Increased demand for health care services leads to an increasing need for health care organizations to be cost-efficient. What are the factors that impact an organization’s financial viability?

Government and Policy for U.S. Health Leaders

Higbea, R., & Cline, G. (2021). Government and policy for U.S. health leaders (2nd ed.). Burlington, MA: Jones and Bartlett Learning. ISBN-13: 9781284207767 (Available as a custom eBook – includes only Chapter 6)

Essentials of Health Economics

Dewar, D. M. (2017). Essentials of health economics (2nd ed.). Burlington, MA: Jones and Bartlett Learning. ISBN-13: 9781284054620

Answer preview

Several factors impact a health care business, ranging from things they can control to things they cannot control. However, all must be addressed for the company to thrive. Quality of service affects a health care financial viability as an organization with low-quality services; it is highly likely not to be considered by patients for treatment. This would affect their financial channel as most of the income in health care comes from patients (Higbea & Cline, 2021). Acquisition of new technology and health care reforms have put an extra burden on health care finances. Acquisition of technology comes with a lot of finances. For instance, growing from paper-based to software bases. Health care requires the purchase of software and supporting skilled staff, security and backup costs, and compliance

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