Health Service Resource Management

Question 1: 
What are the main sources of revenue for the organisation in which you work? What is the most important source of revenue, eg how much comes from the state government, how much from the Federal government and how much from patients? What are the organisation’s main expenses? Is the aim of the organisation to make profits? If not, what is its primary aim? 

Question 2: 
Why should healthcare organisations be concerned with the costs of providing services? After all, shouldn’t we be trying to save patients’ lives no matter what it costs? 

Question 3: 
A report from the National Health Performance Authority (http://www.myhospitals.gov.au/our-reports/cost-of-acute-admitted-patients/april-2016/report) found: 
• In 2013–14, the cost of providing an average service could be almost twice as high at one major metropolitan hospital compared to another.
• From 2011–12 to 2013–14, eight major metropolitan public hospitals decreased their cost for providing a notional ‘average’ service by at least 5%, indicating improved efficiency. Both Western Hospital in Footscray in Victoria and Westmead Hospital in NSW decreased their costs by 9% over this period. 
Can you suggest two ways of cutting costs in your organisation that would not interfere with patient outcomes? 

Question 4: 
How is budgeting done in your organisation? After reading the budgeting material in the lecture notes can you identify some deficiencies in the existing budgetary processes in your organisation? What implications do you think these may have on your organisation? 

Question 5: 
Over the past five years there has been a shift to activity based funding (ABF) of hospital services and this funding model is likely to be expanded into other areas of health service delivery. Is the organisation in which you work mainly funded by an ABF model? If not, how is it funded? Do you think that ABF is a good policy change? What impact do you think this will have on the way hospitals and other health providers deliver their services? 

Question 6: 
What are the key messages that you have learnt from studying this course? Were there any particular concepts that will help you in your day-to-day activities in the health care industry? If so describe what they are and how they will help you.