Case For Project - Cost Analysis* An equipment acquisition proposal was being considered by a large health care organization. The array machine will enable the hospital to perform autoimmunity tests (for immunoglobulins G, M, and A and complements C3 and C4) in-house rather than sending them to a reference laboratory. Test turnaround time is expected to decrease by 2 days. The array machine costs $50,000, with a useful life of 5 years. The depreciation schedule will be $10,000/year. The expected volume for tests is one of each of the five autoimmunity tests per day. Having the tests done by the reference laboratory costs the hospital an average of $10/test. The hospital's average charge to patients is $20/test. If the array machine is acquired and the tests done in-house, the costs of reagents would average $2/test. The array machine can run a maximum of 40 patient samples and perform 20 different tests on each sample every 2 hours. Except in extraordinary circumstances, tests would be run Monday thorough Saturday. The machine requires approximately 1 hour of technician time (valued at $15/hour) each day to calibrate it, to conduct a test run for control purposes and to perform general maintenance. This is a fixed cost because it does not vary by volume. Technician setup time to run tests is negligible. Beyond the five autoimmunity tests the laboratory wants to perform in-house, the machine can also perform apolipoprotein cardiac profiles that are currently done on equipment in the clinical chemistry department. The array machine can provide a quantitative measure and not just the positive or negative indicator that the clinical chemistry department's current equipment gives. 1. How many autoimmunity tests per year will have to be performed on the array machine to break even? 2. Given the present volume of tests, would there be an annual net contribution and, if so, how much? 3. If half of the patients have Medicare coverage (DRG reimbursement includes all tests), would the laboratory break even on the equipment? If not, should the equipment be acquired anyway?  The response should be 8-10 slides including charts. Power Point is the preferred format for this assignment. The response should provide a rationale and discussion regarding each step you take. Create a narrated PowerPoint presentation (be sure to include a transcript of the narrated portion - or you may include the transcript of the narrative in the notes section of the slide). Be sure to let me know where the transcript is located if you decide to create a narrated presentation. Question 1: Breakeven =Fixed Cost/Price-Variable Costs Question 2:  P(x) = FC + VC(x) + NC Where: P= price x=quantity FC=Fixed Costs VC= Variable Costs NC=Net Contribution Question 3: List out pro’s for purchase or con’s for purchase. Be thorough and make a yes or no decision. Sometimes students have difficulty uploading Excel spreadsheets into the Power Point. If this is the case for you, please just upload the Excel Spreadsheet separately. *Longest, B.B., Rakich, J.S., & Darr, K. (2000). Managing health services organizations and system. Baltimore: Health Professions Press.

cohs-managing_health_care_business_strategy_1e.pdf username: ivilneusedouard01Password: Borno1937!!The health care organization is Mayo Clinic.I uploaded the text book with the username and password.Review "Learning Exercise" at the end of chapter 2 in the textbook.Internal Audit of a Health Care Organization: Working in groups of 4 students, prepare a topical outline that addresses the following elements:1. Description of the organization2. Historical financial performance and current financial condition3. Major resources and competencies4. Internal value chainExternal Analysis of a Health Care Organization: Continuing with the organization used in chapter 2 "Learning Exercise," conduct an external environmental analysis using general, publicly available resources. Continuing to work in your group, prepare a topical outline that addresses the following elements:1. Political/Government2. Legal3. Professional/Industry4. Economic (global, national, and regional)5. Sociocultural6. Demographic7. TechnologyCompile a list of segments that could be defined within the organization's overall market, and determine the most likely bases for differentiated product or service offerings.Conduct a five-force analysis of the organization.APA format is not required, but solid academic writing is expected.

Customer Satisfaction and Quality Care.docIn this competitive health care environment, consumers want and expect better health care services and hospital systems are concerned about maintaining their overall image.  There is also attention to ways in which patient satisfaction measurement can be integrated into an overall measure of clinical quality.   To begin, review the Hospital Consumer Assessment of Health Plans Survey (H.C.A.H.P.S.) available at (http://tinyurl.com/4272s7l).    Next, visit the Hospital Compare website (http://www.hospitalcompare.hhs.gov), and follow these steps:     1.  Type in your zip code   2.  Ensure that “general search” is selected for the search type   3.  Click on the “Find Hospitals” button   4.  Select one of the hospitals by checking the box next to the hospital name and click on “Compare”   5.  Review the survey of patients’ hospital experiences For the selected hospital, identify one satisfaction measurement criteria that you recommend for improvement.  In your opinion, how might this customer satisfaction factor relate to quality outcomes?  Provide a concrete example that supports your opinion. Identify at least three barriers that exist in the health care setting that could have an impact on the customer satisfaction score you selected. Be sure to state at least one structural barrier and one process barrier and describe the barriers you identified.  Select a tool that a health care organization might use to study a process barrier related to the customer-satisfaction factor you identified.  Explain why you selected the tool and how it could be used.