Running head: Final Project
1
MBA 705 Final Project: Implementation Plan
MBA/705
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Overview of the Business explaining the fundamentals.
Business Owner(s) and product service
I have extensive knowledge in the healthcare industry working as a certified pharmacy
technician for six years and continuing. I have my degree, which I completed three years ago. At
the moment I am undertaking a Master degree in healthcare management at Southern New
Hampshire University.
ER Assist is an app to allow patients to submit their information to a hospital before arrival.
Mission statement
We at ER Assist offer an experience like one that you have never experienced before; we take
the “wait’ out of the waiting room. No more long delays in the ER and no more potential disease
spread because of it.
Company structure
General partnership- We will plan to collaborate with Cerner to offer our product to the hospitals
in which they house. Cerner is the company we have decided to form a partnership with.
The target market.
It is going to define the business customers.
1.
Our customer will be the Electronic Health Record companies that are Cerner.
2.
Their customers would be the hospitals in which they house their EHR systems already.
3.
They the hospitals would provide the service to a consumer level.
Our system will be a B2B operation, we will not be dealing with the consumers on a base level,
and instead, we will be dealing with the EHR Company (Ebert, 2011).
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Current Opportunities
The available opportunities and the reason they are present
i.
ER Assist is a new idea (Jafari et al., 2013).
ii.
There is no direct competition in the area of having a mobile device that will allow a
patient to submit all of their information directly to the hospital before arriving at the
hospital (Trehan & Dunn, 2013).
Projection of the future business future
The future of the business
ER Assist will continue to grow, not only through the emergency rooms, but can be tweaked into
an MD Assist, where the services can be submitted to the doctors' offices as well (Wilson &
Cutler, 2014).
Many people have to wait in the ER or MD offices, and when an emergency arises, or someone
feels ill, they do not want to sit around and wait a prolonged period, and this app will help them.
Financial summary
i.
The company is estimated to venture a total of $130,000
ii.
The total amount expected for starting the business is approximate $100,000
iii.
The estimated project expenses per month are expected to be $2500.
iv.
The project estimated monthly revenue is around $125,000
Market Analysis
It determines the forces in the market by studying the behavior of competitors, customer
demographics. I will decide to target market that I am going to venture.
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The health care industry trend. Healthcare industry; from 2012 to 2020 the healthcare industry is
projected to grow 29 percent increasing nearly 5 million jobs up to 22 million jobs (Vogenberg
& Santilli, 2018).
Competitive analysis
The only competition is indirect, and that is the current providers of I.T. solutions to the hospital
industry, whom we wish to partner with.
Demographics & Target Market
We first plan to partner with Cerner; they currently house their EHR databases with one
thousand one hundred and twelve hospitals. Also, sixty-three percent of Americans now own
smart-phones, and growing (Smith & Page, 2015).
Market Segments includes
1.
18-65
2.
Male or Female
3.
Lower working class and up
4.
No education level is required
5.
Any occupation
6.
The most beneficial users will typically live in the country outside of normal cities with
hospitals close to them.
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Entry Barriers
The barriers to entry would be contingent on gaining a contract with one of the EHR health
system providers, as they control most of the market share and would make our product much
more simplistic in getting into the hospitals in which we would provide our services.
We would also have to be sure to follow all Health Information Portability and Accountability
(HIPPA) Act laws, to ensure that no consumer information is leaked out into the public (Hall et
al., 2010).
Marketing Strategy
Our marketing strategy is to provide quick, convenient service to patients needing to visit an
emergency room. We will reduce the wait time, and reduce the possibility of widespread disease
by waiting in the emergency room.
Product/Service
The "ER Assist" is an app that allows all of the paperwork to be done before your arrival at the
hospital. Before leaving your house, you can get on the app and type in all the required
information that they will ask you when you get to the hospital, or already have the info saved on
the app. Therefore, the data will previously be analyzed, and there will be no wait or a shorter
wait than usual.
Sales Strategy
After we have an app built by the professional developer, we will make direct sales by getting in
contact with the operation officer of each company.
Promotion
The product promotes customers service in the manner.
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The best way to advertise for any health care product is through direct mail, newspaper ads,
healthcare magazines, social media, television ads, or billboards in the hospital waiting rooms.
Pricing Strategy
Our price would be an estimated amount of $5,000 per Hospital or Est. $2.865mil-$6.06mil per
Third Party Company.
The use of web strategy
The company is going to use its website for marketing and sales distribution to other potential
clients, and we want to spread the word of our app, this way the company invested in our product
will see the real benefits and potential (Bennett & Segerberg, 2011). Also, if one does not have a
smart-phone, we will be able to allow consumers to submit their information via WiFi or internet
connection.
Operation Plan
Location
Boston
Operations
i.
Business projected to open within six months.
ii.
Open 24/7 for customer support
iii.
Non-seasonal, all year round.
Organization Structure
General Partnership
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Employees
i.
6 in total.
ii.
CEO, COO, CFO, VP of Marketing, Legal representative, app developer/designer
iii.
Need an employee with marketing, legal, financial, operations, and app developing
experience.
Space
i.
for production needed.
ii.
for people needed.
Capacity:
We will be able to provide our product/service to anyone at any available time; we have to max
capacity on our app.
Critical Suppliers.
Our critical suppliers would be an investment from an investor or the company. Also, a vital
supplier would be Kinvey, who will be building the app for us.
Financial system.
For the first little bit, I will be able to do the accounting myself. However, I would not want to
spread myself too thin and would hire an accountant for the finances of the company.
Computer system.
We will need some sort of system to evaluate the App to ensure the most beneficial service are
provide 100 percent of the time.
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Equipment
i.
Computers
ii.
Software
Permits and Licenses
i.
Permits - None
ii.
Licenses - None
Insurance
We would need to make sure we have enough insurance to cover any legal issues, such as a
breach of customer information.
Contracts
We would be seeking a contract with one of the EHR companies.
Patents and Copyrights
Patents - We would patent our idea to ensure that no other company would be able to submit
EHR information to hospitals via an electronic device.
The budget outline of the activities (work breakdown)
Proposed Activity
Amount ($)
Chronic disease
600
STI/HIV
400
Tobacco use
800
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Substance abuse
1000
Unintended pregnancy
600
adolescent health
500
Immunization
400
Prevention disease and injury
700
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Rationale
In today's society, there is a consistent requirement for change and not all adjustment in
great nor awful. In any case, in American there is a requirement for a quick pace, in the case of
looking at in the supermarket, driving down the interstate, and requesting sustenance, and those
are not, in any case, that essential. Be that as it may, there is an issue with conflicting and
radically long hold up times in the crisis room. The ER Assist Application will diminish hold up
times, enhance the soundness of their patients, ease the burden of their nursing staff, and over the
long haul will have the capacity to take out medicinal secretary.
Problem or Opportunity
There have been changes in a previous couple of years to enable lower to hold up times at
crisis rooms, for example, increasingly after hour facilities, specialists' workplaces remaining
open longer, and opening prior too. Nonetheless, as indicated by ProPublica (2018), a normal of
2% of patients leave the healing center without treatment, they see a specialist inside 22 minutes,
a normal hold up time of 3 hours and 33 minutes before they are sent home, 8 hours and 4
minutes before they are admitted to a clinic room, and 13 hours and 10 minutes before they are
consumed to the space. (All hold up times are by and large dependent on the University of
Kentucky ER).
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Market
The application can be for the utilization of any person as an Emergency Room is there in
the event of a crisis, which can transpire whenever. As per the CDC (2017), there are approx.
141.4 million ER visits for every year. There are additionally approx. 5500 healing centers. In
this manner, this would be a normal of approx. Twenty-five thousand visits for each year and
separated into semi annually would be over twelve thousand. An underlying interest estimate
would be twenty percent of the populace utilizing the App in the preliminary stage, paving the
way to being near two thousand six hundred clients.
Competition
There at present isn't an application that has the capacities of ER Assist. There is the ebb
and flow EHR programs, yet they should be kept an eye on consistently, and data must be
inquired about. This will lessen hold up times, enhance the soundness of their patients, relieve
the burden of their nursing staff, and over the long haul will have the capacity to wipe out
therapeutic assistant. The restorative secretary must be at the Emergency Room at untouched to
bring down patient data, put them into their framework. Every crisis room has by and large three
to four for each eight-hour move. Consequently, there is a normal of six hundred and seventytwo hours of a medicinal assistant for each week. A normal healing center secretary makes
sixteen dollars every hour, so you would decrease the staff down to one which would be one
hundred and sixty-eight hours. Along these lines, just paying out two thousand six hundred and
sixty-eight every week contrasted with approx. Ten thousand dollars, which means an expected
approximately half a million dollars every year. As indicated by AHA (2018), there are over five
thousand healing centers enlisted in the U.S. which implies this one framework could spare the
human services industry just by healing centers a normal over two billion dollars every year.
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Company
The best organization for Electronic Health Records as of now is Cerner. Their trademark
presently states, "Making a Healthier Tomorrow, Today. We're focused on enhancing the
wellbeing and care of people, from their networks from the very beginning." The motto
expresses that they are ad-libbing to ensure that the human services needs of each are met with
exponential prosperity. The application is utilized to assist those clients with requirements of
sped up administrations.
Innovation
ER Assist is creative seeing as there is no item, for example, itself as of now in presence. The
application is utilized to lessen hold up times and spare human services suppliers in the
meantime. The world has changed into an existence where everybody is in a consistent rush and
does not have sufficient energy to take a seat and sit tight for three hours at a crisis space for
fastens, or because they have influenza side effects. Along these lines, to constrain hold up times,
having an Application that is on one's telephone that can lessen hold up times, help to have
patients seen and sent home in an auspicious way, would be a perfect intend to have. In like
manner, ER Assist and application that the client to include all their data, side effects,
sensitivities, wellbeing history, medicinal, modify its conditions, and so forth. At that point, they
are en route to the ER
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Physical and Technological Resources
There are numerous assets that are expected to enable form, to control, and keep up the
application that is being made for ER Assist. A portion of these assets incorporates an App
Developer, Advertising/Marketing Director, and somebody to have the capacity to give routine
upkeep to the application when required. In spite of the fact that, there are numerous costs that
joined the advancement and upkeep of the application, the geniuses far exceed the cons, and the
advantages sparing is enormous. The reason that the application is significantly more proficient
and cost adequate is because of the way that the application will lessen hold up times, enhance
the soundness of their patients, alleviate the burden of their nursing staff, and over the long haul
will have the capacity to wipe out therapeutic secretary. Medicinal secretary must be at the
Emergency Room at untouched to bring down patient data, put them into their framework. Every
crisis room has all things considered 3 to 4 for each 8-hour move. In this way, there is a normal
of 504-672 hours of a therapeutic assistant for every week. A normal doctor's facility secretary
makes $16 every hour, so you would lessen the staff down to one, which would be one hundred
and sixty eight hours. Consequently, just paying out over two thousand dollars every week
contrasted with ten thousand dollars, which indicates an expected approximately half a million
every year. As indicated by AHA (2018), there are over five thousand healing facilities enrolled
in the U.S. which implies this one framework could spare the medicinal services industry just by
healing facilities a normal of two billion every year.
Implementation Schedule
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The fundamental piece of the usage of the application is making a creation intend to choose who,
what, when, where, and how everything will go into place. The creation plan for ER Assist there
are numerous variables that go into thought. For the initial two months there may be generation
going into the formation of the Application and promotion for the anticipated discharge date.
After the arrival of the application there will be proceeded with notice alongside anticipated
numbers to hit the extent that clients being joined. Starting there you should mull over if there is
sufficient promotion going on, or on the off chance that you have to build the quantity of
advertisements and the media in which you are utilizing to get the message out.
In the initial two months there will be a group of 5 specialists delivering and making the working
application, alongside a publicizing supervisor to guarantee that the item is being spread all
through the market. After the underlying two months you will keep on having the promoting
director, alongside standard upkeep and proprietors. The arrangement is to have at least 500
clients joined inside the primary month of being discharged and keep on multiplying each month
for the whole year. The expense for the application and ad is part up into the initial two months.
The rest of the months is part up among promotion and routine upkeep on the application.
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Project Review Processes
Surveying the application generation would be through an achievement procedure to ensure that
everybody is keeping focused and the task is moving along as arranged. There are numerous
achievements all through the way toward making the application a triumph business thought. The
primary achievement is the biggest mound to defeat would exhibit the task when it wound up
prepared to show and having a speculator to support or collaborate with your gathering to
influence the plan to wind up a reality. At that point next achievement would make the
application structure and having a working application that is a model and prepared to see some
cutting edge. With the application you would not have any desire to have a framework overburden and have clients lose confidence of the application appropriate out of the entryway, hence
you would need a delicate dispatch, and welcome a hundred clients to experiment with the
venture to check whether it connects with the ER and Doctors office and is a suitable working
application. After that you would need to have the real arrival of the item alongside promotion.
The following achievement would be fifteen hundred clients effectively utilizing the application,
and after that going on from that point.
Intrapreneurship and Entrepreneurship
The application that is being made has a point of view of being both business visionary and ambitious
innovator as the application itself is a totally new business thought that would reform the human
services industry for crisis rooms. In any case, it additionally requires the information and help from
projects that as of now exist and would be hard to run and work without it. Consequently, making a
point to have the capacity to patent the thought alongside the task itself would be immaterial and being
an application that is just offered by the electronic wellbeing record organization that chooses to
cooperate with the authors of the undertaking.
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Organization’s Core Competencies
In order to ensure that the ER Assist fits with the organization’s core competencies, there was an
evaluation of the organization core competencies. The following were identified as the
organization’s core competencies.
Communication
The implementing organization considers communication as one of its core competencies in
terms of collaboration, written communication, spoken communication and open
communication. Communication is critical within a hospital setting because it promotes
efficiency (Gido, Clements & Baker, 2017). With the ER Assist application, it will fit with the
organization’s communication competency because it will promote efficiency. ER Assists will
ensure that there is smooth sharing of patient information throughout the departments and this
will increase efficiency within the organization’s communication channel. For the implementing
organization what it considers to be an efficient system is one that will demonstrate the ability to
facilitate communication, and that is what the ER Assist will achieve. When evaluating the
chances of acceptance of our ER Assist application then the organization is likely to accept our
application because it fits perfectly with the organization’s communication framework.
Teamwork
For our implementing organization what they consider to be a core competence within their
community is teamwork because this is what they stand for. Teamwork means being able to
collaborate with others at the time of need to create a positive result (Davies, Mannion, Marshall
& Nelson, 2003). Under the competency of teamwork, there is the need to be agile and readiness
to change priorities, projects and goals that will create success on a long term within the
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organization. With our ER Assist application, it will promote teamwork because it is a service
that is needed to facilitate teamwork and collaboration. Within the complex health system
sharing of information is paramount and the success of a treatment plan relies upon the
collaboration of each member of the whole team (Davies, Mannion, Marshall & Nelson, 2003).
With our ER Assist application, the hospital personnel can share information in real time, and
they can share ideas, and this will improve the quality of services that the patient will receive.
According to Sanghi (2007) building a strong team requires an open mind because it involves
adapting to the changing demands. With our ER Assist application, it will be highly adaptable,
and this means that the organization can depend on it at any time they want to make their team
more efficient.
Client service
As a hospital, one of the major competence is the quality of service to the patient. Sanghi (2007)
thoughts on client service says that there is only one boss in an organization and that is the client.
The client as the customer to the hospital requires to be treated with the best services possible
that the institution can offer. For the implementing organization, all focus is on offering the
client superior services that exceed their expectations. Simply put my implementing organization
focus is to use all available resources at their disposal to improve client service. With the ER
Assist patient records will be stored and retrieved efficiently. Since the ER Assist will be online,
it will be accessed by any health profession within the organization, and this means there will be
order. What the ER will offer is efficiency in data management, and this will allow the hospital
to reach its goals promptly. For my implementing organization they want to be recognized in the
country for their excellent patient service, and with the ER this will be possible. The good thing
with the ER is that the system will be automated and this will reduce the chances of human errors
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occurring that can slow down operations within the hospital setting. The ER is indispensable to
the organization, and this will make the organization recognized in the country in terms of
superior patient services. Davies, Mannion, Marshall, & Nelson, (2003) state in their article on
quality health that when an organization achieves exceptional client service in all its levels, the
organization wins and the management team is recognized.
Responsiveness
For my implementing organization having a sense of urgency, prioritizing of tasks, planning and
having efficiency are habits that make the organization a top performer in the country. Every day
the hospital receives more patients, and there is the increased need to keep up with the pace on a
daily basis. It is not the size of the institution that makes it efficient, but it is responsiveness. The
ER Assist application is dynamic, and this means it can adapt according to the demands. As it is
with the traditional physical health records that are not responsive but with the ER Assist it can
increase its capacity to accommodate the current conditions because it is virtual.
Corporate culture
As a health institution what guides the organization is its corporate culture.
Clan culture
My implementing organization’s clan culture is process oriented which is reflected in terms
of concern for employees for their loyalty, group cohesion and commitment. The clan culture is
associated with participation in teamwork and trust. With a focus on maintaining internal
relationships, the ER application will ensure that employees can share information and ideas that
will contribute to the overall success of the organization and the successful implementation of
the project will be a top priority.
Developmental culture
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The implementing organization supports developmental culture through an emphasis on
innovation and adaption to new models that will satisfy the external stakeholders. Whereas
technology is changing the ER application is part of the modern technology, and it will
contribute towards the development of the institution. Having a culture of development will
allow the hospital to allocate resources that will see the project become a success. The ER
application project will be part of an entrepreneurial initiative that will benefit the organization
as a whole and so its implementation will be number one priority.
Hierarchical culture
The focus of hierarchical culture is accommodating predictability. Through the enforcement of
regulations and rules, there is the maintenance of stability within the organization’s hierarchy.
With a clearly defined structure of command the ER project is more likely to be accepted as part
of efforts to create stability and control in the organization. Through clearly laid out procedures
and rules as the control mechanism, the ER project will move from the development stage to the
execution stage.
Rational culture
The rational culture emphasizes performance in terms of goal achievement. Considering the
impact that the ER Assist will have on the organization, it will be a number one priority, and
with a commitment to goal achievement, the implementing organization will ensure the project
becomes a success. A rational culture comes from the desire to have a competitive advantage
over other competitors, and this will drive the organization in making the project a big success
(Berrio, 2003). According to Berrio (2003) organizations of this type are focused on achieving
results, and this comes from the managerial support. Through managerial support, the ER project
will become a success as it becomes part of a big project to improve the quality of service.
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Cross-Functional Business Implementation Team
I.
Project Manager
a. Roles
i. Overseeing the entire project
b. Responsibilities
i. To clearly define goals and help all organization’s stakeholders buy into
the project
ii. Be in a position to avail all the necessary resources needed to make the
project a success.
iii. Provide updates to upper management team
c. Qualifications
i. A minimum of bachelor’s degree in management or business related field
ii. Should be highly organized and have the ability to motivate and manage
others
II.
Functional Manager
a. Roles
i. He/she will be responsible for running the project on a day to day basis
b. Responsibilities
i. To assign specific persons to the team
ii. To collaborate with the project manager through the sharing of
information and negotiating with them on issues regarding resources.
iii. Approving schedules
iv. Recommending necessary changes to the project such as corrective actions
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v. Dealing with issues within the functional area
vi. Ensuring staff utilization
vii. Manage project budgets
c. Qualifications
i. Have a bachelor’s degree in a field related to project management/
business administration or finance.
ii. Ability to apply quality management principles and processes
iii. Should have time management skills
III.
Operations manager
a. Role
i. My role will be the project's operations manager, and it will involve
overseeing that the project is proceeding as planned and all operations run
smoothly and efficiently.
b. Responsibilities
i. Coordinating and supervising
ii. Reviewing financial statements to ensure that the project is within the
budget limits
iii. To plan the use of human resource
iv. To liaison with the upper management team in order to develop a strategy
that will make the project a success
Contingency plan
Should there be a modification on the team, there should be a consideration of the project needs
to ensure that the modification does not compromise on the successful completion of the project.
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The purpose of this contingency plan is to ensure continuity in the critical project areas (Josephs
& Rubenstein, 2018). The following will be the minimum requirements for evaluating an area of
modification in the team.
•
The role of the position within the overall project
•
A determination of how the modification will affect the available resources
•
Identifying the support team that will be under a new position introduced
•
Having a communication plan to keep all team members updated on changes and how it
will affect their roles and responsibilities. (Josephs & Rubenstein, 2018)
Financial Analysis and Funding Plan
The financial section of a business plan needs scrutiny because it provides information
concerning the profitability of the business as well as the debt and equity capital. The financial
section also outlines the duration within which the business expects its debtors to pay. It is,
therefore, crucial to make assumptions that concern financial capital inflow and outflow because
these estimated financial statements help a business owner to determine the feasibility of their
investment. The forecasted financial statements also help an entrepreneur to estimate the amount
of money that they will need in their start-up venture and its continued operations. Therefore, the
financial section of a business plan is crucial to an entrepreneur because it helps them to decide
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whether to implement their plan or not. This section outlines the financial forecasts of ER Assist
that aims at assisting patients to submit their information to a hospital before their arrival.
Sales forecasts
The ER Assistant App is meant to enable patients to submit their personal information to
a hospital facility before they arrive there. This will help to reduce the average waiting time in
hospitals which is approximately 22 minutes before patients can see a doctor and an approximate
of 3 hours 33 minutes before they can go home. The case is even worse for those seeking
admission in hospitals because they could spend an average of 8 hours, minutes to get to a clinic
room and up to 13 hours 10 minutes before they are allocated a bed at the (American Hospital
Association, 2019). This application is new to the healthcare industry, and preventive measures
will be adopted to ensure that unregistered health facilities cannot use the application to register
clients. The application is even more important if used in the provision of emergency services so
that the patient will receive immediate care upon arrival. According to the CDC (2018) report,
there are approximately 141.4 million emergency visits each year. With an approximate of 5,500
healing facilities in the country, it is estimated that each organization will receive 25,000
emergency visits every year. If the number is split semi-annually, then each facility will receive
approximately 12,500 patients. Splitting this number further to a monthly level, each facility will
receive about 2,083 emergency visits. An approximate of $5,000 will be charged to every
hospital that will use the application. Within the first year, the business will get a maximum of
25 health facilities to register with their services so that the maximum revenue will be $125,000.
However, the organization will engage in intensive marketing strategies that will ensure an
increase in the number of registered health facilities to a maximum of 425 organizations. This
will bring the revenue high to $2.1 million by the end of the second year. This trend is expected
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to continue in the next five years until all the 5,500 healthcare units register with the ER
application. The table below shows the forecasted sales in the case of emergency visits to
hospitals.
Year 1
Month
Jan
No. of
3800
hospitals
Feb
Mar
April
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
4200
4500
4650
4689
4720
4875
4950
5000
5120
5362
5500
Amount
($)
$5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000
Total in
millions
($)
19
21
22.5
23.2
24.3
23.6
24.4
24.7
25
25.6
26.8
27.5
Jan
Feb
Mar
April
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
500
580
950
1200
1800
2010
2300
2900
3000
3018
3056
3500
Year 2
Month
No. of
hospitals
Amount
($)
Total in
millions
($)
$5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000
2.5
2.9
4.7
6
9
10.1
11.5
14.5
15
15.1
15.3
17.5
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Expenses budget
The amount of money required for the business start-up is approximately $100,000. The
organization will also incur a number of costs in a bid to sell its products to customers. Costs will
be fixed, and variable and the amount will depend on the nature of these costs. Fixed costs will
include rent, salaries and insurance premiums. The organization will ensure that they have
enough insurance to cover any legal issues arising with regards to breaches of customer
information. It will hire a total of six employees while space will be required for the production
purposes of the firm. Variable costs will include marketing via direct mail, newspaper ads,
healthcare magazines, social media, television ads, or billboards in the hospital waiting room.
The company has to engage in aggressive marketing techniques including both traditional and
online platforms to increase the awareness of the product among healthcare organizations (Gido,
Clements & Baker, 2017). Sales will be made directly to the customers to ensure minimum
expenses. The table shows a list of the company’s expenses divided into both variable and fixed
costs.
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Fixed costs
Salaries
Insurance
premiums
Rent
Patents and
copyrights
Value
Variable costs Value
Direct mail
$60,000 marketing
$1,200
Newspaper
$300 ads
$690
Healthcare
$2,000 magazines
$658
$500 Social media
Television
Ads
Billboards
$68,500 Total
Total
$120
$900
$2,000
$5,568
Assessment of assets and liabilities
The company takes pride in a number of assets that will make it easier for their
operations once the business is open. Start-up capital adds up to $130,000. Other assets include
critical suppliers, computers and software, patents and copyrights, inventory, prepaid insurance
and accounts receivable. On the other side, the company’s existing liabilities include: accounts
payable, salaries, income tax, customer deposits among others as shown below
Assets
Value
Liabilities
Value
App developer
$1500
Accounts payable
$10,500
Marketing director
$1,000
Computers and
$15,000
Salaries
$10,000
software
MILESTONE 4
Patents and
27
$500
Income tax
$500
Inventory
$6,000
Customer deposits
$1,000
Prepaid insurance
$900
Accounts receivable
$2,600
Copyrights
Anticipated sources of funding
The business will not require a lot of input, and therefore the estimated start-up capital is
$130,000.The cash available to the owner for a start-up is $30,000. The other source of income
will include a bank loan of 90,000 that will be repaid within the next two years. The remaining $
10,000 will come from a government grant aimed at supporting youths to become entrepreneurs.
Associated costs of attaining that capital
The associated costs of attaining the start-up capital result from the bank loan that the
organization will finance for the next two years. The loan from JP Morgan Chase Bank is offered
at a rate of 10 percent P.A which means that the owner will incur an additional cost of $9,000 by
the end of the first year and another $9,000 in the second year. The government grant is nonrefundable, and it comes at no cost.
Cash flow statements
The cash flow statements show the amount of money that will come to the business and
the amount of money moving out of the business. In this case, the sales forecast and expenses
budget will guide the organization towards determining the funds entering and leaving the firm.
MILESTONE 4
Month
Cash
inflow
in
million
($)
Cash
outflow
($)
Jan
Feb
28
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2.5
2.9
4.7
6
9
10.1
11.5
14.5
15
15.1
15.3
17.5
$69,400
$70,500
$68,500
$68,620
$69,400
$69,848
$68,500
$68,500
$68,500
$68,500
$68,500
$68,500
Income projections
The company expects to make profits within the first year of business because of the high
demand for their products. It is estimated that approximately 500 healthcare institutions will
register with the organization within the first month of business. Given that the firm sells the
application at a cost of $5,000 to every hospital, the revenues will approximate $2.5 million in
the first month of business. This value is expected to rise over the months due to the efficiency of
the ER application. However, the expenses will vary depending on the nature of the business
activity as shown below:
Revenues (millions $)
Cost of goods sold
Gross Profit (millions $)
Operating expenses
$123.9
$100,000
$123.80
$827,768.00
Net Income (millions $)
$122.97
The business venture is highly profitable such that the organization only makes an
investment of $130,000 in startup capital and within the first month, the company is already
making profits in millions. By the end of the first year, the organization will have attracted close
MILESTONE 4
29
to half of its clients into the market so that they make an approximate of $12.97 million by the
end of the year. Interestingly, the business venture will improve efficiency within the healthcare
department, especially when used in the provision of emergency care. This is because it will
reduce the average wait time to close to zero within the first month. The company will, however,
engage in intensive marketing strategies from the first month to increase customer awareness in
the market. This will, in turn, be reciprocated in the increasing revenue values across the months.
Furthermore, the organization has very little expenses to incur due to the simple nature of their
product.
Assumptions and Contingency Planning
The identification of assumptions is exceptionally essential so as to get real business
benefits from a business plan. Assumptions solve the dilemma in the management of consistency
over time, without banging your head against a brick wall (Austin, & Dopson, 2018). Even
though it might be clear that the implementation of the ER-Assistant application will allow the
users to create as well as edit entity relationship diagrams for the purpose of helping patients to
submit their information before arrival, it is important to come up with assumptions concerning
general business environment and issues outside your control. On the other hand, a contingency
plan acts as a planned change in an organization’s strategic direction so as to respond to any
unforeseen events that may affect the financial capability of an investment. Notably, when
making business plans, organizations make difficult decisions regarding resource allocation
especially on capital and personnel. These decisions are normally based on assumptions
regarding the business environment that will be faced in the coming years.
Assumptions
MILESTONE 4
30
There are three key assumptions in the implementation of an ER Assist App. Since ER
Assist is a new idea, it is assumed that it is the product consumers will want. Secondly, as a
business owner, it is assumed that the product will be sold in a profitable way. As long as there is
a demonstrated need for the product in the market, it is possible to sell the product profitably.
Therefore, it is always crucial to demonstrate that there is a need to satisfy. When coming up
with a new idea, a business owner always have the prospect of a sufficient customer base.
Making an assumption that there are enough consumers means that there are prospects for the
generation of adequate sales so as to make a profit in the long run. Third is technology
assumptions where it is assumed that the ER-Assist App will be feasible and successful in the
market.
Cross-Cultural, Economic, and Geopolitical factors
Cross-Cultural
Culture has a significant influence on the adoption of ER-Assist App since issues of patient
information privacy and security come into picture. ER-Assist App utilizes information
technologies so as to transfer data and offer health care services across geographical barriers. In
addition, health care professionals are increasingly utilizing information technology so as to record
patient’s health information. Nonetheless, the transfer of such information brings on the issue of
the violation of confidential patient information (Gagnon et al., 2016). Therefore, before bringing
in ER-Assist App, it is crucial to consider the culture of the country as well as the policies under
which the implementation of the Application will function to make sure that there is a synergy
between the two.
Economic Factors
MILESTONE 4
31
Notably, economic factors are based on the nature of the economy where the company
operates in. It is crucial to comprehend that factors like the propensity of people to spend, economic
trends in the growth of businesses, interest rates and inflation rates affect strategic implementation.
It is therefore important to scan, monitor as well as make an assessment of the economy before the
implementation of the product (McLean, 2018). The economic environment of an organization has
an impact on both the consumer and the investor confidence. If the performance of an economy is
uncertain, the end result is an adverse effect on the operations, and prospects of the success of a
product idea.
Geo-political factors
As a business owner, it is crucial to incorporate geographical uncertainty as a part of
strategic decision making. The pace of political events across nations which may end up affecting
target markets require the business owners and executives to take initiative in confronting the
consequences of the links between geopolitics and the performance of a business. The assessment
of geopolitical factors is essential for making business success a going concern. For instance,
tensions in the country can impact the implementation of the product idea immensely.
Legally and Ethically Compliant Environment
There are both ethical and legal challenges in the implementation of ER-Assist App due
to the physician-patient relationship. Ethical complications are due to autonomy issues, how to
ensure that the App is in the best interest of the patient and issues of informed consent. The
reliance of Information Technology in health care is poised to grow. This is because of the
myriad of advantages concerning the capture, storage, retrieval and analysis of information.
MILESTONE 4
32
Nonetheless, there is the potential for the abuse of privacy and confidentiality of the relationship
between the health care professionals and patients (Norman, Aikins, & Binka, 2011). It is
possible to have uncontrolled access to the patient information. In line with these concerns, when
implementing the ER-Assist App, the business owners will come up with privacy guidelines
which must be adhered to regarding the maintaining of the rights of patient’s information
On the other hand, with the development of technology at a breath-taking pace across the
medical practice, it comes with a legal responsibility for the medical practitioners. Even though
such new technologies come with exciting opportunities in the provision as well as well as the
documentation of care, there are underlying legal dimensions. In the case of the ER-Assist App,
medical practitioners will be solely responsible for the maintaining of the patient consents and
any other permissions required or advisable to disclose, process and retrieve patient information
stored in connection with the App. Obtaining a valid consent necessitates the patients to
comprehend the implications of their information being included in an open forum. This
therefore means that there is an increased responsibility as well as accountability on the part of
medical practitioners. It is crucial to have sophisticated computer-based auditing procedures as
part of the ER-Assist App so as to identity health care professionals who review key information
in the App. In addition, issues to do with the usability and reliability of the ER-Assist App bring
about legal ramifications. Thus, there will be guidelines that will enhance the capabilities of the
App to ensure that if there are any safety issues, then they are reported without any fear of
recrimination. Besides, ensuring that there are more stringent oversight of different aspects of the
App, including the features, clinical decision support and usability will ensure that the
implementation of the project is legally compliant (Sittig & Singh, 2011).
Stakeholder and Customer Diversity
MILESTONE 4
33
The implementation of a business plan requires stakeholder engagement. Stakeholder and
customer diversity will begin with collecting and sharing information, and dealing with the
concerns of the stakeholders. The first step into stakeholder engagement will be communication.
Information will be shared in a purposeful way. The external stakeholders will need to
comprehend why the product will be implemented and the value it will offer to the customers
and the market at large (Andriof et al., 2017). On the other hand, the internal team that will
initiate the product need to understand where the business is going to ensure that they are aligned
with the goals and the strategic direction. Moreover, it will be essential to ask for inputs about
strategic planning in medium such as surveys. Department meetings can also work in soliciting
input on the business plan and its success.
On the other hand, diversity is good business. It is key to the expansion of the market
share through enabled accessibility to new markets, deepening customer loyalty and raising the
shareholder value (Barclay, 2015). It also brews creativity and production, which are all key to
increased profits. Therefore, it will be important to reinforce on the essence of the recognition of
customer diversity. For example, service providers can help customers in the provision of
additional explanations when it comes to the importance of the information required. Thus,
adjusting the internal policy in handling calls may mean that the management could increase the
average call processing to ensure that customers get explanations in concepts they do not entirely
comprehend.
Corporate Social Responsibility
Corporate social responsibility (CSR) plays a key role in self-regulation when it comes to
business processes (Grayson & Hodges, 2017). CSR policies act as a set of procedures where an
MILESTONE 4
34
organization must ensure that the business transactions are compliant with legal and ethical
standards. Therefore, CSR policies in the context of the implementation of the ER-Assist App
will ensure that the business owners take responsibility and ensure a constructive impact on their
customers and the business environment.
Conclusion
To sum up, the implementation of a business plan requires the evaluation of the
alternative views of future possible happenings that may impact strategic and operational
planning. Taking into consideration the assumptions, cultural, economic and geo-political factors
can act as a risk mitigation process in the development of back up plans in anticipation of issues
that might disrupt the implementation of a new business idea.
MILESTONE 4
35
References
American Hospital Association. (2019). Fast Facts on U.S. Hospitals, 2019. Retrieved from:
https://www.aha.org/statistics/fast-facts-us-hospitals
CDC. (2018). Emergency Department Visits. Retrieved from:
https://www.cdc.gov/nchs/fastats/emergency-department.htm
Gido, J., Clements, J., & Baker, R. (2017). Successful project management (7th ed.). Cengage
Learning.
MBA 705 Milestone Six Guidelines and Rubric
Overview: For the capstone assessment, you will create a business implementation plan and audiovisual presentation for the product, service, or idea you have
been developing throughout your MBA coursework.
In Milestone Six, you will submit an audiovisual presentation (such as a webcam presentation or PowerPoint with audio) designed to pitch your concept to
potential financial backers or senior executives. Your presentation should highlight the key elements of your business concept and implementation plan that are
most likely to convince your audience to support the idea moving forward. Remember that while your audience wants to know you have thoroughly researched
and planned out your idea, including implementation, they do not want a verbatim or lengthy repetition of the information in the business implementation plan
when you pitch the idea. Instead, you should strategically select the information you will present and in how much detail based on your intended audience. You
should bear in mind the key information they will want to know and the types of concerns they are likely to have, and anticipate the types of questions they are
likely to ask.
Also bear in mind that financial or managerial support for a project often has as much to do with the individuals leading the project as with the concept. Backers
need to be convinced of project leaders’ and key staff’s ability to be the face and drivers of the idea, as well as of their honesty and integrity. Since you are
presumably one of the key team members, how you present is just as important as what you present in building audience trust. Be sure to communicate clearly
and professionally throughout.
Note: If you plan to use a presentation software other than PowerPoint, please check in with your instructor to make sure your instructor can access the software
you plan to use.
Critical Elements:
• Highlight the key elements of your business concept and implementation plan that are most likely to convince your audience to support the idea.
• Strategically select the information you will present and the level of detail based on your intended audience.
• Anticipate the key information the audience will want to know, the types of concerns they are likely to have, and the types of questions they are likely to
ask.
• Highlight the project leaders’ and key staff’s ability to be the face and drivers of the idea.
• Your presentation should be clear, professional, and engaging to a diverse business audience.
Rubric
Guidelines for Submission: Your audiovisual presentation should be approximately 30 minutes (or roughly the equivalent of 25 slides) with sufficient audio to
give the audience a clear, but concise, understanding of the concept and its eventual implementation. Cite your sources within the text of your slides and on a
reference slide.
Critical Elements
Key Elements
Strategic Selection of
Information and Level of
Detail
Audience
Project Leaders and Key
Staff
Presentation
Articulation of Response
Proficient (100%)
Includes the key elements of your business
concept and implementation plan that are
most likely to convince your audience to
support the idea
Strategically selects the information and level
of detail based on the intended audience
Presentation anticipates key information the
audience will want to know, the types of
concerns they are likely to have, and the
types of questions they are likely to ask
Highlights the project leaders’ and key staff’s
ability to be the face and drivers of the idea
Presentation communicates in a clear,
professional, and engaging manner
Submission does not have critical errors
related to citations, grammar, spelling,
syntax, or organization that prevent
understanding of ideas
Not Proficient (0%)
Does not include the key elements of your
business concept and implementation plan
that are most likely to convince the audience
to support the idea
Does not strategically select the information
and level of detail based on the intended
audience
Presentation does not anticipate key
information the audience will want to know,
the types of concerns they are likely to have,
and the types of questions they are likely to
ask
Does not highlight the project leaders’ and
key staff’s ability to be the face and drivers of
the idea
Presentation does not communicate in a
clear, professional, and engaging manner
Submission has critical errors related to
citations, grammar, spelling, syntax, or
organization that prevent understanding of
ideas
Total
Value
20
20
15
15
15
15
100%
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