Question

In: Finance

Describe how marketing can be used with health care CQI. Define the business case for quality....

Describe how marketing can be used with health care CQI.
Define the business case for quality.
Explain how performance targets could be set.

Solutions

Expert Solution

Answer 1)

Health care CQI (Continuous Quality Improvement): Health care industry is growing with very fast speed not only in developed economy but also in developing economy. The sustainability of industry depends on the improvement in quality and deliverables on continuous basis.

Marketing, mainly social marketing can be used as one of the most important tools to improve quality. Marketing is tool to advertise and attract new customer to the company to buy product or services. Such important aspect not only provide information about new changes , technology and offerings but also higher quality to get lead in competitive market. The high competition in marketing help in CQI ( continuous Quality Improvement).

Answer 2) Business and success of business depend on quality ,

The industry is working naturally towards reward of quality. As any service industry success depend on better quality, simple example of quality development is providing training to existing employees in company. As training of new technology will increase the efficiency of employee , which reduce the net cost of operation and increase the quality of product . The same concept also applicable in health care industry , as highly trained doctor charges high fee for their services.

Answer 3)

Key factors of performance target set up

  • Capability of employee
  • Benchmark of industry
  • Past performance
  • Cost of operation
  • Time line

Setting of a performance target is not only about guessing of future performance but to determine the achievable target for employee. It can be mainly decide by

  • Historical method : target will decide as per data from past year and condition of market
  • External industrial benchmark: to set target by use of industrial benchmark of different competitors companies.
  • As per cost : target may also fixed by use of cost of operation concept .

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