2.2 The Healthcare Delivery System: Care Settings, Hospital Types & Networks

Key Takeaways

  • EDAC study materials group healthcare delivery into three settings: inpatient hospitals, primary and outpatient care facilities, and long-term care facilities.
  • Inpatient hospitals can be classified by ownership, length of stay, type of service, public access, location, and size.
  • A healthcare system is centrally owned, leased, sponsored, or contract-managed, while a healthcare network is a collaboration of providers, insurers, and agencies.
  • Hospital-based outpatient services fall into five study-guide types: clinical, surgical, emergency, home health, and women's health.
  • Long-term care provides ongoing assistance for chronic illness or disability and focuses on function and quality of life rather than cure.
Last updated: September 2026

The Healthcare Delivery System: Care Settings, Hospital Types & Networks

EDAC Core Concept: Evidence-based design decisions depend on where care is delivered. EDAC Study Guide 1 introduces the components of the healthcare delivery system and the settings in which care happens, because a design intervention that works in an acute inpatient unit may be irrelevant—or harmful—in an outpatient clinic or a long-term care residence. Knowing the setting is also the first step in judging whether published evidence applies to your project.


The Three Settings in Which Healthcare Is Provided

EDAC study materials group care delivery into three broad settings:

SettingWhat Happens ThereTypical Design Priorities
Inpatient hospitalsPatients are admitted for diagnosis, treatment, surgery, and recoveryPatient safety (infections, falls, medication errors), acuity, staff efficiency, family support
Primary and outpatient (ambulatory) care facilitiesCare without an overnight admission—primary care visits, procedures, diagnostics, urgent careAccess, convenience, wayfinding, throughput, perceived quality, reduced waiting stress
Long-term care facilitiesOngoing care for people whose chronic illness or disability limits their ability to functionResidential character, autonomy, dignity, social connection, safe mobility

Classifying Inpatient Hospitals

Study Guide 1 classifies inpatient hospitals along six dimensions. One hospital can be described using all six at once (for example, a large, urban, voluntary not-for-profit, general acute-care community hospital).

DimensionCategories
OwnershipPublic (government-owned); federal (serving federal beneficiary groups, such as veterans); voluntary not-for-profit (privately owned, tax-exempt); proprietary (investor-owned, for-profit)
Length of stayShort-stay hospitals (stays under 30 days, treating acute conditions); long-term-care hospitals (stays over 30 days, treating chronic conditions and extended medical or rehabilitation needs)
Type of serviceGeneral acute-care hospitals (diagnostic, treatment, and surgical services for many conditions); specialty hospitals (admitting only certain types or ages of patients, or specific illnesses)
Public accessCommunity hospitals (serve the general public); non-community hospitals (for example, federal, prison, or college hospitals serving defined populations)
LocationUrban versus rural; the study guide uses an area population threshold of 50,000 to separate the two
SizeSmall (fewer than 100 beds); medium (100–500 beds); large (more than 500 beds)

Other Hospital Terms to Know

  • Teaching (academic) hospital: A hospital with approved physician residency programs. Teaching missions add education and research space needs and larger care teams at the bedside.
  • Critical access hospital: A limited-service rural hospital designation under federal rules. Current Medicare requirements generally include being located a required distance from other hospitals (typically 35 miles), providing 24/7 emergency care, and operating no more than 25 inpatient beds. (Older study materials cite a 15-bed limit that has since been raised.)
  • Physician-owned specialty hospital: A model focused on specific services. Supporters describe high-quality, focused care; critics argue these hospitals can undercut community hospitals by concentrating on the most profitable procedures.

Healthcare Systems and Networks

  • A healthcare system is a group of facilities that are owned, leased, sponsored, or contract-managed by a central organization.
  • A healthcare network is a group of hospitals, physicians, other providers, insurers, and/or community agencies that work together to provide a broad range of services to their constituents, without necessarily sharing ownership.

For EBD, system-level ownership matters because standards, prototypes, and lessons learned can be carried across many projects—an organization that builds repeatedly benefits most from measuring and reusing results.


Primary and Outpatient Care

  • Primary care is a patient's first contact with the healthcare system. The primary care physician traditionally acts as the gatekeeper who coordinates access to other services.
  • Outpatient services are also called ambulatory care.
  • Hospital-based outpatient services fall into five main types in the study guide: clinical, surgical, emergency, home health care, and women's health.
  • Freestanding facilities—walk-in clinics, urgent-care centers, surgery centers ("surgicenters"), mobile screening or diagnostic services, and similar models—give patients a wide range of choices and respond to consumer demands for convenience and lower cost.

Why Ambulatory Design Matters

Much surgery and diagnostic care has shifted to outpatient settings, so first impressions, waiting environments, and wayfinding carry real weight. Study Guide 1 cites preliminary work by the Weill Cornell Medical College Physician Organization in six ambulatory sites: the more attractive the environment, the higher the perceived quality of care and the lower patients' anxiety. Treat that as an association from preliminary studies, not proof that aesthetics alone change clinical outcomes.


Long-Term Care

Long-term care refers to personal care or assistance that a person receives on an ongoing basis because a disability or chronic illness limits his or her ability to function. Long-term care settings focus on supporting function and quality of life, not on curing disease. Design priorities therefore shift toward:

  • A residential rather than institutional character
  • Autonomy and personal control
  • Opportunities for social interaction and meaningful activity
  • Safe, independent mobility and wayfinding, especially for residents with dementia

Why Setting Matters for Evidence

When a team reviews research in Steps 2 and 3, the setting of each study is part of judging relevance. A finding about noise and sleep in an intensive care unit may transfer poorly to a daytime ambulatory clinic; evidence about fall prevention in acute care may need adaptation for long-term care residents who live in the space for years.

Project setting ──► Which outcomes matter? ──► Which studies are relevant?
     │                                              │
     └── inpatient / ambulatory / long-term care ───┘

Exam Watch: High-Yield Traps & Pitfalls

[!WARNING] Trap 1: Long-term care is not about cure. If an answer choice says long-term care settings focus on curing the patient, it is wrong; they support ongoing function and quality of life.

[!WARNING] Trap 2: Systems vs. networks. A system is centrally owned, leased, sponsored, or contract-managed; a network is a collaboration of organizations working together.

[!WARNING] Trap 3: Ambulatory = outpatient. Freestanding facilities (walk-in clinics, urgent care, surgery centers) are outpatient models designed around convenience and cost.

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Components of the Healthcare Delivery System
Test Your Knowledge

Which set of settings does EDAC Study Guide 1 use to describe where healthcare is provided?

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Test Your Knowledge

A regional organization owns three hospitals and contract-manages a fourth, all under one central corporate office. A separate group of independent hospitals, physician groups, and a local insurer collaborates to coordinate services without shared ownership. How are these two arrangements best described?

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Test Your Knowledge

A design team is planning a long-term care residence and borrows goals directly from an acute-care surgical unit, emphasizing rapid discharge and curative treatment workflows. What is the main flaw in this approach?

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