Principles and Process Dr Lee Gruner RACMA 1 Strategic Planning

Why plan? Dr Lee Gruner RACMA 2 “ The best way to predict our future is to create it” Stephen Covey

What is strategic planning? Dr Lee Gruner RACMA 3 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 RACMA 4 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 RACMA 5 Involves intentionally setting goals and developing an approach to achieve the goals

Why does strategic planning fail? Dr Lee Gruner RACMA 6 Preparing the plan Not involving the right people Not listening to the right people Not understanding what our business is Not having the right data Setting unrealistic goals Implementing the plan Setting inappropriate timelines Responsibilities for achievement not allocated or inappropriately allocated No one responsible for monitoring progress Changes in environment, leadership, hospital role

Process of strategic planning Dr Lee Gruner RACMA 7 Should be done with a team of the right people Decide on the process Do 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 RACMA 8 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 phones Use a professional facilitator to ensure you get the outcomes Document the outcomes

Structure of the session Dr Lee Gruner RACMA 9 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 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 time An understanding of how external factors have impacted on our business Shared understanding of where we are now both in the environment and in our business Making 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 RACMA 11

Quality Directions Australia June 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 Driving force The 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 customers Human resources- leverages employee skills, training Service capability- leverages employee uniqueness, depth

Quality Directions Australia June Driving force Services 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 RACMA 15

Quality Directions Australia June SMCHRSC S M C HR SC Driving force prioritisation

Quality Directions Australia June Mission statement The products and services you provide, for whom and how The statement should be: Focused Clear Specific Distinctive Short

Quality Directions Australia June Vision statement A concrete statement of your ultimate dreams for the organisation and the world that you can impact through it. Future oriented Easy to understand and remember Reflect your company's uniqueness Ambitious Creative Inspiring Brief Paints a picture of the future

Quality Directions Australia June SLOT analysis Internal factors Strengths Limitations External factors Opportunities Threats Consider Political/ Economic/ Social / Technological factors and their impact

Quality Directions Australia June Developing the strategy How to fulfil the mission How to move towards the vision Driving force is key to decision making Secondary and tertiary drivers are decision influencers Consider critical issues

Quality Directions Australia June Strategic Objectives STRATEGIES NEED TO BE: S pecific M easurable A chievable Realistic T imely

Quality Directions Australia June Strategic Action Milestones Timeframes- should be realistic Person responsible Resources required- people/ capital/ money Measurement of progress- determine what the process should be