CONTROL & RISK MANAGEMENT STRATEGIC MANAGEMENT IN HEALTHCARE MARCH 16, 2006

CQI AND CONTROL PROCESSES CAN BE IMPROVED CONTROL IS DIRECTED AT PROCESSES INPUT CONTROL IS NO SUBSTITUTE FOR PROCESS AND OUTPUT CONTROL

CONTROL MONITORING POINTS INPUTS - PROSPECTIVE FEED FORWARD CONTROL PROCESSES - CONCURRENT SCREENING CONTROL OUTPUTS - RETROSPECTIVE FEEDBACK CONTROL

INPUT CONTROL FOCUSES ON RESOURCES CONSUMED IN A SERVICE INDUSTRY THIS USUALLY MEANS PERSONNEL PHYSICAL RESOURCES SHOULD NOT LIMIT PERSONNEL BUT USUALLY DO

PROCESS CONTROL OUTPUTS ARE DETERMINED BY: AMOUNT & APPROPRIATENESS OF INPUTS EFFICACY & EFFICIENCY OF PROCESS

OUTPUT CONTROL ALSO CALLED FEEDBACK CONTROL QUALITATIVE & QUANTITATIVE REQUIRES STANDARDS OR EXPECTATIONS OFTEN QUANTITATIVE

CONTROL METHODS BUDGETING COST ALLOCATION RATIO ANALYSIS - % OF EXPECTED FINANCIAL STATEMENTS/ANALYSIS OPERATIONAL ACTIVITY ANALYSIS BENCHMARKING STANDARD SETTING

DESIGNING CONTROLS INFORMATION BASED PROSPECTIVE WHEN POSSIBLE REALISTIC & UNDERSTANDABLE ACURATE, TIMELY & RELIABLE IMPORTANT &/OR COST-EFFECTIVE

INFORMATION SYSTEMS MANAGERIAL - HUMAN RESOURCES CLINICAL – DOCTOR VISITS MIXED - LABORATORY GARBAGE IN, GARBAGE OUT IF A SYSTEM IS NOT FUNCTIONAL, COMPUTERS WILL MAKE IT WORSE

RISK MANAGEMENT PRIMARY, SECONDARY, AND TERTIARY PREVENTION SPECIALTY OF LAWYERS ABOUT STANDARDS ABOUT LOSSES MONEY REPUTATION/BUSINESS FREEDOM

RISK MANAGEMENT AVOID OR REDUCE LOSSES/MISTAKES MITIGATE THE DAMAGE FROM LOSSES/MISTAKES INSURE AGAINST LOSSES/MISTAKES OBEY THE LAW

STEPS IN RISK MANAGEMENT IDENTIFY EVALUATE REDUCE/ELIMINATE TRANSFER/INSURE

WHEN A LOSS OCCURS SECURE THE RECORDS MITIGATE DAMAGES DON’T ADD INSULT TO INJURY BE SMART ABOUT BILLS SUPPORT YOUR PEOPLE

SELF-INSURANCE YOU ARE YOUR OWN INSURANCE COMPANY REINSURANCE OR UMBRELLA IS USUALLY NECESSARY DEDUCTIBLE IS A FORM OF SELF-INSURANCE

INCIDENT REPORTS MAY BE USED FOR NUMBERS ONLY SERIOUS PROBLEMS NEED A FAST TRACK MUST HAVE A CORRECTIVE ACTION COMPONENT - DON’T JUST DOCUMENT YOUR STUPIDITY!

INDEMNIFY & HOLD HARMLESS USUALLY A STUPID IDEA FOR BOTH PARTIES DON’T EVER SIGN ONE YOURSELF INSURANCE OR A BOND IS THE RIGHT WAY TO DO THIS