Cost Control

Discussion Question
Cost Control “Please respond to the following:
1.    Determine one (1) key driver of health care cost escalation. Indicate one (1) strategy health care managers can implement to reduce costs in the future. Provide support for your rationale.

(answer)

2.    Determine one (1) key trend in the health care segment that is likely to increase the cost of health care. Suggest one (1) strategy that managers can implement in order to best minimize the impact of the trend that you have indicated. Provide support for your rationale.

(answer)

“Fixed and Variable Costs “Please respond to the following:
1.    Assume that you are a financial administrator of a hospital, and you are responsible for reducing fixed costs for the facility. Determine the most significant fixed cost within the hospital, and recommend a strategy for reducing this cost 10% over the next year. Provide support for your strategy.

(answer)

2.    As a health care administrator, suggest the type of costs that you are most likely to control. Suggest an approach to drive down this particular cost area. Provide support for your rationale.