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It is important for hospital administrators to regard outpatient care as a key component of their overall business strategy. Do you agree?

April 4, 2022
Christopher R. Teeple

Question A:
It is important for hospital administrators to regard outpatient care as a key component of their overall business strategy. Do you agree? Why or why not?
Question B:
What is the difference between a general hospital and a specialty hospital? Discuss if general hospitals provide services that are of an inferior quality to those provided in specialty hospitals.
REPLY TO MY CLASSMATE’S DISCUSSION TO THE ABOVE QUESTIONS AND EXPLAIN WHY YOU AGREE.
CLASSMATE’S POST
Question B
I agree that administrators should prioritize outpatient care as part of their overall business strategy. “The shift from inpatient to outpatient treatment is more pronounced in managed care organizations (MCOs),” suggests JR (2000). By combining incredibly large purchasing power, MCOs can obtain low-cost healthcare services and implement various controls to reduce rising healthcare costs (SHI, 2015). Outpatient care reduces costs for patients while increasing hospital earnings from 30% to 48% according to Aetonix (2021). So, to provide affordable quality while increasing overall revenue for the facilities, administrators should prioritize outpatient care.
Question B
According to SHI (2015), general hospitals treat and operate on patients with a wide range of acute medical conditions, whereas specialty hospitals treat specific diseases or medical conditions, such as cancer and heart disease, as well as serve a specific patient population, such as children. Almost all services are provided at general hospitals, while specialty hospitals treat specific conditions. According to Cram et al. (2010), specialty hospitals had lower Acute Myocardial Infarction (AMI) mortality than general hospitals, but (Coronary Artery Bypass Grafting) CABG mortality was exactly equivalent. It claims that a specialized hospital can improve AMI outcomes, but not CABG ones. There is no guarantee that the services or care you receive in a specialty hospital will be superior.
References:
Aetonix (2021) How to Create Your Outpatient Growth Strategy. Retrieved from https://aetonix.com/care-coordination/how-to-create-your-outpatient-growth-strategy/
Cram, P., Bayman, L., Popescu, J., & Vaughan, S. M. S. (2010). Acute Myocardial Infarction and Coronary Artery Bypass Grafting Outcomes in Specialty and General Hospitals: Analysis of State Inpatient Data. Health Services Research, 45(1), 62–78. https://doi.org/10.1111/j.1475-6773.2009.01066.x
JR, D. (2000). Managed Care Systems and Emerging Infections: Challenges and Opportunities for Strengthening Surveillance, Research, and Prevention: Institute of Medicine (US) Forum on Emerging Infections Washington (DC): National Academies Press (US)Retrieved from https://www.ncbi.nlm.nih.gov/books/NBK100183/
Shi, L. (2015). Essentials of the U.S. Health Care System (4th Edition). Jones & Bartlett Learning. https://ambassadored.vitalsource.com/books/9781284113044

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