Nov 20, 2020 in Health

Community South Medical Center

Strategic Planning in Medical Center

Strategic planning is an essential part of successful long-term operation of all companies and organizations because it determines the desired level of future development, as well as methods of how to achieve a certain entity's objectives. In particular, for health care field, establishing a strategic plan is beneficial for overcoming the fields challenges. Thus, the Community South Medical Center, a large for-profit healthcare facility that is located in an older urban area, has faced a business challenge in the local community, as small businesses replace the large organization. Therefore, the Community South Medical Center has to create an effective strategic plan, in order to overcome the issue and meet organizational goals.


SWOT Analysis

Organizational strategic planning requires realistic and careful assessment of a situation. While assessing strengths, weaknesses, opportunities, and threats of an organization, SWOT analysis can help to see the general picture and understand the core organizational issues and factors that work for and against the organizations objectives. SWOT analysis can also contribute to the refreshment of the strategic plan, which in case of the Medical Center, has not been revised for three years.

As we can see, one of the main weaknesses of the organization is shortage of staff in providing comprehensive health services, such as acute care, in-home nursing, residential care, hospice, a major trauma, and pediatric services. Therefore, filling the positions in these areas, in particular respiratory therapists, registered nurses, and medical technologists, is the major need of the organization, as well as a necessary element to ensure the effective delivery of quality health care services to clients.

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In this regard, the major strength of the Community South Medical Center is a positive reputation of an organization, thanks to striving to enhance the quality health services to its clients and providing its employees with well-paying jobs. Additionally, the company received a Baldrige Center of Excellence evaluation and a Joint Commission approval as a reward for their high-quality services, which contributed to its excellent reputation among the public.

The Medical Center operates in the area, where the elderly population is becoming the predominant part of the community. For the center, this opens a wide range of opportunities to provide services to them. Besides, the organization is well supplied with physicians, which are ready to support the development of health care programs for new groups of customers. At the same time, there is also a threat to existence and further development of the South Community Medical Center due to the shift of the patient care mix. Thus, based on the scenario, the Medicaid is up by 20%, the Medicare is down by 12%, the managed care is down by 20%, and no-pay is up by 25%, while the private pay and the employer sponsored health insurance are unchanged.

Hereby, each strength, weakness, opportunity, and threat correlates with the issue of staff shortage in most areas of the Community South Medical Centers. Thus, such strength as the excellent reputation provides the organization with a favorable strategic position that simplifies process of attracting skilled staff members. Although the organization has an abundant supply of physicians, without registered nurses, respiratory therapists, and medical technologists, they will be unable to deliver quality services to the clients. This will lead to such weakness as workforce shortage that will result in delays in customer service and exhaustion of existing clinical staff due to high overtime rates. In its turn, the opportunity of the aging population means the available areas of business for the Medical Center, as aged people need more health care services than the youth. Consequently, more staff will be engaged in business and more skills, knowledge, and technologies have to be implemented to provide quality services to different groups of people. At last, the threat of the shift of the patient care mix may lead to the shift in means of reimbursement. Thus, as a result of the growing number of those who cannot pay and decrease of the managed care orders, the reimbursement may be reduced and, hence, the clinical staff would receive lower salaries than before.

Strategic Mission and Plan

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Once the SWOT analysis and assessment are conducted, it is time for the CEO of the Community South Medical Center to revise the strategic plan of the organization. Evidently, there is a need in the new strategic plan because after three years, the company has faced new challenges and trends. Unless CEO revises the strategic plan this year, the health care center may be unable to maintain its effectiveness and competitiveness and, consequently, fully replaced by smaller organizations. Moreover, the longer the company does not develop the strategic plan and undertake appropriate actions, the harder it will be to handle the issues. The strategic plan of the Medical Center must correspond to the organizational requirement of quick and effective satisfaction of customers needs.

For effective strategic planning, the Community South Medical Center has to revise and define its strategic mission. It is crucial because the strategic plan must be based on the strategic mission, as well as contributes to its fulfillment. The mission of the Medical Center is to enhance the health care services to people it serves. Since the issue, such as the shortage of clinical staff influences the quality of service, the vacant positions must be filled with specialists, who will provide quality services to population, thus, attracting new customers to the organization.

Leadership Positions of the Strategic Management Team

The strategic management team has to include the chef from each department, as well as the members from the workers unions. Among others, there should be also the finance manager, manager from the audit and procurement departments, administrators, as well as community leaders. Each of these members can contribute to creating the strategic plan in terms of his or her competence. Since the plan should represent the development in all key areas of the Community South Medical Center, all the organizational stakeholders should delegate their representatives to the strategic management team. These parties must ensure that all the current and future issues and needs of the organization are involved into the plan.

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Market Trends of the Health Care Industry

In the foreseeable future, the need for skilled employees, able to achieve various goals of health care organizations, will increase. Moreover, because of the development of information technology and increased job complexity, highly trained workforce is needed. Hereby, the shortage of a hospital workforce is a crucial problem of the healthcare system. Thus, according to the statistics, the vacancy rates for nurses, pharmacists, and imaging technicians is over 10 % . The problem will be getting worse, because a decreasing number of graduates from health education faculties, such as nursing and pharmacy, are unable to supply the increasing demand in health care professionals.

In order to resolve the problem in the long run, the health care organization may choose developing creative strategies to attract and recruit new skilled professionals. Since students do not want to become health professionals due to more attractive options at the labor market, HR managers need to promote favorable work conditions at health care organizations to attract and retain the young professionals. Additionally, changes within health care sphere and within the general business environment cause modifications in the practice of health care, and appropriate adjustments should be continuously made in strategic plans of health care organizations. Lastly, to ensure that the organizational needs and challenges are met effectively and efficiently, health care organizations should transform themselves at the operational level to being focused on goals and future vision.


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