Essay on Healthcare Utilization

Submitted By barbiek2007
Words: 1035
Pages: 5
Open Document
Stimulation Review
Week 4
HCS/405
Lisa Sanders
September 8, 2012
Katrina Self

Stimulation Review
Analyzing Financial Difficulties
Within the stimulation review of this particular healthcare facility, many difficulties are taking place. The stimulation review asks that capital shortage, funding options for acquiring medical equipment, and evaluating options for capital expansion to be reviewed and based upon the options provided; seek out the best choice for the facility. In reviewing all of the options provided, the team will then decide if the choices made are good cash flows for the facility itself. The choices that must be chosen have to provide improvement within the cash flow as a whole and increase revenue in the near future. After evaluating and deciding what options were best for this facility, the performance was reviewed by highly trained professionals and decided if the options picked affected the hospital more. In the following paragraphs, it will explain why certain options were not the best and which options should have been picked.
Capital Shortage
Capital shortage is the amount of money that needs to be saved and reduced within the facility. The options that was chosen was to reduce agency staffing and then to reduce the length of stay. The loan amount that was selected $1,678,400.00 with an interest rate of 9.00%. This was the lowest interest rate out of the options provide and the facility needed to save as much money as they could. The entire monthly installment was $146,779.00 which took 12 months. In providing this loan amount, it increased the prepayment limitation of 6 months. The outcome of these cost cutting options highly affected the shortage. Reducing the agency staffing was a good choice for the facility because it reduced costs drastically without dipping into the revenue budget. It saved the amount of money on premiums for paid staffing as well as management fees. Reducing the length of stay didn’t change the revenue or expenses. In the amount of time stayed at the facility, ECH brings in money the first two days from patient care. What option that should have been taken into action was to change the skill mix. This meant that if the facility could either combine skills of physician as and nurses then it would save money on certain departments that could be taken out of the facility. Option 2 of the loan repayment was a terrible choice because of the loan prepayment amount. Option 1, would have been the best choice because it had no limitation to prepayment.
Equipment Acquisition
There was a need for three different types of equipment for EHC facility which included high speed CT scanner, x-ray machine and ultrasound system. The first machine which was the high speed CT scanner, the option chosen for this particular machine was operating lease as well as for the x-ray machine. Both equipment leases were based upon a lease that allowed you to lease the equipment while using it. It also had the lowest rate on this particular lease. The ultrasound system was to have a capital lease. This choice was based on a lease that involved takes place from standpoint. This means that from the time the owner or leaser will lease the equipment it is considered to be an asset on the balance sheet. After being reviewed by the performance team, it was considered bad choices for the hospital. The following equipment should have had leases that all operate as assets on the budget. The high speed CT scanner should have had a lease of refurbished equipment loan while the x-ray machine should have had a capital loan which is what brings in the most capital for this particular facility. The ultrasound should have had an operating lease, which is considered to be a short term lease. All of these leases greatly help to increase revenue and increase quality patient care.
Capital Expansion
Capital expansion must affect the stage of growth, which helps the company to grow in investment over time. These
Show More

Related Documents: Essay on Healthcare Utilization

Healthcare Utilization

Health Care Utilization When people are unable to afford their Medical Bills, or even their co-pays or medications, this cause a damper in their life because people can get very sick without their medications or proper treatment. A person can sometimes diagnose and try to treat their own illnesses with the proper symptoms that show. Others may not have symptoms at all, and this will cause people to assume there is nothing wrong, when in fact there may be a lot wrong. Medicaid has been offered…

Words 910 - Pages 4

Critical Analysis Report Essay example

United States has several provisions that help the utilization of primary care outpatient care for the United States population. The idea and reasoning behind these provision and ultimate goal is to improve the health of the population through primary care and this will ultimately improve healthcare costs. The article focuses on studying a health insurance company’s data in understanding the value of outpatient care and if it truly does improve healthcare costs for the employer sponsored plans that were…

Words 1396 - Pages 6

Demographic Variation In Health Care

VARIATION IN HEALTH CARE PRESENTED BY : JOGESHWAR SINGH INTRODUCTION • The US healthcare system is characterized by both productive and allocative inefficiency. • In aggregate, healthcare spending could be lowered by nearly a third without adversely affecting health, while access to care and the quality and safety of care need to be raised to improve population health. • There is considerable variation in health care utilization and spending across geographic areas in the United States, but little evidence…

Words 1108 - Pages 5

Health Reform Paper

Health Care Utilization Paper Brandee Eckford HSC/235 September 22, 2014 Nita Magee-Cornelius Health Care Utilization Health Care Reform is a close first step towards fixing our health care system. From personal debt, bankruptcy, the growing cost of health care bills, treatment, medicine, the US health care system is spiraling out of control. This year the American people will spend approximately 2.8 trillion dollars on health care, and it is being projected that Americans will spend 4.5 trillion…

Words 1059 - Pages 5

Effects Of Consumer Driven Health Care And High Deductible Health Plans

as well as the effects of coverage to overall utilizations of care for both medical treatment and preventive services. Effects of Consumer Driven Health Care and High Deductible Health Plans; Quality, Access and Cost of Care As healthcare costs continue to rise and the fields of medicine and insurance become more complex, it is important to continue to re-examine ways in which users of the healthcare system purchase and consume healthcare services. Society must learn to balance the three-legged…

Words 2224 - Pages 9

Population Trends In Health And Social Care

Population trends are an important aspect in planning, financing, and the delivery of healthcare because they are items that can determine what types of facilities are needed or if a facility is going to make a profit. There are several trends that one would want to look at when determining opening a new facility, adding an addition to a current facility, and the location of where the facility would be most beneficial. Those trends would be population trends, disease and illness trends, fertility…

Words 564 - Pages 3

Economic Issues Simulation Paper

Economic Issues Simulation Paper As a representative of Castor Insurance, the job is to maximize profit and minimize risk for the company. Healthcare is a high in demand good that the consumers of any job wants and needs to have. So it is very important to chose the right kind of healthcare for your employees. The two companeys in question Constructit and E-editors need to choose a well balanced health insurance plan that will work for there group of people.…

Words 1196 - Pages 5

Decision Theory and Ddss Design Essays

Health Services Administration University of Alabama at Birmingham, Birmingham, AL Clinical decision support systems have been promoted as one of the key features of electronic health records most likely to lead to a real transformation in our healthcare system. A major concern, however, is that often these systems are underutilized. Decision support features are often not used and clinicians frequently ignore, override, or fail to seek out suggestions that could improve care. This underutilization…

Words 953 - Pages 4

Family Nurse Practitioners And Web-Based Healthcare Education: Smoking Cessation

Family Nurse Practitioners and Web-Based Healthcare Education: Smoking Cessation Youn Ashley Kim Nova Southeastern University Family Nurse Practitioners and Web-Based Healthcare Education: Smoking Cessation A wide range of web-based healthcare education is freely available and its effectiveness in the dissemination of health knowledge is now recognized worldwide (Cambil-Martín, Flynn, Villaverde-Gutiérrez, 2011). Recently, a large amount of internet-based health…

Words 2016 - Pages 9

S9QA ICD Essay

data;Determining patterns of care among healthcare providers;Analyzing payments for health services;Performing epidemiological studies, clinical trials, & clinical research;Measuring quality, safety, & efficacy of care;Designing payment systems;Setting health policy;Monitoring resource utilization;Implementing operational & strategic plans;Designing healthcare delivery systems;Improving clinical, financial, & administrative performance;Preventing & detecting healthcare fraud and abuse;Tracking public health…

Words 914 - Pages 4