Last updated: May 19, 2019
Topic: BusinessMarketing
Sample donated:

Political forces that can have an influence on the development of this clinic could be ;how much of the states budget is allocated to healthcare and how that money is distributed amongst the state. It can also determine what positions will be funded, what equipment will be purchased, what programs should be adopted, and which current programs should be dropped. Social forces that can influence the development of this clinic could include; traditions, values and social trends of its community and patients.

Its location could also have an influence because if it is in a poor location where the population is small, services may not be in high demand. It is very important that the stakeholders continuously assess the changing values, attitudes, and demographic characteristic to continue providing optimal care. Depending on the nature and direction of the local economy, wage rates, disposable income, unemployment and transportation can all have an economic influence on the development of the clinic. Barnat, 1998) What would be a good mission statement? Our mission is to continuously improve the quality of healthcare services provided to the communities we serve by creating an environment that promotes physician participation, recognizes the value and contributions of our employees, and strives to meet the unique healthcare needs of our local communities.

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Our goals are to; provide excellent physical, emotional and spiritual care for each of our patients and their families, build a work environment where each person is valued, respected and has an opportunity for personal and professional growth, strengthening our relationships with universities, colleges, other hospitals, agencies and our community, and the commitment of our staff, physicians, volunteers, students, community partners and friends to our mission permits us to maintain a quality of presence and tradition of caring.

Identify three performance measures you would use to measure the clinic’s effectiveness and provide the rationale for each performance measure. The first performance measure I would use to measure the clinic’s effectiveness is associate satisfaction. Without associate satisfaction their would be an even bigger shortage in the healthcare industry. Keeping associates happy and having open communication lines make a big difference in the work place. An empowered associate understands the they can and should change the work environment when some part interferes with mission achievement.

It also creates a culture where questions can be asked, answers can be sought, and changes can be implemented. Associate satisfaction can be measured by; satisfaction surveys, retention, absenteeism, vacancy measures, meeting attendance, number of issues raised, and incidents that cause excessive disruption. The results can be obtained through routine surveys, human resource statistics, and from summaries of rounding and listening activities. After the results are gathered and reviewed, changes will be implemented to help make improvements. White, Griffith, 2010) The second performance measure I would use to measure the clinic’s effectiveness is patient satisfaction. Patient satisfaction is crucial because if your patients are not satisfied with their care, the facility, and their overall experience at the clinic, they may not return. This can ultimately effect the business of the clinic. Patient satisfaction can be collected and measured by surveys that focus on overall satisfaction and specific services, post discharge surveys, counts of “Caught in the Act,” and complaints patients may have.

The HCAHPS is a patient survey questionnaire that measures a patients perception of quality of care. The clinic can use these surveys to review how they are being perceived by their patients and make necessary changes to ensure patient satisfaction is achieved. (White, 2010) The third performance measure I would use to measure the clinic’s effectiveness is through cost. Without money, the clinic would not be able to open its doors and provide care to its patients. The company must be able to account for where its money is being spent and how they are bringing money in to pay expenses.

Cost can be measured by; fixed/variable, direct and indirect costs, physical units of resource, labor, supplies, plant, indirect cost for service line, occupancy and percent of capacity rates, age of equipment, and failure rates of equipment. These measures are used to analyze and improve work processes and to create forecasts to project future costs. (White, 2010) How would you approach decisions regarding clinic expansion and annual plan approval? As the manager of the clinic, I would meet with the owners regarding clinic expansion and annual plan approval.

Planning an expansion and reviewing the annual plan takes time and all areas must be reviewed carefully before a final decision is made. First, we would review environmental assessments developed through expansion scenarios, looking at the outcomes of the community and see if it is in the community’s best interest. It is also very important to review the clinics strategic scorecard to look at capital and expenditures. We would review the business plan for the expansion, looking at the personnel, marketing and operations that would be involved.

We must look at the demand, revenue and costs the clinic expansion could have and any affects it may have on our current establishments. We need to review demand trends, our competitors, industry comparisons and values. Most importantly, we need to review the long-range financial plan (LRFP), to view the financial impact, market shares, prices, costs and profits. After careful review of the business plan and assessments, we must establish and set budget guidelines, financial expectations, create an annual calendar, and developing expectations for each work group.

This annual plan is the timetable for the expansion and it is important in laying out all of its stages and time frames. We must also take careful time in reviewing the annual plan, because if stages and time frames are not practical and are not met, it could result in over spending our budget. All of these factors need to be looked at and carefully addressed when making a decision on expansion and annual planning. (White, 2010) How would you describe the role of the clinic as a component of the healthcare delivery system in your community?

The clinic’s role in the community, as a component of the healthcare delivery system, is to meet the healthcare needs of the community. It is a patient centered primary care clinic, that is family owned and family centered. It provides the community with better access to health services and excellent patient and family care. The clinic provides a variety of services to the community, at multiple sites. Its larger site has departments for medical specialists, diagnostic labs, patient services and also contracts for referral specialists and advanced diagnostic services.

The primary care clinic is concerned with all factors that promote health for its patients. They can address factors that determine health such as; income, education, employment, working conditions, social and physical environment factors, biologic and genetic factors and conditions, personal health practices, coping skills, and healthy child development. They empower individuals and families to make the best decisions for their health and offer a strong foundation of community based services that enable patients to maintain and strengthen their health. White, 2010) How has public healthcare policy influenced the formation of outpatient clinics in the healthcare system? Public healthcare policies have helped keep clinics from going broke and closing their doors to the communities. A bill signed into Congress in 1977, extended Medicare and Medicaid reimbursement to services provided by nurse practitioners and physicians assistants, and also to reimburse services provided by specially trained paraprofessionals in urban and rural clinics.

It also required clinics to; maintain clinical records on all patients, have an arrangement with one or more referral hospitals, provide routine diagnostic services and have prompt access to certified facilities for more complicated diagnostic services, provide drugs and biologicals that the secretary of health, education and welfare determined were necessary to treat emergencies, have appropriate procedures to review utilization of services, and meet any other requirements determined by the secretary to be in the interest of the health and safety of clinic patients. Health policy, 1981) Public healthcare policies remain an important factor in guiding, facilitating, and in some cases promoting change in our healthcare systems. Looking into the future, the Obama healthcare reform could have an effect on payment rate for physicians and hospitals.

As more people gain insurance, physicians and hospitals would benefit from decreased levels of uncompensated care, but the increase in public coverage along with the increase in demands to provide services to the newly insured could outweigh any increased revenues from reductions in compensated care. Increasing demands on healthcare providers along with decreasing provider incomes could compromise patients’ access to high quality care and could also cause some outpatient facilities to close down.


Barnat, Ryszard LLM., DBA, Ph.D. (1998). Strategy Formulation. Retrieved from Health policy, 1977-1980 legislative overview. (1981). Congress and the nation, 1977-1980 (Vol. 5). Washington, DC: CQ Press. Retrieved from White, Kenneth R., & Griffith, John R. (2010) The Well-Managed Healthcare Organization (7th ed.). Chicago, IL: Health Administration Press.