please respond to the following discussion post as a peer making a comment. “A healthcare organization’s budget is the overall estimation of the revenue and expenses within a specified timeframe (Syntellis, n.d.). Financial factors and strategic planning go hand-in-hand, thus, the organization’s budget can affect the development and execution of a strategic plan. Since a financial department can assign monetary values to various activities that are related to strategy and yield projected sale revenues and operating expenses which shows how these factors are linked to the budgets (Moseley, 2017, pp.517). Moseley (2017) comments that finance and strategy collaboration will require delicate and synergistic interplay (pp.520). If the strategic plan fails, then there will be a negative impact on the organization’s budget. The financial overview, status, or balance will guide strategic implementation when the team works collaboratively with the strategic planners.
REFERENCES
Moseley, G. B., III. (2017). Finance in Strategic Planning. Managing Health Care Business Strategy 2nd Edition. (pp.511-568). https://bibliu.com/app/#/view/books/9781284081114/…
Syntellis. (n.d.). Healthcare and Hospital Budgeting: A Complete Guide. https://www.syntellis.com/guide-to-healthcare-and-hospital-budgeting#:~:text=What%20is%20a%20budget%20in,operating%20costs%20and%20capital%20equipment.
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How to solve
Grand Canyon University Healthcare Organizations Budget Discussion
In healthcare organizations, the budget plays a crucial role in the development and execution of strategic plans. The budget is an estimation of revenue and expenses within a specific timeframe, and it provides the financial framework for decision-making and resource allocation (Syntellis, n.d.). Financial factors and strategic planning are interconnected, and the budget reflects these connections by assigning monetary values to various strategic activities and projecting sales revenues and operating expenses (Moseley, 2017).
Moseley (2017) emphasizes the importance of collaboration between finance and strategy, highlighting the need for delicate and synergistic interplay. The success or failure of a strategic plan can significantly impact the organization’s budget. Strategic implementation requires guidance from the financial overview, status, or balance, which can influence resource allocation and decision-making.
Overall, a healthcare organization’s budget and strategic plan are intertwined, with financial considerations providing practical implications for the execution of strategic objectives. Collaboration between finance and strategy teams is essential for aligning financial resources and goals, ensuring the organization’s financial stability while pursuing strategic initiatives.
