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Managing In A Strategic Business Context-Consultancy Report

Introduction

Mersey Care NHS Trust was established with the aim of streamlining the healthcare system. In the 1980’S healthcare was not well organized, the government used to provide funding to doctors and practitioners directly to cater for provision of healthcare services. But this system was overwhelming as more and more people kept waiting for a chance to gain access to healthcare services. This was the reason why the idea of trusts arose. The first NHS trust was established in the year 1991 and its purpose was to fund healthcare. This is still the main aim up to present day and applies to Mersey Care NHS Trust. (Katherine, 2002)

Environmental factors affecting the industry

This shall be examined using the STEEPLE analysis as shown below

Social factors

When Mersey Trust intends on making severe changes in its provision, structure and any other aspects, it needs to consider the community; these are the main beneficiaries of decisions made by the trust. The NHS Trust under study has to put in mind that the number of patients is increasing and more needs to be done to reduce waiting times and quality of health care provided to these increasing numbers. They need to ensure that patients have been adequately catered for. (Katherine, 2002)

Staff members need to be incorporated in any changes that the Trust intends on undertaking. It should be aware that changes in staff payments or employee conditions are to be kept at minimum in order to reduce friction and possible confrontations that have been seen in the past from similar NHS trusts.

The Trust has to face conflicting roles. It has to fulfil its humanitarian aspect of helping out those who need assistance in terms of health care. In addition, it also has to deal with the fact that it still has to consider market forces during its commissioning activities. This can prove to be a rather daunting task. (Legge, 2004)

Technological factors

The Trust has to include technological advancements in its administration. Technological advancement should also be incorporated in the organisation’s information system so that accountability and good governance are promoted.

Economical factors

Mersey Care has to deal with the increased competition among providers that has arisen after a number of independent health Care service providers have been given the mandate to provide their services to patients. Also, there have been some treatment and diagnostic centres that have been commissioned. This means that the Trust needs to focus highly on commissioning activities. (Black, 2003)

There are a number of partners that are involved in health care provision. These need to be incorporate into the management of the Trust. Policies within the organisation should be such that they promote partnerships that are already in existence or those that will be made in the future.

Political factors

In the year 2005, the NHS Commissioned a patient led trust. This means that Mersey Care has to adjust to this new reform as described in the Department of Health, (2005). Besides this, the trust has to deal with recent government pronouncements that there should be more third sector contributors in statutory services. This implies that policies taken up by Mersey Trust need to be in line with these stipulations i.e. they should be contestable and plurality should be reflected in their policies. (Phegan, 2000)

Legal factors

The trust must also be careful when deciding who will procure health services as their decisions can be challenged in Court. This was emphasized when a Trust Care similar to Mersey was taken to court by a patient following the patient’s dissatisfaction with the bidder chosen; the bidder was United Health Europe Limited.

According to the Health and Social Care Act passed in the year 2001, NHS trusts need to engage in a lot of consultation prior to reorganisation of service provision or before testing new services in the market. If Mersey Care plans on doing this, then

The organisation has to consider legal issues when deciding in a provider who will procure health services. The Trust has to make sure that the group they have in mind is a legal entity and that they have fulfilled all the legal obligations required for any health service provider

Environmental factors

The trust has to get involved in projects that are geared towards restoring a safe environment. Some of the projects that can be undertaken by the Trust include cleaning projects as part of an endeavour to give back to the Community.

How external factors impinge on business strategies and suppliers.

The main factor affecting the strategy of Mersey Trust is political in nature. The government stipulated that there should be more involvement of the public in the NHS. Mersey has to act in compliance with this requirement. The organisation has adopted a strategy that involves more of the public in policy decisions.

The Trust has a forum for addressing complaints through the Complaints procedure. Besides this, patients can be able to contribute their ideas concerning plans to be implemented by the Trust. Sometimes, the Trust asks members of the Public what their opinion is through questionnaires and interviews it was also seen that some parts of the Trust involve users in improvement of services. However, there is sill a lot that can be done in this area. (Murray, 2003)

This strategy is quite an appropriate one because it contributes towards quality improvement. The purpose o the Trust was to cater for patients’ health care and when they are involved in the process then the Trust is able to get first hand information as to what is required to satisfy the end consumer.

Potential contribution to be played by personnel and development function during intensified competition

Personnel can involve themselves in development functions through a variety of ways. The first one being that they can increase their responsiveness. This can be seen during increased patient demands. Employees can increase effectiveness and efficiency during times of intensified competition. (Hill and Jones, 2001)

Staff can also play their part in development through involving themselves in training programmes. Professional education is crucial in this kind of scenario.  It will increase their professional competence and will make them better equipped to deal with increased rivalry.

Lastly, personnel can also play their part in development through involvement in innovative ideas and practices. Innovation is vital in improving how services are delivered. Personnel should always be engaged in the process of service redesign and improvement. This will give the organisation an added advantage compared to other competitors who may be used to conventional means of service delivery.

Marketing policy and methods adopted by the organisation and whether they support the business strategy

The main marketing policy that has been used by the company is through public relations. Public relations entail creating positive relationships with the public through communication pathways. (Dopson, 2003) This covers notifying the public about a company through editorials in the media. It also entails assessing media outlets for statements about services offered by the company or other issues concerning the company. Mersey Care has also promoted goodwill among their target market through programs, events, and charities for the community. Public relations are essential in marketing policy for the Trust because it makes up the company image and builds the product too. The advantage with the use of public relations is that when the media is mentioning the organization, it gives additional information about the Company thus selling their services.

This marketing policy supports the business strategy because it is in line with inclusion of the public in service provision by the NHS. (Hyde, 2004)

Style of organisational relationships adopted and whether it supports the business strategy

The Trust Care has set up an organisational structure which gives promotions based on experience and merit. In addition, good communication structure in the Trust has ensured that staff members easily and freely communicate to each other. Also management structure is quite effective such that the employees know what they are expected to do in the course of their duties and who their supervisors are. (Short ell, 1997)

All the above modes of organisational relationships are an appropriate style because they create an organisational climate that is conducive for patient service care which is the overall objective of the business strategy. (Handy, 1999)

Conclusion

Mersey NHS Trust has been affected by a number of external factors. There are use of technology in their administration, government regulations concerning the health sector, legal considerations when procuring health services and involvement of the public in their administration. The main one is involvement of the public in its running. This has changed the organisation’s business strategy. The organisation uses public relations as a marketing policy to enhance this business strategy it has also created good organisational relationships in line with this. This has been done through fair promotions, strong management structure and good communication. Lastly, employees take part in development through better training and increased responsiveness. (Katherine, 2002)

reference:

Department of Health (2005): NHS improvement plans: putting people at the heart of public services; a report by Department of Health

Hill, C. W and Jones, G. R (2001): Strategic Management. Houghton Mifflin

Black, R. J. (2003): Organizational Culture: Creating the Influence Needed for Strategic Success, London UK,

Legge, K (2004): Human Resource Management: Rhetoric and Realities. Anniversary Ed. Hampshire: Palgrave Macmillan,

Murray, ME & DiCroce, H.R (2003): Leadership and management in nursing, 3rd edition, Prentice Hall, New Jersey.

Phegan, B. (2000): Developing Your Company Culture; a Handbook for Leaders and Managers, Context Press,

Katherine, W. (2002): From County Hospital to NHS Trust: the History and Archives of NHS Hospitals; Harvard Press

Handy, C. (1999): Understanding Organizations fourth edition; Penguin

Short ell, S. (1997): Essentials of healthcare management; Delmar publishers

Hyde, j (2004): Managing and Supporting People in Healthcare; Bailliere Tindall, London International Journal of Healthcare Management

Dopson, S. (2003): Leading Healthcare Organizations; Pal grave Macmillan

Griffin, R (2005): Management, eighth edition; Houghton Mifflin; international Journal of public Sector Management

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