BHA-FPX4104 Assessment 2-Strategic Analysis and Operational Considerations

Assessment 2-Strategic Analysis and Operational Considerations

In this paper, I shall analyze the influence and significance of competition in the healthcare industry regarding strategic planning. I will also identify and analyze healthcare organizations’ strategic frameworks. Then, I will examine a healthcare organization’s internal, general, and external environments and how they influence its operations. Finally, I will consider the consequences of the organization’s future if strategic frameworks are not used.

Part 1: Understanding the Environment

Competition in the healthcare industry has been a topic of discussion for a long while. The perspectives of health activists and specialists have aroused some worries in the healthcare system. According to experts, competition is inappropriate within a service industry whose objective is to give restorative treatment to individuals in need of assistance or who are unwell. On the flip side, proponents feel that competition is indeed the solution to lowering inflated healthcare prices and insurance rates and enhancing patient service alternatives within the sector (Pauly, 2019). External healthcare competition initiatives may impact the mission of  St. Anthony Medical Center; hence, strategic planning ought to incorporate careful thoughts on planning for and counteracting these attempts while evaluating organizational objectives.

As the healthcare sector continues to develop and the environment of care shifts to private medical and outpatient surgery from hospital-based practices, facilities such as St. Anthony Medical Center should be equipped before growing competition disrupts revenue and reduces the patient population. Each financial year, stakeholders should be aware of the continual demand for health facilities to deliver optimum service and implement new initiatives while maintaining within budget (Haas et al., 2018).

To execute strategic planning effectively, external and internal variables must be examined and planned for. When doing strategic planning, executives within the healthcare industry can consider using competitive awareness strategies. Although competition decreases healthcare costs, enhances patient service quality, and promotes health technologies, the drawbacks remain unclear (Ginter et al., 2018). However, strategic planning should maintain a balance between the internal components of an institution and the external environment in which it operates (Bryson & George, 2020) An equilibrium between these viewpoints is not enough to suffice. Interference from outside competitors is a crucial external aspect that must be included in the strategy plan (Bryson & George, 2020).