MHA FPX 5012 Asessment 3 Financial Leadership MHA-FPX 5012 Organizational Leadership and Governance Leadership Skills Plan

Hello everyone, I am __, and today I will present my leadership plan aimed at enhancing the financial strategy and condition of our organization. This report will analyze the current financial leadership landscape and propose strategies to address financial gaps within our healthcare organization. Financial management in healthcare settings presents significant challenges, necessitating skilled leadership to navigate these complexities. Leaders play a crucial role in managing and planning the financial resources of hospitals, which in turn influences organizational priorities and goals. In the context of the Home Health Agency, financial objectives significantly impact leadership decisions. The organization must establish internal benchmarks regarding available financial resources and strive to maintain a balanced fiscal framework. Drawing on previous analyses, such as PEST and SWOT assessments of the hospital, this report will identify two critical financial targets for the nursing department to facilitate performance management and enhancement.

Financial Targets and Performance Indicators and Measurements

The organization aims to evaluate financial leadership strategies using insights from SWOT and PEST analyses. According to Cabral and Oram (2019), key performance indicators (KPIs) in healthcare finance encompass financial and quantitative metrics that are essential for effective financial planning and goal setting within hospitals (Beitz, 2019). The nursing department must first empower financial leaders to identify service lines or revenue-generating areas. By focusing on these areas, operational and financial improvements become achievable. KPIs are instrumental in assessing the effectiveness of financial activities within the nursing department, and the organization utilizes KPIs derived from national frameworks.

Strategic financial planning serves as the cornerstone for ensuring budget allocations and long-term financial success for the hospital. Recommended steps include formulating a comprehensive mission and vision statement, aligning nursing department plans with the organization’s mission and vision, assessing the external environment for new opportunities, and developing a robust plan that aligns with the capital budget (Cabral, 2019). These goals require an evaluation of the organization’s financial performance, comparing current performance with historical data to develop financial projections. This comprehensive approach aids in aligning strategic goals with financial objectives, ensuring prudent financial planning (Cabral, 2019).

Gaps in Financial Targets vs. Performance or Goal Attainment

Discrepancies between year-to-date financial performance and predetermined goals highlight areas that require attention. For example, the provision of computers and tablets to nurses is currently at only 55%, significantly below the target of 80%. The goal of mentoring newly hired nurses for 60 days has been extended to 90 days due to sluggish performance and insufficient focus on training and learning enhancement. Additionally, major expenses have exceeded projections, and underinvestment in leadership training further exacerbates the gap between targets and actual performance. Bridging these gaps necessitates proactive measures such as controlling operating expenses and optimizing staffing to effectively achieve financial goals.

Leadership Plan for Closing the Identified Gaps for the Department

Addressing leadership gaps is essential for organizational success, as highlighted by self-assessments conducted during previous analyses. A significant gap identified is the lack of motivation among nursing leaders to participate in leadership education and training programs. Strong leadership qualities among nursing managers are vital for maintaining optimal financial performance in hospitals (Lerman, 2018). The leadership plan aims to enhance leadership skills among nurses and executives, fostering a culture of collaboration and efficient problem-solving (Pedersen, 2018). Mandatory leadership training will improve adaptability and support the achievement of organizational objectives.

Evidence-Based Strategies for Effective Team Leadership to Achieve Financial Goals

Understanding organizational culture and strategic direction is crucial for improving leadership effectiveness and achieving financial objectives. Initiatives such as upgrading lighting systems to reduce maintenance costs and implementing team-based rewards create a supportive environment for achieving financial goals (Gresh et al., 2021). Transformational leadership styles, characterized by passion, empathy, innovation, and risk-taking, have proven effective in enhancing team performance and patient satisfaction, thereby improving financial outcomes (Cabral, 2019). Consistent application of nursing leadership skills fac