Integration in Health Organisations Choose 2 Ways

Integration in Health Organisations Choose 2 ways healthcare organizations integrate consolidate define give a healthcare type integration chose. As shown 2nd slide PowerPoint Presentation, types integrations: acquisition, merger, joint venture, alliance, network, virtual organization. Integration in health organizations Integration among healthcare providers is a very common practice among hospitals nowadays. It is gaining popularity because of the urge; both the hospitals and its customers have to offer and are given quality health care services within a given health Centre.

Because of this high competition in service delivery, smaller hospitals are forced to integrate in order to meet the people's expectation (Shi, 2008). Types of health care integrations Acquisitions, this is where a health care delivery organization expands its core services or products. This form of integration is essentially to increase the geographical distribution or coverage of the organization since they offer the same services or to some cases, they substitute the already existing services.

Acquisition may consist of a multi-hospital chain, a chain of drug store or a chain of nursing facilities. An example includes; the Allegheny health, education, and research foundation in Pittsburgh (Wolper, 2011). Joint ventures among healthcare organization is this integration which link services at different stages in the production process of health. Services, which are likely, to be offered under joint ventures include acute care, preventive services, primary care and post-acute service delivery around a hospital.

Most large hospitals are more familiar with this integration in sections such as the outpatient department because this gives them large slices of patient market especially for direct contracting with self-insured employers. An example of a joint venture is that between the Massachusetts General Hospital and Brigham & Women's Hospital (Wolper, 2011). Healthcare administrators should learn that merging healthcare is not the solution for health care organizations which are struggling to stay afloat since.

This is because, when poorly managed, some of the members may offer substandard services, which will pull, down those which are trying to offer efficient services. On top of that, most merged healthcare organizations have failed to achieve the presumed economies of scale in their basic services. Since even with the mergers, the two or more health institutions may be forced to provide quite the same services even if they decide to shut or shift some services to one of their institutions.

Therefore, the need for the services back at the hospital they have just removed it and the cost of facilitating the patients to get the services at its new location may be too expensive. Health care managers should also learn that, the heavy cross-frictional dependencies of many medical specialties and services may prevent two hospitals formally merged from eliminating certain specialties from one hospital and placing it entirely in the other for them to cut the overall cost (Shi, 2008).

Mergers such as joint ventures are there to give the two organizations more negotiating power when they are to agree with the insurer and managed care organization on reimbursement terms and rates. An example being the joint venture between.