Strategic Management of Health Care Systems
6271 Assessment 2
• External Environment Review
Develop a 3–5 page report on the external environment. Describe trends that could affect a strategic plan, explain the role of key external stakeholders, and describe uncertainties or barriers to achieving the objectives.
Note: The assessments in this course are presented in sequence and must be completed in order.
By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:
• Competency 3: Analyze the effect of internal and external environments on the strategic planning process within health care organizations.
o Describe trends that can affect a strategic plan.
o Explain the role of key stakeholders in a strategic plan.
o Describe the uncertainties and barriers to achieving the objectives of a strategic plan.
Competency 5: Communicate in a manner that is professional and consistent with expectations for business professionals.
o Write content clearly and logically with correct use of grammar, punctuation, and mechanics.
And in the past year alone, about 10 million uninsured Americans finally gained the security of health coverage. So tonight, I’m launching a new Precision Medicine Initiative to bring us closer to curing diseases like cancer and diabetes, and to give all of us access to the personalized information we need to keep ourselves and our families healthier. We can do this. (Obama, 2015)
A strategic management plan requires an analysis of various external organizational factors impacting the health care industry and integrating them into the organizational strategy.
Obama, B. The White House, Office of the Press Secretary. (2015). Remarks by the president in state of union address. Washington, D.C.: Retrieved from https://www.whitehouse.gov/the-press-office/2015/01/20/remarks-president-state-union-address-january-20-2015
Questions to Consider
To deepen your understanding, you are encouraged to consider the questions below and discuss them with a fellow learner, a work associate, an interested friend, or a member of your professional community.
What are some advances in health care delivery that could affect a strategic management plan How would these advances affect the plan
Where would you go to obtain information on potential future competitors
The following template is required to complete Assessment 2:
External Environmental Analysis
These resources will help you look at the external environment and how different things affect an organization’s strategy:
Business Analysis Excellence. (2016). Organization environment analysis [Video] | Transcript. Retrieved from https://youtu.be/Vou9RBKbYvM
Pestle Analysis. (2011). How to create a pestle analysis template. Retrieved from http://pestleanalysis.com/how-to-create-pestle-analysis-template/
Zuckerman, A. M. (2012). Healthcare strategic planning (3rd ed.). Chicago, IL: Health Administration Press. (Available for purchase in the bookstore.)
o Chapter 3, “Activity 1: Analyzing the Environment,” pages 33–56.
Health Care in the United States
The following resources provide information on health care in the United States:
Healthcare Triage. (2014). The health care system of the United States [Video] | Transcript. Retrieved from https://youtu.be/yN-MkRcOJjY
Medicaid.gov. (n.d.). Health homes. Retrieved from https://www.medicaid.gov/medicaid/ltss/health-homes/index.html
U.S. Department of Veterans Affairs. (2017). Veterans Health Administration. Retrieved from http://www.va.gov/health/
Centers for Medicare & Medicaid Services. (2015). Accountable care organizations. Retrieved from https://www.cms.gov/Medicare/Medicare-Fee-for-Service-Payment/ACO/index.htmlredirect=/ACO/
The Future of Health Care
These videos give perspective to the future of health care in the United States:
Conway, P., DeSalvo, K. B., Sesharmani, M., & Bielamowicz, L. (2015). Better, Smarter, Healthier: The Future of Health Care | Transcript. Advisory Board: The Future of Health Care Summit Presentations. Retrieved from https://youtu.be/qCeEEQQjuAA
Milken Institute. (2014). Healthcare Delivery in the 21st Century | Transcript. Retrieved from http://www.milkeninstitute.org/events/conferences/global-conference/2014/panel-detail/4811
Exemplar resources for the course
It may be helpful for you to review these exemplars prior to beginning your work on the assessment.
Johns Hopkins. (2013). John Hopkins Medicine strategic plan. Retrieved from http://www.hopkinsmedicine.org/strategic_plan/_docs/JHM%20Strategic%20Plan_Sept2013.pdf
Niles, N. J. (2010). A case study in strategic financial planning in health service organizations. Journal of Business Case Studies, 6(5), 23–29.
Howard, B. (2015). St. Michael’s Hospital Strategic Plan 2015–2018 | Transcript. Retrieved from https://www.youtube.com/watchv=UQ3pOf5JLIM
Strategic Management Case Study
If you do not currently work for a health care organization, or if you prefer not to use the organization where you work for the course assessments, you may choose to use this case study to complete the assessments:
Community Hospital Healthcare System: A Strategic Management Case Study.
You will use the same organization you selected to use in Assessment 1 in this and all subsequent assessments.
Complete Worksheet 2 located in the Required Resources section. You will not submit the worksheet, but will use the information to develop a report on the external environment relevant to the organization you selected.
Use the information in Worksheet 2 to develop a 3–5 page report that addresses the following:
Describe any trends that could impact your strategic plan.
Explain the role of the key external stakeholders in your strategic plan. Be sure you identify the key stakeholders.
Describe any uncertainties or barriers to achieving the objectives you established in Assessment 1. How will you overcome these
Format your assessment as a report and be sure it is organized logically, using headings and sub-headings appropriately. Follow APA guidelines for in-text citations and references.
Report length: 3–5 double-spaced pages, not including title page and reference page.
References: A minimum of three professional resources.
Format: Use APA format for all in-text citations and references. Include a title page and reference page.
Font and font size: Times New Roman, 12 point.
Analyzing the Environment – External Environment
Complete this matrix using the readings from the textbook, additional reading and video materials, as well as the case study for this course. Use the information you collect here to complete an initial plan for the development and dissemination of the strategic planning documents you will develop throughout the course.
Competitive Advantages Competitive Disadvantages
Element Identify the Activity Record Findings
Review role statements and organizational framework.
Analyze external characteristics and utilization trends.
Identify the major external stakeholders and their role.
Conduct primary market research.
Review government regulations that may affect the goal.
Analyze other critical external resources and trends.
Analyze financial performance and position in market.
External assessment of the end product.
Reinforce future orientation.
Using the exhibits in Chapter 3 of the textbook and the data collected above, complete the following chart:
Define scope, both the time frame and scope of analysis.
Identify major external stakeholders and role.
Identify basic external trends.
Identify key uncertainties and barriers.
Identify additional research needs.
Develop quantitative methods as necessary.
Develop qualitative methods as necessary.
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