Regulation, adaptation, and leadership in psychiatric facilities

The public policies of the sixties led to new organizational forms, expansion, significantly increased services, and inflation. The policies of the seventies, characterized by cost containment and regulation, have dramatically modified health care institutions. The impact of changing public policy and regulation is mediated by the effectiveness of executive groups, whose members must have the skills to ensure that institutional values are preserved during organizational changes. The author maintains that the future of health care organizations lies primarily in their members' clinical competency and commitment to excellent practice, but is also dependent on their knowledge of such administrative tasks as planning and budgeting and the management of the physical plant and its employees.