Organizational Governance Flashcards

Which concept describes the division of authority between the governing board and the practice administrator in a medical group?

Answer: Delegation of authority

Delegation of authority formally defines which decisions the administrator can make independently versus those requiring board approval.

A practice's policy and procedure manual is most appropriately approved by:

Answer: The governing board or designated committee

The governing board holds ultimate accountability for organizational policies, so significant policy documents require board or committee approval.

Which governance principle requires that board members uphold their duty to remain informed and attend meetings regularly?

Answer: Duty of care

The duty of care requires board members to act with reasonable diligence, stay informed about organizational matters, and attend meetings to fulfill their governance role.

When a medical practice transitions from physician ownership to health system employment, the governance structure typically changes by:

Answer: Shifting ultimate authority to the health system's parent board

In health system employment models, the parent organization's board holds ultimate fiduciary and governance authority over the employed medical group.

An effective governance dashboard for a medical practice board should primarily track:

Answer: Key performance indicators aligned with strategic objectives

Governance dashboards present KPIs tied to strategic goals so the board can monitor organizational performance and hold management accountable.

Which of the following best defines the concept of 'board self-assessment' in medical practice governance?

Answer: The board evaluating its own effectiveness, structure, and governance practices

Board self-assessment is a structured process where the board evaluates its own governance performance, identifies gaps, and improves its effectiveness.

In a Partnership or LLC medical group, 'managing partner' authority is most similar to which corporate governance role?

Answer: Chief Executive Officer

The managing partner leads operational and strategic execution on behalf of the ownership group, paralleling the CEO role in a corporate governance structure.