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With the implementation of universal health care, participants are basically saturated and the increase space of the health insurance fund is limited, so the gover n ment proceed ed the total amount control of medicare reform, medicare management into a new stage, which emphasized the importance of medicare quality. So the h ospital has to face the challenge of policy management, cost control , and the best medical treatment should be linked with the business development. The hospital should change concepts and keep aware of the health care quality, implement the rules of the three reasonable requirements , relying on and striving for the health insurance policies. The limited medical resources could be fully applied by the innovation of health care management, s uch as cancer chemotherapy and single disease daytime ward, selective operation and oncology booking service. More effective services should be provided while developing key disciplines, developing new technology to improve the quality of the hospital, be initiative to meet the payment reform to achieve the same purpose of hospital, patients and the gover n ment.

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