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Surname1
Surname2
Name
Instructor
Course
Date
Part 1: Topic Research and Selection
The healthcare system has become more complex and
competitive. As a result, healthcare organizations have adopted
different ways to increase profitability and remain relevant in
the highly dynamic industry. One of the highly used approaches
to increase profitability in the industry is reducing costs of
operation. There are various ways in which healthcare facilities
reduce costs. Labor is one of the largest expenses in the
healthcare system, as a result hospitals ensure they are not over
staffed or understaffed. Some healthcare organizations reduce
costs by managing vendors in a better way. This involves
working with vendors to improve contracts and reduce supply
cost. Healthcare organizations also involve physicians in cost
reduction efforts.
Part 2: Literature Review
Catena, Dopson & Holweg, (135) suggested that healthcare
providers are increasingly adopting standardized policies to
reduce operational costs. One way to achieve this has been to
develop a policy to reduce the patient’s length of stay in
hospitals. According to Catena, Dopson & Holweg, (136)
reducing the lengths of stay in hospital is associated with
reduced cost per procedure and improving patient outcomes.
The study also found that readmission in the hospital increase

the costs associated with treatment. This is because physicians
have to repeat costly procedure to ensure positive outcomes for
the patients. The study recommends healthcare providers to
develop policies for reducing patients stay in hospital to
increase profitability (Catena, Dopson & Holweg, 136).
Another study found that reducing the length of stay in
healthcare can significantly reduce operational costs increasing
the profitability of the organization (Batt, Bavafa & Soltani, 4).
The study suggested that the healthcare policy often does not
target Hospital Readmissions Reduction Program HRRP. The
findings of the study show that the program led to the
improvement of about 4%in readmission within 30 days. This
significantly reduces the costs associated with readmission of
patients in hospitals. The findings of this study show the areas
within the healthcare that are not targeted by policies (Batt,
Bavafa & Soltani, 5).
Ramori et al., (4) found that cost reduction is one of the most
effective ways that has been used widely by healthcare
organizations to increase profitability. In addition, the study
suggested that lean models in the industry help in improving
overall outcome of the patients at the same time reducing waste
and costs. The study concluded that models of care, managerial
process improvement, lean thinking models, improvement cost
models can be used by healthcare organizations to reduce waste
and cost while increasing profitability (Ramori et al., 10). The
study also found that these models can help healthcare
organizations maintain their competitive edge in the market
(Ramori et al., 14).
Another study aimed to the importance of innovation in
healthcare organizations to reduce cost and increase
profitability (Wirtz, 99). The study indicated that cost pressures
have increasingly become a barrier for healthcare organizations
to improve their profitability. Wirtz, (101) noted that
operational waste in the healthcare systems results in significant
loss of financial resources. The study suggests that innovations
can help in reducing this waste and reduce the costs associated

with operation. In addition, the study indicated that healthcare
organizations can optimize costs while at the same time
providing quality services by reducing waste. To optimize costs
all staff members must be fully involved (Wirtz, 101).
According to Wirtz (102), there are three approaches to cost-
effective service excellence in healthcare including service
factory strategy, dual culture approach and operational
management strategy. In the dual culture approach, the staffs
are involved to understand the importance of reducing wastage
in the organizations (Wirtz, 102). The operational management
strategy involves reducing variability induced by customers thus
reducing conflict between quality of services and cost
effectiveness. The factory service approach involves redesign
service variability that could induce significant operational
costs. All this strategies aim to reduce costs associated with
healthcare services and increasing profitability of an
organization (Wirtz, 103).
Berry Jaeker & Tucker, (3) suggested that process friction plays
a significant role in reducing medical costs. The study found
that process friction increases efficiency in provision of
services. In addition, the study indicated that forcing staff
members to explain the rational for requesting for an optional
service induces the friction required to increase efficiency in
the healthcare setting. Berry Jaeker & Tucker (3) noted that
reducing unnecessary testing and reducing the length of stay in
hospitals significantly reduces the costs of treatment therefore
increasing the profitability of the organization. The study
concludes that justification provides a platform for reducing
costs while maintaining quality of healthcare services (Berry
Jaeker & Tucker, 5).
In another study, the researchers associated readmission in
hospitals to increased costs of healthcare (Adida & Bravo,
1322). These findings were supported by Catena, Dopson &
Holweg, (1323) who suggested that that readmission in the
hospital increase the costs associated with treatment. Adida &
Bravo, (1323) noted that services requesters may incur extra

costs in follow up when there is a treatment failure in a referral.
To avoid such extra costs, the study suggests that healthcare
providers should use coordinating contracts when referring
patients to service providers. This yields desired outcomes for
everyone involved in the healthcare system (Adida & Bravo,
1324).
Langell (2) reported that the use of lean operational principles
significantly reduce medical costs and increase profitability in
healthcare facilities. These findings were supported by Ramori
et al., (5) who suggested that lean models can help healthcare
organizations maintain their competitive edge in the market.
According to Langell (3), use of incentive spirometry in the
healthcare system can save the United States significant
financial resources. The use of lean approaches can
significantly help healthcare facilities to reduce waste and
improve their efficiency ultimately improving their profitability
(Langell, 4).
In another study aiming to determine the role of communication
and planning instances in reducing waste in operational room,
Dreyfus, Nair & Rosales, (95) found that planning instances are
associated with unplanned costs. In particular, the study found
that the more the changes in physician preference card, the
higher the unplanned costs. In addition, the study found that
open communication within the operational room significantly
reduces unplanned costs (Dreyfus, Nair & Rosales, 97). The
findings of this study were supported by Catena, Dopson&
Holweg (136) who suggested that standardization within the
healthcare setting can significantly reduce medical costs.
According to Zychlinski et al., (3), reducing operational costs in
the healthcare facilities is one of the effective approaches of
improving profitability in the highly dynamic and complex
industry. The study suggests that bed blocking is very costs in
the healthcare system which is normally caused by patients who
have been discharged but have to wait for a bed in a geriatric
institution (Zychlinski et al., 4). The study suggested a fluid
model to help address this problem. According to the

researchers, using this model for bed allocation reduces the
length of hospital stay for patients who have been discharged
and reduces costs (Zychlinski et al., 4).
When bed blocking occurs, other patients are unable to get a
bed. As a result, they end up looking for other healthcare
organizations (Zychlinski et al., (6). This amounts to significant
loss of revenues for the healthcare facility. In addition, bed
blocking increases the length of stay for patients and may have
other effects such as getting hospital acquired infections. This
means that the patients will have to stay further ion the hospital
to get treated for the new infections. This has significant costs
associated with it as physicians have to conduct other test to
establish the news infection. Zychlinski et al., (7) suggested
that the fluid model was accurate and useful in addressing the
problem.
Liu et al., (5) suggested that reducing medical costs in the
healthcare organizations can significantly increase profitability.
This suggestion has been supported by numerous studies which
report that reducing medical costs could significantly increase
profitability of organizations in the healthcare industry (Adida
& Bravo, 2327). According to Liu et al., (6), healthcare
organizations that have been able to reduce medical costs report
significantly higher profit margins as compared to those that do
not focus on reducing operational costs. In addition, the study
initiatives such as relying in drug sales are not effective if
medical costs remain high (Liu et al., 6).
Grosso et al., (422) associated decreased length of stay in the
hospital with increased profitability. The study found that
patients are at a higher risk of developing hospital acquired
infections when they stay for long. As a result it becomes costly
to treat the hospital acquired infections. These findings have
been supported by another study which suggested that the more
the patients stay in the hospital the higher the chances of
developing infections increasing cost of treatment (Batt, Bavafa
& Soltani, 7). In addition, other studies have reported increased
profitability in healthcare organizations that have a policy for

reducing the length of patient stay (Batt, Bavafa & Soltani, 6).
In other studies, decreasing length of stay has also been found
to significantly optimize healthcare costs (Johnson et al., 771).
Two factors have been found to affect the profitability of a
healthcare organization based on increased length of stay
namely development of healthcare acquired infections that can
significantly increase the length of stay in the facility and more
testing. According to Grosso et al., (422), reducing the length of
stay of a patient considerable optimize costs in a healthcare
organization.
Holopainen, Niskanen & Rissanen (28) found that decreasing
costs is one of the most effective strategies in increasing
profitability of healthcare organizations. While there other
approaches that can help organizations to enhance profitability,
they may be ineffective if the administration does not focus on
reducing the costs of operation. This is because treatment in
healthcare accounts for a large percentage of the overall costs
of healthcare organizations Holopainen, Niskanen & Rissanen
(34). These findings were supported by (Wirtz, 102) who
indicated that cost pressures have increasingly become a barrier
for healthcare organizations to improve their profitability.
Works Cited
Adida, Elodie, and Fernanda Bravo. "Contracts for healthcare
referral services: Coordination via outcome-based penalty
contracts." Management Science 65.3 (2019): 1322-1341..
Retrieved from
https://pubsonline.informs.org/doi/abs/10.1287/mnsc.2017.3000
Batt, Robert, Hessam Bavafa, and Mohamad Soltani. "Quality
improvement spillovers: Evidence from the hospital
readmissions reduction program." Available at SSRN
3132770 (2020).Retrieved from
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3132770
Berry Jaeker, Jillian, and Anita Tucker. "The value of process
friction: An empirical investigation of justification to reduce
medical costs." Journal of Operations
Management (2019). Journal of Operations Management.

Retrieved from
Catena, Rodolfo, Sue Dopson, and Matthias Holweg. "On the
tension between standardized and customized policies in health
care: The case of length‐of‐stay reduction." Journal of
Operations Management 66.1-2 (2020): 135-150.Retrieved from
https://onlinelibrary.wiley.com/doi/abs/10.1002/joom.1016
Dreyfus, David, Anand Nair, and Claudia Rosales. "The impact
of planning and communication on unplanned costs in surgical
episodes of care: Implications for reducing waste in hospital
operating rooms." Journal of Operations Management 66.1-2
(2020): 91-111. Retrieved from
Grosso, Matthew J., et al. "Decreasing length of hospital stay
and postoperative complications after primary total hip
arthroplasty: a decade analysis from 2006 to 2016." The Journal
of arthroplasty 34.3 (2019): 422-425. Retrieved from
https://www.sciencedirect.com/science/article/pii/S0883540318
311185
Holopainen, Riikka Maarit, Mervi Niskanen, and Sari Rissanen.
"Management Accounting and Profitability in Private
Healthcare SMEs." International Journal of Public and Private
Perspectives on Healthcare, Culture, and the Environment
(IJPPPHCE) 3.1 (2019): 28-44. Retrieved from https://www.igi-
global.com/article/management-accounting-and-profitability-in-
private-healthcare-smes/219352
Johnson, Cali E., et al. "Focused resident education and
engagement in quality improvement enhances documentation,
shortens hospital length of stay, and creates a culture of
continuous improvement." Journal of surgical education 76.3
(2019): 771-778.Retrieved from
https://www.sciencedirect.com/science/article/abs/pii/S1931720
418301909
Langell, John T. "Evidence-based medicine: A data-driven
approach to lean healthcare operations." International Journal of
Healthcare Management (2019): 1-4. Retrieved from

https://www.tandfonline.com/doi/abs/10.1080/20479700.2019.1
641650
Liu, Xiaoyun, et al. "Containing medical expenditure: lessons
from reform of Beijing public hospitals." bmj 365 (2019):
l2369. Retrieved from
https://www.bmj.com/content/365/bmj.l2369.abstract
Ramori, Kristen A., et al. "Lean business models in healthcare:
a systematic review." Total Quality Management & Business
Excellence (2019): 1-16. Retrieved from
601995
Wirtz, Jochen. "Cost-effective service excellence in
healthcare." AMS Review 9.1-2 (2019): 98-104.Retrieved from
https://link.springer.com/article/10.1007/s13162-019-00139-7
Zychlinski, Noa, et al. "Bed blocking in hospitals due to scarce
capacity in geriatric institutions—cost minimization via fluid
models." Manufacturing & Service Operations
Management (2019). Retrieved from
https://pubsonline.informs.org/doi/abs/10.1287/msom.2018.074
5
Surname1
Surname2
Name
Instructor
Course
Date
Part 1: Topic Research and Selection

The healthcare system has become more complex and
competitive. As a result, healthcare organizations have adopted
different ways to increase profitability and remain relevant in
the highly dynamic industry. One of the highly used approaches
to increase profitability in the industry is reducing costs of
operation. There are various ways in which healthcare facilities
reduce costs. Labor is one of the largest expenses in the
healthcare system, as a result hospitals ensure they are not over
staffed or understaffed. Some healthcare organizations reduce
costs by managing vendors in a better way. This involves
working with vendors to improve contracts and reduce supply
cost. Healthcare organizations also involve physicians in cost
reduction efforts.
Part 2: Literature Review
Catena, Dopson & Holweg, (135) suggested that healthcare
providers are increasingly adopting standardized policies to
reduce operational costs. One way to achieve this has been to
develop a policy to reduce the patient’s length of stay in
hospitals. According to Catena, Dopson & Holweg, (136)
reducing the lengths of stay in hospital is associated with
reduced cost per procedure and improving patient outcomes.
The study also found that readmission in the hospital increase
the costs associated with treatment. This is because physicians
have to repeat costly procedure to ensure positive outcomes for
the patients. The study recommends healthcare providers to
develop policies for reducing patients stay in hospital to
increase profitability (Catena, Dopson & Holweg, 136).
Another study found that reducing the length of stay in
healthcare can significantly reduce operational costs increasing
the profitability of the organization (Batt, Bavafa & Soltani, 4).
The study suggested that the healthcare policy often does not
target Hospital Readmissions Reduction Program HRRP. The
findings of the study show that the program led to the
improvement of about 4%in readmission within 30 days. This
significantly reduces the costs associated with readmission of
patients in hospitals. The findings of this study show the areas

within the healthcare that are not targeted by policies (Batt,
Bavafa & Soltani, 5).
Ramori et al., (4) found that cost reduction is one of the most
effective ways that has been used widely by healthcare
organizations to increase profitability. In addition, the study
suggested that lean models in the industry help in improving
overall outcome of the patients at the same time reducing waste
and costs. The study concluded that models of care, managerial
process improvement, lean thinking models, improvement cost
models can be used by healthcare organizations to reduce waste
and cost while increasing profitability (Ramori et al., 10). The
study also found that these models can help healthcare
organizations maintain their competitive edge in the market
(Ramori et al., 14).
Another study aimed to the importance of innovation in
healthcare organizations to reduce cost and increase
profitability (Wirtz, 99). The study indicated that cost pressures
have increasingly become a barrier for healthcare organizations
to improve their profitability. Wirtz, (101) noted that
operational waste in the healthcare systems results in significant
loss of financial resources. The study suggests that innovations
can help in reducing this waste and reduce the costs associated
with operation. In addition, the study indicated that healthcare
organizations can optimize costs while at the same time
providing quality services by reducing waste. To optimize costs
all staff members must be fully involved (Wirtz, 101).
According to Wirtz (102), there are three approaches to cost-
effective service excellence in healthcare including service
factory strategy, dual culture approach and operational
management strategy. In the dual culture approach, the staffs
are involved to understand the importance of reducing wastage
in the organizations (Wirtz, 102). The operational management
strategy involves reducing variability induced by customers thus
reducing conflict between quality of services and cost
effectiveness. The factory service approach involves redesign
service variability that could induce significant operational

costs. All this strategies aim to reduce costs associated with
healthcare services and increasing profitability of an
organization (Wirtz, 103).
Berry Jaeker & Tucker, (3) suggested that process friction plays
a significant role in reducing medical costs. The study found
that process friction increases efficiency in provision of
services. In addition, the study indicated that forcing staff
members to explain the rational for requesting for an optional
service induces the friction required to increase efficiency in
the healthcare setting. Berry Jaeker & Tucker (3) noted that
reducing unnecessary testing and reducing the length of stay in
hospitals significantly reduces the costs of treatment therefore
increasing the profitability of the organization. The study
concludes that justification provides a platform for reducing
costs while maintaining quality of healthcare services (Berry
Jaeker & Tucker, 5).
In another study, the researchers associated readmission in
hospitals to increased costs of healthcare (Adida & Bravo,
1322). These findings were supported by Catena, Dopson &
Holweg, (1323) who suggested that that readmission in the
hospital increase the costs associated with treatment. Adida &
Bravo, (1323) noted that services requesters may incur extra
costs in follow up when there is a treatment failure in a referral.
To avoid such extra costs, the study suggests that healthcare
providers should use coordinating contracts when referring
patients to service providers. This yields desired outcomes for
everyone involved in the healthcare system (Adida & Bravo,
1324).
Langell (2) reported that the use of lean operational principles
significantly reduce medical costs and increase profitability in
healthcare facilities. These findings were supported by Ramori
et al., (5) who suggested that lean models can help healthcare
organizations maintain their competitive edge in the market.
According to Langell (3), use of incentive spirometry in the
healthcare system can save the United States significant
financial resources. The use of lean approaches can

significantly help healthcare facilities to reduce waste and
improve their efficiency ultimately improving their profitability
(Langell, 4).
In another study aiming to determine the role of communication
and planning instances in reducing waste in operational room,
Dreyfus, Nair & Rosales, (95) found that planning instances are
associated with unplanned costs. In particular, the study found
that the more the changes in physician preference card, the
higher the unplanned costs. In addition, the study found that
open communication within the operational room significantly
reduces unplanned costs (Dreyfus, Nair & Rosales, 97). The
findings of this study were supported by Catena, Dopson&
Holweg (136) who suggested that standardization within the
healthcare setting can significantly reduce medical costs.
According to Zychlinski et al., (3), reducing operational costs in
the healthcare facilities is one of the effective approaches of
improving profitability in the highly dynamic and complex
industry. The study suggests that bed blocking is very costs in
the healthcare system which is normally caused by patients who
have been discharged but have to wait for a bed in a geriatric
institution (Zychlinski et al., 4). The study suggested a fluid
model to help address this problem. According to the
researchers, using this model for bed allocation reduces the
length of hospital stay for patients who have been discharged
and reduces costs (Zychlinski et al., 4).
When bed blocking occurs, other patients are unable to get a
bed. As a result, they end up looking for other healthcare
organizations (Zychlinski et al., (6). This amounts to significant
loss of revenues for the healthcare facility. In addition, bed
blocking increases the length of stay for patients and may have
other effects such as getting hospital acquired infections. This
means that the patients will have to stay further ion the hospital
to get treated for the new infections. This has significant costs
associated with it as physicians have to conduct other test to
establish the news infection. Zychlinski et al., (7) suggested
that the fluid model was accurate and useful in addressing the

problem.
Liu et al., (5) suggested that reducing medical costs in the
healthcare organizations can significantly increase profitability.
This suggestion has been supported by numerous studies which
report that reducing medical costs could significantly increase
profitability of organizations in the healthcare industry (Adida
& Bravo, 2327). According to Liu et al., (6), healthcare
organizations that have been able to reduce medical costs report
significantly higher profit margins as compared to those that do
not focus on reducing operational costs. In addition, the study
initiatives such as relying in drug sales are not effective if
medical costs remain high (Liu et al., 6).
Grosso et al., (422) associated decreased length of stay in the
hospital with increased profitability. The study found that
patients are at a higher risk of developing hospital acquired
infections when they stay for long. As a result it becomes costly
to treat the hospital acquired infections. These findings have
been supported by another study which suggested that the more
the patients stay in the hospital the higher the chances of
developing infections increasing cost of treatment (Batt, Bavafa
& Soltani, 7). In addition, other studies have reported increased
profitability in healthcare organizations that have a policy for
reducing the length of patient stay (Batt, Bavafa & Soltani, 6).
In other studies, decreasing length of stay has also been found
to significantly optimize healthcare costs (Johnson et al., 771).
Two factors have been found to affect the profitability of a
healthcare organization based on increased length of stay
namely development of healthcare acquired infections that can
significantly increase the length of stay in the facility and more
testing. According to Grosso et al., (422), reducing the length of
stay of a patient considerable optimize costs in a healthcare
organization.
Holopainen, Niskanen & Rissanen (28) found that decreasing
costs is one of the most effective strategies in increasing
profitability of healthcare organizations. While there other
approaches that can help organizations to enhance profitability,

they may be ineffective if the administration does not focus on
reducing the costs of operation. This is because treatment in
healthcare accounts for a large percentage of the overall costs
of healthcare organizations Holopainen, Niskanen & Rissanen
(34). These findings were supported by (Wirtz, 102) who
indicated that cost pressures have increasingly become a barrier
for healthcare organizations to improve their profitability.
Works Cited
Adida, Elodie, and Fernanda Bravo. "Contracts for healthcare
referral services: Coordination via outcome-based penalty
contracts." Management Science 65.3 (2019): 1322-1341..
Retrieved from
https://pubsonline.informs.org/doi/abs/10.1287/mnsc.2017.3000
Batt, Robert, Hessam Bavafa, and Mohamad Soltani. "Quality
improvement spillovers: Evidence from the hospital
readmissions reduction program." Available at SSRN
3132770 (2020).Retrieved from
Berry Jaeker, Jillian, and Anita Tucker. "The value of process
friction: An empirical investigation of justification to reduce
medical costs." Journal of Operations
Management (2019). Journal of Operations Management.
Retrieved from
Catena, Rodolfo, Sue Dopson, and Matthias Holweg. "On the
tension between standardized and customized policies in health
care: The case of length‐of‐stay reduction." Journal of
Operations Management 66.1-2 (2020): 135-150.Retrieved from
Dreyfus, David, Anand Nair, and Claudia Rosales. "The impact
of planning and communication on unplanned costs in surgical
episodes of care: Implications for reducing waste in hospital
operating rooms." Journal of Operations Management 66.1-2
(2020): 91-111. Retrieved from
Grosso, Matthew J., et al. "Decreasing length of hospital stay

and postoperative complications after primary total hip
arthroplasty: a decade analysis from 2006 to 2016." The Journal
of arthroplasty 34.3 (2019): 422-425. Retrieved from
311185
Holopainen, Riikka Maarit, Mervi Niskanen, and Sari Rissanen.
"Management Accounting and Profitability in Private
Healthcare SMEs." International Journal of Public and Private
Perspectives on Healthcare, Culture, and the Environment
(IJPPPHCE) 3.1 (2019): 28-44. Retrieved from https://www.igi-
global.com/article/management-accounting-and-profitability-in-
private-healthcare-smes/219352
Johnson, Cali E., et al. "Focused resident education and
engagement in quality improvement enhances documentation,
shortens hospital length of stay, and creates a culture of
continuous improvement." Journal of surgical education 76.3
(2019): 771-778.Retrieved from
418301909
Langell, John T. "Evidence-based medicine: A data-driven
approach to lean healthcare operations." International Journal of
Healthcare Management (2019): 1-4. Retrieved from
641650
Liu, Xiaoyun, et al. "Containing medical expenditure: lessons
from reform of Beijing public hospitals." bmj 365 (2019):
l2369. Retrieved from
https://www.bmj.com/content/365/bmj.l2369.abstract
Ramori, Kristen A., et al. "Lean business models in healthcare:
a systematic review." Total Quality Management & Business
Excellence (2019): 1-16. Retrieved from
601995
Wirtz, Jochen. "Cost-effective service excellence in
healthcare." AMS Review 9.1-2 (2019): 98-104.Retrieved from
https://link.springer.com/article/10.1007/s13162-019-00139-7

Zychlinski, Noa, et al. "Bed blocking in hospitals due to scarce
capacity in geriatric institutions—cost minimization via fluid
models." Manufacturing & Service Operations
Management (2019). Retrieved from
https://pubsonline.informs.org/doi/abs/10.1287/msom.2018.074
5
Running Head: PROJECT PLAN1
PROJECT PLAN 2
Project Plan
Professor’s Name
Student’s Name
Course Title
Date
Problem Statement
The organization is facing various challenges due to the small
size of the current laboratory and also old equipment that
operates very slow. The equipment operates very slowly taking
a lot of time for nurses to get results for their patients. This has
significant financial implications in the organization as only
few patients can be served in one day. In addition, patients
spend a lot of time in the hospital and are looking for other
options where they can get services within a short time. Nurses

also spend a lot of time attending to one patient while waiting
for results.
Measurable Goals and Objectives
The main objective of this project is to install new equipment in
the hospital laboratory within a period of three weeks. The new
equipment will be installed in a new laboratory specifically
designed to accommodate the more equipment. One of the main
goals of the project is to ensure healthcare practitioner get
results within a short period of time. Another goal of this
project is to ensure nurses attend to more than six patients
within one hour. Finally, the project aims to improve customers’
satisfaction by reducing their stay in the healthcare setting
(Marier-Bienvenue, Pellerin & Cassivi, 2017).
Resources Required
Human
A total of six people are required to complete the project. The
project will have a manager who will be responsible for
organizing the project team, controlling time management and
monitoring progress. There will also be a supervisor who will
report directly to the project manager. The supervisor will
assign tasks to the subject matter experts and ensure all
activities are performed the way it is required. Finally there will
for subject matter who will perform the activities assigned to
them by the supervisor. These experts have extensive
experience in installation of lab equipment and will be able to
flesh smaller details of the project that were not discussed at the
management level. There will also be a consultant to advise the
project team.
Financial
A lot of financial resources will be required to construct a new
laboratory and install all the new equipment. The new building
is expected to take a significant part of the budget. The project
team will also need to be paid to complete the project
effectively A consultant will be outsourced to advise on how the
project will be implemented to avoid making mistakes. This
consultant will be outsourced from a reputable organization to

ensure the project is a success. The new equipment will take the
largest share of the budget. This is because laboratory
equipments are expensive.
List of Tasks
1. The following are the list of task in this project
2. Team selection
3. Identifying resources
4. Rolling out the project
5. Supervisions the project
6. End of the project
The first step involves project selection by the senior
management of the organization. The next phase is project
planning. This will involve identifying resources deciding a
budget and setting timelines of the project. In addition the team
will identify any roadblocks. The next task is to rollout the
project. This involves the supervisor assigning each roles and
responsibilities to team members. During the project the
manager will monitor team performance, project timeline and
plan. The project will come to an end after all the objectives are
met (Sanchez & Haas, 2018).
Budget
The following table shows the budget of the entire project
Item
Cost
Project manager
$1000
Laboratory Equipment
$50000
New building
$4000
Consultant
$5000
Subject matter experts
$30000
Total
$900000

Communication Plan
There are different types of communications that will be used in
this project depending on the information being passed. The
project manager will communicate project status reports on
weekly bases through email to the project sponsor and the team.
A meeting will be convened everyday to communicate team
stand up. Only team members will attend that meeting. A
meeting will be convened to review the project at milestone.
The goal of the meeting will be to gather feedback and discuss
the way forward. The meeting will be attended by the project
sponsor and team members. The project manager will all
convene a postmortem meeting to discuss things that have
worked or did not work out for the project (Sanchez & Haas,
2018).
Key stakeholders
Direct
The direct stakeholder for this project includes the organization
board of management, executives, nurse and all other healthcare
professionals. Communities that receive services from the
healthcare organization are also direct stakeholders. Project
sponsors are also part of the direct stakeholders as they fund the
project. Vendors and suppliers are also part of the direct
stakeholders as they supply elements needed to complete the
project (Pellerin & Perrier, 2019).
Indirect
This includes the stakeholders whose interests are threatened or
enhanced. End users and the customers for the organization are
the indirect stakeholders. This is because they are only
concerned with the completed project.

References
Marier-Bienvenue, T., Pellerin, R., & Cassivi, L. (2017).
Project planning and control in social and solidarity economy
organizations: a literature review. Procedia computer
science, 121, 692-698. Retrieved from
322901
Pellerin, R., & Perrier, N. (2019). A review of methods,
techniques and tools for project planning and
control. International Journal of Production Research, 57(7),
2160-2178. Retrieved from
524168
Sanchez, B., & Haas, C. (2018). Capital project planning for a
circular economy. Construction Management and
Economics, 36(6), 303-312. Retrieved from
435895
Running Head: IMPLEMENTATION PLAN AND STRATEGY1
IMPLEMENTATION PLAN AND STRATEGY 2
Implementation Plan and Strategy
Shatasia Allen
MBA HealthCare Management Capstone
May 2020

Implementation Plan
The following table shows how activities in the project will be
implemented. Activities have been categorized into different
phases of project implementation.
Activity
Start date
Finish date
To be Carried out by
Planning Phase
Team selection
1/6/2020
2/6/2020
Project Manager
Resource identification
3/6/2020
4/6/2020
Project team
Budget
5/6/2020
6/6/2020
Project team
Risk Identification
7/6/2020
7/6/2020
Project team
Implementation phase
Preparation
8/6/2020
8/6/2020

Project team
Construction of new laboratory
9/6/2020
30/6/2020
Project team
Power installation
1/7/2020
4/7/2020
Project team
Purchase of new Laboratory equipment
5/7/2020
5/7/2020
Project team
Installation of laboratory equipment
6/7/2020
10/7/2020
Project team
Closure phase
Test laboratory equipment
12/7/2020
13/7/2020
Project team
Training of Nurses
14/7/2020
18/7/2020
Subject matter experts
End of the project
19/7/2020
19/7/2020
Project manager
Strategies for Implementing Change
There are various strategies that will be used for implementing

change. The first strategy is clearly defining the change. This
will involve the evaluating the change required for the
organization. This will help the project team to determine the
value for the change. Another strategy is determining the impact
of the change (Allen, 2016). The impact of the change on each
of the business units will be reviewed. This strategy will help to
answer critical questions of the project such as who the change
will affect and how it will be received. This strategy also helps
the project team to determine the people who are most likely to
be affected (Cancilla, 2020).
A communication strategy will be developed to help the
organization communicate change to the employees. This will
help the team to determine ways in which the change will be
communicated and how feedback will be managed. The other
strategy is providing training to nurses. A training program will
be provided for the nurses to learn the skills needed to operate
the new laboratory equipment. The next step will involve
implementing a support structure. This will help nurses to
adjust to the new changes in the organization. Finally, the
change process will be measured. The change management plan
will also be evaluated to determine its effectiveness (Cancilla,
2020).
Strategies for Monitoring the Project
There are various strategies that will be used for monitoring the
project. One of these strategies will involve setting up clear
goals of the project. Each members of the team will be given a
specific role to play in the projects. The manager will also give
the team members a comprehensive outline of the project.
Milestones with clear deadlines will be established. The project
manager will assign each member of the team to tasks that align
with their knowledge and skills set. Team members will be
aware of the roles they are supposed to play for the project to
achieve its objectives (Yemini, Oplatka & Sagie, 2018).
The progress of the project will be measured regularly. As the
project moves forward, the performance of all team members
will be evaluated. This will help the project manager to

determine whether the team is hitting its targets. A project
management system will be used to provide critical information
about the progress of the project. This information will be
displayed on a single dashboard to make it easy to monitor the
project. If something looks strange, the project manager will be
able to dig deeper into details to establish what could have gone
wrong. This strategy is important to determine problems early
enough when they occur.
Risk or Challenges
There are various risks and challenges associated with this
project. One of these challenges is keeping the team on the
same page throughout the project. Having a diverse steam is a
significant challenge for the project manager. Another challenge
is identifying the most appropriate project management
software. This project needs very effective software that can
process information as required. Insufficient skills in the team
may also pose significant challenges to the project. This is a
very complex project that requires a high level of certain
knowledge and expertise. The project manager will decide
whether the team will need to be trained or not.
References
Allen, B. (2016). Effective design, implementation and
management of change in healthcare. Nursing Standard, 31(3).
Retrieved from https://journals.rcni.com/nursing-
standard/effective-design-implementation-and-management-of-
change-in-healthcare-ns.2016.e10375
Cancilla, D. (2020). A Strategy for Implementing Change in
Radiology Processes to Impact Successful Scheduling and
Preparation of Patients. Journal of Radiology Nursing.
Retrieved from
319302093
Yemini, M., Oplatka, I., & Sagie, N. (2018). Project
Monitoring, Control, and Evaluation: The Unique Aspects of
Projects in Schools. In Project Management in Schools (pp.

103-128). Palgrave Pivot, Cham. Retrieved from
https://link.springer.com/chapter/10.1007/978-3-319-78608-7_6
Plan Presentation
Shatasia Allen
May 2020
Summary of Issues and Trend
Solution
The organization is facing various challenges due to the small
size of the current laboratory and also old equipment that
operates very slow.
The equipment operates very slowly taking a lot of time for
nurses to get results for their patients.
This has significant financial implications in the organization as
only few patients can be served in one day.

Physicians and computer scientists at the University of
California San Diego have shown that medical test results can
be easily modified remotely by attacking the connections
between hospital laboratory devices and medical record
systems. The researchers suggest that these unsecured medical
record systems and unsecured medical devices could be putting
patient lives at risk. High-profile targets like heads of state and
celebrities could be more at risk than the general public. They
also report that the insecure connections could be used by
another nation-state to attack the medical infrastructure of the
U.S. Outdated equipment that operate at a very low speed also
makes it difficult for healthcare workers to diagnose patients
early enough and provide treatment in a timely manner.
2
Summary of Issues and Trend

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