Organizational Design Paper
Deanna Bergman
HCS /514
January 12, 2014
Louis Kastner

Organizational Design: Assisted Living Facility

Organizational design is an important aspect for any organization to be successful at fulfilling their goals and obtaining achievements. This paper will discuss a decision that an organization had to make, and how the Pareto Principle approach theory pertained to this decision. Pinecrest of Lake Geneva is a 12 bed facility that provides assisted living to residents in a home based setting. As a state licensed Community Based Residential Facility (CBRF), the organizations goal is to provide care and services to clients who are too independent for a nursing home, but can no longer care for themselves or are at risk for safety reasons. The facility is run based on a number of internal and external factors that need to be taken into consideration before making a decision that will change the way that the organization provides services or care, as well as the impact that the decision will have on the residents. Some of the internal factors include the number of residents, cost of operations, and the number of staff employed and/ or on shift. External factors include residents family or guardian, resources, transportation, and social requirements. The decision that is up for discussion pertains to whether the organization should start providing transportation for the residents. Transportation services would include scheduled doctors appointments, religious services, and shopping. Emergency services would still be provided by the residents family or paramedics due to staffing considerations. Currently, all transportation for the residents must be provided by the residents family or guardian which is resulting in a decrease in the residents outings and social interactions. F. John Reh (2014), wrote the following in an article pertaining to the Pareto Principle, “The value of the Pareto Principle for a manager is that it reminds you to focus on the 20 percent that matters. Of the things you do during your day, only 20 percent really matter. Those 20 percent produce 80 percent of your results. Identify and focus on those things. When the fire drills of the day begin to sap your time, remind yourself of the 20 percent you need to focus on. If something in the schedule has to slip, if something isn't going to get done, make sure it's not part of that 20 percent.” If the organization follows this rule of thinking, then it would stand to reason that the company should indeed provide transportation for the residents. Currently, residents are not getting to their appointments or to the shopping centers due to the time restrictions that the residents family or guardians have. Also a concern is the distance and time it takes for some of the family or guardians to travel. The complicated part of this decision is to decide if the organization should invest in a small bus for transportation or enlist the employees to use their personal vehicles on an as needed basis. If the company chose to purchase a small bus, then the company will have to ensure that at least one employee per shift is trained and certified for small bus operation along with a valid drivers license. Also to be taken into consideration is the cost for comprehensive and liability insurance. If the organization chose to enlist the employees to utilize their personal vehicles, the the company will have to verify vehicle registration, drivers licenses, driving history, and insurance coverage for each employee that would be providing transportation. If the employee is expected to use their own vehicle, then the company needs to think about compensation for fuel cost along with compensation for the wear and tear that the employee will be putting on their vehicle using it for residential transportation services. Following Pareto’s Principle, it would be ideal for the company to provide transportation services for the residents. The benefits far outweigh the negatives for the company, residents, family members, and staff regardless of whether the company purchases a small bus or enlists the help of the employees. Not only will this allow the residents to make it to appointments and go shopping, it will also provide an avenue for the residents to attend social gatherings and activities outside of the facility. Taking all of this into consideration, the organization has decided that the cost of purchasing a small bus is justified and the company is now looking into their options for purchasing or leasing. After an inquiry, it was found that three of the eight current employees is already certified and trained for small bus operation. The transportation service option will be added to the resident contract/ agreement for new residents showing a charge of $25. per month with an opt out option. If the resident/ family or guardian choose to opt-out, they agree to provide their own transportation. For existing residents, they will have the same option of opting-out, but their charge will be waived for the first six months and $15 per month there after if they wish to continue transportation services through the facility. The amount being charged will help offset the cost of fuel and insurance, therefore keeping the cost of transportation justified to the organization. The facility residents and staff are excited with having transportation services. Besides making it easier to get residents to their destinations, having a small bus also allows the facility to plan outing that can include all of the residents instead of taking a couple at a time. Plans are already in motion to fill the summer weekends with outing to parks, museums, and theaters, and a weekend trip to a seniors activity camp.

Reference:
F. John Reh. About.com Management. 2014. Pareto's Principle - The 80-20 Rule: How the 80/20 rule can help you be more effective. Retrieved January 12, 2014 from: http://management.about.com/cs/generalmanagement/a/Pareto081202.htm

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