ABC Medical Center, in partnership with Interfaith Healthcare Ministries, is opening a free clinic to help provide primary care
ABC Medical Center, in partnership with Interfaith Healthcare Ministries, is opening a free clinic to help provide primary care services and chronic disease management services for the uninsured and alleviate some of the strain on the hospital's emergency room. The initial proposal for the facility layout is based on a similar clinic operating in Lynchburg, Virginia. However, an operations analyst at the Roanoke Medical Center has proposed an alternative layout that is believed to provide efficiency savings over the initial proposal. While the clinic is not yet operational, deposits have already been placed with contractors to implement the initial layout. As a result, switching room the locations will cost $8,000 each, with the exception of the dental and vision care areas, which will cost $15,000 to move.
Each question 3 pages 4 references APA 7 – Separated documents
Q1
Suppose the majority of the members of the executive team are optimistic decision makers. Which location would they choose?
Which location would the pessimistic members of the executive team choose?
What would be the location decision under minimax regret?
Which location would the executive team choose under the Laplace strategy?
Q2
A physician practice specializing in managing spine pathology is assessing the feasibility of adding a C-arm imaging unit. Implementation of C-arm procedures would require hiring one or more radiology technicians to assist the physician. The practice manager, being familiar with forecasting techniques, has already developed a projection of annual C-arm procedures, and would like to determine the target level of radiology FTEs should the C-arm imaging unit be added at the practice. Table EX 7.2 on page 273 of the textbook outlines the forecasted volume of each procedure over an eight-month period and estimated standard hours per procedure performed by a radiology technician. Indirect support time is 0.15 hours per procedure, and constant time by all staff is two hours per day. The fringe benefit allowance is 10 percent and the practice utilization target is 85 percent.
a. What is the standard hours per month based on the table?
b. Determine the required FTEs with fringe benefits. How does this impact the feasibility of adding the C-arm imaging unit?
c. Determine the sensitivity of required FTEs to a +/−10 percent change in procedure volumes.
d. Provide a final recommendation based on the above statistics. Is this a viable option? Why?
Q3
The CFO of a physical therapy practice would like to determine if the practice's productivity ratio target of 1.7 is still appropriate now that the practice has been operational for several years. The past four years of data have been accumulated to assist in this determination and are displayed in Table EX 9.3 on page 323 of the reading.
a. Calculate the multifactor productivity ratios for each year of operation.
b. Does a target productivity ratio of 1.7 appear to be appropriate? Why or why not?
c. Based on the figures in Table EX 9.3, where can the facility improve its productivity ratio? What should be the target productivity ratio within the next 4 years?
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