1. Describe a transformation process within an organization that is familiar to you; list all inputs, components, and the transformation process that produces either a product or service the organization delivers its customers. Make sure you mention all of the parts of the transformation process.
When considering a transformation process within an organization that is familiar to me, the first thing that comes to mind is a process that my current employer has implemented. This transformation process begins at the plan level and trickles down to the member as well as most healthcare providers. Initially, upon becoming active, a new member is issued an insurance card. The informatics department receives a file from the state during the last week of each month to process. Upon completing the date entry, the updated list is sent to the eligibility department to review and finalize. Once this process is complete, customer service would mail the new insurance cards to each new member. The members use this insurance card as proof of coverage and to receive healthcare services. Historically, members would receive their insurance card in the mail within 7-10 business days. For obvious reasons, the delay in the insurance card delivery method was less than ideal. As a matter of fact, the time frame would delay visits with providers, scheduled procedures, interruption in the release of medical supplies and/or medications. In some instances, the member would never receive their insurance card. This mostly was due to old addresses or invalid information. Ultimately, a percentage of members would never receive the mailing or even become aware of it. Also, the organization was utilizing resources to complete the initial mailings and then sort through any returns. The returned mail required many hours of manual labor to identify which members needed to be flagged for missing or wrong address. The organization went through many efforts to search different databases and progress notes in hopes of locating a different address than the one originally used. As a result, the transformation process was enhanced and aligned to meet the member needs and organizational goals. Part of the enhancement included digital access to view their insurance card information. The insurance card information is available through a secure online portal on the company’s website (Community Health Group, 2020). This transformation process made it simple and easy for members to have access with little to no delays in care. In addition, the mailings and returns became minimal, and wasted resources have been reduced. This process has been especially beneficial during this pandemic. A physical insurance card is no longer the only option for a member to present to the healthcare providers. The digital card can be downloaded and saved in most devices making this convenient for all.
Community Health Group. (2020). Member Access. Retrieved from: https://www.chgsd.com/members/my-access
2. What is the difference between a “products or goods” versus “services”? What are some of the similarities and differences between the two? Can services be inventoried? (Last Question is Lecture Based) Give some examples based upon your experience as a customer or from your professional experience.
When considering products or goods and services, one can conclude that there is both differences and similarities between the two. Generally speaking, a good is an object that can be physically seen, touched, and many times consumed (Collier & Evans, 2017).). The easiest way to describe a good is to think of a material item you purchase. A service includes benefits, amenities, and activities provided by others. The difference between the two is that a good is tangible and can be consumed versus a service, which is intangible and is experienced (Collier & Evans, 2017). Another key point is the similarities between a good and a service. For example, a good and service can both be supplied by multiple providers and companies. Another similarity is that promotion and marketing can apply to both. When discussing the differences, one obvious difference is replicating a service which can be almost impossible. A service also must be used instantaneously and cannot be stored for future use. Similarly, a service cannot be inventoried since the demand for services can be difficult to predict. As a customer, it is easy to determine how a service cannot be inventoried verses a product. One example is when I have traveled. I can buy a plane ticket to the same destination however, noting the service of the travel time and destination would be impossible. One can have a great experience with the airline staff and judge the value of the service they received. Professionally, my organization works very hard to provide a training to all our new employees. This training is provided by a third party in order to give our members the same quality of service. My organization acknowledges that making an impression on the customers is extremely important. The service that one individual provides the members is always going to be different. For this reason, it is important to have the customers judge the value of the service they receive to be similar from previous encounters.
Collier, D. A., & Evans J. R. (2017). OM 6th. Boston, MA: Cengage Learning.
3. Many people state that their organization has no customers. Is it possible for a business, or department within an enterprise, not to have customers? Why or why not? How does the customer influence an operations strategy? What is the difference between a strategy and an operations plan?