Sensitivity analysis is a technique used to determine how different values of an independent variable will influence a particular dependent variable under a given set of assumptions. The presentation describes elements that affect health care staffing at Patton-Fuller, such as raises in wages and changes in the nurse-to-patient ratio.
Sensitivity Analysis, Health Care Case Study
In accordance to the statement of revenues and expenses of the health facility, financial ratios are on the decrease. This implies that a pay rise to staff would actually lead to a decrease in net income. The financial report of year 2008 and 2009, show that there has been an increase in expenses by a margin of 10%. In order to overcome this challenge, Patton-Fuller community hospital need to work on expanding the sources of revenues (Patton hospital)
Patton-fuller Community Health Facility should consider using electronic health records which provides clinical decision support, physician order entry, captures and queries information relevant to health care quality. They should also exchange electronic health information with, and integrate such information from other sources (Healthcare Financial Management, 2007).
Implementing the use of Electronic Health Records (HER) would lead to accurate payments during new procedures, fewer rejected and improper claims, improved disease management and better understanding of health conditions and heath care outcomes (Jaynelle, 2009). Another implication would be the staffing of the community hospital. This would imply an increase in expenses. If the facility were to forego one of the two crucial matters, then staffing of the facility would suffer. A reduction in staff members would lead to a decrease in expenditure but negatively affect nurse-to-patient ratio. The Government is proposing for staffing ratios to be legislated, which will have a positive impact on the nurse but the Panton-Fuller health facility will now have to be prepared for a financing uncertainty (Jaynelle, 2009).
The patients’ insurance costs and patient fee charged increases proportionally. In addition, they can try to work on low interest rates and reducing the non-cash expenses that lead to depreciation. Patton-Fuller hospital needs to embrace technology to cut costs.
It is clear that, Platton-Fuller health facility suffers poor revenue collection in accordance to the financial statement of 2009. This reflects to less income that used to increase the number of staff. This also harbors the nurse-to-patient ratio. In the current situation, the number of staff in the facility is small (Patton hospital). Poor capital planning is an obstacle in staffing of the community health facility.