Considering this week's upcoming assignment, examine the impact of a merger on a healthcare organization to the governance, leadership, and the overall organizational structure.
One way to describe a merger is as a mutual decision to join together, or combine, one or more companies. Mergers can lead to enhanced financial performance, better leadership guidance, and improvement in a variety of operating, clinical, and medical areas. Now, consider the term acquisition as the purchasing of a company by another company.
Acquisitions can also dramatically reshape the functionality of a healthcare organization, as an acquisition is different than a merger. Given the current healthcare environment, with mergers and acquisitions (M&As) occurring more frequently, how can healthcare leaders be prepared for such change. M&As can be a great experience and be very beneficial to the health of an organization. However, M&As can also be very challenging and with change requires strong leadership and governance.
Discussion Post: In a minimum of 150 words, briefly discuss the following question, based on this week''s materials and the information provided above:
How can strategic planning assist a healthcare manager in preparing for a merger?
Consider the different functions of healthcare management, then consider an action that a healthcare leader may take in order to prepare for such change.
This is a critical thinking question and is designed to assist the student in thinking about organizational change, with the relationship to changes such as mergers, under the consideration to governance and leadership.