Part 1
Respond to the following in a minimum of 175 words:
- What financial reporting system are you familiar with, have had experience with, or interested in using?
- Explain how you used (or could use) the data for decision making. Posts must include reference support.
Part 2
Reply to at least 2 of your classmates. Be constructive and professional in your responses. Posts must be greater than 125 words and include reference support.
Post 1
I am not familiar with financial reporting systems. As a federal employee in the Veteran Affairs (VA) hospital (not-for-profit), I believe that finances are handled quite different from organizations that are for-profit. After researching, my understanding is that organizations who are not-for-profit use a special measurement term. According to Cleverley, Song, and Cleverley (2011), “net income divided by equity, or return on equity (ROE). ROE is the primary financial criterion that should be used to evaluate and target financial performance for voluntary not-for-profit healthcare organizations” (p. 246). Sustainable growth is extremely important on any company’s financial dashboard, and ROE is a valuable measuring tool. Nonoperating income is often sourced from investment income and is usually a high percentage of the total net income for not-for-profit hospitals (Cleverley, Song, & Cleverley, 2011). Assessing performance in nonoperating income areas can be defined with the following measures: Investment yield, days cash on hand, and portfolio on equity (Cleverley, Song, & Cleverly, 2011). I do not know the level of accuracy that this textbook offers when it pertains to where I work at the VA Hospital; as I do not have authorized access to their financial information to confirm its direct relation first-hand.
Cleverley, W. O., Cleverley, J. O., & Song, P. H. (2011). Essentials of health care finance (7th ed.). Burlington, MA: Jones & Bartlett Learning.
Post 2
Financial reporting in the healthcare industry is a challenging role primarily because of the complexity of the hospital systems, which take into consideration the quality of patient care and the diversity of patient care. Furthermore, financial reporting is directly incorporated into the strategic planning process (Cleverly, Song, & Cleverly, 2011). Strategic planning involves providing the organization direction and or guidance as well as a specific program or activity in which the organization will commit assets (Cleverly, Song, & Cleverly, 2011). According to Cleverly, Song, & Cleverly (2011), “Financial planning is fashioned by the definition of programs and services and then assesses the financial feasibility of those programs and services”, (p. 288). In the healthcare industry, financial planning is essential in maintaining quality patient care and organizational sustainability. The hospital I work for utilizes benchmarks to help track progress as well as, analysis of external benchmark data primarily for cost, efficiency, and to help set standards. Currently, my role at the hospital is not working directly with any financial reporting systems; however, as a department, we are expected to maintain dashboards updated daily. The dashboards help pinpoint and bring into focus essential performance indicators and or, metrics which in turn help upper management in the decision-making process. Department managers maintain a record of accounts, finances, and expenditures that are reported and reviewed by the appropriate stakeholders and or upper management (“Edupristine Empowering Professionals”, 2017). According to Edupristine (2017), “There are two different types of reporting – Financial reporting for various stakeholders & Management Reporting for internal Management of an organization” (p. 1). Furthermore, financial reporting is a crucial aspect of any organization primarily because it involves “Corporate Governance” (“Edupristine Empowering Professionals”, 2017, p.1). There are computer systems that help organize, create, maintain, and view financial information in an organized and efficient manner, such as the Dynamics 365 Finance and Operations system, which I think would be very interesting as well as provide a higher level of accuracy.
Cleverly, W. O., Song, P. H., & Cleverly, J. O. (2011). Essentials of health care finance (7th ed.). Sudbury, MA: Jones & Bartlett Learning.
Edupristine empowering professionals (2017). Retrieved from https://www.edupristine.com/blog/financial-reporting
What Students Are Saying About Us
.......... Customer ID: 12*** | Rating: ⭐⭐⭐⭐⭐"Honestly, I was afraid to send my paper to you, but you proved you are a trustworthy service. My essay was done in less than a day, and I received a brilliant piece. I didn’t even believe it was my essay at first 🙂 Great job, thank you!"
.......... Customer ID: 11***| Rating: ⭐⭐⭐⭐⭐
"This company is the best there is. They saved me so many times, I cannot even keep count. Now I recommend it to all my friends, and none of them have complained about it. The writers here are excellent."
"Order a custom Paper on Similar Assignment at essayfount.com! No Plagiarism! Enjoy 20% Discount!"
