Operations Management Essay

john3_10
ShouldiceHospitalExcelspreadsheetcompleted.xls

InitialCapacityAnalysis

Shouldice Hospital (Initial capacity analysis)
90 = Total Beds
30 = Daily Admissions
Beds Required
Mon Tues Wed Thurs Fri Sat Sun
Check-in day Monday 30 30 30
Tuesday 30 30 30
Wednesday 30 30 30
Thursday 30 30 30
Friday
Saturday
Sunday 30 30 30
Total by Day 60 90 90 90 60 30 30
Utilization by Day 66.7% 100.0% 100.0% 100.0% 66.7% 33.3% 33.3%
150 = Total Operations per Week
630 = Available Bed-Days
450 = Used Bed-Days
71.4% = Bed Utilization
12.5 = Operations per Surgeon
30 = Operations per Operating Room

SaturdayOperations

Shouldice Hospital (Saturday Operations)
90 = Total Beds
30 = Daily Admissions
Beds Required
Mon Tues Wed Thurs Fri Sat Sun
Check-in day Monday 30 30 30
Tuesday 30 30 30
Wednesday 30 30 30
Thursday 30 30 30
Friday 30 30 30
Saturday
Sunday 30 30 30
Total by Day 60 90 90 90 90 60 60
Utilization by Day 66.7% 100.0% 100.0% 100.0% 100.0% 66.7% 66.7%
180 = Total Operations per Week
630 = Available Bed-Days
540 = Used Bed-Days
85.7% = Bed Utilization
15 = Operations per Surgeon
36 = Operations per Operating Room

ExpandCapacity

Shouldice Hospital (Expanded capacity analysis)
135 = Total Beds
30 = Daily Admissions
Beds Required
Mon Tues Wed Thurs Fri Sat Sun
Check-in day Monday 45 45 45
Tuesday 45 45 45
Wednesday 45 45 45
Thursday 45 45 45
Friday
Saturday
Sunday 45 45 45
Total by Day 90 135 135 135 90 45 45
Utilization by Day 66.7% 100.0% 100.0% 100.0% 66.7% 33.3% 33.3%
225 = Total Operations per Week
945 = Available Bed-Days
675 = Used Bed-Days
71.4% = Bed Utilization
18.75 = Operations per Surgeon
45 = Operations per Operating Room

FinancialAnalysis

Shouldice Hospital (Financial analysis)
Expansion Costs
45 = Additional beds
$100,000 = Cost per additional bed
$4,500,000 = Total expansion cost
Revenue/Cost per Surgery
$1,300 = Revenue per operation
$600 = Surgeon cost per operation
$700 = Additional revenue per operation
75 = Additional operations
Financial Analysis
$52,500 = Incremental revenue
85.7 = Payback in weeks