Strategic Planning In Healthcare: Models, Examples & Benefits

By RisingMax

June 28, 2023

Strategic Planning In Healthcare: Models, Examples & Benefits

A healthcare organization's strategic plan caters to identifying the necessary actions that need to streamline the complex process of management. Undoubtedly, strategic planning in healthcare is a daunting task and requires close monitoring. Various areas that need attention are:

  1. Healthcare services and facilities
  2. Medical facilities, equipment, and hospital supplies
  3. Admissions
  4. Human resources
  5. Information management
  6. Medical records
  7. Patient services
  8. Pharmacy
  9. Purchasing
  10. Discharge lounge

The above areas cannot be managed manually and need a modern solution in the form of software that can streamline processes. Seek a solution that can make healthcare strategic planning a cakewalk. Get your free quote!

For the most part, the healthcare business is too complicated and perplexing for most people to comprehend. Because of technical developments or political mandates, it is constantly evolving. It's becoming increasingly crucial to plan for your healthcare organization's success. Your company can better prepare for the unknown incidents by planning in healthcare for the future. Solid strategic planning in healthcare benefits all levels of your company, no matter how big or little it is.

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What Is Strategic Planning In Healthcare?

Healthcare strategic planning is setting objectives and goals for where the organization wants to go in the long run. Healthcare organizations like hospitals, clinics, and private practices must engage in this crucial activity to ensure that their services are effective, efficient, and sustainable in the face of constant shifts in the healthcare environment.  

In order for your company to prosper, strategic planning is essential. Understanding how your company works is crucial to developing a successful strategic plan for the overall healthcare system. 

You may need to examine your organization's hierarchy from time to time. Determining your company's goals and charting a course to attain them inspires your entire team to succeed with you and understand healthcare strategic planning.

Understanding The Strategic Planning Of Healthcare Organizations

Strategic planning in healthcare organizations entails laying out the particular procedures that must be taken to achieve specific objectives. 

While there are various types and levels of strategy, the goal of all strategies is to align an organization's actions with its declared mission or values. 

Organizations are increasingly needing to re-calibrate their healthcare plans to fit current market trends and evolving patient-care techniques. 

Any professional interested in learning more about the inner workings of healthcare organizations should be aware of the various sorts of tactics employed in the field, as well as their significance in ensuring an organization's success.

We hope now you have an idea about what is a strategic plan in healthcare. Let’s get into depth to learn more about strategic planning in hospitals and examples of strategic goals in healthcare.

Strategic Planning For the Future

“You may not be able to control the future, but health care strategic planning may define a direction for your practice and optimize your options for affecting your environment,” according to a paper published in the Journal of Oncology Practice. 

The strategic planning process in healthcare comprises taking proactive actions toward a goal rather than simply dealing with problems as they emerge. 

Healthcare strategy is critical to an organization's long-term performance because it provides the framework for making daily decisions that are in line with its goals.

Healthcare Strategy Planning At Different Levels

Healthcare strategies differ in nature (prospective or emergent), as well as organizational level, according to the American College of Healthcare Executives (ACHE) (corporate, business, or functional).

1. Types Of Strategies

Most companies, regardless of their size or mission, use some type of strategy to achieve their long-term objectives. Organizations use two different sorts of strategies: prospective and emergent.

Strategy For The Future: The majority of large healthcare organizations create detailed plans to address future concerns that may affect their facilities and the healthcare industry as a whole. These companies must concentrate on developing strategies that anticipate future resource requirements, such as money and manpower. Prospective strategy is the phrase for this form of long-term strategic planning in healthcare organizations. Prospective policies should also allow for flexibility in the event of unanticipated healthcare changes. For setting a healthcare strategy example, it should be developed on an anticipated nursing shortage in the coming years, but the shortage turns out to be less severe than expected, a flexible strategy would contain a plan for reallocating resources to other areas.

Emergent Techniques: Emergent strategies entail a retrospective examination of past events in order to make better decisions in the future. Healthcare market fluctuations can result from events such as the installation of new healthcare policies, swings in prescription drug pricing, and outbreaks of epidemic diseases, all of which require providers to experiment and adapt on a regular basis. Emergent strategy organizations must be exceptionally adaptable in order to re-evaluate internal strategies and fast re-calibrate to better suit current market trends. Many providers examine their competitors' strategies and apply tactics that appear to be successful for other industry leaders.

2. Organizational Levels Of Strategy

There are numerous strategic planning in healthcare organizations, in addition to prospective and emergent strategy approaches. Corporate, business, and functional levels are frequently used to split organizational tactics.

Corporate-Level Strategy: A board of directors, executive leaders, and stakeholders are frequently involved at this level of planning. The corporate level oversees healthcare strategy for the entire organization, with a focus on defining mission and big-picture goals like fund allocation and business deals, as the highest layer of the decision-making process.

Business-Level Strategy: Specific product lines are prioritized at this level of strategy. Managers have the authority to design strategies depending on the demands of their instructions, and business-level healthcare strategic planning focuses on projects in development. Managers integrate corporate directives and intentions into actionable strategies for specific projects and employees.

Functional-Level Strategy: The functional level, which supports the corporate and business levels, is the third tier in an organization's strategic approach. At this level, the emphasis is on the company's final products or services. To better connect products and services with the company's client base, a functional-level strategy incorporates research, marketing, production, and distribution. Managers at all levels must examine how their plans will affect individuals throughout the organization while formulating strategies. 

For example, a strategy targeted at enhancing healthcare services during a facility's development should take into account the additional hours that current employees may be required to work before new professionals can be hired.

Similarly, if administrators want to devote additional resources to a certain department at a healthcare facility, the strategy must consider how resource reductions would affect other departments. Information should ideally flow from the top down to the bottom up, with the final product fulfilling all objectives and driving business success.

3. Developing Strategies With Advanced Education

Healthcare strategy in organizations aids medical institutions in achieving their business goals while maintaining the highest level of patient care. Professionals who want to learn more about healthcare plans so they can assess, devise, and implement them may need more than a bachelor's degree.

To effectively manage an entire facility, clinic, or department, healthcare administrators or executives must have a thorough understanding of strategic planning models in healthcare. 

A graduate degree, such as a Master of Science in Health Administration from Regis College, will enable professionals to add new abilities to their previous foundation of experience, allowing them to integrate healthcare strategic planning models.

Why Is Strategic Planning Important In Healthcare?

Wondering to know why strategic planning is important in healthcare.With each passing day, a new technology is taking over the market and the healthcare sector should be on its toes for this. Let us understand with some factors.

Improve Communication Between All Chains

It's easy for departments at all levels to lose track of what's going on. Employees and stakeholders alike want to make sure that your company has a long-term future.

They want to know where your company is going and how you plan to get there. Healthcare strategic planning models can help you generate clarity and improve communication. 

The primary concerns, your organization's vision, and goals, and the steps to get there should all be addressed in your strategic plan. Your employees and stakeholders will have more trust and confidence in your company.

Creating And Communicating A Vision

With this in mind, you may have a positive impact at all levels of your company. Employees will be dedicated and driven to assist you in realizing your goals. Stakeholders will be able to make prudent financial decisions with the confidence and clarity they require.

Strategic planning in healthcare that is well-developed, implemented, and communicated may assist each of your employees in carrying out your long-term goal for a prosperous future.

Increased Employee Motivation And Engagement

Every one of your employees wishes to be noticed and heard. Recognition from their superiors can have a significant impact on their productivity, engagement, and safety management. Every employee wishes to be given the authority to make decisions that will benefit the company. 

This also encourages them to go above and beyond the job description or performance evaluation's minimal acceptable requirements. Employees will be unmotivated to develop themselves if their employer has a clear goal and a well-executed game plan.

Authority And Transformational Leadership

Transformational leadership is a style of management that motivates employees to work more and achieve greater results. It contains strategies that have been recognized in the literature on organizational behavior. 

Transformational leaders have the ability to properly express their organization's goal, believe in their staff, and achieve high levels of performance. Strategic management requires you to help your staff understand how their positions can contribute to your company's purpose and vision.

Increase Teamwork And Collaboration

In order to provide high-quality healthcare, teamwork, and cooperation are vital. Employees must collaborate in order for your company to succeed. 

Every healthcare industry needs to work together to improve its performance and service. In the healthcare industry, effective strategic planning models in healthcare can bring your employees together to produce high-quality care, excellent customer service, and enhanced productivity.

Before sharing your healthcare strategic planning with your staff, give it some thought. A well-thought-out and implemented strategic plan can help to promote teamwork, performance responsibility, and employee engagement. You may swiftly attain your organization's long-term goals if all levels work together in harmony.

Strategic Planning In Healthcare

More Benefits Of Strategic Planning In Healthcare

The four major benefits of strategic planning in healthcare are:

  • Proactiveness 
  • Increases efficiency
  • Market share & profitability
  • Reliable 


Healthcare organizations can become proactive rather than reactive with the aid of strategic planning. Strategic planning allows providers to foresee negative situations well in advance of them and take the appropriate precautions.

Boost Performance 

For healthcare organizations, having a strategic planning process in place serves as a blueprint for aligning operational actions with established goals. As a result, operational efficiency is increased. It directs management conversations and decision-making when assessing resource and budget requirements to meet the primary objectives.

Market Share & Profitability

Strategic planning provides organizations with useful information about market trends, consumer categories, and healthcare product and service offers that might affect their success. Growing profitability and market share will be facilitated by a targeted and well-planned approach to transforming all sales and marketing activities into the best results.


Healthcare organizations that lack a solid foundation, concentration, and foresight will find it difficult to ride the next wave due to the industry's high level of dynamicity. Healthcare organizations that utilize strategic planning are more focused on their goals and methods for achieving them.

Let’s see some of the advantages of strategic planning models in healthcare are various, owing to the fact that healthcare planning is made up of many different elements. Hospitals and healthcare organizations, like most businesses, operate on multiple levels. Health systems must plan for the future in a variety of ways, from patient care to financing. 

Strategic planning, unlike typical plans, considers what is to come for every area of the company, including anticipated changes in all departments.

When looking at a company's productivity, it's easy to understand how important strategic planning is in healthcare. Most organizations assume they are operating at maximum efficiency; nevertheless, a thorough examination of productivity can reveal areas where improvements can be made and more specific strategies can be established.

The following are some of the important areas where the strategic planning process in healthcare organizations can make a substantial difference:

  1. The Workplace Environment
  2. Objectives and Goals
  3. Budgeting for Operations
  4. Decisions on Service Lines
  5. Risk Assessment and Management
  6. Capital Projections
  7. Accounting for Costs
  8. Long-Term Forecasting

What Qualifies As Good Examples Of Strategic Planning In Healthcare?

Many businesses are seeking assistance, looking for a sample strategic plan to utilize as a benchmark against which their own plans can be measured. Strategic plans, on the other hand, can take many different forms, shapes, and sizes; they are not a “one-size-fits-all” document.

Healthcare strategic planning models with goals, objectives, strategies, and tactics exist alongside more complicated plan structures with several levels and layers. 

The level of responsibility you want to create, the time schedule for implementing the plan, and the culture of your business all influence how well-developed your plan should be. You'll see an example of a strategic plan in this post, which is very prevalent among firms today.

Examples Of Strategic Planning In Healthcare: The Foundation

At a bare minimum, strategic and operational plans include three layers, each of which serves a specific purpose. To demonstrate the relationship from the bottom-up, these are listed in reverse order as they appear in a plan:


Tactics are task assignments that must be completed on a one-to-one basis. The strategies are made up of these action elements. For example, if your client satisfaction strategy focuses on an annual client event, you'll need to execute a number of tasks before the event can take place. These are the methods, which have due dates, and deliverables, and are delegated to specific persons to carry out.


A name is required for the collection of tactics, and this name is the strategy. The strategy's name serves as a focal point for something specific, while the strategy itself houses the individual approaches. As a result, strategies are the broad, action-oriented items that we use to accomplish our goals. 

The client event technique in this case is intended to boost overall client happiness. Additional client satisfaction techniques may exist, and each of these additional strategies will have its own set of approaches.


Objectives are measurable and quantifiable goals that address the questions of how much and when. You can't improve what you don't measure, according to an old adage. As a result, plans without quantifiable objectives are little more than task lists. 

  • Baseline performance, targeted performance, and a deadline for accomplishing the goal are all examples of objectives. 
  • Objectives must be included in any examples of strategic planning in healthcare because they are the foundation for planning.

Examples Of Strategic Planning In Healthcare: Strategic Themes And Goals

While objectives, plans, and tactics are essential examples of strategic goals in healthcare, they are not the only ones. Many plans are more comprehensive and include extra hierarchy levels. 

Strategic themes and goals are the levels that come before objectives and are commonly referred to as strategic themes and goals. As a result, a properly completed plan might look like the healthcare strategic planning sample below:

Quality, Safety, People, Customers, Service, Finance, and Growth are examples of one- to three-word affinity group headers used to compartmentalize strategic and operational strategies. Four to six categories tend to be the most prevalent among companies that use strategic themes.

Examples Of Strategic Goals In Healthcare

These are broad statements that help the organization's vision statement become more meaningful and time-bound. Goal statements are used to translate the vision to specific strategic themes if strategic themes are also utilized.

The American Heart Association (AHA) issued research in which they discussed the significance of supporting laws that promote heart health. For example, they advocated for better school nutrition standards and more access to safe locations for exercise, among other measures that encourage healthy eating and physical activity.


Like Goals, Objectives are quantifiable items that measure the effectiveness of your strategic plan and, ultimately, your goals. They should track how you intend to improve, decrease, or maintain key performance indicators that are crucial to the goal's accomplishment.


Strategies determine how your strategic plan will be executed and, eventually, move the needle on Objectives, based on your grasp of success measurements. Initiatives, projects, and programs are terms used in some organizations to describe strategies. Strategies, whichever name is used, lay the groundwork for the actual labor that will make up the plan.


A strategy must be appropriately broken down in order to successfully execute a strategic plan. These are, in many circumstances, your strategies. 

Tactics are the key elements of your strategy that will help you track your progress toward accomplishment. Tactics are milestones or significant deliverables of the strategy, not quick jobs that may be performed by checking a box.

Strategic Planning In Healthcare

The Most Cutting-Edge Questions In All Healthcare Strategic Planning

Despite the fact that every business has a plan that is personalized to its specific aims and objectives, hospitals and healthcare systems should ask themselves a few key questions before embarking on knowing strategic planning models in healthcare.

What Are The Organization's Financial Objectives

Every organization has its own set of financial objectives. Focusing on precise, attainable financial goals for the future of any organization's finances is critical to ensuring that the healthcare strategic planning models are long-term beneficial.

In order to make strategic decisions, it is necessary to consider the financial ramifications of the changes that come with new plans for the future.

Prior to strategic planning, set targets to ensure that these plans will have a good impact on the firm in the future.

Where Can The Company Expand?

Just because strategic planning models in healthcare are in place does not mean it is as effective as they could be. Strategic plans that are effective take into account where a firm can expand. 

Growth is often impossible in one area but attainable in another. Before beginning to plan, healthcare organizations should consider the financial benefits of expansion through new locations, access points, and services.

What Are The Needs Of The People?

Hospitals and healthcare systems are designed to meet the needs of patients in whatever way they require. Although there will always be a significant demand for healthcare facilities, the way in which these institutions are needed may alter.

In order to plan forward for what patients may require, it is necessary to understand future market trends and industry orientations.

How Can The Company Close The Gap In Terms Of Accomplishing Key Success Factors?

Many times, healthcare organizations recognize the success characteristics that are required to carry out the institution's mission, but they struggle to put them into practice in day-to-day operations. So that success can be reached efficiently, strategic planning should include a strategy to carry out these criteria.


RisingMax is the most renowned IT Consulting Company in New York and a Custom Software Development Company that develops software to suit the needs of the healthcare industry. Get in touch with us to discuss your requirements and our team will come up with the most feasible and smartest solution for your organization.

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