Mgoa Physicians Case Analysis

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2) Performance to Outcome-Expectancy and 3) Desirability of Reward to Pay Plan, the reorganization of both the mission of MGOA and the pay system that emphasizes pay to performance. Management in evaluating the mission statement versus the profitability of MGOA has realigned the salary system to the mission statement not the other away around as had been done in the past. The second component of this theory is the physicians will increase their clinical time as well as the profitability of the organization. The composition of the staff who have up to 20 years of services and tenure may not be favorable to change, as changes such as automation, reduction of research time already implemented before the Pay Plan was announced, contributed to the reluctance of the physicians to accept the pay plan. It is the third component –desirability of reward that may provide incentives, with increase profits, may restore both modifications to research time and administrative staff. This incentive along with securing additional sources of income, reimbursement for teaching hours, increased surgeries from private patients all may lead to the current staff to accept the new system. In applying the Expectancy Theory, the extrinsic motivation- make MGOA profitable by means of implementing a performance to pay (including bonuses and eventually the development fund) will enable the staff to be able to redirect and manage their profitability. The intrinsic motivation is additional time for research and teaching once MGOA becomes more profitable. This is accomplished by relooking at the work performed by MGOA through the Motivation Challenge. Here the existing staff can switch to the new model of performance to pay and redirect assets from researching to clinical operations along with management looking at additional sources of income (reimbursements). People achievement –an increase in productivity essentially means increase in the hours of clinical practice, which includes redirecting “research time” which can be covered during “clinical time”. By monitoring the use of increased operating time, can support the concept of pay to performance. Finally, incentives such as restoration of administrative personal in a new form (such as shared resources) and increase in research time because the new system when implemented can accommodate revisions, all will go a long way for the staff to become part of the new organization. Management also must provide open and honest dialogue specifically making it official, that the mission of MGOA includes “financial stability”. Management must also ensure that the right goals are being implemented here is where management directives (automated systems, increase in operating time) seemed harsh. If the Right Goal is applied, here for example, an established time frame is necessary as well as management actively researching compensation for services (non staff attending physicians and teaching reimbursements). MGOA by implementing the pay system and changing the organization function can realize the Equity Theory-everyone and everything is equal pay, performance and rewards. In looking at how to apply the Expectancy Theory to the Pay Plan, the rewards that most of the current staff values are: 1) Administrative Staff and 2) Research Time. Management must look to make their goals, the staff goals in other words, implementing both Smart Goals as well as Integrated Theory. As of right now there is little if any agreement, there is no clear time-table, goals not clearly stated make changes which could be reasonable or unreasonable. Measurability also appears to be missing –how is workload redistributed evenly, how can achievement within the organization be streamlined. A 6-month review by a joint committee mgmt./staff tied to the pay plan to reassess progress would provide employee inclusion rather than exclusion.

Recommendations: Implementation and assessment included in the 6 month pay plan review by both management and staff:

1: Management clearly define “financial security” to the full staff # 1

2. Management and staff review all changes to the operations encouraging staff recommendations-#1,2 and 5

3. Management and Staff jointly develop a workload model within 30 day # 2

4) Management establish a timetable for full implementation consulting a working group from staff -30 day timeframe–# 4

5) Explore increases reimbursements and streamlining the tenure