shouldice Essays

799 Words Sep 16th, 2014 4 Pages
1. Model Shouldice Hospital as a processing operation with products, attributes, and resources.
A. Process Structure:
a. Input: Approved patient entering the clinic the day before operation
b. Output: Successful patient leaving the facility
c. Flow Unit: The patient going through the surgery process
d. Network of activities and buffers (not sure?): The whole process with its wait times. Waiting room (20min wait time), examination (15-20min), waiting room for accounting office (5-15min), accounting office (10min), nurse station for blood check (5-10min), surgery (45min), recovery (3days)
B. Product:
a. This hospital can be characterized as a service sector as the tangible product is its patient coupled with its intangible product
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b. Flow: The total expected time the patient enters and leaves the hospital is 4 days but patients sometimes request to stay longer since it feels like a vacation.
c. Flexibility: Shouldice knows when patients are expected to come and go given its strict process. In addition, they have flexibility to let someone go earlier than expected if patient is feeling fine
d. Quality: The quality is deemed high given its recurrence rate of 0.8% vs. United States recurrence rate of 10%.
E. Resources:
a. Land: The hospital is built on a 130 acre estate. They currently have capacity of 89 beds.
b. Labor: The hospital has 12 full-time surgeons, 7 part-time assistant surgeons, 1 anesthetist, 22 full-time nurses and 18 part-time nurses,
c. Knowledge: The Shouldice technique has been try to been copied but the results show the technique cannot be copied.

2. What are its competitive priorities?
A. Cost: The Shouldice hospital cost for a patient is ~$1,029 ($444 stay fee, $450 surgery fee, $60 assistant surgeon fee, $75 optional general anesthetic fee) vs. $2,000 - $4,000 at other Hospitals.
B. Atmosphere: Once the surgery is done, the patient can move out and about with very little limitation. In fact, post surgery, the doctor recommends the patient walk to the operating room with the surgeon. As a result, for the next 3 days, the patients are interacting with stuff and other patients and

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