Windber Medical Center Essay example
High school
Finance & Accounting
Pages 3 (753 words)
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Windber Medical Center was founded at the height of the coal mining industry in Western Pennsylvania by the Berwind White Coal Company to cater for its workers’ medical needs.


Adherence to staff hierarchy and unquestioned physician authority were the norm. However, with the demise of the coal industry, Windber Medical Center lost its key clientele, influence and revenue dipped. To make matters worse Congress enacted the Balanced Budget Amendment Act that changed how reimbursements would be made to small, nonteaching and non-rural hospitals such as Windber. This meant that Windber would have to find a way to be more competitive in order to attract more patients, government funding and funding from other third parties. Diagnosis: What problems was Windber Medical Center facing? According to the report from Ernst and Young, Windber was not making enough money and it faced an imminent demise in five years’ time because of the changes in insurance reimbursements, changes in government reimbursements and heightened competition due to increased penetration of managed care products in the market. Furthermore, Windber was located in an area where the population was migrating out of thus reducing the size of its market. However, the root cause of Windber’s problems was that it operated in an archaic system that saw patients as “disruptions” rather than as customers. ...
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