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Strategic planning processes and financial performance among hospitals in Lebanon.
Int J Health Plann Manage. 2013 Jan-Mar; 28(1):e34-45.IJ

Abstract

BACKGROUND

Strategic planning has been presented as a valuable management tool. However, evidence of its deployment in healthcare and its effect on organizational performance is limited in low-income and middle-income countries (LMICs). The study aimed to explore the use of strategic planning processes in Lebanese hospitals and to investigate its association with financial performance.

METHODS

The study comprised 79 hospitals and assessed occupancy rate (OR) and revenue-per-bed (RPB) as performance measures. The strategic planning process included six domains: having a plan, plan development, plan implementation, responsibility of planning activities, governing board involvement, and physicians' involvement.

RESULTS

Approximately 90% of hospitals have strategic plans that are moderately developed (mean score of 4.9 on a 1-7 scale) and implemented (score of 4.8). In 46% of the hospitals, the CEO has the responsibility for the plan. The level of governing board involvement in the process is moderate to high (score of 5.1), whereas physician involvement is lower (score of 4.1). The OR and RPB amounted to respectively 70% and 59 304 among hospitals with a strategic plan as compared with 62% and 33 564 for those lacking such a plan. No statistical association between having a strategic plan and either of the two measures was detected. However, the findings revealed that among hospitals that had a strategic plan, higher implementation levels were associated with lower OR (p < 0.05).

CONCLUSIONS

In an LMIC healthcare environment characterized by resource limitation, complexity, and political and economic volatility, flexibility rather than rigid plans allow organizations to better cope with environmental turbulence.

Authors+Show Affiliations

American University of Beirut, Department of Health Management & Policy, Beirut, Lebanon. ss117@aub.edu.lbNo affiliation info availableNo affiliation info availableNo affiliation info available

Pub Type(s)

Journal Article
Research Support, Non-U.S. Gov't

Language

eng

PubMed ID

22859363

Citation

Saleh, Shadi, et al. "Strategic Planning Processes and Financial Performance Among Hospitals in Lebanon." The International Journal of Health Planning and Management, vol. 28, no. 1, 2013, pp. e34-45.
Saleh S, Kaissi A, Semaan A, et al. Strategic planning processes and financial performance among hospitals in Lebanon. Int J Health Plann Manage. 2013;28(1):e34-45.
Saleh, S., Kaissi, A., Semaan, A., & Natafgi, N. M. (2013). Strategic planning processes and financial performance among hospitals in Lebanon. The International Journal of Health Planning and Management, 28(1), e34-45. https://doi.org/10.1002/hpm.2128
Saleh S, et al. Strategic Planning Processes and Financial Performance Among Hospitals in Lebanon. Int J Health Plann Manage. 2013 Jan-Mar;28(1):e34-45. PubMed PMID: 22859363.
* Article titles in AMA citation format should be in sentence-case
TY - JOUR T1 - Strategic planning processes and financial performance among hospitals in Lebanon. AU - Saleh,Shadi, AU - Kaissi,Amer, AU - Semaan,Adele, AU - Natafgi,Nabil Maher, Y1 - 2012/08/01/ PY - 2012/05/11/received PY - 2012/07/05/revised PY - 2012/07/06/accepted PY - 2012/8/4/entrez PY - 2012/8/4/pubmed PY - 2013/12/24/medline SP - e34 EP - 45 JF - The International journal of health planning and management JO - Int J Health Plann Manage VL - 28 IS - 1 N2 - BACKGROUND: Strategic planning has been presented as a valuable management tool. However, evidence of its deployment in healthcare and its effect on organizational performance is limited in low-income and middle-income countries (LMICs). The study aimed to explore the use of strategic planning processes in Lebanese hospitals and to investigate its association with financial performance. METHODS: The study comprised 79 hospitals and assessed occupancy rate (OR) and revenue-per-bed (RPB) as performance measures. The strategic planning process included six domains: having a plan, plan development, plan implementation, responsibility of planning activities, governing board involvement, and physicians' involvement. RESULTS: Approximately 90% of hospitals have strategic plans that are moderately developed (mean score of 4.9 on a 1-7 scale) and implemented (score of 4.8). In 46% of the hospitals, the CEO has the responsibility for the plan. The level of governing board involvement in the process is moderate to high (score of 5.1), whereas physician involvement is lower (score of 4.1). The OR and RPB amounted to respectively 70% and 59 304 among hospitals with a strategic plan as compared with 62% and 33 564 for those lacking such a plan. No statistical association between having a strategic plan and either of the two measures was detected. However, the findings revealed that among hospitals that had a strategic plan, higher implementation levels were associated with lower OR (p < 0.05). CONCLUSIONS: In an LMIC healthcare environment characterized by resource limitation, complexity, and political and economic volatility, flexibility rather than rigid plans allow organizations to better cope with environmental turbulence. SN - 1099-1751 UR - https://www.unboundmedicine.com/medline/citation/22859363/Strategic_planning_processes_and_financial_performance_among_hospitals_in_Lebanon_ L2 - https://doi.org/10.1002/hpm.2128 DB - PRIME DP - Unbound Medicine ER -