Please read the case study and respond to two questions at the end of the case.

Doctor's Hospital Organization

Doctors Hospital was facing serious financial hardship as healthcare costs continued to spiral out of control and reimbursements plummeted. The new chief executive officer $($CEO$)$ was hired to turn things around in an effort to save the hospital. The CEO was determined to change the organizational culture, which she identified as apathetic and accustomed to mediocrity. She noted that the hospital's financial performance was suffering, and attributed much of that to a variety of process issues and the lack of focus on the core business of patient care.

The CEO of mediately took action to look at the financial issues and cut costs. A drastic cost and labor reduction strategy was implemented with an aggressive time going to turn the financial bottom line around. Within a few months, the hospital started to show less of a financial loss, and things seemed to stabilize financially. However, the morale of the staff was taking a significant hit. Staff turnover increased since job security had decreased and the impact on patients began to be seen in an increase in patient complaints and lowered patient satisfaction scores. An employee training program was introduced for customer care, but it seemed to have no impact on the results. Finally, the CEO hired a consultant who performed an assessment. A multi$-$level program that incorporated all levels in all aspects of the hospital was recommended and implemented. This assisted senior management in understanding the linkages between finances, employee morale, and patient satisfaction. After two years a mindset of accountability started to emerge and the beginning of a cultural shift to one of service evolved. Finally. all three organizational metrics started moving in the right the same direction.

$1,$ Why was the employee training program ineffective?

$2.$ Why do you think the culture change was necessary?