Balanced Scorecard Healthcare

Introduction

As I work in a physical therapy department, and also served as a former leader for a major hospital in southwest Michigan, I have noticed how important it is to plan to keep up with all the changes in healthcare and stay ahead of the competitors. Therefore, to run a successful healthcare organization, the organization must make decision about the way they want to expand operations. Having a strategic plan is vital component for planning for growth, for a healthcare organization. It can help prepare a realistic vision for the future of the organization and in doing so, it can maximize the hospital’s growth (Unknown, 2009). Additionally, strategic planning allows organizations to integrate their business and financial plans.

For organizational practice plans, the ability to link compensation to performance and performance to strategy is becoming necessary for survival. The balanced scorecard can provide this linkage. Furthermore, because the balanced scorecard calls for frequently measuring performance and regularly reviewing and refining strategy, evaluation occurs continuously (Rimar, 2000). Additionally, a balanced scorecard should provide feedback around both the internal business processes and external outcomes in order to continuously improve strategic performance and results. When a balanced scorecard is fully deployed, it should transform a strategic plan from an academic exercise into a nerve center of an organization (Asefeso, 2013, p. 33). However, in healthcare scorecards methods leads to improving prioritization and alignment of quality improvement

For this reason, there should be four different performance perspectives, which are: financial, customer satisfaction, internal processes, learning and growth. These four perspectives should help the balance between short-term and long-term, between desired results and performance drivers, and between objective indicators and more subjective but quantifiable indicators (Simõe & Rodrigues, 2013). Additionally, the balanced scorecard approach, in healthcare, should focus on the four different performance perspectives that the healthcare organization needs to get right to ensure it fulfils its strategy. The lack of a cause and effect relationship between drivers of performance and indicators, perhaps from invalid assumptions of the model, will lead to adverse organizational behavior and performance.in healthcare (Murby & Gould, 2005, p. 7).

Reflection

The healthcare organization that I work for uses scorecards for its strategic planning to help set goals for its annual review. For our department, the scorecards are not like the scorecards that are talked about in this week’s sections. Our scorecards are more just a chart showing how our department does towards its goals for the month. Additionally, each month our manager goes over the where we are for the month and for the year, for each goal. For our department, we are being judge on three categories, which