Health Care Trends
Denise Durante
Health Care Trends
HCA 459
Jacqueline McClure
October 11, 2010
The survival of health care industry is going to require some innovative and creative initiatives to with stand the trends of the future in this country. Over the past two decades, American hospitals have experienced dramatic changes in their economic and institutional environments. Government-mandated cost-containment efforts, a shift from cost-based reimbursement to prospective payment, increased control of managed care plans, and advances in medical technology that reduce inpatient care have created enormous pressures on hospitals and have threatened their very survival (Bnet, 1999). This type of transformation has caused many institutions to take a close look at providing services in off-site facilities. This type of service will allow for some of the same services that occur in the main facility to be offered in rural or suburban areas. Of course, providing services away from the main facility require certain regulations and licensure for operation. Other areas that must be monitored for the future survival of health care facilities are the changes in the way that health care is delivered as well as the modification and expansion of information technology. Many organizations are developing new strategic plans, with some based on “mission transforming” strategies and others continuing highly specific missions (i.e., faith-based). “Mission transforming” organizations, usually clinics in more affluent areas and those with direct federal financial support, are expanding service delivery options and are more active in soliciting funding (APHA, 2003). Transforming the way that health care organizations deliver health care will be advantageous in ensuring the survival of their specific facility. Although this may be a new trend in the customary way that health care is traditionally delivered, it serves as an alternative to deliver health care to a community that may otherwise
Health Care Trends
HCA 459
Jacqueline McClure
October 11, 2010
The survival of health care industry is going to require some innovative and creative initiatives to with stand the trends of the future in this country. Over the past two decades, American hospitals have experienced dramatic changes in their economic and institutional environments. Government-mandated cost-containment efforts, a shift from cost-based reimbursement to prospective payment, increased control of managed care plans, and advances in medical technology that reduce inpatient care have created enormous pressures on hospitals and have threatened their very survival (Bnet, 1999). This type of transformation has caused many institutions to take a close look at providing services in off-site facilities. This type of service will allow for some of the same services that occur in the main facility to be offered in rural or suburban areas. Of course, providing services away from the main facility require certain regulations and licensure for operation. Other areas that must be monitored for the future survival of health care facilities are the changes in the way that health care is delivered as well as the modification and expansion of information technology. Many organizations are developing new strategic plans, with some based on “mission transforming” strategies and others continuing highly specific missions (i.e., faith-based). “Mission transforming” organizations, usually clinics in more affluent areas and those with direct federal financial support, are expanding service delivery options and are more active in soliciting funding (APHA, 2003). Transforming the way that health care organizations deliver health care will be advantageous in ensuring the survival of their specific facility. Although this may be a new trend in the customary way that health care is traditionally delivered, it serves as an alternative to deliver health care to a community that may otherwise