The objective of this project is to improve the Springfield region’s financial performance for the Saints Health. The Saints Health Region (SHR) is accountable for health care services for the 28-county Springfield Arizona Service Area. SHR Health Plan provides operating funds for SHR, and the services are provided through SHR Medical group, local physicians, and other providers. Currently, the operating margin is negative with an operating loss of $110.31 M although the membership growth is positive. As consultants, our team strives to develop strategies to improve the financial performance of SHR by focusing on short-term and long-term viability. This report analyzes alternatives for reducing expenses and strategies to break-even the margin by the end of CY2018 and plans to increase the operating margin to $40 M by the end of CY2021.
Some of the problems SHR and the surrounding community are facing include an uneven distribution of health care professionals, lack of attention to behavioral health, an insufficient number of beds in
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The uneven distribution of health care workers in the surrounding communities will be addressed by providing incentives to the workers in wealthier districts who are willing to be relocated to work in the poor areas. The need for more attention to behavioral health in the community can be attended to by establishing mandatory screenings at primary care visits which will test for various mental health issues. The problem of bed shortages for patients in the hospitals can be solved by partnering up with other outpatient facilities to take on patients who are required to stay for more than one day in the hospital. We will also try to recover from the exclusion of the SHR health care plan for state employees in Arizona, in 2008, by lowering the costs of SHR’s plan in relation to the other two competing