Gapenski’s cases in healthcare finance case 24

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Introduction: As a medical professor responsible for creating assignments and providing feedback to medical college students, it is essential to have a comprehensive understanding of key management issues presented in healthcare finance cases. In this scenario, the task is to prepare a PowerPoint presentation and supporting Excel workbook that identifies the issues, develops an analysis of the problem and formulates recommendations for Gapenski’s cases in healthcare finance case 24.

Answer:

The case presents several key management issues that need immediate attention. The case revolves around a medical center that is facing financial difficulties and struggling to cope with the increasing demand for medical services. The primary issues presented in the case are:

1. Increasing Costs: The medical center is facing rapidly increasing costs with little control over them. These costs are largely driven by high staffing levels, high salaries, increasing healthcare expenses, and medical equipment costs.

2. Revenue Loss: Due to high competition from nearby hospitals and healthcare centers, the medical center is losing patients, resulting in declining revenues. This is further compounded by insurance providers who are refusing to cover certain procedures and services, leading to significant revenue losses.

3. Management and Leadership Issues: The case also highlights leadership and management issues in the medical center. The lack of effective decision-making and coordination among departments is leading to ineffective resource allocation and management.

To address these issues, an analysis of the financial and operational performance of the medical center is crucial. This can be achieved through a comprehensive financial analysis, including a review of revenue streams, cost structures, and budgetary control. This will help identify areas where improvement is needed, enabling the medical center to develop strategic interventions to reduce costs and increase revenue.

Additionally, the medical center should implement innovative strategies to improve the patient experience, such as investing in advanced medical technologies, improving communication and collaboration among staff and departments, and strengthening its marketing efforts to attract new patients.

In conclusion, the medical center must adopt a proactive approach to manage its financial and operational performance. A comprehensive analysis of its financials and operations, coupled with the implementation of innovative strategies, is essential in addressing the key management issues presented in the case.