smoky hill family practice residency april 5, 2010 darrel mccool, facmpe business planning

Smoky Hill Family Practice Residency April 5, 2010

Darrel McCool, FACMPE

Business Planning

What is Business Planning?

Planning is a Learning Process.Business planning is the framework

by which an organization’s ideas, goals, and needs are translated into actions plans.

Planning is obtaining consensus on the direction and priorities of the organization.

Why Plan?

Prepare for the inevitable,Preempt the undesirable,Control the controllable.

Strategic Planning

“If you don’t know where you are going any road will get

you there.”

-The Cheshire Cat

The Value of Strategic PlanningSuccessful organizations plan-The most

successful write down their plans.The development of a written strategic plan

establishes a single document of expectations for:The Manager-A written strategic plan helps

establish a job plan for success and job security.

The Stakeholder-A written strategic plan gives reassurance that their goals and program desires are being addressed by management.

The importance of a plan!

Save time in the long runClarify expectationsReduce conflict Improve efficiencyEnhance morale

If, an only if, the Plan is communicated effectively and applied consistently

Six components:

Organizational goals and objectivesIndividual performance goals and objectives

Employee performance measurements

Performance reviewsOngoing feedback and coachingRecognition and rewards

Strategic Plan(Vision, Mission,

Value, Organizational goals & Objectives)

Business Plan (Strategies &

Tactics)

Human Resource Strategy

Financial Strategy

Risk Management

Strategy

Action Plan

A written document that summarizes the strategies for the future direction and articulates the plan for achieving the objectives.

Action PlanGoals & Objectives (Develop Consensus)

SMART Goals (Specific, Measurable, Achievable, Realistic, Time-Bound)

Strategies/Tactics (Specific)This is where the rubber meets the

road!TimelineBudgetResponsible PersonFollow-up

Responsibilities

Physician owners:Develop policy through consensusFocus on the big pictureProvide resourcesCommunicate effectivelySpeak with one voiceSupport and hold management accountable

for meeting goals

Responsibilities

Management:Establish, implement, monitor and

adjust business plan with physician owners’ guidance.

Keep physician owners advised of progress.

Words of Wisdom:

“Superior performance….is guided by wise leadership, sound management, good clinical practices and a great team of employees at all levels”

Performance and Practices of Successful Medical Groups: 2001 Report based on 2002 data.

Words of Wisdom

“Strategy is the bridge between the past of organizational capabilities and a future of new capabilities and business opportunities.”

-Paraphrase Henry Mintzburg

Questions