The various subsectors of health care sector face a number of special challenges in terms of governance. These subsectors are faced with individualized challenges that are often due to their core competency or operations. Nongovernmental-Nonprofit companies face issue with funding which must be managed through grants and other methods for obtaining revenue. This can create severe challenges to managing the organization in terms of maintaining consistent standards.
Tertiary subsectors are also challenged by cost drivers such as health care consumerism which allows for consumers to shop for better cost. This is challenging because regulations and administration continue to drive up the cost of care. This same consumerism challenges primary care because it reduces preventative procedures due to cost which increases long term healthcare expenses. For profit systems are challenged in the same manner as the cost of health care continues to escalate despite cost cutting.
Integrated delivery systems are challenged by a variety of laws requiring collaboration while simultaneously increasing privacy and regulatory enforcement. Laws such as the Health Insurance Portability and Accountability Act (HIPAA) make electronic transmission of data easier in some respects, but hinder it in other situations. In one aspect the law is designed to protect individual privacy and curtail the leakage of person health information. HIPAA also creates a simplified network for transferring health care information between providers. The law was designed to take advantage of advancements in electronic communications in order to provide clients with better health care service. HIPAA has been a beneficial factor in health care delivery but has also been a disruptive force with regard to possible privacy violations and abuse (HIPAA Compliances, 2014).
For profit and pharmaceutical subsectors or challenged by ethics and cost. Recent stories of pharmaceutical companies raising the rates of medications for rare diseases reflects this problem. There is a careful balance that is difficult for management to achieve with profit and ethics in these sectors.
Perhaps the most challenged sector is government as it has continuously battled along political lines for establishing a fair reasonable health care system. The constant back and forth between political parties creates a disruptive policy environment that challenges even the best of managers.
HIPAA Compliances. (2014, March 14). Wireless Network Security Configuration Checklist. Retrieved from HIPAA Compliances: http://www.hipaacompliances.com/wireless-network-security-configuration-checklist