Implement Operational Plan Assessment

Implement Operational Plan Assessment

Case Study

You have just retired from a senior management position with a large city organisation and moved to a rural town 50 km from the coast. The town is populated mostly by coalminers and their families. It has tourist attractions due to its location near a large volcanic lake and its buildings of historical significance. The nearest hospital is 100km away and you note that there is only one GP medical practice that is open two days a week. You want to get into a small business in the local area and have noticed that, there are no services for allied health such as physiotherapy, dietetics etc. You also find that the population of retired people in the town has grown by 6 ?ch year over the last 5 years. Your initial thoughts are that there is a growing need for better health services in the local area. Your preliminary research reinforces your initial thoughts. You can now see that the establishment of a health practice that offers allied and extended medical services is feasible and proceed to set yourself some strategic objectives for the next three years. You now need to develop an operational plan.

1. List and describe the main areas of the business you will need to focus on in developing your operational plan giving examples of how each of these main areas will relate to the potential business outlined in the case study.

2. Organisations are becoming increasingly conscious of production cost savings. With the increasing cost of labour, organisations now see the need to include appropriate smaller targets as Key Performance Indicators (KPI’s) within larger Key Result Areas (KRA’s). Explain the importance of the establishment of KRA’s and KPI’s in the development of the operational plan. In your explanation list three (3) important targets to satisfy the key result area for cost savings for the business mentioned in the case study. How would you monitor performance to the targets to ensure they are achieved?

3. Many believe that few business owners or managers are challenging what is in their operational plans. They overlook assumptions made when assessing the impact of risks. If these assumptions prove inaccurate, the damage to the business will be great, particularly if strategies to limit the consequences of risk are not included as part of the operational plan. Comment on the truth of this statement.

Explain the importance of risk assessment and analysis in the operational planning process. Include two examples of potential risk in the establishment of the health-care business in the case study and how these risks might be minimised.

4. The management of capacity and the availability of human resources within the business is the key to the ability to: A. meet the demands of customers, and B. satisfy marketing strategies. Referring to the business, mentioned in the case study, List and then Describe three (3) areas which must be taken into account when providing for human resources within the operational plan.

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