Merger Between Two Healthcare Organizations: A Case Study
Some of the key factors that drive mergers between two healthcare organizations are patient services, financial balances. In the case study, PRMC shows high operating cost for low budget which lead them to financial loss for several years (Buchbinder & Shank, 2012). BRM has smaller facilities, more patients are not likely to get full patient services and PRMC is a little bigger, so that means more patients are likely to get most of its patient services. The merging will cause both of these hospitals to provide the best quality care for patients causing less angry patients and law suit.
The issues that merger can face are leadership, lack of communication, human resource management, staffing and benefit issues. Staffs are more interested
with their benefits, in the case of PRMC and BRMC, rules of benefit might be an issue as well general rules. Another issue is staffing, the more staff you have the more money you are losing form the hospital and have less savings. Other issues could also run into such as the codes rules and regulations, these are some of the factors that need to consider (Buchbinder & Shank, 2012).
Disadvantage of this merger is going to raise more competition among Individual that are currently being staffed for the same positions. The process of successful merging require wise consolidation and management, leadership, strong communication between the two institutions (Buchbinder & Shank, 2012) .
References:
Buchbinder, S. B., & Shanks, N. H. (2012). Introduction to health care management (2nd ed). Sudbury, MA: Jones and Bartlett
The issues that merger can face are leadership, lack of communication, human resource management, staffing and benefit issues. Staffs are more interested
with their benefits, in the case of PRMC and BRMC, rules of benefit might be an issue as well general rules. Another issue is staffing, the more staff you have the more money you are losing form the hospital and have less savings. Other issues could also run into such as the codes rules and regulations, these are some of the factors that need to consider (Buchbinder & Shank, 2012).
Disadvantage of this merger is going to raise more competition among Individual that are currently being staffed for the same positions. The process of successful merging require wise consolidation and management, leadership, strong communication between the two institutions (Buchbinder & Shank, 2012) .
References:
Buchbinder, S. B., & Shanks, N. H. (2012). Introduction to health care management (2nd ed). Sudbury, MA: Jones and Bartlett