why is it important for leaders to have an understanding of

why is it important for leaders to have an understanding of financial management in public hospitals funded by the federal government?

Solution

There is a statistically significant relationship between hospital financial performance and quality of care. The lack of financial strength may result in a lower standard of health care services, implying the importance of monitoring the quality of care among those hospitals with poor financial health. Public hospitals in America are closing at a much faster rate than hospitals overall. Public hospitals face challanges to maintain their financial viability as they compete with private sector hospitals. Therefore it is important for leaders to have an understanding of financial management in public hospitals funded by the federal government.