Healthcare organizations continually face difficult decisions about where to allocate financial capital and human resources to mitigate undue risk exposure and enhance their return on risk.
To manage an environment of increasing risks and limited resources, healthcare internal audit and compliance departments must align their risk assessments and resulting work plans to the areas most vital to achieving their strategic goals and business objectives and maintaining compliance with critical regulatory and other requirements. This risk-based approach focuses on the areas of highest risk and suggests that less effort, if any, be applied to low-risk areas.
The better the alignment between the internal audit and compliance plans and the most critical risks to the organization, the greater the return on risk achieved for an organization’s internal audit and compliance investment.
Crowe has identified the top management risks facing healthcare organizations in 2022 using input from:
- Executive management and board members at some of the largest health systems in the U.S.
- Crowe risk assessments conducted at hundreds of health systems, hospitals, and other healthcare provider clients during 2021
The healthcare industry is challenged by unprecedented shortages within the clinical and nonclinical workforce, a rapidly changing technology environment driven by digital transformation priorities, expansion of physician organizations, and the formation of complex partnerships and vendor relationships at an accelerated pace. Because of these complexities, what might be a critical risk at one healthcare organization might not be a top risk or even relevant at another. Therefore, the following risks are being presented without a ranking, and leaders are encouraged to assess each risk and align their annual work plans to their organization’s goals and objectives.