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Description For this assignment, we ask that you read through the contract provided and construct a really quick list of concerns that jump out at you.
The Situation
Orlberg Memorial Hospital is a 200-bed, not-very-profitable local hospital serving a small Oregon town and its rural surroundings. There is a Costco in a nearby big-city suburb many of whose employees live in this town and use Orlberg Memorial Hospital. Orlberg is negotiating its first managed care contract with Aetna in this not-heavily-capitated area. The board of directors needs to be informed about the pros and cons of entering into such an agreement. The CEO liked your work on the previous assignment about this contract (proving that no good deed goes unpunished). Now you are asked to provide a list of four issues that you feel the Orlberg board and administration should carefully consider/research/consult upon before agreeing to a contract. These can just be items that you find puzzling, areas of concern, or things that you are sure are red flags. Make sure to explain what concerns you have about each item on the list, but don't exceed 300 words for the whole assignment. At this point, you need not KNOW that the issue is a problem—only suspect it. In other words, what do you see, at this point, as issues someone will need to spend some extra research or discussion time on? These can include something you see as missing from the contract. This exercise is simply to note the potential red flags—based on your reading so far and, perhaps, on your experience. Your boss knows you are not a managed care or contract expert, but feels that your having examined the contract before and the start of your work on your MBA degree make you a good person to highlight issues that need attention. In some cases, you may feel you just need more information that is not provided. In this case, specify what kind of information you would need and where that might be found. You need not seek it out; just say how you would do this. For example, you might feel it advisable to know more about Aetna as a company. The end point of this assignment is essentially an annotated list of four items you find puzzling. You are not expected to be an expert on such things (yet), so do not be shy about listing items you don't understand. You may wish to consult other sources beyond those provided in the course. All sources, including course materials, must be cited in text in APA style.
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This document is prepared in the MS word is the case related to the managed care contracts terms and defined conditions.
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