A Large Hospital Complex
Program Helps Hospital Improve Morale and Create a Sense of Shared Optimism After Major Downsizing
Situation
This large healthcare provider with 3500 employees had just completed a major downsizing. Reduced demand from the market place and lower compensation for services caused it to look for further ways to reduce costs and generate revenue. As it commenced its re-engineering process, it set three goals;
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Educate the employees about the costs of doing business
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Reward creativity and innovation
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Improve morale and create a sense of shared optimism
Solution
Maritz recommended implementing a team-based suggestion system where employees could provide ideas for saving money and creating revenue - based on the work process they knew well. Program management teams of six members were formed around viable ideas and given responsibility for operating the programs. Team members and support personnel were rewarded in proportion to the value of their contributions.
Maritz provided program design and communications, training, awards fulfillment, a computerized tracking system, project management and top-performer travel.
Results
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$6.3 million approved savings which was 5 percent of hospital’s non-labor expenses.
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Two hundred sixty-nine (269) voluntary self-formed teams participated.
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Three hundred sixty-four (364) ideas approved.
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Morale and loyalty to the hospital were heightened.
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Interdepartmental collaboration increased.