Financial incentives for health care organizations
There can be few financial incentives for health care organizations to invest in quality management; however, there are many other reasons as to why organizations should engage in quality management. For this assignment, construct a business case that defines the need for quality management in any health care organization. The following are some things to consider discussing in your business case:
- How quality management returns are presented in economic terms
- Government mandates
- Improved outcomes
The use of at least 3–4 scholarly references to support your argument is expected in APA style.
5–6 pages
Answer preview
How Quality Management Returns are Presented in Economic Terms
Quality management has critical economic implications for health-care organizations. It affects the cost and revenue structure in an organization. A quality management initiative by a non-profit organization like the Mayo clinic can utilize the Pareto principle that promotes benefit for patients without harming the organization (Boos, 2009). It is not often that the improvement in the health-care measures will result in increased medical costs. A quality management effort involves selecting interventions that will promote the quality of life for the patients. Quality management efforts that are focused on cost-effectiveness are beneficial to the organization. Adopting quality improvement methods such as Six Sigma will help eliminate defects in the health-care process that interfere with cash flow and profitability.
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Financial incentives for health care organizations
