Making the Tough Decisions
The economic environment has certainly impacted healthcare, including government cuts, increases in the uninsured population, and job loss. However, in recent news at Grady Memorial Hospital in Atlanta, the economy had nothing to do with their 140 layoffs. Instead, they were due to culture.
Michael Young, the sixth CEO at Grady within the last three years, was hired to turn around an organization that has been heavily criticized for its culture, which was characterized as tolerating inefficiency and hampering patient care. With Young’s record of outstanding leadership, change at Grady is within reach. As the saying goes, “the achievements of an organization are the results of the combined effort of each individual.” As such, every employee at Grady must be onboard and have the same goal in mind of changing perceptions, which will then change reality.
As leaders, do we ask ourselves if we have the right people in the right positions to drive innovation and create a culture of excellence? Are you ready to make the tough decisions?
I’m interested in your thoughts about how culture affects an organization, for the better or worse. Please share any specific examples you have.
Comments
Paul, I feel that the Culture of a business or organization is very important. The Culture of a company identifies the type of business it is in and the image that it upholds. It also provides its customers with a sense of confidence as the company continues to change to provide excellent customer service or not. Employees that identify with the Culture of a company have a better perspective of where the company is going and the strategies it takes to get there. I also feel that the Culture of a company determines the commitment and extent of employee participation in all facets of the business. Eddie Childs
Hi Paul...it's no secret the current economy has hit hospitals hard. Am particularly proud to share how today's best presidents...lead by example. To balance the FY 10 budget (which is slim at best) Mercy's president Tom Mullen asked senior management to lead by example and take mandatory furloughs so that monies would be available to provide merit increases in the 0-2% level for those in non-management. Senior VP's and above to President are taking 2 weeks unpaid furlough...VPs a 1 week furlough...and all director level managers are under a wage freeze. Yeah, it's tough medicine for all of us, but a particular point of pride that Mercy management did this so that those who may be struggling most would get a modest raise in this economy. If you'd like to talk with Tom about it further...contact me. Take care, Gary Michael, Mercy Baltimore
It has been my experience many companies knowingly tolerate sub-standard performance at multiple levels of an organization which becomes water cooler talk with staff. When this happens high performers feel slighted and have a tendenacy to perform "down" to others level or worse leave the organization. It becomes a dangerous cycle and one that can sink a small company. I have experienced an organization that held others accountable and when they found an employee that was not a fit for a position they tried to find another suitable job, but if they could not, they were honest with the individual and parted ways. Speaking from experience, some employees are "thankful" when you are honest with them about their performance and employment separation. They appreciate being "released" from an environment they were not working well within. When leaders accept sub-standard performance, they can expect the rest of the organization to do the same. Here's to accountability!!
Paul, Michael Young's mission at Grady is to change perceptions in order to change reality. How do we get our employees to understand that the customer's perception IS their reality. So often, when faced with customers' negative comments about their perceptions of our service, the employee becomes extremely defensive and rejects the perception as invalid. They seem to believe that an invalid perception negates the employees responsibility to address the causes of that negative perception.