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outsourcing in healthcare facilities - Assignment Example
Pages 8 (2008 words)
Outsourcing in Healthcare Facilities Competition and environmental pressures have led to increased use of outsourcing in the healthcare industry. This strategy is a tactical response to the issues of tight budgets, demand for better service by patients and labour shortages…
For effective operation and achieving of the outsourcing objectives, healthcare facilities have to find reliable business associates who will offer cost-effective and quality services that meet patient expectations. Prevalence and trends of outsourcing in the healthcare industry The prevalence of outsourcing in the healthcare industry is low as compared to other industries though it is picking up at a fast rate due to increasing financial pressures and demand for better services by patients. The trends of outsourcing in healthcare are increasing as evidenced by the decreasing restrictions on the types of services being outsourced by healthcare facilities. Many outsourcing relationships now are like long-term strategic partnerships instead of arrangements that are tactical and single-purpose in nature. This indicates increasing interest in outsourcing by healthcare facilities. Hospitals are the main types of organizations in healthcare which utilize outsourcing to a greater extend. However, there is a difference in the trends and prevalence rates among the for-profit hospital settings and the not-for-profit hospital settings. More of the profit-oriented hospitals are outsourcing as compared to the non-profit hospitals. ...