Health Care Delivery/Integration
Managed care, arguably one among the most common emerging trends in the field of health care, is exceptionally controversial as it has impacted differently on people and societies. Managed care is aimed at reducing the costs of accessing healthcare benefits. It lays emphasis on such techniques as preventive care and the use of financial incentives (Wolper, 2004). Looking at it from an micro-level point of view, managed care is associated with conflict of interest on the part of the physician. On the other hand, it makes it difficult for the physician to prioritize the interests of the patients. On the macro-level analysis, managed care is associated with negative reactions from the public as people have to wait for long hours before getting served by the physician. Managed care has a negative effect on the physician-doctor ratio. Overall, from a macro-level point of view, managed care is associated with poor quality healthcare for the population in a nation.
Contrary to common misconception, organizational downsizing does not only relate to the reduction of the workforce. On the contrary, it leads to reduction of the amenities and perks availed to the remaining workers. This includes medical covers given to employees. On the micro-level organizational downsizing can negatively affect an employee as it implies lesser access to healthcare and related amenities (Wolper, 2011). On the macro level, fewer people are in a position to access quality healthcare. Essentially, from a healthcare point of view, downsizing has a negative net effect.
The Impact of Horizontal, Vertical, and Virtual Integration on Health Care Organizations
Much like the pharmaceutical industry, the healthcare industry is becoming highly integrated, vertically, horizontally and virtually. Vertical integration has made it easier for healthcare organizations to access drugs and other medical equipments as they are in a position to control the supplies of the same (Wolper, 2004). Horizontal integration has equipped the organizations with various synergies such as high bargaining power due to little competition from equal capacity organizations.
Virtual integration, which is basically associated with strategic relationships between the physician and the hospital, has seen the organizations gain control over the prices at which peoples can access healthcare, making the organizations more profitable (Wolper, 2011). Worth mentioning is the reality that horizontal integration reduces the ratio of facility to population, but increases the size of the institutions.
Wolper, L. F. (2004). Health care administration: Planning, implementing, and managing organized delivery systems. Sudbury, MA: Jones and Bartlett Publishers.
Wolper, L. F. (2011). Health care administration: Managing organized delivery systems. Sudbury, Mass: Jones and Bartlett Publishers.