RELIANCE BOARD Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

RELIANCE BOARD Case Solution

I’m writing this to evaluate the current performance of the reliance board, and to discuss the important issues which the hospital needs to address. Further, I will discuss an action plan to solve the related issues.

Reliance Board was doing well in its capacity, but I felt that in order to face the competition in the market; it is important to strengthen the board’s governance system. There were180 co-operators and 28 board members when I joined the Reliance. Currently, there were several board members but they were not adding anything special in the hospital.

For me, the current composition of the board members is not appropriate, because every member is willing to hold a position on the board but they are not ready to improve their skill sets to add value to the board. As board members, it is their responsibility to take part in the strategic planning of the company. Board members are more interested in the operational details of the hospital as compared to its strategic planning.

The main issues which I think needs to be addressed first, are issues in the board members and the criteria for the membership nomination. The board members are not being selected based on their skill sets and age. In addition to that, it is important to fix the relationship between the board members and various departments of the hospital, i.e. physicians, relation with CEO and relation with the Board members. The overall board size was 28 members and the goal-setting was 60%, but the documentation and action on the plan was only 40%. There was no active participation of the members in the nominations and election process. There isa rivalry between the board member and average nationals, and the hospital has more trust on the CEO.

The relationship between the CEO and Board is complicated, it is the CEO who takes all the decisions. The documentation is provided by the CEO about what to include and what to exclude. There is a conflict of interest in the hospital, i.e. physicians’ responsibilities and governance institutes. The physicians are running their separate services, which is reducing the hospital’s revenues. Competition in the industry is increasing and the hospital is losing its competitive position because of the board’s weak positions and governance issues existing within the hospital. The values and numbers of hospital faced fluctuations throughout the year. These all issues are affecting the hospital's competitive position. It is also disturbing the business’s operations and the hospital’s financial condition.

These issues lead the hospital to have less documentation on their action plans. The board meetings are waste of time, because they do not generate any particular results. The quality of care in the hospital is decreasing. The decisions are being made based on the personal interest of the members and the competitors are taking advantage of these issues. The hospital is failing to meet the national avgas participation(Kane, 2009).

After looking at all these issues and the conditions of the hospital; I think the hospital should make its decision process limited and centralized. The CEO, board members, policymakers and data analysts should be involved in the decision-making process.

There should be written and implemented policies for all employees belonging to every level and the board members. Board’s size must be equal to the requirement of the goal. The board members should be held responsible for the goal’s discussion and documentation. The job responsibilities and goals should be distributed and well explained to every employee. There should be a well-defined thin line between the CEO’s role and the board’s role.

CEO must be given the power of decision making and focus on research and inpatient volume should be increased. He should discourage to serve the personal interest of any department, especially the physicians.

The board members should be given the training to enhance their skill sets and to increase their focus on the hospital's goals and vision. They should be trained to utilize their power for the betterment of the hospital. The hospital should focus on making and developing good and strong relationships a mongco workers and it should develop trust among them and keep them ready for any change. Train the employees to increase their stress handling ability and to handle pressure efficiently. The employees should get training on how to accept the ideas of other employees and how to value other employees at work. I have chosen this action plan because it is important to solve the internal issues first, in order to solve the external issues of the hospital.

It is a general rule that if an organization lacks unity then it will face challenges and will eventually lose their competitiveness, so the hospital should address these basic issues and increase the governance of the board to increase the hospital’s performance and its competitiveness in the industry...............

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