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Heathway Medical Case Summary

1224 Words5 Pages

Allen Smith, a recent graduate, got offered a job as a practice administrator in Buffalo, New York with United Physician Group, UPG. Allen got hired for the position after an interview with John Delapena, the practice administrator, qualifying for passing a high level of analytical and problem-solving skills. The practice is going through a tough time with the addition of the Affordable Care Act. The ACA has a negative impact on the small business. Dr. Larry Wilson, the founder of the business, got an offer from Heathway Medical System to buy his practice. The offer was rejected after the it was lower than expected. Dr. Smith, the practice neurologist, was offered Dr. Wilson’s share of the company, but was also cautious when hearing about the …show more content…

This is a strength because this is a way to make some money, and allow the employees to keep their job. If the practice continues to fail they will lose everything. Another strength is that Allen will learn a lot from this experience, which may be what he needs to allow him to become a great manager. Experience is a very important aspect of improving a situation, and this is something Allen lacks in. A weakness in relation to the major problem is that the opportunity to sell the practice will not provide Dr. Wilson with as much profit as he expected. Another weakness related to this is that if the practice was sold to Heathway Medical System, the employees would only be guaranteed a job for five years. Another weakness is Allen being in charge of handing the dilemma. Allen is looking out for the best interest of himself rather than for Dr. Wilson, or the practice as a whole. So if Allen is leaning towards selling the business because it means he would be making more money yearly, Dr. Wilson will lose out on 28% of the expected value of the …show more content…

It was wrong to hire Allen as a new graduate to provide analysis and recommendations because we see he is not being true to the practice. He wants to do the best for himself because he wants to start his career successfully. It seems like to him, success is personal gains. An experienced practice administrator would be able to make more educated recommendations. They would be able to research further into the problem and decide whether or not the practice has a chance of being successful by itself. Prior experience will be very helpful in such a stressful

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