Revitalizing organizational health in the care delivery sector

Investment Rating - The report does not explicitly provide an investment rating for the healthcare delivery sector Core Insights - Organizational health is a critical differentiator in the care delivery sector, linked to value creation, profitability, resilience, and safety metrics [3][14] - There has been a significant decline in organizational health in North American care delivery organizations, with an 11 percentage point drop from 2014-2018 to 2019-2023, contrasting with a 3 percentage point increase globally [13][15] - Key factors affecting organizational health include employee motivation, work environment, and external orientation, which are correlated with patient satisfaction [9][12] Summary by Sections Organizational Health Index (OHI) - The OHI measures critical elements of high-performing cultures across nine dimensions, based on surveys from over 2,500 organizations [5][6] - The index shows a decline in organizational health in the care delivery sector, with specific management practices linked to this decline [12][19] Declines in Organizational Health - The report highlights a decrease in organizational health scores, with significant declines in motivation-related practices such as career opportunities and rewards [20][21] - The decline in organizational health is attributed to broader industry trends and the lasting impacts of the COVID-19 pandemic [18][23] Management Practices and Opportunities - Organizations are encouraged to focus on management practices that enhance work environment, external orientation, and motivation to improve overall health [24][30] - Specific practices that have seen declines include performance transparency, customer orientation, and recognition of employee contributions [20][21] Cultural Transformation - The report suggests a two-speed approach to cultural transformation: quick wins and a more sustainable, long-term strategy [24][32] - Organizations should engage staff in shaping cultural practices and prioritize transparency and accountability to improve organizational health [36][30]