CM631-0901B-01 Systems in Health Care Phase 2 Group Project

Deliverable Length: For your individual work it should be 3-4 pages

Details: You are the Business Venture Group within the Financial Management Division of Cactus Health, Inc. The executive management team has been meeting to discuss strategic business ventures. They have decided to diversify their health plan business beyond Medicare. One option they have identified is to obtain health plan business in the Medicaid market. In particular, they want to explore responding to the next health plan solicitation that is issued by the Arizona Health Care Cost Containment System (AHCCCS) given their geographic location. They have requested the Business Venture Group to research and write a preliminary issue paper.

Write a preliminary issue paper.

Group Deliverable:
1. Provide a summary of the current contract that AHCCCS has with health plans.
2. Identify the primary functions that must be carried out by a health plan under the AHCCCS contract.
3. Determine the method and amount of payments made to the current health plans for acute care services. Review the AHCCCS website to obtain enrollment statistics. Calculate the approximate revenue of each heath plan.
4. Determine what financial and management resources Cactus Health, Inc. currently has to perform under this contract and what financial and management resources would have to be acquired to perform under this contract.
5. Make a preliminary recommendation regarding the financial viability of pursuing this new business venture. Provide support for the recommendations.
6. Provide a list of issues that must be reviewed in the future in detail if the executive team wanted to explore this business venture further.
7. Prepare a report for the executive team responding to the requested information.

Individual Deliverable: write at least two sections of the preliminary issue paper for your group (to be determined by group consensus or the instructor).

****My portion is to only write about number 2 and 7****

Points Possible: 250
Date Due: Friday, Mar 13, 2009 by 12am eastern time
Objective: Develop plans to maximize the use of resources.