Advantages and Disadvantages of Joining Healthcare Organizations

The assignment content discusses the advantages and disadvantages of joining a healthcare organization, such as a regional medical center, medical alliance, or group of nursing homes. The study highlights that nonprofit hospitals have many opportunities in the 21st century, including reducing cases, patient monitoring costs, readmissions, legal liability, and improving patient satisfaction. Furthermore, it discusses the merits and demerits of healthcare systems in today's scenarios, mentioning challenges faced by nonprofit hospitals due to technological advancements and funding issues.

Running Head: HEALTHCARE FINANCE PROJECT 1
Healthcare Finance Project:
Analysis of Health Care Environment
Name of the Student:
Name of the University:
Course Number:

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Table of Contents
A. The issues and trends in the healthcare environment that may affect the financial..............3
Success of nonprofit hospitals.........................................................................................................3
Introduction......................................................................................................................................3
Discussion........................................................................................................................................3
Analysis of Health Care Environment.............................................................................................3
Healthcare challenges and trends.................................................................................................3
Challenges that are affecting the success of the nonprofit hospitals...........................................5
B: Financial threats and opportunities a nonprofit hospital faces in the 21st century.....................6
Introduction......................................................................................................................................6
Discussion........................................................................................................................................6
Challenges....................................................................................................................................6
Opportunities...............................................................................................................................8
C: Advantages and disadvantages for joining the healthcare organization, such as, regional
medical center, medical alliance or group of nursing home............................................................9
Introduction......................................................................................................................................9

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Discussion........................................................................................................................................9
Advantages..................................................................................................................................9
Disadvantages............................................................................................................................10
Conclusion.....................................................................................................................................11
References......................................................................................................................................12

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A. The issues and trends in the healthcare environment that may affect the financial
Success of nonprofit hospitals
Introduction
The entire report will revolve around the possible issues and trends that are affecting the
financial success of the nonprofit hospitals to a great extent. In the recent times it has been
observed that the nonprofit hospitals were mainly formed with an intention to serve the people
free of cost who do not have required money for getting themselves treated but unfortunately the
most of the nonprofit hospitals are facing challenges on a daily basis. The above-mentioned
challenges are mainly in form of managing the endowment funds efficiently, raising required
money, appointing volunteer labor and searching the donation of goods.
Discussion
Analysis of Health Care Environment
It has been already said that there are some of the trends and issues in the environment of
the healthcare is greatly affecting the financial success with regards to the nonprofit hospitals.
Healthcare challenges and trends
Globally it has been greatly noticed that all of the health economies are facing more or
less the same challenges. Furthermore, the entrance of customer technology is giving a lot of
challenges to the healthcare hospitals. Firstly, it has been noticed that there is a increasing in
demand with regards to the healthcare delivery hospitals and it is the phenomenon that is taking

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place in each and every country across the globe. However, people are living much longer than
they used to live in the earlier times due to the advancement of technology in the healthcare
segment (Brookhart, Stürmer, Glynn, Rassen, & Schneeweiss, 2010). On the other hand, the
people are not only living longer but they are also living with a lot of chronic diseases. The
countries with a large number of clinicians need to strongly address in taking the graduates into
the medical schools and it is mostly failing in a lot of countries. Moreover, it has been witnessed
that the challenge is not at all limited to the doctors only as the enrollment in the nursing colleges
has also collapsed in some of the countries across the globe. For a well-run health system it is an
absolute necessity to make sure that the staffs are properly trained as well as equipped and doing
the correct tasks with regards to their skills and training. It also reveals an ethical challenge as
some of the countries try to recruit the nurses and doctors for filling up the gap from the other
countries by keeping out those societies of the professionals related to the healthcare (Au, Liang,
Liu, Lu, & Ning, 2018). Secondly, quality also plays an important role for the healthcare
hospitals especially for the non-profit hospitals. In the current times, the patients have begun to
exercise in terms of with whom they will be involved in the healthcare hospitals and their right to
choose the services. The patients also highly demand the transparency of the processes and data
in the hospitals. Throwing light on the above-mentioned discussion it can be said that some of
the healthcare hospitals are lagging behind in this segment and they are struggling a lot in terms
of proving high-quality services so that their patients will be benefitted to a great extent.
Arguably, it has been also noticed that there are a lot of hospital acquired infections to the
patients, wrong surgery, medication errors and also other human related errors that has increased
(Frith, 2018).

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The global healthcare trends in the recent times are as follows: there is a rise of the social
media and informed patients. In the recent times, the patients are becoming more and more
informed day by day because the healthcare hospitals are also quite active currently in the social
media. Secondly, the healthcare hospitals are also working as a network by being the part of the
communities and all of the communities are facing some kind of either disease or the
demographic challenges (Fingerhut & Abdou, 2017).
Challenges that are affecting the success of the nonprofit hospitals
There are a large number of challenges that are generally faced by the nonprofit hospitals
in the current time that is affecting their financial health to a great extent. Firstly, the healthcare
providers are struggling with the public program reimbursement rates and insurance
reimbursement rates but the nonprofit hospitals are struggling hard in this platform (Cleverley,
2017). It is already known that the nonprofit organization often tend to work with the uninsured
or the low-reimbursing government assistance benefits for instance the Medicaid. It has been
also noticed that the profit-providers and the private providers tend to move away the patients
that do not compensate well and in this particular scenario there are many nonprofit hospitals
who struggle and strive to work with everyone around them on a smoothly basis. Throwing light
on the above-mentioned segment it can be said that making the above-mentioned scenario work
is a financial challenge for the nonprofit hospitals (Thakur, Hsu, & Fontenot, 2012). Secondly,
the technological advancement is also taking place in the entire healthcare industry in a rapid
way. Therefore, there are some of the funding related issues that are already faced by the
nonprofit hospitals which is making harder for them to use the technological advancements like
the private hospitals. Thirdly, the outdated MRI and CT scan machines also have a direct effect
on the financial health of the nonprofit hospitals as the energy used by them are lot more. Hence,

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a lot of electricity is consumed in the process and in this segment the nonprofit hospitals have to
indulge a lot of money in this segment. Lastly, it has been also observed that most of the
nonprofit hospitals are unable to cater the needs of the poor people who are suffering a lot as
they are unable to provide the quality of services to these people that are also one of the
prominent reasons why the financial health of the nonprofit organization is suffering a lot
(Saxton, Kuo, & Ho, 2012)
B: Financial threats and opportunities a nonprofit hospital faces in the 21st century
Introduction
This particular report will be discussing about the possible threats and the financial
opportunities that a nonprofit hospital faces in the recent rimes. It is greatly observed and also
witnessed that the nonprofit hospitals plays an important role in benefiting the communities and
people across the globe. The main mission and the vision of nonprofit hospitals mainly revolve
around providing the societal benefits to a great extent. However, the nonprofit hospitals are
getting quite successful for raising funds that is acting as one of their main financial
opportunities. On the other hand, in the 21st century the nonprofit hospitals are also facing a lot
of possible threats that will be discussed briefly in this entire report.
Discussion
Challenges
There are a lot of challenges that the nonprofit hospitals are dealing with in the recent
times. Firstly, there are new insurance exchanges that are one of the main parts of the entire

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nonprofit hospitals but this scheme has also its potential downsides that are highly threatening
the hospitals. There are a large number of the nonprofit hospitals who have said that there are
some of the people who are signing up for the coverage via the marketplace will select high-
deductible plans that will shift the healthcare cost more into the patient and it is correspondent
with an increase in bad debts for the nonprofit hospitals (Saxton, Kuo, & Ho, 2012). Secondly,
the nonprofit hospitals are suffering from the financial threats and challenges because due to the
shifting taking place in the private as well as in the private sector may cut back the services that
are quite less profitable in nature or even the services that goes out of the business. In the above-
mentioned scenario it can be said that the nonprofit hospital tends to reduce their community
benefits at an alarming rate because they suddenly stops giving the emergency psychiatric care.
The financing part of the nonprofit hospitals gets more challenging as they may not afford to
offer the services even if they are willing to give even though it is needed by the community. It
has been also witnessed that most of the nonprofit organizations do not tend to raise the prices
and they tend to respond to the financial crisis by cutting the services that are unprofitable in
nature for compensating the losses that can in return have an impact on the communities that
these hospitals serve. Thirdly, in the recent times it has been also observed that most of the
nonprofit hospitals are using some of the security devices and it has become one of the main
concerns for them. The nonprofit hospitals are having a lot of cyber threats in this 21st century
that can in return cause serious breaches of the security. Furthermore, along with the cyber
threats nonprofit hospitals are also facing the serious healthcare security threats in this the
employees working in such hospitals can play a vital part in breaching the security.

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Opportunities
The opportunities the nonprofit hospitals faces in the 21st century will be discussed in the
below segment. Firstly, it has been witnessed in the recent time that the obesity is growing day
by day and it is also a serious concern for the people all across the globe. There are a lot of
private hospitals that are failing to address obesity in effective manner but the nonprofit hospitals
are getting the opportunity to positioning them uniquely for providing the community benefit
programmers. In the U.S. obesity is increasing at an alarming rate but there is hardly any kind of
effective of efficient community-based programmes so there is an opportunity for the nonprofit
hospitals for adding to the ongoing evidence-base of efficient obesity programs and advance the
communication on the efficient strategies for reducing the obesity in the people. Secondly, the
nonprofit hospitals also have the opportunity to improve the pain control it will in return provide
some of the economic benefits such as, the patients will be discharged soon than they were
discharged in the earlier times, the patient satisfaction will also be improved, the treatment costs
for the chronic pain will be reduced and the legal liability will also be reduced (Pennel,
McLeroy, Burdine, & Matarrita-Cascante, 2015). Thirdly, the nonprofit hospitals also have an
opportunity in the 21st century is to reduce complications with regards to pain medication this
method also provides some of the economic benefits such as, oin this case also the patients from
the hospitals will be discharged earlier, the treatment of the complicated cases will also be
reduced to a great extent, patient monitoring costs will also be reduced, the costs related to the
patient readmissions will be reduced to a great extent, the legal liability will be reduced and the
patient satisfaction in nonprofit hospitals will be improved more than it was earlier. Lastly, the
nonprofit hospitals also have a bright opportunity for bringing the intelligence because the

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nonprofit hospitals are moving into the phase of the customers more and more (Bazzoli, Fareed,
& Waters, 2014)
C: Advantages and disadvantages for joining the healthcare organization, such as, regional
medical center, medical alliance or group of nursing home.
Introduction
This study is focussing on the advantage as well as the disadvantages for working in healthcare
organization like in any regional medical center or in medical alliance as well as the group of
nursing home. For this it is important to know the quality assrance from those organization.
Today, the healthcare associations have represented the collection of the professionals who are
found to work for a common goal for the purpose of promotion as well as for improving the
medical profession which will be associated with.
Discussion
Advantages
1. Networking: It has been noticed that there are some associations who are willing to
provide the unparalled networking opportunities wnd that allows the individuals for
connecting with their peers, mentors or with other industry leaders. As per the memmer
of the association, the person can held an unique position for attending the conventions,
seminars or the award dinners which will be related with the events like the professionals

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in that field. That events are thus attended with britest minds together with this they have
hotbed ideas as well as the collaborative efforts.
2. Education: This field of medicine includes the state of change with the change of time.
The healthcare professionals thus will keep up the newest developments which has the
scientific breakthrough along with their associations’, like, CME courses, seminars, other
journals as well as some other opportunities of education, such as the certification courses
etc.
3. Jobs: It is always considered that healthcare associations in any country is the great
places for finding the latest jobs for the individuals.
4. Intrinsic Value: This associations are found for searching the need of new talents for
helping the organisations for conducting the annual meetings, legislative committes along
with the workshops or the CME courses. For receiving the membership benefits it is very
needed to engage with the association (Santomarco, 2015).
Disadvantages
1. Fees: It is observed that in most of the healthcare services there is an urgent annual need
of payment is required and sometimes it is much higher like $100. In some where there
are state as well as national associations for several professional organizations, like
Certified Public Accountant or the CPA soceity etc.
2. Time: There is some significanr differences between the national healthcare assoication
with the state association. As in national there is one annual meeting but in case of state
there is monthly meeting. However the importance or the duration of the meeting is,

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every person has own time which has some value. So, any one who are associates with
more number of organisations they may face the meeting in weekly basis (Jackson,
2018).
Conclusion
The study revolved around the main matter that is possible issues and trends that are affecting the
financial success of the nonprofit hospitals. It has been noticed that the technological
advancement is one of the most prominent trends in the hospital industry in the recent year in
this situation the nonprofit hospitals are struggling a lot for including proper machineries for
their patients as it needs huge amount of money and in terms of funding they are lagging behind.
In second part of the study, the opportunities and the challenges that the nonprofit hospitals have
in the 21st century has been discussed. It has been witnessed more than the challenges the
nonprofit hospitals have opportunities in the 21st century. It can be said that if the nonprofit
hospitals can utilize the possible opportunities in the present time in an effective manner then
they will be able to provide better service to the people and the community to a great extent. On
the other hand, the nonprofit hospitals also need to work effectively on their possible threats so
that the community will not be deprived from their services.
In the last not the least para of this study, there are a little discussion on the merits and demerits
of the HealthCare systems in today’s scenarios.

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References
Au, M. H., Liang, K., Liu, J. K., Lu, R., & Ning, J. (2018). Privacy-preserving personal data
operation on mobile cloud—Chances and challenges over advanced persistent threat. .
Future Generation Computer Systems,, 337-349.
Bazzoli, G. J., Fareed, N., & Waters, T. M. (2014). Hospital financial performance in the recent
recession and implications for institutions that remain financially weak. Health Affairs,
739-745.
Brookhart, M. A., Stürmer, T., Glynn, R. J., Rassen, J., & Schneeweiss, S. (2010). Confounding
control in healthcare database research: challenges and potential approaches. . Medical
care, S114.
Cleverley, W. O. (2017). Essentials of health care finance. New York: Jones & Bartlett
Learning.
Fingerhut, A. W., & Abdou, C. M. (2017). The role of healthcare stereotype threat and social
identity threat in LGB health disparities. . Journal of Social Issues., 493-507.
Frith, L. (2018). A solution to the challenges of markets in healthcare? Marketisation, Ethics and
Healthcare: Policy, Practice and Moral Formation., 67-307.
Jackson, M. (2018). Benefits & Disadvantages of Managed Health Care. Retrieved from
https://pocketsense.com/: https://pocketsense.com/benefits-disadvantages-managed-
health-care-9704.html

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Pennel, C. L., McLeroy, K. R., Burdine, J. N., & Matarrita-Cascante, D. (2015). Nonprofit
hospitals’ approach to community health needs assessment. American journal of public
health, e103-e113.
Santomarco, M. (2015, 03 03). Four Benefits of Joining Your Professional Healthcare
Association. Retrieved from http://news.healthecareers.com:
http://news.healthecareers.com/2015/03/the-benefits-of-joining-your-professional-
healthcare-association/
Saxton, G. D., Kuo, J. S., & Ho, Y. C. (2012). The determinants of voluntary financial disclosure
by nonprofit organizations. . Nonprofit and Voluntary Sector Quarterly, 1051-1071.
Thakur, R., Hsu, S. H., & Fontenot, G. (2012). Innovation in healthcare: Issues and future trends.
Journal of Business Research, 562-569.