Methodist Hospital Financial Analysis

The health care system consists of all organizations within a community to make it a functional operation. This includes stakeholders, investors, and other financial partners within a health care system. Health care systems cannot provide care for their patients without the financial structure of the organization. The financial structure is truly the core of the organization. The success or failure of a health care system depends on the ability to run a strong financial operation behind the scenes while providing quality care to patient. All three entities for-profit, not-for-profit, and government funding organizations have financial structures that create their organization success or demise.
Financial Structure Methodist Hospital is a private not-for-profit organization that provides medical services to society. One of the largest charitable hospitals in the United States, the financial resources are given and an allowance given in accordance with the hospitals mission. The hospitals financial structure allows excess revenues or expenses for a certain period. Excess revenues are only shown if reserving for implementing new programs, broadening services or for purposes inconsistent with the hospitals mission
Most organizations both For-profit, not-for-profit or government ran organizations adopt holding company structures. Financial management can be a challenging position among the health care industry. There are ways to enhance the financial management positions within a health care organization. Creating managerial incentives plans, such as offering stock options allowing managers to purchase stock within the organization, performance shares are also an incentive for financial managers (Gapenski,