Fluent Essays

PART 1 The purpose of healthcare financial management is to provide both accounting and finance information to assist managers in accomplishing a healthcare organization’s goals and objectives. A variety of managers assist in this role, often led by the organization’s CEO (Chief Executive Officer) and CFO (Chief Financial Officer). It is important for healthcare managers at all levels to have a working knowledge of the six major objectives of healthcare financial management. Each of these objectives complement each other to build a successful organization – from generating income to protecting tax status. Our Case allows for the study and exploration of each of the six objectives. Case Assignment After completing the required readings: 1. Articulate the six major objectives of healthcare financial management. What does each individual objective encompass? Be as specific as you can in your descriptions. 2. Which of the six do you have experience with, and which do you feel you should devote extra study time to within this course? How could this learning best be accomplished? 3. Discuss diversity divide in leadership and how this may influence or impact the financial performance of the organization. Assignment Expectations 1. Conduct additional research to gather sufficient information to support your analysis. 2. Provide a response of 3-5 pages, not including title page and references 3. As we have multiple required items to be addressed herein, please use subheadings to show where you are responding to each required item and to ensure that none are omitted. 4. Support your paper with peer-reviewed articles and reliable sources. Use at least three references; a minimum of two from peer-reviewed sources. For additional information on how to recognize peer-reviewed journals, see  http://www.angelo.edu/services/library/handouts/peerrev.php  and for evaluating internet sources: https://www.library.georgetown.edu/tutorials/research-guides/evaluating-internet-content 5. You may use the following source to assist in formatting your assignment:  https://owl.english.purdue.edu/owl/resource/560/01/.  Paraphrase all source information into your own words carefully, and use in-text citations. PART 2 This Module’s SLP is intended to allow you to apply what you have learned in the background readings regarding performing an analysis of a healthcare organization’s basic financial statement of operations. After completing each part of the background readings, search online for a healthcare organization’s statement of operations (at least two years of data; the organization can be inpatient or outpatient, either real or fictitious). Examine each of the columns and the totals in the statement of operations, using each of the topics introduced in Chapter 3 of the required background reading by Dr. Nowicki (2018), then answer the following: 1. How is your chosen organization doing in terms of its overall financial health? This should be measured or 4 9 L e a r n i n g O b j e c t i v e s C H A P T E R 3 F I N A N C I A L A N A LY S I S A N D M A N A G E M E N T R E P O RT I N G After completing this chapter, you should be able to do the following: ➤➤ Identify➤and➤understand➤the➤major➤components➤of➤financial➤statements ➤➤ List➤in➤order➤and➤explain➤each➤step➤in➤the➤financial➤analysis➤process ➤➤ Explain➤the➤principles➤in➤preparing➤good➤financial➤reports Note:➤Terms➤shown➤in➤boldface➤in➤this➤chapter➤are➤defined➤in➤the➤margins➤and➤appear➤in➤the➤glossary.➤Terms➤in➤boldface italic➤ also➤appear➤in➤the➤glossary. There is much more cognizance and awareness of the capital aspects of the balance sheet and a better understanding of the credit markets so you can decide where to invest cash, how to eke out investment returns on excess cash, and how to position the organization for the future. Robert Hemker, chief financial officer of Palomar Health, San Diego, California (who went on to become Palomar’s president and chief executive officer) 00_Nowicki (2339) Book.indb 49 5/17/17 10:57 AM C o p y r i g h t 2 0 1 8 . H e a l t h A d m i n i s t r a t i o n P r e s s . A l l r i g h t s r e s e r v e d . M a y n o t b e r e p r o d u c e d i n a n y f o r m w i t h o u t p e r m i s s i o n f r o m t h e p u b l i s h e r , e x c e p t f a i r u s e s p e r m i t t e d u n d e r U . S . o r a p p l i c a b l e c o p y r i g h t l a w . EBSCO Publishing : eBook Collection (EBSCOhost) - printed on 8/14/2022 8:56 PM via TRIDENT UNIVERSITY AN: 1839058 ; Michael Nowicki.; Introduction to the Financial Management of Healthcare Organizations, Seventh Edition Account: s3642728.main.ehost I n t r o d u c t i o n ➤ t o ➤ t h e ➤ F i n a n c i a l ➤ M a n a g e m e n t ➤ o f ➤ H e a l t h c a r e ➤ O r g a n i z a t i o n s5 0 In t r o d u c t I o n Financial analysis and management reporting are integral parts of the management func- tions of control and financial management. Financial analysis includes methods used by investors, creditors, and management to evaluate the past, present, and future financial performance of a healthcare organization. On completion of the analysis, the information is reported to the appropriate stakeholders, inside and outside the organization, at which time the stakeholders take action in the form of decisions. st e P s I n fI n A n c I A l An A ly s I s Financial analysis includes the following three steps: 1. Establish the facts about the organization. 2. Compare the facts about the organization over time and with facts about similar organizations. 3. Use perspective and judgment to make decisions regarding the comparisons. Financial analysis by management can occur at any level—departmental, divisional, or organizational—within the organization. At the organizational level, establishing the facts (the first step) usually relates to a review of the organization’s key financial