- MBA FPX 5006 Assessment 3 Strategy Implementation.
Cost-Benefit Analysis
To best utilize medical resources through must-consider decisions, healthcare administrators must repeatedly evaluate costs and benefits to make the best decision (Smith, 2020). However, this cost-benefit Analysis is not just about identifying problems; it’s about finding solutions. In my career, I am the Executive Director of a small (10-15 employees) for-profit home care agency. My agency has 160 clients of aging adults who need home care.
Due to the inability to adequately address a tension that has been very difficult for the past few years, we’ve had to turn away four full-time RNs. This is because we could not afford to hire the extra nursing staff needed to accept care for the ones we already care for. Johnson & Lee (2019) state that shortages commonly occur in many nursing fields for various reasons. But we have a plan.
Part A of this write-up will have three major categories of solutions: staffing, HR benefits, and telehealth. For each solution, there will be one cost, one benefit, and one opportunity cost. Part B will determine which solution can best advise today’s crisis, preparing our agency for future success by continuing with high-quality patient care. With a budget that holds a surplus of 1,000,000, we have the fortitude and ability to endure short-term pain to prepare for long-term profitability and high-quality patient care.
The Costs and Benefits, and Opportunity Cost
Due to the constant changes in the healthcare field, decisions must consider the costs and benefits of each action taken towards the optimal use of available resources (Smith, 2020). In the following cost-benefit analysis executive narrative, I shall determine the capacity of various potential long-term solutions to mitigate the rampant staff shortage in the for-profit home care agency I manage. This lack of four full-time nurse positions prevents the agency from accepting new clients and has heavily limited the agency’s ability to adequately provide care to the current 160 clients (Johnson & Lee, 2019). However, with the implementation of the proposed solutions, we can look forward to a more stable and efficient operation.
This Analysis will explore three categories of solutions: Employment and staffing, Human Resources benefits, and telemedicine. The costs, benefits, and, within the context of the evaluated solutions, the opportunity costs will be analysed for each solution. Therefore, the problem becomes one of detecting the proper strategies that should be pursued to achieve our objectives in the short run. At the same time, the organisation and the patients can be sustained in the long run. To this end, with a budget surplus of $1,000,000, we are in a strong financial position to effect positive changes that will lead to the recruitment and retention of competent staff as a pull factor to ethe tagency‘scy’s ‘s competitiveness in the expanding marthe ket of healthcare space (Adams et al., 2021).
MBA FPX 5006 Assessment 3 Strategy Implementation
Source full-time professional nurses WITH AN ESTIMATED TOTAL COST OF $ 410,000 FOR 4 NURSES directly contributes to the shortage by adding the necessary staff / Personnel and, therefore, expanding the company’s staff to 160 clients and enhancing the quality and individuality of the service. This solution supports our mission of providing home significantfor patients, but at the same time, takes the significant share of the budget by leaving fewer resources for other enhanceby providingcient approach is incurred through the provision of sign-on bonuses that amount to $10000 per nurse, totalling $40000, to enable ENP to hire qualified candidates within a short period, boosting competitiveness in the employment market. This is consistent with our mission because we aim to quickly fill core roles, maintain a constant flow of patients served, and provide flexibility in budgeting for additional improvements.
Concept of Opportunity Cost
As indicated by the literature, the healthcare sector still faces many dynamic and challenging environments where decisions need to be made on whether the costs are justified based on the benefits they bring to organizations (Smith, 2020). This brief considers the various nursing staff shortage options for a for-profit home care agency where the author is the executive director, depending on the organization’s prospects in the industry.
The absence of four full-time nurse positions means that clients are sent away, while the agency’s ability to continue to serve the 160 clients has eroded (Johnson & Lee, 2019). This Analysis will explore three categories of solutions: employee relations, HR benefits, and telehealth. In each case, the associated cost, the advantages of each scheme, and the cost of preceding the alternatives widely consider to make a decision regarding which set of actions should be taken that are both necessary for current organisational requirements and beneficial in the long run, as well as preserving the quality of patient care. We predicted that with a $1,000,000 budget surplus, our agency would have the financial capability to pursue actual initiatives that would prevent the staffing shortage we are facing presently and set our agency on the right path amidst stiff competition in the full-time healthcare industry (Adams et al., 2021).
The full-time employment of four nurses, valued at $410,000, will help replace the short-term fill-in, directly adding the required staff and serving 160 clients with more personalized, quality nursing care. This solution is in agreement with o. Still, offering top-notch home care services is an issue, but it is costly, requiring most of the monetary resources, thus leaving little or nothing to fund the rest of the improvements (Miller, 2020).
The opportunity cost here is in terms of choices made by societies at the expense of other investments, such as technology, innovation, or marketing. Such lost investments can hinder the creation of, potentially affect, our market share, which has the potential to impact future revenue and margins. If these additional nurses do not generate enough profits and revenues to cover their expenses, the cost-benefit profit percentage might be lower.
Cost-Benefit Analysis A cost-benefit analysis (CBA) is essential in identifying resource requirements in healthcare organizations serving goals and fundamental objectives. Accounting professionals must consider the financial gains and losses as well as the advantages and disadvantages of their decisions to support organizatiorganization’sn’s direction; therefore, conducting a CBA will help me, as the executive director of a for-profit home care agency struggling to cope with a shortage of nurses, evaluate the effectiveness of potential solutions and their impact on tagency’sytagency’sy’s situation to make more informed decisions in line with tagency’sytagency’sy’s objectives. As evident in the Analysis, this will go a long way in solving the current staffing agency’s staffing needs, which are shared and aligned with the community’s common ideas in the industry.
Meeting Organizational Needs
Any organization must address this. Still, any organization must address one hat to continue delivering essential services, which is imperative for providing quality patient care. The recruitment of full-time nurses, for example, effectively solves this problem since it expands the capacity by 410,000 work with the employment of 60 clients. With $ 410,000 spent on employing four full-time nurses, we guarantee that we will not have to reject clients because our all-nursing-staff members are busy, and the individuals need professional care. This approach aligns with our mission statement at Home Care Solutions, which aims to provide unique home care services and aligns with our objective of ensuring that the clients are satisfied and retained (Smith, 2020).
This decision has its cost—indeed, the cost arises out of the very nature of the decision. Investing a proportion of our $1,000,000 budget in staffing means that there will be, whether on the organizational level or in the form of technology or marketing. The above lost opportunities could have offered orientation to enhance our dimensions. Therefore, nurse hiring is deemed manageable when done alongside other strategic endeavours for organizational development to signify organizational success.
Three Potential Solutions for Stakeholders
This proposed research problem relates to a severe scarcity of the nursing staff at our home care agency; it is a for-profit company, therefore calling applicants to the long-term options available to solve this issue. This summary presents three solutions: employee-related strategies such as hiring full-time nurses, extending sign-on bonuses, and integrating telehealth solutions. They compare the costs, benefits, sustainability, and subsequent consequences of the decisions so that they can take a wide range of courses of action.
Solution 1: Per Art, the Staffing Human Resource Policy, the first step in achieving this would be to hire Full-time Nurses.
Increasing staff employment by directly hiring full-time registered nurses. The address of the staffing deficit. Total employee cost for the fourth quarter consists of $ 75,000 wages00wages/year, plus benefits, amounting to $00 per nurse, and recruitment costs of $5,000 per nurse. This makes the total cost to train four nurses $410,000. The location selected for the nursing school must be strategically located to facilitate expansion and attract more students; therefore, it should be equipped with adequate space for expansion and preferably within a well-developed area to attract more students.
MBA FPX 5006 Assessment 3 Strategy Implementation
The first and foremost advantage of this solution is that it offers an immediate approach to our staffing problem, thus helping us cater to 160 current clients. It also guarantees the quality of the services we offer and the nature of the personalised care that each of them deserves. This solution is consistent with our mission of providing premier home care services to clients and helps achieve our desire to mirror client satisfaction and engagement (Smith, 2020).
Regarding sustainability, the solution of hiring full-time nurses is capital-intensive at the beginning, and there are regular cash outlays in terms of paying nurses. Despite its direct approach, it takes a considerable portion of our budget, which means even other important projects may not be as well-funded. Another long-term outcome is the daily care of clients and guaranteeing their regular satisfaction, which can bring regular Client retention and recommendation. Conclusion: The cost-benefit Analysis has helped identify myriad factors affecting staff retention and getting a grip on the staff shortage in a for-profit home care agency. For systematically evaluating three main strategies for human resources and hiring practices, such as employing full-time nurses, providing sign-on bonuses, or indicating sympathy for and planning to expand telehealth services, we can make reasonable decisions that support the agency and its goals and financial model.
The need for full-time nurses forms a clear strategy for directly addressing your staffing requirements immediately. This solution also provides the much-needed short-term fix to staffing shortages that can affect our clients’ personalised care. However, the costs of recruiting and retaining full-time nurses, which include dealing with occasional clients, hinder their cash flow as it may deny them the capital needed in other areas. Sign-on bonuses provide business. Sign-on bonuses offer a cost-effective approach for quickly acquiring the much-needed qualified nurses to address the staffing shortages in the short run.
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