Every business, including those in healthcare industry, has goals and objectives. The main objective is to become sustainable by having stable revenue through fulfilling the needs of customer. However, business has limited resource; as a result, it should manage its resource effectively and efficiently to meet its main objective. The management department within the company should manage and handle the data of revenue and cost efficiently that will be useful in the decision-making process. Generally, there are three decision-making within the business, strategic decision-making, tactical decision-making and operational decision-making. All of these types of decision-making are useful for organization depending on their time range, and if any one of them is weakened, it has a negative impact on the other types of decision as well.
Tactical decision-making, the short-term decision-making, has the responsibility to make sure that the current operation is in control and to ensure that operation are designed efficiently to optimize the performance of the business. In the case of healthcare laboratory, tactical decision-making will ensure that the business remain profitable and to make sure that the business still able to compete with the other competitor in providing the best quality service to the customer since quality is the core component in this industry. In the tactical-decision making process, it is also important to consider the relevant cost and the benefit received from each alternatives; thus, the cost management and operational budgeting which are analyzed in the previous integrated case will affect the tactical decision making process since both of them are the core component in making consideration for each alternatives. This report will focus on analyzing the tactical decision-making process in Sonic Healthcare, one of the largest medical laboratories in the world.
1.2 Problem Identification
1. What are short-term imminent problems present in Sonic Healthcare? 2. What are the feasible alternatives possible to solve those problems? 3. What are the qualitative and quantitative considerations in choosing the alternatives to solve each of those problems?
The objective of making this report is to enable the author to analyze the tactical decision-making process in Sonic Healthcare by identifying imminent problem present then choosing the feasible alternatives possible, taking into considerations of both the quantitative and qualitative factor to solve the problem effectively.
1.4 Company Profile
Sonic Healthcare is one of the largest medical diagnostics corporations in the world that provides laboratory and radiology services to medical practitioners, hospitals, community health services, and their collective patient. Sonic Healthcare revenue stream mainly contributed by its laboratory medicine/pathology and radiology services. The other revenue stream came from its complementary services such as medical centers/primary care, occupational and general medicine, clinical trials, also food and water testing. These are the details of each service provided by Sonic Healthcare: 1. Laboratory medicine/pathology- Sonic Healthcare employs over 500 specialists in pathology, thousands of medical scientists and technicians, backed by specialized IT systems that ensure the on time delivery of result in a variety of different format. Generally, Sonic provides customer with diagnosis of disease through examination of organs, tissues, cells and bodily fluids. 2. Radiology- Sonic is execute more than 2.3 million examination per year through its 160 specialist radiologists and nuclear physicians which are supported by Sonic Healthcare highly trained and experienced technical and practical staff. 3. Medical centers/ primary care- Sonic Healthcare manages the IPN that establish a partnership with 1700 doctor at over 200 clinics across Australia. 4....
References: Mowen. M., Hansen D.R and Heitger D. , Managerial Accounting-The Cornerstone of Business Decision, 4th Edition, 2012, South Western – Thomson Learning
Please join StudyMode to read the full document