Discussion 3-2


I have to respond to the following statements of my classmates (NOT analyze them). Please provide 75-100 words to each statement with a reference to each if applicable. Please make sure the references are less than 10 years old.


Re: Legal, regulatory and economic issues

posted by CARLOS RAIZ ENCISO at Mar 12, 2015, 1:45 PM

Last updated Mar 12, 2015, 1:45 PM 


The organization should hire a well knowledge and active health care administrator because he plays a very important role in this scenario and he needs to be aware of the changes taking place in the external environment of the organization, and establish the specificity of those new changes or organizations that impact the organization creating changes to it. Specifically these external environment factors including the legal, regulatory and economic have a direct impact in the development of the strategic plan for any given health care organization. The strategic plan is influenced by the legal part or by the health law, and its strategy needs to be formulated aligned to those federal and state laws, and also to compliance with all federal and state governmental regulatory agencies in order to be accredited as an health care institution, so when the strategic planning should be created following all these guidelines. The economic is another external factor that impacts the health care organization because the economic issues dictate the level of demand for services, and the organization's strategic plan should be adjusted or revised to fit the specific consumer needs. The health care manager, the top and lower authorities should not ignore or override the results of the analysis of these three external environment factors, otherwise the strategic plan won't be success, and will generate a negative outcomes for the organization.



Re: Legal, regulatory and economic issues

posted by TENISHA RIVERS-HILL at Mar 10, 2015, 7:26 AM

Last updated Mar 10, 2015, 7:26 AM 


When health care managers develop strategic plans he or she must consider external issues such as regulatory, economic and legal issues.   HIPPA laws protect patient's health and private information and organizations must have systems and processes in place that address safe sharing, transferring and disposal of patient information.  Patient confidentiality legal issues may affect strategic planning because the organization should conduct assessments of the way the organization currently handles patient information.  The internal assessments may contain information relevant to a strategic plan and indicate the need for EMR and software that will better protect the organizations.


Economic changes such as health care reform will grant health insurance to individuals who were ineligible in the past (Hunger & Wheelen, 2011,).  This information will help in strategic development because the organization will decide where funding she be appropriated. Managers can determine is they should propose additional primary care doctors and facilities and possible decrease emergency personnel and facilities.  


Regulatory issues help in the development of strategic planning because insurance companies are regulating which routine services they will pay.  In the past, women could have a cervical screening/pap smear every year.  The new recommendations are cervical screenings/pap smears are necessary every three years and insurance will only cover these services every three years.  Health care organizations may want it decrease the amount of OB/GYNs in their strategic plans.  



Re: Legal, regulatory and economic issues

posted by CLEO WILLIAMS at Mar 10, 2015, 4:17 AM

Last updated Mar 10, 2015, 4:17 AM 


The passing of the Affordable Care Act also promoted the adoption of electronic medical records (EHRs).  According to Swayne, Duncan, & Ginter (2008, p. 51) "health care often advances hand in hand with technology."  For this reason, staying abreast of health care policies and regulations allowed health executives to formulate a strategic plan to ensure that necessary steps were implemented within the organization to prepare for such changes. Everyone involved in the entity participated to make certain the facility was prepared and able to adapt to change.  For example, technical support played a significant role with ensuring the necessary equipment was purchased and that employees were effectively trained to use the new information system. However, without the use of strategic planning by management the facility would have been unprepared for such changes.  "Organizations that fail to anticipate change, ignore external forces, or resist change will find themselves out of touch with the needs of the market, especially because of antiquated technologies, ineffective delivery systems, and outmoded management" (Swayne, Duncan, & Ginter, 2008, p. 37).  



Re: Legal, regulatory and economic issues

posted by ALESHA FLOYD at Mar 11, 2015, 12:33 PM

Last updated Mar 11, 2015, 12:33 PM 



Legal issues can affect the development of a strategic plan simply because they can cause delay, or even confusion for business owners. I found an article about small business owners and how legal issues can interfere in not only their strategic planning but in the process of existence in general. "The nine concerns included: business format (choice of entity type), intellectual property, liability, regulation, contracts, tax, employment, financing and real property" (Hertz, Beasley, & White, 2009, p. 84). Regulatory issues can hamper a strategic plan from development if a delay in regulations takes place or even causes the plan in development to need a complete revision. This can cause the plan to take even longer to be created and may cause outside help to be found to understand any new regulations pertaining to their facility. Economic issues can affect the planning process as any major economic change in the community or industry may cause the business to look for new ideas to sell their product or may have to change who they are creating a product for. In this week’s reading the chapter speaks of how prevalent the older population is with money to spend and focusing on that age group for new products, but when the baby boomers are no longer here the large amounts of that age population will not be that significant and the newer older population most likely will not have money to spend. With high debt and large educational debt that the middle aged generations have, I do not see where as they age the finances for recreational vehicles or cruises will be there and so these businesses may then need to adjust what or how they offer products.

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