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The effect of governing board composition on rural hospitals' involvement in provider-sponsored managed care organizations.
J Healthc Manag. 2002 Sep-Oct; 47(5):321-33; discussion 333-4.JH

Abstract

Rural hospitals are actively pursuing various strategic alternatives to confront the dramatic changes taking place in the delivery, organization, and financing of healthcare. One of these strategic alternatives is involvement in provider-sponsored managed care organizations. Studies have argued that this form of managed care would enhance public trust and might improve the performance of hospitals. The changing healthcare environment has also increased the importance of the competence and composition of hospital boards. This article examines the effect of the governing board's composition on rural hospitals' involvement in provider-sponsored managed care organizations. The study sample consisted of 140 rural hospitals in Iowa and Nebraska whose CEOs responded to a survey conducted by the Center for Health Services Research at the University of Iowa between June and December 1997. The principal finding was that the likelihood of a hospital owning any form of managed care organization increases with the number of community leaders and health professionals on the board. The number of business leaders had no effect on the likelihood of involvement in such an arrangement. Other factors that affected the likelihood of owning a managed care organization were the health status of the population and ownership type. Key recommendations to managers are to (1) revisit the hospital board's composition before actively pursuing a strategic action, (2) examine the compatibility of the type of strategic activity pursued with the background of board members and the interests of the populations they represent, and (3) use the governing board as a resource in determining which new strategic activities to undertake.

Authors+Show Affiliations

Department of Health Policy, Management and Behavior, School of Public Health, State University of New York at Albany, USA. ssaleh@albany.eduNo affiliation info availableNo affiliation info available

Pub Type(s)

Journal Article
Research Support, U.S. Gov't, P.H.S.

Language

eng

PubMed ID

12325254

Citation

Saleh, Shadi S., et al. "The Effect of Governing Board Composition On Rural Hospitals' Involvement in Provider-sponsored Managed Care Organizations." Journal of Healthcare Management / American College of Healthcare Executives, vol. 47, no. 5, 2002, pp. 321-33; discussion 333-4.
Saleh SS, Vaughn T, Rohrer JE. The effect of governing board composition on rural hospitals' involvement in provider-sponsored managed care organizations. J Healthc Manag. 2002;47(5):321-33; discussion 333-4.
Saleh, S. S., Vaughn, T., & Rohrer, J. E. (2002). The effect of governing board composition on rural hospitals' involvement in provider-sponsored managed care organizations. Journal of Healthcare Management / American College of Healthcare Executives, 47(5), 321-33; discussion 333-4.
Saleh SS, Vaughn T, Rohrer JE. The Effect of Governing Board Composition On Rural Hospitals' Involvement in Provider-sponsored Managed Care Organizations. J Healthc Manag. 2002 Sep-Oct;47(5):321-33; discussion 333-4. PubMed PMID: 12325254.
* Article titles in AMA citation format should be in sentence-case
TY - JOUR T1 - The effect of governing board composition on rural hospitals' involvement in provider-sponsored managed care organizations. AU - Saleh,Shadi S, AU - Vaughn,Thomas, AU - Rohrer,James E, PY - 2002/9/28/pubmed PY - 2002/11/26/medline PY - 2002/9/28/entrez SP - 321-33; discussion 333-4 JF - Journal of healthcare management / American College of Healthcare Executives JO - J Healthc Manag VL - 47 IS - 5 N2 - Rural hospitals are actively pursuing various strategic alternatives to confront the dramatic changes taking place in the delivery, organization, and financing of healthcare. One of these strategic alternatives is involvement in provider-sponsored managed care organizations. Studies have argued that this form of managed care would enhance public trust and might improve the performance of hospitals. The changing healthcare environment has also increased the importance of the competence and composition of hospital boards. This article examines the effect of the governing board's composition on rural hospitals' involvement in provider-sponsored managed care organizations. The study sample consisted of 140 rural hospitals in Iowa and Nebraska whose CEOs responded to a survey conducted by the Center for Health Services Research at the University of Iowa between June and December 1997. The principal finding was that the likelihood of a hospital owning any form of managed care organization increases with the number of community leaders and health professionals on the board. The number of business leaders had no effect on the likelihood of involvement in such an arrangement. Other factors that affected the likelihood of owning a managed care organization were the health status of the population and ownership type. Key recommendations to managers are to (1) revisit the hospital board's composition before actively pursuing a strategic action, (2) examine the compatibility of the type of strategic activity pursued with the background of board members and the interests of the populations they represent, and (3) use the governing board as a resource in determining which new strategic activities to undertake. SN - 1096-9012 UR - https://www.unboundmedicine.com/medline/citation/12325254/The_effect_of_governing_board_composition_on_rural_hospitals'_involvement_in_provider_sponsored_managed_care_organizations_ L2 - http://ovidsp.ovid.com/ovidweb.cgi?T=JS&PAGE=linkout&SEARCH=12325254.ui DB - PRIME DP - Unbound Medicine ER -