Memorandum

To:           Dr. Chris Cochran

From:     Ather Ahmed

Date:      12/9/2004

Re:          Visit to Nevada Care

In this memo, I will speak about our visit last week to Nevada Care, which is a HMO. I will briefly speak about the history of Nevada Care, the speakers, and SWOT analysis comparing Sierra Health Services with Nevada Care, and overall assessment of Nevada Care.

 

Nevada Care is a HMO started up in 1991. Since then, Nevada Care has become 80,000 members strong with outlook of greater growth in the future. Nevada Care states that they are the fastest growing and largest HMO in the state of Nevada.

 

Sean Balmos was the first speaker to talk about Nevada Care. In his brief lecture, Sean gave an overview of the accounting/claims department issues that an HMO has to go through on a daily basis.

 

The second speaker was Heather, who was the Supervisor of Data Management. Her job consist of properly encoding, filing, and networking mainly medical records, and ensures the operations are preformed properly in an orderly manner.

 

The third speaker was Kristy, manager of the Special investigations unit. Her job is to ensure no fraudulent cases are filed by patients or providers. Kristy is also in charge of learning current fraudulent schemes to prevent the organization from new fraudulent schemes that may arise.

 

Deb Fuller was the fourth speaker, who is in charge of the business development department at Nevada Care. I found her lecture to be highly educational. She spoke mainly about the joint commission, and the routes she took to achieve her position as a business development manager. Mrs. Fuller is also responsible for proper accreditation issues which may arise, and maintain that all compliances are up to date. As a side note, I feel that Mrs. Fuller provided excellent information to the student body, which I feel that if these concepts to be applied, will be highly beneficial to any future administrator.

 

Larry Hurst was the last speaker, who is the Director of Government Affairs. Mr. Hurst’s purpose is to ensure proper reforms are enacted to benefit the health care system, assure that there are no reforms which will affect the HMO system. Any legislation which benefits society as a whole, Mr. Hurst tries to rally up support for that bill, vise versa for bills that can have adverse effects. 

 

SWOT Analysis

The strengths of Nevada Care include the membership of IMX Inc., which provides healthcare services to over 1 million members. In addition, Nevada Care is a multi-state HMO, practicing in the state of Illinois and Iowa.

 

Foreseeable weakness for Nevada Care includes their  privately held corporation status, where if they need funds, they cannot raise it by offering shares of the company. Instead, Nevada Care would have to take out a loan, creating a deficit. This can be particularly important if a few major companies decide to switch their HMO to another provider. The main competition for Nevada Care is Sierra Health Services with larger volume of membership, their share in the market including serving 13 northeastern states, and a contact with the U.S Military. Nevada Care is fairly new to Southern Nevada compared to Sierra Health Services, with higher income and growing involvement with major resorts and communities, Sierra Health does have an upper hand, and higher recognition then Nevada Care.

 

Opportunities are always available regardless, mainly due to the explosive growth in Southern Nevada. If Southern Nevada continues to grow at the same rate, then growth for Nevada Care is certain. However, Nevada Care must participate highly with the community, to grow recognition; this will then influence the market with recognizable alternatives to the consumers who are not aware of Nevada Care.

 

The only threat I see is Sierra Health Services. Their domination within southern Nevada has made it a household name. With a population of nearly 2 million plus, an organization with 80,000 members should be well recognized, yet isn’t as compared to Sierra Health Services where they have saturated the market, leaving competitors such as Nevada Care behind.  

 

Overall, I feel that Nevada Care certainly has a future. Growth of this organization looks very promising; however I feel that this organization will not satisfy my goals and objectives I have for my future as a health care administrator. Therefore, I wouldn’t really consider doing my practicum at Nevada Care.

 

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