University of Phoenix
November 16, 2010
Reporting Practices and Ethics Paper
Reporting Practices and Ethics Paper
In the health care environment financial practices and ethical care finance is very important to produce successfully organizations. In the health care industry and in any business ethical and financial practices are adopted to increase the organization value and consumer confident as well as protected the services or products provide by the organization and maintain the organizations brand name. In the health care industry no patient will want to attend a hospital in which the dead rate is above 50 percentages annually, it will be contradict. In this paper will explain the importance of understanding the financial and ethical practice in the health care industry to avoid fraud and illegal accusations as well as the implementation of the four elements of financial management and the standards of conduct. In the health care industry tough decision are taken every day, the cost of medical services and the economy makes the health care environment challenging for the patients, physicians, policymakers, and society. The health care organizations have a very valuable program that implement code of ethics and best practice concepts, which is used for the interpretation of company transactions, assets, losses, and other accounts as well as financial reports and statements. Although generally accepted accounting principles is a very good procedure that eliminates mismanagement of accounting systems and procedure, correct abuses, and incorporate regulations, it is not require for a company to have but any organization without this financial measures are require to disclose financial information to investors and other public matter for comparison. Organizations must comply with federal, state, local, and administrative regulations. According to Ethical Behavior by Companies Benefit Society and Business (June 13, 2009) ethical practices increases patient confidence and improve the organizations performance as well as protects the prestige of the hospital and the good reputation of the staff. Every organization is requires a code of ethics and mechanisms to address risk management and the clear disclosure of financial practices. Every organization has a compliance code that must fallow according to the Miami Valley Hospital (2010) compliance codes are updated periodically and anyone who does not fallow the Compliance Plan of Conduct can face fatal consequences such as criminal charges or can permanently lose his or her job. Not meeting compliance codes can also affect the organization because can be fine, or face criminal charges losing reputation and prestige. There are four elements of management that helps the organization maintain a control and decision-making of the processes and systems of the hospital. These are elements that contribute to better choices and the steps to achieve the organization goals. Planning: is the ability to manage the functions of an organization and take decisions that will bring good results in the present and the future, of the organization. It is the management decision-making of the goals to develop a good organization. Organizing: this is the management function of gathering and coordinating the different systems and departments to function properly and benefit the financial situation of the organization. Leading: this is the management function that involves the management effort to stimulate the employees and help them perform and make a progress to benefit the patients. Controlling: this is the ability to monitor and follow-up the different systems and procedure to change anything if need it. The four functions of management help the facilities function properly and give the management the opportunity to resolve any issue or obstacle that...