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St. John’s Hospital Case Analysis

OUTLINE:

* Situation

* Complication

* Mission and vision

* Analysis:

1. 5 force analysis

2. SWOT analysis

3. Financial analysis

4. leadership analysis.

* Options: Pros and cons

* Recommendations – Action plan

Situations: (从更宏观的角度去分析整个问题，而不是单单只看到竞争)

St. John’s hospital was currently in a changing market position, which was driven by the financial trend, intensified healthcare competition and soaring demand for unmet services. To tackle with the situation, Sister Marcrina was seeking for a long-range strategic plan to develop sustainably and her decision would influence the future of St. John’s hospital.

Complications:

The 57.67 occupancy rate, which was 20% lower than the desired occupancy rate illustrated that an overbedding situation in Helena. Additionally, the overlapped services provided by St. peter’s hospital extremely intensified the competition. To tackle with the situation, St. John’s closed its two department to avoid direct competition. However, to save itself among the fierce competition, St. John’s could refocus its service to seeking for sustainable development. What service to refocus and how to refocus become a significant decision.

St. John’s experienced loss during the past three years and, with merely $61227 cash in hand at the end of 1972, it could hardly implement any plan. Externally, the 90-day wage-price freeze, Phase II and a huge annually note payable to The Mother House impeded raising revenues for renovations. Internally, properties, which could be sold to raise fund, need to be considered for future expansion. Furthermore, the autonomy of physicians and the diminishing revenues affected the financial condition negatively.

Analysis:

5+2 Forces analysis:

Competitor—St. Peter’s Hospital, Shodair Children’s Hospital and Veteran Hospital

St. Johns and St. Peters relatively had same size for both having approximately 110 beds, and...