principles and process dr lee gruner racma 1 strategic planning
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Principles and Process
Dr Lee Gruner RACMA1
Strategic Planning
Why plan?
Dr Lee Gruner RACMA2
“The best way to predict our future is to
create it”Stephen Covey
What is strategic planning?
Dr Lee Gruner RACMA3
A disciplined effort to produce fundamental decisions and actions that shape and guide what an organisation is, what it does and why it does it with a focus on the future
Why strategic?
Dr Lee Gruner RACMA4
Involves preparing the best way to respond to the circumstances of the organisation’s environment , whether or not its circumstances are known in advance.
Why planning?
Dr Lee Gruner RACMA5
Involves intentionally setting goals and
developing an approach to achieve the goals
Why does strategic planning fail?
Dr Lee Gruner RACMA6
Preparing the planNot involving the right peopleNot listening to the right peopleNot understanding what our business isNot having the right dataSetting unrealistic goals
Implementing the planSetting inappropriate timelinesResponsibilities for achievement not allocated or
inappropriately allocatedNo one responsible for monitoring progressChanges in environment, leadership, hospital role
Process of strategic planning
Dr Lee Gruner RACMA7
Should be done with a team of the right people
Decide on the processDo you have all the data you need?How much staff engagement is required?How critical is the plan to your future?Do you need a consultant to assist with
identifying issues, engaging staff, collecting data?
Do you need a strategic planning event?
Process of Strategic Planning
Dr Lee Gruner RACMA8
Once you have the right people and enough background data:Organise a strategic planning session- this may
take one to two days for a whole organisation / half to one day for a department
Take people away from the organisation so they can’t go and do some work
Turn off mobile phonesUse a professional facilitator to ensure you get the
outcomes Document the outcomes
Structure of the session
Dr Lee Gruner RACMA9
Identifying changes in the environment and our business
Understanding what business we are in and what business we could be in
Identifying the driving force of our business
Quality Directions Australia June 200510
Understanding what has changed?
How has our business changed in the last three to five years?
How has our industry changed in the last three to five years?
How is our business likely to change in the next three to five years?
How is our industry likely to change in the next three to five years?
Why is this important?Review of what we have achieved over timeAn understanding of how external factors have
impacted on our businessShared understanding of where we are now both
in the environment and in our businessMaking an educated guess as a group as to what
is likely to change externally and impact on our business
Making some group discussions about where our business is likely to go
This allows us to provide a degree of certainty in an uncertain future
Dr Lee Gruner RACMA11
Quality Directions Australia June 200512
What business are we (could we be) in?
What business(es) are we in? What business(es) could we be in? What business(es) should we be in? What business(es) should we not be in? What is unique or distinctive about us? Who are and should be our principal
customers, clients, or users? What are and should be our principal
products and services?
Quality Directions Australia June 200513
Driving forceThe primary determiner of the scope of future
services and markets.The driving force is the dominant factor that
most influences the making of major decisions. Services offered-delivers specific services for its
market. Market needs-focuses on meeting the needs of
specific markets Customer needs-focuses on meeting the needs of
specific set of customersHuman resources- leverages employee skills,
trainingService capability- leverages employee uniqueness,
depth
Quality Directions Australia June 200514
Driving forceServices offered-delivers specific services for its market-
services for community as a whole- we decide what we want to deliver- as a local hospital we think we need to provide these services
Market needs-focuses on meeting the needs of specific markets – we assess what our market needs and develop services to meet the needs- the community has specific needs and we will provide those services
Customer needs-focuses on meeting the needs of specific set of customers-diabetics have these needs and we will provide what they need
Human resources- leverages employee skills, training- uses special skills of staff to develop specific services-we can train our staff to provide specific services
Service capability- leverages employee uniqueness, depth- enhances staff capability to develop specific services
A new private cancer hospital
What is our driving force?A private company has 4 general hospitals.
It decides to build a new cancer hospital. This is the first private hospital in the area that specialises in cancer
Dr Lee Gruner RACMA15
Quality Directions Australia June 200516
S M C HR SC
S
M
C
HR
SC
Driving force prioritisation
Quality Directions Australia June 200517
Mission statement
The products and services you provide, for whom and how
The statement should be:FocusedClearSpecificDistinctiveShort
Quality Directions Australia June 200518
Vision statementA concrete statement of your
ultimate dreams for the organisation and the world that you can impact through it.Future orientedEasy to understand and rememberReflect your company's uniquenessAmbitiousCreativeInspiringBrief Paints a picture of the future
Quality Directions Australia June 200519
SLOT analysis
Internal factorsStrengthsLimitations
External factorsOpportunities ThreatsConsider Political/ Economic/ Social /
Technological factors and their impact
Quality Directions Australia June 200520
Developing the strategy
How to fulfil the missionHow to move towards the visionDriving force is key to decision makingSecondary and tertiary drivers are decision
influencersConsider critical issues
Quality Directions Australia June 200521
Strategic Objectives
STRATEGIES NEED TO BE:
SpecificMeasurableAchievableRealisticTimely
Quality Directions Australia June 200522
Strategic Action Milestones
Timeframes- should be realisticPerson responsibleResources required- people/ capital/ moneyMeasurement of progress- determine what
the process should be
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