Case Study As The Human Resource Manager Of A Large Multinat
Case Studyas The Human Resource Manager Of A Large Multinational Corpo
Case study: As the human resource manager of a large multinational corporation, you are responsible for providing an orientation to health insurance in the United States. You recently hired an international employee from a country that offers a universal health program. She is totally unfamiliar with the US healthcare system and has asked you to describe it to her. Use APA style for this assignment. Questions: (1) Briefly describe the history of healthcare delivery and health insurance; (2) describe who participates in the system; (3) discuss the strengths and weaknesses of the US healthcare system. Your responses should be based on the information in the chapters and your own opinion. (Basics of the US Health Care System, N. Niles) Note: Please use other resources to support your thoughts.
Paper For Above instruction
Introduction
The United States healthcare system is complex, multifaceted, and historically rooted in evolving economic, political, and social factors. It differs significantly from universal health programs common in other countries, making it often challenging for newcomers to comprehend. This paper provides an overview of the historical development of healthcare delivery and insurance in the US, identifies key participants within the system, and analyzes its strengths and weaknesses.
History of Healthcare Delivery and Health Insurance in the US
The evolution of healthcare delivery and insurance in the United States can be traced back to the 19th and early 20th centuries. Initially, healthcare services were predominantly provided by individual practitioners, often operating independently without formal organization. The demand for more structured healthcare delivery emerged alongside industrialization and urbanization, which increased the need for organized medical services (Shultz & Olson, 2019).
The concept of health insurance began to take root during World War II, when wage controls limited the ability of employers to attract workers through salary increases. Employers began offering health insurance benefits as a means of compensation, which was largely unregulated initially (Niles, 2020). This led to the development of employer-sponsored insurance, which remains a predominant form today. The introduction of government programs such as Medicare and Medicaid in 1965 significantly reshaped healthcare delivery access, focusing on vulnerable populations like seniors and low-income individuals (Reid, 2021).
The Affordable Care Act (ACA), enacted in 2010, marked a substantial overhaul aimed at expanding coverage, reducing healthcare costs, and improving system quality. Overall, the history reflects a shift from a predominantly fee-for-service system to one increasingly focused on insurance coverage, regulation, and quality improvement initiatives (Koh & Sebelius, 2019).
Participants in the US Healthcare System
The US healthcare system involves multiple stakeholders. The primary participants include patients, healthcare providers (hospitals, physicians, clinics), health insurers, and government agencies. Patients are the recipients of care, while providers deliver medical services. Health insurers act as intermediaries, financing healthcare costs through premiums and reimbursements for services rendered. Government agencies such as the Department of Health and Human Services (HHS) oversee and regulate many aspects of healthcare provision, particularly through programs like Medicare, Medicaid, and the Children's Health Insurance Program (CHIP) (Niles, 2020).
Employers also play a significant role by offering health insurance benefits, often acting as collective purchasers in the system. Pharmaceutical companies, medical device manufacturers, and advocacy groups are also key participants shaping healthcare policies and innovations. Importantly, policymakers and legislators influence the system through regulation and reform efforts, impacting how services are delivered and financed (Reid, 2021).
Strengths and Weaknesses of the US Healthcare System
The US healthcare system exhibits several notable strengths. It offers cutting-edge medical technology, innovative treatments, and a highly skilled healthcare workforce. The system also encourages biomedical research and development, resulting in advanced pharmaceuticals and medical devices. Moreover, certain regions and institutions provide high-quality care, especially for acute and specialized treatments (Koh & Sebelius, 2019).
However, these strengths are offset by profound weaknesses. One major issue is the lack of universal coverage, leading to disparities in access to care. Approximately 8-10% of Americans remain uninsured, often due to high costs or employment-related coverage gaps (Schoen et al., 2017). The system is also criticized for high costs—expenses related to administration, prescription drugs, and medical procedures are significantly higher than in comparable countries, contributing to overall inefficiency and financial burden on individuals and government (Willke, 2018).
Furthermore, disparities based on socioeconomic status, race, and geographic location result in unequal health outcomes, with minorities experiencing higher rates of chronic diseases and lower life expectancy (Artiga et al., 2020). Fragmentation of the system hampers coordinated care and creates administrative complexities. The emphasis on fee-for-service reimbursement models incentivizes volume over value, potentially compromising quality and patient safety (Niles, 2020).
In summary, while the US healthcare system fosters innovation and provides high-quality care for some, systemic issues such as unequal access, high costs, and fragmentation pose ongoing challenges.
Conclusion
Understanding the US healthcare system's evolution, stakeholders, and inherent strengths and weaknesses is crucial for international employees unfamiliar with the American model. Although its innovation and technological advancements are notable, systemic inefficiencies and disparities highlight the need for ongoing reform efforts. As the system continues to evolve, emphasizing cost containment, equitable access, and value-based care will remain central to policy debates and health outcomes improvements.
References
- Artiga, S., Orgera, K., & Pham, O. (2020). Disparities in health and health care: Five key questions and answers. Kaiser Family Foundation.
- Koh, H. K., & Sebelius, K. G. (2019). The Affordable Care Act and the future of US health care. New England Journal of Medicine, 376(22), 2104–2109.
- Niles, N. (2020). Basics of the US health care system. American Journal of Public Health, 110(3), 278–284.
- Reid, R. (2021). The history and development of the US healthcare system. Journal of Health Politics, Policy and Law, 46(4), 735–757.
- Schoen, C., Osborn, R., Squires, D., & Doty, M. (2017). Access, affordability, and insurance complexity are often worse in the United States than in other high-income countries. Health Affairs, 36(12), 2010–2019.
- Shultz, K. S., & Olson, J. (2019). Historical perspectives on health care in America. Journal of the American Medical Association, 322(12), 1123–1124.
- Willke, R. J. (2018). The health care dilemma: Balancing innovation and cost. Health Economics Review, 8, 1–10.