Health Care Financial Terms Week One Essay
Health Care Financial Terms Week One
Controlling is the practice that managers use to ensure that the company plans and goals are being attained. By comparing report to each other areas that are working and succeeding are defined and the areas where problems are occurring can be addressed and corrected (Baker & Baker, 2011).
A manager has four different, lets say teams” that report to this manager. Controlling would be when team A, B, C, and D submit the teams’ financial report to the manager. The manager would review all four teams to ensure the teams are meeting the financial goals. So, in this scenario Team A, B, and C is on target and meeting the goals. However, Team D has not met the goals.
The manager needs to review the team D’s progress determine where the problem is, such as cutting cost, the resource allocation, operating procedure, or other issues. Without controlling the teams and reviewing progress, other area will suffer.
Decision making is management making informed decisions based on all information that accomplishes the company’s goals (Baker & Baker, 2011).
The company is making a decision on purchasing electronic medical records. The financial reports will inform management of the financial status on the company and the amount of money they can budget for the purchase of this the EMR.
Organizing is a term for companies to decide how to use resources for the best outcome for the company (Baker & Baker, 2011).
A manager is given a certain amount of revenue and the manager decides where the money is allocated for the department to accomplish the goals set by the
To succeed, companies need corporate goals. Planning is identifying the goals and resources. Laying out the steps by using the resources to accomplish those goals (Baker & Baker, 2011).
A manager has a specific project to install and to perform the primary function of the project. The manager works out a step by step plan from the beginning to the end of implementing the project until the project is complete and accomplishes the goal.
When a transaction is recorded into a journal or ledger this becomes the original records (Baker & Baker, 2011).
A patient makes a payment of $100. This payment is entered into the patient’s file and payment history. This entry is an original record in the company’s income ledger.
Baker, J. J., & Baker, R. W. (2011). Health Care Finance Basic Tools for Nonfinancial Managers (3rd ed.).
Sudbury, MA: Jones and Bartlett Publishers, LLC.