As a community based non-profit hospital, our goal is to fulfill a wide range of community needs from providing quality health care to educating the public to promoting wellness in our community. The good news is that non-profit hospitals are in a growth industry. With the advancements in medical technology, we can expect more patients living longer and requiring more services throughout their lifetimes. The bad news is that this hospital is struggling financially. In fact, we are facing a financial crisis. We face a significant budget deficit and if we cannot correct the problem, I must reduce fixed costs by 15%. That means we would need to consider a number of drastic measures including:
Not replacing employees who leave voluntarily,
Refusing to treat uninsured patients except in the emergency room,
Requiring advanced payment on all prescriptions for outpatients,
Creating rules forbidding hospital personnel from treating anyone while 'on the clock' free of charge
1. The problem in the case study is a financial crisis. This crisis is a result of a variety of problems, many of them linked to providing care to the uninsured resulting in unpaid hospital bills. Medicare and Medicaid have exacerbated the problem by delaying reimbursement, and by increasing administrative costs by forcing us to complete numerous forms and provide copies of various documents in order to qualify f