How should healthcare organizations monitor key business metrics throughout a yearly business plan?
How is that best communicated?
Give an example of monitoring organizational performance based on key business metrics. This can include tools used to communicate results.
As we are aware that healthcare organizations also operates for various types of motives hence this types of organization also need to monitor key business metrics throughout a yearly business plan.
Healthcare organizations also maintain its financial information in the books of account so that proper monitoring can be done time to time and progrees of this organization can be measured effectively & efficiently.
So healthcare organizations monitor key business metrics throughout a yearly with the help of following indicators;
· Annual Sales (revenue)
· Annual Net Income
· Gross Profit
· Monthly Income
· Monthly Sales (revenue)
· Annual Operating Expense
Healthcare organizations can communicate its financial progrees to the various stakeholders through annual financial reports to the associated stakeholders. Such annual report may include following;
· Balance sheet
· Income statement
· Cash flow statement
· Comparative statement
· Board of director’s report
· Auditors’ report etc.
As we know that there are some key indicators with the help of those indicators an organization can monitor it’s performance. We have already discussed that these key indicators may include; Annual Sales (revenue), Annual Net Income, Gross Profit, Monthly Income, Monthly Sales (revenue) and Annual Operating Expense. Thus these indicators can be monitored with the help of prepared income statement at the end of accounting year.
So we can say that healthcare organization, can monitor performance with the help of financial statements such as income statement, balance sheet etc.