## Organization Development and change ###?

***Organization Development & Change***

Application 4.1

a.) what do you think is the most important issue in the case? why? b.) do you agree with the consultant's approach? Why or why not?

"case study" pg.1

pg.2

ENTERING ALEGENT HEALTH A application 4.1 legent Health (AH) is a five-hospital sys- The form of research is typically action tem that serves the greater Omaha, research, meaning the data will be valuable Nebraska, and western Iowa region. for Alegent in not only assessing the impact Alegent was formed when two religious- and effectiveness of the DA intervention but sponsored health care systems merged to learning how to position this capably for leverage health care industry changes and to improved Alegent organizational offer live- bargain more powerfully with physicians and ness. This can be quite valuable assent insurance providers. The system had its own moves into the next round of change and managed care insurance program, was imple transformation menting a consumer-directed health care pro- Thanks all gram for its employees, and had about 100 The researchers spent the next few days employed physicians in addition to the physi- talking to the two consultants about AH its cians with privileges at its hospitals. Two well-known OD consultants had been history. strategy. Structure, and culture as working with AH for about two years, doing a well as the motivation for the large-group, deci sion accelerator process. They also collected variety of OD work. By far, the largest project data on AH through the Internet. Alegent was was the design and delivery of large group interventions known as decision accelerators indeed a unique organization. It was highly DAS) to create strategies for the major clinical successful from a financial point of view, had Service areas, such as orthopedics, cardiology a new CEO who had been brought in from and women's and children's services (Note: Florida, and had a strong faith-based mission. In the first phone call with the CIO, the Large group interventions are multistakeholder meetings of over 50 people see Chapter 11 researchers introduced themselves, described for more information the mission of the research center, and their At an organization design conference in interest in doing a case study of change at April, one of the consultants was talking with Alegent. The CIO talked about the history of researchers from the Center for Effective Orga- change at AH and asked questions about the nizations at USC. The conversation turned to a value the project would have for them. He saw discussion of the work at AH and the possibil- several benefits, including the opportunity to ity of evaluating the change effort. The generate a history of the change, to learn researchers were excited about the organiza- about the impacts of the change process on tion development and large group intervention the organization's culture and members, and work in the health care context. The consultant to build a database that could be used to agreed to pitch the idea to AH's Chief Innova- advance AH's objective of "changing the face tion Officer (CIO). of health care & The call ended with the agree- Following some additional background ment that the CIO would talk with others in the conversations with the researchers and the organization, including the CEO, and that the CIO, the consultant sent the following email in researchers should begin to put together a June: project purpose, cost estimate, and schedule. In the second call the researchers presented Dear CIO their understanding of the project as a case study I would like to introduce you to the Center assessment of how innovation was created and for Effective Organization researchers. As implemented at Alegent. They described a way we discussed, the researchers are very of working with organizations--the establish- interested in the work being done at AH ment of a "study team" composed of several and will be calling you early next week to key stakeholders in the organization. The study discuss the possibility of doing a research team would meet, before the project officially project on the Decision Accelerator effort. began to review the objectives of the study CHAPTER 4 ENTERING AND CONTRACTING BI and ensure that the work was relevant to the organi- zation. There was some conversation about who might be on that team, including the CEO, CFO, the hospital presidents, and the VPs of the clinical service areas. Subsequent email exchanges among the con- sultants, the CIO, and the researchers led to a verbal agreement that the project should begin in October. The CIO believed there was much to gain from the project, and asked the Director of the Right Track office (this was the internal name AH had given to the decision accelerator) to lead the contracting process and to help the researchers schedule meetings and interviews