Provide feedback and incorporate into their drafts.Write a consolidated synopsis of no more than 400 words summarizing what the team has learned from the review and discussion.Please read the paper thats attach.
vanessa_gerring_week_2_business_model_and_strategic_plan_part_i.doc

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Running head: BUSINESS MODEL AND STRATEGIC PLAN PART 1
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Strategic Plan Part 1: Existing Business or New Business Division; Vision, Mission, and Value
Proposition
Vanessa Gerring
Integrated Business Topics / BUS475
April 10, 2017
Ramzy Noel
BUSINESS MODEL AND STRATEGIC PLAN PART 1
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Business Model and Strategic Plan Part I
This strategic plan will start with the development of a new service by our fictitious
company DoctorsRUs. DoctorsRUs is a company that provides world-class healthcare to people
in a local population. DoctorsRUs wants to branch out to be able to help as many people who
need it at a competitive price. In the sections below, I will describe the service to be provided by
the new division of DoctorsRUs; how the service will address our customers need and will
achieve a competitive advantage; explain the business model and vision of the new division;
explain how the vision aligns with the company’s vision and mission; summarize the division’s
strategic direction; and define the division’s guiding principles.
New Service Development
DoctorsRUs has decided to create a new division of the company focusing on customer
service and providing convenient healthcare to the local population. DoctorsRUs will create a
home-based healthcare division that will send medical doctors directly to your home for basic
medical care and treatment of minor medical conditions. Home-based medical services will
replace traditional doctors’ offices for treatment of minor illnesses (cough, colds, flu, earaches,
etc.), minor injuries (tick bites, minor burns and cuts, etc.), health screenings and monitoring
(cholesterol checks, blood pressure monitoring, glucose screenings, etc.), skin conditions (rashes,
ringworm, lice, etc.), vaccinations (flu, pneumonia, etc), and physicals (camp, sports, etc.).
DoctorsRUs’ home-based division’s mission statement is to provide children and adults
with a doctor and a nurse who specialize in family healthcare via home-based appointments.
DoctorsRUs will come to you when you are feeling unwell and will provide a diagnoses and
basic treatment in your home. If the doctor feels your illness is severe and warrants a trip to the
emergency room or urgent care center, they will facilitate getting you where you need to be for
BUSINESS MODEL AND STRATEGIC PLAN PART 1
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the next steps in the healthcare process. DoctorsRUs has agreements in place with local
emergency rooms and urgent care center as well as on-call ambulance staff who can transport the
patient to the nearest hospital or center to get the escalated care the patient needs.
Customer Needs and Competitive Advantage
The creation of the home-based healthcare division will directly address customer and
patients’ needs for medical treatment from the comfort of their homes. When you don’t feel well
the last thing you want to do is take a shower, get dressed and drive to the doctor’s office to wait
for an appointment or the availability of your doctor. Home-based healthcare will take the stress
out of the doctor’s visit and puts the driving in the hands of well-rested and healthy doctors and
nurses. Privacy is also important to both the doctor and patient, and with the advancements in
technology, our doctors can bring your medical records with them to your home via laptop and
VPN technology. The VPN technology will allow the doctor to access your medical records
from a safe and secure location in a datacenter while being able to provide the care and attention
the patient deserves.
The key differentiator and competitive advantage DoctorsRUs sets to achieve is with
their cost structure. Without the overhead costs of a brick and mortar doctor’s office,
DoctorsRUs can keep costs low and in competition with local urgent care facilities. The cost
would be more than a typical office visit but much less than a trip to the local emergency room.
Vision and Business Model
DoctorsRUs’ vision for the future is to expand our services from our initial location to
locations across the United States. To get us there, DoctorsRUs has created the following
business model and pricing structure to ensure a decent gross profit while maintaining our
BUSINESS MODEL AND STRATEGIC PLAN PART 1
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company’s mission to provide cost-effective healthcare. The monthly cost for providing our
home-based services are shown in the table below:
Monthly Costs for each Home-Based Doctor / Nurse Team
Doctor’s Salary
$13,000.00
Nurse’s Salary
$5,600.00
Car Payment
$250.00
Car Insurance
$80.00
Malpractice Insurance
$1,000.00
Gas
$250.00
Medical Supplies
$200.00
Vehicle Maintenance
$100.00
Lab Fees / Equipment
$1,400.00
Ambulatory Outsourcing
$1,000.00
TOTAL:
$22,880.00
The costs for our home-based medical services each month shows that we will have an
outflow of $22,880.00 every month. To offset these costs, DoctorsRUs has created the pricing
structure below which is equal to or less than the amount changed by local urgent care centers:
Price List for Medical Services Provided (per occurrence)
Minor Illnesses
$229.00
Minor Injuries
$229.00
Health Screenings
$229.00
Health Monitoring’s
$150.00
Skin Conditions
$229.00
Vaccinations
$200.00
Physicals
$229.00
Lab Test – A1C
$45.00
Lab Test – Pink Eye
$35.00
Lab Test – Blood Sugar
$35.00
Lab Test – Flu
$45.00
Lab Test – Lipid Panel
$45.00
Lab Test – Mono
$35.00
Lab Test – Pregnancy
$35.00
Lab Test – Strep
$45.00
Lab Test – Urine
$45.00
AVERAGE COST:
$213.50 + per visit
BUSINESS MODEL AND STRATEGIC PLAN PART 1
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As shown in the data in the Price List table, the average cost of each visit will be $213.50
plus any Lab test costs incurred. If each doctor/nurse team performs eight home-based visits per
day for a total of 160 home-based visits per month, the average income that would be brought in
each month is $34,160.00, resulting in a monthly profit of $11,280.00.
Aligning with the Company’s Mission and Vision
As stated previously, DoctorsRUs’ home-based division’s mission statement is to provide
children and adults with a doctor and a nurse who specialize in family healthcare via home-based
appointments. This mission statement is in direct confluence with the company’s overarching
mission statement to improve the health of the diverse community we serve, through excellence
in patient care, customer service, and convenient access.
Guide to Strategic Business Direction
Portfolio management ensures that only projects that are a good fit for an organization are
selected for implementation and that those projects meet the businesses established strategic
goals and objectives (Kerzner, 2013). A company’s mission statement is a declaration of why a
business exists and what goals it plans to achieve. The goals of the mission statement must be
mirrored by the company’s Project Management Office (PMO) or the group that manages a
company’s portfolio.
DoctorsRUs’ portfolio managers within their PMO understand the direction the company is
heading and knows all of the factors that should be considered when creating a new service
division. The DoctorsRUs’ homes-based division met the business objectives of the company
and as was demonstrated in the Vision and Business Model section, will generate a lucrative
financial return on investment.
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DoctorsRUs’ new home-based division will ensure the company’s continued success, as we
understand the importance of portfolio management and how it ties into the company’s mission
statement. If the new home-based division didn’t meet the company’s missions statement,
business goals and objectives we would not be where we are today, announcing our new service.
Guiding Principles and Values
DoctorsRUs is committed to providing world-class healthcare by demonstrating a culture
rich in positivity, respect, and courtesy. To achieve the level of excellence, we transpire to reach
we will exceed the expectations of our patients, embrace our cultural differences, own our
actions, treat our colleagues with professionalism and bring pride to the DoctorsRUs name.
DoctorsRUs believes that it is our social responsibility to provide healthcare to everyone
who needs it. The company also believes in implementing best practices to ensure a better
tomorrow such as limiting waste and conserving natural resources. DoctorsRUs uses recycled
materials when allowed and recycles all waste products. Electric cars are also used by our
doctors and nurses to reduce pollution caused by gasoline consuming vehicles.
Ethics is of vital importance to DoctorsRUs. DoctorsRUs’ code of ethics demonstrates
the principles of ethical behavior that will be followed in the workplace. All employees will
practice with empathy and kindness while respecting the rights and wellbeing of others.
Employees will provide quality patient care regardless of the patient’s race, religion, age, sex,
ethnicity, disability, or sexual orientation. Employees will preserve and protect the
confidentiality of privileged information and will not, share, reproduce, or publish the
information in any form. Employees will comply with all applicable local, state, federal laws,
and any state healthcare practice acts.
Conclusion
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As demonstrated throughout this strategic plan, DoctorsRUs has decided to create a new
division supporting their healthcare practice. DoctorsRUs’ new division will provide homebased healthcare to people in the local area.
DoctorsRUs’ home-based division’s mission
statement is to provide children and adults with a doctor and a nurse who specialize in family
healthcare via home-based appointments which is in line with their company’s mission
statement. Customers want convenient healthcare, and DoctorsRUs is in a position to provide it.
DoctorsRUs competitive advantage is in their price structure, and there is a monthly profit of
$11,280.00 to be gained. DoctorsRUs strategic business direction is managed by their PMO and
portfolio managers who understand the direction the company is going. The new home-based
healthcare service is in direct harmony with the overall goals and objectives of the company.
DoctorsRUs has created an environment steeped in positivity, respect, and courtesy and takes
their
social
responsibility
and
ethics
to
heart.
BUSINESS MODEL AND STRATEGIC PLAN PART 1
References
Kerzner, H. (2013). Project Management A Systems Approach to Planning, Scheduling and
Controlling (11th ed.). Hoboken, NJ: John Wiley & Sons. The Crux of Corporate
Strategy Building an Advantaged Portfolio
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