Entrepreneurship, Innovation, and Business Planning for Pharmacy Programs

entrepreneurship

the extraction of value through the introduction of new products, services, new means of production, or new organizational systems

value of entrepreneurship

difference between the worth of what you are offering customers minus the cost of that offering

intrapreneurship

use of entrepreneurial principles within an existing organization

key characteristics of entrepreneurship

may be entrepreneurial without launching a new business, service, or product → new workflow

key characteristics of intrapreneurship

is an employee of an organization

innovation

type of change where new ideas may lead to changes or breakthroughs that transform practice environments or incremental improvements in existing products, processes, or services; a process of problem solving (does not always look identical)

types of innovation

architectural, incremental, disruptive, or radical

what are the 5 skills of an innovator

• associating

• questioning

• observing

• experimenting

• networking

what is the purpose of “business plan” planning

to determine if the idea merits development of a complete business plan

summary business plan

10,15 pages, for new ventures in the early stages of development to test if investors are interested in the idea

full business plan

25-35 pages, for new ventures who are at the point of needing funding or financing; blueprint of the company’s operations

operational business plan

40-100 pages, meant for an internal audience; tool for creating a new venture’s operations and providing guidance to operational managers

list the typical components of a pharmacy business plan

• define the business/program

• conduct market analysis

• assess clinical and quality requirements

• define processes and operations

• develop a marketing strategy

• develop financial projections

• identify an action plan

• assess critical risks and opportunities

• establish an exit plan

sole proprietor

owned and operated by an individual; least complicated, lowest cost, and fastest to form

general partnership

owned between 2 or more people, offers a low startup cost and is easy to form

corporation

most complex, unique legal entity separating business and personal assets in the event of lawsuits

limited liability company (LLC)

combines the ease of operation like a sole proprietor or partnership with limited liability of a corporation

list typical contents of a pharmacy business plan

• executive summary

• background and description

• market analysis and strategy

• operational structure and processes

• financial projections

• milestones, schedule, and action plan

• critical risks and opportunities

• exit strategy

• conclusion

• supportive documents

identify important aspects of communicating and implementing a business plan

create a written document → the actual business plan

present the business plan orally, as part of a formal decision-making process