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Harvard Case - Cleveland Clinic Abu Dhabi

"Cleveland Clinic Abu Dhabi" Harvard business case study is written by Linda A. Hill, Emily Tedards. It deals with the challenges in the field of Organizational Behavior. The case study is 38 page(s) long and it was first published on : Feb 18, 2022

At Fern Fort University, we recommend a strategic approach for Cleveland Clinic Abu Dhabi (CCAD) to address the challenges of establishing a world-class healthcare facility in a new market. This approach focuses on building a strong organizational culture, fostering a high-performing team, and implementing effective change management strategies to navigate the unique complexities of the Abu Dhabi healthcare landscape.

2. Background

The case study focuses on Cleveland Clinic Abu Dhabi (CCAD), a new hospital established in 2015 as a joint venture between the Cleveland Clinic and the Abu Dhabi government. CCAD aimed to replicate the success of the Cleveland Clinic's US model, offering world-class healthcare services in Abu Dhabi. However, the case highlights several challenges faced by CCAD, including:

  • Cultural Differences: Navigating the cultural differences between the US and the UAE, particularly in healthcare practices and patient expectations.
  • Recruitment and Retention: Attracting and retaining top medical talent in a competitive market, while also ensuring cultural fit and adaptability.
  • Leadership Styles: Adapting leadership styles to the local context and fostering a collaborative and empowering environment.
  • Organizational Structure and Design: Establishing an effective organizational structure that balances centralized decision-making with local autonomy.
  • Change Management: Implementing change effectively and managing resistance from both employees and patients.

Main Protagonists: The case study focuses on Dr. R. A., the CEO of CCAD, and his efforts to navigate these challenges and establish a successful healthcare institution.

3. Analysis of the Case Study

The case study can be analyzed using several frameworks, including:

  • Organizational Culture: CCAD's success hinges on building a strong organizational culture that aligns with its mission and values. This involves fostering a culture of excellence, patient-centricity, collaboration, and continuous learning.
  • Leadership Styles: Dr. R. A.'s leadership style plays a crucial role in shaping the organizational culture. He needs to adopt a transformational leadership style, inspiring and motivating employees, empowering them to take ownership, and leading by example.
  • Change Management: CCAD needs to implement effective change management strategies to navigate the complexities of the Abu Dhabi healthcare landscape. This involves communicating the vision clearly, involving stakeholders, addressing concerns, and providing support to employees during the transition.
  • Team Dynamics: Building a high-performing team requires fostering strong team dynamics, promoting collaboration, and encouraging open communication. This involves creating a culture of trust and respect, where team members feel valued and empowered.
  • Motivation Theories: Understanding and applying motivation theories is crucial for retaining top talent and fostering employee engagement. This involves offering competitive compensation and benefits, providing opportunities for professional development, and recognizing and rewarding high performance.

4. Recommendations

  1. Develop a Comprehensive Cultural Integration Strategy: CCAD should develop a comprehensive cultural integration strategy that addresses the unique challenges of operating in the UAE. This includes:

    • Cultural Sensitivity Training: Providing training to all employees on cultural sensitivity, communication styles, and patient expectations in the UAE.
    • Cross-Cultural Mentorship Programs: Establishing mentorship programs pairing US-based employees with UAE-based employees to facilitate knowledge sharing and cultural understanding.
    • Local Expertise: Hiring local professionals in key leadership positions to provide valuable insights and guidance.
  2. Implement a Robust Recruitment and Retention Strategy: CCAD needs to implement a robust recruitment and retention strategy that attracts and retains top medical talent:

    • Competitive Compensation and Benefits: Offering competitive compensation and benefits packages that align with market standards.
    • Professional Development Opportunities: Providing opportunities for professional development, including continuing education, research, and leadership training.
    • Work-Life Balance Initiatives: Implementing work-life balance initiatives, such as flexible work arrangements, childcare support, and wellness programs.
  3. Cultivate a Culture of Excellence and Innovation: CCAD should cultivate a culture of excellence and innovation that encourages continuous improvement:

    • Performance Management System: Implementing a robust performance management system that provides regular feedback, recognizes high performance, and identifies areas for improvement.
    • Innovation Initiatives: Establishing innovation initiatives, such as idea competitions, research grants, and collaborative projects, to foster creativity and problem-solving.
    • Knowledge Sharing Platforms: Creating platforms for knowledge sharing, such as internal conferences, online forums, and peer-to-peer learning opportunities.
  4. Embrace a Collaborative and Empowering Leadership Style: Dr. R. A. should embrace a collaborative and empowering leadership style, fostering a culture of trust and respect:

    • Delegation and Empowerment: Delegating authority and empowering employees to make decisions within their areas of expertise.
    • Open Communication: Encouraging open communication and feedback, both upwards and downwards.
    • Team Building Activities: Organizing team building activities to foster collaboration, communication, and trust.
  5. Implement a Strategic Change Management Approach: CCAD should implement a strategic change management approach to navigate the challenges of operating in a new market:

    • Clear Communication: Communicating the vision, strategy, and changes clearly and transparently to all stakeholders.
    • Stakeholder Engagement: Involving stakeholders in the change process, addressing concerns, and seeking feedback.
    • Training and Support: Providing training and support to employees during the transition, helping them adapt to new processes and technologies.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core Competencies and Consistency with Mission: The recommendations align with CCAD's mission to provide world-class healthcare services while adapting to the local context.
  • External Customers and Internal Clients: The recommendations focus on meeting the needs of both external customers (patients) and internal clients (employees).
  • Competitors: The recommendations consider the competitive landscape in the Abu Dhabi healthcare market, ensuring that CCAD remains competitive in attracting and retaining talent.
  • Attractiveness: The recommendations are expected to improve CCAD's financial performance by attracting and retaining top talent, enhancing patient satisfaction, and fostering a culture of innovation.

6. Conclusion

CCAD faces significant challenges in establishing itself as a world-class healthcare facility in Abu Dhabi. By implementing the recommended strategies, CCAD can overcome these challenges, build a strong organizational culture, foster a high-performing team, and achieve its mission of providing exceptional healthcare services.

7. Discussion

Other alternatives not selected include:

  • Adopting a purely US-centric model: This approach would likely lead to cultural clashes and difficulties in attracting and retaining local talent.
  • Completely outsourcing management to local partners: This could compromise the quality of care and the brand reputation of CCAD.

Risks and Key Assumptions:

  • Cultural adaptation: The success of the cultural integration strategy depends on the willingness of both US and UAE-based employees to adapt and learn from each other.
  • Talent acquisition: Attracting and retaining top talent in a competitive market requires a robust recruitment and retention strategy.
  • Leadership buy-in: The success of the recommendations depends on the commitment and leadership of Dr. R. A. and the senior management team.

8. Next Steps

  1. Develop a detailed implementation plan: This plan should outline the specific steps, timelines, and resources required to implement each recommendation.
  2. Establish a dedicated change management team: This team will be responsible for overseeing the implementation of the change management strategy and addressing any challenges or resistance.
  3. Monitor progress and make adjustments: Regular monitoring and evaluation of the implementation process will ensure that the recommendations are effective and that any necessary adjustments are made.

By taking these steps, CCAD can successfully navigate the challenges of operating in a new market and establish itself as a leading healthcare provider in Abu Dhabi.

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Case Description

In 2006, the Cleveland Clinic and Mubadala Investment Company partnered with a bold ambition to deliver world class healthcare in the United Arab Emirates. In 2015, after nearly a decade of planning and construction, Cleveland Clinic Abu Dhabi opened its doors. By 2017, the hospital had proven it could deliver Cleveland Clinic-quality care 7,000 miles away from its main campus. Dr. Rakesh Suri, Chief of Staff at the time, became Cleveland Clinic Abu Dhabi's Chief Executive Officer; his mandate was to grow the hospital into one of the most innovative academic medical centers in the world, while marching toward financial sustainability. As a newer hospital, Cleveland Clinic Abu Dhabi endured its share of growing pains as it worked to cultivate a culture of innovation and take full advantage of its information technology and business intelligence capabilities. By 2019, there were so many innovation initiatives underway that the executive team was considering whether to implement a Priority Index to foster a more coordinated approach to innovation.

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