General John Buford & Finding The Strategic Advantage: Positioning & Preparation For Value-Based Purchasing In A Shifting Health Care Market
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1 General John Buford & Finding The Strategic Advantage: Positioning & Preparation For Value-Based Purchasing In A Shifting Health Care Market The 2017 OPEN MINDS Executive Leadership Retreat Tuesday, September 26, 2017 Ken Carr, Senior Associate, OPEN MINDS York Street, Gettysburg, Pennsylvania Phone: info@openminds.com
2 Agenda I. Battlefield Review Challenges & Advantages II. III. IV. The Positioning Challenge Executing Your Battle Plan Questions & Discussion 2
3 Battlefield Review Challenges & Advantages
4 Battlefield Discussion What were the main challenges faced by Buford and the First Cavalry Division when they discovered Confederate troops west of Gettysburg? What advantages did Buford and the First Cavalry leverage to secure an early advantage in the battle? 4
5 The Leader s Challenge In This Market Read the environment and deciding what positioning options are available Strategy Monitor performance to ensure outcomes are achieved Decide which positioning option is best for each of your organization s services Execution Align resources to execute strategic positioning 5
6 The Positioning Challenge
7 The Positioning Challenge For General John Buford In a market context, positioning is about achieving strategic advantage for our organization relative to the competition In a battle context, positioning is about using the available factors and strengths of your team to beat the competition The challenges remain the same The leader s role is to assure their organization is positioned and their team is prepared 7
8 The Value of Market Positioning 8
9 The Challenge of Market Re-Positioning 9
10 As Management Constructs, Strategic Advantage & Market Positioning Are Related Strategic advantage facilitates market positioning an effort to influence customer perception of a service relative to the competition Positioning is the perception (or place) your service occupies in the minds of customers relative to competing products Developing positioning is a key strategic responsibility of leadership team 10
11 Strategic advantage is the most fundamental advantage that an organization s service has over its rivals within its field. Achieving competitive advantage positions a service for more likely success within the market environment. 11
12 Survey Area & Determine Strategic Position After surveying the area, Buford determined the strategic advantage of defending the high ground to the south of Gettysburg. Buford dismounted his cavalry and positioned them in defensive positions to the west of town between the advancing troops and the heights in lines stretched in a half-circle close to 4 miles long. The majority of his troops under Colonel William Gamble were positioned due west of town, and the rest under Colonel Thomas C. Devin northwest of Gettysburg. 12
13 Strategic Positioning Goal: Survey the environment and determine a strategy that provides competitive advantage Continually scan the environment to gather intelligence on where and where the market is heading: Consumer Preferences Competitor Activities Legislative & Regulatory Changes Payer Activities Industry Development Develop strategy that ensures current sustainability and future competitive advantage 13
14 Environmental Factors Challenging Organizations In The Health & Human Services Market Transition from pay-for-volume to pay-for-value Focus on integrated care models Technology changing the nature of service New emerging competitors and stakeholders Focus on consumer preferences 14
15 Setting Your Battle Plan Steps For Positioning Your Organization In A Changing Health & Human Service Market
16 Aligning Resources For Competitive Advantage Buford's men fought with tenacity and skill from behind rock walls and fences with their Sharps carbine short rifles that could be fired at 5-8 rounds per minute as compared with the muskets of their enemies that could only fire 2-3 rounds per minute. 16
17 Execution Align Resources Goal: Ensure that the resources needed for the strategy are identified and acquired Technology to drive innovation and competitive advantage Readiness to compete in a value-based environment Financial resource development for business model transition Market-driven approach Workforce skill development 17
18 Execution Monitor Performance At times, Buford would go to the cupola of the Lutheran Theological Seminary to gain a better view of the battlefield. From that vantage point he could see in every direction and as he viewed the battle
19 Execution Monitor Performance Goal: Monitor movement of strategy plan forward and ensure that the outcomes are achieved Data-driven culture focused on metrics-based performance management Data capture Data analysis Data informed decision-making KPIs Leadership abilities 19
20 Disciplines Of A Data-Driven Organization Capturing and using data to drive results is essential in the value-based business model Data Outcomes Focus Performance Tracking Adaptive Culture Demonstrated Results 20
21 Preparing Your Organization For The Changing Market Winging it is not a preparedness plan Build resiliency against a range of possibilities Keep your team up to speed on changes Assess your service line portfolio in light of the new normal Update your technology infrastructure to equal or supersede the competitor Recruit, train and retain staff with skills for your competitive advantage and empower them to help the organization achieve its outcomes Keep your battle plans fresh, flexible, and deep 21
22 Chance favors the prepared mind 22
23 What Can We Learn From General Buford? Your strategy may be good for years, a year, a month, or an instant depending on what the environment brings and the competition does Never underestimate the value of the appearance of competence The leader s responsibility to make sure your organization is positioned and your team is prepared 23
24 Questions & Discussion
25 Chronic Care Management Disability Supports & Long-Term Care Mental Health Services Addiction Treatment Social Services Intellectual & Developmental Disability Supports Child & Family Services Juvenile Justice Corrections Health Care York Street, Gettysburg, Pennsylvania Phone: info@openminds.com
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