Financial Planning Business Plans by zkr12511

VIEWS: 9 PAGES: 5

More Info
									                                             LEEDS TEACHING HOSPITALS NHS TRUST
                                           2006/07 BUSINESS PLAN ACTION PLAN 30/06/06
RESULT AREA THREE

BECOMING A FINANCIALLY EFFECTIVE ORGANISATION WITH A SOUND FINANCIAL AND WORKFORCE STRATEGY THAT SUPPORTS THE SERVICE STRATEGY



          OBJECTIVE                REF NO                        TASKS/ACTIONS                            OUTCOMES/  OUTPUTS/                ACCOUNTABLE       TIMESCALES
                                                                                                                PRODUCTS                        OFFICER
                                                                                                                                              /DIRECTORATE

                             STRATEGIC AIM: DEVELOPMENT OF A SOUND FINANCIAL STRATEGY THAT SUPPORTS THE SERVICE STRATEGY

Produce plan for achieving 3.5%      3.1
CIPs in 2006/07 and achieves                                                                              Monthly financial reporting        FD              Monthly
financial balance by 31/03/07                Plans to be developed and risk assessed to achieve this      Detailed plan which includes in-   FD              15 May Trust
                                             savings target                                               year trajectories                                  Board

                                                Develop contingency plans to maintain income levels at                                       DPPI
                                                business plan levels including
                                                clearing backlogs to achieve waiting time targets
                                                equalising "other" waiting times
                                                attracting activity from other commissioners
                                                switching from non-elective to elective
                                                Develop improved counting and coding strategy to                                             DPPI (BD)
                                                refute PCT plans to not pay coding errors.
                                                Monitor delivery of tranche one savings through                                              DOps
                                                performance review process                                                                   DPPI (GC)
                                                Support taskforce leaders in delivery of change
                                                management programme plans
                                             Deliver 3.5% CIPs in 06/07 in corporate functions                                               FD ( )          Q4 06/07
                                             supported by operational plans
                                             Establish Trust income plan                                   Trust income plan                 FD              Q1 06/07
                                                Traditional incremental top-down plan developed as
                                                part of FT Diagnostic
                                                Bottom-up plan developed later based on 2006/07 PBR
                                                arrangements and new local tariffs
                                                Reconciliation top-down to bottom-up
                                                Update LTFM for changes in national funding                                                  FD
                                                assumptions, PCT de-commissioning plans and revised
                                                national tariff
                                                Assess recurrent impact of Change Management                                                 FD
                                                Programme (CMP)
                                                Updated LTFM assessed against 3.5% savings                                                   FD
                                                "benchmark"
                                                LTFM shared with SHA                                                                         FD
                                                Bid made against strategic reserve                                                           FD
                                             Detailed plans to deliver CIPs to be identified through CMP; Task force delivery plan           DPPI            Q2 06/07
                                             with identified timescales for delivery and quantification by
                                             CMT
                                                Compare planned spend in 06/07 with 05/06 actual to                                          FD ( )
                                                determine any material savings included in existing
                                                CMT plans
                                                Apportion 30% reduction on relevant items                                                    FD ( )
                                                Share results with Directors/HoCMTs and agree                                                FD ( )
                                                performance management arrangements
                                                Reduce budgets accordingly from 1st July                                                     FD ( )
                                                Support taskforce leaders to develop robust plans                                            DPPI (GC)
                                                Agree savings trajectories
                                                Support agreement with Heads of CMT for                                                      DOp (CB)
                                                corresponding reduction in expenditure plans                                                 DOp (GB)
                                                Monitor delivery of savings through performance review
                                                process
                                             Trauma and Orthopaedics CMP                                                                     DOp
                                             GI Surgery CMP                                                                                  DOp
                                             Medical productivity CMP                                                                        MD ( )
                                             Procurement (general) CMP                                                                       FD(CS)
                                                A list of "target" areas have been agreed. Staff time
                                                has been designated and new appointments are being
                                                made.
                                                The Head of Supplies to agree the savings
                                                opportunities with CMTs and the CMTs expenditure
                                                targets reduced accordingly
                                             Procurement (drugs) CMP
                                                The Head of Pharmacy to agree the savings                                                    FD (LK)
                                                opportunities with CMTs and the CMTs expenditure
                                                targets reduced accordingly
                                             Absence management CMP                                                                          HR ( )
                                             Other clinical staff productivity CMP                                                           CN
                                             Theatres & Anaesthetics CMP                                                                     DOps
                                             Discretionary non-pay CMP                                                                       FD
                                             Reduction in costs of management CMP                                                            CEO
                                             Ensure that outcomes from task forces are integrated into    An integrated service and          DPPI            Q1
                                             CMT / corporate budgets as they emerge                       financial plan
                                                 Eliminate double-counting between savings and                                               FD ( )
                                                 schemes
                                                 Identify trajectories and distribution by CMT                                               FD ( )
                                                 CMP schemes signed off by HoCMT                                                             DOps
                                                 CMT/corporate budgets amended                                                               FD ( )
                                             Assess realism of PCT decommissioning plans and reflect      Documented service agreement       DPPI (NP)       Q1 06/07
                                             in service plans                                             with comissioners




                                                                                                                                                                            1
           OBJECTIVE                REF NO                         TASKS/ACTIONS                             OUTCOMES/  OUTPUTS/                  ACCOUNTABLE         TIMESCALES
                                                                                                                   PRODUCTS                          OFFICER
                                                                                                                                                   /DIRECTORATE
                                                Review and analyse PCT plans                                                                      DPPI              Q2
                                                Review plans and clarify issues with PCTs                                                         DPPI              Q2
                                                share plans with CMTs and engage medical staff                                                    DPPI              Q2
                                                Design and establish framework for managing                                                       DPPI              Q2
                                                Develop CMT level business plans to be reviewed at           Complementary operational            DOps
                                                BPAT and Ops Board                                           delivery plans in CMTs / Corp
                                                                                                             Services
                                                CMTs to assess operational impact of reduced service                                              DOp (CB)
                                                provision reflecting commissioning plans                                                          DOp (GB)
                                                Implementation of necessary reductions in capacity                                                DOp (CB)
                                                                                                                                                  DOp (GB)
                                                Monitor impact on delivery of key access targets,                                                 DOp (CB)
                                                activity plans etc                                                                                DOp (GB)
                                             Overall medium term service strategy and national funding                                            FD                Q1 06/07
                                             guidance assessed to inform approach to CMT allocations
                                             Negotiate conditional strategic support with SHA                                                     FD                Q4 06/07
                                             CMTs develop financial plans with agreed resources                                                   DOps              Q1 06/07
                                                                                                                                                  DOp (CB)    DOp
                                                 Support CMTs to develop revised financial expenditure                                            (GB)
                                                 targets to reflect the impact of the change management
                                                 programme and/or PCT decommissioning
                                             Ensure no new service approvals resulting in cost pressure                                           DOp (CB)    DOp ongoing
                                             drift                                                                                                (GB)
                                                                                                                                                  DOp (CB)    DOp
                                                Work with CMTs to manage in year service pressures                                                (GB)
                                                without recourse to unfunded service developments
                                             Strengthen monitoring and supporting governance                 Improved performance                 FD ( )            ongoing
                                             arrangements, ensuring all emerging financial issues are        management framework and
                                             identified.                                                     Board report
                                                Produce "budget books" for CMTs and the Board                                                     FD ( )            Q1
                                                Establish process for reporting allocation changes in                                             FD ( )
                                                year and between years                                                                                              Q2
                                                Review of reporting financial performance to the Trust                                            FD ( )
                                                Board taking into account KLOE/FT regime / published
                                                best practice                                                                                                       Q1
                                                Review of financial reporting to CMTs                                                             FD ( )            ongoing
                                                Review CMT performance management arrangements               Improved performance                 FD ( )
                                                in relation to the achievement of financial targets          management framework and
                                                                                                             Board report                                           ongoing
                                                Develop formal written reporting to DOF on financial                                              FD ( )
                                                performance of aggregated business units, eg, Patch 1,
                                                Patch 2 etc                                                                                                         Q2
                                                Develop CMT trading accounts                                                                      FD ( )            ongoing
                                                Develop standard approaches to the production of                                                  FD ( )
                                                business cases and financial analysis to support multi-
                                                CMT projects                                                                                                        Q3
                                                Revise the process for CMT end of year forecasting.                                               FD ( )            Q2
Produce plan for financial           3.2
balance between 2006/07 and
2009/10
                                             Develop plan for financial balance between 2006/07 and          Financial balance planned for        FD                November Board
                                             2009/10 building on progress in the first half of 2006/07.      next 3 years
                                             Scope 3.5% savings for each of the next 5 years.


                                             Future years task force areas to be scoped, taking into                                              DPPI ( )          Q3
                                             account evidence of excess cost compared with income
                                             from specific services (ie impact of tariff on trading)

                                             Overall medium term service strategy and national funding                                            FD (ANC)          Q4 each financial
                                             guidance assessed to inform approach to CMT allocations                                                                year

Develop contingency plans for all    3.3
areas of financial risk

                                             Refine assessment of risk relating to delivery of 2006/07       Monthly report to trust board        FD                From April 2006
                                             plans and identify and monitor plans to manage risk.            identifying risk assessment,
                                                                                                             mitigating actions/milestones
                                                                                                             and responsibilities




                                             Refine assessment of risk relating to NOW/PCT                   Medium term risk assessed as         ?                            Nov-06
                                             commissioning/MLB/continued efficiency                          part of updating plan for future 3
                                             improvements/tariff roll out/specialist services. Ensure all    years and plans adjusted
                                             plans incorporate delivery options which mitigate risk.         accordingly
                                             Identify any additional savings required to offset any risks
                                             deemed unavoidable

                                             Establish explicit process for recording and assessing          Financial risk assessment            FD                Q2
                                             financial risk in all business areas (consistent with overall   framework
                                             Trust approach) and make recommendations for any
                                             further action required.
                                                Review existing mechanisms at CMT and corporate
                                                levels, amending and refining as appropriate
                                                Develop reporting arrangements to the Board, HQMG
                                                and Operations Board
                                             Ensure plans incorporate delivery options which mitigate                                             DPPI (NP)         Q2
                                             risk and identify additional savings to offset unavoidable
                                             risks
Maintain income                      3.4
                                             Monitor SLA developments and plan to rebalance activity                                              DOp (GB)          ongoing
                                                                                                                                                  DOp (CB)
                                                Monitor activity and income plans through regular                                                 DOp (GB)
                                                performance review process with CMTs                                                              DOp (CB)

                                                                                                                                                                                        2
OBJECTIVE   REF NO                   TASKS/ACTIONS                    OUTCOMES/  OUTPUTS/   ACCOUNTABLE     TIMESCALES
                                                                            PRODUCTS           OFFICER
                                                                                             /DIRECTORATE
                                                                                            DOp (GB)
                     Agree remedial action with CMTs as appropriate                         DOp (CB)




                                                                                                                         3
           OBJECTIVE               REF NO                        TASKS/ACTIONS                              OUTCOMES/  OUTPUTS/                ACCOUNTABLE       TIMESCALES
                                                                                                                  PRODUCTS                        OFFICER
                                                                                                                                                /DIRECTORATE
Bring costs nearer to tariff         3.5                                                                    Document service agreement         FD (PK)         Q2
                                                                                                            with commissioners
                                                                                                            Trust Income Plan                  FD (ANC)        Q2
                                            Invest in clinical coding                                                                          DPPI (BD)       ongoing
                                            Develop mechanisms for handling tariff                                                             FD              Q2
                                            exclusion/adjustment issues re service changes or
                                               Principles & “Code of Practice” agreed up front with
                                               PCTs and then applied
                                               Joint work with CMTs, especially Pharmacy, to identify
                                               and capture new data sources needed for SLA e.g high
                                               cost drugs and devices
                                            Reduce RCI - identify fit between RCI and tariff                                                   FD (ANC)        ongoing
                                            Performance manage services to tariff and RCI                                                      DOp (GB)
                                                                                                                                               DOp (CB)
                                                CMTs to implement actions agreed through change                                                DOp (GB)
                                                management programme                                                                           DOp (CB)
                                                Reduce expenditure plans to deliver current activity                                           DOp (GB)
                                                levels and support movement nearer to tariff                                                   DOp (CB)
                                            Link with Change Management Programmes to extract                                                  FD (KG)         ongoing
                                            efficiencies
                                            Provide advice on trading benefits / deficits associated with                                      FD (PK)         ongoing
                                            specific services
                                                Comparison of 2004-05 RCI with national average and
                                                peer group
                                                Re-present 2005-06 actual position in CMT trading
                                                account format
                                                Establish project to compare detailed input costs with
                                                sub-set of provincial teaching hospitals
Establish and deliver capital        3.6                                                                    Capital programme framework                        Q2
programme
                                                  Assess and prioritise B&E capital infrastructure          Improved capital programme         F&E (DK)        Q2
                                                  replacement needs, linked to estates strategy             framework
                                                  All capital schemes are fully identified with realistic   Improved capital programme         FD (ANC)        Q2
                                                  phasing within resources available                        framework
                                                  Agree priorities including patient environment and                                           DPPI (SJC)      Q3
                                                  expeerience against programmes

                                                  Establish Project Board to develop patient
                                                  experience pilot scheme
                                                  Produce integrated programme on single template                                              DPPI (SJC)
                                                  showing total B&E capital spend
                                                  Agree prioritisation processes                                                               DPPI (SJC)
                                                  Manage impact of new capital regime                                                          FD (ANC)        ongoing
                                                  Revitalise the Estates Capital Team to enable                                                                ongoing
                                                  delivery.
                                                  Review/investigate services to increase efficiency
                                                  and performance with respect to programme
                                                  management
                                                  The impact of 2005/06 undershoot is incorporated in                                          FD ( )
                                                  the programme
                                                  The capital programme is reviewed to assess                                                  FD ( )
                                                  deliverability of spend
                                                  Concerns are raised with SHA and „special                                                    FD ( )
                                                  arrangements‟ sought as necessary
                                                  Briefing on the implications is provided to all                                              FD ( )
                                                  concerned with managing the capital programme
                                                  Progress monitored through quarterly reviews                                                 FD (ANC)
                                                  Continue estate refurbishment programme                                                      F&E (DK)        ongoing

                                   STRATEGIC AIM: DEVELOPMENT OF A WORKFORCE PLAN TO SUPPORT THE SERVICE STRATEGY

Develop integrated and costed        3.7
workforce plan                                                                                              Trust workforce plan               HR (RA)         Q2
                                            Improve integration through business                            Plans are fully integrated with    HR (RA)                   May-06
                                            planning/performance management                                 service and financial plans        DOps
                                                                                                            brought together in business
                                                                                                            plan. Each CMT has an agreed
                                                                                                            workforce number for 2006/07


                                            Training and development strategy to be developed to            Workforce needs mapped to          HR (RA)                   Sep-06
                                            reflect this plan.                                              service and financial strategies
                                            Each CMT to have an agreed workforce target for 2006/07                                            HR (RA)         Q1
                                                    Identify a clear workforce baseline within CMT areas                                       HR (RA)
                                                    which integrates with the financial view of workforce
                                                    numbers
                                                    Remove from the establishment, posts which were                                            HR (RA)
                                                    held vacant in 2005/06
                                                    Plans should account for developments and savings                                          HR (RA)
                                                    with CMT areas
                                                    Plans should also account for taskforce and other                                          HR (RA)
                                                    change management programme savings
                                                    CMT plans collated Trust wide to produce workforce                                         HR (RA)
                                                    trajectories
                                            Ensure CMTs understand workforce targets                                                           DOps            Q1
                                            Remove from budgets all posts which have been held                                                 FD (ANC)        Q2
                                            vacant during 2005/06
                                            Ensure workforce outcomes from Change Management                                                   DOps            ongoing
                                            Programme are integrated

Plan for workforce cost savings      3.8
so that the workforce strategy
and financial plans inter relate

                                               Taskforce leads to develop plans for savings which                                                              Q1
                                               include workforce implications
                                               Taskforce plans to be reviewed and workforce                                                    HR (RA)         Q2
                                               implications identified
                                                                                                                                                                                  4
          OBJECTIVE               REF NO                        TASKS/ACTIONS                            OUTCOMES/  OUTPUTS/                ACCOUNTABLE        TIMESCALES
                                                                                                               PRODUCTS                        OFFICER
                                                                                                                                             /DIRECTORATE
                                               Workforce reductions quantified and implications of                                          HR (RA)           Q2
                                              managing these changes considered and planned
                                              Workforce implications of taskforce outcomes                                                  HR (RA)           Q2
                                              documented within workforce plans and implemented
                                           Develop training plans with Development Confederation                                            HR (RA)           Q3
                                              Plan developed for staff consultation, redeployment,
                                              training and development requirements
                                           Develop workforce plan for 2007/08 based on view of core                                         HR (RA)           Q3
                                           business
                                              Clarity on workforce baseline for 2007/08 revisited                                           HR (RA)
                                              which should include a shared organisation
                                              understanding of workforce numbers
                                              Service strategy with full account taken of financial                                         HR (RA)
                                              constraints clarified from the outset for 2007/08
                                              Include known development such as NOW, MLB, ASR                                               HR (RA)
                                              etc.
                                              Workforce implications of service strategy including any                                      HR (RA)
                                              reduction or expansions in workforce numbers identified
                                              and documented
                                              Workforce plan developed with consideration awarded                                           HR (RA)
                                              to staff consultation, training and development,
                                              redeployment, labour market constraints and retention
                                              issues
Deliver workforce plans in CMTs    3.9
/ corporate functions
                                           Develop plan for staff consultation, redeployment, training   Implementation plan with phases    HR (RA)                   Jul-06
                                           and development requirements and recruitment of staff in      of activity
                                           shortage groups                                               Trust wide picture of workforce    HR (RA)                   Jul-06
                                                                                                         implications of service strategy
                                                                                                         and financial plans
                                           CMTs to develop detailed workforce plans together with        complementary OP delvier           DOp (GB) + DPPI   Q2
                                           implementation plans                                          (business plan)                    DOp (CB)
                                              CMTs to identify revised workforce plans to reflect the                                       DOp (GB)
                                              impact of change management programme/PCT                                                     DOp (CB)
                                              decommissioning
                                              Workforce plans agreed with DOP                                                               DOp (GB)
                                                                                                                                            DOp (CB)
                                                                                                                                            DOp (GB)
                                              Implementation
                                                                                                                                            DOp (CB)
                                                                                                                                            DOp (GB)
                                              Monitoring through performance review process
                                           Corporate functions to develop detailed workforce plans                                          DOp (CB)
                                                                                                                                            HR (RA)           Q1
                                           together with implementation plans




                                                                                                                                                                               5

								
To top