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Mayo Clinic CAN BE A Non Profit Business Essay

Mayo Medical clinic is a non-profit band of medical professionals in different medical fields. MAYO handled on the viewpoint that the clients' needs are of primal importance.

Human Resources/staffing: MAYO has a workforce of 49, 300 and 6. 5% of the workforce is doctors, experts and researchers.

Location: Rochester, Minnesota, Jacksonville, Florida, and Scottsdale/Phoenix, Az.

Market position: Among the most notable medical organizations worldwide.

MAYO takes pleasure in providing the best attention to its patients by adding their needs first. To achieve this end, MAYO works on a collaborative teamwork way, genuine work ethic and diversity.

MAYO has successfully put itself among the most notable medical organizations and should therefore keep building on its advantages. However, like all the organizations in this industry, MAYO has challenges it requires to triumph over. Opportunities also are present to give attention to its talents and weaknesses.

SWOT analysis (Advantages, Weaknesses, opportunities and risks)


MAYO has the following strengths:

good market setting ( rated among the very best medical providers because of the focus on customer support);

free marketing ( person to person lowers marketing costs if needed by any means);

24 hours service guarantee to providing a remedy to customer needs is normally placed making MAYO a competent organization;

high end skilled labour;

diversity of the organizations' users;

employees work at 60% of the marketplace cost;

HRM highly involved in aligning personnel with the organizations' medical technique to put patients first;

team work;

well defined management promotion design ( opportunity for professional development)

adequate compensation bundle;

is a stylish employer/medical care specialist ( a median of 6, 000 allies joined pushes in 2007 only);

Low personnel turnover (5% p. a. )

Physicians taking personal responsibility for directing patient attention in partnership with the patient's local physician;

The highest-quality good care delivered with compassion and trust;

Respect for the patient, family and the patient's local doctor;

Comprehensive analysis with timely, reliable examination and treatment;

Availability of the very most advanced, impressive diagnostic and healing technologies and techniques.

Mayo has been relatively effective and it's been seen as a business spouse.


wages are put 60% of the marketplace value and MAYO might lose skilled labour scheduled to better financial incentives anywhere else;

waste of your time and human resources ( as well as money since MAYO will pay for this time) in the recruitment process;

the 24 hour solution way is costly, sets pressure on staff and may stop the medical team in control from continuing to a less yet still reliable medical solution;

In compare to the prior point MAYO provides an unhurried examination of each and every patient with time to listen to the patient ( these two points contradict each other and may send confusing signals to employees);

needs to re-evaluate its alignment with SIGMA yet ( and to do this, it requires to purchase software);

Its definition of diversity is not shown in MAYO's method of employees. Although low minorities are hired, MAYO does not get in touch with people with special needs but who can be of service. MAYO also might concentrate on minorities and forget about the majority of employees and their needs (for instance a type who is not a team player and may need training and encouragement) (Judge TA, 2002). Additionally, MAYO will not seem to acknowledge the need to mother's time off and resultant deals ( although work life balance is guaranteed);

failure to create fund raising occasions to raise more capital;

failure to be innovative in the medical field due to team work ( employees might hesitate to stick out) and MAYO would therefore be burning off from cashing in on progressive opportunities;

Stable environment may force away charismatic and transformational market leaders (Burns up, j. , 1978).

A need to make use of specific performance improvement procedures, making rapid changes becomes difficult.

HR's role have to be re-evaluated in order for it to be more purposeful and then for better people management methods in order to support a wider variety of tactical goals.

Mayo's diversity attempts may have to increase.


- retain a sizable sector of high skilled labour;

- Further growth and growth of clinics;

- Free labour since MAYO's reputation is of interest to students who want to gain good practice;

- Further position of HR's strategy to the financial strategy of MAYO.

- HR function can explore impressive ways to recruit

- U. S. president has promised additional health care coverage for uninsured Americans. The medical reform plan, as proposed, would provide affordable, accessible healthcare for all Americans, in that way adding value to MAYO's idea and objectives.

Mayo is been viewed as a business partner

Providers and insurers are poised to generate new, consumer-sensitive enhancements made to meet individual needs.

Payers and the federal government will continue to press for better disclosure on what services cost and on the quality of patient good care, making transparency an expectation. That's apt to be a divisive make among providers and within integrated groups.

CEOs and other older professionals will be significantly held accountable for achieving high performance with assessed results.


current industry movements;

Economic challenges, Clinics will continue to take benefit of the current amount of relative financial balance to make capital ventures (Wooten & Decker, 2006).

Continuous task of recruiting and keeping skilled employees (scheduled to competitive plans and opportunities in this industry); the pay of doctors is constantly on the escalate, so paying at the 60th percentile might risk the retention of employees who seek higher settlement. Dissatisfaction may expand.

Uncertainty concerning whether MAYO's reimbursement strategy is the one that attracts skilled experts when there's a low provision of them.

MAYO would depend on teamwork and the role of any collaborative labor force becomes critical ( perhaps MAYO should have in place an idea B in case of crisis situations such as the decrease of available doctors);

costs of providing healthcare are increasing;

economic tough economy;

aging population will raise the demand for medical care and an increase in a demand for special treatment is projected;

Mayo is currently working at or near capacity so the question remains concerning whether a rise in patients allows Mayo to keep providing the best quality of service to its patients;

Time to fill up open up positions may extend;

Lower range of candidates that meet up with the hiring account for Mayo More than 30% of the full total workforce is expected to become retirement-eligible in the next 5 - 10 years

5% turnover rate may develop;

MAYO may gain an unhealthy reputation with potential employees (e. g. , 'chilling impact') or customers;

diversity of the workforce does not represent that of the individual and general inhabitants;

innovation is highly constrained because of the way MAYO feels making it problematic for it to keep up with business aims and opponents;

competitive pressures;

increased consumerism;

regulatory requirements;

Increasing production and enhancing quality and reliability which can seem to be overpowering to healthcare facilities with declining reimbursements.

2. How might the recruiting strategies change at Mayo?

- How HR can better donate to the objective of Mayo.

Brief About Mayo's HR strategies

Mayo's HR team is well equipped with a foresight strategy on employees' retention. The recruiting strategy therefore runs beyond the easy recruiting of the right people for the post. Indeed, MAYO's recruitment strategy is twofold: On the main one side, the HR looks for to recruit the best & most appropriate applicant for the work (advanced selective way). On the other hand, HR takes into account another aspect; mainly it operates an assessment about how well the prospective candidate can fit with the other customers of the MAYO'S team (teamwork strategy strategy). Thus, MAYO'S HRM's strategy is a combination of the experience of the recruit in the supposed post and their capability to be team players, in so doing embracing HR's strategy with the business strategy of the business. Parallel to this strategy, HR employs a foresight methodology in to whether the potential candidate has the ability to advance in the business while having the ability to maintain team play. A test of whether the candidate's personality is fit (faithful, empathy for others, team player, flexible, stable, strong work ethic and a good sense approach for the best good) is also run by MAYO's HRM. Schleifer (2006) acknowledges that these qualities are not only highly relevant to the employees but also to the real HR staff.

MAYOS's RECRUITING Management has been highly successful:

In keeping useful function employees' with only 5% on a yearly basis.

In helping, through its recruitment selection, the philosophy of MAYO to supply the best health care to its patients.

In promoting a teamwork culture.

Recommended changes in Mayo's HR strategies

While the annals of MAYO HRM's strategies has proven successful, the business needs to monitor issues that are being confronted in the medical world:

Recruitment & Retention: MAYO should cater for the risk of its workforce embracing other medical articles which offer better career packages (recruitment and retention of skilled labour). MAYO should not accept the current recruitment scenario as a one size fits all methodology. Neither should its HRM continue steadily to depend on it without considering other recruitment strategies. MAYO's HRM should carry out periodical studies comparing its strategies with the market at that time in time as well as with its internal achievements or elsewhere failed experiments. MAYO should not be afraid to adapt innovative strategies or add new ideas to their existing recruitment procedure.

Parallel to this MAYO's HRM should review its retention strategies since labour retention is a simple step to the success of an organization. Therefore, the HRM should keep jogging periodical surveys and promote an open door policy in order to ensure that all the members of its personnel are happy.

It seems that MAYO's HRM fails to consider the different types of personalities which may have been widely recognized to be a fundamental research of a successful workplace group. What concerns the undersigned is the assumption by MAYO's HRM that those employees recruited have the ability to work in a team-work, when in high probability this is not the truth. The second option oversight might trigger the following problems:

Team work may are unsuccessful because of the weak hyperlink in the string (an employee wanting to excel may be in aggressive pursuit of recognition which might even surpass the acknowledgment scheduled to some other users of the team (Murphy, 2000). This results a domino effect getting the team player confused/brushed off by the employee whose main aim is to excel at all costs.

Other customers of the team may give up the work because HRM's strategy is no longer credible and team work might be over scored.

Hence, MAYO's HRM should go through a personality analysis, maybe even using the assistance of a jobs psychologist to increase its success at recruiting and keeping a skilled work force. Since, in the Mayo's system, employees are anticipated to get along social integration is commonly challenged. MAYO stands to lose if it gets a reputation of a tough environment and a potential highly skilled recruit may not be enthusiastic about the position based on ex-employees' negative activities. In addition, too little competitive reward system may lead to passive behavior since charismatic and transformational leaders tend to underperform in secure conditions (Yukl, G. , 1999). Consequently, MAYO is dropping out on the option of impressive ideas (N. Sheth, J. & Sobel, A. , 2002).

Cost of HR: While HR's role in the execution of the organization's strategy has been recognized, financial claims and "most health care organizations see HR as a drain on the organization's important thing. " This is also true of MAYO's HRM. First of all, the recruitment process is time consuming and consequently this technique should be revisited to render it more efficient as well concerning optimize the utilization of recruiting as opposed to waste all the energy on an activity that could take place faster. However, this will take place without compromising the hiring routines that have lead to a successful history of worker retention.

Secondly, MAYO established fact for diagnosing a problem and putting the individual on the surgery list of less than twenty- four hours. What MAYO's HRM has failed to calculate is the price vs. reward of this practice. While it is grasped that MAYO's beliefs is to meet the needs of the clients' first, MAYO also needs to apply a far more practical way in the light that medical procedures, equipment and technology endure a higher end price. As a result, while a team tier allows an improved assessment of clients' needs, MAYO must operate a two eye rule and ensure that medical procedures are not taking place unnecessarily. Additionally it is being recommended that cheaper alternatives are reviewed in view of keeping the working costs low.

Thirdly, on the few occasions, groups have been "expanded or used apart and reassembled" altogether. This practice should be prevented as MAYO's teamwork strategy may be questioned not to mention the misuse of time and human resources an dismantling and reassembling a team. Last but not least, the most impressive method in MAYO'S organization is the way taken up to work (teamwork). The collaborative strategy taken in every part carried out by MAYO (including insurance plan and strategic planning) is a cumbersome treatment (Cherry, 2012). A diverse more efficient allocation of responsibility allowing everyone's opinions should happen. This new approach should propose a group in charge of different areas to come up with their own insurance policies with the management team having the last say at the very top.

HRM and organizational strategy: HR should align their strategy with MAYO's overall strategy. It is not sufficient therefore to align HR's procedures with MAYO's philosophy; but HR's plans should also look at the financial strategies adopted. Usually, MAYO's HRM risks to be looked upon entirely as an extra cost eating away at the organization's resources.

The "Employees must not be rules-driven" procedure: In the last things it was stated that the democratic method of policy, strategic and medical diagnosis making was a joint effort of all customers (R. A. , 1989) (Fiskin, 1991). . Inside the profile information about MAYO, a contradiction was experienced, namely, "(e)mployees should not be rules-driven". This begs the question, what's the idea of the cumbersome insurance policy decision making process at MAYO? The financial risk created not forgetting the actual fact that employees aren't encouraged to follow rules does not seem to be always a healthy approach. Therefore, this statement must be revisited and clarified by top level management.

3. What changes to compensation should Mayo consider?

Current compensation way: MAYO employs a nice-looking Total Rewards program encouraging collaborative behaviour of its employees since nobody is a one man will everything. Time off is paid. Work life balance including the funding of a retirement life funded by Mayo and a specialist development in addition has been catered for. MAYO also offers regular salary raises and income cover.

Recommendation 1: While an "effective payment system can lead to organizational competitiveness and higher levels of profitability" the strict teamwork approach makes it very difficult for employees to stick out without rivalry and competitive behaviours arising. This in turn undermines teamwork work (Lewin, K. , 1950). While the compensation program helps motivate employees, the HR's imposition of teamwork may serve as a deterrent from outperforming. To cater for this "Mayo does not hire a performance-based reimbursement system. However, this defeats organizational competitiveness and for that reason lowers likelihood of profitability. There is no evidence that MAYO has evaluated the professionals and cons of the. Such assessment is advised as it will allow MAYO to choose the most suitable choice.

Recommendation 2: Regardless of the compensation package, pay are only valued at 60 %60 % paid in similar market. As cost of living increases and with the added pressures of teamwork and fast over 24 hours service, MAYO should diversify both its settlement strategy as well as recruitment process so that it is able to retain employees by being able to meet the compensation level provided by other medical corporations. On the positive notice, MAYO's option to review the management job salary structure should be upheld and improved upon as this is alone an incentive. Job reviews evaluating the happiness or elsewhere with the existing wage should also continue.

What metrics (qualitative and qualitative) should be utilized to look for the performance of HR?

The metrics used to determine the effectiveness of HR could include the following:

Recruitment the recruitment of top quality skilled labour measured against a personality matrix

alignment of HR's strategy with this of the whole organization

HR's success in keeping to the budget based on the organization's financial strategy. This consists of the ability to attract skilled labour at a feasible labour cost suitable in the light of MAYO's budget.

Retention of the high end skilled labour (e. g. : low turnover rates with Mayo's turnover being about 5% yearly.

teamwork resulting in less internal problems between teams

the ability to resolve disputed between employees themselves and disputed between employees and higher management

reduction in enough time taken in the recruitment process (e. g. : a decrease from 35 times to 29 times has been recorded)

the amount of applicants for content within MAYO ( demonstrates a good image of the business)

The number of personnel actually hired (e. g. : 6000 positions were crammed in 2007).

Successful arranging of staff work time desks, allowing the staff to rest and provide an improved service. This ensures that an increase of patients' turnover is not borne only by a few associates of the staff thereby leading to shared responsibility. Furthermore, staffs are less inclined to demand an increase in income or recruitment bundle.

Conducting of surveys "to ensure employees are satisfied with their pay".

one to 1 meetings (wide open door plan)

Frequent employee studies, meetings with employees, and observations help to gauge employee satisfaction.

focus on worker well-being

Policies laying out the general floor rules, principles, prices, procedures and plans of the organization (well lead to employees being more acquainted with what they are anticipated to do and ensures steadiness/order).

Re-evaluate the Six Sigma statistical way that measures process capacity- mainly in conditions of accuracy and standard deviation (requires the positioning of computer technology).

constant personnel training to keep them up to date with the latest systems and techniques ( also to include trained in the mindset of approach and customer support)

Workforce management.

5. How can Mayo establish variety goals that help the organization to become more representative? Can the variety goals help hook up to other threats to Mayo's culture? Should Mayo broaden its description of diversity?

MAYO established fact for being the same opportunity employer. Variety is therefore one of the primary things on the agenda and MAYO has in reality recruited typically 12% from minorities in 2007 together and a Variety Advisory Committee in place.

MAYO's way and strategy that "people with different skills, backgrounds and beliefs collectively" can "better provide the patient" does indeed in fact help the organization be more representative.

Mayo has been noted to define variety "as all the characteristics which recognize individuals or categories in one another. " From an evaluation of the position quo of the organization, it seems that MAYO needs to make room for different personalities which might need work and training before being able to be considered a team player (Waldman, et al. , 2001)a. Normally, MAYO stands to reduce on good expertise if their workers are highly evaluated on their ability to be team players.

In brief, contemporary society is made of individuals from all ethnicities. Possessing a diverse workforce permits MAYO to better understand and communicate with its clients. However, it turned out figured MAYO'S description of 'diversity' should be given a broader request because the truth is even if it sustains that diversity is all "characteristics which recognize individuals or groups from one another", truth is if an experienced employee definitely not belonging to a minority group, has poor communication or socializing skills, especially in a team, it is most probably that the staff won't feel pleasant and the amount of teamwork may suffer all together. In addition, variety of employees will not automatically provide MAYO as in a position to cater for patients needs. Skilled labour and resources will instead complete this need.

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