What strategic controls (e.g., promise control, implementation control, strategic surveillance, and special alert control) might you use and why?
In healthcare, designing a strategy is desired to help an organization track desired results. Strategic controls help organizations track strategies that are being implemented; in addition, to detecting problems or changes in strategies and making proper adjustments (Chron, 2016).
The most suitable strategic controls for the case study would be the implementation control and strategic surveillance. The implementation control takes place in steps, activities, investments, and acts that occur over a period of time (DuBois, 2016). The two basic types of implementation controls are monitoring strategic …show more content…
Monitoring strategic efforts involves the collection of data and assigning key performance indicators to each strategic objective (Walston, 2014). Currently, Lake County Medical Practice (LCMP) have to tackle the challenges of reducing Medicare reimbursements and increasing the volume of new Medicare beneficiaries. These factors should be addressed during the strategic planning process and involve all levels of management and stakeholders.
The balanced scoreboard is one tool that can used to monitor strategies. The balanced scorecard is an evaluation tool that allows an organization to track financial results while monitoring progress in building the needed capabilities for growth (Kaplan & Norton, 2007). The balanced scorecard includes four main dimensions that will enable LCMP link its long-term strategy to its short-term financial goals (Kaplan & Norton, 2007; Walston, …show more content…
The need to control healthcare cost remains a major goal of all stakeholders in the nation. The predicament Lake County Medical (LCM) finds itself in is typical with healthcare providers currently; declining Medicare reimbursement and an uptick in Medicare & Medicaid beneficiaries (Shi & Singh, 2015). An 11% decrease in reimbursement rate equating to $5.8 million reduction in revenue threatens LCM’s viability. The need for creativity is needed for this organization. Tactical objectives are a twofold; revenue-generating strategies and cost-cutting efforts (Herman, 2012). The cost-cutting tactics is a reassessment of the organization’s current position and review of processes to eliminate, restructure or consolidate services for efficiency and renegotiate better rates with vendors (Zhao, 2014). Therefore, LCM will also have to delay capital spending to achieve these objectives (Herman, 2012). For example, decreasing the use of supplies and encourage staff to recycle any unused medicines or supplies can help cut cost. Inventory of supplies not commonly use can be eliminated from the supply order and cheaper alternatives could reduce the cost of
In healthcare, designing a strategy is desired to help an organization track desired results. Strategic controls help organizations track strategies that are being implemented; in addition, to detecting problems or changes in strategies and making proper adjustments (Chron, 2016).
The most suitable strategic controls for the case study would be the implementation control and strategic surveillance. The implementation control takes place in steps, activities, investments, and acts that occur over a period of time (DuBois, 2016). The two basic types of implementation controls are monitoring strategic …show more content…
Monitoring strategic efforts involves the collection of data and assigning key performance indicators to each strategic objective (Walston, 2014). Currently, Lake County Medical Practice (LCMP) have to tackle the challenges of reducing Medicare reimbursements and increasing the volume of new Medicare beneficiaries. These factors should be addressed during the strategic planning process and involve all levels of management and stakeholders.
The balanced scoreboard is one tool that can used to monitor strategies. The balanced scorecard is an evaluation tool that allows an organization to track financial results while monitoring progress in building the needed capabilities for growth (Kaplan & Norton, 2007). The balanced scorecard includes four main dimensions that will enable LCMP link its long-term strategy to its short-term financial goals (Kaplan & Norton, 2007; Walston, …show more content…
The need to control healthcare cost remains a major goal of all stakeholders in the nation. The predicament Lake County Medical (LCM) finds itself in is typical with healthcare providers currently; declining Medicare reimbursement and an uptick in Medicare & Medicaid beneficiaries (Shi & Singh, 2015). An 11% decrease in reimbursement rate equating to $5.8 million reduction in revenue threatens LCM’s viability. The need for creativity is needed for this organization. Tactical objectives are a twofold; revenue-generating strategies and cost-cutting efforts (Herman, 2012). The cost-cutting tactics is a reassessment of the organization’s current position and review of processes to eliminate, restructure or consolidate services for efficiency and renegotiate better rates with vendors (Zhao, 2014). Therefore, LCM will also have to delay capital spending to achieve these objectives (Herman, 2012). For example, decreasing the use of supplies and encourage staff to recycle any unused medicines or supplies can help cut cost. Inventory of supplies not commonly use can be eliminated from the supply order and cheaper alternatives could reduce the cost of