Human resource
Missroja
chapter_12.pptxTrends and the future
Chapter 12
1
Learning objectives
Enumerate and discuss the trends that are occurring in the healthcare marketplace; and
List and explain the future challenges in healthcare HR management.
2
Introduction
Healthcare HRM operates within a complex external environment.
Therefore, when we consider the future of healthcare HRM and the healthcare workforce, we must also consider the trends that are specific to the healthcare field and its workforce, the concerns that affect HRM as a whole, and the changes that will have an impact of HR functions in the future.
These three sets of issues are overlapping and interrelated.
3
3
Ten healthcare trends
The healthcare field is dynamic and unpredictable..
This unpredictability is natural – healthcare is about people and hence absorbs changes in all areas of society, including politics, the economy, immigration, and popular culture.
The ten key trends that are expected to cause major changes in the healthcare field, and consequently on its workforce, are examined in this section.
4
Ten healthcare trends
Exhibit 12.1
Technological innovation
Consumer mind-set of patients
Focus on quality and evidence-based medicine
Security and privacy
New healthcare professionals
Information technology and decision support systems
Globalization
Demographic changes (aging, diversity)
Prevention and disease management
Patient safety
5
Ten healthcare trends
Technological innovation
Genetics, as well as imaging, information technology, and telemedicine, are also poised to make an impact on the healthcare workforce, similarly generating new types of positions and specializations.
Information technology has changed the face of HR through the increasing impact of HR information system (HRIS).
6
Ten healthcare trends
Technological innovation
HRIS can lower administrative costs, increasing productivity, speed up response times, enhance decision making, and improve customer service.
HRIS are most frequently used to automate payroll processing, maintain employee records, and administer benefits programs.
Software to recruit, screen, and pretest job applicants online before interviewing and hiring them and software for training and promotion purposes are gaining popularity.
7
Ten healthcare trends
Consumer mind-set of patients
With the increased availability of medical and health information on the internet comes consumer who are more health literate and savvy.
This trend is leading to a healthcare environment that is driven by consumers.
8
Ten healthcare trends
Consumer mind-set of patients
As consumers assume a larger share of their own healthcare costs, we may see customized health benefit plans designed to meet each person’s unique needs.
Consequently, the healthcare workforce will need to be more attuned to consumer demands and concerns, and healthcare organizations will have to make it easier to patients to participate in their own medical decision making.
9
Ten healthcare trends
Focus on Quality & Evidence-based medicine
Business pressures and the movement toward evidence-based medicine will force healthcare organizations to set quality and clinical outcomes goals, work toward achieving them, monitor them, and publicize the results.
Organizations will need clinicians and teams to work together on quality improvement initiatives, and those who are trained in quality improvement methodologies will be more in demand.
Total quality management – is a set of principles and practices whose core ideas include understanding customer needs, doing things right the first time, and striving for continuous improvement.
10
Ten healthcare trends
Focus on Quality & Evidence-based medicine
Recently, many organizations have adopted Six Sigma, a statistical method of translating a customer’s needs into separate tasks & defining the best way to perform each task in concerts with others.
Six Sigma can have a powerful effect on the quality of products, the enhancement of customer service, and the development of employees.
11
Ten healthcare trends
Security & Privacy
Concerns about the security and privacy of medical records, brought about in large part by the Health Insurance Portability and Accountability Act of 1996 (HIPAA), will shift focus, as patient records become accessible and shareable through electronic means such as websites, smartphones, personal digital assistants, and e-mail.
12
Ten healthcare trends
Healthcare Professionals
Advances in technology and changes in the way disease is treated and managed will bring about the possible reeducation and retraining of existing professionals and the advent of new healthcare professions.
Managers will have to determine new professionals’ roles and places within the organization.
New employees, as always, will need to be trained.
13
Ten healthcare trends
Information technology & Decision Support System
Information technology has increasingly touched all aspects of healthcare
Use of decision support systems will be more prevalent, helping clinicians and teams effectively use new diagnostic, surgical, clinical, and medical devices and pharmaceuticals.
14
Ten healthcare trends
Globalization
The emergence in the U.S. of illnesses and health-related concerns that originated in other countries and the ongoing threat of biological and chemical terrorism signal the effects of globalization on healthcare.
Some U.S. consumers are going abroad, and some foreign citizens are coming to the U.S., to combine health services with a vacation; medical tourism.
15
Ten healthcare trends
Globalization
To respond to medical tourism, some U.S. healthcare organizations are partnering with foreign healthcare institutions through a process of mutual patient referrals.
The HR department will play a role in staffing and evaluating such initiatives.
Demographic changes
The aging of the population is a predictable change that will affect society overall and healthcare in particular.
16
Ten healthcare trends
Demographic changes
The cost of providing healthcare for older workers is higher than providing healthcare for younger employees, but such costs are more than offset by the minimized turnover, training, transitions, and recruitment.
The growth in diversity will demand cultural competency & sensitivity from the healthcare workforce.
Healthcare organizations may meet this demand through retraining their staff on diversity issues, recruiting employees from underrepresented or minority groups, & incorporating cultural competence education into the staff orientation & training curriculum.
17
Ten healthcare trends
Prevention and Disease Management
The concept of disease prevention, although not new, continues to gain momentum as healthcare consumers take charge of their bodies and learn about alternative medicine.
Healthcare organizations are heeding these cues by providing additional preventive services and boosting their current disease management programs.
18
Ten healthcare trends
Patient Safety
Advanced knowledge about medical errors and their causes will likely lead to changes in healthcare processes and information technology.
Healthcare organizations have to create a culture in which staff are not penalized for reporting errors or ostracized for making mistakes.
Such a culture encourages improvement in staff performance and morale, which leads to fewer medical errors and higher quality.
19
Workplace trends
In its 2011 Workplace Forecast, the Society for HRM identified the ten most important trends that will likely affect HRM. Review 12.2.
Continuing high cost of employee healthcare coverage in the US
Passage of federal healthcare legislation
Increased global competition for jobs, markets, and talents
Growing complexity of legal compliance for employers
Changes in employee rights due to legislation and/or court rulings
20
Workplace trends
In its 2011 Workplace Forecast, the Society for HRM identified the ten most important trends that will likely affect HRM. Review 12.2.
Large numbers of baby boomers leaving the workplace at around the same time
Economic growth of emerging markets such as India, China, and Brazil
Greater need for cross-cultural understanding/savvy in business settings
Growing national budget deficit
Greater economic uncertainty and market volatility
21
Six overall challenges in HRM
SHRM examined and categorized the HR literature to identify current and emerging HRM challenges and issues.
Exhibit 12.3 shows the overall and specific HRM challenges of healthcare organizations todays.
These factors extend beyond people issues and require the development of a skilled and flexible workforce and a professional HR function.
22
Six overall challenges in HRM
Integrating HR & Strategy
HR are the most important cost in most healthcare organizations.
How effectively the organization integrates its HR with its strategy can have a dramatic effect on its ability to compete and survive in a hypercompetitive environment.
No HR strategy is inherently good or bad; its value is dependent on how well it fits with the organization’s business strategy, organizational characteristics, organizational capabilities, and the internal /external environment.
23
Six overall challenges in HRM
Using Technology
Even in healthcare, which has a long traditional of hands-on service, the Internet is transforming the way organizational goals are accomplished.
Computer-mediated connections are giving rise to a new generation of virtual workers who work from home or wherever the work takes them.
As beneficial as it is, technology also presents a number of concerns, including privacy & intellectual property rights.
24
Six overall challenges in HRM
Enhancing Productivity
Obviously, the Internet can enhance employee and organizational productivity – the quantity and quality of output divided by input.
New investments in technology have rapidly increased the productivity of American workers over the past decade.
The challenge is to find the appropriate mix of tactics that will enhance productivity without reducing organizational commitment, loyalty, and retention.
25
Six overall challenges in HRM
Containing Costs
Employees, managed care, and government insurance programs have all put pressures on healthcare organizations to lower costs and improve efficiency.
In response, organizations have tried a number of approaches, including restructuring, downsizing, outsourcing, and employee leasing.
Each method has had a direct impact on HR policies and practices.
26
Six overall challenges in HRM
Managing Diversity
A diverse workforce is becoming the norm in American businesses.
Healthcare consumers and employees alike have become and will continue to become more diverse.
Managing diversity requires awareness and sensitivity to those challenges.
27
Six overall challenges in HRM
Complying with Legal Standards
Much of the growth of the HR function in the past four decades can be attributed to its crucial role in keeping organizations out of legal trouble.
Most healthcare organizations are concerned about potential liability resulting from HR decisions that may violate laws or regulatory guidelines set by federal, state, and local governments and legislators.
Managers need to understand legal issues, particularly sensitive to legal issues when making decisions about who to hire or promote, how to compensate, what benefits to offer, how to accommodate dependents, and how and when to terminate.
28
