HCMT-527: Health Care Finance
January 26, 2021 2021-01-26 8:56HCMT-527: Health Care Finance
HCMT-527: Health Care Finance
Course Description and Prerequisites
Students gain a systematic overview of the financial operations of common healthcare organizations, both public and private and an understanding of various financial components enabling health services to be delivered. Students identify key issues confronting the financial management of healthcare systems and provide innovative strategies for effective management of these financial management challenges. Topics explored include traditional and innovative financial management techniques and data analytical methods applied to healthcare settings, as well as financial management challenges unique to the industry.
Pre- and Co-requisite: HCMT 515
Textbook(s) and Technology Requirements
Required Texts
The required textbook for this course is available as a free ebook through the Champlain College library.
Zelman, W.N., McCue M.J., & Glick, N.D. (2014)
Financial Management of Health Care Organizations: An Introduction to Fundamental Tools, Concepts, and Applications (Links to an external site.), Fourth Edition, Jossey-Bass: San Francisco
Topic Outline
- Week 1: Changing Methods of Health Care Financing and Delivery / The High Cost of Health Care / Value Based Purchasing
- Week 2: Organizational Structure / Risk and Reward / Basic Financial Statements / Basic Healthcare Accounting
- Week 3: Financial Statements and Ratio Analysis / Evaluating Costs / Financial Analysis of Health Care Organizations / Working Capital Management
- Week 4: Time-Value Analysis / Future Value (FV)and Compounding / Present Value (PV)Calculation / Forecasting Revenue and Costs in Health Care / Breaking Even / The Investment Decision / Ratio Analysis
- Week 5: Equity Financing / Debt Financing / Break-Even Analysis / Product Margin / Special Decisions
- Week 6: Responsibility Accounting / Budgeting
- Week 7: Activity Based Costing / Cost-to-Charge Ratio / Step-Down Method
- Week 8: Evolution of the Payment System / Risk Sharing / Evolving Issues / Technology
Course Competencies
At the end of this course students will be able to:
- Understanding the unique characteristics of the various forms of health care organizations with respect to their financial constraints, challenges and regulations, incorporate design thinking into new models of financial management.
- Evaluate the interrelated functional operations that routinely occur in healthcare financial departments, assess their role in the organization’s operation, and propose innovative process improvements. Example areas are: healthcare billing; patient accounting/accounts receivable management; management accounting; budget; regulatory/third party financial accountability; material/inventory control; payroll/accounts; payable management.
- Using a case study, prepare a healthcare organization budget that supports improved patient outcomes and quality, increased value and operational requirements, in compliance with all related laws and regulations.
- Using concepts of financial accountability and regulatory reporting requirements that routinely exist in modern healthcare settings for both profit and not-for-profit organizations in operational as well as ethical settings, develop policies and processes that fulfill the needs of the organization in compliance with all related laws and regulations.
- Using concepts of innovation and design thinking, develop IT and financial management policies and processes that improve financial performance and efficiencies in the context of enhancing quality and clinical outcomes, in compliance with laws and regulations. Gain an understanding of SWOT and Root Cause Analysis.
- Using a variety of financial management tools, analyze the financial impacts of large-scale capital investment and change projects, and develop alternative strategies that leverage data-driven decision making concepts and design thinking.
- Using large data sets and typical platforms used by healthcare systems for collecting, storing, and distributing data, provide answers to financial and strategic questions regarding long-term capital investment based upon clinical trends and explain the benefits and limitations of the data analysis processes.
Methods of Assessment
Course Expectations & Evaluation
Your final grade will be determined based on the following:
| Component | Description | Percentage Value |
|---|---|---|
| Discussion | Weekly Discussion threads | 30% |
| Assigned Problems | Textbook Problems | 25% |
| Case Analysis | A Case on Finance and Economic issues | 5% |
| Washington State Project and Course-to-Course Project | Topics related to health care finance analyses | 40% |
| Extra Credit | Course Evaluations | 1% |
| TOTAL | 101% | |
Turnitin enables instructors to create accounts through which student papers are submitted and checked for originality. This feature has been turned on for this course.
Discussions
Weekly discussions are an integral part of learning at Champlain College and represent a significant portion of a student’s overall grade. In order to be successful, students should:
- Post a thorough, well-crafted initial response that fully addresses and develops all aspects of the prompt by the due date.
- Engage substantively throughout the discussion period by responding to others with questions or comments that demonstrate interest, build upon the ideas of others, and encourage elaboration.
- Apply and integrate concepts from this course as well as from quality resources including journals, websites, readings from another class, relevant work or life experience, etc.
- Demonstrate attention to style, structure, grammar, etiquette, and proper citation of references to maintain academic integrity.
Please refer to the Discussion Rubric below for important information regarding expectations for participation in the Discussion fora. The descriptions show what exemplary work looks like for each aspect of an overall discussion. Please review the CCO Discussion Rubric and FAQs for more information.
| Criteria | Description | Max Points |
|---|---|---|
| Application | Explicitly and thoroughly explains, applies, and integrates a) concepts from this or other courses, b) outside resources or research, c) life experiences, and/or d) processes used to solve problems. | 30 pts |
| Critical Thinking | Clearly articulates a desire to a) reflect, b) explore possibility, c) recognize ambiguity, d) question assumptions, and/or e) search for logical relationships among ideas. Selects, analyzes, and synthesizes relevant information to demonstrate original thinking. | 30 pts |
| Collaboration | Fosters collaborative learning while a) problem-solving, b) respectfully challenging others, and/or c) expanding thinking through responses and reflection with other learners throughout the week. Builds on classmate and instructor contributions to deepen the conversation. | 30 pts |
| Presentation | Demonstrates attention to APA/MLA style and structure, adheres to rules of grammar and etiquette, and properly cites references to literature and course materials. | 10 pts |
| Total Points: 100 | ||
NOTE: Discussions are designed for maximum student participation and engagement. It is critical to the success of these courses that students contribute to the Discussions in a timely manner. Therefore, NO late postings to the Discussions will be accepted without prior arrangement with the instructor.
Written Assignments
Your written assignments will be assessed using the following rubric:
| Criteria | Description | Maximum Points |
|---|---|---|
| Appropriate and Relevant Content | Submission is articulate and relevant to course learning objectives, and applies those concepts to workplace situations. Submission provides clear evidence from the course readings and lecture information that demonstrates sound interpretation and reasoning. All opinion-based comments relate to the assignment and are fully supported by evidence from the course resources and other research. | 50 |
| Innovation and Critical Analysis | Submission expands the analysis beyond the scope of presented materials by providing evidence of reflection and insight, and integration of original and practical ideas. Submission provides solutions or positions based on well supported conclusions (i.e. evaluated relative to the issues of the assignment); Submission explores sound ideas in nontraditional ways. Submission recognizes the interrelatedness of stakeholders; Submission includes points that are crucial to the analysis and clearly addresses alternative points of view through integration of various perspectives. | 30 |
| Professional Language and Style | Submission is free of spelling and grammar errors. Language of submission clearly and effectively communicates ideas. Submission style is consistently professional. APA style is used for references and formatting and contains no errors. | 10 |
| Overall Assessment | Submission viewed in entirety; overall flow and achievement of learning objectives. | 10 |
| Maximum Total Points: 100 | ||
Case Analysis
Case reports are part of the graded assignments for this course. One case is provided by the instructor. The case must include: Writing format using APA style guide. The case MUST BE SUBMITTED in the Case Analysis assignment for grading. The criteria for grading the case analyses are described below:
| Category | Points | Details |
|---|---|---|
| Needs Improvement | Less than 70% of points
| Case analysis has errors in grammar, spelling, and punctuation. The content does not demonstrate a clear understanding of the case material. Limited use of applied learning and critical thinking. Assessment, conclusions, and recommendations are incomplete or missing. Format is not in standard APA. Citations are missing or not appropriate. |
| Meets Assignment Criteria | 70-89% of points
| Case analysis is appropriate for the assignment, few errors in grammar, spelling, and punctuation. Good use of critical thinking and applied learning for the case. Assessment, conclusions, and recommendations demonstrate good application of course concepts. Format is APA. Citations used are adequate and appropriate. |
| Demonstrates Excellence in Meeting Assignment Criteria | 90-100% of points
| Case analysis is appropriate for the case assignment, no errors in grammar, spelling, and punctuation. Good use of critical thinking and applied learning. Assessment, conclusions, and recommendations demonstrate high level application of course concepts. Format is APA. Well cited materials used. |
Assigned Problems
Specific problems from the textbook will be assigned. Problems can be submitted in spreadsheet, tabular, or Word document format. The criteria for grading the assigned problems are described below:
| Category | Points | Details |
|---|---|---|
| Needs Improvement | Less than 70% of points
| Frequent errors or unacceptable mistakes indicative of a lack of understanding of core principle(s) |
| Meets Assignment Criteria | 70-89% of points
| Some errors, but demonstrates understanding of principles and mechanics of the problem solution |
| Demonstrates Excellence in Meeting Assignment Criteria | 90-100% of points
| No major errors and any minor errors or alternative solutions do not violate principles |
Washington State Healthcare Course Project
Students will perform analysis and research regarding a community healthcare delivery issue. The course project will include: Title page, abstract, discussion, citations, and a minimum of five reference sources. The format should be written using APA style guide and should be approximately 2000 words in length. The criteria for grading the course project is described below:
| Category | Points | Details |
|---|---|---|
| Needs Improvement | Less than 70% of points
| Course project is not appropriate for the assignment description. Writing style has errors in grammar, spelling, and punctuation. The content does not demonstrate a clear understanding of the topical material. Citations and references are incomplete or missing. Format is not in standard APA. |
| Meets Assignment Criteria | 70-89% of points
| Course project is appropriate for the assignment description with few errors in grammar, spelling, and punctuation. Good use of critical thinking and applied learning in describing the topical issues. Format is in standard APA. Citations and list of at least two references are used. |
| Demonstrates Excellence in Meeting Assignment Criteria | 90-100% of points
| Course project is appropriate for the assignment description with no significant errors in grammar, spelling, and punctuation. Good use of critical thinking and applied learning in describing the topical issues. Topic is thoroughly and concisely addressed. Format is in standard APA. Citations and list of at least three references are used. |
Student Resources & Policies
Academic Honesty Policy
Champlain College students are expected to be familiar with and adhere to the College’s policy for Academic Honesty. (Links to an external site.) Academic honesty entails creating original assignments, using your own words, and when using the words and ideas of others, documenting those sources using the method specified in this course. Please consult with your instructor if you are in doubt. Violations of the policy could result in a grade of F on the assignment or in the course as well as dismissal from the College.
Grading Policies
CCO Grading Policy (Links to an external site.)
Grading Scale (Links to an external site.)
| Student Resources | |
|---|---|
| Accessibility and Accommodations (Links to an external site.) | Champ Support (Links to an external site.) |
| Bookstore (Links to an external site.) | Library Resources (Links to an external site.) |
| Canvas Support (Links to an external site.) | Online Tutoring (Smarthinking) (Links to an external site.) |
| Career Services (Links to an external site.) | Student Accounts (Links to an external site.) |
Course summary:
| Date | Details | |
|---|---|---|
| Tue, 5 Mar 2019 | Assignment Week 1 – Discussion 1 – Evolution of the Health Care Delivery Systems | due by 23:59 |
| Assignment Week 1: Autobiographies | due by 23:59 | |
| Thu, 7 Mar 2019 | Assignment Week 1 – Discussion 2 – Hospital Value Based Purchasing (HVBP) | due by 23:59 |
| Sun, 10 Mar 2019 | Assignment Week 1 – Assignment 1-2 – Value Based Purchasing | due by 23:59 |
| Assignment Week 1 – Assignment 1-1 – The Patient Protection and Affordable Care Act | due by 23:59 | |
| Assignment Week 1: Initial Course-to-Course Project Overview Assignment | due by 23:59 | |
| Tue, 12 Mar 2019 | Assignment Week 2 – Discussion 1 – Financial Statements | due by 23:59 |
| Thu, 14 Mar 2019 | Assignment Week 2 – Discussion 2 – Financial Viability | due by 23:59 |
| Sun, 17 Mar 2019 | Assignment Week 2 – Assignment 2-1 – Balance Sheet/Statement of Operations | due by 23:59 |
| Assignment Week 2 – Assignment 2-2 – Statement of Cash Flow | due by 23:59 | |
| Tue, 19 Mar 2019 | Assignment Week 3 – Discussion 1 – Ratio Analysis | due by 23:59 |
| Thu, 21 Mar 2019 | Assignment Week 3 – Discussion 2 – Fraud and Abuse | due by 23:59 |
| Sun, 24 Mar 2019 | Assignment Week 3 – Assignment 3-1 – Ratio Analysis | due by 23:59 |
| Assignment Week 3 – Assignment 3-2 – Questions and Problems | due by 23:59 | |
| Tue, 26 Mar 2019 | Assignment Week 4 – Discussion 1 – Internal Rate of Return | due by 23:59 |
| Thu, 28 Mar 2019 | Assignment Week 4 – Discussion 2 – “Safety Net” Facility Turnaround | due by 23:59 |
| Sun, 31 Mar 2019 | Assignment Midpoint Course Feedback Survey | due by 23:59 |
| Assignment Week 4 – Assignment 4-1 – Time Value of Money | due by 23:59 | |
| Assignment Week 4 – Assignment 4-2 – Investment Decisions | due by 23:59 | |
| Tue, 2 Apr 2019 | Assignment Week 5 – Discussion 1 – Fixed Versus Variable Rate Debt | due by 23:59 |
| Thu, 4 Apr 2019 | Assignment Week 5 – Discussion 2 – Critical Thinking Decision | due by 23:59 |
| Sun, 7 Apr 2019 | Assignment Week 5 – Assignment 5-1 – Purchase Versus Leasing, etc. | due by 23:59 |
| Assignment Week 5 – Assignment 5-2 – Break-even Equations, etc. | due by 23:59 | |
| Tue, 9 Apr 2019 | Assignment Week 6 – Discussion 1 – Decisions and the Cost of Care | due by 23:59 |
| Sun, 14 Apr 2019 | Assignment Week 6 – Assignment 6-1 – Budgeting | due by 23:59 |
| Assignment Week 6 – Case Analysis | due by 23:59 | |
| Tue, 16 Apr 2019 | Assignment Week 7 – Discussion 1 – Activity Based Costing | due by 23:59 |
| Sun, 21 Apr 2019 | Assignment Week 7 – Assignment 7-1 – Provider Cost Allocations | due by 23:59 |
| Assignment Week 7 – Course-Long Washington State Healthcare Project | due by 23:59 | |
| Tue, 23 Apr 2019 | Assignment Week 8 – Discussion 1 – The Federal Government and Healthcare | due by 23:59 |
| Sat, 27 Apr 2019 | Assignment Extra Credit: IDEA Survey Quiz | due by 23:59 |
| Assignment Week 8 – Assignment 8-1 – Definitions and Questions | due by 23:59 | |
| Assignment Week 8 – Course-to-Course Project Evolution | due by 23:59 | |
