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11. Six Sigma challenges: Six Sigma is an important approach to quality improvement that can be used in the County to meet needs and expectations of patients as well as to improve profitability and cash flow. While the start-up costs alone of Six Sigma deployment are daunting, the challenges in actually implementing the Six Sigma discipline are perhaps even more formidable. 12. Technology change and its adoption: With the technological evolution occurring more than ever before, it is important for the healthcare practices in the County to decide on where to invest. Buying equipment wouldn’t be the only cost incurred. Its training and personnel costs will also be adding up. The County must be prudent as well as serve the patients with all the …show more content…
Transition to Electronic Health Records The transition to electronic health records to comply with meaningful use is not cheap. The total cost for an in-office system or a cloud-based system is very high. 17. Challenges in providing patient-centered care · Organizational level challenges include investments in leadership development and training in continuous quality improvement concepts and methods that will enable the hospital staff to make, measure, and manage change effectively.For a change to occur, evidence regarding specific interventions that work to improve patient-centered care must be documented and made available to managers and change leaders. To support the development of medical homes within primary care practices, the County would need to offer new incentives for primary care physicians. 18. Managing investment in a capital-constrained environment Between frequently changing laws, expansion of healthcare access and increasing patient demands, hospitals need access to more financial resources to keep up. Furthermore, the pressure to cut costs while enhancing outcomes places restrictions on how much money hospitals can spend to improve patients’ …show more content…
As reimbursements are becoming tied to performance and patient outcomes, staff will be central to this success. The challenge of finding qualified staff is exacerbated by retaining the perceived talent, plus turnover rates for physicians are at an all-time high. 21. Managing Medicare and Medicaid payments The management of Medicaid payments is one of the most recent and substantive challenges being faced by the hospitals. The fact that the government places caps on the reimbursements that Medicare and Medicaid patients can receive amplifies the recognition of uninsured and underinsured financial strain. The more Medicaid and Medicare clients a hospital sees, the less money it will take in. These economic challenges make it substantially difficult for hospitals to provide medical services to an aging populace who rely on Medicare and Medicaid to address their healthcare needs. 22. Shortage of healthcare
With the passage of the Affordable Care Act (ACA), the Centers for Medicare and Medicaid Services (CMS) has initiated reimbursement based off of patient satisfaction scores (Murphy, 2014). In fact, “CMS plans to base 30% of hospitals ' scores under the value-based purchasing initiative on patient responses to the Hospital Consumer Assessment of Healthcare Providers and Systems survey, or HCAHPS, which measures patient satisfaction” (Daly, 2011, p. 30). Consequently, a hospital’s HCAHPS score could influence 1% of a Medicare’s hospital reimbursement, which could cost between $500,000 and $850,000, depending on the organization (Murphy, 2014).
The current health care landscape has been characterized by large scale consolidation and vertical integration of payers and providers. This has led to a handful of dominate players with substantial influence, and an increasing overlap in responsibilities between payers and providers. Although payers and providers have traditionally been on opposing sides, battling each other about quality of care versus cost-effective care, they are shifting to working together to achieve better value.
There are many people that benefit from Lean Six Sigma which include mainly customers, suppliers, employees, and also stockholders. Lean Six Sigma is a way for businesses to improve, to reduce waste and to become more successful. In the future, more and more organizations will adopt or practice some of the Lean, Six Sigma, or both in order to stay competitive in today’s market. In some cases, blending both Lean and Six Sigma can be costly and difficult; however the end result can create an organization that focuses on quality, accuracy, and speed to meet the goal which is profitability.
1) Six Sigma should not be viewed as a quality program that is commissioned to reduce defects but as a methodology that helps companies better meet the needs of their business. KM shares this goal.
uses some of these. The six sigma relies on data, process, and outcomes. Per HealthIT.gov there
Organizational philosophy commits in establishing a high quality program that will be of distinct benefit to the community, as well as the medical staff. Mission consists of high patient satisfaction, compassion, reduction in medical errors, proper medical decisions, and patient education. For this reason, leadership is seeking the interest and commitment for expansion of a JRU to establish a program that is compatible with goals for quality, cost-effectiveness, and growth within the most efficient period.
The person pursues healthcare service with great expectations such as quality health care, latest technological interventions and low cost for their service. Nowadays, one of the challenges facing by the health care providers is providing appropriate care and identifying their needs in a cost effective and comprehensive way without compromising the quality of care. Center for Medicare and Medicaid Services (CMS) reported “an rise in healthcare spending from $2.34 trillion in 2008 to $ 2.47 trillion in 2009, the largest one year increase since 1960” (Pickert, K, 2010). “The action to improve the American health care delivery system as a whole, in all of its quality dimensions such as efficiency, effectiveness, equitability, timeliness, patient-centeredness, and safety for all Americans” (IOM, 2011).
Tan & Payton (2010) describe the electronic health record (EHR), which dates back to the 1950s. These computer-based patient records have evolved into complex systems with many capabilities. They were designed to provide healthcare professionals with a comprehensive picture of a patient’s health status at any time and are meant to automate and streamline the workflow of the healthcare professional (Tan & Payton,
Quint Studer’s Hardwiring Excellence: Purpose, Worthwhile Work, and Making a Difference is a Business Week National Bestseller and is highly regarded by healthcare professionals across the country. The following document describes Studer’s key points, including the Five Pillars and Nine Principles that motivate and direct transformation in an organization. It also provides a critique of Studer’s text and analyzes appropriate applications for summer residency positions.
In order to fully understand the uninsured and underinsured problem that hospital administrators face the cause must be examined. The health outcomes of uninsured individuals are generally worse than those who are insured. Uninsured persons are more likely to experience avoidable hospitalizations, diagnosed at later stages of disease, hospitalized on an emergency or urgent basis, and more seriously ill upon hospitalization (Simpson, 2002) Because the uninsured often lack an ongoing relationship with a health-care provider, they are less likely to receive preventive care and diagnostic tests (Kemper, 2002). Many corporations balance their budget through cost cuts and other moves, but have been slammed with an increasing load of uninsured patients, coupled with reduced payments from government and private insurance programs. In 2000, 564,476 uninsured patients came through Health and Hospitals Corporations health care centers, a 30 percent increase from 1996. In the same period, Congress reduced Medicare reimbursements to hospitals, while Medicaid reimbursements to primary care clinics remained basicall...
The fundamental objective of the Six Sigma methodology is the implementation of a measurement-based strategy that focuses on process improvement and variation reduction through the application of Six Sigma improvement projects. One of the ways that this is done through the DMAIC process (define, measure, analyze, improve, control) which is an improvement system for existing processes falling below specification and looking for improvement. Compared to the DMADV process (define, measure, analyze, design, verify), DMAIC uses the existing process as the baseline for a desired incremental improvement plan for the organization. Furthermore, to provide a better understanding of the Six Sigma DMAIC process, one must have a better understanding of each of the steps required to execute the plan and achieve the desired outcome for the organization (Fursule, Bansod, & Fursule. 2012).
Since the 60s, government budgets have been influenced by the need to finance healthcare especially the cost of Medicare and Medicaid benefits. According to CMS’ National Health Expenditure Projections , total health care expenditures have grown by an average of 2.5 percentage points faster per year than the nation‘s Gross Domestic Product. For about 60 percent of workers who receive some form of health care coverage from their employers, the cost of their health insurance premiums and out-of-pocket expenses have increased significantly faster than their own wages; and between 1999 and 2008, both average health insurance premiums and out-of-pocket costs for deductibles, co-payments for medications, and co-insura...
...mplications that allow for opportunities of change. One of the presumptions is for training and staffing (Shi & Singh, 2012). With the utilization of health care improvements, the staff will need additional instructions on the performance of equipment and how to efficiently achieve the desired results. Managers or supervisors recognize the need for supplemental staffing and training to optimize patient satisfaction and quality of care. The health care administrator must also focus on changes in insurance policies and rules governing the provision of medical assistance (Shi & Singh, 2012).
Quality improvement is critical in primary care services where patient-centered quality health care and safety are prioritized, to achieve improved patient experiences and outcomes, improve the health of the identified population, and reduce costs of health care. The collaboration of nurses with other medical professionals, quality improvement organizations, insurance companies, medical suppliers, and other stakeholders is critical to ensuring that primary care is of high quality. New skills are required, especially among nurses who are at the center of primary care to meet quality improvement goals and objectives. Some of the required skills are how to identify areas for improvement, understanding data, planning and implementing changes, as well as evaluating performance to inform quality improvement (Taylor et al.
Understanding quality measurement is essential in improving quality. Teams need to be able to understand whether the changes being made are actually leading to improved care and improved outcomes. For data to have an impact on an improvement initiative, providers and staff must understand it, trust it, and use it. Health care organization must understand the measurement of quality provided by the Institute of Medicine (patient outcomes, patient satisfaction, compliance, efficiency, safe, timely, patient centered, and equitable. An organization cannot improve its performance if it does not know how it is performing. Measuring quality improvements is essential as it reflects the quality of care given by the providers and that by comparing performance