Jaipuria Institute of Management, Noida

SITUATION ANALYSIS OF CITY HOSPITAL

SUBMITTED TO: PROF. ASHOK ADVANI

SUBMITTED BY: SHREYA (Group 4) PGFB1144 21-02-2012

Shreya PGFB1144

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Jaipuria Institute of Management, Noida

BACKGROUND
The case is about City Hospital who was going in losses and decided to close the fifth floor at the hospital in order to reduce the expenditure. On the fifth floor there were 40 employees and only the observation patients were served on that floor. But according to the policy of hospital employees cannot be layoff but they have to be reassigned in order to do this hospital stopped recruiting new employees but the fifth floor employees was known for their uncooperative behavior therefore no other department was ready to accept them. For making any decision there was a series of meetings held in which the Lily Joe the nurse manager was included in order to show that all the decision is been taken taking all the employees are included in their decision. In the meeting it was said to maintain the secret about the fact discussed but soon the rumor spread about the news that management is thinking about closing one of the floor and the main target is fifth floor. Soon there was chaos among the members. There was confusion about what amount of employees to be sacked and what amount of employees to be reassigned so the decision was to be made on Wednesday and to be announced to media on that evening but as the amount of employees to be sacked was not confirm CMO and CAO of hospital and asked for the actual amount when they were not able to get the exact amount they said stop passing the buck to seniors and refused to sign the termination letter of employees. The rumor spread like fire in the hospital about closing of fifth floor all the employees of this floor start protesting and they came to hospital wearing black clothes, black arm bands and covering curtains by black color cloth. After lots of wait when management didnt announced anything, one nurse began to cry and there were lots of hugging and sobbing among the employees which converted into chaos and which forced personnel director to come and announce all the employees to go back to their homes and shifted patient to other floors. And on Friday it was announced that Fifth floor is closed.

Shreya PGFB1144

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Jaipuria Institute of Management, Noida

ISSUES IN CASE

The main issues in the case are:     Lack of interpersonal communication Passing of buck Spreading of rumor Delay of work

Lack of interpersonal communication: There was lack of interpersonal communication as the information was not properly communicated to employees. As there was lack of communication between the fifth floor employees and other floors thats why they were unable to be reassigned to other jobs as other departments was not accepting them. Passing of buck: As the work was passed from one senior employee to another no one was ready to accept the guilt or face the consequences of firing the employees. Spreading of rumor: As the rumor was spread in a very rapid speed and everything was uncertain about the fact what is going to happen in future which leads to spreading of rumor without knowing the exact fact. Delay of work: As there was lack of communication this leads to delay of work and action. Closing of fifth floor was to be announced on Wednesday but it cannot be done because of unaware of the fact that how many employee have to be sacked and how many to be reassigned.

Shreya PGFB1144

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Jaipuria Institute of Management, Noida

ANALYSIS OF SITUATION
The main situation which created chaos and anger in the employees was improper communication in the hospital; nothing was cleared and explained to workers which made them curious and created a chaos in the hospital. As there were no proper management and each person was shifting his work to others in order not to take blame on individual and it also created in delay of work or rather delay in action. As there was lack of cooperation no one was ready to accept the fifth floor employees as all of them thought they are very uncooperative and rude to others. As the main problem were whom to be laid off and whom to be kept in hospital. If there were proper flow of information the chaos which was created can be avoided but because of improper flow of communication the small problem was converted into a big chaos. Some remedies which can be taken are:  Ensuring proper flow of information  Controlling the spreading of rumor  Maintaining a proper management and can reduce passing of buck to others. And the most important was there was no proper communication among the employees.

Shreya PGFB1144

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