Abstract
Institutional and market changes seem to force hospitals across the Western world to revitalize their corporate strategies towards
more cost efficiency on the one hand, and more flexibility towards customer demands on the other hand. Hospitals, however,
apparently differ in the extent to which they are able to implement such strategies effectively. This paper explores whether
these different levels of effectiveness depend on how hospitals’ top managers’ use of the available management information
systems (MIS). Based on data obtained from the 218 CEOs of public hospitals in Spain, we analyze how CEOs’ professional and
educational backgrounds affect their use of MIS, and howthe use of the MIS subsequently supports or inhibits the implementation
of these strategic goals. The results indicate that CEOs with a predominant clinical background focus more on non-financial
information for decision-making and prefer an interactive style of using MIS, which together support flexibility strategies. CEOs
with a predominant administrative background seem more effective in establishing cost-reduction strategies, through their larger
inclination to emphasize financial information in combination with a diagnostic use of the MIS. Implications for the strategic
management of hospitals are outlined.
Abstract
Institutional and market changes seem to force hospitals across the Western world to revitalize their corporate strategies towards
more cost efficiency on the one hand, and more flexibility towards customer demands on the other hand. Hospitals, however,
apparently differ in the extent to which they are able to implement such strategies effectively. This paper explores whether
these different levels of effectiveness depend on how hospitals’ top managers’ use of the available management information
systems (MIS). Based on data obtained from the 218 CEOs of public hospitals in Spain, we analyze how CEOs’ professional and
educational backgrounds affect their use of MIS, and howthe use of the MIS subsequently supports or inhibits the implementation
of these strategic goals. The results indicate that CEOs with a predominant clinical background focus more on non-financial
information for decision-making and prefer an interactive style of using MIS, which together support flexibility strategies. CEOs
with a predominant administrative background seem more effective in establishing cost-reduction strategies, through their larger
inclination to emphasize financial information in combination with a diagnostic use of the MIS. Implications for the strategic
management of hospitals are outlined.
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