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Paper Topic:

business in healthcare

: business in healthcare

Specifications : 2 pages , 1 source , APA style

: language 1 . Why is accounts receivable aging process in a healthcare organization

2 . What would happen of the organization did use it or did not use this method

3 . What are the advantages of inventory control in a health care organization

4 . Does `just in time ` inventory control apply to the health care organization ?Accounts receivable aging process in a healthcare organization is a technique of demonstrating periodically the status of the invoice that is given to customers

for goods and services . It is an important aspect of the budget process in an organization . The customers may not pay in cash for their healthcare services . Some healthcare markets may run on a credit system . The accounts receivable aging process would ensure that the healthcare organization actually keeps a track of what payments the customer has to make , and the balances that are recoverable . In this way , the organization would be receiving its dues on time and help meet the operating costs . An accounts receivable aging process would also help to maintain relationships with the customers The organization can frequently call up the customer and can ask about the pending invoices . The organization would also identify situations in which relationships with certain clients have to be cut and future transactions abandoned , arising from long due debts . If several clients are not paying their dues to the organization , then the organization may have to cut such relationships in to protect its financial situation . The accounts receivable aging process may also be utilized to identify those customers from whom advance payments should be collected . Accounts receivable aging would ensure that the reports of the invoices are recorded and are provided as and when required to the authorities of the organization (Wise Geek , 2007

Recent studies have shown that account receivable aging process is a very important aspect in healthcare organizations due to several factors including high amount of competition , felt need to lower the operations costs , and higher spending on health packages purchased by the consumers . A healthcare organization in the US had faced losses to the tune of 200 million dollars due to failure of the consumers to pay for their pending bills . Slowly , the healthcare organizations are beginning to understand the importance of account receivable aging process . The billing staff are being made aware of various aspects including checking the previous balances , clearing the claims , etc . At this point of time , there is a sudden increase in the costs of providing healthcare for the patients . Studies have shown that there may be an increase of about 20 to 40 . Hence management of account receivables is all that more important (Bridge Front , 2007

Having an effective inventory control system in the hospital would have several advantages . It would ensure that there are no shortages and compromises in the provision of patient care . In case of an emergency (such as an epidemic or a disaster , an effective inventory control...

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