Summary
In the unpredictable world of the financial management environment, organizations that are responsible for managing its investment risk experience lots of challenges. Their efforts and strategies are crucial in terms of its risk management; the risk management process highlights the importance of well-implemented health organizations that follow the steps broadly. First, organizing a cross-functional team that defines the priorities set in the risk management of the organization. Second, educating every individual that are part of the significant aspects linked in the risk management. Third, promote an environment with collaborate support through open communication from every member of the organization. The unique and collaborative approaches are considered as a people-dependent process in the risk management. The risk management involves people with appropriate and firm decisions towards the entire organization and its benefits globally. The people in the organization demonstrate quality and remarkable performances that are united with one goal, success.
Introduction
A comprehensive risk management is an effective tool that thrives openly with an active collaboration in an organization. There is dynamics in the process of risk management; the determinations of the people that work together have the dedication to surpass challenges comprehensively. The organization has potential sources to handle different financial harmful matters, resolves reputational damages, and solves some operational failures into successes. The viewpoint that supports the risk management framework effectively is based on the strong belief that the strong risk culture, driven by collective analytical knowledge with collaboration actively. The key to effective risk management is the analytical expertise of the leaders and members, experienced judgment in services, and collaboration respectively. The viewpoint does not function only to predict the unpredictable, instead, it has an extreme analysis and consideration in every result that ensures quality action plan and mitigates the conditions of a new or unexpected improvements. In managing risk in a challenging financial environment, it is important to understand clearly the risks that occurred. On the clinical side of the health organization, it is necessary to balance things according to its objectives and well-organized strategies needed. However, not all senior hospital financial leaders have recognized the full understanding of financial risk positions. There is an insufficient attention allocated to the overall financial risk especially in the environment that has many challenges leading to financial decisions strategically with increased risk in the operation.
Analysis relating to Risk Management in Health Care Organizations
In the Health Care Organization or HCO, events provoked dangerous results on the patients such as longer stay in the hospital, morbidity, and death. Consequently, the HCO department manages necessary legal issues and some imbursements economically. In the operational and clinical risk assessment, the governances and physicians have the interest solely to forecast and to manage losses with decision-making appropriately. At present, the scientific researches objectified the quantification of the operational and clinical risk assessment in HCO is in scarcity and the lack of regulatory constraints with limited awareness of benefits. The awareness resulted to risk management that does not provide incentives in the elaboration on how the risks are quantified. During a downturn, the main key is the leadership and engagement of the senior leaders. For example, the Blue Cross Blue Shield of Florida or BCBSF, elements are combined as communication thrives. The senior leaders from different teams have recognized the value of good communication. In fact, the health care industry o f the United States is not affordable or under the circumstance of crisis. The impact of the crisis directly points to the employers on the ability to offer benefits in health care. Many successful companies have focused their full attention to satisfy the customers’ needs. All the companies with its successes are greatly devoted to offer their commitment to the public.
Evaluation
Health care providers evaluate and forecast events that provoke the mortality, morbidity, and longer hospital stay for the patient. A better governance strategy formulates useful understanding in the risk levels of every risk that contributes the losses economically. The strategic risk requires top-down stressor scenario and an assessment that shifts fundamentally in the external factors that affect the organization's long-term strategies and investment policies. In addition, the strategic and financial risks are equally significant for the organizations to assess the risk of loss that resulted from resulting from human error in the processes. Action and discipline are the key elements that driven the effectiveness of the management risks. The effective actions depend on accuracy, timely data, and specific assignments of the decision-making made by leaders. Organizations have rendered enough time to refine the risk management policies and processes. It struggles in a fast phase in the development and implementation of the risk management program.
The damages are visible; however, health care organizations are ready to perform better and looking forward to prepare in the future. Personally, I strongly agree on the author’s point that the unique and collaborative approaches are a people-dependent process in the risk management. If there is a great involvement of every member of an organization or a team, there is always an appropriate or firm decision-making that holds the goal of the entire organization to benefit the quality outcomes. In addition, if every member of the organization demonstrates remarkable performance with high quality of expertise, it surely demonstrates unity that results to big success globally. In managing risk in an unpredictable word, is there any possibility to manage risk in a financial world that is more predictable? Is it worth it?
Bibliography
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