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Harvard Case - Frederick Southwick and Reducing Medical Errors

"Frederick Southwick and Reducing Medical Errors" Harvard business case study is written by Rosabeth Moss Kanter, Ai-Ling Jamila Malone, Jihea Kang. It deals with the challenges in the field of Social Enterprise. The case study is 16 page(s) long and it was first published on : Jan 9, 2017

At Fern Fort University, we recommend that Frederick Southwick adopt a hybrid organizational model combining elements of a nonprofit and a social enterprise. This approach will allow him to leverage the benefits of both structures while addressing the challenges of scaling his mission to reduce medical errors. We suggest he establish a social enterprise focused on developing and distributing his innovative error-reduction tools, while maintaining a nonprofit arm dedicated to research, advocacy, and education. This structure will enable Southwick to:

  • Maximize impact: By generating revenue through the social enterprise, he can reinvest profits into expanding the nonprofit's research and educational initiatives.
  • Ensure sustainability: The social enterprise provides a stable revenue stream, reducing dependence on grants and donations.
  • Expand reach: The social enterprise model allows for broader market penetration and scalability, reaching a wider audience with error-reduction tools.

2. Background

Frederick Southwick is a passionate physician dedicated to reducing medical errors. He has developed innovative tools and methodologies to improve patient safety, but faces challenges in scaling his efforts. He currently operates as a nonprofit, relying heavily on grants and donations, limiting his ability to reach a wider audience and sustain his operations.

The case study highlights the tension between Southwick's desire to make a significant impact on patient safety and the financial constraints of his nonprofit model. He recognizes the need for a sustainable and scalable approach to reach a wider audience and effectively implement his error-reduction solutions.

3. Analysis of the Case Study

The case study presents a classic dilemma faced by many social entrepreneurs: balancing social impact with financial sustainability. We can analyze the situation using the Triple Bottom Line framework, which considers social, environmental, and economic performance.

  • Social Impact: Southwick's mission is highly impactful, addressing the critical issue of medical errors, which have significant consequences for patient health and well-being. His innovative tools have the potential to save lives and improve healthcare outcomes.
  • Environmental Impact: The case study does not explicitly address environmental impact, but the development and distribution of error-reduction tools could potentially contribute to a more sustainable healthcare system by reducing unnecessary treatments and procedures.
  • Economic Impact: Southwick's current nonprofit model limits his economic impact. He relies heavily on grants and donations, making his operations vulnerable to funding fluctuations.

To address these challenges, we recommend a hybrid organizational model that combines the strengths of both nonprofit and social enterprise structures. This approach aligns with the principles of social entrepreneurship, which seeks to create sustainable solutions to social problems.

4. Recommendations

a) Establish a Social Enterprise:

  • Develop a business plan: Define the social enterprise's mission, products/services, target market, revenue streams, and financial projections.
  • Focus on scalable solutions: Identify and prioritize error-reduction tools with the greatest potential for widespread adoption.
  • Develop a marketing strategy: Reach healthcare providers, hospitals, and other stakeholders through targeted marketing campaigns.
  • Build strategic partnerships: Collaborate with healthcare organizations, technology companies, and other relevant stakeholders to expand reach and impact.

b) Maintain a Nonprofit Arm:

  • Continue research and development: Invest in ongoing research to refine existing tools and develop new solutions.
  • Provide educational resources: Develop training programs and educational materials for healthcare professionals on error-reduction practices.
  • Advocate for policy changes: Work with policymakers to promote patient safety initiatives and regulatory changes.

c) Implement a Blended Value Approach:

  • Measure social impact: Develop metrics to quantify the impact of the social enterprise's products and services on patient safety.
  • Report transparently: Communicate social impact data to stakeholders to demonstrate the organization's value creation.
  • Attract impact investors: Seek investment from organizations interested in both financial returns and social impact.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core competencies and consistency with mission: The hybrid model aligns with Southwick's core competency in developing error-reduction solutions and his mission to improve patient safety.
  • External customers and internal clients: The social enterprise targets healthcare providers and institutions, while the nonprofit serves as a resource for healthcare professionals and policymakers.
  • Competitors: The social enterprise will face competition from other patient safety solutions. However, Southwick's unique expertise and innovative tools provide a competitive advantage.
  • Attractiveness: The hybrid model offers a more sustainable and scalable approach, increasing the attractiveness of Southwick's work to investors, partners, and stakeholders.

6. Conclusion

By adopting a hybrid organizational model, Frederick Southwick can create a sustainable and scalable solution to address the critical issue of medical errors. This approach will allow him to maximize his impact, expand his reach, and ensure the long-term viability of his mission.

7. Discussion

Other alternatives not selected include:

  • Remaining solely a nonprofit: This would limit Southwick's ability to scale and sustain his work.
  • Becoming a for-profit company: This could compromise his commitment to social impact and prioritize profit over patient safety.

Risks and Key Assumptions:

  • Market acceptance: There is no guarantee that healthcare providers will adopt Southwick's error-reduction tools.
  • Financial sustainability: The social enterprise must generate sufficient revenue to support its operations and fund the nonprofit's activities.
  • Regulatory changes: Changes in healthcare regulations could impact the adoption and effectiveness of Southwick's solutions.

8. Next Steps

  • Develop a detailed business plan for the social enterprise.
  • Secure funding for both the social enterprise and the nonprofit.
  • Establish partnerships with key stakeholders in the healthcare industry.
  • Develop a comprehensive marketing strategy.
  • Implement a robust social impact measurement framework.

By taking these steps, Frederick Southwick can effectively leverage a hybrid organizational model to achieve his mission of reducing medical errors and improving patient safety.

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Case Description

Medical errors both in the U.S. and worldwide occur at alarming rates. In the U.S. medical errors were the third leading cause of death. Southwick experienced the consequences of preventable medical errors firsthand. As a physician and a professor, he researched and wrote about the causes and solutions for medical errors over the years. Southwick also launched pilot programs applying different quality improvement frameworks from other fields to medicine. Although the results were positive, he encountered resistance from many physicians. To build more skills, Southwick became an Advanced Leadership Fellow in 2010 and a Senior Advanced Leadership Fellow in 2011. He used his time at Harvard to develop solutions that would address the root causes of medical errors. The complexities in healthcare and the entrenched cultural norms presented strong barriers to creating change. The case explores Southwick's efforts in getting medical professionals to work collaboratively, communicate effectively, and create a new sustainable culture that improves healthcare outcomes. Southwick's experience raises the question of how one person can best make a difference in a large, complex, entrenched system.

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