Explain The Challenges In Health Care Reform

THE CHALLENGES IN HEALTH CARE BUSINESS ADMINISTRATION AND EDUCATION

Healthcare Financial Management

Shannon Elizabeth Rosetta #5007159

Florida International University

June 10, 2014

Health Administration is an extensive field serving some of the largest and most essential industry segments in America today. The nature of healthcare organizations requires their administrators and managers to provide the supervision and coordination of all clinical as well as non-clinical employees. Health Administrators are needed to make sure that tasks are carried out in the best possible way to achieve organizational goals and appropriate processes, including making sure financial and human resources are adequate to support the
Due to this decision, many new business models and health care policies will arise for these healthcare organizations. Managers must consider both the internal and external domains as they carry out management functions and tasks. One of the critical areas for managing the external world is to be knowledgeable about the health policy matters under consideration at the state and federal levels that affect health service organizations and healthcare delivery. (Buchbinder & Shanks, 2012) Some other key aspects of the health care reform legislation include the new excise tax for the use of certain medical devices, pre-existing condition insurance plans, Medicaid expansions to cover individuals whose income falls below 150% of the poverty line, as well as the fact that young adults that will still be covered under their parent’s plan are now required to remain covered by insurances companies until the age of 26. As these changes go into effect, the amount of choices that patients have when seeking health care providers will drastically increase. To combat this, health care administrators, as well as schools who are preparing these future administrators will need to identify ways to succeed during a time when consumer choice is at the forefront of
These administrators plan and supervise the delivery of services by doctors, nurses, and technicians. As explained earlier, many Health Administrators may lack the knowledge and understanding of clinical procedures. This is why in many cases; nurses are promoted into Health Care Business Administrator positions. Unfortunately, although these nurses are great asset to their organizations, the majority of nurses lack the formal education required to effectively run or manage a business. Many nurses have also spent years of their lives working directly with patients during face-to-face encounters, and may find themselves in conflict when they are asked to perform duties that are in the best interest for the organization they work for, rather than the patient that is being cared for. Health Care Business Administrators are trained and taught how to engage in effective decision-making in these situations. Health Care Business Administrators learn how to be objective, rather than emotional when dealing with this decision, which is something that nurses may have issues with. Nurses have been trained in areas of patient care, however their training had not been geared towards the operational side of health care. Many nurses lack the skills and education needed to properly manage financing, i.e. cost control, reimbursements, or expenditures for their