Leveraging IT and Business Network by a Small Medical Practice

Abstract

Although many medical information technologies require significant financial investment and are often out of reach of small medical practices, it is possible through careful alignment of IT and customer strategy, together with a network of strategic alliances to exploit IT effectively. In this case we present a small cardiology consultancy that has engaged in strategic planning in its attempt to leverage IT expertise to attain competitive advantage. We propose that through a network of alliances, a relatively small medical enterprise can benefit from its limited IT investment. The case study indicates the importance of a team of champions with both IT and medical knowledge and the notion of mutual benefit. We also discuss some of the issues faced by all participants in this alliance relationship. The objectives of this case are to provide readers the opportunity to: 1. Discuss how a small medical practice can leverage skills, expertise and opportunities within a strategic alliance to enhance its competitive advantage without heavy up-front financial investments. 2. Explore how small businesses in the professional and knowledge-based industry can gain strategic advantage through IT. 3. Understand the pros and cons of strategic alliances and potential issues related to building trust, consolidating relationships among members and risk management of such alliances on an ongoing basis. 4. Think about the plausibility of business transformation by moving from one industry (specialised cardiology services) to another (medical informatics).