Collaborative Approach to Risk Mitigation Highlighted as Key for Global Healthcare Advancements
Key Highlights:
- Integration of clinical, operational, and financial management identified as critical for enterprise risk management.
- ACCA report stresses the role of a strong risk culture to address sector challenges effectively.
- Regional risk priorities reflect unique challenges while emphasizing universal collaboration.
The healthcare sector worldwide, including India, is grappling with mounting risks ranging from skills shortages and cybersecurity threats to economic pressures and the unforeseen impacts of AI technologies. A groundbreaking report by the Association of Chartered Certified Accountants (ACCA), titled Risk Cultures in Healthcare: The Role of Accountancy, advocates for integrated risk management as a vital strategy to ensure quality patient care and systemic resilience.
A Call for Integration
The report draws from a survey of nearly 100 healthcare professionals globally, underlining the importance of synchronizing clinical, operational, and financial functions. This integration forms the backbone of enterprise risk management, fostering better decision-making and enabling healthcare organizations to meet their shared goal of delivering high-quality care.
Md. Sajid Khan, Director-India, ACCA, emphasized the role of accountancy in risk management, stating, “Healthcare in India and around the world is a resource-intensive and highly regulated sector where effective risk management depends on reliable data, ethical oversight, and sound financial stewardship – all areas where accountancy professionals can excel and play their part effectively.”
Breaking Silos and Fostering Collaboration
Rachael Johnson, ACCA’s Head of Risk Management and Corporate Governance, highlighted that breaking down silos within healthcare organizations is critical. “By collaborating and learning from each other, different departments in healthcare can meet shared objectives – of quality care, financial sustainability, and regulatory compliance – more effectively. They also become better prepared for emerging threats and trends,” she said.
Mark Millar, a past ACCA President and Non-Executive Director at East Suffolk & North East Essex NHS Foundation Trust in the UK, noted the need for cultural shifts in how risks are perceived and managed. “Risk in healthcare is far more than a financial issue. It is about life and death. A culture that encourages information-sharing to address challenges and make improvements is far more effective than one that stifles transparency.”
Regional Insights into Risk Management
The report also sheds light on varying risk priorities across regions:
- Africa: Balancing telemedicine advancements with infrastructure limitations and corruption risks.
- Canada: Navigating cybersecurity while adapting to regulatory shifts.
- UK: Addressing talent retention amid economic pressures and advancing technology.
- Caribbean: Managing climate-related risks alongside workforce shortages.
- Ireland: Overcoming fragmented systems by integrating clinical and enterprise risk management.
Key Enablers of Risk Culture
The ACCA report outlines several enablers essential for building a robust risk culture:
- Effective communication and cooperative education.
- Transparent environments that encourage ethical decision-making.
- Cross-functional knowledge-sharing for managing interconnected risks, including cybercrime, fraud, and workforce challenges.
A Global Call to Action
The ACCA’s findings emphasize that risk management in healthcare must transcend financial oversight to encompass clinical and operational dimensions. By adopting a cohesive, collaborative approach, healthcare systems globally can better prepare for emerging threats and ensure sustainability.
This comprehensive report serves as a wake-up call for healthcare leaders worldwide to embrace an integrated risk management framework for the betterment of patients, professionals, and systems at large.