Business Lectures Flashcards
Virginia Mason Model
first visit patients were examined by a physician and a physical therapist
Virginia mason of starbucks slashed medical cost by ____%
40% for employees with LBP
The insurer agreed to ____ virginia mason’s physical therapy reimbursements by about 16%
increase
Macroeconomics
examines national output and the way a country allocates its resources of land, labor and capital to maximize production levels and promote trade and growth
Microeconomics
examines output at the individual level within the economy
shows how individuals and firms respond to changes in price and why they do at a particular price level
Demand
the quantity of a product/service desired by consumers at a given price
Supply
the quantity of the product/service the market will offer at a certain
The price of a product/service is reflected based on
supply and demand
Market based pricing
prices are set by what others are charging
Cost plus pricing
cost + profit=price
The art of recording, classifying, and summarizing in a significant manner and in terms of money, transactions and events which are in part at least, of financial character and interpreting the results of
Accounting
Revenue
fees earned in a given time
Expenses
Cost produced during operation
Receivables
asset that hasn’t been received kinda like an iou
Payables
bills that neeed to be paid like a credit card
gross
all the revenue earned w/o taking out expenses
NET
revenue-expenses
Assets
economic resources of the company
Ex: cash, land, equiptment
Liabilities
amounts owed to others
loans payables
equity
the owners interest in the business
corporation stock holders
Balance sheet
a snapshot of a companies assets liabilities and owners equity at one point in time
Income statement
shows how profitable a company was during a stated time interval
ends on specific time
Cash Flow statement
the amount of cash coming into a business via revenue versus the amount that is leaving in the form of payments during a specific period of time
Cash Flow statement optimal
difficulties
good business practices
optimal: customers pay in full when services are rendered
difficulties: rapidly growing, successful business expanding quickly or purchasing inventory
Good business practice: sends bulls out at least monthly on outstanding balances
remind patients of balance
`
Opportunity Cost
the value of what is foregone in order to have something else
-investing in marketing rather then new equipment
-where you decide to spend your money
Budget process
typically completed on an annual cycle
involves looking at revenue vs expenses and projecting for next year
often use historical data for projections
Revenue and cost per visit
can provided a good metric for budgeting
revenue per visit
revenue=copay/coinsurance + insurance reimbursement
start up costs
cost associated with starting a business
capital expenditures
large equiptment expenditures
Fixed cost
expenses that dont vary with patient volumes
ex rent phone bill
Variable cost
fluctuate directly with business volumes
ex therabands massage cream
Break even analysis
Used to determine when your business/program will be able to cover all its expenses and begin to make a profit
-must first identify start up costs and determine revenue needed to pay ongoing business expenses in addition
Return on investment
profit generated by the money a business owner puts into the project/business
typically expressed as a percentage return
income/profit divided by original or current investment
Net operating income
at a basic level this is making money after all the bills are paid (does not include start up cost) as the business is operating
assessed monthly
timeframe must be considered for this to have power
Human capital- productivity
balancing the task and people
staffing too high= increased cost and decreased productivity
staffing too low=increased stress on staff can strain referral reference
Loss leader
does not generate a profit but leads to more business
Marketing
promoting interest in and generating demand for products/services and positioning them within the market
Sales
finding likely buyers and obtaining their agreement to buy a business product or service
Public relation
the professional maintenance of a favorable public image by a company or other organization
the state of the relationship between the public and a company or other organization
Value
what customers value
increased with quality and services
decreased with price
Customer value triad
quality
service
price
Research has show that the patient satisfaction is based on the ________
patient- PT interaction
Need satisfaction selling
- determine what your customer needs/wants
- match how your product/service meets those needs
market positioning
Market Positioning refers to the ability to influence consumer perception regarding a brand or product relative to competitors.
Market differentiation
crafting unique products and services to attract and retain customers.
Success story about thrive kaiser
helped people stay healthy not just get well when ill
redefine the system of HC
champion the cause of total health
members improved attitudes and non members
Anti-kickbakc satute
its a criminal offense to knowingly and willfully solicit, receive, offer, or pay any renumeration to induce referrals of items or services covered by medicare or medicaid or other federally funded program
manager role in quality care
underuse- not using EBP
overuse- over-utilization of diagnostic tests
missues- failing to execute clinical care process
how do for profit business work
profits raised by the organization can be distributed to the owners
do not qualify for tax exemptions
assets belong to the owners and if the company is dissolved they are distributed to ownership interest
non profit business
profits raised by the organization must be recircled back into the organization so it is able to fulfill its mission
may qualify for state and federal tax exemptions
assets belong to the organization and if the organization is dissolved they are donated to another NP organization
Feasibility studies
an analysis and evaluation of a proposed project to determine if it is
1. technically feasible
2. feasible with estimated cost
3. profitable
SWOT
Strength
weakness
opportunity
threat
strength
what advantage does the company hold
what unique resources does the business possess
what does the business do better than anyone else
what do customers see as company strength
weakness
where does the company need to improve
what do customers identify as weaknesses
where should the company consider cutting its losses
opportunity
are there niches in the market that are not bing met
what are others doing that you could replicate or improve on
Threats
what obstacles does the company face does the company have current financial problems
Gantt Charts
bar chart that provides a graph that shows a schedule that helps to plan coordinate and track specific tasks in a project
PERT
scheduling tool commonly used in project management to illustrate the dependencies and flow of projects events and milestones
used to plan and track projects
