STRATEGIC PLAN PART II - ENVIRONMENTAL ANALYSIS AND 1 STRATEGIC PLAN PART II - ENVIRONMENTAL ANALYSIS AND 2 Environmental Analysis and Setting Strategic Goals A business environmental analysis is a process that looks at the external factors that can impact on the business. Such factors can be revealed through conducting Porter`s Five Forces analysis that looks at the microenvironment and PESTEL, which looks at the macro environment (Yurkel, 2012). Porter five forces analyzes competition level in an industry and looks at business strategy development (Porter, 2008). Such factors include the competition in the same industry, he suitable customers, channels, suppliers to the enterprise, politics, the economy, technical issues, political matters, environmental issues, technological issues, or legal issues, among others. All these factors are examined independently to see how each would affect the strategic plan of the business. Implications of the Environmental Analysis on the Strategic Plan A strategic plan has to be created to guide actions of a business. Once you create the business plan, it gives you a concrete steps that one should take in order to make a business successful. Before you develop a strategic plan, it is necessary that one study the environmental factors that will affect the organization. When one fails to respond to the conditions in the business environment, it can doom the firm to failure. For example, when the economy is weak the business may have to check on pricing and do more sales, or venturing into a business requires one check the political environment and the chances the company will peacefully exist and earn you profits. A proper environmental analysis will analyze all the major forces that could affect the business, and tries to forecast how the future events can alter the company. The nature of business determines what the environmental analysis should focus. For instance, a corporation that depends on foreign suppliers has to look into currency exchange rates, changes in shipping costs and import tariffs. One can forecast the short-term or long-term effects of the environmental factors on the business that having a basic idea of events in the world will enable you form a meaningful strategic plan. Hillside Healthcare`s environmental analysis will include a check on Porter`s five forces and the PESTEL. Porter`s five forces looks at the competition. Hillside Healthcare does not face a significant threat from new entrants as the Healthcare business requires a considerable amount of capital and has many legal requirements to be adhered to. There is a threat from substitute products or services emanating from the fact that currently there are alternatives such as the fee-for-service payment models or the medical plans such as Medicare and other medical insurance plans. Hillside Healthcare has to come up with strategies that make it look more attractive than these other services or incorporate such services int.

1. STRATEGIC PLAN PART II - ENVIRONMENTAL ANALYSIS
AND1
STRATEGIC PLAN PART II - ENVIRONMENTAL ANALYSIS
AND2
Environmental Analysis and Setting Strategic Goals
A business environmental analysis is a process that looks
at the external factors that can impact on the business. Such
factors can be revealed through conducting Porter`s Five Forces
analysis that looks at the microenvironment and PESTEL, which
looks at the macro environment (Yurkel, 2012). Porter five
forces analyzes competition level in an industry and looks at
business strategy development (Porter, 2008). Such factors
include the competition in the same industry, he suitable
customers, channels, suppliers to the enterprise, politics, the
economy, technical issues, political matters, environmental
issues, technological issues, or legal issues, among others. All
these factors are examined independently to see how each would
affect the strategic plan of the business.
Implications of the Environmental Analysis on the Strategic
Plan
A strategic plan has to be created to guide actions of a
business. Once you create the business plan, it gives you a
concrete steps that one should take in order to make a business
successful. Before you develop a strategic plan, it is necessary
that one study the environmental factors that will affect the
organization. When one fails to respond to the conditions in the
business environment, it can doom the firm to failure. For
example, when the economy is weak the business may have to
check on pricing and do more sales, or venturing into a business
requires one check the political environment and the chances
the company will peacefully exist and earn you profits.
A proper environmental analysis will analyze all the major
forces that could affect the business, and tries to forecast how
the future events can alter the company. The nature of business

2. determines what the environmental analysis should focus. For
instance, a corporation that depends on foreign suppliers has to
look into currency exchange rates, changes in shipping costs
and import tariffs. One can forecast the short-term or long-term
effects of the environmental factors on the business that having
a basic idea of events in the world will enable you form a
meaningful strategic plan.
Hillside Healthcare`s environmental analysis will include a
check on Porter`s five forces and the PESTEL. Porter`s five
forces looks at the competition. Hillside Healthcare does not
face a significant threat from new entrants as the Healthcare
business requires a considerable amount of capital and has many
legal requirements to be adhered to. There is a threat from
substitute products or services emanating from the fact that
currently there are alternatives such as the fee-for-service
payment models or the medical plans such as Medicare and
other medical insurance plans.
Hillside Healthcare has to come up with strategies that
make it look more attractive than these other services or
incorporate such services into its system. Healthcare is different
from other businesses, hence, is incapable of functioning in the
same manner. Hillside Healthcare seeks to reach out to those
who are not quite financially stable, but they have to boost
revenues to continue its operations. The customers have
bargaining power, as there are other healthcare providers they
can get services from. This means Hillside has to come up with
incentives that will attract the customers to them. Suppliers
have little bargaining power as they already have an agreement
with Hillside Healthcare, but the contracts can be revised with
time depending on changes in pricing of products or quantities
required. There is low competitive rivalry, especially since
Hillside Healthcare has mobile clinics to reach out to those not
able to go to hospitals. Most healthcare facilities do not offer
this service, and this differentiates Hillside Healthcare.
PESTEL analysis looks at the macro environment Hillside
Healthcare operates. Politically, Hillside Healthcare operates in

3. a politically stable environment without interruptions to the
operations. Economically, Hillside Healthcare is working in
economically stable environment where people can pay for their
healthcare, even via insurance, and this is good for the business.
Hillside has to consider the financial capabilities of its
clients in offering the services. Socially, Hillside has to
consider the demographic factors and preferences of the market
so as to provide the products people want. Technologically,
Hillside has to keep up with new technologies of treatments and
equipment to provide the best service to clients though this is
not cheap. Environmentally, Hillside has to ensure that they
protect the environment and use it sustainably. The healthcare
facility should hygienically dispose off their waste to prevent
harming the people or contaminating the environment. Legally,
the healthcare facility has to ensure to observe all the required
rules and regulations of the States they operate in and the
medical board. Adhering to rules prevents expensive medical
suits, ensures stable operations and trust from clients (Gordon
et al., 2000).
Gains of competitive analysis
Competitive analysis addresses the processes and means
that firms use to position themselves and their products or
services against rivals to win the market share. Competition
means that there is a contest between two or more firms,
whether due to product/service offerings or supplier contracts or
shelf-space negotiations or investor relations, among others.
A strategic plan should enable a business to emerge the winner
with the largest market share in the geographic location or a
particular type of business. A strategic decision refers to a mix
of tactical decisions that take place. Competitive analysis is the
foundation of effective strategic formulation and
implementation. Efficient analysis enables decision makers to
understand and predict crucial market-changing actions that can
be undertaken by competitors or other competition-impacting
stakeholders.
Policy makers are responsible for answering a small

4. number of powerful questions about the organization, such as;
the current business status or situation, options available,
direction one wishes the business to take, the direction the
business should go, how to get to the destination chosen, and
how one know the business is getting there. A business plan
focuses on the growth of the business with preparation for
possible scenarios and being flexible to respond to
unpredictable changes.
In line with the impact of the analysis, Hillside Healthcare
has to consider what hey what to achieve, whether in growth or
service-delivery or market share, and devise strategies to enable
the healthcare facility to achieve that. There has to be a
monitoring and evaluation system in place to check on the
progress of the healthcare facility towards achievement of the
set goals.
Evolving Economic, Legal, and Regulatory Issues
Hillside Healthcare business operations can be affected by
certain changes that may also require adjustments to the
strategic plan. These changes can be economical. For example,
the economy could become unstable, experience a recession.
When such happens, it will mean that the client number drops as
people will seek cheaper ways to sustain their health such as
self-treatment or over-the-counter purchase of drugs. Economy
stabilizing could lead to more clients seeking the services
(Seago, Schlesinger & Hampton, 2002).
Legal issues that could affect Hillside Healthcare include
legal licensing of the business and the workers. Physicians and
nurses are to be registered workers, and this means that the
business has to ensure that. Regulatory issues could be the
frequent checks from the government to ensure the business
adheres to set regulations in its operations. All this inform and
affect the strategic plan.
SWOT Analysis
Looking at the SWOT analysis better explains the

5. opportunities available that could be made use of and the threats
to beware of, all in consideration of the company strengths and
weaknesses (Kurttila, Pesonen, Kangas & Kajanus, 2000). . The
internal analysis exposes the strengths and weaknesses of the
business that put it on merit or disadvantage in meeting the
strategic plan. Strengths are the core competencies and
weaknesses are the limitations it faces.
The external analysis reveals the opportunities to be taken
advantage of and the threats that may hinder the business from
achieving set objectives. Hillside has the capability to achieve
the set strategic plan as it has the human resource and
equipment necessary to achieve their goals. It has already
established a market share that it can build on through effective
marketing and offering excellent service to the current clientele.
The staff is dedicated to the success and growth of the business
observing the values in place. Hillside Healthcare can respond
to the changes in the environment as the strategic plan is
flexible to environmental changes. The staff too has a good
change management program in place.
The customer analysis reveals that the business is
delivering what the customer want and can afford, the
competitive analysis reveals the threats the business faces from
the competitors, while the environmental analysis informs on
the opportunities available. Hillside Healthcare has opportunity
to expand its market share and services it provides by
collaborating with other businesses as it has the capability to.
Goals and Objectives for a Three to Five Year Period
Expand the outreach of services to a wider location and
more clients. The healthcare seeks to increase the reach of its
services by opening two more branches in different areas as
from 2016. It will partner with other health care service firms
such as medical and equipment suppliers and sign contracts that
enable operation and gradual payments to facilitate expansion.
The healthcare facility seeks to increase the clients by 30
percent, this not only increases the market share, but the
revenue too, to sustain the growth. This will be accomplished

6. through better marketing and services offered at the healthcare.
It will collaborate with the government and other private firms
in its service to increase service contracts with clients through
insurance cover. This will boost revenue and market share.
References
Gordon, J., Hazlett, C., Ten Cate, O., Mann, K., Kilminster, S.,
Prince, K., & Newble, D. (2000). Strategic planning in medical
education: enhancing the learning environment for students in
clinical settings. Medical Education,34(10), 841-850.
Kurttila, M., Pesonen, M., Kangas, J., & Kajanus, M. (2000).
Utilizing the analytic hierarchy process (AHP) in SWOT
analysis—a hybrid method and its application to a forest-
certification case. Forest Policy and Economics, 1(1), 41-52.
Porter, M. E. (2008). The five competitive forces that shape
strategy. Harvard business review, 86(1), 25-40.
Seago, B. L., Schlesinger, J. B., & Hampton, C. L. (2002).
Using a decade of data on medical student computer literacy for

7. strategic planning. Journal of the Medical library
Association, 90(2), 202.
Yüksel, I. (2012). Developing a multi-criteria decision making
model for PESTEL analysis. International Journal of Business
and Management, 7(24), p52.
STRATEGIC PLAN PART I - ORGANIZATIONAL
STRUCTURE 1
STRATEGIC PLAN PART I - ORGANIZATIONAL
STRUCTURE 2
Strategic Plan Part I - Organizational Structure
The primary objective of an organization is to achieve its
goals through better performance and proper utilization of the
resources available. Strategic planning defines the process by
which an organization identifies their current as well as future
human resource needs for an organization to meet its goals. It is
important to note that human resource planning comprises
human resource management in connection with an
organization's strategic plan. However, most organizations
overlook the importance of this relationship thus failing to
achieve its goals. In any organization, demand and supply are
two important factors that determine the success of an
organization. It is, therefore, imperative for organizations to
estimate the demand requirements within the organization, in
terms of labor, evaluate its size and sought supply requirements
that are sufficient to meet the needs in demand. This is a
connection with human resource management is essential for the
good performance of an organization.
Basing the focus on Hillside Healthcare organization, the
organizational structure depicts a functional organization
system where management is hierarchical in nature. The
governing structure comprises of higher echelon managers, and
this trickles down to lower departmental managers who form the
management structure under which employees are subject to
their instructions. The top management comprises the chief

8. administrator alongside senior medical advisor, senior nursing
advisor, communications expert and human resource manager.
The other management level comprises the chief medical officer
and other departmental professional medical officers. However,
due to the anticipated changes in the structure of the
organization, positions are not permanent but rather flexible to
accommodate future demands. Strategic planning, as well as
development of policies, is the background idea towards
building Hillside into a performance oriented organization
offering health care to all.
The Hillside Healthcare’s mission and vision and key values
The organization mission describes the needs to be
accomplished in improving health care. The vision statement
outlines the methods of executing the needs stated in the
mission statement while the values ensure that the two work
toward achieving the overall objectives of the organization.
Mission Statement
We are focused and committed to providing quality and
accessible health care to everyone through valuing the lives of
our patients, partnering with other health care organizations and
providing mobile health care to the financially challenged
persons.
Vision Statement
Transforming health care through quality services to our
patients, care, safety, and innovation to attain excellence in
community health provision. We will maximize our available
resources including health care providers to ensure affordable
services to all.
Values
· Respect- We value life irrespective of social status, race,
gender, religion and mental status of our patients.
· Integrity- Honesty is the key to the performance of our duties.
· Excellence- We offer exclusive services to our patients
because we value life.
· Development- We embraces personal as well as professional
development at work.

9. Hillside Healthcare’s current chosen strategic planning model
Hillside uses basic strategic planning model since it has no
previous experience in strategic planning. This system bestows
the process of decision making on the top management. This
planning model involves the following processes: Identification
of the mission statement, goals to be accomplished, approaches
for implementation, and identification of specific action plans
in implementing each strategy. In identifying the mission
statement, the organization understands the purpose of the
mission statement and establishes needs to be met. In order to
meet the purpose and needs of the organization, the management
develops goals that have to be accomplished to ensure the
purpose of establishing the organization is met. There's need to
develop strategies that the organization must seek to implement
to ensure the overall objectives are met.
Hillside Healthcare’s current theoretical framework
The systems theory framework hypothesizes the structure
or the organization as well as the performance of the heath care
organization. This framework combines organizational theory,
concepts of service delivery, clinical care and systematic
evaluation of performance. This system is flexible to changes
within health care. Healthcare professional are patient-focused
rather than disease-oriented, and this facilitates the process of
health care delivery to patients. The organization also
encourages health education, population empowerment through
health care programs and primary health care. This system is
designed to optimize comprehensiveness, integration together
with accessibility as far as health care provision is concerned. It
also appreciates the structural components of the organization
and primary health care system.
The role of your Hillside Healthcare’s mission, vision, and
values
Mission and vision statements are the most fundamental
elements of an organization. These two statements form the core
guides in the development of an organization's overall
objectives. The strategic plans developed by the organization

10. have their foundation laid by the mission and vision statements.
An organization's mission statement is its statement of purpose.
It forms the baseline for decision making within an
organization. It targets the shareholders involved in the
operation of the company (Neil, 2012). Shareholders,
employees, and managers develop their strategic plans that align
to the mission statement therefore facilitating the
accomplishment of overall goals of the organization. Vision
statements, on the other hand, provide more of directional
perspective in the achievement of the mission statement. It is an
important element in the development of overall strategic plans
of an organization. The values are the behaviors and practices
that foster the accomplishment of the vision and mission
statements alongside the overall objectives of the organization.
The organizational structure of Hillside Healthcare
The health organization uses a functional organizational
structure whereby, the whole system is divided into different
groups with clear separation of roles. The organizational
structure comprises of departments managed by departmental
heads. Examples of these departments include: financial, human
resource, communication and marketing departments. However,
central administration is responsible for making key decisions
of the organization. Functional structure enhances efficiency in
terms of performance since there’s coordination of stakeholders
and clear separation of duties. This structure supports the need
for employees to perfect their skills and develop their careers.
This is due to the specialization and division of roles embraced
by this structure.
The current key leaders at Hillside Healthcare
The key leaders within this organization are the top
manager and the human resource manager. The stakeholders
involved in the operations of an organization are the key people
that determine the success of an organization. The effectiveness
of a strategy development plan can be determined by evaluating
the contribution of employees towards achieving the set goals
and objectives. This is the function of human resource

11. department to ensure that its resources are effectively utilized
towards achieving the organization's goals. Human resource has
two distinct functions. One is the human resource strategic
effectiveness in terms of developing employees to support the
organization towards achieving its goals. The second function
that is always the point of focus of most organizations is the
administrative functions such as recruitment, appraisals training
of employees as well as their selection. These two functions are
equally important in achieving goals of an organization.
Therefore, the two management levels result to the two leaders
being key in the accomplishment of the organization’s goals
Hillside Healthcare’s change management model
The organization uses Kotter’s change management model.
Considering this strategy, the organization has set up strategies
and contingency approaches to counter expected changes within
the organization. As much as the organization is focusing on
achieving its goals and providing quality health care to its
customers, technological, economical and human resource
anticipated changes have been considered as part of the overall
strategic plan of the health care organization.
The major involvement the governing board has in
implementing the organization’s goals is to oversee the
performance of the organization’ employees and evaluate
whether they comply with the set standards of the organization.
This ensures that the achievement of its goals is monitored.
The governing board’s involvement in implementing strategic
goals
The governing board is actually the backbone of an
organization, it is the one that makes and implements every
major decision within that particular organization, and hence
the future of the organization depends on the board. This clearly
shows that the power of an organization lies within the
governing board and hence it must be involved in every
strategic goal making and implementation that the organization
wants to apply. For example, if a manager in a company wants
to put a five year goal then it means that he or she will have to

12. strategies the plan by distorting some of the already
implemented ideas, hence the manager will have to approach the
board of governors whom will decide on whether the plan
should go through or not. This clearly shows that the board has
100% involvement in the implementation of strategic goals.
Hillside Healthcare’s major service delivery and support
activities
The Hillside Healthcare’s major service delivery includes
products which are mainly used for health services and
practitioners. These products are the ones which determine the
organizations value chain which mostly revolve around the
supply chain. For example, the location in which the
organization is located must be a place where it can easily
obtain its raw material at a cheap cost also, it must have a ready
target market where it plans to maximize its profitable shares.
Profitable shares are also determined by ways in which the
organization tends to marketing in order to familiarize people
with it product, this will also depend on the organization
structure from how the products are manufacture into finished
products until advertising. Organizational culture is one of the
key factors that should be put into consideration when running
an organization may it be big or small. The culture defines how
the organization plans its strategies such as follow ups to know
how the market receives its products, how to bill the products
and other strategic factors which may be involved.
How the Hillside Healthcare use its value chain to help
implement its strategic plan
The strategic plan of the organization offer quality and
improved services to their customers by creating good
relationships enhancing the performance of the organization.
The activities involved in the value chain can be intensively
executed to realize the goals of this organization. Service
delivery activities may be used to develop good customer
relationships. The support activities may be used to develop the
organization to ensure quality services are offered to patients.
Conclusion

13. Strategies are the most important tools which can define
the future of a company or organization. Good strategies are
bound to ensure the growth and success of an organization,
while bad strategies are actually the reciprocal. Hence, the fact
that the market may be available for an organization to sell its
products it does not necessarily mean that it will succeed in the
market. It requires strategic measures which are capable of
tackling the supply chain efficiently. This is why the decision
making process in an organization is not placed on one man, but
a board of governors.
References
Levasseur, R. E. (2009). People skills: Implementing strategic
goals-A change management perspective. Interfaces, 39(4), 370-
372. Retrieved from
http://search.proquest.com/docview/217125158?accountid=458
Neil K., (2012), Importance of Mission Vision in Organizational
Strategy, Organization Management, Cambridge Press
Ovidijus V., (2013), Value Chain Analysis, Strategic
Management, Macmillan Publishers USA
STRATEGIC PLANNING REPORT 1

14. STRATEGIC PLANNING REPORT 5
Strategic Planning Report
A strategy is a planned way to do something with fixed
objectives and outcome at sight. Strategies are used to reach a
goal systematically. Management involves the staffing,
controlling, planning, organizing and directing functions of any
organization with the aim of achieving set goals and objectives.
Strategic management therefore simply means the formulation
of objectives and goals and planning the way to reach the
objectives in an organization and thereafter implementing these
methods.
The major components of strategic management
Strategic management involves the systematic analysis of all the
internal and external factors that pertain or exist within an
organization. Internal factors include employees, organizational
policies and culture, shareholders and all the management while
external factors are those that the organization has no control
over but they influence the existence of the firm and will
include the political, social, technological, economic and legal
factors. The major objective of strategic management is to align
the corporate policies and objectives and strategic priorities in
order to achieve competitive advantage in the market industry.
Therefore, organizations strategies should be formulated such
that they adapt to the external environment at all times. This is
what will bring success in the firm.
Why each component is needed for success
One of the basic elements of strategic management includes the
plan. It identifies the activities to be undertaken by the
organization and the analysis of how these activities are
affected by the internal and external environment. This also
involves formulation and evaluation of alternative strategies and
selecting the best to implement. Strategic planning is important
because it lays down objectives and goals to be achieved and
therefore acts as a means of motivation to the employees. The
other element is strategic implementation which involves the
carrying out of the plans by the workforce according to the set

15. procedures and policies. Implementation is important in order to
achieve the set objectives as laid down by the strategic plan.
Strategic management also has another element, which is
strategic control. It containstheimplementation of set strategies
and measures the performance of the outcome along the way to
find out whether the main goals and objectives are being
reached. Strategic planning will involve three types of
controlling and planning. The first aspect is management
planning and control. This ensures that all the necessary
resources are available to facilitate the implementation process.
Technical planning and controlling involves the efficient usage
of the materials and resources available to the organization and
ensuring they are estimated accurately. The last type is strategic
planning and control which ensures that changes to the
objectives and policies are done where deemed fit. Controlling,
therefore, is important because it involves identification of
performance gap and taking measures to correct the gap.
The important formulation of an organization’s mission and
values
Some of the elements in a strategic plan are the mission and the
values. The organization's mission is a timeless expression of
the organizations purpose of objective and describing what you
seek to accomplish. The value of the organization describes the
beliefs in an organization that form the foundation to all
transactions and interactions. The mission and value are
important in a strategic management because they form the
framework of the process. It lays down the beliefs and position
the organization aims to be at in future and ensures that the
strategic management process aims at achieving only that.
The benefits it brings to a health care organization
Strategic management has numerous advantages to the health
care organization. It brings about harmony in the health care
organization's goals and the employees efforts since it states the
organizations goal and how to achieve it. It also enables the
measurement of the organization’s performance by setting

16. standards to be achieved. It also facilitates easy and efficient
decision making since everyone is driven by the goals set by the
strategic plan.
Organizational decision making and financial performance
There is an acknowledgement for strategic management to
provide a framework for decision making in an organization.
Since strategy planning provides a framework through which
employees implement daily, it means that employees will make
decisions based on the strategies laid down with the
understanding that all decisions made are made with only one
goal in mind. This in turn improves the performance of the
employees because they know very well of the duties they have
to undertake in order to achieve the objective and therefore an
increase in the financial performance.
An organization response to its environment
Strategic management effectively creates a situation where
an organization is always in a position to adapt to
environmental conditions in a smooth and orderly manner. This
is due to the fact that strategic management that is carried out
effectively, often involves a proactive adaptable plan that can
be utilized by an organization in order to adapt very rapidly to
ever changing environmental conditions. Therefore, the more
proficient that organizational leadership is at conducting
strategic management, the more professionally and effectively
an organization will respond to its environment.
Conclusion
In conclusion, strategic management should be implemented in
order to achieve efficiency in its operations as well as to gain
competitive advantage over the other organizations in the same
industry. Well-designed strategies will always increase
organizations performance and profitability as well. These
strategies should therefore portray what is contained in the
mission and vision statements.

17. References
Distelzweig, H., Clark, C., & Plenert, G. (2006). Strategy
Formulation. In M. M. Helms (Ed.), Encyclopedia of
Management (5th ed., pp. 837-845).
Ginter, P. M. (2013). Strategic Management of Health Care
Organizations (7th Edition). Somerset, NJ, USA: John Wiley &
Sons. Retrieved from http://www.ebrary.com
Rao, P. S. (2010). Strategic Management. Mumbai, IND:
Himalaya Publishing House. Retrieved from
http://www.ebrary.com