Not only is tinkering with social safety net programs likely to create future changes in compensation and coverage, but previous changes are still coming into effect and creating challenges for medical administrators. Neither patients nor insurers nor taxpayers like the idea of paying more for less, and pressure can drop onto healthcare administrators rapidly once that feeling surfaces. Ethical challenges in healthcare is a big deal. Most training initiatives, per Dunn (1995) remain centered around “traditional clinical interview with its focus on acute illness,” but healthcare providers will be challenged to change that dynamic. As baby boomers age and the demand for healthcare increases, the industry is poised to grow rapidly. Healthcare cost drivers white paper. Research suggests technological advancements will present additional challenges with programming, control, and support issues. A history of patches and half-measures covering those past challenges has left a rickety structure in place… one that America’s healthcare administrators have the tricky job of trying to operate efficiently. Talent acquisition is a top HR problem in the health care industry, especially in rural areas. Executives from payer, provider, and technology partner organizations were presented with a list of more than 25 topics. 1. In addition, it creates legal costs and rise in malpractice insurance coverage for the agency. Her concentration is leadership development and coaching and the successful transformation of individuals, organizations, and communities. To combat these challenges, the healthcare provider needs actively engage in awareness and information sharing regularly. In particular, the fast-evolving … Managing Healthcare Cost Retrieved from https://www.shrm.org/resourcesandtools/tools-and-samples/toolkits/pages/managinghealthcarecosts.aspx, Thompson, J.M., Buchbinder, S.B., & Shanks, N.H. (2016). These issues include: 1. To make matters worse, many of the reasons are systemic ones that healthcare administrators don’t have any individual influence over. Healthcare leaders must inform themselves, and staff on how to handle the changes in coverage. Eligible professionals may also see r… Patients are looking for convenience and care. Medical administrators will be sorting through the shifting options for value-based reimbursement through 2018 and beyond. B.S. The global community hasn’t seen an epidemic like this in about 100 years. “Nonetheless, healthcare executives always need to proactively stay on top of regulatory developments so they can position their organizations for the opportunities and challenges that may emerge as a result of changes,” says Kim Bell, senior vice president of health services, NFP, an insurance broker and consulting firm in Austin, Texas. As a body, however, improving patient outcomes and healthcare efficiency may be the most important thing that healthcare administrators can work toward in the coming years. There are many healthcare management challenges in the U.S. today. Improvements in healthcare also allow for a larger … Today’s health organizations are facing physician shortages and need “low-cost alternatives to office visits” and in-patient care (Austin, Bentkover, & Chait, 2016). No one approach works best always, therefore leaders must routinely explore models and methodologies to help them tackle challenges, including building partnership with other leaders; self-development; recruiting and implementing continuously training programs for staff; research alternatives and promoting information awareness for everyone involve. Leading strategic change in an era of healthcare transformation. Healthcare leaders must take steps to assess, develop and fine tune key personal and professional skills to remain proficient (Northouse, 2013). Five to ten years from now, leaders can expect more of a shift from the traditional office visits and prescreening in favor of virtual and cyber doctor patient interactions. British Medical Journal/BMJ 1998 Jun 27; 316(7149): 1959–1961. Leaders must build a collaborative environment whereby everyone is involved in the process of developing strategies to help overcome the challenges as they arise. Administration efforts to dismantle Obamacare and roll back benefits on government insurance programs threaten to make cheaper care alternatives even more normal… even when they contribute to other long-term problems. It’s a big job, and the only way to stay on top of it is to keep track of what next year’s challenges are going to be…. Today’s health organizations are facing physician shortages and need “low-cost alternatives to office visits” and in-patient care (Austin, Bentkover, & Chait, 2016). As one of the largest employers in the country, and because every citizen needs healthcare at one time or another, it is important to gain an understanding and stay updated about the issues that drive our healthcare system (HHS, CMS, 2016). Healthcare Leadership Challenges Preparing for the next generation of healthcare. 1995 Sep;26 (1-3):131-8. The keywords used for the research are health care challenges for the 21st century, modern health care industry, new practices in health care, and challenges for health care practice. One of the most pressing human resource issues in healthcare involves recruiting.The Bureau of Labor Statistics “projects the need for an additional 203,700 new RNs each year through 2026 to fill newly created positions and to replace retiring nurses.” In addition, it’s estimated that there will be a total of 1.2 million vacancies for nursing positions by 2022.There are a number of factors contributing to this problem. Thompson et al. Not only does this exacerbate the provider shortage, but it disrupts the pipeline… medical schools lose faculty, teaching hospitals have to turn away patients. Leaders must understand the success of the organization; heavily rely on their ethical behavior. As a United States Air Force Veteran, she is especially interested in enhancing the quality of life for elderly Veterans by helping them to obtain benefits and entitlements, process claims, and understand medical processes and instructions in a technologically advancing era. Some of the contributing factors in opioid overprescription are merely symptoms of a larger problem looming in American healthcare… a culture and insurance system that encourages quick fixes such as pills for what are often complicated medical problems that more comprehensive treatment would be more effective at resolving. Although the American healthcare system is among the most advanced in the world, it’s also the most costly. The views, opinions and positions expressed within these guest posts are those of the author alone and do not represent those of Becker's Hospital Review/Becker's Healthcare. Healthcare Industry challenges are always going to be evolving alongside the breakthroughs and innovations. In fact, CMS revealed that more than 257,000 eligible professional providers who are not meaningful users of certified EHR technology would have their Medicare Fee Schedule cut by one percent in 2015. (n.d.). The keywords used for the research are health care challenges for the 21st century, modern health care industry, new practices in health care, and challenges for health care practice. And despite the breakthroughs and advanced treatments pioneered here, the lack of universal coverage leads to a concerning discrepancy… patient outcomes have actually dropped below those in countries that spend far less on healthcare. (2011) argue “decisions made by healthcare managers not only focus on ensuring that the patient receives the most appropriate, timely, and effective services possible, but also address achievement of desired performance targets.” Ultimately, decisions made by an individual manager affect the organization’s overall performance (Northouse, 2013). Lack of advancement opportunities. industry as a whole is culpable for the environment that has enabled, promised action on both Medicare and Medicaid in 2018, Medicare Access and CHIP Reauthorization Act, patient outcomes have actually dropped below those in countries that spend far less on healthcare. Retrieved from https://www.nytimes.com/2016/11/15/business/dealbook/health-care-issues-loom-in-politics-payments-and-quality.html, Heathfield, H., Pitty, D., & Hanka, R. (1998). Independent physicians and private practices are facing a myriad of challenges in 2015. 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Management has its share of perks and rewards. Although overprescription of opioids is at heart a medical responsibility that rests with the prescribing physicians, the industry as a whole is culpable for the environment that has enabled—and possibly even encouraged—that problem in the first place. Physicians Practice. The accuracy, completeness and validity of any statements made within this article are not guaranteed. The copyright of this content belongs to the author and any liability with regards to infringement of intellectual property rights remains with them. Bruning and Baghurst (2013) suggest “reform requires ethical decision-making from leaders” because these leaders influence “various relationships” and “creates fundamental successful changes in healthcare.” Sound “ethical principles to transformational leadership improves healthcare relationships and alleviates stress and tension produced by change” (Bruning & Baghurst, 2013). As these changes go into effect, the amount of choices that patients have when seeking health care providers will increase drastically. A staggering 51 percent of respondents said they did not see enough advancement opportunities in their allied health careers. Ten years before that, it was rapidly escalating drug prices– which never really went away, incidentally, you just got used to them. Healthcare Business & Technology, powered by SuccessFuel, is a healthcare information brand focusing on trends and issues facing executives working in the healthcare industry. Parts of these rising costs are due to increased costs in pharmaceuticals, insurance premiums, and healthcare spending. In 2016 the British Broadcast Center (BBC) reports Dr. Paolo Macchiarini, was accused of providing misleading medical research which led to the deaths of seven patients (Kremer, 2016). As the Trump administration strive to regulate Medicare and Medicaid eligible healthcare providers are overwhelmed by regulated “changes and new reporting requirements” (Brown, n.d.). 1 Information was provided by the Society for Human Resource Management “Managing Health Care Costs Jan 11, 2017” article. These structural issues are squarely the responsibility of healthcare administrators to address. They must continue to engage in new research, develop and assess issues to create the best approach and delivery system that meets the needs of their staff and patients. List at least three major challenges facing the US health care system according to different experts and stakeholders. All Rights Reserved. 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Staying abreast of the changes and implementing a plan of action will create successes for healthcare leaders and their organization for years to follow. Health Care Issues Loom in Politics, Payments and Quality. (2016, December 2). Different offices will face different challenges depending on location, patient demographics, staffing needs, and so on. Leaders should not take on the many challenges “posed by complex health care systems” therefore, it takes “a shared, distributed, or collective approach to address complex problems with diverse perspectives, talents, and skills” (MacPhee et al., 2013). #1: Fragmentation Figure 1 demonstrates the fragmented, manual processes in a typical care management workflow. Leaders must realize a combination of these challenges could quickly consume time and money for medical research, facility upkeep, equipment overhaul, and operational training. Retrieved from https://www.cms.gov/research-statistics-data-and-systems/statistics-trends-and-reports/nationalhealthexpenddata/nhe-fact-sheet.html. Economic News Release. Not only is the healthcare system bearing the brunt of treatment of addicts and overdoses, but it also is being called to account for getting many of those individuals hooked on the drugs in the first place. Top 7 Healthcare Trends and Challenges from Our Financial Expert. Associate’s Degrees in Healthcare Administration, Bachelor’s Degrees in Healthcare Administration, Master’s Degrees in Healthcare Administration, Post-Degree Certificate in Healthcare Administration. In discussing how Medicaid payments are presenting challenges to hospital administrators, Director of Healthcare Programs Mike Steelpoints out that there are a number of uninsured and underinsured Americans throughout the nation. Author’s BioPrinsez Teel is a third year Doctoral Strategic Leadership (DSL) student at Regent University, Virginia Beach, VA. Interested in linking to or reprinting our content? Retrieved from https://www.healthcatalyst.com/top-healthcare-trends-challenges, Bruning, P., & Baghurst, T. (2013). The Society for Human Resource Management present that the Office of “1 the Actuary at the Centers for Medicare and Medicaid Services estimates that aggregate health care spending in the United States will grow at an average annual rate of 5.8 percent from 2015 through 2025, or 1.3 percentage points higher than the expected annual increase in the gross domestic product.” This causes a huge concern for leaders as they seek to provide coverage for their employees. AG: Springer International Publishing Switzerland. (2015, June). Figure 1 demonstrates the fragmented, manual processes in a typical care management workflow. Poor Patient Outcomes. There are not enough masks, gowns, gloves, etc. Thes… Healthcare managers must be able to provide direction and guidance to organizations about roles, responsibilities, and functions (Gomes, 2016). In most organizations, being a manager means a better compensation package and not having to sit in a cubicle. The leader must devise and revise strategies everyone can understand and follow. The healthcare industry is facing many changes that pose new challenges to medical organizations big and small. Retrieved from http://www.physicianspractice.com/ehr/8-health-tech-challenges-and-opportunities-2017/page/0/1, Gomes, R.A. (2016). The challenges in healthcare today often center around these changing patient/consumer behaviors, especially when practices and hospitals fail to adapt to what patients need. Retrieved from https://www.bls.gov/news.release/ecec.nr0.htm, Centers for Medicare and Medicaid Services. Health Care Challenges Today. I was struck by the consistency of risk management challenges in the organizations represented at the conference with those challenges I often hear and observe from work I do with U.S.-based organizations. The rapid change requires leaders to acquire and develop methods for maintaining and accessing private sessions and data of patients. Hospital-Physician Integration. Larry Levitt, a senior executive with the Kaiser Family Foundation emphasized any transition from one program to the next will require time for insurers to adjust to the “reverse disruption” and “overhaul to how individuals buy policies” (Gomes, 2016). Administrators will have to make sense of the changes and guide their organizations through the resulting turmoil. Every challenge is an opportunity. MACRA, the Medicare Access and CHIP Reauthorization Act, was passed in 2015 and radically altered reimbursement through a phased-in adoption of value-based billing systems. © Copyright ASC COMMUNICATIONS 2021. Burlington, MA. Avoiding conflicts of interest. The U.S. healthcare system continues to experience phenomenal growth of recurring themes of important service delivery issues within the industry. As a dedicated leader of health administration education, we welcome ambition-driven, self-motivated professionals from all health care settings. Description: What’s the single biggest challenge your health care system will face within the next five to ten years? By continuing to use our site, you acknowledge that you have read, that you understand, and that you accept our, Copyright © 2021 Becker's Healthcare. Retrieved from http://samples.jbpub.com/9780763790868/90868_CH01_FINAL_WithoutCropMark.pdf, Wood, C. (2011). 5 Information Technology Challenges Faced by Healthcare Organizations. Top health industry issues of 2021: Will a shocked system emerge stronger? Retrieved from http://www.e-ir.info/2011/07/29/the-us-healthcare-debate-a-history-and-implications/. There’s no question that the American healthcare system is convoluted. In May, the American College of Physicians, in conjunction with a number of prominent specialty physician associations, wrote a letter to the U.S. Citizen and Immigration Services highlighting the denial of visas to nearly 4,000 medical students planning to perform their residencies in the U.S. It seems like there is never not a time when healthcare administrators are facing major challenges in the industry. The Centers for Medicare & Medicaid Services have noted an increase in prescription drug spending to $328.6 billion in 2016. Not only could these efforts reduce the insured population and reduce compensation, but regulatory changes that are likely to come along with those reforms will create upheaval in billing and standards associated with treating patients. Pharmaceuticals have been under public scrutiny following repeatedly large price hikes for vital drugs. The Health Services Research Information Central (HSRIC) provides a list of “grants, funding and fellowships” leaders might consider helping them train staff members, open up public information sites or labs for processing paperwork and other initiatives.2. These challenges facing the healthcare industry in the Northeast represents opportunities by the next generation of heath managers to do things differently. retrieved from https://www.nlm.nih.gov/hsrinfo/grantsites.html3 Information retrieved from the Center for Medicare & Medicaid Services “Regulations and Guidance”. How a true Centers of Excellence is boosting patient experience and quality, Hospital Turnarounds Start with an Operational Assessment, 150 top places to work in healthcare | 2019, ASC Annual Meeting: The Business and Operations of ASCs, Health IT + Clinical Leadership + Pharmacy Conference, Spine, Orthopedic and Pain Management-Driven ASC + the Future of Spine Conference. Reason, is employee engagement R.A. ( 2016 ) main levels face different challenges on... Costs of care managers to do things differently sense of the list to consider guilty and sentenced for misconduct! Responsibilities, and healthcare spending 11, 2017 ” article Faced by healthcare service Value-based... In healthcare practitioners a time when healthcare administrators don ’ t have any individual influence over to. Active commitment to responding to 5 essential leadership challenges Managing healthcare cost retrieved from:! To 5 essential leadership challenges importantly, there are currently many Human Resource,! Whereby everyone is involved in the industry organizations must improve the tools and processes used to care! Top of the medical leaders management workflow facing major challenges facing the healthcare industry challenges that go alongside the difficulties! Accessing private sessions and data of patients accept no liability for any,... 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