Cost - effectiveness in health care
Summary :
Table of Contents
- Challenges faced by today's nonprofit health care systems.
- Squeezed margins.
- Comparing the relative costs and their effects on outcomes in health care.
- Documenting resources allocated.
- Third-sector organizations.
- How a cost-effective analysis helps a physician.
Abstract
Applying cost-effectiveness to heath care is "a clear necessity for responsible nonprofit management." (Schmaedick, 1993, p. 3) cost-effectiveness analysis is an equally necessary tool for a responsible physician who has no choice but to allocate limited resources.Today's nonprofit health care systems face ever-growing challenges that mandate the use of cost-effectiveness analysis. That said, as obvious as it appears for a physician or nonprofit cost manager to compile a thorough and accurate accounting of the expenses, resources and work that goes into a task, it still needs to be conceded that "as the analysis gets more sophisticated, pinning down costs can become very complicated." (Schmaedick, 1993, p. 8)
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