D513 Population Risk Summary_Melanie Johnsoncook

docx

School

Western Governors University *

*We aren’t endorsed by this school

Course

C984

Subject

Medicine

Date

Jan 9, 2024

Type

docx

Pages

Uploaded by CoachElectronHedgehog21

Melanie Johnson-cook Population Risk Summary for Corazon y Alma Health (Proforma Budget Excel attached below) Summary Miami Dade County has a population of 2,673,837 people, which translates to 1,407.3 individuals per square mile of Florida (Census Reporter, n.d.). The target population for OBGYN services in Miami Dade County are women who are pregnant, trying to conceive, or have recently given birth. These women require pre-natal and post-natal care. The at-risk population includes women who are uninsured, underinsured, live too far away, have no means of transportation, or are unable to communicate in the language spoken by the provider. The hospital has a robust obstetrics service that includes nurse midwives. However, there is no dedicated obstetrics and gynecology faculty or residency program. Corazon y Alma Health is the largest healthcare provider in Miami Dade County, and they are associated with the University of Miami School of Medicine. This association can provide the necessary resources to support their OBGYN population. I believe the best payment model for Corazon Y Alma Health is the comprehensive care model. Under this model, healthcare providers would be paid a fixed amount to provide care to their patients for a specific period of time (Miller, 2009). This model could specifically target pregnant women, as currently 48.6% of births are via C-section."(Corazon y Alma profile, n.d.). Under this model, physicians are grouped together based on the care they provide to a patient. Implementing this model will decrease healthcare professional payments, overhead costs, and operating expenses. Financial Feasibility It's worth considering the following information: 16% of citizens report that they are in poor or fair health, 33% of citizens under 65 report that they don't have health insurance, and 33% of citizens have severe housing problems. These issues increase the likelihood of these individuals seeking primary or emergency care at the Corazon y Alma health facility. Understanding this information helps the facility plan their care accordingly. Variance analysis is a budgeting technique used to compare actual values with budgeted values to control operations (Louis Gapenski, 2016). This would provide Corazon Y Alma Health with an opportunity to adjust operations, improve performance, and plan future budgets. The expenses of creating a prenatal line can be attributed to various factors such as location, labor, setup, and equipment. Overhead variation may occur if the actual overhead cost exceeds the budgeted cost. Therefore, it is crucial to analyze the cost and establish a budget that allows for sufficient variance to cover actual overhead expenses. To address the risks, it is important to ensure that labor variances are based on specified output and payment is made solely for the actual hours worked. It is also crucial to ensure that the actual labor cost does not exceed the budgeted cost, making it unfavorable. The following is the proposed operating budget for the prenatal service line of Corazon y Alma Health: The net income is negative, indicating that the company is spending more than it is earning.

Salaries account for more than 100% of the total operating revenues, which is not sustainable. Both the operating income and total operating expenses are negative, indicating that Corazon y Alma Health is always operating at a loss. Two existing regulatory agencies that could significantly impact operations at Corazon y Alma Health. The Procurement and Grants Office of the CDC and Prevention has awarded over 25,000 grants for acquisition and assistance (Grants | Funding | CDC, n.d.). They have access to $11 billion in federal funds, which can be utilized to advance healthcare research and improve healthcare services in rural communities. The Agency for Healthcare Research and Quality (AHRQ) is dedicated to enhancing the quality, accessibility, equity, and affordability of healthcare. They offer funding and grants, which can be utilized to establish collaboration with universities for OB and GYN residencies and fellowships (Funding &Amp; Grants, n.d.). The implementation of Miller’s Finance strategy will benefit Corazon y Alma by introducing a value-based reimbursement model that allows payments to be bundled. Corazon y Alma's financial situation is currently negative, which means that their investment and debt will need to be adjusted. To increase their capital gains and creditworthiness, the organization will require additional capital, such as debt financing or equity offerings. It is essential that they make changes to their investment portfolio and strategy in order to achieve these objectives. Corazon y Alma should adopt a business strategy that includes mergers, strategic partnerships, and affiliation. Additionally, innovative strategies such as creating a prenatal line will be necessary to differentiate from other organizations providing similar services and to provide access to new or underserved areas within the community. The financial performance of Corazon y Alma is expected to improve as a result of changes in operating margins, income, and balance sheets. These changes are expected to have a positive impact on annual growth. There are three key financial benchmarks that Corazon y Alma needs to keep in mind. These include profitable margins, debt to total operating revenue, and uncompensated care costs. To maintain profitable margins, Corazon y Alma should ensure that their operating margins and operating cash flow are stable. In order to reduce the debt to total operating costs, we could measure the percentage of Corazon's growth income that could be used to pay expenses. Furthermore, by leveraging grant funding and forming fruitful partnerships, we could reduce the overall operating costs and increase the ending cash balance. To implement the changes successfully, it is necessary to establish an advisory board comprised of internal and external stakeholders to oversee the project. The board and stakeholders will comprise Corazon Y Alma's executive leaders, the Procurement and Grants office of the CDC, the Agency for Healthcare Research and Quality, as well as advisors from the University of Miami School of Medicine. We will invite all these professionals together to provide valuable insights during the model development phase. In order to keep track of the progress of the affiliation, I suggest that the board members meet once a month to review its status. It is important for the members to stay informed and up-to-date with the progress so that they can address any potential issues that may arise from Corazon Y Alma Health patients, the community, or negative press, in the event that this affiliation does not go as planned. This is also crucial for the stakeholders who are funding this plan. They want to make sure that their

investment is being utilized effectively because if it is not, they may withdraw their support which could jeopardize the entire operation. Intrinsic motivation comes from within, while extrinsic motivation arises from external factors. When you are intrinsically motivated, you engage in an activity because you enjoy it and get personal satisfaction from doing it. When you are extrinsically motivated, you do something in order to gain an external reward (Barr, 2022). In order to overcome obstacles to change, it is crucial for the board of directors of all organizations to maintain open, honest and transparent communication with each other and their staff members. Initially, some resistance may be encountered, but it is essential to clarify the purpose of the project and the long-term benefits it will bring. It is also important for the staff members of each organization to collaborate throughout the project to ensure compliance with all requirements. Motivation to a staff member could be something as small as buying them lunch, or as big as a bonus pending the outcome of the project. It depends on what kind of workers these organizations have, and how far they are willing to go to ensure this project is a success. In order to achieve short-term success, it is important to focus on key performance indicators such as reducing bad debt, which refers to the amount of money owed that is unlikely to be paid back. By reducing bad debt, Corazon y Alma Heath can improve their cash flow and overall financial health. Another important benchmark is decreasing the total operating budget, which can be achieved through cost-cutting measures such as renegotiating contracts with suppliers or reducing unnecessary expenses. Increasing the ending cash balance is also a crucial metric for short-term success, as it provides a buffer against unexpected expenses and allows for investment in growth opportunities. Finally, maintaining profitable margins is essential for sustaining business operations and generating revenue. By focusing on these short-term benchmarks, a company can set itself up for long-term success and growth. Resources: About Miami-Dade County. (n.d.). https://www.miamidade.gov/global/disclaimer/about-miami-dade- county.page Louis Gapenski. (2016). Healthcare Finance: An Introduction to Accounting and Financial Management, Sixth Edition: Vol. Sixth edition. Health Administration Press. Miller, H. D. (2009). From Volume To Value: Better Ways To Pay For Health Care. Health Affairs, 28(5), 1418-28. https://doi.org/10.1377/hlthaff.28.5.1418 Corazon y Alma profile (n.d.). Master of Healthcare Administration Program. Western Governors University. 1-3. https://wgu.yourlearningportal.com/wgu/resources/courses/wgu_courses/hcm/mhl/ C984_MHL5510_financial_management/resources/corazon_y_alma_profile.pdf Grants | Funding | CDC. (n.d.). https://www.cdc.gov/grants/index.html Funding & Grants. (n.d.). https://www.ahrq.gov/funding/index.html Barr, E. (2022, July 15). Extrinsic & Intrinsic motivation examples – What’s the difference? SpriggHR. https://sprigghr.com/blog/hr-professionals/extrinsic-intrinsic-motivation-examples-whats-the- difference/

Your preview ends here

Eager to read complete document? Join bartleby learn and gain access to the full version

Access to all documents
Unlimited textbook solutions
24/7 expert homework help

D513 Population Risk Summary_Melanie Johnsoncook

Related Documents