The Benchmark Email

...benchmarks, strategies and ideas for improving your agency
A service of Fazzi Associates, Inc.

November 21, 2007

Problems with Planning
and Strategies for Success

Question: Given the three major initiatives that CMS has underway (Pay-for-Performance, the PPS payment revisions, and the patient satisfaction study using the Home Health Care CAHPS® survey), our agency has started a number of planning initiatives. Our planning processes have not been very successful. Any ideas on how we can improve them?

Answer: There is an interesting international study, Silence Fails: 2006, on this very issue. It was conducted by VitalSmarts™ and The Concours Group. The study focused on a range of planning and change efforts involving more than 2,200 projects, and over 1,000 executives and project managers in 40 companies. While most of the companies were Fortune 500 companies, a number were smaller organizations. The findings are not very encouraging about planning results:

	91% of all corporate initiatives either failed outright or did not accomplish their goals.
	73% stated that problems in planning had a negative effect on team morale.
	88% reported that problems that emerged during the planning process extended over the life of the effort….and beyond.
	82% of respondents said that their planning effort exceeded budget and missed deadlines.

The problems identified in this and other studies make it clear that there is a great deal of poor planning taking place. The impact of these poor processes have significant, negative implications to agencies – poor results, frustrated staff, cost overruns and worse, staff who question the skill level of the managers and directors who lead the process. To avoid these problems, there are different strategies for small and large efforts but they all require strong leadership.

Strategy for Small Planning Efforts

For smaller efforts such as performance improvement initiatives, department restructuring, or developing new marketing strategies, identify one or more members of your agency who have skills in running meetings. If they are in senior positions, have them lead the committee. If not, provide them with a legitimate facilitative role, one that is real and recognized by all members of the committee. Have them work with the committee leader to monitor the progress of the effort, ensure that the committee stays on track and most importantly, insure goals are met in a timely and quality manner.

Strategy for Large Planning Efforts

For larger efforts such as strategic planning, organization-wide restructuring, and mergers, bring in an outside firm to help guide the project. You will be involved in an effort that will directly impact the future of your agency. An outside facilitator would be responsible for designing the planning effort, facilitating and managing the process and for ultimately developing the blueprint for action. An increasing number of agencies also use their planning firm to help with implementation, particularly if the firm is one with experience in this area.

How important is having a skilled leader? The Silence Fails study showed that “when a skilled leader creates even a moderately safe environment, the likelihood of a project failing to meet budget is reduced by almost half.” It is 40% more likely that deadlines will be met. “ Quality improves by almost 60% and the likelihood a project will end with strong morale and intact stakeholder relationships is almost 70% greater.” It’s clear. An investment upfront pays off with big dividends at the end.