Hospital rightsizing: in line with long-term strategies and economic realities.
After two years of difficult financial times, the Kitchener-Waterloo Hospital was faced with another upcoming year of tight fiscal constraint. In February 1991, the hospital implemented a program review process to align its services with the hospital's long-term strategy and economic realities. The authors present a thorough review of the literature pertaining to downsizing decisions. From a practical perspective they demonstrate a downsizing process, its implications and lessons to be learned so that a "rightsizing" exercise can be implemented to minimize the effects of the program and staff reductions while focusing on the positive long-term benefits of strategic planning. Although downsizing is a difficult process, the Kitchener-Waterloo Hospital was able to develop and implement a plan that minimized the impact on the hospital services and its staff. A reduction in expenses of over $2 million was achieved without having to lay off any permanent hospital staff. This was achieved by streamlining programs, reducing management supervisory positions and eliminating 50 full-time equivalent positions through attrition. Ultimately, the hospital's board, senior management, medical staff and employees felt that a rightsizing decision had been made, one which minimized the negative impact of restructuring on service delivery, hospital employees and the community served.
Collins
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Kitchener-Waterloo Hospital, Ont.
Noble
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D003142:Communication; D003659:Decision Making, Organizational; D004651:Employment / Q000191:economics*; D006271:Health Facility Closure; D006746:Hospital Bed Capacity, 500 and over; D006754:Hospital Restructuring / Q000458:organization & administration*; D006764:Hospitals, Community / Q000191:economics / Q000458:organization & administration*; D007324:Institutional Management Teams; D008330:Management Audit; D009864:Ontario; D010557:Personnel Administration, Hospital; D010934:Planning Techniques; D015397:Program Evaluation; D016526:Workload