FACHE BOG Exam Flashcards
In a dispute between two staff physicians, the primary role of the CEO is to:
1) ask a representative of the governing authority to mediate the dispute.
2) avoid any involvement in the dispute.
3) meet both parties as soon as the problem is identified.
4) request the appropriate chief(s) of service to investigate and report back.
4) request the appropriate chief(s) of service to investigate and report back.
The question requires knowledge of the CEO’s role on mediating disputes and the reporting relations within a healthcare facility. The staff physicians report to the chief(s) of service who, in turn, report to the CEO.
Environmental changes including shifts in public attitudes, community, health needs, provider practices, and actions of competing institutions, may alter a healthcare institution’s direction. Healthcare executives could be forced to:
1) reduce levels of patient care to the level of payment received.
2) scrutinize all new ventures from a variety of perspectives including financial, environmental, ethical, and quality of care.
3) eliminate patient-care programs that do not pay for themselves.
4) place ceilings on those financial categories of patients to pay less than full operating costs.
2) scrutinize all new ventures from a variety of perspectives including financial, environmental, ethical, and quality of care.
Answer 2 is a provocative response and it is the most inclusive answer. It provides a variety of perspectives that must be considered when changing a healthcare institution’s direction.
Committees are an important management tool “primarily” because:
1) they provide a mechanism for reconciling differing opinions and facilitating decision-making.
2) they are the only way of providing for intrastaff communication.
3) they keep staff up to date on new professional developments.
4) they ensure self-expression and participation by staff.
1) they provide a mechanism for reconciling differing opinions and facilitating decision-making.
Answer 1 is the correct response because it is the most inclusive and proactive. The key word in this question is “primarily.” While up to date information regarding professional developments self-expression and participation may be goals in the formation of committees, it is not their “primary” function.
Which one of the following classifications or groups of financial ratios would be most useful as a guide to “long-range financial viability” of an organization in undertaking “facility replacement?”
1) leverage ratios
2) profitability ratios
3) liquidity ratios
4) composition ratios
1) leverage ratios
Answer one is correct. The question requires a basic knowledge finance.The keywords are “long-range financial viability” related to “facility replacement.” Leverage ratios give an indication of the facility’s long-range financial viability and the amount of cash available for undertaking facility replacement.
The primary purpose of quality assurance/risk management program is to:
1) comply with licensure and accreditation standards as required by state and federal legislation.
2) monitor medical staff practices in order to control the increase in malpractice rates.
3) identify potential problems that will keep the hospital from becoming a party to litigation.
4) monitor, control, and direct the institution’s effort toward achieving delivery of the optimal level care.
4) monitor, control, and direct the institution’s effort toward achieving delivery of the optimal level care
Answer 4 is correct because the primary purpose of the quality assurance program is the delivery of the “optimal level of care.” Other responses are secondary to the purpose of having a QA program. Remember that in a healthcare facility, patient care comes first.
The administrator’s relationship with the Board of Directors should be one in which the administrator:
1) minimizes board involvement in any operational issues.
2) draws upon skills of board members in facilitating appropriate discussion and decision making.
3) identifies those topics with which the board shall involve itself.
4) serves as the functionary for implementing all Board of Directors’ decisions.
2) draws upon skills of board members in facilitating appropriate discussion and decision making.
Answer 2 is correct because it is a proactive response. The keyword is “facilitating.” The administrator’s role is to facilitate the board discussion and decision-making. Answer 4 maybe correct but only after answer 2 is accomplished.
In consultation with the board, the administrator has decided that an effort must be made to increase the level of involvement among management personnel in quality assessment and assurance. Which one of the following options is most likely to achieve the desired results?
1) send all key management personnel to quality assessment workshops over the next year.
2) delegate quality assessment functions in question to the medical records committee.
3) delegate quality assessment education functions to the utilization review coordinator.
4) develop an in-house program using trained key personnel for presenting and discussing quality assurance and its implications for the organization.
4) develop an in-house program using trained key personnel for presenting and discussing quality assurance and its implications for the organization.
Answer 4 is correct. The keyword is “develop.” Answers two and three may be immediately disqualified because results are less likely to be achieved through “delegation.” Answer 4 is the most inclusive and proactive answer.
A healthcare facility can best meet its social and economic goals by:
1) developing a realistic and coordinated approach to long-range planning.
2) devoting most of its efforts to the development of efficient operational practices.
3) having a good public relations program which will focus the facility in the community.
4) providing all reimbursable services desired by the community.
1) developing a realistic and coordinated approach to long-range planning.
Answer 1 is correct. Keywords are “best meet” and “social and economic.” Both social and economic goals are met through the long-range planning process. Also, the keyword in the answer is “developing.” The other responses may meet some goals, but the best way to meet goals is to developing an approach. Again, this is a much more proactive response.
The governing body of the healthcare institution meet its responsibility for the quality of patient care by:
1) delegating accountability for patient care to the committee appointed by the governing body, which provides a formal administrative liaison between the governing body, the administration, and the medical/professional staff.
2) delegating to the Chief Executive Officer the responsibility for developing criteria for making certain that an effective medical/professional audit is carried out.
3) establishing, maintaining, and supporting through the medical/professional staff and management staff an ongoing program of review and evaluation of patient/client care and actions on findings.
4) establishing an effective system for utilization review, medical/professional audit activities, and credentialing of the medical/professional staff.
3) establishing, maintaining, and supporting through the medical/professional staff and management staff an ongoing program of review and evaluation of patient/client care and actions on findings.
Answer 3 is the correct response. Answers 1 and 2 can immediately be disqualified because responsibility is not met through delegating. Answer 4 can be eliminated because it only addresses some of the activities that could be used in meeting quality assurance requirements. Answer 3 is much more inclusive. Keywords are “establishing, maintaining, and supporting.” Also, answer 3 is the only response that suggests follow up on the program through “review, evaluation, and action” on the findings.
The central role of the health services organization board includes all of the following:
A. Setting the strategic plan and service values of the organization
B. Support for assessing changing market needs
C. Support in managing important service programs or departments
D. Assuring the recruitment hire, support and reward of the CEO
C. Support in managing important service programs or departments
The first role of the governing body is to:
- manage inputs of the healthcare organization to achieve the output that are its goals
- Recruit members who understand the health services field
- Set objectives and develop policy to guide the organization in achieving its mission
- Develop the operating plan and monitor departmental performance
- Set objectives and develop policy to guide the organization in achieving its mission
Internal members of the healthcare organization’s governing body:
- Serve on an ad hoc basis and are rarely voting members
- Are kept to a minimum due to concerns regarding confidentiality
- Often include the CEO, medical director and CFO
- Often include the executive staff in planning and information management
- Often include the CEO, medical director and CFO
According to the ACHE code of ethics one way that healthcare executives can avoid or minimize the negative implications of conflict of interest is to:
- Develop a public relations plan to address potential conflict of interest scenarios
- Not participate in the specific decision where conflict may exist
- Ensure members submit annual lists of major activities and holdings for inspections
- Make the conflict known to those in superior positions
- Make the conflict known to those in superior positions
Statements of earnings, changes in financial position and retained earnings are required to be submitted yearly by all:
- Publicly owned healthcare organizations
- Privately owned healthcare organizations
- Government owned healthcare organizations
- Faith based on healthcare organizations
- Publicly owned healthcare organizations
Which of the following is an example of a capital expenditure
- Land that is purchased for resale
- Surgical equipment with a useful life of six months
- A building with a useful life of 20 years
- Medical supplies used for patient care
- A building with a useful life of 20 years
The central role of health services organization board includes all of the following:
- Setting the strategic plan and service values of the organization
- Support versus and changing market needs
- Support in managing important service programs or departments
- Assuring the recruitment higher support and reward of the CEO
- Support in managing important service programs or departments
What purpose do market plans fulfill for the healthcare organization?
- Provide a business plan or plans as a subset of the organizations marketing plan
- Present general goals for the organization to attain in the next 3 to 5 years
- Develop promotional methods to be used in attaining the organizations objectives
- Provide specific objectives for utilization attainment the next fiscal here
D. provide specific objectives for utilization attainment the next fiscal year
Forecasting organizational need for human resources by focusing on specific position openings that are likely to occur and using these for planning is called:
- Demand pull approach
- Supply push approach
- Succession analysis
- Transition matrix
- Demand pull approach
A health services organization should utilize which of the following sequential processes to help establish human resources objectives and policies?
- Analyze the current HR situation forecast HR demand reconcile with the budget forecast HR supply
- Design HR recruitment and selection activities develop an HR compensation plan and establish HR appraisal systems
- Determine best HR job structure perform HR job evaluations establish HR training and development plan
- Conduct HR job analysis determine best HR job structure and establish HR information systems
- Analyze the current HR situation, forecast HR demand, reconcile with the budget, forecast HR supply
Forecasting the internal supply of employees as they move from their current jobs into others through promotion, lateral moves and terminations is called:
- Graphic rating approach
- Supply push approach
- Demand pull approach
- Rating scale method
B. Supply push approach
Which of the following describes the conflict management strategy that would have the most immediate effect on reducing conflict behavior:
- Imposition of formal authority to resolve or suppress conflict
- implementation of substantial super ordinate goals that require cooperation among units
- Rotation of members of one unit into another unit
- Provision of intergroup training that requires listing of perceptions and identifying differences
- Imposition of formal authority to resolve or suppress conflict
Multi rater assessment 360° feedback of managers in healthcare organizations is best used:
- In the development of a specific action plan by appraiser
- As part of a training or coaching session
- As part of the performance appraisal system of the organization
- When the appraisers are held accountable for their ratings
- In the development of a specific action plan by appraiser
Which of the following statements best describes the statistics budget:
- It combines volume and expense rates to forecast costs
- It is a profit forecast for the coming year
- It combines volume and reimbursement data to forecast revenues
- It provides input data for other budgets
- It provides input data for other budgets
Which would be a reasonable basis on which to allocate administrative overhead costs?
- Salaries
- Amount of supplies used
- Hours worked
- Square footage
- Amount of supplies used