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IS531_Lecture-3.ppt

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Lecture 3

Strategic Planning for IT Projects

(Chapter 7)

Learning Objectives

Strategic Planning Process: mission, vision, goals and objectives, strategy

Strategic Planning in Healthcare Informatics

Strategic IT Planning Process

IS 531 : Lecture 3

Strategic Management

IS 531 : Lecture 3

Strategic Planning

Creative and interactive ongoing process to determine what an organization wants to be in the future and how it will get there.

Development of a comprehensive long-range plan for guiding the activities and operations of an organization.

IS 531 : Lecture 3

Strategic Planning Process

Define the corporate vision and mission.

Specify achievable goals and objectives.

Develop strategies.

Set policy guidelines.

Determine products, services, and markets.

(Supporting technology must be factored into the strategic plan.)

IS 531 : Lecture 3

The Mission

Purpose for the organization’s existence

Represents fundamental and unique aspirations that make the organization different from others: who we are, what we do

Guides the planning process

All sub-units should be focused on the organization’s mission and how they contribute toward accomplishments.

IS 531 : Lecture 3

Scope of the Mission

Defines the type of activities and services that will be performed
Should be clearly identified (detailed) to help employees and customers understand the priorities of the organization
Serves as basis for development of certain goals and objectives

IS 531 : Lecture 3

Vision

A future view of what an organization would like to become

Be the hospital of choice in the region
Be national recognized as a best research center in the field
Etc…

IS 531 : Lecture 3

Goals and Objectives

Goal—explains how the mission will be realized ; describes what is to be accomplished

Objectives—specify how and when goals will be met

IS 531 : Lecture 3

Value Chain & Five Forces Model

IS 531 : Lecture 3

If an organization wants to decrease its buyer’s or customer’s power, it can construct its value chain activity of “service after the sale” by offering high levels of quality customer service

This will increase the switching costs for its customers, thereby decreasing their power (buyer power)

FIRM INFRASTRUCTURE

INBOUND

LOGISTICS

OPERATIONS

OUTBOUND

LOGISTIC

MARKETING

& SALES

LOGISTIC

SERVICE

HUMAN RESOURCE MANAGEMENT

TECHNOLOGY DEVELOPMENT

PROCUREMENT

VALUE

COST

MARGIN

Value Chain

IS 531 : Lecture 3

STRATEGIC

OPERATIONAL

EXECUTIVE INFORMATION SYSTEMS

MANAGEMENT INFORMATION SYSTEMS

TRANSACTION PROCESSING SYSTEMS

ACCOUNT I N

F I NANCE

HUMAN

PRODUCT

ION

SALES

OTHERS

TACTICAL

VALUE CHAIN

Information System in Organization

IS 531 : Lecture 3

Strategy

Strategy is a comprehensive plan that states how its mission, goals, and objectives will be achieved.

Understanding the endpoint (mission, goals, and objectives) is critical to the development of the plan.

IS 531 : Lecture 3

Strategic Planning

Led by upper management

Requires participation by middle managers

Lower-level managers are responsible for supporting the planning process by providing information and insight

IS 531 : Lecture 3

Strategic Planning

Chief Executive Officer( CEO)

Chief Information Officer (CIO) helps management see the role of IT in meeting goals

Chief Financial Officer (CFO) looks at costs/benefits

Chief Medical Informatics Officer (CMIO)

Chief Nursing Informatics Officer (CNIO)

Chief Strategy Officer (CSO) oversees the detailed plan

IS 531 : Lecture 3

Strategic Management

IS 531 : Lecture 3

SWOT Analysis

IS 531 : Lecture 3

SWOT Analysis …

IS 531 : Lecture 3

Strategic Planning in Healthcare Informatics

Strengths, Weaknesses, Opportunities, Threats (SWOT) analysis

Determine available options
Provide directions for all IT initiatives, establish priorities, eliminate all duplications, ensure the wise use of IT resources

IS 531 : Lecture 3

Planning for HIS

Realize need for change.

Prioritize requirements.

Develop a master plan that fits into the organization’s plan.

Review/revise plan periodically to keep up with changing needs.

Identify project champion/manager/teams.

IS 531 : Lecture 3

Planning for
IT in HIS

Does technology support business and clinical decisions?

Is technology used effectively?

Does technology enhance the image?

Does technology promote safety?

Are market and regulatory requirements met?

IS 531 : Lecture 3

Stakeholders in
Strategic Planning

Any group or individual who can affect or is affected by the achievement of the organization’s objectives

Have a direct or indirect stake in the organization mission, scope, goals

Internal as well as external parties

Should play role or interest being considered when identifying strategic planning teams

IS 531 : Lecture 3

Strategic IT Planning Process

Identification of Goals and Scopes

Gathering Data from External and Internal Environments

Data Analysis

Identification of Potential Solutions.

Select a Course of Action.

Implement the Chosen Solution.

Ongoing Evaluation and Feedback.

IS 531 : Lecture 3

Identification of Goals and Scopes

Goals must meet user needs and support organization missions/goals

Identified goals provide direction for HIS development process

Scope sets the boundary for the project: what to be done within current limitations in time, resources.

IS 531 : Lecture 3

Gathering Data from
Internal and External Environments

Define current situation

Identify areas of need

Consider current trends in healthcare and information technology

Scan internal and external environment for opportunities and how to comply with new directives

IS 531 : Lecture 3

Data Analysis

Analyze current trends: industry practices, IT supports

Determine how the organization fit in

Assess organization’s assets allocated to the project: technical, financial, time, and resources

IS 531 : Lecture 3

Identification of Potential Solutions

Identify ALL potential IT solutions/alternatives

Analyze, score, rank potential solutions in terms of technical, operational, economic, schedule, and risk (Ref. TOESR in Lec.2 § 47)

Remember to take into account other systems and legacy systems (potential ripple effects)

IS 531 : Lecture 3

* Potential IT Solutions *

Compliance with standards? Regulations?

Does it use open architecture?

What advantages are offered?

Support for PDAs? Other mobile devices?

User friendly?

Capability for expansion?

Report capability?

IS 531 : Lecture 3

* Feasibility Analysis *

Technical feasibility is a measure of the practicality of a specific technical solution and the availability of technical resources and expertise.
Operational feasibility is a measure of how well the solution will work in the organization. It is also a measure of how people feel about the system/project.
Economic feasibility is a measure of the cost-effectiveness of a project or solution.
Schedule feasibility is a measure of how reasonable the project timetable is.
Risk feasibility – What is the probability of a successful implementation using the technology and approach? (Risk Management)

IS 531 : Lecture 2

Feasibility Matrix

IS 531 : Lecture 2

No additional notes

Selecting a Course of Action

Select the alternative with highest weighted score from TOESR Analysis

In-house development (Build) vs. Outsourcing (Buy)

IS 531 : Lecture 3

Implementation

Develop a timeline for implementation / conversion: parallel, direct, phased, pilot

(Ref. Lec.2 § 64)

IS 531 : Lecture 3

* System Conversion *

IS 531 : Lecture 2

Ongoing Evaluation and Feedback

Frequently evaluate current system against current and future needs for improvements

Due to limited resources, some initial requirements are put in backlog but outcome these processes still affect the new system

Dynamic changing healthcare environment: new directions, new practices, new information technologies

IS 531 : Lecture 3

* Benchmarking *

Measure organizational as well as functional services and practices against those from top competitors in the industry

If the current HIS doesn’t support well new needs, start a new systems development cycle

IS 531 : Lecture 3

CNIO Role

Serve as a bridge between nursing and IT professional

Have knowledge on health /nursing sciences informatics and information technologies

Participate in design, selection, and implementation of heath information systems

(Role of Business System Analyst)

IS 531 : Lecture 3

Project Manager Role

Define scope and results of project.

Identify tasks within the project.

Identify when tasks must occur.

Define who is responsible for each task.

Establish timelines for completion.

Establish process for project decisions.

Provide communication about project status.

IS 531 : Lecture 3

Project Team

User department managers and employees

provide context and requirements

know the work processes

key to project success

IS Specialists: Analysts and programmers

Make the necessary system changes

IS 531 : Lecture 3