Paper Example on Strategic Planning in the External Environment

Paper Type:  Essay
Pages:  3
Wordcount:  645 Words
Date:  2022-08-15


The fundamental objective of healthcare centers is to achieve better health of the population amid attaining the goal of profit ethical profit creation. Quality chasms in healthcare constrain healthcare centers to perform and alluding to ethically and acceptable profit creation without escalating to incapacitating the approaches towards achieving quality care. Healthcare organization that fails to adopt proper decision-making approach will fail to meet the objective of health care service due to the influence of external factors.

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Identification and Evaluation of the Possible Impact of Business External Environment, Strategic Planning of the Business

External environment involves the organization's approaches toward fitting into the competitive business world in conjunction with the goals and objectives of the organization. The external environment factors that affect healthcare organizations and the organization approach in the case study is the necessitate of making a balance between economic, technological, social, political and legal factors. A healthcare system is affiliated towards enhancing the health of the patients. Even though the external factors should be considered to strengthen profit maximization, quality care should precede profit. According to Wayland and McDonald (2016), Potters Five Forces and PESTELare the fundamental elements for determining practical initiation of a given strategy. Therefore, healthcare organization might tend to adhere to the external business factors thus jeopardizing the ethical operations and development of healthcare organization concerning the need for proper population health. The need to adopt technological improvements like magnet status is associated with operational challenges that might incur some costs before the operation becomes smooth. External factors like economic challenges of taking technologically improved treatment approach require the healthcare organization to find possible ways of training its personnel, and it should be ready to incur initial piloting costs.

According to Pliskie and Wallenfang (2014), geographical information system in conjunction with the organization's PESTEL can overshadow the need for promoting the goals of Healthy People 2020 which are equitable and quality care. A healthcare facility that fails to make a balance between ethics, care, population health, economics, policies, and laws might fail to meet the objective of healthcare. External environment factors can affect the quality of care if ethics and population health cannot be mindfully incorporated in economics and laws of healthcare organizations like a business. The fact that technological improvement can guarantee a healthcare facility greater market share should be connected to the primary objective of achieving good health with minimal errors according to nursing quality chasms. Policies, laws and healthcare quality should be mindful of ethics, the law of economics and population health.

Recommended Strategies for Addressing Possible External Factors Which Portray An Influence on Healthcare Organization Operation

Waston (2014) outlines that the best health management should be achieved by performing interviews with stakeholders to come up with a definition of the action plan with pros and cons. Secondly, there should be policy dialogues rather than performing majority count on the organization's healthcare improvements. According to Urban and Mothusiwa (2014), there should be a balance between profit maximization and relevance of attaining good health for the population. Gorecka and Szalucka (2014) outline that a healthcare organization that seeks to incorporate modern-day and overseas models should adopt a better decision-making approach. There should be a better choice of entry mode as a way of preventing the external factors from barring the adoption of present-day healthcare strategies like adopting magnet status.


Gorecka, D., & Szalucka, M. (2014). Application of Mcda Methods and Stochastic Dominance Rules in the Entry Mode Selection Process in International Expansion. Multiple Criteria Decision Making, 9, 5-31.

Pliskie, J., & Wallenfang, L. (2014). How geographical information systems analysis influences the continuum of patient care. The Journal of Medical Practice Management, 29(5), 282-285.

Walston, S. L. (2014). Strategic healthcare management: Planning and execution. Health Administration Press, a division of the Foundation of the American College of Healthcare Executives.

Wayland, M. S., & McDonald, W. G. (2016). Strategic analysis of healthcare: Concepts and practical applications. Chicago, IL: Health Administration Press.

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