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Patient Classification System Expository Essay

Applying to Patient Classification System in a Practical Setting

Managing and controlling costs is indispensible to regulating profits and expenses at the healthcare organization. Therefore, it is crucial to select an appropriate model for handling input and output operations within the hospital.

Having a rich experience in monitoring the flow of patients, along with the supplies of medication and maintenance of equipment, I realize that the introduction of patient classification system contributes greatly to identifying patients’ needs with regard to the cost ratios. Indeed, the presented system allows to define the resources, as well as how those resources meet the patients’ needs.

In addition, it is also important to understand the overall amount of costs covering healthcare services, both directly and indirectly. Finally, such an approach ensures the organization for all expenses that will definitely be reimbursed.

Providing Evidence and Arguments Supporting the Appropriateness of the Used Model

The choice of the patient classification system is predetermined by a number of important factors. The approach contributes to defining the exact volume of incoming patients needed for reimbursing the costs and for maintaining the equipment.

Realizing the fixed and variable costs, it is possible to calculate how many patients are required to estimate the costs and keep the hospital at a high level of performance and profitability (Finkler et al., 2007, p. 67). The video lecture provided by Kleinman et al. (n. d.) proves the importance of considering costs and determining the expenses.

Significant attention should also be paid to distinguishing between the expenses and costs. A finance manager must regulate these issues and define how the budget of the hospital can be enhanced. In this respect, using a variance analysis, it is possible to indicate the lapses that can be fulfilled.

Importantly, the awareness of the connection between cost and volume of patients should be involved because these two indices are interdependent. Consequently, a finance manager should know exactly which sphere should be intervened to resolve the financial problem.

With regard to the above consideration, the patient classification system has a number of benefits in comparison other known approaches to controlling and managing costs. To begin with, the patient classification system is effective in identifying the quality and amount of resources needed for meeting the patients’ concerns.

A nurse manager should consider the patients according to severity of disorders, treatment periods required, and number of seasons necessary for full recovery. The above-presented aspects are prioritized to accurately evaluate the financial situation (Schafer et al., 2009).

Further, because our center deals mainly with plastic and reconstructive surgery, it has few sources for reimbursement, which also enhance the importance of considering the volume of the incoming patients. The ratio of patients suffering from breast cancer should also be defined to manage the financial resources properly.

Specifically, Cayirli et al. (2008) have concluded that the choice of the classification system “…depends on the characteristic of the patient population and the value placed on the competing and conflicting objectives…” (p. 349). Hence, the research underscores the indispensability of the classifying patients in accordance with their needs and character of treatment.

In conclusion, the Ambulatory Center strives to provide a high quality of health care service to meet patients’ needs and understand their concerns. This aspect, however, is closely connected with the rational allocation of resources and appropriate management of costs and expenditures.


Cayirli, T., Veral, E., & Rosen, H. (2008). Assessment of Patient Classification in Appointment System Design. Production & Operations Management, 17(3), 338-353.

Finkler, S. A., Kovner, C. T., & Jones, C. B. (2007). Financial Management for Nurse Managers and Executives. US: Elsevier Health Sciences.

Kleinman, C., Archetti, L., Papalia, F., and Wright K. (n. d.). Determining and Controlling Costs.

Schafer, A., Hall, T. M., Ludtke, K., Mallwitz, J., & Briffa, N. K. (2009). Interrater Reliability of a New Classification System for Patients with Neural Low Back-Related Leg Pain. Journal Of Manual & Manipulative Therapy (Journal Of Manual & Manipulative Therapy), 17(2), 109-11.

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IvyPanda. (2019) 'Patient Classification System'. 11 July.

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