It is not uncommon for a company to make a decision that turns out to be a total failure, after which they change their strategy and try to make a good move. However, what is happening here is that they are constantly making mistakes, that is, they aren't able to fix it or find a strategy that works well. Does it just seem to me or is management actually lost? It's becoming pretty clear they don't know what they are doing.
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all these companies that were created by and fall under the non profit umbrella that is the healthcare company can be for profit entities, make said profit and the non profit (hospital) can write off the services from their own for profit companies….. HCL is the tip of the iceberg.
Tax season is around the corner…. Fact check me when you look at their 990 tax forms.
No one is lost. Salary costs are down. PTO liabilities are down. Benefit costs are down. This is exactly what the plan is. This is why management wasn't consulted before their employees were chosen to be cut. Their input was immaterial because none of this is about services or ability.
The plan has nothing to do with patient care. It has nothing to do with better operations. It has to do with selling data to Google, maintaining the absolute bare minimum of services to continue operating the for profit machine, and hedge fund management.
We're all watching the success of that plan. Nothing went off the rails. All of this is the plan.
What we're frustrated with, patient care, reputation, professional behavior is not in the plan.
Most of that is marketing hype. What they didn't say was there was already a "slow speed wan" which cost more due to best practices (carrier diversity) and older technology. Faster circuits on newer technology are actually cheaper (particularly if you get a bulk discount from one carrier) than the older slower circuits. Most of the fancy new solutions are paid for by eliminating older solutions. It's pretty easy to justify millions of dollars in new equipment. Support contracts and licensing are exorbitantly expensive, even on things in place for years.
I'm sure Gerry and his E-level underlings are getting very nice bonuses but I seriously doubt that the bonuses were the primary reason for outsourcing. I have no inside knowledge but I expect they are using the labor savings from outsourcing to bankroll Ascension's data transformation. They have stood up a very high-speed WAN, millions of dollars worth of new equipment, new applications, etc. All of that takes money and lots of it. Eventually, most of it will come back in-house after management on the clinical side of the hospital is fed up with the service they get but that is most likely several years down the road...
The current situation likely wasn't fully anticipated, they are probably trying to keep it going long enough to collect bonuses for hitting arbitrary financial goals.