Action Plan

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FINANCIAL RATIOS PAGE 2

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Module Notes: Developing an Action Plan

KU Work Group for Community Health and Development. (n.d.). Developing an action plan. In Community toolbox (Chapter 8, Section 5). Retrieved from http://ctb.ku.edu/en/table-of-contents/structure/strategic-planning/develop-action-plans/main

Mind Tools. (n.d.). Action plans: Small scale planning. Retrieved from http://www.mindtools.com/pages/article/newHTE_04.htm • Entrepreneur Media SA (Pty Ltd). (2012). Sample marketing plan template [PDF, 61.91 KB]. Retrieved from http://www.entrepreneurmag.co.za/wp-content/uploads/2012/12/Action-Plan-Template-Download.pdf

Module Notes

An action plan is a written document that details the steps needed to fully complete a project. It is used to show who is involved, and the deadlines, milestones, and resources consumed each step along the way. It also sets the basis for other areas, such as risk assessment and accounting, to determine whether or not the project is feasible.

Managers do everything! Perhaps this is somewhat overstated, however it is important to recognize that a manager is more than a boss. A manager is a politician, a counselor, an event planner, a human resource specialist, and yes, sometimes a boss. Planning refers to a broad range of activities. When a manager works to establish the budget for the year, determines where to open an office, works on production quotas, or develops staffing plans, he or she is planning. Without measurable plans it would be next to impossible to hold individuals accountable and to gauge the success of the employees.

Once a plan is in place, the manager must be able to organize his or her resources to achieve the best results. Questions such as what needs to be accomplished, what resources are needed to accomplish the goal, and who will do what to accomplish the goal all must be answered by managers throughout the world every day. It is through the organization of individuals and resources that managers earn their keep. A manager is very much like a conductor of an orchestra; each musician has a specific set of skills and talents, but it is the conductor who pulls it all together.

Making decisions is a part of every supervisor’s daily life. It is impossible to perform the other management functions without making decisions. As one plans for a new business, a new product line, next year’s budget, and so on, decisions must be made as to who will perform which tasks and how. At the end of the day, the decisions made by managers should steer the organization in the direction of meeting its goals. What resources to use, how to use them, when to use them, and more are all a part of the decisions managers and leaders must grapple with. By bringing together resources, planning, organizing, and making decisions, managers are able to add value to the organization and do so in a measurable and meaningful way.

Exercise: What are plans?

Even the best plans have an element of uncertainty. This uncertainty can lead to difficulty in measuring the success of a plan, but it is that measurement that makes the plan and the planning process worth the investment of time and resources. Planning without the intention of, and the ability to, monitor outcome is wasting time and resources that cannot be recovered. There is an important distinction one must make between the plan and the results of the plan. The plan itself is not useful. It is simply a document or idea of how to accomplish a particular objective or to overcome an obstacle. With this being said, when the plan is executed, it becomes more than a passive document and helps to guide the process, therefore becoming useful.

If the plan itself, without action, is useless then one must examine the useful components of planning and execution, as this is where the value of a plan shines. The process of planning is active in nature. “Planning involves determining appropriate goals and deciding on the means to achieve them, making assumptions, developing premises, and reviewing alternative courses of action” (Liebler & McConnell, 2008, p. 89). The goal of a plan is to establish a goal and then to develop strategies to achieve the stated goal. “Since planning is intended to focus attention on objectives and to reduce uncertainty, there must be a clear statement of goals” (Liebler & McConnell, 2008, p. 91).

Once the goal or goals have been established, the process of developing plans to achieve those goals begins. “Premising includes an analysis of planning constraints and a statement of the anticipated environment within which the plans will unfold” (Liebler & McConnell, 2008, p. 91). Constraints come in many forms and may include operational limitations, organizational limitations, financial limitations, relationship factors, legal and regulatory compliance, and resistance to change (Pozgar, 2008). Each of these constraints and others should be considered and integrated as a part of the plan. Failure to recognize the constraints an organization may have can lead to a plan that is ineffective and unprepared to deal with the realities that exist.

Although the goals of a plan may or may not remain static, it is important to recognize that a plan must provide for inevitable change as it is developed and subsequently implemented. “Plans should have a built-in capacity to change, an adaptability” (Liebler & McConnell, 2008, p. 95). This is perhaps where the art of planning enters the equation.

Developing a plan with unrealistic expectations and outcomes is as bad as developing a plan where the expectations are set too low. “The manager seeks to balance plans so that they are neither too idealistic or too practical or limited” (Liebler & McConnell, 2008, p. 95). Since plans are carried out by individuals, it is important that the plan recognize the human factor. Doing so recognizes the needs of employees or stakeholders, which should yield better results.

References

Liebler, J., & McConnell, C. (2008). Management principles for health professionals (5th ed.). Sudbury, MA: Jones and Bartlett Publishers, LLC.

The final process improvement plan puts it all together: your problem, your new process, your budget, your required resources, your risk assessment, and your action plan. This document will be submitted in Module 8. During this module, you will complete the final component of your process improvement plan, the action plan. After receiving feedback you should start compiling it all together. The discussion in this module is an opportunity for you to ask any questions related to either your process improvement plan or the presentation you will be giving in Module 8.