Paper Example on Developing Directional Strategies: A Guide for Organizations

Paper Type:  Essay
Pages:  5
Wordcount:  1312 Words
Date:  2023-01-26

The directional strategy is a framework used by the organization to decide and implement the objectives to grow in terms of service delivery and increase revenue. Small organization to large organization develops its strategies that apply to each operation in the organization. These strategies act as a guideline through both turbulent and calm times; therefore, without directional strategies, organizations may lose focus on their goals. The primary role of directional strategies is to keep the organization working most strategically while it grows in terms of service delivery and revenue. Healthcare organization uses directional strategies to provide guidelines and a clear framework for monitoring activities and operational decisions (Ginter, Duncan, & Swayne, 2013). This paper explores some of the key facts in directional strategies and developing strategic alternatives in healthcare.

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Strategy formulation is defined as the process by which an organization selects the most convenient and appropriate method of action to be used to accomplish its defined objectives (Karami, 2016). In healthcare, this process is important in achieving predefined goals because it provides a guideline for the operations that can lead to predictable results. Strategic plans must be conveyed to departments in an organization to provide awareness of the organization's mission, objectives, and the purpose of the strategy (Ansoff et al. 2018). On the other hand, situational analysis involves the use of market research as well as other observations to help in decision making; this framework assists in formulating the most appropriate strategic plan. It determines the effectiveness of the formulated strategy allowing a healthcare organization to make corrections based on its actions in case of unsuccessful operations. A situational analysis helps to determine the potential customers, assess competitors, evaluate the growth of the organization hence making a realistic assessment and of the organization.

Retrenchment strategy is used by the company in cases of operational crisis when the organization is facing difficult situations; this strategy can help in controlling the situation. It is a corporate level framework that aims at reducing the diversity of the size of the business operations. It also helps in reducing the cost of expenditure and stabilize cash flow. It comprises of three main strategies, which include divestment, turnaround strategy, and liquidation strategy. Penetration strategy is a framework of employing aggressive interventions to expand the share of the organization in the market. The aims of this strategy to increase the volume of sales; therefore, it helps the organization to increase its output at a lower cost, and eventually, it allows us to earn more profits. Retrenchment and penetration strategies and penetration strategies can be utilized in an organization to assist in creating a competitive advantage, acquire a large share in the market, and increase services. Combination of these strategies can help healthcare organization to expand in its operations and offer unlimited services in the market when an organization has consistent flow if services, it can quickly expand and grow with time.

Combination strategy involves the logical combination of master strategies. Combination of strategies is based on consistent and set of individual actions that are combined to provide a comprehensive policy (Ginter, Duncan, & Swayne, 2013). There are separate ways of managing these actions and developing a strategy which involves choosing one or more actions from different categories and coming up with one strategy which so comprehensive with the recognizable approach and definite theme. These may include caution strategies, profit strategies, and no change strategies.

Vision is the concept of seeing the future from today; it is a realistic, attractive, and credible future for an organization. The vision of an organization, therefore, must be relevant and credible to the organization itself. There are various strategies based on the vision of an organization. These strategies help in formulating and implementing action plans towards achieving the future expectations of the company. They provide the direction and guidelines for the company. Combination of strategies helps the company to keep the focus on its mission hence achieving its vision in the long-run (Hill, T. (2017). Strategy as a plan determines the policies, means, and actions which an organization must peruse in order to achieve its vision. Combination of strategies also creates a pattern of guidelines which reveals the organization's goals, directions, and purpose.

Mission Statements

Doylestown Hospital- the mission of this hospital is to provide a responsive healing environment for patients and their families and to promote a good quality of life for all members of society.

Greenwich Health Care Services, Inc- this organization is committed to providing excellent and consistent performance and improvement. It also states that we remain attentive and concern about the health and wellbeing of our patients.

University of Pittsburgh Medical Center Presbyterian (UPMC)- it is a none profit organization its mission is to advance the health care policy of the united states and practice its services by developing and disseminating innovative delivery of services (Gulati et al. 2016).

Methodist Hospital (San Antonio)- serving humankind as a way of honoring God.


Doylestown Hospital- their vision is to explore excellence in healthcare through collaboration and innovation. Also, they strive to inspire a better and healthier world for their patients and the community

Greenwich Health Care Services, Inc- their vision is to enhance the lives of their patients through the provision of high value and patient-oriented services

UPMC- their vision is to establish an integrated healthcare organization which acts as a valued partner in, the State, National and local efforts in order to promote healthcare and efficiency of the population

Methodist Hospital (San Antonio)- to be the leader for promoting the well-being of the patients.


Doylestown Hospital- their core values include serving the community, striving for excellence, respect the dignity and privacy of the patients, providing quality services through accessible means and compassionate.

Greenwich Hospital- their core values include the patient-oriented provision of services, integrity, respect, compassion, and accountability.

UPMC- their core values include quality and safety, dignity and respect, caring, and listening. Responsibility and integrity and excellence and innovation

Methodist Hospital (San Antonio)- integrity, making a difference, teamwork, caring servant, compassion and spirituality in service delivery

Mission, vision value statements for these organizations shows a direct relationship with the principles and strategies of an organization (Ginter, Duncan, & Swayne,2013). Every organization intends to provide quality services and increase their revenue. These statements were strategically formulated to act as a guideline in achieving the objectives and vision of the organization.

In contrast, these organizations have some of the similarities and differences based on their vision, mission, and service values. For example, Methodist Hospital (profit organization) and UPMC (a non-profit organization) share some of their core values and some of the concepts in their mission and vision. They are both customer-oriented and serve to provide quality services for their patients. In both, core values include integrity, respects, and compassion, on the other hand, they have some of the differences based on the purpose of their services; the non-profit organization is based on helping the community whereas profit organization's core values, and mission is to increase the revenue. Vision and mission statements for public healthcare organizations are based on providing services for the community in collaboration with the government; their core values are shared some of the similarities as compared to private healthcare organizations. However, private organizations have different strategic values in their statements based on customer service delivery and future expectations.


Ansoff, H. I., Kipley, D., Lewis, A. O., Helm-Stevens, R., & Ansoff, R. (2018). Implanting strategic management. Springer.

Ginter, P.M., Duncan, W.J., & Swayne, L.E. (2013). Strategic management of health care organizations (7th ed.). San Francisco: Jossey-Bass. ISBN: 978-1-118-46646-9

Gulati, R., Mikhail, O., Morgan, R. O., & Sittig, D. F. (2016). Vision statement quality and organizational performance in US hospitals. Journal of Healthcare Management, 61(5), 335-350.

Hill, T. (2017). Manufacturing strategy: the strategic management of the manufacturing function. Macmillan International Higher Education.

Karami, A. (2016). Strategy formulation in entrepreneurial firms. Routledge.

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Paper Example on Developing Directional Strategies: A Guide for Organizations. (2023, Jan 26). Retrieved from

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