Hospitals, like any other business, have organizational structures that keep them operating smoothly. Organizational structures in hospitals serve as the main chain of command. The unique thing that distinguishes hospitals from other organisations is that their organizational structures involve a combination of administrative and medical personnel.
A hospital board starts off the organizational structure of a hospital by being at the top of the chain. Beneath the board is the hospital’s administration, which is split into an administrative and medical side. The administrative side includes the Chief Executive Officer and Chief Operating Officer, while the medical side is where the Chief Medical Officer sits. These executives oversee the support department, such as Information Technology, Finance, Contracts and Billing and, of course, Medical Services.
Organizational structures are used by hospital personnel to understand the chain of command. According to an article in BNET.com, chains of command benefit organisations because they strengthen communication and describe who manages or supervises whom.
Since hospitals provide intense medical services, the organizational structure requires medical personnel to sit at the top of the pyramid, which is why Chief Medical Officers shares administrative reign with CEOs and COOs. This balance between business and medical has a positive effect on hospitals’ ability to provide professional services and quality care to patients.