Value chain analysis is a useful tool to understand the inner structure of a company and assess its current priorities. It applies strategic thinking to basic firm activities and is paramount for planning and research. The Children’s National Medical Center is among the top medical facilities for kids. It provides a variety of services, and the application of the strategic analysis tool could help reveal its potential to reduce costs and maintain quality to become even more effective.
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The Children’s National Medical Center
According to Porter (2014), the key value in the healthcare industry is keeping the patient’s health a priority while maintaining a low cost of quality service production. The Children’s National Medical Center offers services in a variety of spheres ranging from primary pediatrics to research in the sphere of children’s care. It is a non-profit organization, and therefore, it needs to maintain a high level of fund efficiency in order to remain efficient. One of the ways to achieve this goal is to implement new technologies. The Children’s National Medical Center has a special Research and Education Center that continues to contribute to discovering and implementing new practices of handling information and patients (“Office of innovation and technology commercialization,” n.d.). As such, the Center uses electronic document flow to store and access medical records of its patients. In addition, it holds a boost surgery unit in Sheikh Zayed Institute for Pediatric Surgical Innovation.
The Children’s National Medical Center offers a variety of care plans ranging in cost, length, and the availability of cost reimbursement. The center provides a guide that helps parents to choose an appropriate payment scheme, insurance, and other details. It also offers informational assistance to its clients online and via telephone consultations.
The Value Chain of The Children’s National Medical Center
Value chain analysis is crucial in healthcare organizations since it helps to evaluate strengths and weaknesses of its work (Miller & Mork, 2013). Such an analysis identifies the competitive advantage and shows which of Center’s activities are most valuable and which ones should be improved or replaced. The value chain analysis for the Children’s National Medical Center includes several phases: inbound logistics, operations, outbound logistics, marketing and sales, and services.
This element of the value chain is developed rather well in the Center. Services are given timely, and customers’ requests are processed promptly. The schedule of the organization’s work is well-developed, and the Center adheres to it.
The Center offers services of high quality. The management of the Center does its best to make customers’ visits comfortable and friendly by giving the necessary information and offering advice on what program to choose.
This phase of value chain is also quite well-organized in the Children’s National Medical Center. Orders on services are processed on time, and the inventory management is at a high level. Probably the only weakness in this aspect is the absence of an emergency plan.
Marketing and Sales
The Center has a good understanding of its services as well as of customers’ needs. Account management is at a high level, which allows offering reasonable prices.
This phase is probably the best-developed one in the Center. Much attention is paid to customers and their needs.
The value chain analysis of the Children’s National Medical Center reveals that the organization operates at a generally high level. The biggest weakness identified is the absence of an emergency plan in the phase of outbound logistics. The company should improve this aspect in order to provide its customers with the whole range of helpful services.
Miller, G. H., & Mork, P. (2013). From data to decisions: A value chain for big data. IT Professional, 15(1), 57-59.
Office of innovation and technology commercialization (n.d.). Web.
Porter, M. E., & Heppelmann, J. E. (2014). How smart, connected products are transforming competition. Harvard Business Review, 92(11), 64-88.