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Related Experiment Videos

Power and new economic relationships.

M Brown1

  • 1Health Care Management Review.

Physician Executive
|November 4, 1995
PubMed
Summary

The healthcare system is shifting from community focus to managed care, driven by financial organizations. This transformation centralizes power and influences organizational growth through financial metrics.

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Area of Science:

  • Health services research
  • Healthcare management
  • Organizational transformation

Background:

  • Current healthcare systems are transitioning away from traditional community and patient-centered models.
  • Reimbursement methods like fee-for-service and cost-plus are being replaced by managed care approaches.

Purpose of the Study:

  • To analyze the shift in power dynamics within healthcare organizations during this transformation.
  • To examine the influence of external financial entities on healthcare service delivery and development.

Main Methods:

  • Qualitative analysis of healthcare system changes.
  • Examination of organizational financing and governance structures.
  • Review of reimbursement model evolution.

Main Results:

  • Managed care is centralizing power, moving it from healthcare professionals and communities to external organizations.
  • Wall Street financing heavily influences organizational decision-making through financial performance metrics.
  • Traditional community health organizations are increasingly adopting financially driven strategies.

Conclusions:

  • The healthcare landscape is undergoing a significant structural and financial transformation.
  • External financial pressures are reshaping healthcare organizations and their strategic priorities.
  • Future healthcare delivery will likely be further influenced by corporate finance and managed care principles.

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