assignment week 1 Health care organization

Chapter 3: Strategic Planning

Objectives

• Identify the purpose of strategic planning

• List the six steps of strategic planning

• Describe the importance of a mission, vision, and values

• Describe how to use analysis of strengths, weaknesses, opportunities, and threats (SWOT)

• Explain the strategic uses for Healthy People 2020

• Describe Mobilizing for Action through Planning and Partnerships (MAPP)

Outline

• Strategic Planning

• Operational Planning

• Strategic Planning for Community Health

Strategic Planning

• Defined as the process of developing strategies which develops an overall sense of direction for the future

• Strategy – address the question of how to position an organization in its environment

• Strategic planning is not as widely used in not- for-profit and public health organizations

Strategic Planning (continued)

• Strategic Planning is 1 of 3 different types of planning used by management:

1) Strategic Planning – based on the mission, vision, and values of an organization

2) Operational Planning – identifies and presents program goals and objectives

3) Budget Planning – allocates the financial resources of an organization based on strategic and operational planning

Guiding Statements

• Mission

• Vision

• Values

Mission Statement

• Delineates an organization’s purpose and reason for existence.

• Communicates the current intentions of the organization

• Example: “Healthy People 2020 strives to identify nationwide health improvement priorities and engage multiple sectors to take actions to strengthen policies and improve practices that are driven by the best available evidence and knowledge…”

Vision Statement

• Targeted description of the future outcomes expected if the organization is successful

• Somewhat idealistic, because visions are intended to motivate people and enroll the hearts, as well as the minds, of organizational stakeholders

• Example: “Healthy People 2020 envisions a society in which all people live long, healthy lives”

Values Statement

• Tends to be philosophical and often reflects the beliefs or ethical systems of the founders

• Example: “Healthy People 2020 values the promotion of quality of life, healthy development, and healthy behaviors across all life stages…”

Healthy People 2020

• Initiative utilized by the U.S. Department of Health and Human Services (DHHS) which includes a list of strategic priorities for national health promotion and disease prevention efforts

• HP 2020 is a tool used by all levels of government and the public health systems (state and local departments of health)

Six Steps of Strategic Planning

• Internal organizational assessment

• External environmental assessment

• Analysis of internal strengths and weaknesses

• Analysis of external opportunities and threats

• Identification and evaluation of strategic issues and choices

• Selection of strategic priorities

Steps of Strategic Planning

• Step # 1a and # 1b:

Internal Organizational Assessment; External Environmental Assessment

Review of how the internal and external environments affect an organization:

 Internal assessment includes laws and regulations, competitors, and demographics

 External assessment includes staffing ratios, patient satisfaction rates, and performance measures

Steps of Strategic Planning

• Step # 2a and # 2b:

Analysis of Internal Strengths and Weaknesses and External Opportunities and Threats (SWOT)

– Identify the factors that represent internal strengths and weakness of an organization (example: high quality services or low productivity)

– Identify the factors that represent external opportunities and threats to an organization (example: increased funding or deteriorating economy)

Steps of Strategic Planning

• Step # 3:

Identification and Evaluation of Major Strategic Issues and Options

 Utilizes the SWOT analysis to identify strategies

 Key Issue Analysis – assessment of all events, which if they occur or not, would have an important impact on the organization

 Forecasting – predicting or estimating future events in the environment based on past or present trends

Steps of Strategic Planning

• Step # 4:

Selecting Strategic Priorities

– Reviews potential options identified in Step # 3 and selects appropriate strategies to pursue which addresses key issues

Operational Planning

• Requires setting goals and objectives at the tactical level, usually the departmental and subunit level, for carrying out the organization’s strategies

• A business plan is a common type of operational plan

– Describes services, products, or programs and there markets

– Makes projections

Budget Planning

• Budget plans are common planning mechanisms

– Capital budget for major purchases

– Operating budget for annual revenues and expenses

– Cash budgets to predict inflow and outflow of cash

Strategic Planning for Community Health

• Due to the unique characteristics of public health a specific strategic planning process was developed by the National Association of County and City Health Officials (NACCHO) and Centers for Disease Control and Prevention (CDC) called Mobilizing for Action through Planning and Partnerships (MAPP)

MAPP

• The MAPP process is designed to create a complete picture of the resources available to the local public health system

Aids in: 1) Securing resources

2) Aligning needs and assets

3) Responding to external circumstances

4) Anticipate and manage change

5) Establish a long-term direction for improving the health of the community

MAPP Process

• Step # 1:

Organizing for Success

– This step involves organizing the planning process and developing partnerships within the community

– Example: coordinate participation from key stakeholders and build relationships with appropriate external institutions

MAPP Process

• Step # 2:

Visioning

– The visioning step engages stakeholders in a collaborative, creative process of developing a shared community vision with common values

– Example: draft vision and values statements

MAPP Process • Step # 3:

Conducting Community Assessments

Four community assessments provide information about internal and external environmental trends relevant to the community:

1) Community Themes and Strengths Assessment

2) Local Public Health System Assessment

3) Community Health Status Assessment

4) Forces of Change Assessment

MAPP Process

• Step # 4:

Identifying Strategic Issues

– Development of prioritized lists of the most important issues facing the community, based on the results of the 4 community assessments and the shared vision/values

MAPP Process

• Step # 5:

Formulating Goals and Strategies

– Develop strategy statements by using the issues identified in the previous step and formulating goals

– Example: “decrease childhood obesity by implementing three new education programs”

MAPP Process

• Step # 6:

Action Cycle

– Implementation of an action plan to address priority goals and objectives with the intent to evaluate progress and make necessary adjustments

– Example: utilization of the Plan-Do-Check- Act cycle