Research Paper

Research Paper - Research proposal 1 Research Proposal How...

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Research proposal        1 Research Proposal: How Management Control Hospital Costs Research Proposal on How Management Control Hospital Costs Introduction Modifications in health care for the past decade have impelled transformations in the way hospitals are being administered and run by managers. The increasing cost of health care has made impact on Medicare reimbursement, had set off business to be a distinguishing device for
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Research proposal        2 choosing mode of operation of medical care, and has engendered alternative forms of health care delivery. All these situations are because of the diminished proceeds and bigger competition for many hospitals. Hospitals have changed conditions with regard to cost containment, marketing approaches, and human resource management, since these areas in the operations have encountered the most consequential changes. Hospital cost variances The cost of a day in the hospital in the United States can be as little as $500, or more than $2500. Many factors could account for such a large range of variation. It is not surprising if it costs $2500 for a critically wounded trauma patient in an intensive care unit (ICU) and just $500 for someone resting up after breaking a leg while skiing. (Becker, E. and Steinwald, B. 1981, p.439) The ICU patient has a more grave condition and requires more complex services. It is also understandable that being in one of the nation’s top research and teaching hospitals under the care of famous doctors can cost more than a bed in a small rural facility with limited equipment and staff. (Sloan, F. et. al., p. 20) The hospital bill itself can be a misleading guide to costs. One hospital may charge more, but give every patient a discount, while another sticks to lost prices. Or, one hospital could be charging $600 just for a bed, with extra charges for medications, laboratory tests, physical therapy, and so on, while another hospital charging $600 includes all of the above, and so is less expensive. It is often assumed that when one hospital has a lower cost per patient day, then it is more efficient. However, such a conclusion is only justified if the two hospitals are providing the same services to similar patients under similar conditions. Unless this as all other things are constant assumption is valid, and it rarely is as conveyed by Sloan et al (p.23) in their report. Efforts have
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Research proposal        3 to be made to adjust for all of the other factors in hospital costs in order to compare them. Certainly, patients or their insurance companies would prefer a cheaper stay in the hospital to a more expensive one if all other factors were constant. Motivation
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Research Paper - Research proposal 1 Research Proposal How...

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