groups and teams Work design Coordination and communication Powers and politics

28 How to renew the organization Organization design Managing strategic alliance Organization innovation and change Organizational performance

29 How to chart the future Strategy making Creating and managing the future

30 From organization challenges to management competencies (Shortell & Kaluzny 2000) Challenges Competencies Environment How to renew the organization Survival and growth How to chart the future Technical performance How to operate the technical system Personnel How to motivate and lead people and groups

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