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Decision Making Case Study

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Decision Making Case Study
Lisa Powers
HCS 514
University of Phoenix

Decision Making Case Study
Today’s healthcare organizations have the difficult task of maintaining adequate operations in the economic climate we live in. Budget cuts have hit all organizations in corporate America as well as the healthcare industry. Staying afloat in these economic times requires the implementation of difficult decisions, often including reduction of services. This has never been more prevalent than in the health care industry. Healthcare organizations are being hit hard. Hospitals and outpatient clinics are operating with budget deficits. Many organizations are now required to cut or eliminate clinical services in order to remain operational. Determining which clinical services should be cut requires managerial staff to make the difficult decision. Managers require tools that enable them to best make that difficult decision to best address the health care needs of the community served.
The New York State Medicaid program is the largest single payer of healthcare in the state of NY to the tune of about $47 billion dollars (“Advocates,” 2008). New York has the nation’s highest total and per-patient Medicaid spending and must link spending to healthcare priorities. The number of uninsured patients has steadily increased over the past few years. Funding losses and projected increased operating expenses have left many healthcare organizations with budget shortfalls. In New York State alone various facilities face losses of up to $300 million in Medicaid funding based on proposed state budget cuts (NYCHHC, 2009).
I am employed as a manager in a county clinic that provides various clinical services to Medicaid clients. Clinics are an essential setting for the delivery of primary and preventive services...

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