How to Improve the Organization's Cost Structure There are several ways to improve the cost structure of the health care organization: 1. Enhance communication with physicians 2. Standardize the organization's supplies 3. Reduce utilization of services and supplies 4. Obtain the best pricing for supplies and products 5. Attain optimum productivity and staffing levels.

Questions: A company that provides health services has to evaluate its cost structure to be more efficient. 1. Which of these five ways is the most important to achieving effective financial results? Justify your answer. 2. Differentiate between fixed costs and variable costs in the context of a health services company. 3. Present an example that supports the answer to the question.