Question

Discuss the key steps associated with a strategic plan implementation in a healthcare organization. What are some of the challenges to implementation that a governing board may encounter?

Answer 1

Key steps associated with a strategic plan implementation in a healthcare organization.

Strategic planning in health care organizations involves outlining the actionable steps needed to succeed in specific goals.

Step 1 –Develop Vision & Mission

The organizations have created vision, mission, goals and objectives for supportive of the overall business strategy , which reviewed on a continuous basis for ever‐ changing environment and business constraints forced upon organizations through government, payers, competition, physicians, patients, vendors etc.

Step 2 ‐ Business and Operational Analysis

To understand an internal strengths and weaknesses as well as external threats and opportunities. It is critical to interact stakeholders from across the organization – and vendors also ‐ to supply their points of view.

Step 3 ‐ Develop and Select Strategic Options

All possible strategies should be developed based on the inputs. Then the list should be narrowed down to strategies that are within the guiding principles of the organization. Guiding principles identify the “ground rules” and parameters which will inform deciding for your organization.

Step 4 ‐ Establish Strategic Objectives

Once the strategies are tested it can be put together to form the strategic plan. The plan’s components should be specific, measurable, achievable, realistic and time‐bound (SMART).

Step 5 ‐ Strategy Execution Plan

To implement the chosen strategic options successful, you will need organizational ownership of the plan, which includes not only executive sponsorship, but also the active involvement of all staff members by communicating the plan to all levels of the organization.

Step 6 ‐ Establish Appropriate Budget and Resource Allocation

It is critical to receive leadership commitment on budget and resources before execution of the strategic plan.

Step 7 ‐ Execution Review

The effective strategy deployment is constant and on-going progress reviews. When issues, challenges, deviations or obstacles are identified, decisions and remediation are necessary – some which may even change the strategic direction.

The challenges to implementation that a board may encounter

1. Harnessing Advanced Health Technology

To harness the potential of healthcare technology to rework the health systems and develop a connected healthcare environment, healthcare leaders and clinicians got to forge closer ties with medical manufacturers and software application development companies.

2. Rising Healthcare Costs

The rising cost of healthcare directly impacts the revenue of the healthcare companies, as increased cost discourages patients in some ways , from taking lab tests to doing regular follow-ups post visit, which ultimately leads to poor patient outcome.

3. Payment Processing

One of the successful models is Accountable Care Organization wherein healthcare groups take responsibility for improving patient outcomes at a reduced cost.

4. Pressure on Pharmaceutical Prices

An industry-based regulatory body are often formed including all the representatives of all the stakeholders of healthcare and pharmaceutical industries to a minimum of control the hike in prices.

5. Healthcare Staffing Shortages

Shortage of doctors rectified by use of telehealth, Live streaming, store-and-forward imaging, remote patient diagnostics can improve access to healthcare even in remote regions.