beyond the basics: strategy that goes beyond the “plan”darrell g. kirch, m.d. september 19, 2013...

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Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional Planning 2013 Creating and Implementing Strategic Plans Workshop

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Page 1: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

Darrell G. Kirch, M.D. September 19, 2013

Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional Planning

2013 Creating and Implementing

Strategic Plans Workshop

Page 2: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

The Document

Page 3: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

The Dilemmas We Create

How do 141 medical schools

fit in the top 20?

Page 4: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Today’s Focus

Strategic thinking as a process

The role of institutional culture

Critical success factors for implementing strategic thinking

Page 5: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

The Process

Page 6: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Mission

Why We Exist

The AAMC

serves and

leads the

academic

medicine

community to

improve the

health of all

Areas of Impact

What We Achieve

Medical

Education

Care

Delivery

Research Diversity and

Inclusion

Impact Strategy

What We Do

Operational Strategy

How We Work

People

Culture

Finances

Infrastructure

Policy &

Advocacy

Learning &

Leadership

Integrated

Service

Programs

Member

Capacity

Building

AAMC Strategy Map

Page 7: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Creating a Sense of Ownership

Page 8: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Today’s Focus

Strategic thinking as a process

The role of institutional culture

Critical success factors for implementing strategic thinking

Page 9: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Culture eats strategy for lunch every day

The Role of Culture

Andy Grove

Former Chairman of Intel

Page 10: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

http://www.aamc.org/meetings/annual/2007/highlights/president.htm

Page 11: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

This All Will Require Transforming Our Culture!

Collaborative

Team-based

Service-based

Mutually accountable

Patient-centered

Hierarchical

Autonomous

Competitive

Individualistic

Expert-centered

Page 12: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Leaders must base strategic thinking

on a critical assessment of culture.

Most importantly, they should act

decisively on the results!

Page 13: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Today’s Focus

Strategic thinking as a process

The role of institutional culture

Critical success factors for implementing strategic thinking

Page 14: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

1 Articulate succinct, highly

focused, compelling, and

realistic strategic goals!

Page 15: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Big Hairy Audacious Goal

Page 16: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Strategy 4 Outcome Measure Timeframe

Educate and engage senior faculty in

fundraising activities and responsibilities

Significantly more faculty involvement

in fundraising

2009

FY 2011 FY 2012

By 2016, the Medical Center will increase sponsored research

expenditures from $89.7 million in 2010 to $100 million $122,566,264 $115,609,817

By 2016, the School of Medicine will be ranked in the top 26

public medical schools for NIH Funding 31 (out of 82) 34 (out of 83)

The Medical Center will continue its extraordinary percentage of

tenured or tenure-track faculty, currently 75 percent, who are

principal or co-investigators on active grants

255 out of 342

tenured/

tenure-track

faculty (75%)

257 out of 351

tenured/

tenure-track

faculty (73%)

The 2020 Product A top 20 medical school that sets the standard for educating physicians, scientists, and teachers to

be leaders of change in creating a healthier, better world.

Real Goals from Strategic Plans

Page 17: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

A Fine Line!

Delusion: A false belief based

on incorrect inference about

external reality that is firmly

sustained despite what almost

everyone else believes and

despite what constitutes

incontrovertible and obvious

proof or evidence to the contrary.

Page 18: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

2 Make values explicit

and use them visibly

in everyday decisions!

Page 19: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Academic Medicine; June 1996

Page 20: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Are Stated Values Consistently Aligned With Actions?

Page 21: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

3 Align governance, leadership,

and management across the

organization, creating shared

accountability for the mission!

Page 22: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Trusteeship Magazine

Page 23: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

4 Foster collaboration and

accountability, accepting nothing

short of high-performance teams

in all mission areas!

Page 24: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

A New Model for the Organization – Creating High-Performance Teams

Source: Katzenbach and Smith, 1993

PE

RF

OR

MA

NC

E I

MP

AC

T

TEAM

EFFECTIVENESS

Pseudo- Team

Working Group

Real Team

Potential Team

High-performing Team

Team Effectiveness

Perf

orm

an

ce I

mp

act

Page 25: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

5 Use the tools of mission-based

management to realign and

maximize resources!

Page 26: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Program Assessment

Mission Contribution

Financial Performance

High/High High/Low

Low/Low Low/High Low/Low Low/High

Page 27: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Program Assessment

Mission Contribution

Financial Performance

High/High High/Low

Low/Low Low/High Low/Low Low/High Can we learn

to say no?

Page 28: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

6 Seek out and support

innovators who will be key to

strategic implementation!

Page 29: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Implementing Strategic Thinking as a Diffusion of Innovation

Innovators

(2.5%)

Early

Adopters

(13.5%)

Early

Majority

(34%)

Late

Majority

(34%)

Laggards

(16%)

“Venturesome” Respond to Innovations

“Suggestible” Respond to Change

“Deliberate” Respond to Evidence “Skeptical”

Respond to Peer Pressure

“Traditional” Respond to Authority

Source: E.M. Rogers and C. Cassel

Page 30: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

7

7

“Grow your own” through

broad-based leadership and

development!

Page 31: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Level 5 Hierarchy

Level 1

Level 5

Level 4

Level 3

Level 2

Highly Capable Individual Makes productive contribution through talent,

knowledge, skills and good work habits.

Contributing Team Member Contributes individual capabilities to the achievement of group

objectives and works effectively with others in a group setting.

Competent Manager Organizes people and resources toward the effective

and efficient pursuit of predetermined objectives.

Effective Leader Catalyzes commitment to and vigorous pursuit of clear and

compelling vision stimulating higher performance standards.

Level 5 Executive Builds enduring greatness through a paradoxical

blend of personal humility and professional will.

Source: Adapted from Jim Collins, Good to Great

Page 32: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional

© 2013 AAMC. May not be reproduced without permission.

Always Remember: Change Is Hard!

“For anything to change,

someone has to start

acting differently.”

Chip Heath & Dan Heath

Page 33: Beyond the Basics: Strategy that Goes Beyond the “Plan”Darrell G. Kirch, M.D. September 19, 2013 Beyond the Basics: Strategy that Goes Beyond the “Plan” Group on Institutional