Of the 48.6 million Americans who were uninsured prior to the Affordable Care Act, at least 50% will be coming into the healthcare system between the years of 2014 and 2023 and the remaining 50% will still need health care. Approximately one in four Americans has multiple chronic conditions, including 1 in 15 children (U.S. Department of Health & Human Services, 2014). Advanced Practice Registered Nurses (APRNs) as well as RNs who provide direct care and those who lead health systems will have their hands full in meeting increased demand for health care. Uncertainty prevails on how adequate funds will be available to meet the increased and competing demand. Shifts in reimbursement are raising fears among providers and health systems regarding how health care will be financed. Nurses must be knowledgeable about healthcare finance and must be involved in healthcare financial decisions to assure, that patient safety and quality are not compromised as limited resources are allocated.
In her book, Healthcare Finance and Financial Management: Essentials for Advance Practice Nurses and Interdisciplinary Care Teams, Mary A. Paterson, PhD, RN, provides a finance primer for APRNs and other clinicians, and nurses in practice leadership positions. Written to support an academic course preparing clinicians and DNP students in effective financial management, Dr. Paterson taps into 20 years of teaching finance to make the principles and basics of financial management understandable for application in practice, specifically ambulatory care settings, where APRNs are most likely to practice.
The small size of the book, 8 x 6 in. and just over 200 pages, can mislead the reader to think that it is "light reading," which it is not. The content is dense but appropriate for building foundational knowledge in healthcare finance and relevant for clinicians. The content is presented primarily in textual format, with questions, case studies, and some valuable tables for quick reference. However, it does not include the numerous spreadsheets, graphics, and formulas that are commonly found in other finance textbooks. Additional supplemental materials are available for faculty, including an instructor's manual, with syllabi, guides to the case studies, explanation of problems sets, and PowerPoint slides.
The textbook has two sections. The first section provides an introduction to healthcare finance, models of healthcare financing, and determinants of healthcare costs. The second section builds on the foundational first section and focuses on financial management of ambulatory care, practice and project financial management. Each chapter provides learning objectives at the beginning and a summary of key concepts at the end, along with discussion questions and references. Several excellent case studies are provided for the readers to apply the knowledge of the previous subsection of chapters, and each case builds on the concepts addressed in previous cases.
The book could be enhanced by including a glossary of terms, because many of the terms used might not be familiar to clinicians. Although appropriate for APRNS in practice, the book does not replace more comprehensive financial textbooks. This book would complement other financial texts that cover issues relating to financing healthcare systems, aspects of financing for quality and safety, regulatory compliance, professional development, and other services provided in larger health systems.
I would definitely include this book in my "recommended reading list" of financial management textbooks, especially for ambulatory care clinicians and managers in smaller practices and clinic settings.
Disclaimer: The author has disclosed that she has no significant relationships with, or financial interest in, any commercial companies pertaining to this review.