Strategic Planning and Analysis for Ramsay Healthcare (2020-2025)

This report presents a comprehensive 5-year strategic plan for Ramsay Healthcare, a leading healthcare provider in Australia. It begins with an executive summary and includes a detailed SWOT and PESTEL analysis to assess the organization's strengths, weaknesses, opportunities, and threats, as well as the political, economic, social, technological, environmental, and legal factors affecting its operations. The report identifies key strategic issues, such as competition and waste management, and proposes a new vision and mission statement. It outlines a business model for 2020-2025, incorporating a SMART approach for goal setting, and provides a detailed five-year strategic plan focusing on institutional strengthening, waste management, research and development, and external relations. The report also describes the strategic planning process, emphasizing stakeholder involvement and budget allocation, and concludes with a summary of the key findings and recommendations to improve Ramsay Healthcare's quality of care and achieve its objectives.

Running head: COMPREHENSIVE HEALTH STRATEGIES
FORMULATING STRATEGIC PLANNING
Name of the Student
Name of the University
Author Note

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Executive Summary
Ramsay Healthcare is a leading and reputed healthcare provider in Australia. They are
the medical center operator that aims to deliver efficient healthcare to the community. With
the continual growth of Ramsay healthcare, the new approach towards strategic planning
should also be implemented. The SWOT and PESTEL analysis will analyse Ramsay
healthcare and will give an overview of the position of the organisation in the healthcare
market. The major organisational threat is the hostile competition with the Health sonic. The
report will aim to examine and formulating a new strategic plan approach that will enhance
the organisation in delivering healthcare services. This report consists of issues in the
strategic plan and formulation of a brief strategic plan for five years. The report concluded
with an effective process of implementation of strategic planning in delivering efficient
services to the community.

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Table of Contents
Introduction................................................................................................................................4
A clear assessment of the key strategic issue.............................................................................4
SWOT Analysis.....................................................................................................................4
Strength:.............................................................................................................................4
Weaknesses........................................................................................................................5
Opportunities......................................................................................................................5
Threats................................................................................................................................6
PESTEL Analysis...................................................................................................................6
Political..............................................................................................................................6
Economic............................................................................................................................6
Social..................................................................................................................................6
Technology.........................................................................................................................7
Environmental....................................................................................................................7
Legal...................................................................................................................................7
Issues in the strategic.................................................................................................................7
Vision Statement........................................................................................................................8
A Mission statement...................................................................................................................8
A proposal of an appropriate business model for 2020-2025....................................................8
Five Year Strategic Plan for Ramsay healthcare........................................................................9
The process of strategic planning...............................................................................................9
Conclusion................................................................................................................................10

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References................................................................................................................................11

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Introduction
According to Ginter, Duncan, and Swayne (2018), customised strategic planning will
provide essential processes for health care organization to cope up with the huge changes that
are occurring. The efficient strategic planning will enhance the quality as well as productivity
of the healthcare. The healthcare system is continuously evolving and therefore, it is crucial
to implement the best strategies to cope up with the environmental factor. Hospitals often
experience low performance due to the failure in understanding the gap of appropriate
strategic implementation. The health system is complex and delivering an efficient quality of
care, and it is important to increase the value of patients. This report intends to examine the
gap in the existing strategies of Ramsay healthcare and formulating the effective strategies
plan for five years.
A clear assessment of the key strategic issue
The strategic issue of Ramsay health care can be analysed with the help of
understanding the environmental factors. With the help of SWOT analysis and PEST
analysis, the environmental factor affecting Ramsay healthcare can be understood.
SWOT Analysis
According to Gürel and Tat (2017), SWOT analysis is an efficient tool that develops
the strategy for any organisation. It also estimates the position of the organisation in the
competitive health care market.
Strength:
 According to ramsayhealth.com (2020), the major strength of Ramsay healthcare is
that it is widely targeted in multiple geographical regions.

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 The multi-disciplinary service of Ramsay healthcare has acquired a wide aspect of
customers or patients.
 The social media management id efficient and strong that helps in developing a strong
relationship with the patients or customers.
 The financial management is also strong, and therefore the investments can be made
whenever needed for future aspects.
 Ramsay health care has already made a brand image that leads to attracting efficient
customers or patients for availing healthcare.
 The IT infrastructure is also well established that enables the organisation to gain
knowledge of operational activities as well as recent market trends.
 The healthcare system is service-oriented, and therefore, Ramsay healthcare has
efficient, skilled staff in delivering effective services.
 Brand loyalty is high due to the high quality of care.
Weaknesses
 Ramsay healthcare has faced criticism due to low waste management.
 The inventory management is also poor, which may lead to a shortage of currents
assets that can affect the liquidity position negatively.
 There is less expenditure in the department of research and development that may
weaken the performance of the organisation.
 The decision making in the Ramsay healthcare takes longer, which may affect
productivity.
Opportunities
 The population is continuously growing and thus increasing the opportunity for the
growth of the organisation.

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 The needs of the customer always change, and it can create opportunities for Ramsay
healthcare to expand the business in multiple areas.
 The positive external factor that influences the Ramsay healthcare is subsidies
provided by the government as well as other policies that will enhance the business.
 The customer lifestyle is continuously improving and therefore creating opportunities
for Ramsay healthcare.
Threats
 The hostile competition with the Health scope and sonic healthcare.
 Due to globalisation of the Ramsay healthcare, the organisation often lacks in
influencing cultural intelligence.
 The major threats are the inflation rate that affects adversely.
PESTEL Analysis
According to Shatskaya, Samarina, and Nekhorosheva (2016), the PESTEL analysis
will help in identifying the external environmental factor affecting the organisation. The
PESTEL analysis also provides an in-depth analysis of challenges faces by Ramsay health
care.
Political
The major political factor that can affect Ramsay healthcare is the legal framework
for enforcing any contracts. The regulation in the trade, as well as tariffs, may influence the
equipment along with the services. Any changes in wages legislation or any mandatory
benefits implemented for the employee will influence the operational activities of the
organisation. Pricing regulation is another important environmental factor that influence the
business.

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Economic
The economic factor is another influential factor affecting Ramsay Healthcare. The
stability of the nation is very crucial in the growth of the organisation. According to Pan,
Chen and Zhan (2019), the GDP, as well as labor market conditions, can affect adversely, the
demand and supply of workforce will determine the rate of wage.
Social
This factor influences the culture of an organisation that will lead to beneficial factors. The
demographics, as well as the level of a skilled employee, will be considered as a positive
influence. The distribution of class and societal norms will act as a social factor for
illustration; offering luxury services at a premium price will encourage the adoption of niche
marketing strategies.
Technology
The communication technology with the help of social media marketing is already a
strong point for Ramsay healthcare. The development or innovation of technology will
influence the operational activities (Sodhro, Pirbhulal, and Sangaiah 2018). For illustration,
the innovation of technology will decrease the product life cycle of an existing product.
Environmental
The major environmental factor is criticizing due to low waste management activities.
Few other nations have renewable technologies that can encourage Ramsay healthcare for
benefitting for longer sustainability of the business. Uncertainty of climate conditions can
affect the organization by reducing customer spending on availing of the service.

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Legal
Ramsay healthcare needs to follow the regulation along with the guidelines for the
benefits of an employee within the organisation. The consumer protection law, as well as
intellectual property law, will have a greater impact on Ramsay healthcare.
Key Assessment of Strategic Issues
 Hostile competition with Health scope and sonic healthcare
 Poor waste management
 Lack of cultural intelligence
 Lew expenditure in Research and Development
 Expanding the segment in multiple disciplines or area
 Adopting innovation technology
Vision Statement
To provide fully accessible quality in affordable healthcare for all and transforming
the lives of the community of Australia.
Mission statement
The Mission of Ramsay healthcare is to deliver efficient quality care and to provide
accessible, cost-effective healthcare to the public as well as promote health by educating
healthcare professionals.
Besides, within this:
 Increasing the sustainable innovation strategy
 Governing the efficient care of quality under the strong leadership
 Networking with multiple agencies and other hospitals for maximising the quality of
healthcare deliveries.

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A proposal of an appropriate business model for 2020-2025
The business model needs to be more focused on the strategy to survive in hostile
competition. Over the coming five years, Ramsay healthcare will focus on the strategic issues
that have emerged after analysing the organisation. The business model needs to implement
project management. The SMART approach will give efficient ways to implement the
strategic plan in the organisation. SMART stands for specific, measurable, attainable,
relevant as well as time-bound. Specific would target a particular segment for improvement.
Measurable refers to measuring progress. Attainable refers to a realistic goal to be
implemented in the strategic plan. The strategic plan must be relevant to other business
objectives and need to be valuable. The strategic plan must have time-bound, and in this
strategic plan, the time-bound is for five years.
Five Year Strategic Plan for Ramsay healthcare
 Strengthening the institutional plan
 Focused on the improvement of waste management
 Develop new infrastructure for inventory management
 Increasing healthcare professionals capability
 Focusing on the investment in research and development
 Developing efficient training and education
 Continuing the existing relationship with external agencies as well as building a new
relationship
 Improving the daily operational activity within the organisation
 Implementation of necessary policies and regulation
 Generating revenue with any necessary investments

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 To create an environment for effective governance for delivering high-quality care
 To continue the expansion in the community health
 Increasing the number of patients flow
 To expand the market in multiple disciplines
Above mentioned are the brief strategic planning approach that needs to implement for
overcoming the major issue faced by Ramsay healthcare. The major issue was a hostile
competition and dealing with the poor waste management.
The process of strategic planning
According to Rothaermel (2016), strategic planning can be implemented by assigning
the roles as well as responsibilities. The first step or stage in implementing the strategic plan
is to identify the key stakeholders. These key stakeholders include healthcare professionals
and any other governance bodies. There can be medical directors, or any other franchisees,
and can also include institutions. The second step is to formulate a committee that will be
governed by the key stakeholders. The next step or approach will be preparing a blueprint of
the strategic directions that will require inefficient implementation. Then it will be followed
by drafting the operational questionnaire and to understand by analysing the framework. The
next process will be allocating the budget for the proposed strategic plan. Thus, with the help
of a continual process, the proposed strategic plan can be implemented.
Conclusion
From the above discussion, the key strategic issue in Ramsay healthcare has been
addressed. The SWOT and PESTEL analysis has given a brief description of the position of
Ramsay healthcare in the healthcare market. The key issues were hostile competition with the
Health scope and sonic and criticism due to the poor management of waste material generated
from the organisation. With the help of an efficient strategic plan of five years, Ramsay

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healthcare can enhance the quality of care by fulfilling key issues. The strategic planning
management will enhance Ramsay healthcare to achieve its objectives in delivering quality
care to the community.