4.1 Strategic Management Practices - Research Paper Example

Strategic Management Practice Introduction Strategic management is the process of formulation and implementation of major objectives and initiatives taken by an organization’s top management for the benefit of the organization. Strategic management of an organization provides the overall direction for the organization or a company and involves specification of the objectives, plans as well as developmental policies for the organization. In the strategic management, the decision-making organ of the company or an organization must in cooperate in the plan allocation of the resources for implementation of the policies, the human resources for the achievement of the policies as well as the time with which the policies are expected to be achieved (David & Thomas, 2014).

In the current health care structure in the United States, the stakeholders have transformed the management principles used to govern the health system delivery with the aim of achieving universal coverage for health. In an attempt to understand the health system and the strategic organization model behind it, this paper will explore the external environment of health care organization both in the United States and outside the United States through analysis of recent articles.External environment of health care organization in United States According to U.S. Department of Health adn Human Services, (2012), the current goal of health care organizations in the United States is to transform the health care system to ensure achievement of better values and improvement of health.

To attain these goals, the organizations delivering health services must demonstrate efficiency, adopt new payment models, develop adequate care coordination with the external environment as well as improve quality for better health. According to this article, health care finance in the United States is a current issue that is of importance both to the citizens and to the government. In the current economic market, the economy of United States is slowly recovering, thus there will be increased pressure on the health care organization to increase efficiency to ensure valuable service to the citizens who seek health care through payment programs such as insurance cover.

For long-term financial sustainability, health organizations must thus bend the cost curve and maintain global competitiveness in delivery of the services. According to Longworth (2011), maintenance of ethical standards in the delivery of healthcare services is the main point of association between health care organizations and their external environment in the united states. According to this article, it is evident that most people in the United States favor health care organizations that deliver individualized care and services to their clients.

However, the common person in the United States has become increasingly aware of his/her rights thus delivery of this services must be done within the confines of ethical principles and considerations, thus pushing the health care organization to the limits of better service delivery to the external environment.External environment of health care organization in Canada According to Tuohy (2012) in Canada, the healthcare organizations in the country is overwhelmed in providing a balance between demand and supply of their services.

In the current situation in Canada, there is an increasing cost of health care delivery by the organizations resulting from constrained resources that the country can use in sustaining the demand for health care. Nevertheless, unlike in the United States, the common citizen in Canada believes they have the best health care system in the world, thus making it easy for the health care delivery organizations to cooperate with the customers in achieving the desired goals of health care transformation in the country.

ReferencesDavid L. Hunger & Thomas L. Wheelen. (2014) Essentials of strategic management, fifth editionLongworth, D. L. (2011). Accountable care organizations, the patient-centered medical home, and health care reform: What does it all mean? Cleveland Clinic Journal of Medicine, 78, 571–582. Tuohy, C. H. (2012). Health Care in Canada: A Citizen’s Guide to Policy and Politics. Journal of Health Politics, Policy and Law. U.S. Department of Health adn Human Services. (2012). Health, United States, 2012 (05/30/2013).

Health, United States (pp. 1–489).