Strategic plan

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Background Information In implementing a strategic plan for Coastal Medical Center, our consulting team has conducted many analyses and formed numerous strategies in order for Coastal Medical Center to be successful. Such assessments include an internal analysis, external analysis, gap analysis, and SWOT analysis. In conducting these analyses, our consulting team was able to better understand the internal environment, external environment, where the organization currently stands in terms of performance, and the major strengths, weaknesses, opportunities and threats that oppose the Coastal Medical Center. From our inquiry, we will be able to establish a strategic plan that best fits the organization’s needs. Coastal Medical Center was established a few years after World War II and began as a 100 bed, acute care hospital, serving the population of the tri-county area. Since conception, CMC significantly grew into a larger, more proficient hospital. However, in the past few years, Coastal Medical Center has become a declining 450-bed tertiary care hospital serving the current population of the tri-county area. CMC has a governing board which consists of 27 members and a parent cooperation board which consists of 19 members. The parent cooperation board, Coastal Healthcare Inc., has 24 subsidiary cooperation’s including Coastal Medical Center, three nursing homes, three hospitals, a home health company, and many additional services. Coastal Medical Center also coordinates 53 major new service projects and 66 special programs. There have been many factors that have led Coastal Medical Center to their current position, however, most of these problems stem from the former chief executive officer, Ron Henderson. During Mr. Henderson’s... ... middle of paper ... ...and his vision in successfully transforming the medical center to a tertiary care facility. However, in 2008 under Ron Henderson, the medical center expenses began to skyrocket and revenues failed to keep up. Also, a hospital census indicated that, on average, Medicare patients consisted of 58% and Medicaid patients consisted of 18% which caused the medical center to suffer from reductions in reimbursements. Although noted by solid evidence that utilization was experiencing a steep decline, Mr. Henderson added 127 new positions to the medical center. In 2009, Mr. Henderson was fired after the board of trustees realized that this financial bind of an $8.6 million deficit was caused by Mr. Henderson. In order for the new CEO, Richard Reynolds, to succeed at his new job title, he must create a benchmarking process adopting certain goals to remain a worthy competitor.

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