It is apparent from the case study that the region in which THG is planning to run an HMO, has been lagging behind the rest of the nation in terms of availability of healthcare centers, which is resulting in higher costs for the services. With the announcement of the program called TennCare, healthcare in Tennessee became a national issue and it is now being felt that running a Health Maintenance Organization (HMO) is bound to prove a profitable proposition because;
i. Despite an increase in managed care in the state, the commercial premium per member/ per month in the HMO sector has not come down. It is worthwhile here to mention the hospital days for patients have instead come down. This indicates that there's still a growing demand for HMOs.
ii. THG has been able to take advantage of the first mover advantage in several areas. This advantage reflects in the capitation in the commercial market. Capitation is the term used to identify the payments given to the physicians attached with HMOs. It is a fixed payment made to the physician depending upon the number of people enrolled with the HMO and the number of members put directly under the care of the physician. It is worthwhile here to mention that, the capitation amount is paid to the physician irrespective of the number of visits made by a member to the physician or irrespective of the number of members visiting the physician for their healthcare needs. Using the capitation network model, THG has been able to bring greater efficiency to the southern US healthcare market.
iii. Having fixed its priorities, THG was able to develop a fast growing company with considerable success in short period of time. It was during their expansion plan that THG started evaluating the options of managing versus owning the risk. The two options being assessing the practical aspects of having a commercial group guaranteeing 8000 lives in Texas and managing Medicare projects in Atlanta, Georgia with another AMC.
iv. Both HMO and PPO enter into an agreement with insurance companies, but the HMO offers its services at predetermined rates while in case of PPO the rates can vary depending upon the medical condition of the individual.
v. HMOs often happen to be very restrictive and expect the individual to seek assistance for medical needs from within a network of doctors, medical practitioners, healthcare organizations. On the other hand a PPO doesn't have any preconditions attached and allows the individual to any place for treatment. Except in cases of emergency, tor an individual enrolled with HMO, it's a prerequisite that s/he must go through the primary care physician from within the HMO network and if this physician feels necessary then only the individual will be referred to any specialist. This might appear little restrictive in the sense that the individual has to follow couple of procedures before getting specialized treatment. On the other hand in case of PPO, there's no such restriction and an individual can seek the opinion of a specialist of his or her choice. But it is equally relevant
Healthcare services are a very crucial and integral part of the society. Today we are living in a society, where competition has become a rule rather than exception in almost all fields. Health care becomes an issue, because while taking care of the competition we tend to ignore what we are supposed to do in order to lead a healthy life…
After the disintegration of Soviet Union, the former Soviet countries were implementing the free market oriented reform programs. Belarusian Politician Pavel Dronov proposed a plan to provide business education to the managers to make them competitive in the global market.
The security mechanisms include IP security and virtual private network. The virtual private network makes use of special protocols. It makes it possible for users on public networks like the internet to access private networks while at the same time ensuring security, functionality and management of such private networks.
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As the case title suggests, its about creating a 'drama' at the restaurant, whereby, the atmosphere created and the acts-and-actions create an 'entertaining drama' for the visitors. A prime example presented in the case is of the waiters singing while delivering the dishes to the table.
Over the years, it has enhanced its services through the development and production of its own custodial cleaning solutions using chemicals directly imported from producers abroad. It also manufactures its own cleaning equipment and materials in order to assure clients of no downtime in maintenance operations.
Customer services are any courtesy manner in which an organisation treats their customer with in order to create goodwill. Treating the customer well will not only make them come back for more goods next time, but they will also recommend the organisation to their friends and relatives.
In general comparison IBM may have some edge over these companies in terms of experience and reputation. However, there are some special concerns which we feel would be a slight edge on the company in terms of its recruitment systems, program implementations, and marketing strategies including webpage design and contents.
From the case study it is apparent that the region, in which THG is planning to run an HMO, has been lagging behind the rest of the nation in terms of availability of healthcare centers, which is resulting in higher costs for the services. Healthcare services are a very crucial and integral part of the society.
This, in turn, helped businesses to get to the markets faster. Unlike competitors that charged an upfront fee and subscription fee, AWS adopted the pay-per-use pricing that helped its customers to save substantial costs.