One of the significant limitations that a member of a finance team could face in securing a bond to improve a particular project is the ability to comply with federal and local regulations strictly. An example is the length of financing of 501(c) (3) bonds. Since the maturity of bonds in this category is limited to 120% of the average of the economic life of a particular project, the member has to act with extra caution in determining the economic life of a given project (SGR Law, 2020). The inability to accurately determine this is likely to lead the project to a financial crisis. Such an occurrence is likely to impair the organization’s ability to repay the bond on time.
The biggest challenge as a health care operations manager with regards to the requirement to increase employees’ wages is raising enough finances to be able to ensure each employee is compensated without such a change having an impact on the operation of the organization. Since extra income has to be made by the company to meet such spending requirement, in the case that an increase in output is not possible, the company will face a financial crisis. To ensure a rise in wages and positive progress of an entity, it would be reasonable to raise costs on patients to cover wages. This is because cutting down the number of employees will likely lead to underperformance of the institution ( Neumark, 2018) .
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The protection of investors and taxpayers from losing trust in how entities manage investments by such stakeholders is of utmost importance. This is because it ensures a positive relationship between investors and the organizations they invest in. This way, the objectives of both parties are likely to be realized. A high level of transparency in financial dealings should be ensured at all times (Kanagaretnam et al., 2014) .
To ensure financial viability, a healthcare organization should always prioritize the wellbeing of its patients while at the same time ensuring good management of the facility. The two will ensure customers are well served and will be return customers to the institution. This is likely to contribute to the financial viability of the institution significantly.
References
Kanagaretnam, K., Mestelman, S., Nainar, S. K., & Shehata, M. (2014). Transparency and empowerment in an investment environment. Journal of Business Research , 67 (9), 2030-2038.
Neumark, D. (2018). Employment effects of minimum wages. IZA World of Labor .
SGR Law. (2020). Overview of Bond Financing for 501(c)(3) NonProfit Organizations - SGR Law .https://www.sgrlaw.com/briefings/459/ [Accessed 13 Feb. 2020].
