TOP 10 HOSPITALS OPERATING BUDGET
Operating budgets include the budget for all operational costs in an organization. Therefore, hospitals operating budget simply means the estimated expenditure and income for the hospital for a given period.
The expenditure of a hospital depends on its operational activities. This entails provision of better infrastructural facilities, training and workshops, acquisition of more beds and so on. All of these are necessary and determines the growth of the organization. If adequate plan is not put in place, the expenditure may exceed the income and this will amount to a loss. This is why hospitals have enacted various budgets to help them function well and produce desirable results at the end of the day.
In addition, the hospital management is also responsible for the welfare of the employees. To this effect, it is necessary to create a feasible budget so that all aspects of the organization are duly considered. Of course, income is a great part of the hospital structure. Hospitals require finance to conduct daily operations. One source of finance is through the payment made by patients. This is why it is necessary that hospitals keep a check on the revenue it generates in its operations.
Interestingly, there is no set rule in place that determines how much a hospital generates or how it sources finance for its operation. The pricing system of hospital greatly differs. For instance, the cost of a hospital administration is determined by the patient’s health conditions, surgical procedures, medications and specialist fees. All of these are factors that influence how much patients are told to pay for medical services. Another thing that affects costs in the hospital administration is location. Just like every other organization, the place a hospital is situated affects its operating budget and costs.
Hospitals in rural areas will not charge as much as their counterpart in urban environs. The facilities that are found in urban area may not be found in rural area. To this effect, the use of these sophisticated facilities can only mean that patients that attend these facilities will be made to pay substantial amount of money to receive medical treatment.
Hospital operating budget is very essential ensuring hospitals run efficiently. There are always things that need to be attended to. Unfortunately, a lot of things will still be left undone. But, having a budget ensures that the hospital does not work outside its plan. The budget serves as a guide that helps hospitals monitor all that it does. In this way, hospitals will always work in line with their designed plan and actions. Therefore, hospital operating budget will act as a framework that helps the hospital draft a plan and work with it.
When measuring cost of medical services, it is necessary to bear in mind that surgical operations cost a lot. The equipment in use and the procedures for the operation require a lot of expertise and perfection. This is why it is sometimes very expensive to undergo a surgical operation. However, no two hospitals are the same. For this reason, the operating budget differs from one hospital to another. It will be erroneous to conclude that one hospital is superior to the other as various factors can influence the budget of a hospital. The top 10 hospitals operating budget are:
Cleveland Clinic: This hospital in the last quarter of 2020 incurred the cost of $2.59 billion with an operating income of $340.23 million.
Mayo Clinic: Mayo clinic is located in Minnesota. It reports an operating income of $243 million in 2021.
John Hopkins Health: In 2018, this hospital had an operating expense of $1.7 billion and an operating income of $1.7 billion.
New York Presbyterian Hospital: This hospital has an operating IT budget of $184, 428 million.
NYU hospital: This hospital has an estimated operating IT budget of $152 million.
Massachusetts General Hospital: In December 2020, this hospital recorded operating revenue of $3.8 billion. It is located in Boston.
UCLA Medical Center: Its fiscal policy in 2015 was about $20 million.
Stanford Hospital: This hospital has an operating IT budget of $132 million.
Memorial Sloan Kettering Cancer Center: The estimated operating IT budget for this hospital is $120 million.
University of Texas MD Anderson Cancer Center: The estimated operating IT budget for this hospital is $115 million.
The top 10 hospitals operating budget in the United States is a compilation of the cost and revenue that is generated in these hospitals. A budget will not be complete if the revenue and the cost incurred in the operational activities of the hospital is not taken into consideration. However, it is important to accept that no two hospitals can ever be the same. The modus operandi of these hospitals varies and as such, it is reflected in their operating budget. In addition, the location of the hospital plays an important role and will also affect the cost of operations.