Financial Impact of Medicare Rates

Abstract

All over the world governments along with the public, private and non-profit organizations play their part in providing the basic facilities related to health. In recent times there is a lot of increase in health problems and this is the reason why increase in health budget is necessary every year. The study is conducted on examining the financial impact of Medicare rates on the health care organizations. The study will see the financial management of healthcare organizations, the role of financial management in healthcare organizations. It will also analyze the health care organizations providing the medical facilities to its customers. The study will refer the research studies conducted by many researchers to give a financial perspective of the Medicare rates that fluctuates in different healthcare organizations. The research will present the financial impact on healthcare organizations by giving the existing examples of the institutions as how they react, control and develop strategies to overcome the fluctuations in the rates of Medicare facilities of healthcare organizations. A detailed analysis of the issue will enable us to draw conclusions as what is the impact, how to tackle the impact and develop strategies so that the financial impact of Medicare rates of health organization have a positive effect on the public service providing organizations.

Financial Impact of Medicare Rates

Introduction

According to Diggs, (2012), a systematic disregard has been observed in the healthcare system of United States of America during the past seven decades. There have been certain discrepancies that are faced by the people of different race, religion, sex; ethnicity, culture and social status and these key players have created different levels of treatment in the American healthcare system, on the basis of which people receive their treatment. The growing inequalities in the American healthcare system lead towards an essential need of improvement to be made in the American healthcare system. The purpose of the research was to identify the inequalities on the basis of which American healthcare system was running and to develop strategies or take measures to overcome the health care disparities. The health facilities in United States are provided under Medicare Health System. According to Baker & Baker, (pp.4-5) healthcare is a method of earning finance in which you put in the money and getting out the correct amount of services to the people. The health care industry is a service industry that provides services to the citizen of a country. The managers involved in a healthcare business have three perspectives, first is the financial view where the managers are concerned with providing finances on a daily basis, provide a strategic view point and report or record the financial functions in the healthcare organizations books of accounts. The second view point of the managers managing healthcare facilities is that they face problems in recording the data of the customers and history of the patients. The third view is the clinical view which is that full responsibility lies on the shoulders of the managers that they should provide better ...