Retrenchment Strategies In The Healthcare Industry

* Downsizing: Reduction of the business portfolio by eliminating products and businesses units that aren’t profitable.

Due to the recession the company is experiencing a decline in profits, however, the business remains profitable. Potentially, the recession could continue and business may decline further. A proactive plan is better than being reactive in regards to addressing the declining profits. Layoffs are the quickest and easiest solution to the issue.

Layoffs are tough for both the employee being laid off and the company for which he/she worked. The situation causes so much uncertainty amongst the remaining employees. The feeling among the employees is; if this happened to them this could happen to me as well. According to Johnson (n.d.), “There is a major disruption in the status quo; relationships are severed, work is redistributed with a probable increase in everyone’s

While it was foreseen that the company would initially take financial setbacks because of the reorganization, it was not believed that the financial risks would be drastic. However, the impending report that Mr. Elesser has to present to the board will detail a net income that will be nearly 26 million dollars in the red for 2004 (see exhibit 2)3. The blunt force restructuring met resistance on numerous fronts. First of all, the various components of the company did not operate under the same uniformed leadership objectives. Each division was set up to look out for their own interests and markets. When the restructuring plan that focused on a more centralized management process, many of the things that worked for one division did not necessarily work for other divisions of the company. This left some divisions at a severe disadvantage. Another obstacle that worked against the restructuring was the employee unions in which the company had to deal. The unions were not on board with the various downsizing and restructuring methods. In addition, the company had to deal with a couple of different unions which posed a problem with negotiating tactics. Benefit costs were also a significant investment that did not hold up well under the auspice of restructuring.

During times of economic downturn, employees can feel susceptible. Employers may need to reduce contracted hours or change staff job roles to save money. This leads to staff feeling exposed and concerned about possible redundancy, which in turn effects how they relate to the organisation.

Relevant changes will need to be effected in the future to return to its strategic position. Price be cut to compare well with the competitors. More budget to be kept aside for sales and marketing purpose. This will facilitate better market study and product promotion.

Families: I establish a positive and productive relationship with families by building trust, giving respect, communication and consistency. I greet each child and family daily. When I inform parents of issues with their children, I do so in a positive manner using the sandwich method. This method gives strengths before stating any issues or concerns and allows the parent and myself to come to a meeting of the minds on the best way to approach correcting problems. This also allows parents to contribute to positive ways of working together to help further the child’s education and development.

For several decades health care has been tied to the economy and with the current downturn we see continued efforts to control and reduce over-head costs. Health care organizations in their effort to become more efficient and address changes in the industry have altered their strategic business plans. Lee & Alexander (1999) researched organizational change in hospitals and their survival, in this paper I hope to discuss their findings and add other examples to validate their conclusions.

"After the Layoffs, What Next?" is a case study involving the aftermath of the downsizing of Delarks, a Midwestern clothing store chain. In this case Harry Denton, the architect of the downsizing, is able to orchestrate a considerable financial turnaround, but in so doing he alienates most of Delarks' remaining employees and most of Delarks' upper-management. Denton is an inexperienced CEO whose management experience rests solely in managing a national chain's flagship store in New York. Though Denton's restructuring of Delarks' business model will cause Wall Street to take notice and toast Denton's efforts, his inexperience may in the end eventuate in Delarks' collapse. Delark's downsizing was done in a rather abrupt way in which most laid-off employees were entirely unaware that they were about to lose their jobs. The problem Denton unknowingly faced was that the employee-pool at Delarks was very tight-knit where members felt as if they belonged to one big satisfied family, and the unexpected lay-offs caused great distress within the company.

Firing people does not guarantee that the company will gain more profit if the reorganization is not implemented

In the cases analyzed, we might infer that during a period of economic difficulties companies had gone through deep discontinuity. As such, this determined the need for a turnaround to realign the companies’ strategies with the external and internal environment. These changes impacted the four companies analyzed previously.

Two terms that were available from the components of fiction address were: setting and struggle (individual versus self). Setting can be portrayed as the place and time a story happens. As Edgar Allen Poe starts the story he initially depicts the setting as "Amid the entire of a dull, dim, and soundless day in the harvest time of the year, when the mists hung onerously low."(Poe, 1829/2013, pg. 702) The portrayal from the setting sets a feeling of bluntness all through this territory the storyteller is drawing closer. This bluntness remained the same all through the story and later changed over into death. Strife inside writing is a battle between two restricting powers. When I read "The Fall of the House of Usher." It keep me connected with

The failure or bankruptcy of financially distressed firms results in significant direct and indirect costs to many stakeholders; including shareholders, managers, employees, lenders and clients. For instance Shareholders lost nearly $11 billion

The job market today is difficult for both employees and employers. It hurts emotionally and financially to lose a job, and it is equally painful to have to terminate someone. Both sides struggle. If you work for an organization that may be facing layoffs, being prepared helps. Below are some tips

|benefits, transition services for those being downsized, and adequate attention to "survivors" - the employees left |