Business plan assignment question
Purpose: The purpose of developing a business plan is to assist in the implementation of the
organization’s Strategic Plan. The business plan provides a detailed framework in which to
review new business ventures and the expansion of existing programs and services. The
structure of the business plan ensures that a thorough analysis is completed which compares
potential benefits to expected costs.
- Executive Summary
The Executive Summary is a brief discussion of the key elements of the business plan
including:
¨ A description of the market
¨ Key historical and forecasted data
¨ Growth objectives
¨ A synopsis of the strategies needed for the plan to succeed
- Program Overview
The program overview provides a brief summary of the program’s history, current status
and future direction.
¨ Mission
¨ Service Line Objectives
¨ Scope of Service
III. Market Analysis
The market analysis defines both the internal and external market in which the program
will operate and the specific needs of the market.
¨ Defined service area
¨ Population demographics
¨ Market share
¨ Utilization volume, both current and projected
¨ Competitor Profile
¨ Performance Metrics
¨ Staffing Issues
- Physician Analysis
The physician analysis is a simple assessment of the number of active physicians relevant
to the service line being reviewed. The assessment should include:
¨ Medical Staff Age Assessment
¨ Needs Assessment (Supply and Demand)
- Office locations
- Practice patterns
- Referral patterns
- Incidence Rates
¨ Recruitment recommendations
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- SWOT Analysis
A SWOT analysis is performed in order to identify the internal and external market
forces that currently exist and recognize those that may develop.
¨ Strengths = Items that should be built on
¨ Weaknesses = Items that need to be addressed
¨ Opportunities = Items that need to be capitalized on
¨ Threats = Items that need to be minimized
- Program Design
This section intricately describes the details of the program. The description should
ultimately explain what need is met by the program and how the program differs from the
competition.
¨ Volume projections
¨ Services provided
¨ Capacity and space allocation
¨ Facility/Equipment needs
¨ Management and personnel
¨ Education and Training
VII. Financial Analysis
The financial analysis provides a historical overview of financial performance as well as
projected financial performance.
¨ Statement of Operations
¨ Capital requirements
¨ Five year financial pro forma (economic justification)
VIII. Service Line Strategies
The strategies directly correlate with the plan’s objective(s) and those items identified in
the SWOT analysis. A general focus should remain on quality of care, consumer
satisfaction, volume, utilization management and cost control.
- Marketing Initiatives
The marketing plan outlines the efforts needed to reach the population segment that will
generate the projected volume. Follow-up with the Director of Marketing will be
necessary during the development of the business plan.
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- Implementation and Monitoring of Plan
The section describes the implementation and monitoring of the plan in relationship to
the overall program or service line. Performance indicators, key contacts, and a time
frame should be established in order to monitor the success of the plan. These indicators
may include:
¨ Employees and staff
¨ IS programs and capabilities
¨ Physician referrals
¨ Patient volume
¨ Operations
¨ Marketing
- Implications
This section provides the reasoning behind the recommended actions of the plan and how
it affects the corporation overall.
¨ Impact of Plan
¨ Risk Factors
¨ Reasonableness of Plan
XII. Appendix
Include any supporting information that does not fit into the context of the Plan