Competitive business strategy for teaching hospitals by James R. Langabeer, John Napiewocki

By James R. Langabeer, John Napiewocki

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In short, teaching hospitals are a business. Healthcare is a relatively mature industry and for organizations in mature industries to be successful in turbulent times they must be differential to the competition. To create this differential performance, the organization must be in a position to offer the marketplace a unique product or service, to be able to provide it in a faster or a higher-quality fashion, or to be able to command a higher price than the competition in relation to its costs.

Competitive Intelligence 193 Page vi V. Implementation and Conclusions 205 11. Strategy Implementation and Evaluation 207 12. S. 2 Diversification Strategies 130 Page ix Preface Academic healthcare is undergoing a revolution unlike any before. Although there have been dramatic changes in the areas of medicine, pedagogy, and technology, this change is financial. Without significant changes in the sophistication of strategic thinking for teaching hospitals, these once-powerful, valuable medical and research centers will quickly become shells of what they were.

The HCFA’s success in reducing hospital expenses and growth rates with a prospective payment system undoubtedly marked the beginning of its use for other services—including ambulatory and outpatient clinics. 7 billion. Page 22 The BBA attempts to continue to push for managed care practices. Medicare has used the DRG prospective payment system for inpatients for many years, but an outpatient prospective payment methodology is a new provision. Furthermore, the BBA encourages more states to implement Medicaid managed care reimbursement techniques, which will result in further declines in revenues.

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