INADEQUATE ALLOCATION OF FINANCES

EXPLANATION:
Inadequate allocation of finances refers to the insufficient productive funding or
money designated for different uses in a department. Inadequate allocation of
finances causes a department supply insufficient and ineffective resources.

WEAKNESS IN SYSTEM:
Insufficient resources:
 The hospital will run short in supply of medical equipment required to
implement medical attention to the patients.
 The hospital will struggle in updating its technology department to correspond
with the modern world.
 There’ll be limited proper system for communication or documentation.

Corruption:
 Corruption has an ability to damage employees morale in the workplace.
 Corruption may also lead to the decreased patient satisfaction which will only
provide the hospital with an abysmal reputation in the public.
 Another form of corruption involved in the healthcare department is the theft of
supplies, drugs, money and diagnostic equipment.

Affected employees’ salaries/wages:

 Affected employees’ salaries/wages may be the catalysts to employees’
absenteeism, strikes or go-slows which will lead to decreased productivity in
the workplace.
 This may also lead to unhappy employees or decreased employees’ morale.
 Employees may leave for better jobs.

POSSIBLE SOLUTIONS:
 Allocate human resource for health according to the demand and workload on
health facilities.
 Improve availability of medicines in all health facilities.
 Increase security and update technology to avoid corruption with the
department.
 Plan and monitor financial processes before and during implementation.
REFRENCES
1. Health and expenditure and finance in South Africa, D.McIntyre, G.Bloom,
J.Doherty, P.Brijlal, Durban.
2. Health Brief(2016), Inadequate Budget Allocation for Health Sector, Sikiki of
Policy Forum Budget Working Group.