This course explores the fundamentals of finance and economics in a health care system at the local system level and at the national level. Student’s understanding the need for fiscal responsibility of complex payer systems is most important. The foci of this course include market supply and demand, the economics of care and managed care, budgeting, accounting, and fiscal reporting.
This course is intended to provide an understanding of the healthcare operating model as well as fundamental budget and financial management skills required for successful leadership in health informatics.
Upon successful completion of this course, the student will be able to:
Weekly Discussion Posts — Each week there will be a discussion board that addresses a topic within the current module. For each discussion board, you must submit an original post and respond to at least 2 posts from your colleagues. Your original post should be at least 350 words in length. Be substantive and clear. Most of your post should be your own words and ideas; use examples from class materials and/or peer reviewed articles to support your ideas. References should be cited using APA Style.
Textbook Assignments — In weeks 1-3 and 5-6 there will be a series of textbook assignments to help you consolidate that week’s concepts.
Informatics Budget Project — A key assignment for the class is a budget project that will allow you to investigate a real world informatics project and its financial implications. The project consists of an executive summary completed in week four and a final budget submitted in week seven.
Course Reflection — Week 8
Week | Topic | Activities and Assignments | Dates |
1 |
Introduction & Demand |
Sloan & Hsieh: Chs. 1-4 Discussion Posting Textbook Assignments |
8/30/2017 – 9/6/2017 |
2 | Supply |
Sloan & Hsieh Chs 5, 6, 10 Discussion Posting Textbook Assignments Topic Proposal for Budget Project |
9/6/2017 – 9/13/2017 |
3 |
Market Structure |
Sloan & Hsieh Chs 7, 11-13 Discussion Posting Textbook Assignments |
9/13/2017 – 9/20/2017 |
4 |
Overview of Financial Management |
Nowicki Chs 1-3 Discussion Posting Executive Summary for Informatics Budget Project |
9/20/2017 – 9/27/2017 |
5 |
Operating Revenue |
Nowicki Chs 4, 5, 7 Discussion Posting Case Study Assignment |
9/27/2017– 10/4/2017 |
6 |
RCM, Materials Management, Financial Analysis |
Nowicki Chs 9, 10, 14 Discussion Posting Case Study Assignment |
10/4/2017 – 10/11/2017 |
7 |
Resource Allocation, Budgeting, Cost Accounting |
Nowicki Chs 6, 12-13 Discussion Posting Final Informatics Budget Project |
10/11/2017 – 10/18/2017 |
8 |
Future Frontiers & Economic Controversies |
Sloan & Hsieh Chs 15-17 Discussion Posting Reflection |
10/18/2017 – 10/22/2017 |
Your grade in this course will be determined by the following criteria:
Assessment Item | Possible Points | Percent of Total Grade |
---|---|---|
Discussion Posts (8) | 40 pts - (5 pts each) | 20% |
Textbook Assignments (5) | 60 pts - (12 pts each) | 30% |
Topic Proposal for Informatics Budget Project | 10 points | 5% |
Executive Summary for Informatics Budget Project | 20 pts | 10% |
Informatics Budget Project (Includes Executive Summary and Budget in Excel) | 60 pts | 30% |
Reflection | 10 pts | 5% |
Total | 200 pts | 100% |
Grade | Points Grade | Point Average (GPA) |
A | 94 – 100% | 4.00 |
A- | 90 – 93% | 3.75 |
B+ | 87 – 89% | 3.50 |
B | 84 – 86% | 3.00 |
B- | 80 – 83% | 2.75 |
C+ | 77 – 79% | 2.50 |
C | 74 – 76% | 2.00 |
C- | 70 – 73% | 1.75 |
D | 64 – 69% | 1.00 |
F | 00 – 63% | 0.00 |
Theme: Introduction and Demand
Readings:
Videos:
Learning Outcomes:
Week 1 Discussion:
Economists often assume that people are rational and forward-looking in their decisions. What is meant by the terms “rational” and “forward-looking?” Give concrete examples of a decision in which people are likely to be rational and forward-looking and one in which this assumption seems less tenable. What empirical tests would you use to determine whether people are rational and forward-looking in a particular context or not?
Week 1 Textbook Assignments
Complete the following exercises from the Sloan & Hsieh text:
Submit your responses in a WORD document with APA formatting.
Theme: Supply
Readings:
Video:
Learning Outcomes:
Week 2 Discussion:
What is the theoretical relationship between hospital ownership and hospital performance? Do private and not-for-profit hospitals enjoy any advantage that might increase their measured efficiency relative to that of for-profit hospitals? What do the Newhouse and the physicians’ cooperative models imply about the efficiency of private non-for-profit hospitals relative to that of for-profit hospitals?
Week 2 Budget Topic Proposal Assignment
Please submit a short paragraph describing the topic for your health informatics budget project.
Projects can address a wide range of informatics areas including EHR system updates, clinical quality reporting, revenue cycle management optimization, cost accounting system implementation, or data warehouse implementation. Please do not select a complete EHR implementation for this project.
Week 2 Textbook Assignments
Complete the following exercises from the Sloan & Hsieh text:
Submit your responses in a WORD document with APA formatting.
Theme: Market Structure
Readings:
Videos:
Learning Outcomes:
Week 3 Discussion:
Explain the distinction between patient-driven competition and payer-driven competition. Give examples of how these two types of competition would lead to different outcomes in a hospital market.
Week 3 Textbook Assignments
Complete the following exercises from the Sloan & Hsieh text:
Submit your responses in a WORD document with APA formatting.
Theme: Overview of Financial Management
Readings:
Video:
Learning Outcomes:
Week 4 Discussion:
Explain the meaning and rationale of granting corporate status to healthcare organizations, and the advantages corporate status provides. What are the steps necessary to qualify for tax-exempt status?
Week 4 Assignment— Executive Summary for Informatics Budget Project
This week complete an Executive Project Summary for your informatics budget project. The Executive Project Summary should include the items below submitted in a WORD document and be about 2-3 pages in length. Use APA formatting.
Theme: Operating Revenue
Readings:
Videos:
Learning Outcomes:
Week 5 Discussion:
Discuss the differences between second-party payment and third-party payment. What led to the creation of the third party payment system? Why do healthcare organizations choose to shift costs to other payers?
Read the Case Study, Bobcat Integrated Delivery System, on page 381 in Nowicki. Do problems 5, 6, 8 and 9.
Submit your responses in a WORD document using APA formatting. Make sure to provide an introduction and conclusion to your case study. The body of the case will be the responses to each of the questions.
Theme: RCM, Materials Management, Financial Analysis
Readings:
Videos:
Learning Outcomes:
Week 6 Discussion:
What are the steps to managing accounts receivable? What is the best way to evaluate revenue cycle management performance?
Week 6 Textbook Assignment (Case Study)
This week we will continue with the Case Study on page 381 in Nowicki: Bobcat Integrated Delivery System. Do problems 12, 13, 16 and 18.
Submit your responses in a WORD document using APA formatting. Make sure to provide an introduction and conclusion to your case study. The body of the case will be the responses to each of the questions.
Theme: Resource Allocation, Budgeting, Cost Accounting
Readings:
Video:
Learning Outcomes:
Week 7 Discussion:
Why is it important to be able to classify costs a variety of different ways? What is the point of allocating costs?
Week 7 Assignment – Final Informatics Budget Project
This week you will submit your final informatics budget project. Your final project will include:
Make sure to reference the sources you use in your research.
Theme: Future Frontiers & Economic Controversies
Readings:
Videos:
Learning Outcomes:
Week 8 Discussion:
Consider the share of GDP spent on healthcare in every country increases over time. Do you expect this share to continue to rise in the future? Is it possible that a country such as the US will spend more than 30 percent of its GDP on personal health care services in 2030? Explain why this would happen if you think so.
Week 8 Assignment – Reflection
Provide a response of about 350-500 words that reflects on what we have covered in this class and your experience. Address the following key areas:
Submit your reflection in a WORD document with APA formatting.
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Assignments: Late assignments will be accepted up to 3 days late; however, there is a 10% grade reduction (from the total points) for the late submission. After three days the assignment will not be accepted.
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Please make every effort ahead of time to contact your instructor and your student support specialist if you are not able to meet an assignment deadline. Arrangements for extenuating circumstances may be considered by faculty.
8 week: Students taking online graduate courses through the College of Professional Studies will be administratively dropped for non-participation if a graded assignment/discussion post is not submitted before Sunday at 11:59 pm ET of the first week of the term. Reinstatement is at the purview of the Dean's Office.
16 week: Students taking online graduate courses through the College of Professional Studies will be administratively dropped for non-participation if a graded assignment/discussion post is not submitted before Friday at 11:59 pm ET of the second week of the term. Reinstatement is at the purview of the Dean's Office.
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