Healthcare Memo

Topics: Organization, Informal organization, Organizational studies and human resource management Pages: 4 (827 words) Published: June 24, 2013
ABC Homecare Memo

Memorandum
To:MR. CEO
From:Alisha N. Craig
Date:6/24/2013
Re:ABC Homecare Agency

Confidential
WELCOME TO ABC HOMECARE! WE ARE DELIGHTED TO HAVE YOU ON BOARD AND LOOK FORWARD TO YOUR INPUT IN THE UPKEEP OF THIS COMPANY. AS YOU KNOW, WE ARE LOCATED ON THE EAST WING OF ONE OF THE BEST HOSPITALS IN THE WASHINGTON, D.C. METROPOLITAN AREA. WHILE OUR LOCATION IS PERFECT FOR REFERRALS AND GENERAL BUSINESS, WE HAVE SOME INTERNAL ISSUES THAT NEED ADDRESSING. RESEARCH SHOWS THAT ABC HOMECARE HAS USED A CENTRALIZED ORGANIZATIONAL STRUCTURE FOR MANY YEARS, WHICH HAS DECREASED PARTICIPATION IN FORMAL GROUPS AND INCREASED ATTENDANCE DRASTICALLY INFORMALLY. EMPLOYEES ARE UNHAPPY AND BELIEVE THAT THEY ARE NOT VALUED HERE. BELOW ARE SOME OF THE FINDINGS OF OUR 6 MONTH RESEARCH AT ABC HOMECARE.

Centralized Organizational Structure

ABC Homecare is a growing company consisting of four different departments. Each department has a director who makes all of the daily decisions from patient enrollment to employee breaks. This type of structure worked well when the company was established in 1989 since it only consisted of 30 employees total. ABC Homecare has grown to over 150 employees and needs change. The centralized structure has been successful for the Directors of the company, however, often leaves employees and managers unhappy. This structure is popular for producing “sluggish” business operations since ultimately only one person is making the final decision (Vitez, 2013). Currently we have 7 employee complaints on file for issues regarding our structure.

Formal versus Informal Organization

Reports have indicated that attendance in our formal organization groups have decline drastically over the past six months. Many employees have joined the smaller, informal groups to voice concerns and suggestions. Although we are happy that employee voices are...

References: Liebler, J. G. & McConnell, C. R. (2008). Management principles for health professionals (5th ed.). Sudbury, MA: Jones and Bartlett.
Vitez, O. (2013, Month Day). Centralized Vs. Decentralized Organizational Structure. Houston Chronicle. Retrieved from http://smallbusiness.chron.com/centralized-vs-decentralized-organizational-structure-2785.html
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