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Function and effect of cost control in financial management of traditional Chinese medicine hospitals
Function and effect of cost control in financial management of traditional Chinese medicine hospitals

An important supporting measure of cost control management is to establish and improve the incentive mechanism. Performance incentive and cost control are both management means, which promote and coordinate with each other. The following is J.L.' s model essay on the role of financial management in cost control in Chinese medicine hospitals.

The final benefit of the hospital is directly related to cost control. Whether in other industries or hospitals, cost control is the basis to improve the level of financial management. In view of the high operating cost of hospitals in China, this paper puts forward a series of measures to reduce the cost and strengthen the control, so as to promote the improvement of the economic benefits of hospitals, which is also the most important key point in hospital financial management. A good cost control system can promote the efficiency of hospital financial management and is also conducive to the sustainable development of hospitals.

Keywords: financial management; Hospital; cost control

First, the current hospital cost management problems

1. Incomplete cost information

With the deepening of medical reform, there are two main problems in hospital cost accounting in China: first, it is difficult to collect data, mainly because most indirect costs are not up to standard; Secondly, it is mainly because there is no scientific and effective standard compared with the previous accounting cost allocation standard. At present, the scale of hospital development is gradually expanding, and the requirements for automation are getting higher and higher. Among the total costs of hospitals, indirect costs are becoming more and more prominent.

2. Cost control objectives are inconsistent with management methods.

When managing hospital cost, another prominent problem is that the methods of hospital cost management are relatively backward, mainly because the cost control methods are inconsistent with the control objectives, which can not motivate employees and the cost-benefit ratio is difficult to give full play to its effective role. For example, some hospitals cannot reasonably and accurately share the management expenses of logistics and administrative departments, and it is difficult to coordinate various sharing methods. Hospital cost accounting department, for the formulation of allocation methods, it is also difficult to find operational and accurate allocation countermeasures, because different component allocation methods, the final result will also lead to inconsistencies between the accounting of various departments and the reported information and data. The results will have a serious impact on the later cost accounting analysis.

3. Cost control is not in place.

First, in practice and theory, hospital cost accounting has not been properly solved, and hospital cost control standards have not been improved. Second, the nature of most hospitals at present belongs to state-owned hospitals. Due to the influence of the system, there are some obstacles in the implementation of cost control countermeasures. At the same time, the cost expenditure is not linked with the interests of decision makers, which makes decision makers less enthusiastic about cost management and control. Thirdly, the management foundation of most hospitals is fragile, and the most important part of cost management, namely cost management, has many shortcomings in control management support. Fourthly, in practice, research and application, the research on hospital cost control is almost the same as the professional research in colleges and universities, so it is difficult to contact the professional characteristics of the current hospitals, and its application value is relatively low. Fifth, in the aspect of hospital cost control, its control measures can not be linked with other management measures, which seriously affects the effectiveness and implementation of hospital cost control.

Second, the main content of cost control and its impact on financial management

1. Main contents of hospital cost control

(1) cost control. The main contents include the planning and procurement of materials and materials. , strictly control the hospital's cost revenue and expenditure, improve the examination and approval process of cost revenue and expenditure, and carry out the cost revenue and expenditure work according to the process specification. (2) Consumption control mainly involves storage, procurement, collection, warehousing, use and recycling. In accordance with the relevant regulations, strictly implement the related work in each link, strictly control the consumption quota, and promote the utilization rate. (3) Business control. The main content is to control every stage of hospital diagnosis and nursing work, focusing on the central stage and promoting the improvement of hospital management level.

2. The impact of hospital cost control on financial management

Hospital cost control mainly controls the expenses and costs of various statistical departments. By adopting certain methods, all the expenses incurred in the process of medical service are strictly accounted for, supervised and restricted, and the actual expenses of each link are controlled within the expected planned range. Then, the' cost expenses' that are inconsistent with the actual standard categories are analyzed, so as to achieve the purpose of reducing costs with targeted countermeasures and determine standards, which is the main basis for implementing cost control. Hospital management and analysis through standardization. Research shows that cost control plays the most prominent role in enterprise financial management. Based on this, the financial management of the medical industry must also emphasize the effectiveness of cost control. (1) Cost control is conducive to optimizing the financial accounting team. To strengthen hospital cost control, it is first necessary to establish and improve the financial accounting organization system. In this system, it is necessary to clarify the responsibilities of various posts and institutions, set corresponding responsibilities for corresponding posts, and formulate norms and standards to restrict behaviors, so as to achieve the purpose of internal control and ensure the high consistency of financial information. (2) Cost control helps to improve the financial management system. Hospitals control the overall operating cost and set it as the cost center, which requires hospitals to continuously improve the financial management system. First of all, do a good job in financial related basic work, mainly including the actual situation of family property, asset inventory, the improvement of physical assets management and control system, data classification norms and related standards, and formulate the voucher transfer process and original records of cost accounting. Secondly, the establishment of hospital financial operation organization structure, the main contents include the establishment of procurement center; Improve the financial management control system; Manage category classification, and then establish cost center; Share the cost; Collect the cost of components; The implementation of hospital cost management evaluation; In order to improve the hospital cost management system module. (3) Cost control is beneficial to the sustainable development of hospitals. The sustainable development of hospitals is determined by cost control management, hospital environmental facilities and medical quality, not by profit maximization. On the one hand, because of lean cost management and value chain cost management, on the other hand, in order to meet the needs of society, we decided to develop medical service projects according to competitors' own strength, technology, economy and other factors.

Third, strengthen the hospital cost control strategy.

1. Implement full cost accounting and firmly establish cost awareness.

Medical expense management occupies a very important proportion in the whole hospital expense management. To improve the quality of medical expenditure management, it is necessary to constantly strengthen expenditure supervision and combine the actual expenditure of funds with departmental costs, such as official expenditure, equipment depreciation, utilities, business premises, low-value consumables, sanitary materials, maintenance fees, disposable items, night shift fees, wages and other expenditures, so that the consumption of departmental costs can be combined with personal interests and other expenditures.

2. Investigate and demonstrate to ensure the maximum utilization of medical resources.

Increase investment in medical equipment procurement, project research and new technology development. In terms of equipment procurement, project research and technical research, the department will issue a feasibility report, which will be discussed by the department head and senior leaders before deciding whether to implement it. Strictly control the purchase of low-output and inefficient equipment and instruments, purchase instruments on the principle of saving resources, ensure the effectiveness of investment, develop medical services and promote the improvement of medical technology.

3. We should strengthen the management of physical assets and minimize the inventory.

In the total assets of hospitals, physical assets account for a large proportion, and they are all large-sum and large-quantity physical assets. Based on this, hospitals should strengthen the control of physical assets and effectively improve their practical application efficiency. Focus on the classified management of the physical assets of specific drugs, classify medical devices and drugs in detail, and classify different types of projects according to the degree of refined management, key management and general management. In addition, we should do a good job in reserves, such as medicinal materials and stocks, and adopt modern logistics distribution to control the reserve amount within a certain range. If the medicine can be distributed smoothly, the hospital will try not to reserve it to reduce the operating cost.

4. Establish cost control institutions to realize the integration of financial management and cost control.

The business volume of general hospitals is relatively large, with more outpatient departments and more types of business. The cost of each department keeps circulating well. Based on this, in order to fully control the cost of the hospital, we must first establish a special cost management team. The leading group is headed by the dean, and the members of the group can be functional departments such as nursing, auditing and information. Through integration, financial management and cost control can be integrated. Although cost is a part of finance, it is also an index to evaluate the performance of internal staff in hospitals. Therefore, cost control and financial management should be integrated and promoted.

5. Establish a performance incentive mechanism to achieve good cost control management.

An important supporting measure of cost control management is to establish and improve the incentive mechanism. Performance incentive and cost control are both management means, which promote and coordinate with each other. It is necessary to analyze the effectiveness of cost control and achieve the ideal control purpose through incentives and constraints. Take the performance incentive mechanism as the constraint behavior, strictly refine the evaluation system, and monitor the whole process of evaluation, and finally evaluate the final performance by the results of ward round quality, safety measures, political learning, patient complaints or praise, and whether to implement rewards or punishments. By improving the performance incentive mechanism, fully mobilize the enthusiasm of all employees to participate in cost control, and ensure the sustainable development of cost control management.

Fourth, summary.

To sum up, this paper first mainly analyzes the main problems existing in hospital cost control, then expounds the main contents of cost control and its influence on financial management, and puts forward some countermeasures to strengthen cost control. In the overall management of the hospital, to implement cost control management, we should implement full cost accounting, establish a firm sense of cost, ensure the maximum utilization of medical resources, conduct full investigation and demonstration, strengthen the management of hospital physical assets, minimize inventory, set up a cost control team, realize the integration of financial management and cost control, establish a performance incentive system, fully mobilize the enthusiasm of all employees to participate in cost management, and promote the sustainable development of the hospital.

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