Smith county is a suburban area near a major mid-western


Problems at the Hospital

Smith County is a suburban area near a major mid-western city. The county has experienced such a tremendous rate of growth during the past decade that local governments have had difficulty providing adequate service to the citizens.

Smith County Hospital has a reputation for being a first-class facility, but it is inadequate to meet local needs. During certain periods of the year, the occupancy rates exceed the licensed capacity. There is no doubt in anyone's mind that the hospital must be expanded immediately.

At a recent meeting of the Hospital Authority, the hospital administrator, Kaye Austin, presented the group with a proposal to accept the architectural plans of the firm of Watkins and Gibson. This plan calls for a 100-bed addition adjacent to the existing structure. Kaye announced that after reviewing several alternative plans, she believed the Watkins and Gibson plan would provide the most benefit for the expenditure.

At this point, Randolph (Randy) Lewis, the board chairperson, began questioning the plan. Randy made it clear he would not go along with the Watkins and Gibson plan. He stated that the board should look for other firms to serve as the architects for the project.

The ensuing argument became somewhat heated, and a 10-minute recess was called to allow those attending to get coffee as well as allow tempers to calm down. Kaye was talking to John Rhodes, another member of the Hospital Authority board, in the hall and said, "Randy seems to fight me on every project."

Randy, who was talking to other members of the board, was saying, "I know that the Watkins and Gibson plan is good, but I just can't stand for Kaye to act like it's her plan. I wish she would leave so we could get a good administrator from the community whom we can identify with."

Questions

1. Is Randy's reaction uncommon? Explain.

2. What type of conflict exists between Kaye and Randy? What might have caused it?

3. What methods would you use to reduce or resolve the conflict?

4. Could Kaye have done anything in advance of the meeting to maximize her chances of success? Explain. 

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Operation Management: Smith county is a suburban area near a major mid-western
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