MAT 510 - Homework Assignment 2: Healthcare Process Variation Analysis

This homework assignment for MAT 510 Business Statistics examines the importance of variation in healthcare organizations. It identifies key processes, including administration, financial activities, and patient care coordination, and explores common causes of variation such as long wait times, billing errors, and inadequate staff training. The assignment also delves into special causes like patient death or data loss and their significant impact. Furthermore, it discusses how healthcare organizations must adapt to a dynamic business environment by implementing value-based care and utilizing digital technologies for improved quality and service. The solution emphasizes the need for continuous evaluation and monitoring to address issues and improve health outcomes.

HOMEWORK ASSIGNMENT #2 1
Homework Assignment #2
MAT 510 Business Statistics
Dr. Eliette M. Barrios

HOMEWORK ASSIGNMENT #2 2
Referring to Q1
The healthcare organization provides services for improving the health outcomes of the
patients or care seekers. Hence, the process of a healthcare organization is highly prioritized
according to the need and demand of the care seeker. Thus, whenever a patient enters the
healthcare organization, the entire operational activities take place. The activities would include
administration, treatment, patient care coordination, financial activities and other business
management activities. The stakeholder involves in these activities are patients, care providers
such as physician or nursing professionals, technician, and many other employees of a patient
care coordinator or health insurer. Therefore, the basic process of any healthcare organization is
to provide health outcome by diagnosing and treating the patient against specific fees or charges
for the services (Lee, 2017). The cost of services can be either from any insurance company or
out-of-pocket expenditure. Thus, an ideal process of any healthcare organization includes
prevention by promoting good health, detecting any health-related issues of the care seeker or
patient, then diagnosing the identified problem or disease, effective treatment and finally
providing an effective good life. Below is a basic chart of the entire operational activities or
processes of a healthcare organization when a patient enters to seek care.

HOMEWORK ASSIGNMENT #2 3
Referring to Q2
The process of healthcare organization will be affected if there are any external force and
any internal change imposed within the organization (Mosadeghrad, 2014). Such element or
factor with minimal impact can have variation in overall service or quality of healthcare services
provided by the organization. The waiting time is one of the major cause that makes the patient
feels exhausted and have a huge impact on the experience from the entire treatment process
(Bleustein et al., 2014). Most of the patient would want to get access to the care in minimal
waiting time. The issue in billing or any error of billing would also impact on the process.
Effective patient management is necessary, and there may be days when there would be a huge
number of patient flow. The administration and control must not crowd the waiting areas and
instead tried to manage and provide care efficiently. Besides, there should be proper care for the
Patient enters to seek
care
Patient outreach to
admission or help desk
Patient providing the
relevant information
such as insurance
information and
personnel details
Existing patient would
already have patient ID
and new patient would
generate new ID.
Patient completing
details and does the
payment towards the
treatment
Patient care coordinator
assist the patient with
basic information and
identify basic issues.
Physician or nursing staff
diagnose the patient
Then, these healthcare
professionals would
suggest the relevant
treatment process
Any other equipment or
supplies can be used for
delivering the treatment
Post treatment
procedure and educating
the patient
Providing the neccessary
prescrbed medicines
Taking the feedback from
the patient for the entire
process of care
Patient complete any
outstanding payment
either through insurance
or out-of-pocket
expenditure
Patient moves out of the
healthcare organization

HOMEWORK ASSIGNMENT #2 4
staff of the organization as well, such as no violation of HIPPA. Lack of adequate training is
another cause for the variation, and thus, adequate training is necessary specifically for the entry-
level or any new staff of the organization. Most of the patient visit organization with the
insurance and thus, healthcare organization should have a sufficient connection with multiple
insurance companies. Hence, these factors discussed were the most common factors that have a
direct impact on the variation of process within the healthcare organization.
Referring to Q3
With regards to multiple elements that cause variation, few major elements can have a
huge and severe impact on the healthcare organization. Some of the special cause could be the
death of the patient or severances of any illness after admission in the organization. It would
have a direct impact on workflow pressure. The shortage of healthcare professionals and staffs
would provide poor health outcome, and the chances of human error would also increase. The
data loss from the hospital information system, the loss of patient information is a huge risk and
would have a greater impact on the work process of the organization (Fabian, Ermakova &
Junghanns, 2015). Abuse to the patient and negligence is a serious offence, and thus, this
element also has a greater impact on the healthcare organization. Further, any delay in treatment
or discharge and medical negligence such as medication error would have higher consequences
on the health outcome to the patient. Hence, this element would have a direct impact on the
process of the healthcare organization.
Referring to Q4
The healthcare organization’s business environment be dynamic, along with change over
time. The change needs to be a focus on improving the quality and service of the healthcare

HOMEWORK ASSIGNMENT #2 5
organization (Brooks, El-Gayar & Sarnikar, 2015). Thus, an effective good growth strategy
would assist the healthcare organization in evolving with multiple optimal health outcomes.
Value-based care is more effective for the growth of the organization’s business. It incorporates
the implementation of newer digital technologies, in addition to evidence-based practices
towards the newer approach of operating (Burwell, 2015). The managers and senior leaders of
the organization must identify the issues such as those described in the previous section and
manage the issues with an alternative approach. The implementation for bringing optimal change
that would address the issues need to be continuously evaluated and monitored for an effective
quality. Moreover, conducting the regular update and review would help in continuous
improvement in the organization’s business by delivering qualitative care.

HOMEWORK ASSIGNMENT #2 6
References
Bleustein, C., Rothschild, D. B., Valen, A., Valatis, E., Schweitzer, L., & Jones, R. (2014). Wait
times, patient satisfaction scores, and the perception of care. The American journal of
managed care, 20(5), 393-400.
Brooks, P., El-Gayar, O., & Sarnikar, S. (2015). A framework for developing a domain specific
business intelligence maturity model: Application to healthcare. International Journal of
Information Management, 35(3), 337-345.
https://doi.org/10.1016/j.ijinfomgt.2015.01.011
Burwell, S. M. (2015). Setting value-based payment goals—HHS efforts to improve US health
care. N Engl J Med, 372(10), 897-899. https://doi.org/10.1056/NEJMp1500445
Fabian, B., Ermakova, T., & Junghanns, P. (2015). Collaborative and secure sharing of
healthcare data in multi-clouds. Information Systems, 48, 132-150.
https://doi.org/10.1016/j.is.2014.05.004
Lee, H. S. (2017). Knowledge management enablers and process in hospital
organizations. Osong public health and research perspectives, 8(1), 26.
https://doi.org/10.24171/j.phrp.2017.8.1.04
Mosadeghrad, A. M. (2014). Factors influencing healthcare service quality. International
journal of health policy and management, 3(2), 77.
https://doi.org/10.15171/ijhpm.2014.65