Budgeting & Problem Solving
2 years ago 5
Week4DQ_Budgeting.docx
Chapter_019ManagingCostandBudget.pptx
RNtoBSNDiscussionRubric.docx
Week4DQ_Budgeting.docx
Week 4: DQ 4.3
Budgeting & Problem Solving
After reading Chapter 19: Managing Costs and Budgets and the following online articles, watch this interview with a nurse manager about budgets and budgeting.
InterviewBudget_KellyEdmondson
Christman, E. & Ernstmeyer (Eds) (n.d.). Nursing management and professional concepts. Chippewa Valley Technical College. Creative Commons Attribution 4.0. https://wtcs.pressbooks.pub/nursingmpc/Links to an external site.
Clipboard Health. (2020, June 1). How to develop a nursing unit budget. https://nursingcecentral.com/how-to-formulate-a-nursing-budget/Links to an external site.
Approved Resources to Use in Writing Discussion Posts:
· The course textbook,
· any published peer-reviewed full-text article from the CINAHL database
Prepare a minimum of a 200-word response using the instructions and the scoring rubric.
Make sure you review the information from the rubric and grading information. Write your post in your own words and do NOT use direct quotations. APA Format is required to support citations and references.
· Case Study B
In Table 1 is a 20-bed nursing unit expense budget for June 2013. The average census in June 2013 was the same as budgeted (18 patients/day average). The columns show the budget for June, the actual expenses for June and the variance (the difference between the expected and actual budget expenses). In the last two columns, you see the expenses YTD (year to date; Jan - June) for the current year and the final column shows the YTD expenses (Jan - Jun) for the prior year.
Please note that the numbers provided are in the "thousands". Example: Productive budget or June is actually $200,000 (not $200).
1. Study the columns and rows in this budget report.
2. Identify where the unit is over budget or under budget.
3. As the nurse manager, brainstorm how to explain this budget variance and write your answer as you would present to the Chief Nursing Officer.
image1.png
Chapter_019ManagingCostandBudget.pptx
Chapter 19
Managing Costs and Budgets
1
Learning Outcomes (1 of 2)
Evaluate significant factors escalating the costs of healthcare.
Compare and contrast different reimbursement methods and their incentives to control costs.
Differentiate costs, charges, and revenue concerning a specified unit of service, such as a visit, hospital stay, or procedure.
Value why all healthcare organizations must make a profit.
2
2
Learning Outcomes (2 of 2)
Give examples of cost considerations for nurses.
Differentiate between the operating, cash, and capital budgets in terms of purpose and relationships.
Explain the budgeting process.
Identify variances on monthly expense reports.
3
3
Introduction
Gross domestic product (GDP) is the broadest measure of the health of the U.S. economy.
Real GDP: output of goods and services produced by labor and property located in the United States
4
4
What Escalates Healthcare Costs
Cost are a function of price and utilization rates
Price inflation
Inefficiency
Multi-payer systems
5
5
Factors Increase Cost
Unnecessary care
Healthcare financing
Pharmaceutical usage
Population demographics
Consumer attitudes
6
6
How Healthcare is Financed
Four sources
Government
Private insurance companies
Individuals
Other
7
7
Medicare
Medicare
Part A (hospital, hospice, home health, skilled nursing)
Part B (provider, medical equipment, diagnostics)
Part D (drug benefit plans)
8
8
Medicaid
Medicaid
State level program
Medically indigent, blind, or disabled
Children with disabilities
Majority paid by federal government
9
9
Healthcare Reimbursement
Major methods
Cost-based reimbursement
Prospective payment system (PPS)
Diagnosis-related groups (DRGs)
Value-based purchasing
Hospital value-based purchasing program (HVBPP)
10
10
The Changing Healthcare Economic Environment
Major public concern
Need to reduce costs
Improve outcomes
Improve wellness
11
Healthcare Delivery Reform Strategies
Managed Care
Organized Delivery Systems (ODSs)
Competition based systems
12
The Healthcare Economic Environment and Nursing Practice
Practice within a context of organizational viability and quality of care.
“Financial Thinking”
Nursing services considered value added for patients
Use cost-conscious nursing practices
13
13
Understanding What is Required to Remain Financially Sound
Understand finances of department
Fee-for-service environment
Understand healthcare payment systems
Know reimbursement practices
Capture all charges
Mange time efficiently
Discuss cost with patients
Use of evidence based practice
14
14
Budgets
Theoretical Frameworks for Budgeting
Nursing Budgets
Types of Budgets
Operating budget
Capital expenditure budget
Cash budget
The Budgeting Process
Managing the Unit-Level Budget
15
15
Operating Budget
Cost center required organizational unit
Includes
Personnel
Unit of service measures
Supply
16
Personal Budget Considerations
Full-time equivalents (FTEs)
Productive hours
Nonproductive hours
17
The Budgeting Process
Gathering information and planning
Developing unit and departmental budgets
Developing cash budgets
Negotiating and revising
Evaluating
Reporting variance
18
18
Conclusion
Managing cost is a must
Understanding budgets is important
Cost-effective nursing care required
19
image1.png
RNtoBSNDiscussionRubric.docx
BSN Discussion Rubric
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Criteria |
Ratings |
Pts |
||
Initial Post
· Discussion postings are responsive to the requirements of the discussion instructions and demonstrate the student has read the assigned materials. Minimum of 200 words for the initial post unless otherwise specified in the discussion question instructions (10 points).
· Post is primarily written in own words and does not include more than one direct quote and is not more than 10% of the total word count (10 points).
· Discussion postings significantly contribute to the quality of interaction by providing rich and relevant examples, applicable research support, discerning ideas, and/or stimulating thoughts/probes, and are respectful when offering suggestions, constructive feedback, or opposing viewpoints (10 points).
· The Initial Discussion Posts requires 2 credible sources published in the last 5 years; one of the sources must be the course textbook (5 points).
· Discussion posts use in-text citations and references in proper APA format; one of the sources must be the course textbook (5 points).
· Post is submitted before the submission deadline (defined as 11:59 p.m. on the due date) (10 points). All posts must be completed by Sunday 11:59 pm at the end of the Week when the discussion closes.
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50 pts |
||
First Response Post
· Discussion postings significantly contribute to the quality of interaction by providing rich and relevant examples, applicable research support, discerning ideas, and/or stimulating thoughts/probes, and are respectful when offering suggestions, constructive feedback, or opposing viewpoints with a minimum of 75 words excluding the reference (5 points).
· Post is primarily written in own words and does not include more than one direct quote and is not more than 10% of the total word count (5 points).
· Response posts require a minimum of one credible source published in the last 5 years (5 points).
· Discussion posts use in-text citations and references in proper APA format (5 points).
· Students are to post the first response post to at least one classmate on a different day than they posted their initial post (5 points). If the instructor replies to your post with a question, it is expected that the student replies to the instructor’s question.
All posts must be completed by Sunday 11:59 pm at the end of the week when the discussion closes.
|
|
25 pts |
||
Second Response
· Discussion postings significantly contribute to the quality of interaction by providing rich and relevant examples, applicable research support, discerning ideas, and/or stimulating thoughts/probes, and are respectful when offering suggestions, constructive feedback, or opposing viewpoints with a minimum of 75 words excluding the reference (5 points).
· Post is primarily written in own words and does not include more than one direct quote and is not more than 10% of the total word count (5 points).
· Response posts require a minimum of one credible source published in the last 5 years (5 points).
· Discussion posts use in-text citations and references in proper APA format (5 points).
· Students are to post their second response post on a different day than they posted their initial post (5 points).
If the instructor replies to your post with a question, it is expected that the student replies to the instructor’s question.
All posts must be completed by Sunday 11:59 pm at the end of the Week when the discussion closes.
|
|
25 pts |
||
|
Total Points: 100 |
Icon Description automatically generated
The criterion in this rubric is linked to a Learning Outcome. Last updated 2021
Icon Description automatically generated
The criterion in this rubric is linked to a Learning Outcome. Last updated 2021
image1.png
Week4DQ_Budgeting.docx
Week 4: DQ 4.3
Budgeting & Problem Solving
After reading Chapter 19: Managing Costs and Budgets and the following online articles, watch this interview with a nurse manager about budgets and budgeting.
InterviewBudget_KellyEdmondson
Christman, E. & Ernstmeyer (Eds) (n.d.). Nursing management and professional concepts. Chippewa Valley Technical College. Creative Commons Attribution 4.0. https://wtcs.pressbooks.pub/nursingmpc/Links to an external site.
Clipboard Health. (2020, June 1). How to develop a nursing unit budget. https://nursingcecentral.com/how-to-formulate-a-nursing-budget/Links to an external site.
Approved Resources to Use in Writing Discussion Posts:
· The course textbook,
· any published peer-reviewed full-text article from the CINAHL database
Prepare a minimum of a 200-word response using the instructions and the scoring rubric.
Make sure you review the information from the rubric and grading information. Write your post in your own words and do NOT use direct quotations. APA Format is required to support citations and references.
· Case Study B
In Table 1 is a 20-bed nursing unit expense budget for June 2013. The average census in June 2013 was the same as budgeted (18 patients/day average). The columns show the budget for June, the actual expenses for June and the variance (the difference between the expected and actual budget expenses). In the last two columns, you see the expenses YTD (year to date; Jan - June) for the current year and the final column shows the YTD expenses (Jan - Jun) for the prior year.
Please note that the numbers provided are in the "thousands". Example: Productive budget or June is actually $200,000 (not $200).
1. Study the columns and rows in this budget report.
2. Identify where the unit is over budget or under budget.
3. As the nurse manager, brainstorm how to explain this budget variance and write your answer as you would present to the Chief Nursing Officer.
image1.png
Chapter_019ManagingCostandBudget.pptx
Chapter 19
Managing Costs and Budgets
1
Learning Outcomes (1 of 2)
Evaluate significant factors escalating the costs of healthcare.
Compare and contrast different reimbursement methods and their incentives to control costs.
Differentiate costs, charges, and revenue concerning a specified unit of service, such as a visit, hospital stay, or procedure.
Value why all healthcare organizations must make a profit.
2
2
Learning Outcomes (2 of 2)
Give examples of cost considerations for nurses.
Differentiate between the operating, cash, and capital budgets in terms of purpose and relationships.
Explain the budgeting process.
Identify variances on monthly expense reports.
3
3
Introduction
Gross domestic product (GDP) is the broadest measure of the health of the U.S. economy.
Real GDP: output of goods and services produced by labor and property located in the United States
4
4
What Escalates Healthcare Costs
Cost are a function of price and utilization rates
Price inflation
Inefficiency
Multi-payer systems
5
5
Factors Increase Cost
Unnecessary care
Healthcare financing
Pharmaceutical usage
Population demographics
Consumer attitudes
6
6
How Healthcare is Financed
Four sources
Government
Private insurance companies
Individuals
Other
7
7
Medicare
Medicare
Part A (hospital, hospice, home health, skilled nursing)
Part B (provider, medical equipment, diagnostics)
Part D (drug benefit plans)
8
8
Medicaid
Medicaid
State level program
Medically indigent, blind, or disabled
Children with disabilities
Majority paid by federal government
9
9
Healthcare Reimbursement
Major methods
Cost-based reimbursement
Prospective payment system (PPS)
Diagnosis-related groups (DRGs)
Value-based purchasing
Hospital value-based purchasing program (HVBPP)
10
10
The Changing Healthcare Economic Environment
Major public concern
Need to reduce costs
Improve outcomes
Improve wellness
11
Healthcare Delivery Reform Strategies
Managed Care
Organized Delivery Systems (ODSs)
Competition based systems
12
The Healthcare Economic Environment and Nursing Practice
Practice within a context of organizational viability and quality of care.
“Financial Thinking”
Nursing services considered value added for patients
Use cost-conscious nursing practices
13
13
Understanding What is Required to Remain Financially Sound
Understand finances of department
Fee-for-service environment
Understand healthcare payment systems
Know reimbursement practices
Capture all charges
Mange time efficiently
Discuss cost with patients
Use of evidence based practice
14
14
Budgets
Theoretical Frameworks for Budgeting
Nursing Budgets
Types of Budgets
Operating budget
Capital expenditure budget
Cash budget
The Budgeting Process
Managing the Unit-Level Budget
15
15
Operating Budget
Cost center required organizational unit
Includes
Personnel
Unit of service measures
Supply
16
Personal Budget Considerations
Full-time equivalents (FTEs)
Productive hours
Nonproductive hours
17
The Budgeting Process
Gathering information and planning
Developing unit and departmental budgets
Developing cash budgets
Negotiating and revising
Evaluating
Reporting variance
18
18
Conclusion
Managing cost is a must
Understanding budgets is important
Cost-effective nursing care required
19
image1.png
RNtoBSNDiscussionRubric.docx
BSN Discussion Rubric
|
|
|
|
|
Criteria |
Ratings |
Pts |
||
Initial Post
· Discussion postings are responsive to the requirements of the discussion instructions and demonstrate the student has read the assigned materials. Minimum of 200 words for the initial post unless otherwise specified in the discussion question instructions (10 points).
· Post is primarily written in own words and does not include more than one direct quote and is not more than 10% of the total word count (10 points).
· Discussion postings significantly contribute to the quality of interaction by providing rich and relevant examples, applicable research support, discerning ideas, and/or stimulating thoughts/probes, and are respectful when offering suggestions, constructive feedback, or opposing viewpoints (10 points).
· The Initial Discussion Posts requires 2 credible sources published in the last 5 years; one of the sources must be the course textbook (5 points).
· Discussion posts use in-text citations and references in proper APA format; one of the sources must be the course textbook (5 points).
· Post is submitted before the submission deadline (defined as 11:59 p.m. on the due date) (10 points). All posts must be completed by Sunday 11:59 pm at the end of the Week when the discussion closes.
|
|
50 pts |
||
First Response Post
· Discussion postings significantly contribute to the quality of interaction by providing rich and relevant examples, applicable research support, discerning ideas, and/or stimulating thoughts/probes, and are respectful when offering suggestions, constructive feedback, or opposing viewpoints with a minimum of 75 words excluding the reference (5 points).
· Post is primarily written in own words and does not include more than one direct quote and is not more than 10% of the total word count (5 points).
· Response posts require a minimum of one credible source published in the last 5 years (5 points).
· Discussion posts use in-text citations and references in proper APA format (5 points).
· Students are to post the first response post to at least one classmate on a different day than they posted their initial post (5 points). If the instructor replies to your post with a question, it is expected that the student replies to the instructor’s question.
All posts must be completed by Sunday 11:59 pm at the end of the week when the discussion closes.
|
|
25 pts |
||
Second Response
· Discussion postings significantly contribute to the quality of interaction by providing rich and relevant examples, applicable research support, discerning ideas, and/or stimulating thoughts/probes, and are respectful when offering suggestions, constructive feedback, or opposing viewpoints with a minimum of 75 words excluding the reference (5 points).
· Post is primarily written in own words and does not include more than one direct quote and is not more than 10% of the total word count (5 points).
· Response posts require a minimum of one credible source published in the last 5 years (5 points).
· Discussion posts use in-text citations and references in proper APA format (5 points).
· Students are to post their second response post on a different day than they posted their initial post (5 points).
If the instructor replies to your post with a question, it is expected that the student replies to the instructor’s question.
All posts must be completed by Sunday 11:59 pm at the end of the Week when the discussion closes.
|
|
25 pts |
||
|
Total Points: 100 |
Icon Description automatically generated
The criterion in this rubric is linked to a Learning Outcome. Last updated 2021
Icon Description automatically generated
The criterion in this rubric is linked to a Learning Outcome. Last updated 2021