Reference no: EM133466115
The Elwood Clinic is a 25-person internal medicine and a primary care group in a rural mid-western community. There are two hospitals in town, St. Swithing's and Memorial Medical Center. Historically, most of the doctors in town have worked at both hospitals. However, Memorial's new administrator, Wayne Smiley, is far more aggressive than his predecessor. He convinces Dr. Elwood, Elwood Clinic's medical director, that both Memorial and the Clinic would be stronger with a closer working relationship. Dr. Elwood has long felt a new location might help keep his group together once he retires. The group's location is old, parking is inadequate, the doctors are crowded with enough examining rooms, and the building has been remodeled several times, which has only added to its inefficiency.
The hospital administrator has offered Dr. Elwood a site for the clinic on his 52-acre campus. From the administrator's standpoint, this is a no-lose opportunity. Not only will Memorial get 100 percent of the business of the largest internal medicine and primary care group in town, it also will get t lease income from previously unused grounds. From Dr. Elwood's' standpoint, the project will not only keep the group together but allow it to grow. They tentatively agree on the plan, and both go back to inform their management.
Dr. Elwood reports to his people that the hospital is so eager to get the clinic on campus that Memorial will virtually guarantee their future viability by building them a new building.
Fred Bright, Elwood's Clinic's administrator, and other members of the management team at the clinic see a lot of merit in the plan but also
some potential pitfalls. Team members realize they have not updated their business plan since a third partner came on board 17 years ago. They have several unanswered questions.
1. What are at least 5 questions the new facility committee at Elwood clinic should address before reaching a final decision?
2. Explain the importance of why these questions are relevant for the strategic development of this project.
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