Explain what is wrong with using percentiles to compare hospitals. Give an example (not any examples from the case or in class – especially no coin flip examples) that illustrates why percentiles are ineffective

AD 605 Operations Management

Laralex Hospital Case Study

Write your report as if you were BlancheDo not assume that the reader of the report has read the case study document.  Include a cover page with the course name, case study name, the date, and your team member names.  Submit only one Word file (using Blackboard).

In the report, Blanche’s will need to use words that Hazel (and other managers) would understand, and terms that make sense within a health care facility.  That is, she should avoid generic phrasing (e.g., process, defect, etc.) and focus on processes and data at Laralex Hospital.  The report should be concise, clear and complete.  Include answers to the questions below in your report but do not list the questions followed by answers – the report should flow nicely while addressing these issues.  Address the following in your report:

  1. Explain what is wrong with using percentiles to compare hospitals. Give an example (not any examples from the case or in class – especially no coin flip examples) that illustrates why percentiles are ineffective.
  2. Create and interpret a P Chart for each of the outcomes analyzed in the case (an Excel file with the data is provided). Interpret each P chart based on the Shewhart interpretation rules. Use the Excel Control Chart template.
  3. For processes that are stable, compare Laralex’s performance with external benchmarks. Use the Excel Control Chart template.  Assume that a very large group of peer hospitals had the following average proportions:
    1. Discrepant X-rays – 1.11%
    2. Unscheduled Readmissions – 4.2%
    3. Hospital-Acquired Infections – 0.29%
    4. Cesarean Sections – 19.2%
    5. Patients who Leave the ED Prior to Treatment – 3.3%
  4. Explain how a comprehensive process improvement program based on Lean Six Sigma will help with their accreditation. Use specific examples derived from the case study document.
  5. List and discuss the three most important challenges faced by Blanche when implementing a process improvement program based on Lean Six Sigma at Laralex Hospital (justify them with specific examples from the case study document).