Best Practice Budgeting in Healthcare Organizations

The Role of Best Practice Budgeting in Healthcare

By [Student’s Name]

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Introduction

The article provides insight into a unique budget setting strategy that is ideal for strategic planning and future analysis of financial strength in healthcare organizations. The writer begins by highlighting the need for change in the traditional budgeting systems that are the standard ways through which health care organizations budget. Traditional top-down systems of budgets are characterized by overestimates which inflate the budget making it unreasonable or difficult to maintain, low-ball expenditure techniques that force the organization to look for additional finances during the year, and a complete lack of knowledge of the market which leads to underestimates.

The best practice approach highlighted by the article, suggests bringing together the three integral parts of planning that are; laying down the plan, implementation, and monitoring through management. This…