Healthcare Finance and Accounting Management

Introduction

This Healthcare Financial and Accounting Management training course is designed to equip healthcare professionals across various disciplines and functions in hospitals, clinics, and community health settings with the necessary skills to navigate the complexities of modern healthcare organizations. By doing so, participants will be able to make meaningful financial and operational contributions to their organizations.

Modern healthcare organizations are not only complex due to the variety of treatments and therapies they offer, but they also vary in their operating models and strategic and financial goals. These models range from tax-funded UK-style national healthcare systems to US-style insurance-based systems and profit-driven enterprises.

In all these models, cost management, efficiency, and economic performance are crucial, whether the goal is to operate within constrained budgets or generate profit. Healthcare professionals, regardless of their field, must be familiar with their organization's financial accounting systems to achieve these objectives.

This state-of-the-art Healthcare Financial and Accounting Management training workshop will equip participants with the fundamental tools needed to understand financial reports, enabling them to effectively manage their healthcare establishments.

Understanding Healthcare Financial Management

This course will explore the basic concepts of healthcare financial management, emphasizing its importance for the economic well-being of healthcare establishments. It will also provide insights into various financial solutions that can streamline operations and support long-term financial sustainability.

Objectives

By the end of this course, participants should be able to:

• Understand basic accounting principles in healthcare.
• Interpret financial reports specific to healthcare organizations.
• Actively participate in budgeting processes within the healthcare sector.
• Grasp the fundamentals of capital investment decision-making.
• Make decisions based on “value for money” and improved cash flow management skills.
• Contribute to the development and implementation of management dashboards.

Training Methodology

• Interactive Lectures and Discussions
• Case Studies and Real-World Scenario Analysis
• Financial Report Analysis Exercises
• Group Budgeting and Forecasting Workshops
• Capital Investment Decision-Making Simulations
• Management Dashboard Development Exercises
• Peer Feedback and Collaborative Sessions
• Expert-Led Q&A Sessions
• Self-Assessment and Reflection Activities

Course Outline

Unit 1: Healthcare Management & Accounting Fundamentals

• State, charity, insurance-funded models
• Stakeholder vs. shareholder value fundamentals in healthcare
• Concepts of value for money (VfM) in healthcare financial decisions
• Basic principles in financial accounting, with an emphasis on healthcare accounting
• Cash vs. accrual accounting in the healthcare context
• Financial accounting vs. management accounting within healthcare entities

Unit 2: Healthcare Financial and Management Reporting

• Relevant reporting frameworks for healthcare organizations
• Distinctive characteristics of healthcare financial reports
• The five elements of financial statements in healthcare
• Assets and liabilities: principles for recognition and measurement specific to healthcare
• Nature and classification of healthcare sector income and expenses
• The role of management accounting in healthcare entities

Unit 3: Measuring and Managing Healthcare Performance

• Understanding and analyzing cost behavior in healthcare environments
• Managing the cost-volume-profit relationship in healthcare services
• In-depth analysis of healthcare financial reports
• The financial analyst's toolkit for the healthcare industry
• Analyzing liquidity ratios in healthcare entities
• Optimizing decision-making with various financing alternatives in healthcare

Unit 4: Budgeting for Healthcare Sector Organizations

• Goal setting and outcome specifications in healthcare
• Efficient forecasting techniques for healthcare financial planning
• Budgeting for funding, income, and expenses in health institutions
• Cash flow budgeting principles in healthcare
• Budgeting for healthcare, including human and behavioral aspects
• Principles of capital investment budgeting in healthcare organizations
• Real-life investment decision-making in the healthcare sector

Unit 5: Integrated Management Reporting in Healthcare

• The limitations of financial reports in reflecting the full scope of healthcare operations
• Identification of organizational key success factors
• Measuring economy, efficiency, and effectiveness in healthcare services
• Development of Key Performance Indicators (KPIs) for healthcare institutions
• Use of strategy maps and balanced scorecards in healthcare management
• Development of tactical management dashboards for informed decision-making in healthcare

Conclusion

This course will provide participants with the knowledge and skills needed to pursue certification in healthcare financial and accounting management. It will focus on how healthcare accounting principles fit into the broader framework of responsibilities related to healthcare finances, preparing attendees for certification by covering all integral topics in healthcare accounting.