Health Care


1.You are a CEO at a neighborhood health clinic. How would youdetermine the customer perceptions of an evaluation of strengths,opportunities, weaknesses, and threats to your neighborhood site?

Conductinga comprehensive SWOT analysis is the key to finding a solution to theproblems that may be facing an institution. Consumers, in this casebeing patients, play a key role in the success or failure of thehospital. Consumer perceptions determine their willingness to getservices from the hospital and how much they are willing to pay forthe services they get. Consumer perceptions for the health clinicwould be determined by collecting their views on the hospital’sSWOT analysis to determine how they perceive the positive aspects ofthe hospital’s SWOT analysis, namely the strengths andopportunities of the hospital.Agood response will mean that the customers are satisfied with theservices offered by the neighborhood health clinic. If theirperception is negative, that will imply that they do not agree withthe SWOT analysis of the site.

2.What challenges do you think the industry will face in the futurehow will impending factors cause the industry to evolve in the next 5years?

Thehealth care industry is projected to face several challenges in thefuture. The key challenge is the escalating cost of treating lifelongdiseases such as cancer and diabetes that are on the rise. Forinstance, the screening of cancer and the subsequent treatmentthrough radiotherapy and chemotherapy is costly since the requiredequipment and level of expertise are not easy to find (Baker, 2008).Impending factors such as the Obamacare project that was signed intolaw in 2010 are likely to bring changes in the health care field.This program will bring financial, technological and scientificchanges that will revolutionize the health care field.

3.The cost-based reimbursement for hospitals provided an incentive toincrease costs. When this was changed in the 80`s many hospitalsclosed because they were unable to control costs. Do you think thecurrent system based on DRG`s provides the right incentives or aretheir modifications you would suggest?

Thecurrent system of health care reimbursement uses theDiagnosis-related group (DRG) system. This system is used to classifyhospital patients into one of the 467 categories based on theirdiagnosis at a health care facility. From its onset, the DRG programhas undergone several changes to cope with the changing nature ofhealth care needs. Unlike the previous system, DRGs put a cost on theservices a patient gets based on the patient’s diagnosis, insteadof the duration and cost of the treatment (Baker, 2008). This systemprovides the right incentives since it encourages hospitals to treatpatients in the quickest time possible since the longer the patientstays under treatment, the lower the profit the hospital will makefor that patient’s treatment.

4.Quality is often in the eye of the beholder. How does the perceptionof quality differ between a consumer and a health care professional?

Onmatters of health care provision, the perception of the quality ofservices offered varies from individual to individual. Apart from thepolicy makers, they other key groups involved in health care arepatients and health care providers. To each of these groups, theperception of quality differs. For a consumer, they perceive qualityfrom an individual. If the system can take care of their healthproblems in the right way, to them that is quality. Healthcareproviders, on the other hand, view quality from a broad perception.To them, quality is being able to take care of all the consumers thatneed their services, not just attending to one patient.

5.A medical provider will focus on outcomes as the primary measure ofquality while a patient might focus on &quotbed side manner&quot?Let`s take a step back and look at this from a health policy standpoint. There is a lot of energy around performance measures thesedays. Payers are beginning to reward providers who can demonstratesuccess in reaching objective measures of performance. Will thisapproach eventually reduce the number of providers who give good carein the eyes of the patient but not in the form of successfuloutcomes? If so, is this a good thing?

Fora health care provider, the quality of their services is reflected bythe outcomes of their work. In contrast, patients view the quality ofhealth care based on the services they receive from health careproviders. However, currently there is a shift to the use ofperformance measures to gauge the quality of healthcare. Incentivesare given to providers who meet the set performance goals. As aresult, health care professionals are now working to meet the setperformance measures instead of prioritizing the interests of thepatient like was the case before (Baker, 2008). The result of this isa decrease in the number of providers who give good care in thepatients. This is a good thing because health care providers have toperform well in all aspects of their work, not just giving good carein the eyes of the patient.


Baker,G. R. (2008). Highperforming healthcare systems: Delivering quality by design.Toronto: Longwoods Pub. Corp.