The Strategic Matrix and the Health Care Industry

This research examines the appropriateness of the application of strategic matrix techniques in evaluating diversified business portfolios in the health care services delivery industry. The problem investigated and study purpose are stated in this chapter, together with considerations of the importance of the study and the delimitations of the study.

The relatively rapid process of evolutionary change in the structure of the health care system in the United States is bringing together into integrated health care systems health care services that formerly were provided by independent health care organizations (Zwanziger & Melnick, 1996). The integration into health care systems of health care organizations whose health care service focuses are highly diversified when considered as a group demands that the strategic planning evaluation techniques applied in these organizations by upgraded to enable the managers of such health care systems to evaluated, both effectively and efficiently, the business portfolios of these integrated, diversified organizations (Ford, 1996).

One approach to the evaluation of strategic planning for organizations with diversified business portfolios is the application of matrix techniques (Mintzberg, 1993). The matrix techni

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BCG strategic planning Growth-Share Matrix model "can be used to clearly evaluate growth opportunities and match strengths to those opportunities as well as pin-pointing areas needing improvement or development" (Kopf, Kreuze, & Beam, 1993, p. 97). An illustration of the BCG Growth-Share Matrix model is presented in Chart 1, which may be found on the following page. As the chart indicates, the upper left-hand quadrant includes those SBUs that operate in a market wherein growth is higher than the rate of growth in the general economy and command a high market share (Cuomo & Vignali, 1996). The SBUs in this quadrant of the BCG Growth-Share Matrix offer the best long-term investment potential. By contrast, SBUs in the lower right-hand quadrant offer the poorest long-term investment opportunities. These SBUs operate in a market wherein growth is lower than that in the general economy and command a substandard market share within that low-growth market. Portfolio Analysis: Industry Attractiveness-Business Strength Matrix Model The Industry Attractiveness-Business Strength Matrix model was developed by the General Electric Company as an alternative to the BCG Growth-Share Matrix Model, and originally was called the General Elect
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Some common words found in the essay are:
Growth-Share Matrix, Growth-Vector Matrix, Vector Matrix, Strength Matrix, Purpose Study, Life-Cycle Matrix, CONCLUSION Makridakis, Kreuze Beam, Chapter Introduction, matrix model, Zwanziger Melnick, health care, care services, health care services, care services delivery, services delivery, strategic planning, market share, growth-share matrix, bcg growth-share matrix, matrix models, bcg growth-share, strength matrix, services delivery industry, evaluation strategic planning,
Approximate Word count = 3355
Approximate Pages = 13 (250 words per page)

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