shouldice case study

807 Words4 Pages
From: Ofumwen Ogbebor To: John Van Vliet Date: 5 July 2009 Subject: Shouldice Hospital case Study How successful is the Shouldice Hospital? Since its establishment in 1945, Shouldice has become one of the most successful hospitals that specialize in Hernia removal. Shouldice currently boosts of 140,000 highly satisfied patients with a recurrence rate of 0.80% compared to the 10% in a traditional hospital. Shouldice also offers superior method of hernia which has resulted in a 1,200 backlog of scheduled operations; a clear indication that demand greatly exceeds supply. How do you account for its performance? • Market focus: Shouldice focuses on a narrow segment of potential patients. They are predominantly male, slightly older and essentially in good health. Hernia operation has large market potential with 600,000 operations performed in the U.S in 1979. • Internal Focus: Shouldice surgeons are dedicated to maintaining the Shouldice method of hernia removal. The environment and structure makes doctors less suitable to boredom and is very family oriented. There are also experienced nurses willing to assist patients. Finally, the entire staff is flexible and team oriented. • Operating Concept: Shouldice is able excel as a low price and high profit hospital because it has been designed to maximize the difference between the perceived quality and value of service as well the cost of providing service. • Facility design: The acreage of Shouldice encourages patients to exercise and aids rapid recovery. The carpeted floors give a homey feel; as well as the specially designed stairs which assist patients’ rehabilitation. • Service delivery system: Shouldice hospital allows maximum participation from prospective patients. They operate an efficient and low cost organization that focuses on quality. It also avoids the typical hospital atmosphere. Shouldice
Open Document