Report on the Emergence and Establishment of Aged Care in Australia

This report provides a comprehensive analysis of the aged care industry in Australia. It begins with an executive summary and introduction to the healthcare sector, emphasizing the rise of aged care as a crucial segment. The report delves into various models and trends within the industry, including the user pays system, nursing homes, and the emergence of private hospitals. It examines the competitive landscape, comparing all-round hospitals to those specialized in elderly care, as well as the competition between public and private healthcare providers. The report also identifies key factors influencing the aged care segment, such as affordability, accessibility, government regulations, and the availability of healthcare providers and equipment. Furthermore, the report addresses ethical issues, including professionalism, patient-doctor relationships, consent, confidentiality, and the importance of emotional support. The analysis highlights the need for ethical conduct and proper care delivery within the aged care sector, concluding with references to support the findings. The report aims to provide a detailed overview of the industry's evolution, challenges, and ethical considerations.

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Executive summary
This is a report to analyze the emergence and establishment of the aged care in Australia. It will
outline the pros and cons of the industry and arising trends and competitors within health care
sector over the past decade. The report is aimed at outlining the main activities within the
industry segment and the old and new models within aged care. In any industry there must be a
couple of factors both positive and negative that affect its operation. These factors affecting the
aged care segment will be elaborated and expounded on. Ethics and good conduct within any
business form a crucial and important aspect on its well-being. The ethical issues affecting the
industry will also be explained.

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Contents
Introduction…………………………………………………………………………………4
Analysis…………………………………………………………………………………......4
Models and trends within the segment……………………………………………………4
Competition………………………………………………………………………………..5
Factors influencing the industry segment…………………………………………………5
Ethical issues………………………………………………………………………………6
Conclusion……………………………………………………………………………….......7
References……………………………………………………………………………………8

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Introduction
The healthcare sector in the world has been of importance and concern to every living human as
health and wholeness forms part of our everyday living as it is a basic need. We all require to be
fit and healthy in order to carry out day to day activities. Health is defined as the state of living
free from disease or illnesses and being able to perform physiological as well as physical
processes normally without strain. Health care refers to the provision and delivery of care to the

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public by a provider of the same. The health care sector has several industry segments that are of
equal importance. Aged care is one of those segments that has risen to existence in Australia
over the last decade. Aged care refers to provision of care and medical attention to the elderly
part of the population (Burrell 2017). Hospitals specifically for the care of the elderly have been
set up of late since they have special needs as compared to the young mid-aged population. As
one ages, the body begins to develop changes in terms of metabolism of drugs and food and
other physiological changes. The old people therefore require medical attention that is slightly
different from others as their bodies have undergone these changes. For example, the elderly may
require special equipment to aid in walking which the young adults do not need. Vision and eye
sight also changes with age and the old may not have as much visual acuity as they used to have
when they were young (Chen 2014). This creates need to approach their care in a bit different
manner than the rest. The aged past 64 years of age also form part of the dependent population as
they have retired and no longer working to support themselves. This has led to the creation of
aged care systems that consider these aspects in regards to medical bills thus facilitating care for
the elderly.
Analysis
Models and trends within the industry
The aged care segment has evolved with time and there are a number of systems and models that
have been laid therein. The establishment of user pays system in the industry has proven to be of
essence. It operates in the sense that in order to receive a particular medical care, someone has to
pay for the service for it to be delivered in accordance to however they desire. The main
activities of aged care is to ensure that the older population segment receives care whenever and
wherever in need of it (Walker 2018). It focuses mainly on ensuring the elderly receive both

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medical and special needs care at a low and affordable cost considering the fact that majority are
not working. The creation of elderly and nursing homes is a trend that has emerged in an effort to
accommodate the elderly so that they have a sense and feeling of belonging and identify with
other elderly people. The user pays model enables one to acquire a range of services they require
as they pay for them (O’Loughlin, 2017). Since the government subsidies may not be enough to
cater for all the needs of the elderly, the user pays model leaves room to acquire more in the
manner that one desires. For example, the elderly may prefer to live in a nursing home where
meals and care is provided to them promptly by the giver and where they interact with their
elderly counterparts. This services are provided at a certain definite cost that they pay so as to
receive it. The establishment of private hospitals that cater for the elderly needs is also an
upcoming trend. Because the overly aged individuals cannot afford to pay for expensive services
which they may require such as chemotherapy and radiotherapy incases of cancer that are only
offered by such hospitals, the government has chipped in to cater for some of the costs (Martyr
2015). The partnership between the government and not only public but some private hospitals is
an emerging trend in the industry that cannot be disputed. It is said that for at least 2 elderly
people aged above 65 years, there are about 10 people who are working to support their needs
where needed. In the user pays system as earlier mentioned, the services availed for these elderly
in such a case where they cannot afford to pay for them are paid for by the working relatives who
are tasked to cater for their needs (Somerville 2016).
Competition
As any other industry in the business world and market, the segment is faced by a number of
competitors aimed at achieving the same delivery. The existence of all round hospitals that cater
for both the young and the old have proven to be quite competitive to those that are specialized at

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caring for the elderly alone (Warburton 2016). This has been brought in by the fact that those
that have specialists for both young and old tend to be cheaper as compared to those with
specialists for the old. This is because they draw their funds from majority of the population as
compared to only part of the population hence their returns are quite enormous. Those
specialized for the elderly alone get their funds from the elderly alone hence the need to raise
their service costs so as to cater for equipment, employees and many other resources that are of
need. Public hospitals offering the same services for the elderly have also shown competition to
private ones offering the same. As stated by (Vahabzadeh 2018), this is due to affordability as
well since the public hospitals tend to be quite pocket friendly as the government is involved in
giving subsidies. The private care givers as well give competition to public ones as they are more
flexible in that they can bring the care to the elderly at the comfort of their residential places as
they get to be paid for the transport costs incurred. The private givers also deliver the service as
required by the receiver and this has made majority of people to opt to them as compared to
seeking the service in public places where they have to travel from where they live and wait to
receive a service.
Factors affecting the industry segment
In any industry, there are forces that affect and regulate the operations taking place. These forces
are factors that shape the industry into a certain manner and influence it to follow a certain
direction as required (Curryer, 2018). In the aged care segment these factors can be classified
into environmental, social and physical factors that influence its delivery. Affordability of a
certain care service is a primary factor influencing aged care. The government of Australia plays
an important role in ensuring that costs in public hospitals are cut off for the sake of the elderly.
This is by issuing subsidies and enacting laws that favor the acquisition of some services by the

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elderly at a low or no cost. The government laws are therefore an important play maker when it
comes to aged care. For example according to the laws of the land, it is the primary duty of a
care giver to ensure that there is enough equipment required for delivery of a service to the
elderly. The laws also emphasize that the provider is there for the receiver and not the receiver
for the benefit of the provider. Provision of enough funds by the government for the purchase of
equipment has helped counteract some costs incurred by the institution hence lowering costs
(Welch-Ross 2016). Accessibility is of significance when it comes to delivery. Since the elderly
form part of the inactive population, it becomes quite tedious for them to travel from place to
place in search for care. The service delivery point should therefore not be far from the place of
residence since it might be an emergency case as they are vulnerable to infections due to
declined immunity levels. It should in addition be easily accessible. There are several factors that
affect accessibility of a health delivery station. These include transport network systems. The
roads and infrastructure should be well maintained and transport stations within reach. The
transport systems should also be fast enough to avail an ailing person to the center as soon as
possible in cases of emergency (Eckermann 2016). The elderly are vulnerable to contracting age
related conditions such as hypertension and therefore the care provider opts to be within reach.
The user pays system for example creates room for the provider to live with the individual in
need of the care hence curbs crisis related to emergencies. The location of health centers should
also be strategic where everyone can access them. Availability of the health providers is crucial.
The number of healthcare providers according to WHO is aimed at having one care provider for
every one citizen. The number of hospitals should be as well many so as to ensure the elderly are
well cared for. The availability of equipment to care for the elderly is equally of value. The
number of equipment in a health center should accommodate every patient in the facility. Health

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education is of essence whenever the elderly are involved. As echoed by (Holmes 2016). The
elderly have the right to access information from their care giver which may be of relevance in
terms of managing some conditions that are self-manageable. Health education assists the elderly
to improve on their diet and eat healthy. This is of essence in curbing occurrence of some diet
related disorders. The elderly are just like any other human being and require emotional support.
The care provider should be capable of providing care emotionally by giving words of hope in
cases where the elderly are sick offering comfort in cases where they live in nursing homes away
from their relatives. The idea of the elderly living with other old people also helps improve the
social aspect of the elderly (Weiss 2016). The environment and surrounding that the elderly
interact with is an aspect that ought not to be ignored. There should be equipment and well
placed modifications that enable the elderly to cope with movement and the environment at
large.
Ethical issues
Proper morals and conduct are of essence in any given institution or industry. Professionalism is
a key factor when it comes to ethics. Several ethical issues in regards to aged care are subject to
discussion. The care giver must provide care in the most professional way possible. A patient-
doctor relationship should be maintained throughout the care delivery. The care giver should and
must always seek consent from the person receiving the care before exercising any procedures or
contact with them (O’Keeffe 2016). The care giver should also be kind and should answer any
questions that the receiver might have regarding their health or any procedures performed.
Confidentiality is also key. Any information relayed by the patient should remain there and the
files of the patient should be kept safely and with utmost confidentiality. Any form of
malpractice is punishable by law and is therefore unethical. The care giver should exist for the

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recipient and not the latter for the former (O'Sullivan 2016). Therefore any form of treatment
should be for the good of the patient and his/her recovery. Any harm performed during the
delivery of the service is therefore liable to compensation as required by the recipient. Equality is
as important as any other ethical issue. The care giver should never be biased in any manner.
They ought to deliver the service without seeking gains.
Conclusion
In conclusion the health of every citizen is a priority and should be treated with utmost respect
and importance as required. Aged care has been welcomed in the world today as the elderly
display wisdom in any given society and are therefore of essence. Sustainable health provision
and care forms part of the sustainable development goals and therefore all citizens should work
together to ensure it is achieved. New models in the segment are developing to ensure this part of
the population is treated with equal importance. The development of the user pays model has
shown progress in the industry over the past 20 years. The government contribution to the
industry has also helped boost the development of aged care the whole health sector at large.

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REFERENCES
Burrell, S., 2017. Governance in aged care in a time of disruption. Governance Directions, 69(2),
p.88.

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Chen, Z., Song, Y., Yu, J. and Wang, J., 2014. Differential development strategies of aged care
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and Geriatrics, 5(2), pp.36-41.
Curryer, C., Gray, M. and Byles, J.E., 2018. Older Women’s Expectations of Care, Reciprocity,
and Government Support in Australia.‘Am I Not Worthy?’. Ethics and Social Welfare, pp.1-13.
Eckermann, S. and Sheridan, L., 2016. Supporting medicare health, equity and efficiency in
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Holmes, B., 2016. The state government needs to listen to the community. Lamp, The, 73(8),
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