Question

Course: HSAD 416-01 Healthcare Leadership and Management

What is critical thinking and where does it factor into to the strategic planning process? Explain in detail.

Answer 1

Critical thinking is evaluation of thinking process one's own as well as others to determine truth, accuracy or worth and build logical arguments to justify claims. It helps in problem solving, decision making, innovation, leading, negotiating, influencing and more. It helps to take good decisions and planning.

Critical thinking is a tool used in strategic planning process. Strategic planning includes these steps;

1) mission and objectives

2) environmental scanning

3) strategy formulation

4) strategy implementation

5) evaluation and control

Mission and objectives

Mission and objectives define purpose of conducting businesses. It plays an important role in deciding the mission and objective of the firm. It helps to define the objectives and develop proper strategic action plan to achieve objectives. Critical thinking helps managers to take right decision regarding objectives and mission.

Environmental scanning

Environmental scanning helps to examine internal and external factors affecting the firm. Internal factors mainly focus on strength and weakness.External factors focus on opportunities and threats.

Critical thinking helps to determine internal and external environmental factors affecting the firm. It helps in planning proper structure, physical resources and technologies, mission and objectives etc. It also helps in choosing right suppliers, customers, entry barriers, substitute products

Strategy formulation

Strategy formulation set the goals to utilise the strength and opportunities identified in the environmental scanning. Critical thinking helps in formulating right action Plan for effectively using the strength and opportunities.

Strategy implementation

Strategy implementation involves executing strategy action plan to achieve the objectives.This strategy must be implemented properly in order to be successful.

Critical thinking helps to to implement it effectively. Critical thinking helps to analyse problems that arrives due to inappropriate implementation.

Evaluation and control

This step involves analysing the effectiveness of action Plan and take corrective actions. Critical thinking is useful in determining the success of the implemented plan and to take proper corrective measures in case a fault occurs.