Disruptive forces are shifting the appropriate focus of the corridor of control from financial health to the balancing of risk against the resources available to offset or carry risk.
Every healthcare organization has a portfolio of financial risks and resources, which leaders deploy to balance the pursuit of growth with guardrails to ensure financial health. Sustainable growth requires the prudent allocation of key financial resources, such as cash, credit, leverage, and invested assets. This process of treasury work is the cornerstone of an organization’s ability to assume appropriate risk in the pursuit of growth. Managed well, treasury can provide significant value to the overall organization.