Questions:
For this assignment, select a healthcare organization in the Upstate of South Carolina.
Prepare a comprehensive presentation to share with fellow employees, senior leadership, and potentially your patients that distinguishes your firm from the competition. Explain how your organization is remaining competitive. Articulate how quality service is being maintained for both medical providers and patients.
Your presentation must focus on healthcare concepts, financial analysis, and decision-making concepts that were presented in this course (e.g., accounting information, billing and coding, pricing and revenue determination with third parties, healthcare accounting terminology, comparative financial and operating benchmark values, cost finding and break-even analysis, working capital management, and budgeting). Provide detailed examples to support your findings.
Incorporate appropriate transitions, and graphics as well as speaker notes for each slide. The speaker notes may be comprised of brief paragraphs or bulleted lists.
Support your presentation with at least five scholarly resources. In addition to these specified resources, other appropriate scholarly resources may be included.
Length: 15-20 slides (with a separate reference slide)
Notes Length: 150-200 words for each slide
Be sure to include citations for quotations and paraphrases with references in APA format and style where appropriate. Save the file as PPT
Answers:
Concepts of healthcare:
Healthcare is one of the most important industries in the world, which caters to the requirements of various people around the world, from the needy to rich. It encompasses the prevention as well as the necessary treatment of all the diseases, plaguing mankind. There are a range of concepts with the topic of healthcare, some of which are:
- Chronic disease: It refers to disease, illness, or any similar condition which increases the risk of long term disability, handicap, or death. Its occurrence and severity might vary from time to time (Bohren et al., 2015)
- Accessibility: It refers to that aspect of health services or health facilities which increases the health capabilities of people by reaching any health care expert, in terms of ease of location, time, and approach (Craglia& Maheswaran, 2016).
- Population health: It is not merely the summation of the health of individuals; it also includes the deliberation of the kind of the circulation of health systems across the population.
- Primary care: It refers to that aspect of any health service system which promises a person due care over time to a well-defined population, availability of basic healthcare prior to providing advanced or any kind of secondary health support.
Competitor Analysis:
Residents of South Carolina receive most of the healthcare services from the South Carolina Department of Healthcare and Human Services, Palmetto Health and from Greenville health Systems. Most of the healthcare services in the area is distributed and provided by these main three. They cater to the healthcare as well as health related demands of the South Carolina residents. The South Carolina Dept. of Health and Human Services chiefly looks after the health insurance and other health related matters. Palmetto and Greenville mainly look after various kinds of diseases and has separate functional areas of health such as breast care, Geriatrics, Musculoskeletal, Neuroscience, Orthopaedics and many others. Due to the interference of the government, in the form of the South Carolina Dept. of Health and Human services, the monopoly of Palmetto and Greenville is kept in check, ensuring the overall welfare of the residents of South Carolina.
Quality of Services for Medical Provider:
The Medical Providers at Palmetto Medical Group are dedicated to providing its patients with the utmost quality of healthcare services. Recently, the company has also launched a program named ChartSpan for its Medicare patients which round the clock healthcare services. ChartSpan is an extension of their office. This is just a tiny glimpse of the quality of services provided by Palmetto to its patients (Palmetto Health Richland, 2018). The medical team and the medical practitioners provide top notch medicine related services, with the intention of ensuring maximum benefit to the patients. Along with this, it also provides the following:
- 24/7 support services of medical experts.
- Assistance in managing the appointments and prescriptions of the patients.
- Hassle-free organisation of the medical records of the patients.
Quality of Services for Patients
Palmetto Health Richland is dedicated in improving the physical, emotional as well as the spiritual health of all individuals and communities which are being served by them. It aims in providing due care with fineness and concern, and ensures in working with persons who share their fundamental commitment which is the improvement of the human condition. At Palmetto Health, top quality services for patients and their doctors are persistently followed. The company’s commitment towards community health and well-being leads the way the company, its services, partnerships and investments are done (Palmetto Health, 2018). Palmetto’s health care professionals, employees and helpers are appreciated and acknowledged for their exceptional contributions. This helps in providing top notch round the clock services to its patients. This makes the company; one of the most followed one in the region of South Carolina.
Financial Analysis
As per the annual report of Palmetto Health shows that the business is committed towards improving the financial performance of the business and thereby follows the policy of provide a 10% return to the community on the annual bottom line. In addition to this, the management is committed towards innovative approaches for the purpose of improving the financial performance of the business (Cucchiella, D’Adamo & Gastaldi, 2015). The annual report of the company specifies that the business has efficiently invested in the healthcare services which are offered by the business over the 20 years of service which the business has provided. The financial performance of Palmetto Health has improved over the years which is also due to the various services which are offered by the business.
Accounting Information
The main form of the accounting information is seen to be maintained as per the standards which are shown in form of the US GAAP. It needs to be also discerned that the company has been able to maintain the specific information which are seen to be based on the several types of the information as per the accounting of the various figures. These are depicted in terms of the cost for the disease prevention outcomes and diagnosis costs. As per the annual report published by the company in 2017 it can be also discerned that the company had been relying its operations as per the various types of the consideration which are seen to be related to the factors as per the smoking cessation program outcomes. These costs are depicted to be considered as per the number of smoking cessation program participants, patients who have completed the program and the total percentage of the individuals who have quit smoking (Dunham-Taylor, 2014).
Billing and Coding
The billing and coding aspect of the company is depicted to be performed in terms of the maintaining the information in the ERP system. This information is seen to be based on the storing the linking of the information in the among different departments in the ERP software. These linking of the software are seen to be based on the linking of the financial department with the material management and sales and distribution. The generation of the purchase order is further seen to be depicted as per MIGO and MIRO functions. In addition to this, the billing of the healthcare system is depicted to include the fees of the patients, cost of the equipment’s, diagnosis charge and fees of various types of the treatment of the disease (Thorpe, Allen & Joski, 2016).
Pricing
The main aspect of the pricing factor is depicted in terms of the relating the various nature of the information with the industry standards. In addition to this, the significant nature of the information has been further depicted with the pricing of the services which are relevant to the expenses for the treatment. It needs to be also discerned that the all the various types pricing decisions of the company are also considered with the cost of the insurance (Vagnoni, 2017). It has been seen that in general the determining factor for the pricing decisions are seen to be depicted with the various types of the factors which are based on the comparison of the pricing decisions with the other countries. In general, administrative costs and the high per capital income are related to driving down of the prices and rate of economic growth in the country, these factors are duly considered by the company. It has been seen that in general there has been several factors which have led to the increasing trend of the prices (Bertoni et al., 2016).
Revenue Determination with Third Parties
The third-party account determination is also based on maintaining the data in the various types of the ERP integration. This information is seen to be stored and maintained as per the G/L account determination. Some of the ether types of the inclusion of the information are also seen to be depicted in terms of the extracting the information as per the sales revenue generated by the health care centre. Some of the various types of the other factors for relating the appropriate information with the third parties are based on associating the relevant data as per the financial information taken from the vendors. The revenue information is further gathered in terms of the details of the sales revenues which are taken in form of the information which are gathered in form components of the healthcare industry (Araujo et al., 2018).
Healthcare Accounting Terminology
The accounting terminology is determined in terms of the accommodation of the recording of the transactions which are related to the specific amounts and the full or partial payment for the promise to provide accommodations in terms of the remainder. The information of the account is seen to include the evidence as per the accountability. This information is seen with the obligation of the agent and employees and the person are seen to include the information which are satisfactory with the financial character and depiction of the financial information. Some of the various types of the other information are further seen with the accounting manual, accounting period, accounting policy and accounting principles. The method of the accounting information is further based on the accrued depreciation method, accrued expenses and accrued liability (Buckmaster & Mouritsen, 2017).
Comparative Financial Benchmark
The financial benchmarking of the business of Palmetto Health can be done with the close rival of the company which is Greenville Health System. Both the companies are engaged in same industry and therefore can be compared easily. Benchmarking is a tool of strategic management which allows the management of a company to effectively compare the performance of one’s company in comparison to another closely related company (Breen, 2013). As per the financial information which is retrieved from the annual reports of Palmetto Health, it is clear that the major source of income for the companies is through the donations which the business receives from clients and there are also the revenues which the business receives from the customers or patients of the company. On the other hand, the annual reports of the Greenville Health system show similar outcomes but the financial performance of Greenville Health System is better. Thus, the management of Palmetto Health needs to benchmark Greenville Health System so that the financial performance of the company can improve.
Operating Benchmarking
This refers to the benchmarking of the operational activities of the business of Greenville which the business of Palmetto Health can incorporate. This is done in order to improve the operational processes and structure of the business (Bichou, 2013). As per the analysis of the operational activities of both the companies which are taken into consideration, the services which are provided by both the companies are more or less similar. The management of Palmetto Health needs to take the positives which can be taken from the operational structure of Greenville Health System. The incorporation of appropriate policies of Greenville Health system which are related to operational structure can bring about significant improvements in the operational structure and management of the business.
Costing Finding
The cost finding of the business is a process which is used for the purpose estimating the costs which are associated with the business. The overall costs of the business are associated with the operational activities of the business. The major cost of the company is related to the wages which the business pays to the medical personnel of the business. The other major expenses of the business are related to the medical activities which the business undertake. The major costs which the business has shown in the annual reports of the company.
Breakeven Analysis
The breakeven analysis of any company shows the minimum amount of revenue which the business needs to earn in order to continue the operations of the business. The breakeven analysis reveals to the business the no profit or loss situation in the business (Farber, 2014). The analysis of breakeven analysis of the business considered the fixed costs of the business. The breakeven analysis which is computed is on the basis of assumed financial data which is based on the services and their respective values which the business receives. The analysis is also accompanied by a graph which represents the breakeven analysis for the company.
Working Capital Management
As per the financial information which is obtained from the annual reports of the company, the management of the Palmetto Health is financed mainly with the donations which the business receives from different clients and governmental agencies. The management of the company also makes use of the money which the business receives from the patients as fees for various services which are provided by the business. In addition to this, the annual report of the company also shows that the business also utilizes debts capital as a source of capital for the purpose of financing the activities of the business (Enqvist, Graham & Nikkinen, 2014). The capital structure of the company is made up of retained earnings and the surplus which the business is able to generate from the operations of the business and also from debt and short-term borrowings which are taken by the business for the smooth operations of the business.
Budget
References
Araujo, L., La Rocca, A., & Hoholm, T. (2018). Reconfiguring the Relation Between Primary and Secondary Healthcare Through Policy Instruments. In Controversies in Healthcare Innovation (pp. 161-184). Palgrave Macmillan, London.
Bertoni, M., De Rosa, B., Rebelli, A., & Zanconati, F. (2016). An analysis of advanced cost accounting techniques in healthcare activities.
Bichou, K. (2013). An empirical study of the impacts of operating and market conditions on container-port efficiency and benchmarking. Research in Transportation Economics, 42(1), 28-37.
Bichou, K. (2013). An empirical study of the impacts of operating and market conditions on container-port efficiency and benchmarking. Research in Transportation Economics, 42(1), 28-37.
Breen, O. B. (2013). The disclosure panacea: a comparative perspective on charity financial reporting. Voluntas: International Journal of Voluntary and Nonprofit Organizations, 24(3), 852-880.
Breen, O. B. (2013). The disclosure panacea: a comparative perspective on charity financial reporting. Voluntas: International Journal of Voluntary and Nonprofit Organizations, 24(3), 852-880.
Buckmaster, N., & Mouritsen, J. (2017). Benchmarking and Learning in Public Healthcare: Properties and Effects. Australian Accounting Review, 27(3), 232-247.
Cucchiella, F., D’Adamo, I., & Gastaldi, M. (2015). Financial analysis for investment and policy decisions in the renewable energy sector. Clean Technologies and Environmental Policy, 17(4), 887-904.
Cucchiella, F., D’Adamo, I., & Gastaldi, M. (2015). Financial analysis for investment and policy decisions in the renewable energy sector. Clean Technologies and Environmental Policy, 17(4), 887-904.
Dunham-Taylor, J. (2014). Financial Management for Nurse Managers-Merging the Heart with the Dollar. Jones & Bartlett Publishers.
Enqvist, J., Graham, M., & Nikkinen, J. (2014). The impact of working capital management on firm profitability in different business cycles: Evidence from Finland. Research in International Business and Finance, 32, 36-49.
Enqvist, J., Graham, M., & Nikkinen, J. (2014). The impact of working capital management on firm profitability in different business cycles: Evidence from Finland. Research in International Business and Finance, 32, 36-49.
Farber, D. A. (2014). Breaking Bad: The Uneasy Case for Regulatory Breakeven Analysis. Cal. L. Rev., 102, 1469.
Farber, D. A. (2014). Breaking Bad: The Uneasy Case for Regulatory Breakeven Analysis. Cal. L. Rev., 102, 1469.
Thorpe, K. E., Allen, L., & Joski, P. (2016). Authors’ Reply to Gandjour:“The Role of Chronic Disease, Obesity, and Improved Treatment and Detection in Accounting for the Rise in Healthcare Spending Between 1987 and 2011”. Applied health economics and health policy, 14(2), 243-243.
Vagnoni, E. (2017). Intellectual Capital in the Healthcare organizations’ context: does it matter?. Routledge Companions in Business, Management and Accounting, 39-55.
