BHA FPX 4104 Assessment 2 Strategic Analysis and Operational Considerations

• BHA FPX 4104 Assessment 2

Strategic planning plays a vital role in navigating the competitive healthcare industry. This analysis for BHA FPX 4104 Assessment 2 explores the impact of competition, evaluates strategic frameworks, and examines the internal, general, and external environments that influence healthcare organizations. Healthcare leaders can implement effective strategies to ensure long-term success by understanding these factors.

Part 1: Understanding the Environment

The Role of Competition in Healthcare

Competition in healthcare has sparked debates among industry professionals. Critics argue that competition is inappropriate in an industry focused on restorative care, while proponents believe it lowers costs, enhances service quality, and promotes innovation (Pauly, 2019). At institutions like St. Anthony Medical Center, strategic planning must account for external competition to safeguard organizational objectives and maintain patient-centered care.

As outpatient services and private practices grow, hospitals must adapt to shifting patient demographics and increased competition. For example, outpatient surgical centers often attract patients with lower operational costs and shorter wait times. To counteract this, organizations must integrate competitive strategies into their plans to sustain revenue and retain patient populations.

Balancing Internal and External Variables

Effective strategic planning requires balancing internal factors, such as resources and organizational culture, with external influences, like market trends and regulatory changes. Healthcare organizations can remain proactive by analyzing competitors and identifying potential threats. For instance, St. Anthony Medical Center must monitor competitors like Greenway Surgery Center to prepare for potential disruptions in revenue and patient flow (Ginter et al., 2018).

Part 2: Organizational Analysis

Strategic Frameworks

Strategic planning is anchored in frameworks that guide organizational goals and actions. Two widely used models in healthcare are the Balanced Scorecard and Porter’s Five Forces.

Balanced Scorecard Framework

The Balanced Scorecard provides a structured approach to aligning organizational activities with strategic objectives. It visually represents progress toward goals and identifies areas for improvement. While implementation can be resource-intensive, its ability to track performance metrics makes it invaluable for healthcare institutions like St. Anthony Medical Center (Wright, 2018).

Porter’s Five Forces

Porter’s Five Forces analyzes competitive dynamics, including supplier power, buyer influence, the threat of substitutes, new entrants, and industry rivalry. This framework enables organizations to assess their competitive position and develop risk mitigation strategies. For instance, St. Anthony Medical Center can use this model to evaluate how emerging competitors impact operations (Martin, 2018).

Internal, General, and External Environments

Internal Environment

The internal environment includes staff, organizational culture, and resource availability. At St. Anthony Medical Center, internal challenges such as limited bed capacity and staffing shortages directly impact operational efficiency. Addressing these issues is critical for quality care (Quain, 2018).

General and External Environments

External environments encompass factors beyond the organization’s control, such as competitors, economic conditions, and technological advancements. For instance, new healthcare facilities entering the market may draw patients away from St. Anthony Medical Center. General environments include broader societal trends that indirectly influence operations, such as changes in healthcare regulations or patient preferences (Quain, 2018).

The Need for a Strategic Framework

The success of St. Anthony Medical Center is tied to how effectively it manages internal and external forces. Current challenges include increasing competition from facilities like Benedictine Health Center and a shortage of available patient beds. To remain competitive, leadership must adopt a strategic framework to address these issues.

Strategic Recommendations

1. Expand Bed Capacity: Increase available beds for medical and surgical patients to reduce emergency room congestion.
2. Enhance Staff Recruitment: Offer competitive salaries and benefits to attract and retain healthcare professionals.
3. Improve Patient Scheduling: Streamline processes for rehabilitation and radiology appointments to reduce wait times.
4. Monitor Competitors: Regularly evaluate competitors’ strategies to identify potential threats and opportunities.

Failure to implement these strategies could result in declining patient satisfaction and revenue, giving competitors an advantage.

Conclusion

The BHA FPX 4104 Assessment 2 highlights the importance of strategic analysis and operational considerations in healthcare. Organizations can align their actions with long-term goals by leveraging frameworks like the Balanced Scorecard and Porter’s Five Forces. Addressing internal and external challenges ensures sustainable growth and continued success. Leadership at St. Anthony Medical Center must remain proactive, continuously adapting strategies to maintain its position as a leading healthcare provider in the region.

Read more BHA FPX 4104 Assessment 1 Strategic Planning and Leadership about for complete information about this class.

References

Bryson, J., & George, B. (2020). Strategic management in public administration. Oxford Research Encyclopedia of Politics.

Ginter, P. M., Duncan, W. J., & Swayne, L. E. (2018). The strategic management of health care organizations. John Wiley & Sons.

Haas, D., Jellinek, M., & Kaplan, R. (2018). Hospital budget systems are holding back innovation. Harvard Business Review. https://hbr.org/2018/03/hospital-budget-systemsare-holding-back-innovation

Martin, M. (2018). Porter’s five forces: Analyzing the competition. Business News Daily. https://www.businessnewsdaily.com/5446-porters-five-forces.html

Pauly, M. V. (2019). Giving Competition in Medical Care and Health Insurance a Chance. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3338098

Quain, S. (2018). Internal & external factors that affect an organization. Azcentral. https://yourbusiness.azcentral.com/internal-external-factors-affect-organization11641.html

Roy, A. (2020). Improving hospital competition: A key to affordable health care. Medium https://freopp.org/improving-hospital-competition-a-key-to-affordable-medicine343e9b5c70f

Wright, T. (2018). Choosing the strategy frameworks for your organization. Cascade Execute Strategies. https://www.executestrategy.net/blog/best-strategyframeworks