Case three. Developing a strategic plan through the use of task forces

Although Carolina Community found itself continuing to grow and expand at a time when most facilities in the area were suffering from census declines, it was obvious that continuation of such growth would require more sophisticated strategic planning. At the time of the study, Carolina Community was growing in all areas. Inpatient census as well as outpatient utilization were taxing the resources of the organization. The strategic location of the facility and the support of a committed medical staff provided the institution with a competitive advantage over the other area facilities in the past. In the span of three months, two major competing institutions made strategically significant organizational changes. Both institutions hired new administrators known for their aggressiveness and organizational abilities. It became obvious very quickly that the playing field would soon be changing. No longer would Carolina Community's administration be able to move aggressively to protect and expand its markets without fear of competition. Carolina Community is a hospital with a long-standing tradition of formal strategic planning forced by a rapid "heating up" of the environment to respond much more quickly than it has had to in the past and much more quickly than it is currently able. The case report describes a change in strategy formulation process which was designed to speed up response time and to modify the organization along Ansoff's eight characteristics to a more environmentally appropriate configuration.