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HSC528 Capital Budget Analysis

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HSC528 Capital Budget Analysis

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Course Code: HSC528
University: Excelsior College

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Country: United States

hHprevention rather than treatment. As a result of these steps, inpatient visits have increased overall by only 1,000 per year since 1998, whereas outpatient/same-day surgery visits have had an increase of over 50,000 per year.
A number of programmatic, service, and facility enhancements support this major transition in the community’s institutional health care. They are geared to provide the quality, convenience, affordability, and personal care that best suit the health needs of the people whom MHS serves.
Rehabilitation and Wellness Center-for outpatient physical therapy and returnto-work services, plus cardiac and pulmonary rehabilitation, to get people back to normal way of living.
Home Health Services-bringing skilled care, therapy, and medical social services into the home; a comfortable and affordable alternative in longer-term care.
Same-Day Surgery (SDS)-eliminating the need for an overnight stay. Since 1998, same-day surgery procedures have doubled at MHS.
Skilled Nursing Facility-inpatient service to assist patients in returning more fully to an independent lifestyle.
There are 500 volunteers who provide over 60,000 hours of service to MHS each year. These men and women assist in virtually every part of the system’s operations. They also conduct community programs on behalf ofMHS.
The auxiliary funds its programs and makes financial contributions to MHS through money it raises on renting televisions and vending gifts and other items at the hospital. In the past, its donations to MHS have generally been designated for medical equipment purchases. The auxiliary has given $250,000 over the last five years.
Planning the Future for MHS The MHS has identified five areas of desired service and programmatic enhancement in its five-year strategic plan:
Ambulatory Services
Physical Medicine and Rehabilitative Services
Cardiovascular Services
Oncology Services
Community Health Services

The objective of MHS is to provide prevention from diseases rather than treatment of them. The organisational goal is succeeded as it has been able to reduce the number of people staying in the hospital in a year by 1000 patients, but the number of in-day surgery patients has increased by 50000 people per year. Which directly displays the organisation is performing its duties in a correct and constructed manner. Being a senior manager, it is my responsibility of recommending the strategic planning and prioritising the identified the areas of services that the chief financial officer and the other seven senior vice presidents must concentrate (Addison, 2017).
Strategic planning:
The objectives must be fulfilled in the coming five years of service. I propose to prioritize the ambulatory services. The CFO of the organisation will appoint one senior vice president to identify the best ambulatory service available in the market and what are key benefits and the deficiency that are engaged in the services. After identifying the best way, they will identify the incidental cost of application of the service, and they must commit that how the patients of the Metropolis will be benefited. Therefore, the CFO and other seven vice presidents must commence their five-year strategic planning by introducing a well-constructed and quality ambulatory service to the patients. In the ambulatory service, the management need to estimate a budgeted statement and fix the charges in such way so that the management is able to earn 30 % gross profit from the service. The other charges of operation will include payroll cost, support service, operating room emergency service which will cost additionally 30% more on the current cost of operation.
Ambulatory service:
The word “ambulatory service” contains the diagnosis, observation, consultation, treatment, intervention, and rehabilitation services as the part of Medicare service that are being provided to a patient who needs health care services for the illness or for getting injured by the treatment of a physician. The organisations’ objective is they want to reduce the need of hospital admission of the patients by implementation the ambulatory services and the inpatients care such as diabetes or COPD, by providing the ambulatory service, much medical investigation and treatment procedure can be performed in against of chronicle illness and preventive health care. Minor surgical and medical treatment are sheltered under ambulatory service like dental service, dermatology service and minimal services that are require less medical procedures. Blood test, x-ray, ultrasonography, ECG and other services are considered as the ambulatory service (Buchanan, 2014). By this the organisation can shorten the process of treatment and by conducting regular blood test, urine check-up, fasting blood sugar test will reduce the chances of admission of the patients in the hospitals, as the treatment procedure will be enacted in the primary stages, and the chances of curability will be very high. Further, the regular checking procedure will help the organisation eliminate any lethal and transferring diesis in the population. The services will be provided by the existing hospitals on outpatient’s basis, which means the hospital will provide the treatment and diagnostic procedure without admitting the patient in the hospital. The patients who are affected by diesis or being injured will go to the outdoor unit of the hospital where after the necessary treatment the patient they will be sent home. If there are no huge issues therefore after the basic treatment like providing medicines, blood pressure check-up, x-ray and other activities are provided for which the admission of the patient is not required. The ambulatory service unit can be established by setting dialysis clinic, surgical centres, in the outpatient department of the hospital where the general physicians and health care professional will be appointed. Further, in case of emergency care treatment the patients with the possibilities of life threatening symptoms will be usually treated by the ambulatory service in the normal scenario. After recommendation of the doctors or other health specialist the patient can be admitted in the hospital for enhance treatment (Addison, 2017). In a financial year, the hospital conduct 11820 patients as emergency visits, and the blood and other medical treatment related to laboratory work conduct tests and other for 2750 thousand units. The ambulance trips are approximately 2320, which is expect to be increased by 25% by the introduction of mobile facility. Further, the home care visit may be lover as the enhancement of the ambulatory service. Now the hospital attains 14950 patients from home visits.
In the study, the Metropolis Health System is trying to implement some features of hospital or health care services in the metropolis city. The senior manager is asked to recommend the CEO and other seven vice president to prioritize the strategic planning procedure. The senior manager has found and concluded that the ambulatory service will be given the utmost priority that needs to be implemented. The hospital management fits to implement mobile service for the critical patient. In this procedure, the patient party can book an immediate as well as regular treatment appointment for the service. In addition to that, the company will be able to provide the utmost service to the client. Further, the hospitals are advised to set up an ambulatory unit as soon as possible so that they can provide the emergency care to the patients by assessing, diagnosing, and treating them at the hospital and release them in the same day. As this will lower the cost of average length of stay from 4.1 days to 2.5 to 3.5 days.
Addison, P. S. (2017). The illustrated wavelet transform handbook: introductory theory and applications in science, engineering, medicine and finance. CRC press.
Buchanan, J. M. (2014). Public finance in democratic process: Fiscal institutions and individual choice. UNC Press Books.
Härdle, W. K., Hautsch, N., & Overbeck, L. (Eds.). (2017). Applied quantitative finance (Vol. 2). Springer.
Minsky, H. (2016). Can” it” happen again?: essays on instability and finance. Routledge.

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