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Study Tip
Governance
Posted by: Patricia Griffith on January 12, 2010 at 9:48AM EST
Having set policy for the institution, the board must ensure that committees and management carry it out effectively. The board should not become involved in the details of day-to-day management and operations - these are delegated to the hospital administration and to the medical staff - but it must have mechanisms in place to review performance and hold the corporation's agents accountable. It is basic law that when authority for implementing policy is delegated, the authority can be revoked if performance is unsatisfactory. The board must not abdicate its responsibilities by delegating responsibilities and not monitoring their execution. Accordingly, all corporate officers and the medical staff are in fact subordinate to the board
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(1) Comments
Posted by: Ray Landry on April 21, 2009 8:12PM EST
In the role of CEO, I have sought ways to assist the governing board in its responsibility to monitor the hospital's performance. As suggested in our text, I plan to attempt the use of the balanced scorecard technique which will capture the following dimensions: financial performance; internal operations; market performance and customer satisfaction; and associate satisfaction and ability to adapt and improve. I think the development and presentation of a scorecard which outlines the key measures to monitor hospital performance will assist board members to focus on the hospital at the board level. (Griffith and White text pg 74-76)

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