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St Petersburg College W6 Importance of Productivity in Health Care Discussion

 

Why is productivity in health care important? What is the difference between productivity and other measures of performance (please explain)?

reply 1

The input and output proportion (Langabeer & Helton, 2021). is productivity. Exports are an output of processes and automation for products and services (Langabeer & Helton, 2021).Inputs include time, cost, work, materials, capital and other resources (Langabeer & Helton, 2021). Healthcare productivity is crucial because it provides cost efficient and efficient overtime for your operations (Kämäräinen et al., 2016). “Efficiency means minimum waste performance and resource use” (Langabeer & Helton, 2021). Performance measurements focus on all company sectors, assessing financial performance, customer service, competition and business (Langabeer & Helton, 2021). A performance scorecard is a visualization tool that monitors an organization’s key performance indicators in relation to time, objectives or other baseline.

The distinction between productivity and other performance metrics is that productivity is concerned with efficiency, whilst other performance measures are concerned with effectiveness (Langabeer & Helton, 2021). The process of carrying out or performing an activity, task, or function is known as performance. It is the healthcare facility’s ability to meet its organization’s expectations (Kämäräinen et al., 2016). Performance is frequently measured in terms of activity, either quantitatively or qualitatively (Kämäräinen et al., 2016). It also establishes responsibility by bringing visibility to the things that work and those that don’t in a company (Weir, 2018). They can tell you how fast something is done, how much it costs to get there, and whether it is worth your time and money (Weir, 2018). Certain key performance indicators, such as the number of days of accounts receivable, may be meaningless to one healthcare institution but significant to another (Weir, 2018).

The other major area where productivity lags is when it comes to the resources used to complete the task (Weir, 2018). While productivity is concerned with time, efficiency is concerned with the output created from the resources invested in a work (Weir, 2018). The sources of investment might range from money to components to time, and the quantity invested is compared to the amount of valuable output received by the firm (Weir, 2018). Productivity is concerned with the pace at which results are obtained, whereas efficiency is concerned with the resources used and the amount of waste generated (Weir, 2018) . Different forms of performance metrics include physician services, hospital services, health plan quality, patient experience of care, cost of healthcare services, and performance inequalities (Weir, 2018).

(Matthew 6:19-20) “Do not lay up for yourselves treasures on earth, where moth and rust destroy and where thieves break in and steal, but lay up for yourselves treasures in heaven, where neither moth nor rust destroys and where thieves do not break in and steal” (ESV 2001). In many aspects of life, productivity and performance play a vital influence. There is no one without the other when it comes to being effective in life. (Titus 3:1) “Remind them to submit to rulers and authorities, to be docile, and to be prepared for any good work.”(ESV 2001). To be prepared for a good job, one must be a high-performing product. Production and performance are important to every company. Efficiency (performance) is an excellent way to determine if a certain effort is worth the resources required to complete it (Weir, 2018).

reply 2

Why is productivity in healthcare important?

Productivity is the most critical subject in every business as when it is prioritized can increased an organization’s profit margins. It is about efficiency, doing things right with minimal resources and waste, that is, it ensures operations are cost effective and efficient overtime. The primary goal of every operations manager in an organization are to “reduce costs, eliminate waste, and ensure that resources are being used efficiently” (Langabeer, 2021, p. 144). However, in healthcare, productivity growth come as a form of improved quality care rather than reduced costs. Analysts believe that productivity in the healthcare is low due to the fact that healthcare is a service industry and has limited scope of efficiency improvements (Sheiner & Malinovskaya 2016). It is, therefore, important for operations managers to understand the benefits that measuring productivity can bring to an organization.

Productivity will help keep costs down. The U.S. spends more on healthcare than any other industry. Even though some of the costs may be necessary for Americans to have healthcare access, convenience, and quality of care, some of the spending is caused by inefficiency like the unnecessary medical treatment or treatment that add little to no value to the patient or the provider. The cycle of healthcare spending can be broken by healthcare providers minimizing these inefficiencies, and in order to achieve that, organizations need to identify and disseminate throughout the system (Aragon, et al., 2019). This will in turn reduce costs for the government, employers, insurance providers and patients who copay. Productivity prevents slowdowns for patients. Organizations that monitor their productivity are able to identify barriers to quality care. They are able to eliminate problems that lead to patient wait times, medical mistakes, unnecessary paperwork, and other delays in the supply chain.

What is the difference between productivity and other measures of performance? (Please explain).

Productivity measures focus on efficiency while other areas of performance measures focus on effectiveness, doing the right thing. Efficiency and effectiveness should both be measured on departmental and operational score card. Key performance indicators (KPI) should focus on all areas of the organization like measuring financial results, customer service, competition, and operations (Langabeer & Helton 2021). Performance scorecard as a measuring tool focuses on the measurement of key performance indicators of an organization in terms of time, targets, or another baseline. Balanced scorecard is an important part of every department’s strategic planning. Balanced scorecard trends performance metrics over a long period of time like weeks, months, quarterly (Enwere, Keating, & Weber, 2014). This tool is typically designed to measure performance metrics based on specific strategic goals, which in turn helps in the decision making of an organization. Balance scorecard has three components. Langabeer & Helton (2021) state that it has a balanced view in that it attempts to be inclusive of the whole department, it shows multiple indicators, and specific metrics are generic on the scorecard, but each department defines and manages its own metrics.

Conclusion

It is important for health care operations managers to make sure they monitor and measure productivity in their organizations as this will help in the decision-making process. By so doing limited resources will be allocated according to areas of priority, will help in reducing operations costs, eliminate waste and improve quality care for patients. Managers have to familiarize themselves with productivity trends and factors affecting it in the industry, as they take steps in reaching optimized resources, and remove barriers to improved productivity (Nabilou, et al., 2016). “For even the son of man came not to be served but to serve, and to give his life as a ransom for many” Mark 10: 45. Serving patients effectively should start from the top of organizational hierarchy to the bottom and be taken seriously at every level by each team member in the organization. They should understand that patient is king and managers, just like Jesus should adapt the servant-master relationship to foster patient satisfaction through improved productivity.