An analysis of hospital capacity management patterns using Miles and Snow's typology

In this research, we have explored capacity management changes US hospitals have made to move from service-providing orientation to market orientation. The study focuses on strategic capacity management issues and identifies various capacity management patterns that have been developed by US hospitals in response to the market change. In this study, we used a number of hospital demographic variables to analyse hospitals' capacity management decisions. A comparison of the capacity patterns among large, median, and small hospitals is provided through evaluating prospector, analyser, defender and reactor hospitals using Miles and Snow's typology. The study contributes to the existing literature in the health service capacity management area by indicating the effects of capacity decision patterns on the expected performance. The study also provides useful information for hospital administrators when they are making capacity decisions and evaluates expected performance related to each capacity pattern.