Syllabus

Master of Science in Health Informatics

HIN 760 — Healthcare Finance and Economics – Fall A 2017

Credits - 3

Description

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. 

Materials

Required Textbooks

Nowicki, M. (2016). Introduction to financial management of healthcare organizations. Health Administration Press. Chicago, IL.

Sloan, F. & Hsieh, C. (2017). Health Economics, 2e. MIT Press. Cambridge, MA.

Learning Objectives and Outcomes

Program Outcome addressed by this course:

  • Understand the complex system of legal and regulatory compliance that governs the healthcare system

Course Outcomes:

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:

  • Summarize the competitive model and the role of the government in healthcare, including what drives supply and demand
  • Describe the types and sources of revenues and expenses in health care as well as various reimbursement models
  • Describe the processes in the healthcare revenue cycle and the impact of collections on fiscal viability
  • Interpret and analyze basic financial management reports for a health care organization
  • Apply variance analysis techniques including benchmarking to budget and actual reports, financial statements, and ratio calculations
  • Describe methods for classifying, allocating, and assembling costs as well as the importance of materials management
  • Evaluate operational and capital budgets for a health care facility including sources of capital funding and costs

Assignments

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

Course Schedule at a Glance

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

Grading Policy

Your grade in this course will be determined by the following criteria:

Grade Breakdown

Assessment ItemPossible PointsPercent 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 Project10 points5%
Executive Summary for Informatics Budget Project 20 pts10%
Informatics Budget Project (Includes Executive Summary and Budget in Excel) 60 pts30%
Reflection10 pts5%
Total200 pts100%

Grade Scale

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

Schedule

Detailed Course Schedule

Week 1

Theme: Introduction and Demand

Readings:

Videos:

Learning Outcomes:

  • Discuss economic assumptions in healthcare and with regards to healthcare behavior
  • Apply basic economic demand concepts
  • Evaluate the relationship between health, healthcare insurance, and use of healthcare services

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:

  • – 2.1 (p. 73)
  • – 3.9 (p. 123)
  • – 4.6 (p. 163)
  • – 4.7 (p. 163)

Submit your responses in a WORD document with APA formatting.

Week 2

Theme: Supply

Readings:

Video:

Learning Outcomes:

  • Compare and contrast factors that affect the market for physician services
  • Analyze hospital models and hospital behavior
  • Explain the business of health insurance including government regulation

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:

  • – 5.2 (p. 207)
  • – 5.5 (p. 208)
  • – 6.7 (p. 255)
  • – 10.2 (p. 461)
  • – 10.5 (p. 461)

Submit your responses in a WORD document with APA formatting.

Week 3

Theme: Market Structure

Readings:

Videos:

Learning Outcomes:

  • Discuss the economic impact of quality
  • Compare and contrast different payment systems
  • Debate the rationale for public provisions of health insurance
  • Evaluate different approaches to healthcare reform

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:

  • – 11.4 (p. 502)
  • – 12.4 (p. 561)
  • – 12.7 (p. 561)
  • – 13.4 (p. 625)

Submit your responses in a WORD document with APA formatting.

Week 4

Theme: Overview of Financial Management

Readings:

Video:

Learning Outcomes:

  • Assess the value of healthcare financial management particularly in the changing face of healthcare
  • Discuss the roles and responsibilities of key financial managers
  • Analyze the rationale for tax-exempt status for healthcare organizations including the importance of community benefits to tax-exempt status

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.

  • Project type (e.g. what kind of informatics project or system)
  • Purpose (1 sentence)
  • Overview (1-2 paragraphs that list benefits)
  • Need (1-2 paragraph on business drivers, regulatory issues, etc)
  • Resources required (should address staffing, equipment, software)
  • Project management support needs (i.e. what kind of PM support, expertise required, scope of responsibilities)
  • Technical considerations (i.e. who will provide technical support for project – internally or externally)
  • Timeline (start date to finish date)
  • Estimated cost (TBD – updated based on week seven budget)

Week 5

Theme: Operating Revenue

Readings:

Videos:

Learning Outcomes:

  • Examine new methods of financing and delivering healthcare
  • Identify methods of payment, including bad debt and charity care
  • Analyze the current benefits of and financing for Medicare and Medicaid
  • Examine the various methods of setting charges as well as methods of reimbursement to providers

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?

Week 5 Textbook Assignment (Case Study)

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.

Week 6

Theme: RCM, Materials Management, Financial Analysis

Readings:

Videos:

Learning Outcomes:

  • Explain the important elements of a revenue cycle including ratios used to evaluate revenue cycle performance
  • Evaluate the importance of materials management as well as methods of valuing inventory and identify costs related to inventory
  • Identify the major components of financial statements and explain each step of the financial analysis process

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.

Week 7

Theme: Resource Allocation, Budgeting, Cost Accounting

Readings:

Video:

Learning Outcomes:

  • Define and understand the importance of budgeting including the various types of budgeting
  • Explain each step of the capital budgeting process and the methods used to evaluate the capital budgeting process
  • Explain methods of classifying, allocating and assembling costs

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:

  • An updated executive summary incorporating any feedback you received in week four with a new section that describes how you will monitor and control your capital budget. This section should be 1-2 paragraphs explaining how often the budget should be reviewed and how you will know the budget is on track.
  • A budget completed in Excel – an example budget template is provided below for reference (or feel free to develop your own). Start by identifying key cost areas for the project then research costs and document any assumptions.

Make sure to reference the sources you use in your research.

MeHI EHR Budget Template

Week 8

Theme: Future Frontiers & Economic Controversies

Readings:

  • Sloan & Hsieh: Chapter 16 — The Contribution of Personal Health Services to Longevity, Population Health, and Economic Growth
  • Sloan & Hsieh: Chapter 17 — Frontiers of Health Economics

Videos:

Learning Outcomes:

  • Explain the relationship between health and economic sectors and personal and population health
  • Review and debate economic controversies

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:

  • What are the top three things you learned in this class and why? Address both healthcare economics and financial management.
  • How can you apply these learnings? How is what you learned in this class relevant to your current and/or future work?
  •  

Submit your reflection in a WORD document with APA formatting.

Student Resources

Online Student Support

Your Student Support Specialist is a resource for you. Please don't hesitate to contact them for assistance, including, but not limited to course planning, current problems or issues in a course, technology concerns, or personal emergencies.

Questions? Visit the Student Support Health Informatics page

APA Style Guide

UNE Libraries:

UNE Student Academic Success Center

The Student Academic Success Center (SASC) offers a range of services to support your academic achievement, including tutoring, writing support, test prep and studying strategies, learning style consultations, and many online resources. To make an appointment for tutoring, writing support, or a learning specialist consultation, go to une.tutortrac.com. To access our online resources, including links, guides, and video tutorials, please visit:

Accommodations

Any student who would like to request, or ask any questions regarding, academic adjustments or accommodations must contact the Student Access Center at (207) 221-4438 or pcstudentaccess@une.edu. Student Access Center staff will evaluate the student's documentation and determine eligibility of accommodation(s) through the Student Access Center registration procedure.

Policies

Technology Requirements

Please review the technical requirements for UNE Online Graduate Programs: Technical Requirements

Turnitin Originality Check and Plagiarism Detection Tool

The College of Professional Studies uses Turnitin to help deter plagiarism and to foster the proper attribution of sources. Turnitin provides comparative reports for submitted assignments that reflect similarities in other written works. This can include, but is not limited to, previously submitted assignments, internet articles, research journals, and academic databases.

Make sure to cite your sources appropriately as well as use your own words in synthesizing information from published literature. Webinars and workshops, included early in your coursework, will help guide best practices in APA citation and academic writing.

You can learn more about Turnitin in the Turnitin Student quick start guide.

Information Technology Services (ITS)

ITS Contact: Toll Free Help Desk 24 hours/7 days per week at 1-877-518-4673

Course Evaluation Policy

Course surveys are one of the most important tools that University of New England uses for evaluating the quality of your education, and for providing meaningful feedback to instructors on their teaching. In order to assure that the feedback is both comprehensive and precise, we need to receive it from each student for each course. Evaluation access is distributed via UNE email at the beginning of the last week of the course.

Attendance Policy

Online students are required to submit a graded assignment/discussion prior to Sunday evening at 11:59 pm ET of the first week of the term. If a student does not submit a posting to the graded assignment/discussion prior to Sunday evening at 11:59 pm ET, the student will be automatically dropped from the course for non-participation. Review the full attendance policy.

Late Policy

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.

Discussion posts: If the initial post is submitted late, but still within the discussion board week, there will be a 10% grade reduction from the total discussion grade (e.g., a 3 point discussion will be reduced by 0.3 points). Any posts submitted after the end of the Discussion Board week will not be graded.

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.

Student Handbook Online - Policies and Procedures

The policies contained within this document apply to all students in the College of Graduate and Professional Studies. It is each student's responsibility to know the contents of this handbook.

UNE Online Student Handbook

UNE Course Withdrawal

Please contact your student support specialist if you are considering dropping or withdrawing from a course. The last day to drop for 100% tuition refund is the 2nd day of the course. Financial Aid charges may still apply. Students using Financial Aid should contact the Financial Aid Office prior to withdrawing from a course.

Academic Integrity

The University of New England values academic integrity in all aspects of the educational experience. Academic dishonesty in any form undermines this standard and devalues the original contributions of others. It is the responsibility of all members of the University community to actively uphold the integrity of the academy; failure to act, for any reason, is not acceptable. For information about plagiarism and academic misconduct, please visit UNE Plagiarism Policies.

Academic dishonesty includes, but is not limited to the following:

  1. Cheating, copying, or the offering or receiving of unauthorized assistance or information.
  2. Fabrication or falsification of data, results, or sources for papers or reports.
  3. Action which destroys or alters the work of another student.
  4. Multiple submissions of the same paper or report for assignments in more than one course without permission of each instructor.
  5. Plagiarism, the appropriation of records, research, materials, ideas, or the language of other persons or writers and the submission of them as one's own.

Charges of academic dishonesty will be reviewed by the Program Director. Penalties for students found responsible for violations may depend upon the seriousness and circumstances of the violation, the degree of premeditation involved, and/or the student’s previous record of violations.  Appeal of a decision may be made to the Dean whose decision will be final.  Student appeals will take place through the grievance process outlined in the student handbook.