Don't throw out the baby with the bath water!

Article Abstract:

Companies and governments in the western world have been obsessed with the concept of quality improvement. The health services delivery industry has also been adopting all the latest management tools to control costs, improve quality of service and increase customer satisfaction. Managed care has become the result of all these efforts. Health services have begun experiencing a drop in service and provider operating margins. However, one undesirable and unforeseen effect is the abandonment of community programs. The discrimination of managed care against higher-priced providers who provide charity care may lead to reduced investments in community services.

Social aspects, Evaluation, Managed care plans (Medical care), Charity

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Limits of competition

Article Abstract:

Health maintenance organizations (HMOs) have been successful in containing their costs by aligning purchaser and provider incentives. HMO premiums increase less than the general rate of inflation and some had actually been decreased. Reductions in provider costs reflect changes in medical care, focusing on providing only necessary care. Another strategy is for players to implement long-term efficiency improvement plans or wait for competitors to close down business. The result is a depletion in the number of competitors leading to providers with monopoly powers.

Health Maintenance Organizations, HMO Medical Centers, Medical care, Cost of, Health care costs

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Survival of the fittest

Article Abstract:

Physician organizations and hospital-physician joint ventures care organizations need to acquire expertise to give them an edge over other organizations in the highly-competitive health care market. This expertise should enable them to improve the quality of health care services without increasing costs. It includes the use of 'best practices,' which is predicted to play a major role in defining the future of managed care organizations because it will train organizations to be more competitive with their services.

Hospital-physician joint ventures

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