Short Case E
Sparks Medical Center and the Board of Trustees
Anthony R. Kovner
Sam Phillips, chairman of Sparks Medical Center's board of trustees, wondered why hospital board meetings were so different from those at his spice company, Phillips' Flavors, Inc. The hospital board discussed the reports of various committees, reviewed accreditation and licensing reports, and listened to reports and recommendations about state regulations and reimbursement.
At Phillips' Flavors, Inc., the board discussed the future of business, what the competition was doing, and strategies to increase market share and profit margins.
Clara Burns, CEO of Sparks Medical Center, made the following recommendations to Sam Phillips regarding more effective board meetings:
1. Board discussion should focus on the organization's mission.
2. Objectives and strategies should be established.
3. A work plan to plan and measure board performance should be developed.
Sam realized that the problem with addressing these issues was the board structure and organization and the amount of time taken up at meetings by routine committee and management reports. This resulted in a full agenda and little time to deal with issues critical to the future of the Medical Center.
Case Questions
1. What do you recommend that Sam do now?
2. Identify constraints and opportunities that Sam faces in implementing your recommendations.