Operations Management examines managerial concepts and strategies relating to the management of operations in both manufacturing and service environments. Emphasis is placed on methods to streamline and drive inefficiencies out of a firm’s internal processes to build a highly efficient organization. The MGT-655: operations management course also focuses on external processes by examining ways to achieve greater supply chain integration with suppliers and customers. Quantitative and qualitative methods and tools are introduced and applied.
What is Operations Management?
Operations management is the administration of business/organizational practices to create the highest level of efficiency possible within an organization. In other words, operations management is the overall coordination of processes required for the creation and distribution of products and services. In a healthcare organization, operations management is crucial for the efficient functionality and delivery of health services. It is the design, operation, and improvement of the processes and systems that create and deliver the organization’s health care services. The goal of operations management is to more effectively and efficiently provide health care services. For example, in the case of healthcare, managing costs while delivering quality services is a major component of healthcare operations management.
What are health care operations?
Health care operations are certain administrative, financial, legal, and quality improvement activities of a covered entity that are required to successfully run its business and to support the core functions of treatment and payment. These activities are limited to those listed in the definition of health care operations. Examples of these activities include:
- Case management
- Care coordination
- Business management and
- General administrative activities.
Getting a better understanding of operations management in healthcare.
The Healthcare sector is a diverse industry. It includes institutions and practitioners that deliver medical services for the diagnosis, treatment, and prevention of injury, illness, disease, and other physical and mental impairments.
Healthcare consists of primary, secondary, and tertiary care. Social and economic conditions mainly affect access to health care as do the policies and management of services. In order for a healthcare system to function efficiently, it should have generous financing, a well-trained and well-paid workforce, credible information on which policies can be structured, and health facilities that are well-maintained and reliably managed.
An operations manager acquires, develops, and delivers services to clients based on client needs and the abilities of the healthcare organization.
Operations Managers and Cost Controls
Cost control is one of the first areas of concentration for operations managers. Frequently, current health-care systems overuse expensive, technological, and emergency-based treatment. Thus, high costs from care often remain uncompensated due to uninsured patients. A prevalence of services inexpensive environments make it difficult for taxpayers, health insurance holders, and health-care institutions themselves.
The objective of operations managers is to strike a balance between necessary high-tech treatment and community centers that deliver preventative services. Primary care institutions help to avoid the need for expensive emergency services.
Cost controls affect the levels and quality of services provided to clients. Inefficiently managed costs take over budgets, limiting the technology and equipment that can be purchased and used to provide necessary medical services. Therefore, operations managers attempt to streamline costs and raise the necessary funding to maintain adequate levels of care and quality of services.
Duties of Hospital administration manager/ operations manager.
Hospital operations managers have several responsibilities in a healthcare facility. Some of their duties include:
- Supervising daily administrative operations
- Monitor expenses and suggest cost-effective alternatives
- Create quarterly and annual budgets
- Develop and implement effective policies for all operational procedures
- Prepare work schedules
- Maintain organized medical and employee records
- Monitor administrative staff’s performance
- Train new employees
- Ensure prompt ordering and stocking of medical and office supplies
- Answer queries from doctors, nurses and healthcare staff
- Resolve potential issues with patients
- Stay up-to-date with healthcare regulations