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You hired as the Director of Operations Director for a publicly-held hospital chain. You have been asked to evaluate the organization's strategic planning approach because of changes in recent legislation (Affordable Care Act, Health Information Technology for Economic and Clinical Health (HITECH), Health Insurance Portability and Accountability Act (HIPAA), the Joint Commission, etc.). To gather data for your assignment, identify a publicly-held health care organization of your choice. You may use the Cybrary to search for market information.
Prepare a report of 5 to 7 pages with at least 5 academic or professional references published in the past five years that indicates the following:
Identify all of the stakeholders that are involved and impacted by the organization.
Differentiate internal from external stakeholders, and evaluate the relationship between the organizational mission and vision for each stakeholder group based on strategic planning components.
Evaluate at least 3 business units or stakeholder groups that should be subjected to further evaluation to support the strategic initiatives of the organization, and provide your rationale and justification.
Analyze the mission and vision statements of the organization from the perspective of each of the identified stakeholders.
Assess the organization's approach to addressing recent health care legislation, and provide an evaluation of the strategic response that is commonly employed.
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Healthcare Organization Strategic Planning Approach Solution
Strategic planning helps healthcare organizations to take cognizance of key stakeholder needs to develop mission, vision and value statements using stakeholder input to manage risk and set their strategy going forward.
1. Identify all of the stakeholders that are involved and impacted by the organization.
What are healthcare stakeholders? - Those individuals or groups with a stake in the healthcare organization (HO) and who influence its success (Wiseman et.al 2016). These may include the following:
1.1. Providers-accuracy of diagnosis, appropriateness of therapy, resulting health outcome. Providers want to provide the best service using the most accurate and newest tests and treatments (also likely most expensive). They also want to provide preventative care which the insurance company (payer) may not cover.
1.2. Payers-Focus on cost-effectiveness. Payers want providers to follow clear, evidence based, diagnostic plan and reach an accurate diagnosis and treatment plan with the fewest visits and least number of tests.
1.3. Employers-Want both to keep their costs down, and to get their employees back to work quickly. Employers want to maintain or lower their cost contribution. They want the patient/employee to seek only needed care, follow providers' instructions, and recover quickly to full utility. Patients should also seek to reduce their health risk behaviours, i.e. diet, exercise and smoking cessation.
1.4. Patients-. Patients expect an employer to offer a wide variety of options for health coverage that can be customized to their specific needs. They also look for the employer to fund the majority of the cost of health insurance. Basic premise is to provide the most options and the least out-of-pocket cost to the employee.
1.5. The broader community
1.6. Legislative and regulatory bodies
In strategic planning, Key stakeholder expectations and needs are incorporated into the statements that make up the organizations' strategy i.e. mission, vision, and values which map out its purpose, its future aspirations and values and how it aims to perform.
2. Differentiate internal from external stakeholders, and evaluate the relationship between the organizational mission and vision for each stakeholder group based on strategic planning components.
2.1. External Stakeholders-Those individuals that can influence the organization but the organization cannot in turn influence them(Perera 2012) examples are:
2.1.1. Clients-Those who benefit from the services of the healthcare organization. They may be segregated by demographics, socioeconomic factors. The mission should clearly state what clients can expect(Want compassion as well as skill with clear communication) and the vision(should state the future capacity)
2.1.2. Competitors-Those that compete for business with the HO. The mission should state ...
Healthcare strategic planning recognizes the role played by stakeholders in any healthcare organization and leverages on their strengths to position the organization for advantage. Stakeholders vary from external to internal, each with their own perculiarities. This solution guides the student in evaluating the strategic statements for 3 selected healthcare organizations as they position for advantage in the environment of the Affordable Care legislation.
References have been cited for further reading.