Time for rate regulation to go? Maryland's 20-year-old system under attack as state's hospitals begin to fall behind in cost control.
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A community hospital's two-part program emphasizes employees' responsibilities and participation in cost control. First, department managers were made more aware of and knowledgeable about costs and techniques for control through use of an AHA educational program. Second, an employee committee studies cost problems and recommends solutions that have effected substantial savings.
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Adapting the appropriate forecasting technique to a health care environment is essential for cost control. As the Chapel Hill experience shows, forecasting is within everyone's reach and can successfully reduce costs.
By examining a group of hospitals in California, one can see the effects of cost control legislation on hospital administrators. Problems can be studied and decisions analyzed for their appropriateness, both to the California hospitals and to hospitals in general.