What might the board have done as they faced such a risky decision?

Olivia Clark is only a year into her job as CEO of Pineview Hospital, a 100-
bed community hospital. From the first board meeting she attended, she felt pressure from the group to open a large cardiac care center in the facility. To do so meant purchasing very expensive diagnostic and treatment equipment, adding or reassigning dedicated hospitals beds—including cardiac intensive care services—and recruiting and paying physicians and staff to support the services. It was a significant expense for a midsize facility such as Pineview, but board members insisted the need was there. The community was aging. Heart disease was the number one cause of death in the population.
Board members felt the increased business would more than cover the costs.
Although she initially felt the financial risk to Pineview was too high, Olivia eventually shifted her view and joined with the board to support the plan.
It was not long before the original budget for the new services had to be nearly doubled to cover the costs of facilities, equipment, supplies, and personnel. Now that the new cardiac wing has opened, Olivia and the board members are facing a lot of criticism from external auditors and the community for spending so much.