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Hospital closure: management and policy issues.

R M Mullner, D G Whiteis

    The Journal of Medical Practice Management : MPM
    |March 5, 1990
    PubMed
    Summary
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    Hospital closures rose from 1980-1987. This study identifies risk factors and suggests an open systems perspective for hospital management to minimize closure risks in a competitive environment.

    Area of Science:

    • Healthcare Management
    • Hospital Administration
    • Organizational Studies

    Background:

    • Increasing hospital closures between 1980-1987 necessitate understanding institutional risks.
    • A complex and competitive healthcare environment impacts hospital viability.

    Purpose of the Study:

    • To identify variables correlated with the risk of hospital closure.
    • To propose a managerial approach to mitigate closure risks.

    Main Methods:

    • Analysis of factors associated with hospital closures.
    • Application of the open systems perspective in healthcare management.

    Main Results:

    • Identified key variables correlated with increased risk of hospital closure.

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  • Highlighted the importance of environmental uncertainty in strategic planning.

    • Conclusions:

    • The open systems perspective offers an optimal managerial approach for hospitals facing closure risks.
    • Proactive risk management is crucial for hospital survival in competitive markets.