The Integrated Planning Function: Business critical and public sector perspectives

The integrated planning function has emerged as a critical component of successful business operations across various industries. But how can this success be transferred to public sector organisations, and what would be the benefits to the NHS?

Effective planning aims to shape the future by setting objectives and strategies, enabling sound operational decision-making within dynamic environments. Industry has long recognised the importance of integrated planning functions, with research demonstrating significant positive impacts on key metrics such as revenue, forecast accuracy and supply planning¹.

While the private sector has widely embraced integrated planning, the public sector has often lagged behind, viewing planning as a necessary process rather than a key driver of results. This disconnect may stem from perceived top-down processes linked to national priorities and targets or a view that planning implies control and power to deliver change. However, integrated planning also plays a crucial role in achieving organisational goals and delivering services effectively to the community. Increasingly, government agencies and public sector organisations are recognising the value of integrated planning in addressing complex societal challenges and improving overall performance.

Furthermore, integrated planning allows all organisations to proactively seize the opportunities presented by rapidly changing external factors such as market trends and technological advancements to increase growth and innovation.

Integrated planning model

The integrated planning model consists of several interconnected steps that ensure comprehensive and effective planning across various sectors:

Best practice in public sector planning

The integration of strategic, tactical and operational planning processes can help public sector organisations leverage planning as a powerful tool to achieve their objectives. Adapting business models of strategic planning to the unique political and administrative environments of public organisations is critical to realising the benefits of integrated planning in the public sector²³.

In recent years, the public sector has made significant strides in recognising the importance of integrated planning in achieving organisational goals and delivering services effectively to the community. With the increasing complexity of societal challenges and the need to improve overall performance, government agencies and public sector organisations have started to embrace integrated planning as a key driver of results.

Case Study 1: Improving service delivery through integrated planning in Toronto

Historically, the City of Toronto's planning efforts were fragmented, with different departments and agencies working in silos. To address this challenge, the city established a central planning unit responsible for coordinating and aligning the planning efforts of various departments, ensuring that strategic objectives were translated into actionable operational plans. This approach enabled the city to prioritise key service areas, optimise resource allocation and improve overall service delivery to the community. Through the integration of planning processes, the City of Toronto was able to:

• Increase customer satisfaction by 26% in key service areas
• Improve operational efficiency, leading to a 19% reduction in service delivery costs
• Enhance collaboration and information-sharing among departments, enabling better decision-making⁴⁵.

Case Study 2: Streamlining asset management through integrated planning in Alberta

The province of Alberta, Canada, faced a common public sector challenge: managing ageing infrastructure and ensuring the efficient use of limited resources. To address this issue, the province established a centralised asset management system that consolidated data from various departments, enabling a comprehensive view of the province's infrastructure assets. This allowed more informed decisions, optimised resource allocation and enhanced the overall stewardship of public assets. By integrating planning processes, the province was able to:

• Prioritise infrastructure investment based on risk, condition, and strategic objectives
• Optimise maintenance and rehabilitation schedules, leading to a 23% reduction in lifecycle costs
• Improve coordination between asset management and capital planning, resulting in a 17% increase in project delivery efficiency.

Why the NHS should adopt integrated planning

The NHS faces significant challenges that necessitate the adoption of integrated planning at both Trust and Integrated Care Board (ICB) levels. These challenges include increasing demand for services, financial constraints, workforce shortages, and the need to improve patient outcomes and operational efficiency.

Current challenges in NHS planning

• Fragmentation of services: The NHS often faces issues related to the fragmentation of services, where different parts of the healthcare system operate in isolation, leading to inefficiencies and suboptimal patient care.
• Financial pressures: Budget constraints and financial pressures require the NHS to make difficult decisions about resource allocation, making integrated planning even more critical to ensure that resources are used effectively.
• Workforce shortages: The NHS is experiencing significant workforce shortages, which impact its ability to deliver high-quality care. Integrated planning can help in strategic workforce planning and addressing gaps in staffing.
• Changing demographics: An ageing population and increasing prevalence of chronic conditions require the NHS to adapt its services and planning processes to meet these evolving needs.

Benefits of integrated planning in the NHS

Integrated planning can offer several benefits to the NHS:

• Improved resource allocation: Optimises the use of funds, staff and equipment to meet patient needs ⁶.
• Enhanced patient care: Enables better coordination between departments and services, leading to seamless patient care pathways ⁷.
• Increased operational efficiency: Breaks down silos and fosters collaboration, reducing waiting times and enhancing service delivery ⁸.
• Data-driven decision making: Leverages technology and data analytics to make informed decisions and respond proactively to challenges ⁹.

Early results from connected decisions in the NHS

There are already examples of how connected decision-making in the NHS is delivering tangible benefits, highlighting the potential for improved productivity, efficiency and collaboration across health and care systems, at both a Trust and ICB level.

How the NHS can implement integrated planning

To effectively implement integrated planning and address these challenges, the NHS can adopt an Integrated Business Planning (IBP) model. This consists of several interconnected steps that ensure comprehensive and effective planning:

1. Where are we now? – Assessing the current state

• Data collection: Gather data on current investment levels, patient care outcomes, health outcome and healthcare costs using existing NHS data sources and performance metrics. 
• Triple Aim evaluation: Evaluate current performance against the Triple Aim¹⁰ framework (improved patient care, improved health outcomes, reduced healthcare costs). 
• Stakeholder engagement: Engage with stakeholders, including healthcare professionals, patients and community representatives, to get a holistic view of the current state. 

2. Where do we want to be? – Defining ambitions

• Vision setting: Establish a clear vision and goals for future healthcare outcomes at the population, place, and service levels¹¹. 
• Benchmarking: Set ambitious but achievable targets by benchmarking against national and international best practices. 
• Local and national needs: Ensure goals align with both local community needs and national healthcare priorities¹².

3. Aligning resources and capacity

• Resource mapping: Conduct a thorough mapping of existing financial, workforce and capacity resources. 
• Strategic alignment: Align resources with the identified goals and targets¹³. 
• Performance metrics: Define key performance measures to track progress¹⁴. 

4. Identifying gaps and needs

• Gap analysis: Identify the discrepancies between current performance and future goals¹⁵. 
• Needs assessment: Conduct a comprehensive needs assessment to determine what is required to bridge these gaps. 

5. Modelling impacts

• Impact analysis: Model the potential impact of proposed initiatives on the desired results using predictive analytics and scenario planning tools. 
• Risk assessment: Assess the risks associated with each initiative and develop mitigation strategies¹⁶. 

6. Scenario modelling

• Internal factors: Model scenarios based on changes within the healthcare system, such as shifts in workforce availability or changes in patient demand. 
• External factors: Consider external factors, such as policy changes, economic shifts and technological advancements, and model their potential impacts. 
• Driver analysis: Identify key drivers and enablers that can influence outcomes positively or negatively¹⁷. 

7. Enabling decision-making

• Integrated Resource Management: Implement connected resource management systems to facilitate data sharing and decision-making across different levels of the NHS. 
• Decision support tools: Utilise decision support tools and dashboards to provide real-time insights and facilitate evidence-based decision-making¹⁸. 
• Stakeholder involvement: Ensure continuous involvement of stakeholders in the decision-making process to maintain transparency and accountability. 

Implementation considerations

• Governance: Establish a governance framework to oversee the implementation of the IBP, ensuring adherence to best practices and accountability. 
• Training and development: Provide training for NHS staff on the use of new tools and processes introduced as part of the IBP¹⁹. 
• Continuous improvement: Set up mechanisms for continuous monitoring, evaluation and improvement of the planning process, incorporating feedback and lessons learned. 

The ongoing success of integrated planning initiatives across diverse public sector domains underscores the significance of strategic alignment, stakeholder collaboration and data-driven decision-making in driving positive outcomes. As public sector leaders continue to embrace the principles of integrated planning, they can draw upon these case studies as valuable sources of inspiration and guidance in navigating the complexities of their respective sectors. By leveraging the experiences and lessons learned from these real-world examples, organisations can effectively strengthen their integrated planning functions and create meaningful impacts for the communities they serve.

For the NHS, adopting integrated planning is crucial to addressing its current challenges and ensuring the delivery of high-quality care. By improving resource allocation, enhancing patient care, increasing operational efficiency and enabling data-driven decision-making, integrated planning can help the NHS navigate its complex environment and achieve its organisational goals.

References

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