External and External Influences in Health Care

786 Words4 Pages

External and internal influences are relevant in health care. These influences continue to affect the total operations of a health care facility. I will summarize the insights I have gained into the external influences of the new health care reform policy and quality initiatives. The recent health care reform legislation was passed in the house and senate this year. The senior vice president, that I have interviewed, states that health care reform is an “unknown” for organizations. In addition, I will research the quality improvement initiatives and how these external influences include implications for organizations and health care administrators.


The Health Care Reform legislation passed on March 21, 2010. It promises to overhaul health care delivery in the United States and guarantee health insurance to millions of uninsured Americans. According to the Congressional Budget Office (CBO), it will regulate private insurers more closely, banning practices such as denial of care for pre-existing conditions. The CBO states, that the legislation will cost the government about $938 billion over 10 years; reducing the federal deficit by $138 billion over a decade.

(W. Lease, personal communication, July 23, 2010), the “unknown” of the recent health care reform legislation is an external influence that is most relevant to our organization, stated by William Lease, senior vice president of clinical support services. Mr. Lease states, that health care reform legislation will impact our organization in many ways; especially after 2014. While more employees will have health insurance coverage and there will be more patients to treat; the need for controlling costs and improving efficiency is i...

... middle of paper ...

...s will need to focus on pay-for-performance initiatives, as CMS will reduce annual payments by 0.4 percent if the ten quality measures are not submitted (Buchbinder & Shanks (2007). The next generation of health care administrators will be judged on these competencies as they continue to develop into experienced health care administrators.

Works Cited

Buchbinder, S.B., & Shanks, N. H. (2007). Introduction to Health Care Management. Sudbury, MA. Jones & Bartlett Publishers. Performance Improvement in Health Care. 5, 81-135.

Congressional Budget Office. (n.d.). Health Care Reform. Retrieved from http://www.cbo.gov

Cutler, D. (2010). How Health Care Reform must bend the Cost Curve. Health Affairs, 29(6), 1131-1135. ProQuest Nursing & Allied Health Source. (Document ID: 2061803841).

Leap Frog Hospital Rewards. (n.d.). Retrieved from www.leapfroggroup.org
Open Document