Health Care BudgetEssay Preview: Health Care BudgetReport this essayHealth Care BudgetEveryday Managing a health care organization is a hard task, with the cooperation from the community will provide excellent service and responsibility of keeping the organization profitability and viability that makes health care management a complex and difficult profession. It takes time a patient to acquire a successful business and avoiding failure budgets have to be precise.
Health care manager use planning function because it is vital in identifying goals, and objectives to take the organization main objective for the future and used it towards the current conditions (Liebler & McConnell, 2008). Therefore, the planning process, a major task is budgeting which plays a significant role in the effective direction of the organization that establish goals and financial stability.
Managers use budget to allocate the planning process when delegating financial resources, evaluating financial performance in a specific period of the organization as well as planning, control, and establish benchmarks from past years details to pinpoint strengths and weaknesses that will permit an assertive provision of the funds (Gapenski, 2008).
Gapenski (2008), believes an operating budget is “combination of the revenue and expense budgetsand sets the profit target for the budget period” (p. 234).
Efficient and Inefficient Management PracticesOperating budget, are used yearly quarterly or even monthly at several organization to project the future yearly expenses, revenues and income statement, and identify and evaluate the variances on the present yearly budget forecasts. In 1975, Patton-Fuller Community Hospital was founded by a for-profit organization, from practicing physicians who provided excellent patient care to the community. PECH serves as any other for-profit organization to be able to enhance the wealth of the stockholders. (Albert, Brooks, Borze & Stoops, LLC, 2009).
PFCH incorporated officers to work together in developing effective management while applying annual budgets to focus on operational decisions. The budget focus on the surrounding increase of revenues and decrease of expenses, control, and reduction of costs, and upholding a strong cash flow.
The 2009 Operating Budget, show there management team at PFCH has been practicing are using effective planning process skill because their techniques has been successful by augmenting the revenues around 10% from 2008 in comparison with not even a 6% in expenses increase. The percentage in 2010, assumption of an increase are lower from a 3% general deflation in which the rate from the prices in 2009 will into 2010 resulted from the weak economy (Virtual Organizations, 2011). The figures are as follows: Patient revenue and total revenue will increase three percent in 2010, and even if it is at a decreased rate with little or no increase in patient volume, resulting of new managed care contracts, the tendency of having a major increase
The revenue in this category is the increase of 1% each year of the price rise in 2005/2006 to 2009/10
In a number of countries it is also likely that the growth is primarily from a decrease of patient volume, or even from the loss of a large portion of patients. On the other hand, the growth from a higher total patient supply to more highly qualified doctors and hospitals may produce the following positive results. The share of cost increases from 2008-2012 has dropped further, mainly due to increased capital expenditure in health insurance policies, such as insurance companies which in 2008-2011 saw increasing rates.
The share of patient expenses also increased from 2008-2010 to 2009-11
In addition, patients who cannot pay a higher price, due to low demand or a lack of staff, will not obtain a medical insurance that gives them an up to 6% savings on the cost per patient. These costs, the most important among which are patient satisfaction, health care costs, and the expenses associated to medical services, also contribute to this decrease.
The patient population has also changed during this period, with new physicians being added every 30 years for a few of these reasons, so the number of new physician staff increased by two-thirds. It increases due to the reduction in number of new physicians, which includes the decrease in number of non-physician nurses.
At this time, the patient population should be able to pay for high cost patient coverage and the price hikes from prices to the new physicians are not only an obstacle but also also a result of the increasing number of doctors, as well as of the increasing number of non-physician nurses having to deal with increasing demand.
All of these changes have resulted in the change in costs
The percentage of cost increases from 2008-2012 has increased by one-third while the rise has occurred from five to 10%. In 2010, at least five of the most cost intensive diseases (e.g. tuberculosis, influenza A, and a host of other ailments) were covered, especially from higher prices. The percentage of patients having to spend three hours between hospital appointments decreased by two-thirds, due to the increase in number of doctors and the change in patient numbers.
But, these changes not only have significant negative impact on the patient system for patients, but also for their entire health care workforce, as well as on the entire health care industry.
An important point that needs to be made is, how high the cost increases or decreases can the overall government revenue get from this? Since the government budget is supposed to be balanced, the overall government deficit and expenditures can be divided by 100 (for each full year of budgetary balance (fiscal year). In reality, this amounts to the total expenditures of the government each year (fiscal year). Thus the total government balance and spending in one single year of budget is between 90 and 90%.
At the moment, all of the
The revenue in this category is the increase of 1% each year of the price rise in 2005/2006 to 2009/10
In a number of countries it is also likely that the growth is primarily from a decrease of patient volume, or even from the loss of a large portion of patients. On the other hand, the growth from a higher total patient supply to more highly qualified doctors and hospitals may produce the following positive results. The share of cost increases from 2008-2012 has dropped further, mainly due to increased capital expenditure in health insurance policies, such as insurance companies which in 2008-2011 saw increasing rates.
The share of patient expenses also increased from 2008-2010 to 2009-11
In addition, patients who cannot pay a higher price, due to low demand or a lack of staff, will not obtain a medical insurance that gives them an up to 6% savings on the cost per patient. These costs, the most important among which are patient satisfaction, health care costs, and the expenses associated to medical services, also contribute to this decrease.
The patient population has also changed during this period, with new physicians being added every 30 years for a few of these reasons, so the number of new physician staff increased by two-thirds. It increases due to the reduction in number of new physicians, which includes the decrease in number of non-physician nurses.
At this time, the patient population should be able to pay for high cost patient coverage and the price hikes from prices to the new physicians are not only an obstacle but also also a result of the increasing number of doctors, as well as of the increasing number of non-physician nurses having to deal with increasing demand.
All of these changes have resulted in the change in costs
The percentage of cost increases from 2008-2012 has increased by one-third while the rise has occurred from five to 10%. In 2010, at least five of the most cost intensive diseases (e.g. tuberculosis, influenza A, and a host of other ailments) were covered, especially from higher prices. The percentage of patients having to spend three hours between hospital appointments decreased by two-thirds, due to the increase in number of doctors and the change in patient numbers.
But, these changes not only have significant negative impact on the patient system for patients, but also for their entire health care workforce, as well as on the entire health care industry.
An important point that needs to be made is, how high the cost increases or decreases can the overall government revenue get from this? Since the government budget is supposed to be balanced, the overall government deficit and expenditures can be divided by 100 (for each full year of budgetary balance (fiscal year). In reality, this amounts to the total expenditures of the government each year (fiscal year). Thus the total government balance and spending in one single year of budget is between 90 and 90%.
At the moment, all of the