capital proposed
To: Board of Directors
From: Great Lakes Hospital
Subject: Capital Proposal
Description:
The Great Lakes Hospital is requesting a replacement for our CT scanner. The new CT scanner, the Aquilion One 640 scanner made by Toshiba will be the new machine and will increase patient volume and efficiency. The Aquilion One scanner has a weight limit of up to 660 pounds which broadens our scope of patients. The scanner takes 640 slice pictures that reconstructs sections of the body. This is the only one of its kind in the United States that can take pictures with this many slices. The machine was approved by the FDA in September, 2012 and lowers the total cost of care. This technology has a .5mm x 320 detector, 16cm of coverage, .35sec rotation, 3D enhancement, and SEMAR metal artifact reduction. All of these features allows for a whole organ image that can assist in assessment of stroke when symptoms like chest pain present. Since the weight limit is 660 pounds the machine has a 78cm bore width. Additional features on the Aquilion One 640 Scanner is the AIDR 3D integrated and Adaptive Diagnostics Clinical Solutions.
Cost:
|
Asset Base cost: |
2,000,000 |
|
Quantity: |
1 |
|
Freight Cost: |
100,000 |
|
Sales Tax: |
120,000 |
|
Subtotal Base Cost: |
2,220,000 |
|
Training / Installation: |
500,000 |
|
Service Contract: |
170,000 |
|
Certificate of Need: |
8,000 |
|
Subtotal Other Cost: |
678,000 |
Estimated Total Investment: 2,898,000
Financial Effect:
The application of the Aquilion One 640 CT Scanner will help increase patient volume and have a major impact on revenue. The large weight limit of the machine will allow for more patient referrals to our facility, because on average heavier patients have a difficult time finding a CT scanner that fits them comfortably, giving enough breathing room inside. The machine is easily upgradable to new innovated technology that Toshiba may introduce in the next couple of years. The 60 second scan will reconstruct brain perfusion and subtraction of calcium, which decreases the time medical professionals take to determine the problem.
Currently we are charging $450 per patient per scan, but with the new CT scanner we will be able to acquire $600 per patient per scan. The new annual net income would be $600,000, this will be a $420,000 profit from the current annual net income.
Service Effects:
The installation of the Aquilion One 640 CT Scanner can improve the quality of care substantially. The vast array of procedures in a timely manner benefits the patients and the health professionals. Diagnosing quicker gives the opportunity to treat patients with more accuracy and discharge them faster. This will place our facility at the top with our cutting edge technology and ahead of the surrounding facilities. The Adaptive Diagnostic Clinical Solutions and AIDR 3D simplifies workflow ensuring quality results for complex scanning situations.
Pediatric benefits are lower doses of radiation on such a small body mass. The 60 sec scan eliminates the need to sedate the patients. Also the improved timing of diagnosis prevents the need for more extensive services because the problem was caught in time.
The benefits for bariatric patients is the wider opening which reduces likelihood for claustrophobia and cutting down on variable costs. The technicians will be able to position the patient more freely without strain. The machine is able to perform EMR, HIE, and HER no matter what the weight of the patient is.
The Aquilion One 640 CT Scanner will increase revenue, quality, and community recognition. The features that are offered with the machine will be widely appreciated by the staff and the community. The goal with this new scanner is to provide innovative service and acquire more physicians to work here.
Reference
"Radiation Dose in X-Ray and CT Exams." RadiologyInfo.org. N.p., 2016. Web. 28 Apr. 2016.
Toshiba Leading Innovation. N.p., 2016. Web. 28 Apr. 2016. Path: Products; Aquilion One
Family.
"Toshiba Releases 640-Slice CT Scanner." DAIC. Ed. Melinda Taschetta-Millane, Dave Fornell,
and Jeff Zagoudis. N.p., 10 Jan. 2013. Web. 28 Apr. 2016.
"Toshiba Unveils Aquilion ONE ViSION Edition CT Scanner." MedGadget. N.p., 3 Dec. 2012. Web. 28 Apr. 2016.
"Used GE Bright Speed 16ct scanner." DotMed. N.p., 2016. Web. 28 Apr. 2016.