Case Study Questions on Shouldice Hospital The following paper will address and answer the case study questions concerning Shouldice Hospital and the utilization of their facilities to include beds, performing operations, and possible expansion Case Study Question Answers 1. Shouldice is not using the hospital beds to the current max level of 90 beds a day (Jacobs & Chase, 2011). The formula to find out how well Shouldice is using their hospital beds is capacity utilization rate is equal to the current capacity used divided by the mx operating level (Jacobs & Chase, 2011). Under the current level of 30 patients a day, Shouldice has 60 beds used on Monday and Friday, 90 beds used on Tuesday, Wednesday, and Thursday and 30 beds used Saturday and Sunday (Jacobs & Chase, 2011). Dividing the beds used for the week by the …show more content…
max number of beds would be 450 and dividing that by the max number 630 would equal 71.43%, as this is a rounded figure to two decimal points (Jacobs & Chase, 2011). 2. Below is a chart showing the addition of adding operations on Saturday with the highlighted numbers showing the changes. Beds Required Check-In Day Monday Tuesday Wednesday Thursday Friday Saturday Sunday Monday 30 30 30 Tuesday 30 30 30 Wednesday 30 30 30 Thursday 30 30 30 Friday Saturday 30 30 30 Sunday 30 30 30 Total 90 90 90 90 60 60 60 Adding operations on Saturday would increase the capacity utilization rate of the bed usage to 85.71%.
This additional bed capacity would be sufficient for the patients as the hospital still has some room before reaching 100% bed capacity or max level (Jacobs & Chase, 2011). 3. If the hospital increases their max bed capacity by 50%, their new max bed capacity would be 135 beds per day. With this new setup, the hospital could perform 45 operations per day instead of 30 operations per day. The new rate would be the same as the current operations level if the hospital keeps the same schedule of 30 operations five days a week (Jacobs & Chase, 2011). The hospital could not perform 45 operations per day as the currently does not have enough operating rooms (Jacobs & Chase, 2011). While there would be enough surgeons to perform 45 operations per day there is not enough operating rooms as each operation takes one hour and with five rooms, each room could handle eight operations in a day completing 40 operations a day for the hospital (Jacobs & Chase, 2011). There must be a sixth room to complete 45 operations in a
day. 4. Should the hospital perform the mx surgeries of 40 per day they would need to expand to at least 120 beds to be able to handle the additional patients from 30 a day to 40 a day (Jacobs & Chase, 2011). Since the average rate of a surgery is $1300 and the surgeons are paid a flat rate of $600 per operation, this would $700 per surgery for the hospital (Jacobs & Chase, 2011). With the expansion, this would bring 10 additional operations per day or 50 for the week. In a year, this would be 2600 operations. With the hospital making $700 per operation this will be a revenue of $1,820,000. With the 30 beds costing $3,000,000 the total revenue for a five year period would be $6,100,000, it would make sense for the hospital to complete the expansion as their will be a profit the next five years (Jacobs & Chase, 2011).
The expense per discharge and the expense per adjusted discharge are both higher than average. The positive trend in outpatient profitability has been in an increase in profit per visit and net revenue per visit. Outpatients profit has influenced the hospitals in expanding their outpatients and shrinking its inpatient services. Inpatient charges increased the net revenue per discharge shown in the quartile information. The Riverview Community Hospital is known to provide high-quality services to its patients. It provides an adequate amount of revenue to cover its expenses. Moreover, it allows provides charity care without affecting its stability. Also, the Riverview community hospital has joint reimbursement from the government. The length of hospital stays has been below average with allowing doctors and nurses with effective resources. The average length is below average it is quite beneficial to both patients and the hospital because it is less costly, and opens up resources for other nurses and doctors not only does it help out the workers, but allows the patient to be taken care of with accessible facilities. Therefore, it
This paper will propose the major steps that Caring Angel Hospital (CAH) could take to achieve each of the following goals: Improve the quality of care, add value to the organization, improve employee morale, design an efficient organizational chart, create a strong team environment and create the hospital’s competitive edge. It will also recommend one approach that the hospital could use for acquiring a larger market share given the prevailing financial circumstances. It will investigate two value-added services that CAH could offer to strengthen its value proposition and examples of the advantages of those services.
“Hospitals today are growing into mighty edifices in brick, stone, glass and marble. Many of them maintain large staffs, they use the best equipment that science can devise, they utilize the most modern methods in devoting themselves to the noblest purpose of man, that of helping’s one’s stricken brother. But they do all this on a business basis, submitting invoices for services rendered.”
Supposedly, the national average occupancy rate of hospitals is lower than it should be because of rising costs of hospital care. Factors causing variations in occupancy rates are hospital size, product diversification, and urgent versus non-urgent
...t them attain the services easily and at lower costs. In addition, these hospitals have the potential of managing effectively their cash flow. A fixed and proper payment system to the workers of the small health centers can m motivates them to avail quality services to the medical beneficiaries. Small hospitals can be able to have bonus payment in case they provide care in areas short of professional health. Hence, small hospital can implicate appropriately their method of payment. Conversely, there might be a risk possibility when it comes to accessing low amount due to the nature of the illness of the patients, the involvement of high cost of treatment amongst many other factors. In the vent that the overall health care costs are more than earlier anticipated, the hospital and the doctor shall receive less profits. This can have a negative impact on the hospital.
In order to properly address the issue and look for a remedy, it is necessary to understand the underlying conditions that create the problem before creating the means to manage the change required to correct the problem. The Crowded Clinic has multiple issues, including social and operational, which are creating the associated inaccessibility to services. The
Hospital A before the merger was a for-profit hospital, relatively new facility, in east side of town. It consisted of 110 hospital beds, 8 of which were reserved for transitional care. Services provided were: general surgery and same day surgery, full-service rehabilitation department and radiology department. Other services included kidney dialysis center, on-site retail pharmacy, blood bank, women’s center e...
The ability of a unit to survive is largely dependent upon the hospitals internal financial budgetary performance and the external needs within the community. Developing a financial budget is a process that should use teamwork to plan and implement in order to be effective. The budget sets perimeters for administrators to follow throughout the year, allowing the director to report variances while providing guidance to maintain a minimum variance and adjust when possible (Finkler & McHugh, 2008). By using all department managers in the planning process of the new budget, the nurse executive is able to develop effective strategies for all departments while investing in the goals. This eliminates many problems associated with budget and identifies areas that need improvement or expansion. Because of the competition, declining margins, and other economic pressures, nurse executives need to take steps to control costs and increase revenues for this unit. The overall goal of the financial performance within the organization is to meet the total budgetary needs of the unit to produce favorable outcomes. My focus will be to propose the expansion of a new Joint Replacement Unit (JRU) within the hospital, while identifying the major operating components of the budget for this organization. The importance of reviewing the budget for a newly developed unit is to allow the nurse executive and administrative team to manage the existing organizational programs within in the facility, plan for goal accomplishments for the new unit, while controlling costs.
Shouldice Hospital follows the business model of focus on a single standardized service for a narrow target of consumers, rather than to provide customized solution (as in a general clinic or hospital). It focuses on providing quick, convenient, and reliable cure for external types of abdominal hernias. The Hospital uses its own technique, called the Shouldice Method and claims to provide relatively short post-operative recovery period.
V ́ericourt, F., & Jennings, O. B. (n.d.). Nurse-to-patient ratios in hospital staffing: a queuing perspective. Retrieved from https://faculty.fuqua.duke.edu/~fdv1/bio/ratios3.pdf
Shouldice Hospital provides low-cost medical service in its area of specialization. Use of the Shouldice Method allows patients to recuperate fast (patients get discharged within 3 days of operation). The Hospital optimises the use of its available resources, like surgeons, nurses, medical infrastructure, administration and maintenance facilities. It also manages to keep operating costs low by keeping capital investment in rooms and equipments very low.
This brings on a great deal of problems and still shows our shortage of nurses is not going to get better anytime soon. With this shortage of nurses, it brings on the issues of fatigue and injury. Fatigue and injury can make nurses more prone to making errors during the work day, which in the long run is not a good environment for patients to be in. Increasing the nurse-to-patient ratios can help with increasing a nurse’s job satisfaction. In my opinion, if nurses are happy, their patients will be happy too. With their greater job satisfaction, it brings along the increase in call bell efficiency, which then brings along greater patient satisfaction.
To improve services at the ABC Physician Practice Group, we decided to analyze appointment scheduling to increase patient access to the providers. This was achieved by measuring the Third Next Available appointment system using the following steps:
The age old dependency on stockpiling medications and Class VIII supplies with a 68J placing orders needs to be revised. Most hospitals are limited in space and wish they could double the size of the storage room to increase the inventory of just in case emergencies. The problem that can occur is
full and may need another nurse or when a floor is getting a patient that needs sitter either a